The Fashion Channel

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The Fashion Channel

The Fashion Channel

QUESTION #1

TFC has been successful over the time until recently, and has caught up pace in attracting the audience. The fashion-specific content of TFC has not faced much competition and therefore enjoying their profits and approach in achieving the overall success of the company. However, later on Lifetime and CNN observed this happening and began to launch fashion-specific programming. TFC had the upper hand in terms of competition this can be seen from the exhibit 1. If we will look at the exhibit 1, TFC meets the needs of women between 35-54 years old with a 39%-61% split in favor of women; with 33% of viewers aged 18-34 and 45% aged 35-54.

The other main thing which can be observed from the exhibit 1is that, according to average rating CNN leads the market with the viewership of around 4.4 million household, and whereas TFC had only 1 million. Similarly, the Exhibit 2 gives some other important information about the trends, for instance TFC has not been favorite for most of the viewers. On the other hand, 28% agree with the view that TFC provide good information relevant to fashion on TV. In addition to this, exhibit 4 also gives significant information regarding the 4 groups of GFE associates. Finally, the information relevant to revenue and advertising would be of great concern as these are directly associated with the TV industry.

QUESTION #2

Following are the pros and cons of the three primary options presented in this report:

Broad-Based Marketing

Pros:

The scenario of broad-based marketing generates around $40 million as net income in comparison with the figures of 2007. The broad-based marketing is economical because it requires no additional programming expense which costs around $15 million. All the four clusters also include women between the ages of18 to 34. Therefore, ...
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