Group project part C

Virtual Try On!!

Demographic :

Income, education, and class changes (mingled with economic trends)

Shifting racial or ethnic composition

Generational trends: Aging baby boomers, Millennials establishing careers, Gen-Z

entering adulthood

Economic:

Short & long-term changes

Macroeconomic Factors (interest rates,

inflation, business cycle)

Consumer Income

Globalization

Employment

Technology:

Smart Home technology

VR

Face recognition

AI and automation

Location data

5G connectivity

OUTLINE

Part A: Tiffany Chin

Mirror with additional feature of virtual try on clothing

Part B: Tiffany Chin

Demographic, Economic, Technology

1. Demographic Segmentation

2. Psychographic Segmentation

3. Geographic Segmentation

4. Behavioral Segmentation

Part C: Donny

Demographic:

1. Age ()

2. Gender, currently with Yoga community onlying targeting females, but with the mirror we are offering we can expand our customer base to males as well.

3. social status (education, income, family background), ethnicity )

Part D: Part c Segmentation - Christine & Neil

1. Nike & Nordstrom (own software)

2. Convenience (not to the physical store, virtual tryon at home)

3. Safety (virtual try on at home (Covid), no more stealing of products)

4. Enriched the customer based (more functions)

5. Capability (already have the clothes (all items on the website))

6. Privacy & Safety ()

7. Safety

8. Current issues: one mirror in the main fitting room.

9. Reduce supply chain pressure (less stock)

10. Personalized with own clothes (different outfit)

11. Nike, Adidas, Under Armor (current competitors within the same fitness clothes industries)

Part E: sub-brand, - Katherine

1. Informational

2. Symbolic value

3. Performance value

4.

Branding Strategy (CSR): Katherine

1. Sustainability

a. Socially responsible brand (Labor, Employee, Customers)

b. Environmental: Materials used

2. Inclusive

a. Different Race

b. Different sizes (for people’s any body shape/size)

c. Different sex

Alternative Strategy

1. Sustainability

a. Socially responsible brand (Labor, Employee, Customers)

b. Environmental: Materials used

2. CSR

Part F: JACKIE

Strengths

1. Make use of existing clothes

2. Strong brand with strong network/community

3. Mirror has pre-existing technology needed for the virtual try on the feature (IT)

4. Experienced stylists (for additional assistance in what products to choose)

Weaknesses

1. High price point

2. Cannibalization - customers no longer want to purchase in physical stores

3. No partnerships with other companies or people (vs. competitors like Nike doing collabs and partnerships via NBA)

4. Smaller customer base - mostly yoga and female?

Opportunities

1. Virtual try-is not popular yet - rather new area (less competition)

2. COVID-19 - people are more likely to use this service because they stay home - people may also continue to be more aware of safety precautions post-COVID

3. Being able to expand to further markets because the feature is virtual (tapping into another market)

4. Being more yoga based (marketplace not fully tapped into so lululemon is able to shape the market)

Threats

1. Competitors also entering the virtual try-on market

2. Discretionary spending declining due to COVID-19

3. Supply chain disruptions - chip shortage/products

4. COVID-19 increase people’s willingness to try-on at home and not sharing changing rooms and clothes with others

https://www.yieldify.com/blog/types-of-market-segmentation/

https://blog.hubspot.com/blog/tabid/6307/bid/31739/7-components-that-comprise-a-comprehensive-brand-strategy.aspx

The 4 basic types of market segmentation are:

1. Demographic Segmentation

2. Psychographic Segmentation

3. Geographic Segmentation

4. Behavioral Segmentation