Analysis of Vancls marketing environment.docx

Analysis of Vancls marketing environment.docx

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AnalysisofVanclsmarketingenvironment

AnalysisofVancl’smarketingenvironment

　　Abstract：

Inthisreport，Vancl’smacroandmicroenvironmentanalysisarethemainobjectswestudyin.ThereportshowsVanclisinapoorcondition，andthemainreasonforthatisVancltriestoformafast-fashionbrandbutitfailstorunthebrand，whichtellspeoplenocompanycansucceedwithoutproducts.

　　Keywords：

Vancl；marketingenvironment；mission；recommendation

　　1.Introduction

　　Asweknow，VanclisnotonlyaclothingmarketingwebsitesinChina，butalsoownsitsclothingbrand.It’stheflagshipbrandofT-shirtandPoloshirts，casualclothing，withhighqualitydesignandafavorableprice.ThereportanalyzesmainmarketingenvironmentsofVancl，bothmacroenvironmentandmicroenvironmentrespectively.Becauseofitsbadcondition，wethinkVanclshouldcatchtheopportunityintheenvironmentandavoidriskstohaveabetterdevelopment.Apartfromthis，wesetnewobjectivesandgoalsforittoachieveandre-writeanewmissionstatementtocorrespondtothecurrentsituation.

　　2.Vancl’smarketingenvironmentanalysis

　　Totalkaboutacompany’ssuccess，it’suptotheeffectivenessofmarketing，whichmeansacompanywillsucceedeasilyifonlyitcreatesvalueforcustomersandhasastrongrelationshipwiththemtocapturevalueinreturn.Theformerismainlyaboutwhatsellercanbringintocustomers，whilethelatterisaboutbuildingrelationshipswithcustomers.Here，it’sthemarketingenvironmentthataffectscompany’sabilitytobuildrelationshipswithcustomers.

　　2.1Microenvironmentanalysis

　　Firstly，microenvironmentisreferredtoactorsinsideorclosetothecompanythataffecttheprocessofbuildingrelationshipswithcustomers，suchas，company，suppliers，marketingintermediaries，customermarkets，competitors，andpublic.

　　2.11company

　　Originally，VanclhasshownaformofMatrixstructurewhichisbuiltuponU-formorganizationalstructure，andaddsahorizontalleadershipsystemthatisalsocalledmiddle-termorshort-termregularorganization.Specifically，VanclisdirectlyleadbyChennian，theCEOandfounder，alsopresentchairman.Thereare5departmentsundermanagementhere，development，personneladministration，audit，quality，anditfundsothersmallonesunderthese5departmentswhichshowsaU-form.Inaddition，therealsohaveother6systemscontrolledbythepresidentialofVanclstraightforward，suchas，marketsystem，salessystem，researchanddevelopment（R&D）system，logisticssystem，mobilephoneSBUandothers.ThismixstructureenablesVancltohavequickandaccuratecommunicationsandrespondtobusinessenvironmentcorrectly.　　2.12suppliers

　　Foronething，asweknow，Vanclisacompanywithprivate-labelapparelbuiltupontheinternet.Itdoesnothaveamanufactureronproducts，sowecansaythatitssuccesscanbepartlyattributedtoitssuppliers.NingboShenZhouknittinggroupCo.ltd，knownasthebiggestknittingmanufacturerallovertheworld，startedtocooperatewithVanclsince2009，whohasbeenamajorsupplierforVancl.Also，ITOCHUCorporation，knownasthefamouscomprehensivetradecompanyintheworld，isanimportantsupplierforVanclindownjacket，jeansandmanyproducts.Theamountoforderswiththemincreaseddramaticallyyearly.Thesefamoussuppliersprovidenotonlygood-qualitygoods，butalsotheconfidenceofcustomersinVancl.However，sinceVanclhasshownatendencyofrecessionandclosingdown.Manysuppliersarehesitatingwhethertokeeponthecooperationrelationships.

　　2.13marketingintermediaries

　　ComparedtootherB2Ccompanies，accordingtoFeng（2012），Vanclhasitsuniquemarketingintermediarieswiththeconceptof‘CPS’thatmainlyhave3forms：

affiliatewebsites，commissionsalesonline，campusagent.Thefirstone，Affiliatewebsitereferstoattractcustomersbypublishingsomenewsandadvertisementsonwebsites.IfcustomersbuysomethingonVanclfromtheadvertisementofyourpages，youwillgetapaymentonaspecificpercentageofsales.ThesecondoneisthemodeofC2C.Itisstrictthatyoumusthaveanonlineshop，suchas，Taobao，Dangdang.PeoplecansellVancl’sproductsontheironlinestoresandgetacommission.Finally，studentsatschoolcanapplyforV+campusagent，onlyifyouadvertiseVanclinyourschool，suchas，Weibo，BBS，orstickposts.Then，youwillgetapaymentof10%salesfromVancl.

　　2.14customermarket

　　Nowadays，theinternetacceleratesthegrowthofChinesemiddleclass，becauseoftheformationofthismarket，theyneedsomebrandsthataresuitablewithmiddle-class’staste.Thus，Vanclcatchesthismarketandsetsthetargetmarketasyoungpeopleatthegenerationsafterthe1980s，1990swhichiskeenonshoppingonlineandhaveskillssurfingontheinternet.Additionally，Vanclpositionsitselfasfashion，happy，youngandleisure，andwantstoattracturbanwhitecollars，youngandsuccessfulpeople.

　　2.15competitor

　　Ononehand，weknowthatVanclisaB2Cwebsiteimitateandit’sstartedupbyimitationPPGwhichisalsoanonlineshoppingwebsiteconcentratingonMalesclothes.Withthedevelopmentoftheinternet，thecompetitionamongB2Cwebsitesisbecomingmoreandmorefiercely.Especially，Taobaoaccountsforalmost70%saleswhichisthebiggestcompetitor.Additionally，DangdangandMecoxLanearealsocompetitiveonlinestores.Ontheotherhand，Vanclstillneedstocompetewithstoresoffline，suchas，Sevenwolves，HailanHome.Theseretailersalsohavealargemarketshare.Thus，tokeepcompetitive，Vanclshouldstrengthenandcompleteitssystemtoservecustomersbetter.　　2.16publics

　　TotalkaboutVancl’spublics，weknowthatit’ssomegroupsthathaveimpactsontheabilityofVancltoachievegoals.Firstly，Vanclhasagoodrelationshipwithbanks.In2012，ChinaEverbrightBankandChinaMerchantsBankpublishedanewtypeofcreditcardthatcustomerswhohadthiscardcouldshoponValancewitha5%discount.ThisactionmadeValancemorepopularwiththepublicandalsomotivatedconsumption.Secondly，becauseofVancl’ssuccessfulmarketing，itspendsalotofmoneyandtimebuildingrelationshipswithmediaadvertisingandcontrollingbadreports，therefore，Vanclalwayshaveapositiveimageonthecustomers.Apartfromthese，thegovernmenthasalsoinfluencedbyVancl.AccordingtoXie（2010），‘thepolicegaveoutleafletsthatwerewritteninVanclstyletowarnthepublicnottobecheatedbytelecomfraud.’Thisactionissoimpressiveanditshortensthedistancebetweenthepublicandthepolice.Therefore，thegovernmentmakesafreeadvertisementforVancl.

　　2.2Macroenvironmentanalysis

　　2.21demography

　　AccordingtoPredictiontrendofagingpopulationChineseinhundredyears（Li，2006，p.27），‘thepopulationofpeoplethatareolderthan60years0ldisupto144million，withanaverageincreaseof2million.Theagingwillspeedupfrom2010.’weknowthattherewillbemoreandmoreelderlypeoplewhowillnotchooseshoppingonline.Therefore，theB2Cplatformwillnotsopopularinthefuture.Specifically，Vanclwillbeinabadsituationandthecompetitionine-commerceindustrywillbemoreandmorecompetitive.

　　2.22natural

　　AccordingtoTian（2012），recently，theenvironmentalhormonenonylphenolpolyoxyethyleneeithercontainingVanclclothingin（NPE）hasarousedwideconcern.DisplayintheinternationalenvironmentalorganizationGreenpeacereport，NPEiswidelyusedinprintinganddyeingandwashingprocessintheproductionoftextiles，whichwasdischargedintotheenvironmentwillberapidlydecomposedintomoretoxicenvironmentalhormonenonylphenol（NP）.Nonylphenolishighlytoxictoaquaticorganismsthatcaninterferewiththeendocrinesystemandreproductivesystem.

　　2.23economic

　　Withthedevelopmentofsociety，thepublichaveliveagoodlivingandenjoyhigherconsumptionlevels.BasedonthedatafromTaobaoandAiruiconsultancy，thetransactionintheSpringFestivalin2009hasincreasedby60%thanthesameperiodin2008，andthedailysalesreachedalmost300millionyuan.Also，thedailysalespeakedat460millionyuan.Here，onlineshoppinghelpseconomygetthroughthecrisis.　　2.24technology

　　Withthedevelopmentoftechnology，peoplearemoreoftentousetheinternettosearchinformationandgoshopping，therefore，itpromotestheusesofB2Ccompanies.Inanotherway，technologyalsoeffectslogisticsindustry，influencingsomee-commercecompanieslikeVancl，Taobaoandsoon.Specificfor，technologyraisestheefficiencyandeffectivenesssignificantly，thisreducescostsforsellersandalsobenefitscustomers.Forexample，accordingtothedata，theaverageoutputofphysicaldistributionwasincreasedby13.14%，andwhattechnologydidtobenefitthelogisticsindustrywas35.5%.

　　2.25cultural

　　Becauseoftheimprovementoftechnologyandincreaseofeconomy，thereisaphenomenonthatpeoplearegettingusedtodealingwithsomethingontheinternet，andthishasformedacultureintoday’slife.Specificfor，upto2011，theamountofpeoplesurfingontheinternetwas420millionyuan，andsomeprofessorsanalyzedthatthismightbeledbytheincreasingnetworkusageofmobilephone.Also，weknowthenumberofpeopleshoppingonlinehasrisento140million.Additionally，paymentonline，shoppingonlineandbankonlinehasallkeptarapidraisingspeedof30%onaverage.

　　3.MissionStatement

　　Apartfromenvironmentfactors，aclearmissionstatementalsohaslotsofmeaningtoacompany.Itdirectswhatacompanyshoulddoandwhotheyservefor.Firstly，Vanclhasitsmissiontobeagoodelectronicbusinessplatformandformacheap，fast-fashion