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Copy of Threadless MKT 301

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Ben Ross

on 24 June 2013

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Transcript of Copy of Threadless MKT 301

Marketing Mix
Situation Analysis
Jake Nickell & Jacob DeHart
Recommendations to Improve Marketing

- Locate top selling regions throughout the world and add a retail store in the area
-this will bring opinion leaders into store and help spread business to others

- More prevalent and easy to find advertising:
-currently they are marketing to their existing customers
-need to reach out to other customers
-tv, radio, magazine ads

Grewal, Dhruv, and Michael Levy. 3rd ed. New
York, New York: McGrawHill/Irwin, 2012. 8-10.

Nickell, Jake. "Why Does Threadless Exist? ."
Threadless Tees. SkinnyCorp LLC, 2012. Web.
Web. 27 Nov. 2012. <http://www.threadless.com/profile/1/skaw/blog/80
6919/Why_does_Threadless_exist/page,3> .

Threadless. 2012. SkinnyCorp LLC Company. Web.
26 Nov. 2012 <http://beta.threadless.com/>.

“Threadless.” Web. 26 Nov. 2012.
-Founded in 2000

-Started with Only

-By 2006 Threadless
had a Revenue of $6.5 Million

-Current Revenue is an Estimated
$30 Million
Unique Goals
History & Growth
Target Market
: Consumers around the age of 18-34

-Geographical Location: Global

-Consumers Tend to be Artistic and Interested
in Clothing Design

: Graphic Designers Who Look to be
Involved in Clothing Design but Lack the Means
Two Target Markets:
Mission of Threadless:

"To give the creative minds of the world more opportunities to make and sell great art"
-Jake Nickell Felt that Consumers Were Socially Forced to Buy Named Brand Clothing

-This Commercial Consumerism Limited Growth and Competition in the Clothing Industry
Goal !
-To Provide a Forum for Unknown Artists to
Showcase Their Creativity, and Serve as a
Platform for Innovation and Creation

-Place Value in Artists Rather than Profits or
Market Share
Physical Product:
- Selling the Art and Designs that
Customers Create
- Printed onto T-Shirts, Hoodies,
Tank Tops, Toddler Clothing,
Mugs, iPhone Cases, Bags, &
Other Home Accessories
Intangible Benefits:
- Create a Community for Their
Customers to Meet Other Designers
- Allows Them to be Apart of Producing
the Product they are Purchasing with
Other People
Idea of the Product:
- "Never Stop Making"
- Company is Built on the Idea of Giving
Customers the Opportunity to Make Art
-If No Art; No Company
Pricing Strategy
Most Popular:
- Tee Shirts: $10 - $20
- Hoodies: $30 - $40
Use a Customer-Oriented Price Strategy
- sell what the customer values
- Threadless is able to determine
what customers value through
online voting
- consumers determine what will
be produced
- Threadless has never produced a
flop product
- consumer is the company
Marketing Channel
Forward Vertical Integration
- Threadless is the manufacturer
- they ship directly to the customer
- they have one retail store in Chicago
Supply Chain:
-Consumer creates design
-Consumer votes &
chooses which design they want manufacturer to create
Manufacturer (Threadless) listens to consumer & creates consumers choice
-Manufacturer ships directly to consumer
-Consumer orders online from manufacturer the design that they told manufacturer to create
-One retail store in Chicago
-Consumer creates design
-Consumer votes &
chooses which design they want manufacturer to create
Manufacturer (Threadless) listens to consumer & creates consumers choice
-Manufacturer ships to retail store in Chicago
Customer goes to retail store in Chicago to purchase desired product
Supply Chain
Loyalty Programs
- Threadless does not offer a customer rewards program
-Threadless Ambassadors: employees that assist artists through the submission process of their art work
-Artists are rewarded $2,000 if their design is chosen, plus a $500 gift
card, & an additional $500
each time their design
is reprinted
Personal Selling
- Threadless does not use personal
- Products are are not of high cost
- Sales are made through the Internet
Website Design
- Focus on advertising final product to consumer through internet ads
- Use Seasonal images within advertisement (winter)
- Show they offer other products than just tee shirts
To Consumers:
To Artists:
- Chance to have art recognized
- Over 247,000 Designs have been submitted
- Over 2 Million global community members
- Awarded over $7 Million
Social Media
-Utilizes: Facebook, Twitter, YouTube,
Tumbler, & Flicker
- 1/2 Million fans on Facebook and
over 2 million followers on Twitter
-This allows Threadless to be able to
market to millions of people at once
- Visually appealing website
- Layout: Colorful, organized, user friendly
- Engages the user to enter multiple sections of the website
- Main focus of website is to attract consumer purchases
- Design of website reflects the corporate image of Threadless
-Recommended Improvements:
- additional filters to search
-by years, designer, color, etc.
- background music on homepage
MKT 301-Section 5K
Prof. Recarey
Alvaro Rauseo
Benjamin Ross
Daniel Mendelsohn
Ryan Carlin
Full transcript