Ch. 7 Business Marketing

Michael Kors has worked it's tail off to become as successful as they are. There success didn't come easy or fast. MK took years become the global powerhouse it is. One of the main strategies that helped moved MK along was it's strategic alliance. MK built partnerships with big name stores like Macy's, Nordstrom and the like. These partnerships opened many doors for Michael Kors, because it allowed more consumers to see the available products without having to go to an actual MK store. There were many shoppers where Michael Kors was an unsought product. Michael Kors was definitely an unsought product to me. All of the moves they have made thus far has given great results. Hopefully, this trend will continue.

Ch. 11 Developing and Managing Products

A large part of Michael Kors' current success is due to innovation. By definition (in the marketing world), is a product perceived as new by a potential adopter. As I mentioned in prior posts Michael Kors originally had a target market consisting of the wealthy (social lites, actresses, singers etc). However, he eventually saw there was a need/want and/or demand for his product (handbags) in a different market. So he took his product, added a twist to the brand name, slightly altered some of the the stitching and released it to the new target market. It was a work in progress in regards to winning over the consumers who were loyal to the number one brand (at the time) Coach in that market.  Everyone knew he was a designer for the wealthy and now he designed for the working class-chic-sophisticated-everyday-modern fashionista. This line was called the "Lifestyle Brand". You could carry these handbags, clutches etc etc not just to exclusive parties but to work and school as well. Success for this line of handbags wasn't an instant hit but they kept at it and have surpassed the giant Coach in this market. Im not sure how long it will be before some other company enters the market but I'm going to continue to be a loyal MK customer.

Ch. 8 Segmenting and Targeting Markets

The market that Michael Kors operates in is a lucrative market. If you can build a likable and valuable brand, you can be very successful. I feel this to be true because in the fashion accessories industry there are millions of people who want and/or need handbags, purses, bookbags, clutches or wallets. Those who want these items are also willing to spend the necessary money on the things they deem are valuable and worthy of their hard earned money. Michael Kors identified his market and capitalized on the wants/needs of consumers and the demands they expressed for these products.

When you want to focus on a specific part of a market to pursue market segmentation comes not play. MK took the fashion market and broke it up so he could concentrate on a particular a field. He figured out that there was an opportunity to increase his market share by creating a more affordable line. he approached this opportunity with demographic segmentation.

His repositioning of the now "lifestyle" brand is what catapulted the MK brand into the dominate
position it currently holds. Innovation was also a part of the process as he took his line and changed some things (style, fabric, price, target market,marketing etc) and named it a "lifestyle" brand for the everyday working, chic sophisticated adult. This change worked well as we can see and the brand has been able to attract more shares of the market and shed light on their available other products.