The products of Oroton are based on its affiliates these include:
Oroton: accessories including wallets
Polo Ralph Lauren: clothing
Morrissey and MARCS: Clothing and accessories.
- The features of marketing include their intangible features, which are their image, quality and prestige. As a result of this strategy, consumers comprehend the superiority of Orotons products, as they are of high fashion.
- The brand oroton is perceived as prestigious as its affiliates Ralph Lauren is published renowned and prominent worldwide.
Comparing and Contrasting:
Both businesses have the same product strategies and both connect to their demographics. However, each business offers their products for two different reasons. That is B offers it products through a lifestyle, whereas, O offers products through prestige. But, they both use intangible features to do this.
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Price:
- Uses competitive pricing. Consequently the business has a similar price to its competitors such as roxy. This results in a competitive market share and customer loyalty.
- Billabong does not implement revenue raising strategies such as market skimming. Therefore, they can focus on one strategy.
Orton uses three pricing strategies:
Competition based pricing:
This is implemented, so Oroton can gain a competitive advantage within the marketplace.
Prestige Pricing: consumers pay a higher price as the product is regarded as prestigious
Price point: Oroton sells different goods at various price ranges.
- O is able to meet the different demands in the market place, as fashion is a broad marketplace.
Comparing and Contrasting:
Both businesses have implemented the competitive pricing. However, Orton has impended a prestigious pricing to covey to their older demographic, whereas, B has a younger demographic. Lifestyles of the businesses consumers have also taken place.
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Promotion:
- Billabong Advertises in lifestyle magazines such as Tracks as it connects to their TM.
- Also advertises through sponsoring surfing events. It raises customer awareness, as people who are affiliated in these activities such as surfing will recognise the quality of for example the wetsuit.
- Concisely markets their products. For example: Billabong do not extensively advertise their products on TV, as this does not match the customers lifestyle.
- Other promotional activities include publicity, as in 2004 the blue crush movie had various appearances of the brand Billabong.
Promotion:
- Oroton implements above the line promotion and below the line promotion to connect to their consumers. They both relate to the status of their products.
- Above the line include advertisements in magazines such as Marie Claire. This appeal to the older demographic. Oroton promotes to younger consumers through television advertisements of David Jones and Myers.
- Below the line promotion includes: fashion week. This connects to consumers, who live vicariously through fashion.
Comparing and Contrasting:
Both businesses have implemented promotional activities which suit the demographic. However, O uses above and below the line advertising whereas Billabong mostly uses above the line.
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Place:
- They chose to have a selective channel in which their products are distributed through stores and retailers. This allows customers to comprehend the importance of billabong.
- Billabong has also established their retail stores, this allows customer to increase the awareness of their products and buying more of Billabongs products.
Place:
The business uses a selective distribution strategy given the prestige and image of the products. This strategy allows consumers to realise the products quality. For example: Morrissey is only sold in Myer dep stores.
Comparing and Contrasting:
O and B both use the selective channel of distribution however, B distributes their products through their own stores, whereas O distributes their products through its affiliates such as RL.
