Part 2 Brand architecture and position, target customers and competitor

Verawang Private

1. Diffusion line of Vera Wang

When a company has developed to a large scale, along with their a large number of business, they must have their various kinds of brand, such as their own brand, derivative brand, joint-venture brand, and the brand system is certainly more complicated. But how to make the brands with different attributes, characteristic and connotation together, and how to make them becoming an organic brand system to the market, finally how these brands would satisfy the customer in different market segmentation? It is convinced that the company should establish the brand architecture to clear brand’s relationship and positions in the market.

Vera Wang main range collection has three brands, Haute Couture, Bride, Fashion. Vera Wang’s lifestyle collection has nine brands, White by Vera Wang, Black by Vera Wang, Bedding, Eyewear, Papers, Flower, Fragrance, Simply Vera Vera Wang and Tabletop.

1.1 Haute Couture

Vera Wang Haute Couture is high- end brand, all wedding dress or evening dress are bespoke, it must take long period of the production, so the customers should make the reservation in advance, because their dresses might have some changes as the customers required, for example, the customer needs the special tailoring, or they want to have accessorized jewels on their dress. Vera Wang Haute Couture usually requires that the designer has to draw a special design of the dress individually, and pattern maker will finish the garment, then the tailor would complete the tailoring and sewing, in the end the designer will make the final change to match the customer’s shape, then the dress will be presented its best silhouette. Due to the different requirement of design, fabric, quality and craft technique, the price is more expensive than the store selling, So Vera Wang Haute Couture is targeted to the very high-end customers.

Verawang Bride

1.2 Vera Wang Bride

Vera Wang Bride is a high-end wedding brand, this brand via the brand releases, wedding fashion week and fashion magazine to promote and launch their products to the market. Vera Wang Bride wedding series is very typical to represent the design of Vera Wang, for example they are quite simply style, light and thin, without the heavy feeling, moreover its design combines the traditional and modern style, and it is used the superior fabrics and techniques. So Vera Wang Bride is mainly focus on the high-end, middle-and- high end customers.

whiteblack

1.3 White by Vera Wang and Black by Vera Wang

Both of them are more cheaper than Vera Wang Bride, White by Vera Wang is selling the wedding dresses, Black is selling the men’s tuxedos. They are not the flagship brand of Vera Wang, but they are the join venture brand with other companies. Their design remains the original brand features of Vera Wang, they are quite subtle and simple. White and Black by Vera Wang is aimed at middle-end and middle-and-low customers, so their materials, tailoring and design are have the difference than other high-end brands of Vera Wang

1.4 Vera Wang Fashion

It is a ready-to-wear brand of Vera Wang. Vera Wang Fashion would participate the annual fashion week, and has its own fashion show like other luxury brands. The process of design, pattern-making, sewing, finishing, promoting is same as the Vera Wang Bride, but Bride produces the wedding dress, and fashion produces the ready-to-wear. So the brand position is same as Bride to focus on the high-end, high-and-middle customer.

1.5 Simply Vera Vera Wang

Simply by Vera Vera Wang also is a joint venture brand, launched to high street market, the price of Simply Vera Vera Wang is like Uniqlo and H&M, and it only targets to the middle-low-end and low-end customers.

1.6 Summary

Besides the clothing brands, Vera Wang still has many derivative brand, for example Bedding is a brand for bed-linen of Vera Wang, and the price range is about 50-300 pounds. Vera Wang Fragrance is the perfume brand, it is very famous, especially the Princess series. The appearance of Derivative brand is to match the different market needs, they are not only could help the company to expand their brand influence and visibility, but also bring the profits for their flagship brand, because the development of customer base in high-end market is more limited.

Architecture

2. Brand architecture and position

2.1 The goals of multi-brand architecture

The research above evidences Vera Wang is a multi-brand architecture, according to their different brand identities, Vera Wang wants to divide and posit their brands to different market segmentation, thus to satisfy the different customer needs and consuming behaviour, meanwhile, they could avoid the competition of the brand homogenization in the market through their design and technique.

2.2 Accurate brand positioning

Brand position was presented by AI Ries and Jack Trout in 1972, they are the marketing expert in America. It means that the company should make the distinct brand image for the their product which has the identical function with the competitors, if the customer wants to buy the product, your special brand image would cause them to associate your brand or product, then this is a successful market positioning strategy. Vera Wang established their each brand characteristic using the accurate brand position, each brand represented the part of company image, because when think about the marriage, they must associate the Vera Wang wedding dress.

2.3 Brands coordination

Adopting the Multi-brand architecture is not means that Vera Wang only concentrate to develop the main brands, for their diffusion brands, they basically guarantee the brand operation and provide the appropriate helps, and these helps usually include the sharing information, industry dynamics, material resource and techniques, so that each brand of Vera Wang would be developed, this is the synergistic effect of the multi-brand architecture. For example, White by Vera Wang could be developed as the way of Vera Wang Bride, even through they target to the different market segments, however, there are various information could be used. Furthermore, expanding the market of luxury brand requires amounts of money, the vice-line brands would bring the considerable funds to the main-line brands.

customer profile

3. Customer Profile

The target customers of Vera Wang are mainly divided into four classes.

3.1 Very high-end customers

This type of customers pursues the high life quality, they might be the businessmen, dignitaries, super stars, celebrities who has a high social status, their lifestyle is low-key and luxurious, they do not like the exposure to the public, and their consuming behaviour is concerned to satisfy their life pursuit as a enjoyment. They must not live in the five-star hotel when they are travelling, because they have their own beach house. They hold classical concerts in their own house, and invited the famous art performers.

3.2 High-end customer

This customer base usually participate the social activities and private parties, attending the fashion week, they chase the fashion trends, and have the unique personal style, also they might create their own fashion brand. They might be the starlets, less famous stars and models, people who works in fashion industry, public figures and so on. They would like to wear the luxury brands, and drive the cars from 30,000-100,000 pounds, they maybe attend and hold to the organize the charity events in order to help social development, and gain some profits, or enhance their image price. They will go to the concert and opera, also when they are travelling they would like to live in the luxury hotels.

3.3 Middle-end customers

They are the senior white-collar workers, when they are travelling with their friends, they would like to use booking to find more cheaper hotels, they would like to buy the luxury brands in discount season every year, meanwhile they would often buy the high street brands. One to two months, they would like to visit the Michelin restaurant with the friends or have a date with their girl or boy friends. They like the Friday night with friends and colleagues, on the working day their lifestyle are quite busy and regular, sometimes they will go to the gym.

3.4 Middle-low-end Customer

They usually shop in the high street store, such as Uniqlo, H&M, Zara. They might be a ordinary employers, they like to use the social media to watch videos, pictures, or news about the fashion, and chatting with friends, they do like the Vera Wang brand as well.

competitior

4. Competitor analysis

Monique Lhuillier is established in 1996 by Monique Lhuillier and her husband Tom Bugbee. The design of the wedding dress focuses on the handmade technique, remaining the traditional wedding style, it also advocates the avant-garde style. As Vera Wang, Monique Lhuillier has a good star effect, the designer always design the wedding dress and evening dress for the female stars. In 2001 and 2002, Monique Lhuillier have won the best wedding designer award of the bridal magazine in America.

4.1 Points-of-parity

The common brand identity, Monique Lhuillier and Vera Wang both are known wedding brand, and very famous on their design of wedding dress. These two brand combine the traditional and modern design, similar fabrics, technique, and quality. In addition, these brand operations are quite same, all are the multi-brand architecture, so when the customer intend to buy a wedding dress, Monique Lhuillier would be listed in their shopping list.

4.2 Category Points-of-parity

Monique Lhuillier has different brands, for example Haute Couture customs the special dresses as the customer needs, Bliss Monique Lhuillier is like Vera Wang Bride focusing on wedding collection in every season and it targets to the high-end customer base. Fashion is their ready-to-wear brand position as Bliss, they are the same brand position. In order to expand the production line of the brand, Monique created the lifestyle series, which is tabletop, home fragrance and wedding gift.

4.3 Competitive points-of-parity

Although Monique Lhuillier wedding style combined with traditional and modern design, it is more traditional and formal, it does not use too much modern element, so it looks more heavy and complicated. In addition, their lifestyle brands are fewer than Vera Wang, but it is worth to mention that Monique Lhuillier Bridesmaids is very poplar, in different season they will launch their new collection in fashion week, also Monique Lhuillier has the Fine Jewelry, they are very special.

Comparing with the Vera Wang, Vera Wang is more modernizing, light and thin, it avoids the heavy feeling of the traditional wedding dress. Vera Wang does not produce the dress and shoes for Bridesmaid, but they know they are famous wedding brand, so their dress series has four brands target to different classes of customer base, this is a good competitive advantage. In addition Vera Wang created Black by Vera Wang aims to the men’s tuxedo market, and in its lifestyle series, Vera Wang has various kind of brands to overcome Monique Lhuillier, because it provides the customer more choices.

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5. The proposal of flower children

Flower children is a brand which I consider to create for Vera Wang as the a diffusion brand. At present in many weddings, people would like to invite the little girls and boys to accompany the couples finishing the wedding ceremony. Children’s wear is more and more important to the fashion industry, many luxury brands created the diffusion line for children’s wear in order to expand their market and to gain more market share. As we know Vera Wang is wedding brand, it already has had the different brands to sell their products to men and women, however they still do have any diffusion line created for children, and the flower girl and boy are more and more important to the wedding ceremony, people concentrate to have this role in the wedding, so I believe that it is a opportunity and also a challenge for Vera Wang to develop this brand.

Reference

  1. Balmer, C. (2014). Expandable Brands. Cork: BookBaby
  2. Boutique, C. (2015). Monique Lhuillier | Alexia’s Bridal. [online] Alexiasbridal.com. Available at: http://alexiasbridal.com/category/our-designers/monique-lhuillier-our-designers/ [Accessed 16 May 2015].
  3. Facebook, (2015). Monique Lhuillier. [online] Available at: https://www.facebook.com/OfficialMoniqueLhuillier/info?tab=page_info [Accessed 16 May 2015].
  4. Facebook, (2015). Vera Wang. [online] Available at: https://www.facebook.com/VeraWang/info?tab=page_info [Accessed 16 May 2015].
  5. Hameide, K. (2011). Fashion branding unraveled. New York: Fairchild Books.
  6. Marketing Week, (2012). Too many brands spoil the strategy. [online] Available at: http://www.marketingweek.com/2012/11/28/too-many-brands-spoil-the-strategy/ [Accessed 16 May 2015].
  7. Moniquelhuillier.com, (2015). Monique Lhuillier / Home. [online] Available at: https://www.moniquelhuillier.com/ [Accessed 17 May 2015].
  8. Vera Wang, (2015). Vera Wang | Wedding Dresses, Bridal Gowns, Designer Clothing. [online] Available at: http://www.verawang.com/ [Accessed 18 May 2015].
  9. Douglas, S. P., Craig, C. S., & Nijssen, E. J. (2001). International Brand Architecture: Development, Drivers and Design. Journal of International Marketing, 9(2).
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