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UNIQLO pricing strategy

Pricing strategy for upcoming stores at Newbury St, Backbay Boston. All data on the conjoint analysis part are based on totally 50 survey collected from students and school staffs age 20-30.

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UNIQLO pricing strategy

  1. 1. Light-down Jacket Pricing Strategy TEAM 12 CHARLESTOWN “MADE” BRAND DELIVERING AFFORDABLE AND HIGH QUALITY CLOTHING “FOR ALL”
  2. 2. AGENDAA QUICK LOOK INTO THE PRESENTATION ABOUT UNIQLO COMPETITION NORTH FACE CONJOINT LOGISTIC&ANALYSIS PERSONA LOUIS SCHWARZER PRODUCT ULTRA LIGHT DOWN ANALYSIS SITUATIATION&CASE SUMMARY PRICING STRATEGY Cloth for a better life for everyone, every day
  3. 3. About UNIQLO MADE FOR ALL TOKYO TO BOSTON JAPANESE TECHNOLOGY HEATTECH CASHMERE AIRism ULTRA LIGHT DOWN
  4. 4.  Ultra thin fibers  Sleek but premium warmth  Minimum 90 % down  Water-repellent material  Variety of styles, colors & functions  Light layer in spring or fall  Under layer in cooler temps  Slim silhouette – easy movements  Carrying bag  Smart packaging for any occasion ULTRA LIGHT DOWN JACKETS LIGHT & WARM DIFFERENT STYLES PACK UP & GO
  5. 5. COMPETITION $69.9 Market Price $199.0 Market Price Low Awareness Medium high Function Medium high Function High Awrareness
  6. 6. Situation Analysis AFFORDABLE JAPANESE HIGH TECHNOLOGY FUNCTIONAL & TRENDY PRODUCT DIVERSIFICATION DURABLE & VERSITILE CLOTHING LACK OF BRAND AWARENESS WEAK BRAND LOYALTY LIMITED PRESENCE OUTSIDE ASIA
  7. 7. Case Analysis - 2 new stores in the City Center of Boston, spring 2015 - Newbury Street & Quincy Market THE RUMORS ARE TRUE! So we need several promotional items to increase awareness!
  8. 8. Persona “Spring in Boston is so cold, I need a down- jacket to stay warm.” “I will rotate in May, so my budget is limited.” “General jacket looks bad, I want a light one for fashion.”
  9. 9. Conjoint Analysis Rank 1 Rank 36 Score: 8 -8 Conjoint Analysis Logistic Color: 1. Blue 2. Black 3. White Function: 1. Water proof 2. UV Cut 3. Breathable Style: 1. Casual 2. Formal 3. Vintage 4. Sporty Price: 1. $30 2. $60 3. $90 4. $120
  10. 10. Color: Blue Price: $60 Function: Water-proof Style: Casual Price Sensitive
  11. 11. Action Plan (Penetration Pricing) Sales Function Benefit Special short-term deals, temporarily reduce the price. Combining Water proof, UV Cut, and Breathable together without increasing price. Cross Selling Attract buyers by sales. Place promotional down- jacket and appealing items together.
  12. 12. Sales $59.9 $69.9 $79.9 $69.9
  13. 13. Action Plan (Penetration Pricing) Sales Function Benefit Cross Selling Special short-term deals, temporarily reduce the price. Combining Water proof, UV Cut, and Breathable together without increasing price. Attract buyers by sales. Place promotional down- jacket and appealing items together.
  14. 14. Cross Sell Cross Selling $59.9 Promotional Price $89.9 Retail Price 8% Margin Rate 25% Margin Rate
  15. 15. Action Plan (Penetration Pricing) Sales Function Benefit Cross Selling Special short-term deals, temporarily reduce the price. Combining Water proof, UV Cut, and Breathable together without increasing price. Attract buyers by sales. Place promotional down- jacket and appealing items together.
  16. 16. Functional Benefit

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