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BUSI 520 - MMIP Final
Project
International Business (Liberty
University)
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MMIP – L.L. Bean 1
Marketing Management Individual Project – L.L. Bean
John Harrington
School of Business, Liberty University
Author Note
John Harrington
I have no known conflict of interest to disclose.
Correspondence concerning this article should be addressed to
John Harrington
Email: [email protected]
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MMIP – L.L. Bean 2
Contents
Abstract............................................................................................................................................4
MMIP - Internal and External Marketing Variables........................................................................5
Description of Product/Service – History of L.L. Bean......................................................5
Mission Statement – L.L. Bean...........................................................................................6
SWOT Analysis – L.L. Bean...............................................................................................7
Effect on Sales – Demographic/Economic Trends – Technological/Consumer Taste
Changes........................................................................................................................................8
MMIP – Consumer Analysis, Market Segmentation, and Market Coverage................................11
Influences on Product/Service Purchase – Cultural/Social/Personal/Psychological Factors
...................................................................................................................................................11
Target Market Needs – L.L. Bean.....................................................................................12
Global Markets – Evaluation – Mode of Entry.................................................................13
Target Markets - Segments................................................................................................15
Single-Segment Concentration..........................................................................................16
MMIP-Positioning, Competition and Branding Strategy..............................................................20
Product/Service Positioning...............................................................................................20
Building Brand Equity – Brand Promise...........................................................................21
Market Classification - Leader..........................................................................................22
Product Life Cycle Stage - Growth...................................................................................23
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MMIP – L.L. Bean 3
Product Classification - Convenience................................................................................24
MMIP - Services, Pricing and Distribution...................................................................................26
Support Services................................................................................................................26
Post-Sale Service Arrangements........................................................................................29
Product Screening – Sources of New Product Ideas.........................................................30
Pricing Methods – Price Adaptations................................................................................32
Distribution Strategy – Distribution Channels..................................................................33
MMIP - Promotion and Social Responsibility...............................................................................36
Product Promotion.............................................................................................................36
Advertising Media Mix......................................................................................................38
Use of Social Media...........................................................................................................38
Personal Selling - Training................................................................................................40
Social Responsibility.........................................................................................................40
Conclusions....................................................................................................................................43
Recommendations..........................................................................................................................45
References......................................................................................................................................50
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MMIP – L.L. Bean 4
Abstract
Successful marketing includes an in-depth understanding and application of the principles
of managing a marketing strategy. The task of developing a strategic marketing plan requires
research, analysis and decision making. This paper applies the concepts of marketing as they
relate to strategic marketing management. These concepts were explored and researched as they
pertain to the organization L.L. Bean. The specifics of the research included a closer examination
of the following topics, consumer markets, competition, market segments, positioning, product
and branding, services, pricing, and promotion. and evaluation. The organization began in 1912
and produces high quality outdoor apparel and footwear. Their products and services promote an
outdoor, active lifestyle. Their products are sold through retail stores, catalogs and online. The
organization has a well-earned reputation of quality products and outstanding customer service
which is part due to its commitment to its core values and mission statement.
The research illustrates that while the organization is currently well branded and
positioned. Its focus and commitment to customer satisfaction provides competitive advantage
when compared to its competitors. However, there are advantages the organization can gain by
expanding their target market to a younger and more tech savvy audience. Technology and
product modernization and innovation are areas that the organization should focus their efforts
and strategies.
Keywords: Social Media, L.L. Bean, Marketing Analysis, Strategic Marketing Plan,
Competitive Advantage, Differentiator, Outdoor Apparel, Active Lifestyle, Customer
Satisfaction, Product Quality
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MMIP – L.L. Bean 5
Management Marketing Individual Project – L.L. Bean
Internal and External Marketing Variables
Description of Product/Service – History of L.L. Bean
L.L. Bean produces high quality outdoor apparel and footwear. The company began in
1912 with a single product, The Maine Hunting Shoe. This was a waterproof boot made by
the founder Leon Leonwood Bean. The boot consisted of a rubber sole which attached to a
leather ankle support. Leon made and sold 100 pairs of his Maine Hunting Shoe. He sold the
boot for
$3.50 and offered a money-back guarantee to attract hunters. Unfortunately, the product proved
to have many defects, leaving almost all of the 100 customers very dissatisfied and looking for
their money back. Leon improved the boot and sent the new and improved product to all the
dissatisfied customers free of charge. This led to what is referred to as LL’s golden rule, “sell
good merchandise at a reasonable profit, treat your customers like human beings, and they will
always come back for more” (L.L. Bean Our Story, n.d.).
This model of providing exceptional service in order to build customer loyalty is still
practiced today. Leon expanded the original product line into a growing roster of gear. Today
more than 16,000 products are offered which are sold through retail stores and catalogs. The
apparel items are tied primarily to an outdoor, active lifestyle. They offer a range of apparel for
activities such as hiking, camping, fishing, hunting, cycling, water sports, hiking as well as
leisure activities. They continue to offer some of their original products from the original roster,
like the Maine Hunting Shoe, which is now called the L.L. Bean Boot, in addition to other well-
known items and longtime favorites such as the Field Coat and Chamois shirt. L.L. Bean is a
leading US company which is due in part to the company’s commitment to maintain exceptional
customer service which is a fundamental part of its identity (L.L. Bean Our Story, n.d.).
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An example of this is based on the tradition of the operating hours of the company. In
1951 Leon himself opened the doors of his Freeport store to his customers 24 hours a day, 365
days a year. Today only the flagship store in Freeport practices these hours of operation this does.
This demonstrates that while the organization does recognize the need to modernize and change
given the time, it does remain committed to its identity and traditions that ultimately define the
brand. In addition to being a leading U.S. catalog company they also have a well-earned
impeccable reputation regarding product quality and outstanding customer service.
Mission Statement – L.L. Bean
An organizations mission statement provides a shared sense of direction and purpose.
The organization’s mission statement is to create a quality outdoor product and provide superior
customer service. These two elements have been the cornerstone of the organization since 1912.
Their core values of the organization drive the mission statement, and LL’s Golden Rule
continues to be one of the core values, “sell good merchandise at a reasonable profit, treat your
customers like human beings and they will always come back for more. “– Leon Leonwood Bean
(L.L. Bean Our Story, n.d.).
As a testament to the quality of their products and their commitment to their customers
all their products come with a 100% satisfaction. Regarding the exceptional customer service,
the organization considers it to be part of the day to day operations. They have imbedded within
their core values their own philosophy and definition of what a customer is. There are six
statements that L.L. Bean uses to define a customer and while there is a common theme among
them all this one for me illustrates the customer service component of the mission statement. “A
customer is the most important person ever in this company – in person or by mail” (L.L. Bean
Our Story, n.d.).
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MMIP – L.L. Bean 7
The L.L. Bean mission statement focuses on a limited number of goals, it stresses the
company’s policies and values, it provides a long-term view, defines the competitive markets in
which the company operates. Finally, it is short, memorable, and meaningful. These are the five
major characteristics necessary to be considered a good mission
While there are a number of internal and external marketing variables, consistency is a
valuable component in marketing and can be found in an organizations mission statement. The
term customer in the mission statement displays an element of inclusivity. In the case of L.L.
Bean, they treat all their customers the same, one is not more important than the other. One
important aspect of a marketer in today’s era is to be inclusive and avoid alienating other
markets and segments. There must be an element of agility and flexibility that allows the
organization to expand its reach and target audience to create opportunities for the organization.
The bible shares a story of bringing together all people in Revelations. “After this I looked, and
behold, a great multitude that no one could number, from every nation, from all tribes and
peoples and language, standing before the throne and the Lamb. They were wearing white robes
and were holding palm branches in their hands.” – Revelation 7:9(ESV) This verse is a reminder
that all people are precious to God, and this is an important value to remember in business as
well.
SWOT Analysis – L.L. Bean
LL Bean Strengths
It is a well-established brand, since 1912
It has a good product range
Exceptional customer service
The company is family owned
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The company has a global presence
It is a trusted brand well known for quality and durability
LL Bean Weaknesses
The outdoor brand could be difficult to expand into new
markets Strong brand existence could be difficult to maintain
LL Bean has a limited number of retail stores and do fall behind in their global expansion as
compared to their competitors
LL Bean Opportunities
Identify marketing strategies that cater to millennials
Expand its products into a combination of performance wear and casual wear
Expand its social media presence
LL Bean Threats
Many competitors in the industry
Market expansion to millennials is uncertain
Materials are easily accessed by competitors due to globalization
Effect on Sales – Demographic/Economic Trends – Technological/Consumer Taste Changes
LL Bean is famous for product quality and customer service. When you think of LL
Bean those are the first two characteristics that come to mind. However, it is also considered by
many millennials as the place where parents shop. While their concentration is on quality
outdoor products, they still find themselves faced with a limited target market. Their current
target is the outdoor enthusiast between the ages of 35-55 (L.L. Bean to Close Freeport Studio,
2001). While they do offer a children’s line; they are missing out on the young adult segment.
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Millennials are known for their buying power and could increase the customer base. In order to
reach the millennials a social media presence would have to be established, and by incorporating
newer technologies L.L. Bean could create a more updated image. L.L. Bean currently sells
products online and has extended its footprint into the global market. However, when compared
to their competitor they fall behind with about 40 retail stores in the north east region of the US
and 23 in Japan.
L.L. Bean when considering is customers and products is committed to quality products
and customer satisfaction. One important aspect of developing a marketing strategy is creating
long term loyalty relationships with customers. It is important to recognize that many of the
practices used in business are very similar to Christian principles. While there are numerous
examples today of corrupt and fraudulent practices that can be observed as Christian business
leaders we must endeavor to follow and share the good news. Personal and business relationships
are built on elements of respect, and trust. From a business and marketing perspective regarding
the consumer they can be further broken down in element of trust, credibility, quality,
transparency, and social responsibility. While all these elements are of equal importance, I am
reminded of a verse in Corinthians that illustrates the importance of transparency and
accountability. “But we have renounced disgraceful, underhanded ways. We refuse to practice
cunning or to tamper with God’s word, but by the open statement of truth we would commend
ourselves to everyone’s conscience in the sight of God.”-2 Corinthians 4:2(ESV) This verse
shows the importance of transparency and the fact that we have much more to lose than gain by
not practicing it. There is little to be gained and much to be lost in the way of reputation if an
organization portrays itself in a false light. An organization that practices a spirit of openness and
reliability will is much more likely to create long term loyal customers.
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MMIP – L.L. Bean 10
MMIP – Consumer Analysis, Market Segmentation, and Market Coverage
Influences on Product/Service Purchase – Cultural/Social/Personal/Psychological Factors
Consumer’s buying behavior is influenced by cultural, social, personal, and
psychological factors. It is important for the marketer to understand how people think and
behave before, during and after the buying process. Everyone has their own unique needs and
wants when considering purchases. The purchasing decision is affected by an individual’s habits
and choices, which are heavily influenced by psychological and social drivers. This information
type of information is vitally important. It can be used to identify, and predict change in
consumer trends, providing organizations with the opportunity to be ahead of them.
Cultural factors include the beliefs, values, traditions, and language of a community and
has the deepest influence on consumer behavior. Social factors are defined as the groups that
have an influence on buying decisions. The family constitutes the most influential group.
Personal factors are characterized by the following, age, lifestyle, occupation, and personality to
name a few. The psychological factors include motivation, perception, learning and motivation.
The concept for understanding consumer behavior is based on a stimulus response model. This
process seeks to understand what happens from the starting point of the stimulus and ending with
the purchase decision.
The Buying decision process can be broken down in to a five-stage model which begins
with problem recognition, information search, evaluation of alternatives, purchase decision,
and post purchase behavior.
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MMIP – L.L. Bean 11
The target population of L.L. Bean is college educated men and women between the ages of 35-
55 with an interest in an active and outdoor lifestyle (L.L. Bean to Close Freeport Studio, 2001).
However, change is inevitable, and this population has trended toward more sophisticated
products and services.
Many of the products are well known for their quality and design and have been in the
product line for several decades. A new apparel collection was launched in 2010 inspired by the
company’s heritage. The collection is modernized with updated styles while still including many
of the classic items L.L. Bean is known for.
The company spends a significant amount of time in the research, development and
testing of new and innovative products. The company uses extensive customer interviews in
order to ensure that the new and innovative products are designed to meet the specific customer
needs for outdoor clothing and gear.
This verse reminds me of the conflicts Christians face when we put our cultural values
above the teachings of Scripture. “All Scripture is God-breathed and is useful for teaching,
rebuking, correcting and training in righteousness.” – Timothy 3:16 (ESV) While the bible is
not anti-culture it does call each of us to a new way of thinking and living. The question then
becomes will we embrace God’s revealed values or our cultural values. God’s way of thinking
is different from ours and in order to follow Jesus we must change our way of thinking and
acting. Paul says, “For the foolishness of God is wiser than human wisdom, and the weakness of
God is stronger than men.” Corinthians 1:25(ESV)
Target Market Needs – L.L. Bean
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The target population of L.L. Bean is college educated men and women between the ages
of 35-55 with an interest in an active and outdoor lifestyle. However, change is inevitable, and
this population has trended toward more sophisticated products and services (L.L. Bean to Close
Freeport Studio, 2001). L.L. Bean responded to this change by transforming itself in order to
meet the new customer needs. The organization maintained their core values and principles
while identifying orderly changes in their strategy, processes, and technology. In order to build a
closer relationship with its customers, they increased their commitment to value by providing a
one stop shop for their customer’s outdoor and active lifestyles. L.L. Bean also relies on its
guarantee and customer service but found a breakdown in this process. While employees were
trained for delivering quality service, they did not have the power to execute it. As a result, they
began a quality initiative on employee development. The goal here was to maximize customer
satisfaction by improving the way the work was done. They chose to focus on employee
development rather than process improvement. This quality initiative also triggered changes on
employee roles and organizational structure. Lastly, new technology had to be used to provide
the customer with more and better information and services. An important point was the focus on
information offerings complementing Bean's products.
IT technology has also allowed L.L. Bean to enhance it position with its customers.
Their web page has been designed to attract customers and to provide a first-class customer
experience. In addition to that they have a strong presence on social media sites.
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Global Markets – Evaluation – Mode of Entry
While there are significant opportunities to compete in international markets, the risks
can be high. Once a company has decided to target a specific country it must then choose the
best method of entry with its brand. There are five modes of entry into a foreign market which
include, indirect exporting, direct exporting, licensing, joint ventures, and direct investment. The
indirect/direct method allows the organization to test the waters before committing to building a
plant and manufacturing overseas. Using the indirect method, the organization works with
intermediaries who sell the product abroad. The advantage here is that there is less risk and an
export department does not have to be developed. Once the company decides to take on their
own exports it becomes direct exporting. Licensing is a relatively simple method that provides
entry into a market. A license is issued to a foreign company to use a manufacturing process, or
other item of value for a fee. There is very little risk for the licensor and the licensee gains
product expertise or a well-known brand name. A joint venture is described two investors, one
local and one foreign who share ownership and control. Joint ventures are typically seen in
emerging markets. While it may provide benefits for economic and or political reasons, it is not
without its drawbacks. Direct investment is best described as direct ownership. The foreign
company can by full or part interest in a local company or choose to build its own manufacturing
or service facilities.
Before deciding whether to ab L.L. Bean opened its first retail store in Tokyo, Japan in
1992. There are currently over twenty retail stores operating in Japan. LL Bean opened its first
store in China in September 2008 and currently has 62 stores operating in China. The story
opened as part of the company’s China-based joint venture.
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“L.L. Bean is a trusted and authentic brand that inspires and enables individuals and families to
enjoy the outdoors,” said Chris McCormick, president, and CEO of LL Bean. “Throughout China
there is a growing interest in participating in outdoor and recreational activities. LL Bean is a
natural fit within this market. This is an area we have been studying for some time as we have
considered ways to expand our International presence and diversify our business. China provides
many opportunities with their growing marketplace” (First L.L. Bean Store to Open in China,
2008).
Target Markets - Segments
Market segmentation can build a strong brand that will grow and stand the test of time. It
includes a group of customers who share similar needs and wants (Kottler & Keller, 2016). The
challenge is to correctly identify the appropriate number of and nature of market segments and
then which one to target. The major variables include demographic, psychographic and
behavioral. Demographic variables are very often indicative of the needs and wants of a
consumer. They include specifics such as age, family size, gender, income, education, race, and
social class to list a few. This variable allows us to measure the specific characteristics and
trends. For example, in looking at gender it is safe to assume that men and women have
different attitudes base in part on their genetics and socialization. Traditionally women tend to
be more communal minded while men are more self-expressive and goal oriented.
Psychographics divides buyers into groups based on psychological/personality traits, lifestyle, or
values. This type of segmentation is used to determine what motivates a buyer. For example, a
consumer whose motivation is self-expression desire social or physical activity, variety, and
risk.
Behavioral segmentation divides the consumer into groups based on knowledge of, attitude
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toward, use of or response to a product. The needs and wants of a consumer can identify a
distinct market segment. Not all consumers have the same needs and wants so it is important to
understand the variables related to the usage of a product. Things like occasions, user status,
usage rate and loyalty status are good starts in identifying a market segment.
Effective marketing segmentation is based on five criteria, measurable, sustainable,
accessible, differentiable, and actionable. When a firm is evaluating a market segment it must
look at the overall attractiveness of the segment and the organization’s objectives and resources.
It is possible that an attractive market may not align with the organizations long term objectives
or maybe the company does not have the competencies needed to offer superior value.
L.L. Bean does an excellent job at segmenting its customers within its email sales
channel. They understand that a female buying boots in Vermont is looking for warm weather
clothes. As a result, they will not send that same warm weather clothing catalog to a man in
Florida whose primary purchases have been cargo shorts. This is an example of the catalog
targeting used by L.L. Bean in order to control the cost and expense associated with paper and
catalog mailing.
L.L. Bean has been using psychographics to attract consumers with a passion for
enjoying the outdoors. They have reassessed their target market based on an aging customer file.
Their findings were described by Kathryn Pratt, director/brand engagement, “And the findings
revealed that gender, age, location and household income were not a unifying factor. What
matters most is your connection to the outdoors, Pratt said. “That’s the link that connects all of
the people within this target audience (WARC, 2019).
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MMIP – L.L. Bean 16
Single-Segment Concentration
In my opinion the firm should pursue single-segment concentration. Using this method,
the firm markets to one segment. The benefits of using this method are the deep knowledge and
strong market presence that is gained through concentrated marketing. In addition to that the
firm has the opportunity to capture segment leadership and earn a high return on its investment.
L.L. Bean has launched its “Be an outsider campaign”. The campaign is targeting the
outdoor enthusiast. In regard to the consumer the messaging is that whether you are an extreme
skier or backyard camper, the outdoors and an outdoor lifestyle is accessible to anyone who is
interested.
“With a “sheer joy of the outdoors” brand positioning, the retailer started sending the message,
“Outside is Inside Everything We Make.” (WARC, 2019).
As we can see from the topics discussed above analysis is a critical aspect to a marketer.
There is much information that is useful regarding the consumer and what influences them. The
business is also explored in a similar manner, but the focus is more on the product or service and
the current processes. These include the purchasing process, developing the customer value
proposition, and customer reference programs. Then markets are analyzed to determine which
market to enter, what countries, if the decision to go abroad has been made. Finally, they analyze
the market segments and target to identify which one is the appropriate audience for their
product or service. This requires attention, and time on the part of the marketing team. However,
it is instrumental in developing a successful marketing strategy, so it makes sense to put the time
and effort in. In this marketing scenario the importance of hard work. However, while hard work
and
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dedication are the way to success the way is not always clear or easy. In these instances, it is
important to remember the tools and talent that God has provided us all with and that he wants us
to prosper in every facet of our lives. “I have fought the good fight, I have finished the race, I
have kept the faith.”-2 Timothy 4:7(ESV) This verse is a reminder that God is always by our side
which encourages us in both our personal and professional lives.
In any business situation problem recognition and problem solving are also important
tools. During the research and analysis stage it is not uncommon to encounter obstacles, but
what is more important is to resolve those problems quickly and efficiently. The obstacles can
surface in various ways, maybe with the actual methods that are being used or maybe there are
problems with the team working collaboratively. Regardless of what they are or how they
manifest themselves they are inevitable and provide an opportunity for growth. Problem
resolution is important for the team and the project to move forward. We can rely on our faith to
help us through these difficult situations. “Count it all joy, my brothers, when you meet trials of
various kinds, for you know that the testing of your faith produces steadfastness. And let
steadfastness have its full effect that you may be perfect and complete, lacking in nothing.
-James 1:2-4(ESV)
MMIP-Positioning, Competition and Branding Strategy
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Product/Service Positioning
No company can operate in a competitive market if its products and services are the same
as every other offering. It is imperative that the organization make an impression in a market, by
standing for something. A consistent brand will lead to recognition, credibility, and loyalty.
Brands that consistently communicate how and why they are different from competitors create
a competitive advantage by differentiating themselves and their product.
The goal of brand positioning is to explain what is different and better about that brand
for its target market, and why those differences are important. However, this information needs
to be delivered in a consistent manner regardless of whom you communicate with. As a result,
brand positioning starts with defining what the brand stands for. The brand platform clearly
identifies to the customer what the brand represents. The brand platform begins with an
organization’s mission statement. In addition to that it will include other elements such as the
core values, brand promise, personality, and brand-positioning statement.
L.L. Bean has positioned itself as an organization that sells quality outdoor clothing and
equipment while maintaining a commitment to superior customer service and satisfaction (L.L.
Bean, 2001). The company is not unique in its products, but it is unique in its commitment to
quality products and customer service. Those are the two primary components that differentiate
LL Bean from its competitors. This illustrates that unique and defendable point of difference that
is so important to brand positioning.
In regard to a positioning statement, L.L. Bean has recently begun a new campaign
identified by the tag line “Be an Outsider.” (WARC, 2019). Another important component of
brand positioning is identifying a niche for yourself. It is not realistic to think that a brand could
be everything to everyone.
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In creating this positioning statement, they have expanded their target market to include
the outdoor enthusiast which encompasses a wide array of people. In addition to that the
company has increased the value proposition of the product through this new strategy. The
consumer not only purchasing a product but the experiences these products facilitate.
Building Brand Equity – Brand Promise
Brand equity is the value the brand brings to an organization. It can be measured in a
number of ways including your long-term customer loyalty or the price premium an organization
is able to use as compared to its competitors. The customer-based brand equity focuses on the
customers perception of the brand as a differentiator. It is illustrated the Brand Resonance
Pyramid discussed in our text. The four primary steps are identity, meaning, response and
relationships. The first step in identity is creating brand awareness and ensuring that your
customers see the product or service in the way you intend it. The second step is meaning, which
is how well the product meets the needs of your customers. The social and psychological aspects
are important aspects of the imagery associated with this step. It is important that your brand not
only meets the needs of your customers, but also aligns with their identity and values. The third
is response. This focuses on how the customer thinks and feels about the brand. Responses relate
to the consumers perception of the quality and credibility of the products. The fourth step is
relationships. This is a description of the psychological bond between the brand and the
customer. Customers who have a deep psychological bond to the brand would be more likely to
make repeat purchases based on the attachment they feel to the brand.
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The brand promise is the experience the brand promises to provide to customers. It
conveys what you want them to feel when they interact with your products and services. In a
perfect world this is what brings customers back to a brand again and again. It is important to
remember that it should be simple, and easily understood. It should describe the most significant
benefits the brand provides, including benefits that create an emotional connection with
customers.
The L.L. Bean brand promise is imbedded in the core values of the organization which is
100% satisfaction guaranteed (L.L. Bean, 2001). The return policy supports this promise in that
you can return any item within a year for a full refund if not completely satisfied. In addition to
that after researching the organization and based on the text the promise in my mind extends
beyond the guarantee. This is illustrated in the new campaign, which promotes the outdoors.
The organization is not just committed to selling quality products but facilitating great outdoor
experiences for its customers as well.
Market Classification - Leader
L.L. Bean is a market leader as an outdoor retailer, and it continues to build on its
reputation as such. An important growth strategy as described in our text and practiced by L.L.
Bean is growing the core. As a century old organization, they have stayed true to their mission
and core values of the organization, while recognizing that growth is necessary to remain
relevant and competitive. As a result, they have begun to make the core of the brand as distinct
as possible by adding the value of outdoor experiences. It has begun to incorporate new ways to
use the brand thorough the use of outdoor discovery programs and adventure trips. Consumers
can
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MMIP – L.L. Bean 21
now purchase a lesson on fly fishing through L.L. Bean and also purchase the necessary gear and
apparel for the experience.
The strengths of the organization would include their well-known reputation, along with
their range of product offering. These two elements contribute to the ability of the organization
to continue to grow in the existing and expanding market. One of the primary weaknesses I see is
the competition.
Product Life Cycle Stage - Growth
The growth stage is the second stage in the product life cycle. There are various features
of the organization that can be observed during this stage. The sales are increasing with customer
awareness, which leads to an increase in profits. There is also an increase in competition during
this stage as new organizations are attracted by the opportunities. During this stage it is
important to establish the product’s position through marketing in order to continue to develop
the consumer demand. Many organizations achieve this through improvements to the product,
attracting new segments, or increasing distribution coverage. There are a number of competitors
in the market now including Eddie Bauer, Lands’ End, Dick’s Sporting Goods, and Cabela to
name a few. L.L. Bean has increased its distribution coverage and offers its products through
physical retail store locations, website and online purchases and catalog purchases. They have
also introduced a new more modern clothing apparel line designed to attract a younger market
segment. LL Bean tests all its products and incorporates customer feedback into its product
improvements. As mentioned in our text it important to balance the focus of competitor and
consumer marketing.
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Product Classification - Convenience
The product is specialty goods. The products and services of L.L. Bean are related to
outdoor gear and apparel. For example, if a consumer is going on a white-water rafting trip for
the weekend, they would look for outdoor apparel that is warm, and quick drying at the same
time. This type of product might be difficult to find at a Macys or TJ Maxx. It is important for
the product to be differentiated. L.L. Bean focuses on performance quality and to support that
they have a generous return policy that also sets them apart from their competitors. They also
focus on quality and customer service as ways to differentiate themselves from their
competition.
A company’s brand is a combination of many things. As Christian business professionals
it is important to position the brand in a way that reflects Christ. When we consider branding,
we think of building a good name. Why is it important to build a good name? In proverbs we
find the following verse, “A good name is more desirable than good riches. To be esteemed is
better than gold or silver.”- Proverbs 22:1 (ESV) This verse illustrates the point that a good
name provides a continuity that wealth does not. Reputations live on and very often precede
people as well as organizations. It also illustrates the point that through proper positioning a
good reputation will promote positive outcomes both professionally as well as personally.
As we explore the branding process, we observe a pattern of strategic thinking taking
place. The process begins with the organizations mission. From there it is important to address
who the customer is, what do they value and how can they be satisfied. Using this information,
the marketer can then develop a plan with long term goals and measurable objectives. We see
this process illustrated in the bible as God provides instruction to his disciples, so they are able
to achieve their goals. For example, God provided Joshua with precise direction on how to take
the
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city of Jericho. However, in business as well as in our personal lives we rely on our own ideas
and analysis. What is important to remember in this is that while we as individuals strategize and
prepare for the future, our plans must be committed to God. as Christians we must commit our
plans to God. “The plans of the heart belong to man, but the answer of the tongue is from the
Lord. All the ways of man are pure in his own eyes, but the Lord weighs the spirit. Commit your
work to the Lord, and your plans will be established.”-Proverbs 16:1-3(ESV)
MMIP - Services, Pricing and Distribution
Support Services
As discussed in our text when it becomes difficult for companies to differentiate their
products, they must look at other differentiators, one of which is service. I would consider their
products as tangible goods with accompanying services. This is seen in the new marketing effort
LL Bean is using to provide outdoor experiences for their consumers as well as products that will
support and enable them to pursue those experiences. The organization has a long-standing
commitment to 100% satisfaction and an easy exchange and return policy align nicely with this
service commitment. A consumer can purchase products either at a retail store location or on-
line. There is an opportunity for LL Bean to demonstrate their service quality at the retail store
locations. The staff at the retail stores are easily recognizable typically wearing LL Bean apparel.
In addition to that they are very knowledgeable on the products and if an item is not available in
the store, they will assist the consumer with purchasing and shipping options available online.
This type of strategy combines a high level of sales assistance by a dedicated and trained staff,
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specialized merchandise in this case with the LL Bean private label, and a shopping environment
that is viewed as exciting, entertaining and fun by the consumer (Competing in Tough Times,
2011). Many brick and mortar retailers also have websites and LL Bean is no exception. When
purchasing items online while there is not the availability of a retail associate the consumer is
able to find product descriptions, as well as reviews of the product both positive and negative.
There is a chat option available that does simulate a retail associate experience and assist the
consumer with purchases. Many customers are hesitant to complete a purchase if they have even
one unanswered question. Live support chat gives customers answers to their questions on the
spot which increases customer satisfaction level (“Applying the Technology Acceptance and
Service Quality Models to Live Customer Support Chat for E-Commerce Websites”, 2013).
In addition to these service aspects free shipping is offered for purchases made online or
over the phone for all customers. They also offer an exceptional return policy which allows for
the return or exchange of an item for any reason up to one year. They also offer the customer the
ability to earn bean bucks, using an LL Bean credit card. Using the card, one earns points that
translate into Bean Bucks You may use them at any time toward an LL Bean purchase. They do
not expire once earned.
Eddie Bauer is an example of a competitor. When looking at their support services there
are similarities as well as some notable differences. Their customer service is available by phone
but only Monday through Friday from 9-5. As I looked online their chat feature was unavailable
and the only other method available was email. They do not offer free shipping for their items,
but they do provide a prepaid label option that allows the customer to return items either directly
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at the store or through the mail. They also offer an Eddie Bauer credit card that allows the
holder free shipping on returns only made on the credit card. There are rewards that are earned
when the card is used in the form of early awareness of sales and new products. The rewards
program is set up in a tiered structure based on dollars spent so the more money you spend
annually the more rewards the user receives, in the form of free shipping or early awareness.
It is important to note that attracting and retaining customers through programs designed
to produce loyalty is a popular marketing trend of the last decade. However, the customer must
be satisfied with the product and service to remain loyal to a brand. Promotions and programs
alone are not enough to ensure return use. Retail trade stores have long tried to establish loyal
customers who would provide repeat business and encourage their friends and relatives to use
specific brands and services. LL Bean is one example of a company who for years has nurtured
loyalty among its customers by providing high quality service, satisfying customers, and
exceeding their expectations for excellent products and service treatment (Service Quality and
Customer Satisfaction: An Assessment and Future Directions, 1999).
It is important to incorporate the bible into our daily lives which includes work. It can
influence the way the way we view and interact with our customers daily. When discussing
support services in business I am reminded of the following scripture, “Whatever you do, work
heartily, as for the Lord and not for men, knowing that from the Lord you will receive the
inheritance that is your reward.”-Colossians 3:23(ESV) This verse applies to the manager, as
well as the employee and reminds us that we all have a role as a good steward. It is God who
should receive all glory and honor. If we think of this scripture in a practical manner, it
encourages us to work willingly and with all our heart. These types of attitudes and values will
impact the perceptions of our customers. In trying to establish a loyal customer we must also
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demonstrate actions that display our efforts in being loyal to our customers. This includes
treating customers equally and with an open heart. All customers should be treated with patience
and respect, even the unhappy and disgruntled ones. All organizations and individuals must be
able to accept criticism with humility. All customer interactions provide the opportunity not only
to interact but to also gain valuable feedback and insight into their feelings and behaviors. These
types of behaviors will reinforce with your customers your leadership and commitment to
customer service, which will allow you to continue to build and increase customer loyalty.
Post-Sale Service Arrangements
As discussed in our text this is an important component of service differentiators. It is
not only important to provide a quality product; it is as important to provide the appropriate
services to maintain those products. Consumers have specific concerns regarding product
service, failure frequency, downtime, and dependability and out of pocket costs. Service bundles
that address these specific issues display the brands commitment to the product and the
customer. In regard to failure frequency the consume is wonder how often the product will need
to be repaired. For example, a pair of skis may need to have binding adjusted at the beginning of
each season to ensure top performance as well as safety considerations. Down time and
dependability reflect on the amount of time the customer will be without the product and is there
an option for a temporary replacement. Finally, the out of pocket costs are a consideration, while
the consumer has already paid for the product they do realize that there are everyday use and
normal wear and tear will require an item to require repair and maintenance. How much those
additional maintenance items and how they are addressed by the brand are very important to the
customer.
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L.L. Bean has its well-known return policy that allows the customer to return any item
that they are not completely satisfied with within a year for a full refund or exchange. This is a
hassle-free return and while the customer may be asked the reason for the return the question is
designed to understand the customer dissatisfaction with the product. After one year they will
still accept returns of items that are deemed defective because of materials or craftsmanship.
Returns can be done by mail or at a store location. In addition to the return policy L.L. Bean
also offers service plans on select items and for situations that are not covered by the return
policy. These plans can be purchased for a set price and each plan has an upgrade option like
what you see with iPhones. You may purchase a standard service agreement or a standard
service agreement with upgrade. As noted in our text these types service agreements or extended
warranties provide maintenance and repair services. The fees associated with these additional
services can impact the organizations profits. In order to create competitive advantages, it is not
enough just to make a good product, service and support are as if not more important.
Product Screening – Sources of New Product Ideas
Improved or replacement products and services can shape the company’s future. L.L.
Bean as an organization devotes significant time and energy to product research, testing and
development. This process includes lab tests, field testers and employee and customer feedback.
L.L. Bean operates its own independent test lab for scientific analysis of materials, construction,
and design. Prototypes for new products are tested, revised, and retested in a continuous cycle
until they meet customer requirements and L.L. Bean quality standards. Established products
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continue to be tested to maintain their high level of performance and quality. The company also
brings new and innovative products into the marketplace through extensive interviews with
customers and subsequent concept development meetings that help ensure the products being
designed will meet specific customer requirements for outdoor clothing and gear. L.L. Bean
product expertise is also reinforced by a group of 1,300 independent field testers – adults and
kids – who help assure product quality and performance. The company uses a combination of
expertise and testing to enhance existing products even though many are already considered
"best in class" based on customer feedback and objective consumer ratings. "We get out into the
field as much as we can at L.L. Bean and do the same things that our customers are doing,"
explained company President Chris McCormick. "We use our own products so that we have a
better idea of how they're performing. This practice helps us identify better with our customers'
experiences and needs"(L.L. Bean; Our Story, n.d.).
The text identifies the eight stages in new product development as: idea generation,
screening, concept development and testing, marketing strategy development, business analysis,
product development, market testing, and commercialization. The L.L. Bean approach to new
product development as described above is a nice illustration of these stages. The consumer
adoption is also an important consideration and L.L. Bean involves the consumer in the testing
and development stages. However, it is important to note that there are risks associated with
consumer collaboration in product development. Some of the notable risks are the loss of know-
how, customer’s demands, and personality. Customer collaboration may focus on the specific
needs of the individuals rather than the overarching goal of an innovative product.
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An important aspect in all stages of marketing is feedback. This is especially critical
during the new development stage. Honest feedback is a valuable tool to develop products that
will meet the needs of your customers. Disappointed customers may not be quick to return in a
competitive market. It is important to adopt the philosophy of being a lifelong learner. This type
of attitude allows the business to focus on growth and opportunities. Even setbacks or obstacles
allow us to learn from our mistakes and open our heart and minds to new opportunities. This type
of attitude is another example from scripture that we can apply in a practical manner to
marketing. “Whoever loves discipline loves knowledge, but he who hates correction is stupid.”-
Proverbs 12:1(NIV)
Pricing Methods – Price Adaptations
As discussed in our text setting the pricing strategy is a six-step process. The first step
involves selecting the pricing objective and L.L. Bean in my mind is looking to be a product-
quality leader in the market. This is described as an affordable luxury or relates to products
characterized by perceptions of high quality and prices that are not out of reach for the
consumer. The second step is determining demand. The theory here is that higher prices will lead
to lower demand, unless you clearly understand what your customers are willing to pay for the
product or service. It that affordable luxury or quality item worth a higher price and are
customers willing to pay it. The third step involves determining the costs associated with the
product. This identifies a profit margin for the product, does what you’re selling it for cover your
cost to manufacture it. The fourth step takes into consideration your competitors. In this case
L.L. Bean would consider whether their competitors offer additional features or other added
value that
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would warrant a difference in price. In the case of LL Bean, they sell quality products at a
reasonable price. This then leads to step five which again I would see LL Bean in the category of
perceived value pricing. This includes the buyer’s image of the product, warranty quality,
customer support and additional attributes such as supplier’s reputation and trustworthiness
(Kotler & Keller, 2016). Step six appropriately identified as the final price. During this step, the
organization must consider the competition as it relates to the products quality and advertising.
The pricing should be consistent with company policies. They must also consider the risk
associated with the purchase, this is particularly important for products such as appliances or
computer hardware.
Regarding price adaptation, the company typically offers promotions during various
peak times of the year. This could be in the form of earning twenty-five dollars when your
purchase is over fifty dollars. They also have periodic sales and discounts for discontinued items
that will allow the customer to purchase at a discounted price. As discussed in our text
customers with higher product involvement are more willing to pay more for customer service,
quality, and convenience. As a result, it can be a mistake for a strong distinctive brand to plunge
into price discounting (Kotler & Keller, 2016).
Distribution Strategy – Distribution Channels
Companies must communicate with the current and potential consumers as well as the
public. This can take the form of advertising, public relations, and digital communication. These
marketing communications are designed to inform, persuade, and remind consumers about
products and brands. They establish a dialogue and can also work by showing the consumers
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how and why a product or service is used. L.L. Bean has adopted a marketing campaign that
links their brand to people and experiences. In addition to direct and database marketing which
promotes the use of mail, and internet to communicate directly with specific customers, L.L.
Bean also uses online and social media marketing. In reviewing the various communication
designs, I would place LL Bean in the Transformational Appeal category given their recent
marketing campaign targeting outdoor enthusiasts and its commitment to the outdoors (Keenan,
2019).
L.L. Bean has managed a deep organizational transformation to enhance their well-
known customer service capability because of evolving customer needs. Technology plays a key
role of their product offering and service delivery system aligning with their overall objectives
and goals. The retail industry and the channels of distribution have been impacted by the
internet. As a result, many retailers not just L.L. Bean have begun using multi-channel
marketing. This is the integration of the marketing activities in the retail stores with the catalogs
and online marketing. The online marketing is a critical component as it continues to evolve into
a powerful and measurable tool.
L.L. Bean directs their use of information technology toward enhancing the customer
interface and providing the customer with more related information and services. L.L. Bean has
partnered with IBM to offer an electronic catalog that will enable customers to select items and
place credit-card orders via the internet. L.L. Bean was the first company to sign on IBM's new
Net. Commerce software and use it to set up a "virtual storefront" on the internet. This service is
embedded in their expansive web page. They have transformed their web page to attract
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customer groups, providing them with information about their specific hobbies, informing them
about recent developments, helping them make the most out of their time outdoors, including a
special Park Search feature that can identify specific tailored destinations for a vacation or
weekend getaway. In addition to this information, customers can select clothing and gear for
their specific purpose, sign up for special training sessions with the Outdoor Discovery School,
or interact with sporting goods experts to help them choose the right equipment. These
initiatives will enhance their value proposition to customers by widening the product offering
and building a closer and lasting relationships.
MMIP - Promotion and Social Responsibility
Product Promotion
The integrated marketing mix is the concept of marketing communications planning that
recognizes the value of a comprehensive plan (Kotler & Keller, 2016). The goal of the strategy
is to create a consistent and cohesive brand experience for customers, by uniting different
marketing methods. There is research available that illustrates the role IMC has in maintaining
brand equity of products and services through synergy. L.L. Bean uses an integrated marketing
communication mix. They communicate with their customers using digital communications,
retail stores and catalogs. The theory of this type of communication is based on the realization
that there is a customer journey composed of various touch points. The primary goal is to create
a collaboration and integration of the various parts of the organization that impact the customer.
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This involves at a minimum management, marketing, sales, and public relation aspects of the
organization.
The marketing campaign of L.L. Bean while anchored by strong digital content and
storytelling includes both physical and digital elements. L.L. Bean communicates with the
consumer in a direct manner through brick and mortar retail locations. The retail stores provide
products along with a highly knowledgeable staff. The stores provide an element of fun and
excitement with many products displayed and set up in a manner in which they would be used.
The customers can see and touch the actual product as well as interact with it. L.L. Bean also
produces and sends product catalogs which are mailed directly to customers. They maintain a
website, as well as a call center in addition to the retail stores which allows customers the ability
to access their products and services. They also use television ads and spots to reach their
customers. They use this strategy throughout the year but increase their time during the holidays.
The organization also uses digital media in the form of Facebook, Twitter, and YouTube. In
effectively using this concept it is important to understand that the true benefit from this lies in
the combined efforts of all the communications. This synergy will allow the organization to be
more effective and efficient in communicating with their customers and help them to establish
desirable customer responses.
The term synergy simply put means we are stronger together. When practically applied
in this marketing topic it means that the teamwork will produce a better result than if everyone
was working independently toward the same goal. It illustrates the benefits of collaboration and
cooperation that are part of our daily lives. “Finally, brothers and sisters, rejoice! Strive for full
restoration, encourage one another, be of one mind, live in peace. And the God of Love and
peace will be with you. – 2 Corinthians 13:11 (NIV)
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Advertising Media Mix
The advertising objective is to communicate to a defined audience, information and a
frame of mind that stimulates action (Defining the Advertising Objectives, n.d.).
Direct marketing is the ability to reach customers without using middlemen. L.L. Bean uses
direct marketing along with communications and channels. They successfully built the brand
through mail order and phone order, and then opened retail stores. Through the integration of
other communications and channels, they can cross promote their products and services. Any
type of customer interaction presents an opportunity to cross-sell, up-sell or deepen the
relationship. It is interesting that there is research which shows that advertising can be enhanced
by a combination of products. For example, Travelocity, when booking airfare or a hotel, the site
presents offers of grouping the airfare with a hotel or car. This concept of joint consumption is
impacted more by advertising than individual consumption (Differentiated Effect of Advertising:
Joint vs. Separate Consumption, 2015). They are in a sense anticipating the need of the
customer. The recent marketing campaign targeting the outdoor enthusiasts has enabled the
organization to expand its target audience. In addition to that the brand has benefitted from its
highly regarded and well-known brand and they continue to consistently deliver messages to
consumers that reinforce their commitment to quality and customer satisfaction. The new
marketing campaign simply adds value proposition to the customer by incorporating a love of
the outdoors.
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Use of Social Media
The internet provides marketers with the unique ability for humanization of the brand and
interaction with customers. There are various types of digital communication including online
marketing, social media, and mobile marketing that present opportunities to create loyal
customers and build strong brands. This type of integrated approach expands the reach of
marketing into online communities.
Their social media presence is found on their website, Facebook, and Twitter. There new
marketing campaign has been designed around a new target market of outdoor enthusiasts,
operating with a tag line of “Be an Outsider”.
The goal of the campaign is to expand their target market as well as create an added
value proposition of the products and services that LL Bean offers its customers that enable them
to enjoy and participate in outdoor experiences. You can see this consistent messaging in all the
social media platforms used. For example, the Facebook page is organized with L.L. Bean posts,
and about information which provides the customer with clear and consistent messaging about
the brand. The company also has a category for Notes and Events where information is provided
to the customer about upcoming outdoor classes or adventures as well as product information.
The unique element with digital communication is the interactive element it provides the
customer. Using Facebook, the customer can post as well as view videos and a category labeled
community allows customers to post questions or read testimonials from others within the
community. The video component shows different outdoor experiences. This can be an effective
tool in connecting and building long term loyalty with your customers. One article I read
discussed whether successful social media marketing affects brand value. The research suggested
that one social media network has the ability to reach 3 billion.
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Personal Selling - Training
Personal selling is when a business uses people to sell a product. They can promote the
product through their attitude, appearance, and knowledge. The text discusses the six steps in an
effective sales process. When considering L.L. Bean there are several of these steps that are
based on observations of the staff. The staff is knowledgeable on the products and services of the
company. They are encouraged to communicate the information about the products and services.
They approach customers upon their arrival and offer assistance. They offer solutions if an item
is not available on site and expedite the delivery to the home of the customer at no charge. This
would in my mind be an example of a direct sales force. Customer’s today expect salespeople to
have product knowledge as well as be able to offer solutions or alternatives to problems. L.L.
Bean with quality and customer satisfaction recognizes the importance of investing in people and
training. The provide a paid, mandatory training class for all new and returning employees. The
customer service mission statement reads, “We make it easy to be an L.L. Bean customer by
providing superior personal service through friendly, expert advice on our products and services”
(Welcome to Customer Satisfaction, n.d.).
Social Responsibility
Today’s customers want information on about a company’s record on social and
environmental issues to help them make decisions on whom to buy from or work for. These
issues are an extension of many customers own values and identity. As a result, corporate social
responsibility and sustainability has become a priority for many companies.
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The marketing campaign of L.L. Bean demonstrates the company’s genuine dedication to
this get-outside philosophy along with its serious commitment to its core values. They have
committed to not only getting outside, but to being good stewards of the outdoors as well. They
promote their environmental stewardship on their website, using the tag line – “making great
products and making things right” (Corporate Responsibility, 2020).
The page focuses on their efforts of sustainability and quality in their products, with their
community and the environment. They also participate in a charitable corporate giving program.
While this is not necessarily a new strategy for L.L. Bean, they are incorporating it into their
marketing strategy to address customers concerns about corporate social responsibility. This is
discussed in our text as cause related marketing and involves the blending of corporate social
responsibility initiatives with marketing activities. “One study showed that ninety percent of U.S.
consumers have a more positive image of, are more loyal to, and trust more a company that
supports a cause, and fifty four percent have bought a product because it was associated with a
cause” (Kotler & Keller, 2016, p. 730). The benefits of this can be found in differentiated brand
positioning, stronger consumer bonds, and an enhanced company image. Experiments have
shown that ads with cause related marketing messages receive more favorable responses from
customers than those without regardless of the cause. However, it is important to note that when
looking at the brand-cause fit regarding cause related marketing, favorable responses were
received only from those consumers high in brand consciousness (Consumer responses to
corporate social responsibility (CSR) initiatives: examining the role of brand-cause fit in cause-
related marketing, 2007).
In discussing social responsibility, it is evident that corporations are more interested in
promoting these types of values and beliefs as they are important to their customers. As a
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Christian many of these values our part of our faith, to take care of those in need, to give
charitably and understand that we are responsible for our actions. Everyone is called to be
accountable in some way, it encourages us to work hard and persevere. Decisions of a personal
as well as a business nature matter to those around us and to God. They are a reflection of our
beliefs and attitudes. It is just as important that our actions demonstrate these values to others.
These types of values encourage ethical and responsible behaviors in the business environment
as well. “But I tell you that men will give an account on the day of judgment for every empty
word they have spoken.” – Matthew 12:36(NIV)
Conclusions
This paper analyzes the marketing management approach for the L.L. Bean organization.
Marketing plans build strong brands, a loyal customer base, and intangible assets all of which
contribute to the growth and value of an organization. It also has the potential to benefit society
through the introduction of products or services that impact people’s lives. This is an ongoing
process in an environment that is constantly changing and evolving. In analyzing the
organization, the paper focuses on key topics as they relate to the marketing goals, strategies,
implementation, and plan. In order to understand the marketing, approach it is important to
understand the history of L.L. Bean and its products and services. The organization began in
1912 and produces high quality outdoor apparel and footwear. Their products and services
promote an outdoor, active lifestyle. Their products are sold through retail stores, catalogs and
online. The organization has a well-earned reputation of quality products and outstanding
customer service which is part due to its commitment to its core values and mission statement.
The early stages of marketing management are the development of marketing strategies
and plans. In this stage we look at the mission statement of L.L. Bean, the organization, the
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organizational culture, and growth opportunities. A careful analysis of these topics will provide
valuable guidance toward identifying strategic planning initiatives for the organization. Further
analysis is provided on creating long term loyalty relationships through an understanding of
customer perceptions, customer satisfaction, which includes the ability to monitor these
behaviors and trends. The topics of product and service quality are also discussed as they have a
direct correlation on customer behavior and satisfaction.
Next, we move into connecting with customers which provides further analysis on
consumer markets. The paper explores the social, cultural, and personal factors that influence
consumer behavior. This also includes motivators and perceptions of L.L. Bean customers. This
stage also includes the concept of entering a Global Market. The L.L Bean analysis includes
what markets they operate in as well as the considerations necessary before entering a particular
market.
Building strong brands is an important component for marketing management. In this
analysis the variables used to segment L.L. Bean’s target market are discussed with a
concentration on single market segmentation. This discussion continues with information
including brand positioning, brand equity, competition, and growth. We explore how L.L. Bean
is positioned in the market, and discuss the techniques used in building brand equity. In addition
to that we discuss competitive differentiators, the brand promise, and the product’s current life
cycle stage.
The next topic discussed is how L.L. Bean creates value. In this topic we concentrate on
the support services needed by the customers of L.L. Bean and compare them to those of their
competitors. Post-Sale service arrangements and their impacts on customer satisfaction are also
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addressed in the main topic of creating value. It is also important to consider new product ideas,
the screening process of new products and the pricing methods utilized by L.L. Bean.
Finally, information has been provided on how L.L. Bean communicates value, delivers
value, and prepares responsibly for long term success. In this topic we discuss the integrated
marketing mix used by L.L. Bean to promote their products. The advertising objective and
Internet marketing used by L. L. Bean to market their products and services are also described.
The role of personal selling and training of employees are included as well as L.L. Bean’s efforts
at social responsibility.
Recommendations
The research illustrates that the organization is currently well branded and positioned.
This is in part due to its commitment to quality products and customer satisfaction. These core
values are imbedded in the mission statement and drive the marketing strategy. Its focus and
commitment to customer satisfaction creates a clear competitive advantage when compared to
its competitors. The return policy although modified remains unmatched by competitors.
However, there are advantages the organization can gain by expanding their target market to a
younger and more tech savvy audience. Technology, product modernization and innovation are
areas that the organization should focus their efforts and strategies.
The organization has recognized the need to become more current and has taken on a
more holistic marketing approach. As discussed in our text holistic marketing is a current trend
that can provide long term growth for an organization. This concept considers the organization as
a whole rather than the individual operations with the goal of creating a positive and united
image. There are a multitude of variables today that must be considered regarding a marketing
plan which include but are not limited to globalization, customer empowerment, environmental
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concerns, and technological developments (Kotler & Keller, 2016, p. 717). Marketing
management must consider the roles and functions within the organization as well as how their
actions impact and are perceived in the marketplace. A holistic approach uses public relations
marketing, integrated marketing communications, digital marketing and social media, data
mining, and customer relationship management.
The organization has recognized the need to rejuvenate their brand and product. L.L.
Bean has expanded their campaign to a larger target audience which is defined as the outdoor
enthusiast. They are successfully using psychographics to tap into a community of customers
who share or have a love for the outdoors. What is interesting and differentiating from their
competition is that they have expanded their market to include the enthusiast not just the extreme
adventurer that competitors such as REI or North Face may appeal to. However, I feel that while
they have expanded the market, they should also include the urban outdoors. This market
appears to be untapped by L.L. Bean and their associations with Land Trusts and National Parks.
There is green space on college campuses, and in urban environments. Customers can take
advantage of outdoor experiences anywhere. By incorporating this into the campaign I think they
would extend their reach to include a younger, more modern customer, without alienating their
existing target market. They should include more promotions and events that take place in urban
areas.
In researching L.L. Bean specifically, the data presented illustrates that they are very
focused on their customer as well as a holistic marketing approach. They operate in multi-
channels through retail stores, catalogs and online. They should continue to focus their efforts on
eCommerce sales and away from catalog sales.
L.L. Bean could benefit in their transition to an omnichannel retail experience. This type
of strategy follows a holistic approach at which the customer is the center of the focus. In
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MMIP – L.L. Bean 42
addition to that it mitigates the cannibalization that can occur as eCommerce sales compete with
the brick and mortar space. By incorporating the omnichannel they are creating more of a
partnership between the two. Customers will be able to engage with in store associates in a
variety of methods making the retails store a more engaging and interactive experience. In
addition to face to face contact, touch screens are used to inform and educate the consumer on
the products and services and pop up events. There is strong evidence to support that connecting
channels rather than supporting them is a goal for the future.
L.L. Bean should continue to take advantage of technology. They should continue
understand the digital-savvy customer. They currently take advantage of a mobile app for
convenience. In addition to that they have taken advantage of augmented-reality interactive
technology which provides the customer with insight into the usefulness of the product. There
are features embedded within the website that allow the customer to simulate the physical
process of trying on clothes to ensure an accurate fit. There is evidence to support the use of this
technology fosters sustainable customer relationships (A Model of Acceptance of Augmented-
Reality Interactive Technology: The Moderating Role of Cognitive Innovativeness, 2014).
In addition to that there is research that explores the use of blockchain to assist in the
quantifying customer feedback. The feedback would occur through technology built into the
product itself. Then the customer would download the app. This type of feedback would allow
L.L. Bean to understand how the customer is actually using the product and more importantly
are they using it as it was intended. The goal of the technology is that would allow the
organization to see if the product is being used as it was intended. This would be valuable
information when considering new product designs and enhancement (L.L. Bean Wants to Know
What you’re Doing in Your Duck Boots, 2018).
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MMIP – L.L. Bean 43
Successful marketing in the future must attain a wider influence in the organization,
generate new ideas and develop customer awareness through interactions that are new but still
considered appropriate. Regarding L.L. Bean, the primary competitive differentiators based on
the research in this paper for them are their strong brand, customer satisfaction and technology.
They should continue to focus their effort on what has made them such a strong brand while
incorporating technology where appropriate to continue to expand and engage their audience.
“However beautiful the strategy, you should occasionally look at the results.” – Winston
Churchill
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MMIP – L.L. Bean 44
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