Our client is an expanding women clothing retailer based in the UK offering both online and retail store channels. Whist focus has been on the UK market, the strategy is to expand the business into overseas markets. The client, without specially targeting, has seen significant sales coming from both the US and Australia. In order to understand this opportunity the client wanted to conduct some research.
A Usage and Attitude (U&A) questionnaire was developed to understand the customer attitudes towards the shopping for clothes and the client’s brand. In particular, it was important to establish the potential for the brand within the competitive landscape.
Both markets offer the brand significant opportunities which will be enhanced by a localised fulfilment resource. The level of competition (especially off-line) in the USA was higher than that recorded for Australia and as a result there was a greater appetite for the client’s brand in Australia. Segmentation of the market helps the brand to better understand their customers’ needs and align them to their products and services.
For success in USA there is a need to have a localised presence (flag ship store) but not so in Australia. A flagship store in Australia would be welcomed but not necessary. Therefore Australian market offers the best opportunity for a ‘quick win’ to capitalise on the consumers’ needs for more choice.
The brand continues to grow in both markets and they are currently investing in developing an Austrian distribution and fulfilment hub.