United Colors of Benetton
Benetton is of the most profitable companies in the market, by succeeding in attracting the attention of the general public. Its campaigns have gathered awards in all the countries in which the group is present. The companies target group is between the ages of 16 to 32, thus it’s prices must be logical for someone as young as 16 is able to afford the product, but someone that is older and has his/her own income does not find the product price to cheap or expensive. The majority of women that buy these products are women; age is not really an issue here. This can be explained by, that older women (over 32) buy these clothes so that feel and dress younger than their real age (something that most women do). In addition, Benetton customers are from all religions, races and nationalities. From the beginning it has shown interesting ideas with a promotional concept that unites all the people. Benetton’s advertisements have brought a lot of attention with the use of shocking pictures (picture 1), and by that the company is better known for the advertising rather than the clothes it sells. But a very interesting question can be raised; and that is why the company uses such advertisements, and whether the company profits from them
or not? The company’s point of view is that it uses its status to draw attention to the issues. Benetton as a high-share company can be characterized as a “cash cow” in a low growth market. The S.W.O.T analysis of Benetton reveals a very profitable amount. Beginning with the “strengths,” the company has a worldwide name, interesting and peculiar advertisements (picture 2), followed of course with good quality and logical prices for its products. The distribution of the company is quite good, since it provides to the customer shops around the world with highly experienced personnel to perform effectively for the company’s profits. As every company, there are also “weaknesses” here too. For instance, the advertisements that are displayed by the company are most of them shocking or disgusting to customers (picture 3). Also some advertisements confuse the customer who is not aware of the reasons why such ads are displayed (picture 4). Certainly these advertisements tend to impress the customer and nothing more than that. Another important “weakness” is the fact that Benetton due to its strength as a company has a goal to open shops in very rich areas, having to deal with other well-known brand names such as Calvin Klein, Armani, Donna Karen and many other’s of similar “status”. Benetton as a company has to compete these strong brand names that have acquired a large part of the market share, in order to regain profits. The comp
Some topics in this essay:
Donna Karen,
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brand names,
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buy products,
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strong brand,
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advertisements company,
clothes sells,
profits company,
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Approximate Word count = 983
Approximate Pages = 4 (250 words per page double spaced)
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