Advertising Strategy Assignment

ByShweta Bathija – Roll No 227

Neha Kejriwal – Roll No 66Advertising Batch 2010

SIMC

HushBags The Luxury Bag Rental Service

Emerging Fashion Markets

• South Africa, the UAE, and India are the top emerging fashion markets on the basis of the increase in the number of large fashion events between 2004–2008 (across 46 countries)

• The fashion industry in Singapore, Russia, and Brazil has displayed unique growth patterns in the last few years

Emerging Fashion Markets

The Indian Fashion Scene

The Indian fashion industry has experienced significant expansion in the last decade mainly driven by the

growth of domestic designers, some of whom have gained international recognition in recent years

• Between 2008 and 2012, the Indian fashion industry is expected to grow 178%, and reach USD 189 MM by 2012

• The growth of the Indian fashion industry is highlighted by the increase in the number of large fashion events.

• Growing exposure of domestic designers at international forums.

• Launch of focused business education courses for emerging designers and the establishment of an industry association.

Key Growth Drivers

•India is considered an attractive market for luxury brands; about 50 premium and luxury brands, including Jimmy Choo, Gucci, Christian Dior, andChanel, have opened stores in India in recent years.

• Consumer spending on fashion products has grown at 7.1% annually from 2002 through 2007

• Indian domestic designers, such as Rina Dhaka, Anamika Khanna, and Manish Arora are gaining international recognition.

Handbags Market Report: 2009

Decline in the US handbag market since 2008 owing to recession

Stable markets in Italy, Spain, Germany, UK, France and Netherlands

Growing demand in India and China with per capita income rise

Coach Inc Louis Vuitton Prada Fendi Tods

India China

Challenges Ahead?

Highly competitive markets Market Oversaturation

“ Being spotted with a fake LV is suicidal! I’d rather be seen carrying a genuine Hidesign.”

“It would be great if I could rent of those Prada bags! That way I wouldn’t have to burn a hole in my wallet but still get heads turning in a party!”

“ Rent a Louis Vuitton? Sounds Great! Am sure my husband is going to love this idea”

And They Say…

The Disruption!

HushBags

The Big Idea• A sort of a secret society where in our target

audience can rent a luxury bag to go with her outfit for the night.

• The bags range from Louis Vuittons to Pradas, from Tods to a Ralph Lauren!

• The idea is to equip the upcoming socialite and the style conscious working woman with arm candy for her red carpetted evenings.

How Does it Work?• Hushbags kicks off with a stock of 50 bags from

across 12 of the hottest brands on the runway.• HushBags operates through an exclusive website

that displays all the available bags, their rental charges on a weekly basis and an online payment system.

• The ladies can browse through the online store and book a preferable date slot.

• One of our services will include home delivery and pick up of these bags.

• The secret society has an annual membership fee of Rs 10,000 and charges an additional Rs 1,000 to Rs 2,000 to rent a bag for a week. This is rather reasonable, given that Tod's Burgundy Leather Fringe Bag would cost roughly Rs 70,000 !

• Members are friends or friends of friends, no one is let in without a reference.

• Each member has a user name and online password to maintain privacy and anonymity.

Our Market Segment

Mumbai being the city with the highest SEC A

and SEC B+ population, it will be relevant to

launch HushBags in Mumbai first since our

target audience belongs to this segment.

Target Audience Profile

Shilpa Modi, a 38 year old upcoming socialite residing in Colaba is a marketing manager at a popular TV channel. She is married to a Financial Analyst and has a son who goes to a prestigious school in Mumbai. Shilpa has an active social life and plays host many a time too! A complete movie buff, Shilpa spends her free time browsing through the Vogues and Cosmopolitans to keep herself updated with the latest fashion trends. She is highly brand-conscious and absolutely enjoys her weekend dinners with her husband at the most hip and happening joints in the city.

The Marketing Plan

Collecting an exclusive database from designers, boutique owners, exclusive footwear outlets and friends in the social circuit

Send out classy direct mailers inviting the ladies in our database to pay a visit to our website.

Introductory offers to the first 50 members of this society

Tie-Ups• Tie up with a popular fashion magazine like Vogue to send

out a small print teaser communication only to their subscribers in Mumbai.

• The teaser communication will have visuals of a Prada bag with a headline that says “Can’t resist temptation?” “Log on to www.hushbags.in”

• The same communication pattern will be followed for our other tie up plans too.

• Our partners will get a percentage commission of the revenue.

Other Proposed Tie-Ups• Popular Chains of Salons and Spas

• Wedding Planners

• Fashion Event Management Firms

• Social Event Planners

• Exclusive Women Socialite Groups like the Ladies Circle, The FLO and so on

Just Bag It!