Dec 22 (Reuters) - Shares of Oxford Industries Inc (OXM.N) rose as much as 24 percent a day after the apparel maker bought Sugartown Worldwide Inc, the owner of upscale women's brand Lilly Pulitzer.Oxford Industries, whose businesses include Tommy Bahama, Ben Sherman, Lanier Clothes and Oxford apparel, has been making a push to own diversified lifestyle brands of late.
Life’s a Party for Lilly Lovers: Growing & Strengthening Loyal BrandCommunities with New Product Offerings Alexandra Glazer
Lilly Pulitzer, The Beginning • 1959, Palm Beach, Florida • Juice stand & colorful dresses • Jackie Kennedy helped make brand famous • 1993: Bought by Sugartown Worldwide Inc. • 2010: Bought for 60 Million by Oxford Industries
Company • Financially very stable being owned by successful larger parent company – Lilly is unique: no substitutes – Reputable brand image & lots of power to • Brand Personality – Thinking: Lilly is preppy excellence, classy, what the tastemaker’s wear – Feeling: I am young, independent, and stand out when wearing Lilly. Lilly adds a pop of color and an element of fun to each and every day.
Consumer• Demographics: – Women, ages 16-45, affluent, preppy influence, tastemakers, life long clientele• Wants to incorporate Lilly in their life any way possible• Customers know they are buying more than a “I surround myself and my closet dress, accessory, shoe – with everything possible that is whatever it is when they Lilly” shop at Lilly, buying a lifestyle “I love the way the clothes make me feel- I always feel classy when wearing Lilly”
CollaboratorsMany partnerships, especially limited edition products
Competitors• Virtually no competition• Lilly has a unique product offering because their brands are so special and brand itself is big part of decision making• Other brands compliment Lilly but do not substitute
Research• Quantitative – Survey Results• Qualitative – Survey Results – Headquarters Employee – Personal ObservationGoal: What would Lilly Lovers think of analcohol brand extension concept?
Lilly Lovers Support Core IdentitySummer Traditional Palm Beach Classy Timeless The Perfect Green & ColorfulWhimsical Playful Woman Pink Prints • “I love the lifestyle the brand promotes. Her pieces are timeless and I will be able to wear for life” • “LP Successfully branded happiness; wearing Lilly seeing Lilly, owning Lilly makes you happy” • “I surround myself and my closet with everything possible that is Lilly” • “I love both the Lilly style & what being a Lilly girl is all about”
Consumer MotivationSurvey 92% bought the item because ofResults the pattern following with 70% because of brand loyalty 80% follow on at least on social media site 80% have participated in some social media contest 62% said they participated because the prize was enticing
Fans Back Brand ExtensionSurvey If available, 92% would purchase a Lilly Pulitzer alcohol productResults 82% would prefer a cocktail mix over wine which came in second Consumers would be willing to pay between $20-$40 64% said the extension doesn’t bother them or they think it fits perfectly with what the brand represents“People are so loyal to their wines, where they are made,the vintage… I think a cocktail mix would work better”
Corporate Feedback“While, we often promote how a Lilly Girl loves to partyand enjoys her cocktails, but I dont think wed ever go intoalcoholic products that would so drastically tie us to thatimage” Pro Con • Drink specific • Family Brand prints (Mint Julep • Sensitive 2013) segment • Promote Parties • ‘Make it a • Definitely Double’ sweater interested fans controversy
Key Findings• There is a need for this product• Patterns are a part of the core identity• Very involved online through social media• Consumers are motivated by prize• Alcohol could have negative connation, concerned about “family brand” image• History shows alcohol has been featured many times in prints, products & marketing content
Marketing Plan • Partnership Details LineIntroduction • Distribution Plan • Pre-Launch Facebook Campaign:Awareness Naming ContestCampaign • Foursquare Specials & Cocktail CountrySocial Media Campaign • ‘Shake it Up’ Picture Contest
Brand Extension Concept• Lilly Pulitzer will partner with Skinny Girl Cocktails to expand in to a line of low calorie, limited edition cocktail mixes• Branded House: “SkinnyLilly”• Win-Win Situation: Skinny Girl should want Lilly as much as Lilly needs SG to make it work
Skinny Girl Growth• 2011- 388% sales volume growth• Fastest growing ‘ready to drink’ brand in spirit industry• 2012- Beam Global bought for $120M• Financially very stable & looking for more opportunities of success
Why this works?“Life’s a Party” Flirty Feminine Classy Sophisticated Life of the Party“DrinkLike aLady” Similar cores & values!
Distribution• Already existing distribution partners & supply chain• Will use same vendors because similar target markets• Limit distribution to areas where Lilly lovers live
Foursquare Awareness: & Tracking Naming Contest Shake it Up Cocktail ContestMarketing Campaign
Awareness & Buzz Campaign Naming ContestFacebook• Submit flavor, flavor name, & story• Winner determined by Lilly CommunityPrize• Idea used plus featured story on Skinnylilly bottle• Win a Lilly Dress of their choice• Goal: Generate buzz & excitement for product
Announcing Lilly Pulitzers Special Edition Skinny Girl bottle,Skinnylilly. Before we can launch our latest creation, we need aflavor AND a name, but we need YOUR help.Not only will the winning entry become the first Skinnylillyflavor, one lucky Lilly lover WIN A SUMMER 2014 LILLY DRESSOF YOUR CHOICE by entering in to our naming competition.Submit your choice of flavor, flavor name and a short descriptionexplaining the story behind the name, that will also be featuredon the back of the bottle.* What is there to lose? Put on your favorite Lilly & get your thinking caps going, we’re waiting…*Must be 21 or over to be eligible to enter
Social Media Campaign Foursquare & Tracking WidgetFoursquare• Newbie Special – 25% off liquor store itemFacebook• Cracker-Tracker Inspired: Cocktail Country
Social Media Campaign Shake it Up: Cocktail Picture ContestFacebook Campaign• Post picture of yourself in Lilly, with the Skinnylilly bottle and your cocktail of choice, also post recipePrize • Cocktail shaker & a set of glassware in the limited edition Skinnylilly print• Goal: Keep buzz going months in, create sales peak (need bottle for picture & pressure to buy), posting recipes will encourage drinking more Skinnylilly!
TimelinePhase 1: • Roll out 1 year prior to launchNaming • 5 weeks long • Phase 1 will end before Phase 2Contest begins • Implement with Phase 2: launch Tracking & • Available entire length 4square of campaign • Will go live 2 months Phase 3: after product in stores Picture • Competition: 7 weeks long Contest • Winner & 10 runners up announced 2 weeks after competition ends