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Cath Kidston - Principles of Marketing

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Nyamdulam Badam

on 10 May 2015

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Transcript of Cath Kidston - Principles of Marketing


About Cath Kidston
- Founded on 3 April 1993
Q1: Does Cath Kidston's pricing strategy truly differentiate it from the competition?
- Price premiums as compared to competitors such as John Lewis, Marks & Spencer etc...
Q2: Has Cath Kidston executed value-based pricing, cost-based pricing, or competition based pricing? Explain.
- Cath Kidston focus to lure customers with a value-added pricing strategy.

Nostalgis Fantacy that creates value for Consumers
- Selling tea-towel and furniture
- Today: everything from furniture, crockery, cutlery, cloths, toys, china, bed linen, bags and women's and children's wear and accessories
- 136 outlets in the world
Q4: Is Cath Kidston's pricing strategy sustainable? Explain.
- The product-centric concept of a brand is a business model that embodies perhaps the most essential brand ingredient for business success: simplicity.
Q3: Could Cath Kidston have been succesful as a design-focused product marketer had it employed a low-price strategy? Explain.
- In the product category of home accessories, Cath Kidston competes directly with UK retailers.
- Product offerings are still relatively limited and narrow.

- Product design offers its customers strong personal statement and identify that other competitors found hard to achieve.

The biggest challenge of Cath Kidston brand is to continue its success with the traditional English country style and fun brand characacter, while satusfying its loyal customers with innovative product design and product line extension.
Scarf: $76
Comparable products from apparel retailers such as Marks & Spencer or Monsoon range from roughly $20 to $55.
- Respond to with their hearts.
- Design style and fun character
- Its premium pricing strategy conincided with a trend of consumer preference toward nostalgia, which seemed to provide comfort in the time of recession.
- The products of Cath Kidston fulfill consumer needs for value and meaning, because they are inspired by a comforting and familiar 1950s aesthetic.
Also, as people stay at home more in recession time to reduce consumption, stylish home comforts become more important, which also helps explain why Cath Kidston has done well in hard times.
- The brand is pressing on with its nostalgic designs that create value for its customers, justifying the premium price of its products.
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