We sell Burberry products through our directly operated and franchised stores, as well as via wholesale partners and online. We use the product and distribution expertise of licensing partners for certain product categories, such as eyewear and beauty.
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How does Burberry operate internationally?
Burberry now operates direct shipments of products from suppliers to wholesale customers in the USA and the Asia Pacific, and plans to extend this service to major wholesale customers worldwide (Moore and Birtwistle, 2004) .
What is the strategy of Burberry?
In 2017, we set out a strategy for transformation and growth, to elevate Burberry to a true luxury positioning. Since then, we have revitalised our brand, strengthened our product offer and elevated our customer experience.
What is Burberry business structure?
On the other hand, the organisational structure of Burberry is a matrix structure. According to Thomson and Niekerk (2012, p. 45), the main aim of a matrix structure is to draw together employees with a range of necessary traits so that the employees of Burberry can draw together a range of necessary skills.
What is Burberry’s business purpose?
Our vision is to be the leading British luxury brand, delivering sustainable, high-quality growth and value for our stakeholders.
What is Burberry’s competitive advantage?
Burberry’s main competitive advantage lies in the fact that the company’s resources are strong as compared to its competitors in the market.
Where does Burberry operate?
We make our products at Burberry-owned sites in the UK and Italy, as well as through a network of global suppliers.
What is Burberry’s target market?
Highly dominated by women with a high disposable income. It is famous for its celebrity appeal. With stores located in largely populated, wealthy and tourist attractive cities.
What pricing strategy does Burberry use?
Burberry Price/Pricing Strategy:
Burberry uses premium pricing strategy to sell its products. The right mix of low cost range and the high end premium products is what Burberry aims to achieve. Being a luxury brand Burberry does not compete directly on price in its marketing mix with its competitors.
What makes Burberry successful?
Burberry spent time and effort improving its product (Value). They developed and modernised their fabrics, reinvented their silhouettes, and branched out into profitable and aligned product sectors. At its inception, Burberry’s persona built ‘Warrior’ and ‘Creator’ brand personas.
What makes Burberry stand out?
Burberry sticks by its British identity, promising its customers the true-blue English style, through clean and smart designs, with checked prints being a well-recognized symbol of the brand. The Burberry trademark also gives consumers the assurance of consistency in the quality and durability of products delivered.
How does Burberry make money?
Burberry sells its luxury products through three channels: retail, wholesale and licensing. Much of Burberry’s revenue is generated through retail sales. In 2019, for instance, retail sales accounted for around 2.19 billion GBP of Burberry’s global revenue.
How is Burberry innovative?
Burberry has used social media in innovative ways to engage its consumers, particularly via a long-standing partnership with Twitter which has allowed viewers to access live-streams of runway shows, receive personalized photos from shows and buy products via the social media site.
Who is Burberry’s biggest competitor?
Top 10 Burberry Competitors
- 1) Armani.
- 2) LVMH.
- 3) Prada.
- 4) Coach.
- 5) Gucci.
- 6) Versace.
- 7) Christian Dior.
- 8) Hermes.
How does Burberry communicate with their customers?
Burberry has a presence across 20 different social platforms and a combined following of more than 50 million. In 2016, Burberry launched a chatbot through Facebook Messenger as part of promo around its runway shows. Customers could use the chatbot to get updates and see behind-the-scenes content from the show.
How many countries do Burberry operate in?
At Burberry our teams are made up of 120 nationalities across 34 countries and territories.
Who is the customer types Burberry are targeting Why?
As I mention, the current target audience of Burberry comprises of high-class people, mostly celebrities. And their main focus is the Burberry heritage product – trench coats. The target audience of this strategy is men-women between the ages of 20-45 years from middle income to lower upper income group.
Is Burberry a niche market?
Burberry is defying what other luxury retailers are struggling with in this economy. It has found its niche client-base, hedged against economic slowdown and increasing its profit margins.
How is Burberry managing its relationship with customers?
The retailer has used its digital platform to take its products to clients who were at home in lockdown. It used techniques including remote selling, live-streaming events held in stores, and creating immersive experiences, as seen in its recent Bags World launch.
The luxury fashion house has partnered with Tencent, the developer behind Chinese social media and payment app WeChat, on a ‘mini program’ that “connects and rewards customers as they explore online and in store,” according to Burberry CEO Marco Gobbetti.
Why is Burberry a luxury brand?
Towards High End Luxury
Burberry has made strong progress in elevating its brand’s offer and upgrading its retail strategy, as the brand has boosted its leather goods assortment successfully and shown strong growth in the category, as well as its heritage category of outerwear.