3481365-10923500United Arab Emirates university
College of Business and Economic
Marketing Research Course
Instructor: Dr. Bronwyn Wood
Alia Alahbabi- 201601801
Fatima Alghfeli – 201603415
Alia Alkaabi – 201605159
Burberry is a global brand that everyone knows about, its a British luxury fashion specially in London, England. Established in 1856 by Thomas Burberry. The brand focuses on fashion in clothes, accessories, fragrances and cosmetics. Burberry company moved into the high fashion market. The first shop opened in the Haymarket in 1891.
Thomas Burberry, he was the founder of the international chain Burberry and he was known as the inventor of gabardine.
He was born in 1926, his occupation was an outfitter, inventor and entrepreneur. Also, he was involved in developing waterproof sportsman clothing and he is the one who created the old logo.
History of the Burberry company, in 1871 Burberry was employing over 70 people while in 1878 their employment increased to over 200 workers.
In 1879 Thomas created the gabardine which is the weatherproof and hand wearing fabric. In 1888, he introduced gabardine.
In 1897, they created the old logo which shows Explorer Major F.G Jackson that he was famed for mapping parts of the Arctic Circle. The Equestrian Knight logo shows for the first time accompanied by the Latin word ‘Prorsum’ meaning ‘forwards’.
4953095250 OLD Logo New Logo
0 OLD Logo New Logo
Problems that Burberry faced:
Burberry had situated itself into a lavish way of life brand that was moving, and inventive brand. Burberry had focused on its image to pull in more youthful client base alongside the customary stodgy looking, preservationist and a client based slanted towards the more established age. Along these lines, the market situating for Burberry can engage the hip 25-year-elderly person or the traditionalist multiyear elderly person. Burberry had turned into a brand symbolizing both extravagance and sturdiness.
Burberry had a particular price point and for a particular price segment. Burberry was never only a great brand or a brand continually having a forefront however had constantly kept up itself as an available extravagance brand.
Here we will show the differences between some alternatives between Burberry and other brands:
Burberry has the fourth largest market share at 5.2%. The relative performance of Burberry as compared to Polo, Armani and Gucci are as follows:
Polo Ralph Lauren 9.1%
Giorgio Armani 3.5%
The accessories of Burberry had a sale of 445 Euro(million). In comparison to the other brands the sales of 2001 were:
Polo Ralph Lauren 484
The apparel of Burberry had a sale of 988 Euro(million). In comparison to the other brands the sales of 2001 were:
Polo Ralph Lauren 3,621
Giorgio Armani 661
There are a lot of problems that faced Burberry in the right time for example:
Burberry used to produce the same print, design and logo from very far away time so the customers used with the products so there was no turnout into the brand so the revenues and the profits start to decrease which is very hard for a big brand like Burberry to falls apart.
A company like Burberry has a few channels that can produce the brand and the products so this was a very big problem for the company because the new generation does not know this antique brand because they are looking for modern and more fashionable brands.
The Type of Research we will use:
The main objective of this research is to find out the reasons behind the fall in profits of Burberry last year. That means choosing the causal research will be the best option where we will be working to find out the causes of this problem that led to the big loss that Burberry had to deal with.
Causal research is the type of research that works in finding the components that caused a specific problem which in our case will be looking for the causes of the fall in profits.
What is supposed to happen and What Did Happen?
After Burberry updates the management the thing that supposed to happen is to find a solution for the problems that Burberry is facing on that time. So, the new Management found a way to help the brand to grow up again and be successful more than before by changing the designers they have and add more than one or two designers to collect as much as they can of ideas and designs.
What Did Happen and What Could Happen?
What happened is that Burberry had to take a big risk with their company by having a lot of changes in their brand so they can increase their sales, keep going in their work and develop the brand. So, what could happen is that the brand could lose their old customers who were used to the same style and products, they could also lose the sales more than they had so this was a big risk for the company to go through.
Why Burberry failed in some period? this is our problem question that we chose. Our research will focus on what made Burberry fail and lose their market share. By knowing what customers need so this issue can be solved. We listed down some objectives that need more research on.
Why Burberry did not focus on marketing (advertising)?
What do Burberry customers think about this problem?
Did the old designer effect badly on the brand?
Why did Burberry change their administration?
We as a researchers did not have much data about this issue and we depended on exploratory research as a research configuration to pick up foundation data about the general idea of the examination issue. To accomplish the exploration goals, we should gather information. Hence, we accumulated both quantitative and qualitative information through interviews, focus group, surveys and experiment.
Our Sample Include
Age: 20+ because they are aware about the brand even if they are not that much interest in.
Gender: Both males & females have been chosen because we would like to know the opinions of all of them.
Habits: people who are interested or knows about the brand.
Nationality: many nationalities.
In the focus group and the interview, we used many types of questions for example: Multiple choice questions, and open-ended questions. On the other hand, In the survey we used all kinds of questions because we would like to know all point of views of the participants.
A lot of UAEU students and other participants did the survey so we can have different point of views and different ideas. The participants agreed to use an online survey.
We did one-on-one interview in UAEU in C1 building room 1053, where 2 students asked to participate in this interview. Each interview took 5-8 minutes. interviewer asked the two participants the same questions.
The table shows the interview answers:
Participant 1 Participant 2
Did you buy something from Burberry brand? Yes, Bags. Yes, shoes & babies cloths.
What do you think about the pricing of the brand? Good & average to me. Expensive, because I have a limited budget and most of their products are expensive.
Why did you buy from this brand? Good quality and more elegant than other brands. Their seasonally collections vary with different designs than their competitors.
Why do you think Burberry sales are falling? Long time ago they did not follow the trends and they kept their classic designs. I think the brand did not market themselves well so people would know them.
Participant 1 Participant 2
Which logo and print do you prefer the old or the new and why? I would say the old one because it has a story behind it and you can tell the age of the brand from the look of it.
I actually like the new one because I find it more simple but clear for anyone to notice comparing it with the old thin font in the past. For the print the new one looks more expensive and better in terms of the trend.
Do you think Burberry was successful with the new collection they released? Yes, they came up with new things that would suit everyones taste and character and I think its worth the money. Yes, they worked really hard on getting new designs that looks more trendy, modern and different. Where old items looked too much the same and way too classy for younger users and just the same design repeated over and over nothing so special about it.
We invited those who are willing to participate in the research to sit in a group and we had a group of 3 students volunteered to join the discussion.
We started asking questions about the trend these days in the fashion industry and what was the newest trend they came across these days, they talked about the different brands like Gucci and Louis Vuitton and then they talked about Burberry and how their bags now a day look so elegant and unique and they started comparing it with the previous collections where they had the same color, print and looks old that will suite mostly elderlies with old and classy taste.
The 3 students agreed that the brand really nailed it and it became more successful and more worth the money where we can see that its a really competitive brand.
They ended the discussion talking about the prices, that Burberry prices are more reasonable to the quality they provide for their customers.
We sent a survey to a group of people with multiple of questions to know more about their point of view of the problem. We had more than 50 responds but we will compare between two of the responds.
72% of the participants already know the brand and they were familiar with the name of it and the products they provide, where 28% either they dont know the brand or they dont like it. So, we tried to know if the new designs would work with the sample we chose for this research.
Second question we asked was if they can see any difference in the logo of the brand Burberry and we got 48% saying that it looks the same as the old one, 32% saying that it looks better and only 19% of the responds claiming that its not good as the old one, we can see that the logo actually made a difference in developing the brand at least by 20%.
The third question was if the new print is better or worse than the old one and the results were 51% of the responds didnt like the new print and they prefer the old print because they find it classier and elegant and only 28% of chose the new print as a better option.
The forth question, was what do you like the most from the brand, we had a verity of answers but the first choice was the cloths by 34% from the brand Burberry that they like the most, then bags by 30%, and the rest were between accessories and shoes.
The last question was an open ended question to get their suggestions to the brand if they want to increase the sales and the majority were saying to reduce the prices because they think its expensive or to corporate with other big companies to get more known.
Analysis of the data
After doing our research and based on it, we know what are the factors that made Burberry fail in period (they had the same design for a very long time, they did not have a lot of collections that can attract different ages and genders, the brand didnt give attention to the new generations because Burberry do not market their brand as it is doing now and Burberry did not change any of their prints or designs for a very long time and did not follow the trends in fashion.
We discovered some ways that would help the brand to have the same fame as before and to get more customers by:
Improve and diversify in their collections and products.
Ask the customer using (survey, interviews, emails, SMS or phone calls) about their needs and what they expect from the brand.
Introduce a lot of choices so the customers can find what he/she looks for.
Market their brand in a very good way and work mostly on marketing to attract most of the customers.