Addressability
Burberry employs customer relationship management, a model for managing a company’s interactions with customers, clients, and sales prospects. The brand follows a diverse multichannel approach to CRM, involving cross channel loyalty tools that track the customer experience and refine business actions. To complete CRM, Burberry initiates a targeted marketing campaign for building customer loyalty, analyzes target customer groups, runs campaign offers specifically to these groups, interacts with target groups with offer announcements and personalized messages, measures campaign effectiveness, and runs customer value analysis. A majority of this is achieved through the use of transaction/broadcast engines, content management, personalization, customer data storage, behavioral targeting, collaborative filtering, and market research (transaction logging, clickstream behavior, web bugs, mining.)This CRM program has served as a welcome extension of the brand without seeming overly invasive to the consumer.
Digitalization
Burberry is one of eight index brands to offer digital product customization with its microsite “Burberry Bespoke.” Customers are able to design their own trench coat, from selecting the fabric lining to designing the monogram, and then share their bespoke creations to friends on Twitter and Facebook.
Called Burberry Bespoke, the program is a full-scale attempt at "mass customization," a long-time goal of retailers and unusual for a designer fashion house. Customers select the cut of their trench coat, the fabric, the color, and then navigate through options such as bronze-studded sleeves, bridle leather cuff straps, mink linings and shearling collars.
Bit by bit, the screen assembles the virtual trench coat as specified. The real-life version arrives in four to eight weeks, in a box the size of a human torso, from Burberry's factory in Yorkshire, England (leather trenches are dispatched from Italy). The tag displays a special limited-edition number, plus a clear designation in block letters: "Bespoke."
Prices for the custom trenches start at about $1,800; luxe features such as leather sleeves and mink linings quickly run the price up as high as $8,800. Trench coats from Burberry's off-the-rack collections start at about $700.
Burberry leveraged digital technology to launch a multichannel campaign this year around weather. The effort launched in February when the brand orchestrated a fake thunderstorm during its FW12 show at London Fashion Week. The rain motif continued with a partnership with The Weather Channel during the Summer Olympics. The brand launched weather based ads on social media, out-of-home, and mobile on The Weather Channel’s iPhone and iPad apps. Depending on the weather in London, digital ads promoted different Burberry products to fit with the forecast.
Interactivity
Burberry has made its first
attempt at ‘mass customization’ by launching the Bespoke collection. Prices run
from $1,800 -$8,800, but those that can’t afford to buy can still create a
design and share it on Twitter and Facebook.
Service takes four to eight weeks to deliver. There are almost 12
million potential outcomes. At any point during Bespoke designing, you can
elect to speak to representative by phone or chat.
Accessories and shoes
feature links to the main stylized outfit.
Personal shopping
appointments can be requested online.
Memory
The brand now spends 60% of
its marketing budget on digital channels such as Facebook, which is more than
three times the average investment.
The firm now receives 30% of
its website traffic from social media like Twitter, according to web analytics
firm Experian Hitwise.
For the launch of Burberry
Body fragrance fans of the brand were offered a free sample of the scent, sent
to their home address, in return for allowing the brand’s application access to
their data on Facebook.
Burberry streamed live broadcasts of its runway shows, “providing consumers a first-row look into a world that used to be available just to magazine editors and elite celebrities.” Unlike other retailers, the brand ultimately provided viewers the opportunity to pre-order items at the end of the show.
Product is merchandised by
collection, style, and size and the customer can choose to shop
latest runway show.
Navigation bar features
detailed product breakdown by category.
Burberry makes its company history a focal point of the website.
SWOT ANALYSIS
