Tuesday, March 29, 2011

chap.18 Sales Promotion and Personal Selling


American Apparel used not to go on sale because they thought they could control the inventory. However, due to their financially losses these days, they starts promoting Groupon sale coupon and going on sale as tools for consumer sales promotion. Also, in their online store, they suggest people who visit their online store to sign up for e-mail update and then send them 10% off promo code for online purchase. Once customers signed up for e-mail update, they receive exclusive offers, invites to sales and updates on American Apparel's latest styles. For their loyal customers, American Apparel invites them to the company's surprising sample sale. In order to grab brand switchers and price buyers, they offer bonus pack such as 'buy three, get on free' for socks and underwear and markdown last season's items. To grab competitor’s customers, they use eye-catching displays in their retail stores, which are their strongest advantages. Their mannequins are worn their products in various ways that show how to wear and posing unique posture. Their displays catches people who pass by and make them buy the products. American Apparel focuses on point-of-purchase promotion, such as, putting television monitors in the stores showing how to wear the product in many ways. In online store, they don't charge shipping fees for customers who purchase over $75.

Tuesday, March 22, 2011

ch.17 Advertising and Public Relations


  Unlike their peers, American Apparel has been doing provocative and somehow controversial advertising. It helps them to set up unique character in the fashion world and become successful world wide. Like their products, they produce everything about advertisment in L.A. They don't need any help of ad agencies, retouchers, makeup artists or stylists. American Apparel's ads represent their authentic images and carry socially relevant messages that the company concerns. Interestingly, their models for ads are not 'models'; they are grils and boys next door. By appointing fans, friends and employees from around world as models, American Apparel has gained familiar image to come closer to young people. Their iconic ads show the diversity, individuality and independent spirit that the company was founded on. They display their ads on famous fashion blogs and magazines, such as thesartorialist.com, streetpeeper.com, Paper magazines and so on, whereas they don't do TV commercials. American Apparel's slogan 'Made in USA' emphasises vertical integration that is the company's business model. 
 They support to legalize 1.8 million undocumented adult Latino immigrants in L.A and other places so that they express their concerns in ads with the slogan 'Legalize L.A'.


images from thesartorialist.com ,streetpeeper.com
 

Tuesday, March 15, 2011

In addition to ch.15

American apparel's retail is specialty store format that merchandises basic clothing for urban young adults. They Specialize in basic cotton knitwear such as T-shirts and underwear, but in recent years it has expanded to include leggings, leotards, tank tops, dresses, pants, denim, nail polish, bedding and accessories for men, women, children, babies and dogs. They also have vintage clothing line called CaliSelect. Their retail stores are mostly located in low-lent places but high traffic locations like Houston, Little Tokyo, New Orleans and college towns. The decor of their stores is inspired from 1970's and 1980's mood stressing various colors and designs. They suggest many styling ways by displays of show windows and photos of the models in the store. Their window displays are eye-catching.

Ch.15 Retailing


American Apparel was one of the fastest retailers in the United States. They started with three company stores in Los Angeles, Montreal, and New York in 2003. As of 2008 the company has more than 200 stores worldwide and continues retail growth with new stores in the United States, Israel, Italy, Japan, South Korea, the Netherlands, Switzerland, China, Germany, Austria, Canada, France, Sweden, Spain, Mexico, United Kingdom, Ireland, Brazil, and Australia.

American Apparel retail stores are marketed and designed individually rather than homogeneously. For example, American Apparel in Tribeca had different features than the other American Apparel stores. The store in Tribeca has separate section called “babies and toddlers”. Because Tribeca deals with more parents, American Apparel in Tribeca tried to customize their shop with more products of babies.

American Apparel tried to avoid high rent areas and in-mall locations. They tried to renewal lower-rent with high traffic locations. 


Tuesday, March 8, 2011

[something to read]Ad Alert: Social Media Sites Drive Teen Purchases

Ad Alert: Social Media Sites Drive Teen Purchases
by Wayne Friedman, Friday, March 4, 2011, 1:28 PM

In the digital world, this may be a no-brainer: Now, virtually all U.S. teens are using the Internet, far outpacing the total U.S. population. More importantly, many are counting on social media to influence their purchasing decisions -- a key factor in future advertising budgets and campaigns.

By the end of 2011, eMarketer says 96% of American teens ages 12 to 17 will use the Web at least monthly, much higher than the 74% penetration for the total U.S. population. Teens will inch up to 97% in the coming years through 2015, then remain at that level. Overall Internet usage among all population groups will climb more rapidly, rising to a 79% penetration by 2015.

Social networks are a major factor in growth. More than four in five teens -- 80% -- will use social networks this year. That compares to 64% of all Internet users.

Just considering Facebook, nearly three-quarters of teens will use the giant social media platform at least once a month this year. This compares with over 50% who used the site daily in 2010.

Another survey, from Ipsos Public Affairs, says 70% of teens use Facebook weekly. More research from Roiworld and OTX says that as of last June 2010, 69% of 13- to-17-year-olds have a Facebook profile.

All this social activity is increasingly critical to retailers. More than 4 million teen girls purchased items online in 2010, up from 3.4 million in 2009 -- a 52.6% gain.

"Peer influence is the key driver in teen girl shopping behavior," stated Tobi Elkin, eMarketer writer/analyst. "While they are price-conscious and driven by a great deal, teen girls weigh these factors against the all-important consideration of whether peers will approve of their purchases."

From Media Daily News (www.mediapost.com)

Ch.6 Consumer Decision Making

First of all, who are American Apparel's consumers? They are 20 to 32-year old male and female in major urban market with disposable income and enjoy wearing clothes.
When a season changes, people want to have new clothes and t-shirts will come up on mind at first because it's easy to buy and wear.(Need Recognition) So, they decide to go shopping. Young adults,who are 20-32 years old, know many brands and stores to buy a t-shirt. But, whenever they look at fashion or music blogs, American Apparel's ad campaigns are easily seen. Also, in famous shopping spots, such as Soho in New York, American Apparel stores are located. People have seen cerebities and fashion people wearing American Ampparel's products. (Information Search) They may consider other brands to find a cheaper t-shirt. But in American Apparel, you can find well-fit t-shirts in various colors and designs which are proudly made in USA unlike other brands. (Evaluation of Alternatives) People can purchase American Apparel t-shirts in more than 285 retail stores in 20 countries and even online -www.americanapparelstore.com (Purchase) American Apparel costumers are satisfied that they bought a good quality t-shirt and also support vertically integrated business which creates good jobs in U.S.A.(Post-Purchase Behavior)

Monday, March 7, 2011

[News] American Apparel Pitches Up at SXSW

American Apparel pitches up at SXSW
March 7th, 2011 by brand-m

South by Southwest has inked a deal with American Apparel to make the brand the first major clothing company to establish a retail presence during SXSW Music. AA will pitch up at the Style X exhibition aimed at showcasing emerging talent in the fashion industry on 18-19 March.

“South by Southwest has always been a unique place for musicians, filmmakers, bloggers and web developers – it makes perfect sense that brands both established and emerging should join in,” said Joah Spearman, Style X co-founder and executive producer. “Having brands like American Apparel… demonstrates that not only does style deserve a seat at the SXSW table, but also that SXSW will continue to command more and more attention from the fashion world.”

TIGI Haircare is the official haircare provider for the Style X runway shows which will include musicians, many of whom are official SXSW Music performers, as the runway models.

Frank’s Chop Shop, a popular full-service barbershop in Lower East Side, New York City, will provide a gifting suite and a relaxed environment for musicians to get a clean, old-fashioned straight razor shave before stepping onto the runway at Style X.

Go Try It On, the New York-based tech startup, is serving as the official casting call partner for Style X with a dedicated website for musicians to submit their most stylish photos and have the chance to win a spot as a model in one of the runway shows.

Tags : brands, concerts, fashion, live music, marketing, music, retail, sxsw