Price is only one of the marketing-mix tools that a company uses to achieve its marketing objectives. Price decisions must be coordinated with product design, distribution and promotion decisions to form a consistent and effective marketing program. Decisions made for other marketing-mix variables may affect pricing decisions. For example, Dockers uses many resellers who are expected to support and promote their products resulting in having to build larger reseller margins into their prices. Distribution and promotion affects the overall price of the product where advertising expenses directly affects the price of the product. Therefore, the marketer must consider the total marketing-mix when setting prices. If the product is positioned on non-price factors, then decisions about quality, promotion and distribution will strongly affect price. If price is a crucial positioning factor, then price will strongly affect decisions made about the other marketing-mix elements (Ives, 2009). In most cases the company will consider all the marketing-mix decisions together when developing the marketing program.
Dockers have similar marketing strategies to Levi’s, partly because they are owned by Levi Strauss and Company. They too have specialized Dockers outlets in which people can buy any Dockers article they desire while getting the right kind of assistance. Although they are not as widely spread as in Levi’s, Dockers also encourages casual wear for their employees. A reason for Dockers being a little less excited about this approach is that the age group they aim at, is slightly older than the one for Levi’s and also because their image is rather classy. Modern marketing is not only about the product but also pricing it and making it available to target customers. Companies must also communicate with their customers, and understand them (Fassnacht, 2009).
Marketing Strategy
In general, a market strategy is a written plan which combines product development, promotion, distribution and pricing as well as identifies the organizations marketing goals and explains how they will be achieved within a stated time. To put it in a more simplistic format, a marketing strategy is a plan to match a product to a consumer. For Dockers, the marketing strategy focuses on a rather large demographic, particularly men and women between the ages of 35-49 with an average income of $60-100K a year. This accounts for approximately 36% of Dockers buyers (Quantcast, 2010). These buyers typically fall under the category of blue collar working class who are looking for nice work clothes at a relatively inexpensive cost. Marketing focused on them is somewhat redundant but still necessary; it is the other demographics where Dockers puts more focus in order to stay competitive with similar clothing companies (Business Wire, 2004). With its new advertising campaign and trendier clothes line, the ammunition to provide a solid marketing strategy is readily available for use towards new prospective of Dockers buyers. “There's a potentially huge untapped market in the Millennial generation” (Tschorn, 2010). Taking into account the economy’s volatility, Dockers new marketing strategy also has the potential to adjust to the fluctuating market and keep a consistent consumer base.
Future Marketing Strategy
The future of Dockers is far from certain. The lack of innovative advertising and new product designs has taken a tremendous toll on Dockers compared to similar brands targeting the same demographics. Dockers challenge is to create a marketing strategy which can keep sales of what is considered quality clothes at a reasonable price at a somewhat consistent level. Dockers must continue to target younger demographics to ensure they don’t lose their trendy appeal. They must continue to make improvements to their clothing line to keep a competitive edge with other popular brand names. Dockers should “focus their research on their products, brand, and markets that are key to their strategy” (Marsh, 2009). Additionally, Dockers should continue to market their clothes to the demographic which has given them great return in the past while also trying to establish potentially new buyers from the younger generation. Through reinventing themselves by creating an updated product line that appeals to a wider demographic, advertising and providing more outlet for consumers (retail and internet) Dockers will have a competitive edge to sustain their success as a popular clothing line.
Conclusion
The clothing industry is one of the most diverse in the global market. The number and variety of demographics and consumer bases is wide and varied; from school age children to blue collar workers. Each segment has its own strategy to try and generate clothing sales to its particular consumer base. For most consumers, the clothing they choose will primarily be based on quality at the cheapest price. Additionally, Dockers is commonly looked at as just a khaki company that is outdated. All these factors combine to create a challenge for Dockers to successfully market their brand. However, Dockers has accepted this challenge and are working to effectively market their clothes to their main audience as well as catering to new consumers of younger ages. Regardless of how the clothing industry or the consumer base is segmented, or how the economy fluctuates, Dockers will always have a place in the industry and be successful if they continue to reinvent themselves to appeal to a wider demographic by creating trendy wear for all ages.
References
Business Wire (March 22, 2004). Dockers Brand Launches “Innovations” Campaign to Tout New Pro Style Collection. Retrieved October 17, 2010 from: http://www.allbusiness.com/marketing-advertising/marketing-advertising/5638939-1.html
Dockers (2010). Retrieved October 16, 2010 from:
Fassnacht, Michael (April 13, 2009). : Rethinking a Traditional Marketing Tool. Advertising Age.
Ives, Nat (July 14, 2009). : Three Top Business-News Books Now Split a Much Smaller Pie. Advertising Age.
Marsh, Ann (2009). How to Market in a Downturn. Retrieved 16 October, 2010 from:
Quantcast (2010) Dockers.com. Retrieved October 17, 2010 from:
Tschorn, Adam (2010) Trends; Really? $200 Dockers. Retrieved 16 October, 2010 from:
