Case Study 4

Case Study 4

A well-known New Zealand women’s fashion brand with a very diverse mix of customers had been losing profitability over several years. The purpose of the research was to better understand both existing and lapsed customer’s behaviour and perceptions of their brand and competitors’ brands, and what the main barriers to growth were.

The methodology was broken into stages. The first stage being comprised of depth telephone interviews with a number of customers and lapsed customers to understand what the one or two most common barriers to growth were. Once we understood the two most common barriers, stage two examined these barriers in depth with the use of CATI surveys. We discussed all aspects of customers’ relationship to both the brand and competitor brands, perceptions of theirs and competitors’ product range, presentation and layout of the store, demographic profile, and past and present purchase behavior. The insights showed they delivered a great service, but they were perceived as old fashioned with a nonappealing product range.

Our findings proved very powerful for senior management, as the information showed just how much business was being lost by not having a relevant product range no matter what the level of service was in the store. In time management was able to update to a more updated and appealing product range. In addition management was able to review perceptions of the brand and implement strategy to overcome negative perceptions.