Topic: Distribution Strategy

Order Description Make a new distribution strategy for a brand(new idea for a brand) . This should involve a vision, a competitive threat, a market opportunities and risk (pros and cons) and brand implications. t Distribution Strategy Ray-Ban is an iconic sunglasses brand that was established in 1937 and has been loved by generations. Ray-Ban is renowned with its Aviator and Wayfarer sunglasses and is dedicated to tap into the younger people and fashionistas. Under the management of Italian company Luxottica, the largest eyewear company in the world, Ray-Ban sunglasses are available in three major distribution channels; optical specialists such as Sunglass Hut, department stores such as Bloomingdales, and ecommerce sites. With thousands of options and different price points of optical in a sunglass hut, Ray-Ban sunglasses blend in to the crowds. Also, The sunglasses buying experiences are usually impersonal and frustrating. Buying sunglasses should be a delightful experience instead of buying commodities. As a result, I think Ray-Ban should open its own retail stores and flagship stores in order to create a better overall buying experience, reinforce its brand message, and deliver brand image consistently. Vision: Our vision is to bring customer a great buying experience, which is customized and tailored. We also aim to engage our target audience, continue delivering our brand value to our audience, and transform them into Ray-Ban’s loyal customers. Competitive threat: I assume one of the major competitors as Warby Parker because it is also fashionforward. Warby Parker is an American eyewear brand founded in 2010. Warby Parker soon became famous because of its innovations and affordability. Although Warby Parker only has a few showrooms in the cities, each of the showrooms carries the latest styles of glasses for people to try on. They also provide both inperson and online “fit-in” services where the eye vision specialists help customers fit and adjust their glasses. Regarding the overall buying experience, Warby Parker has already made a good impression in customers’ mind so this might be a threat that Ray-Ban needs to pay attention to. Another threat for Ray-Ban is that Warby Parker not only provides stylish eyewear, but they also sell at low price by designing the glasses in-house and then selling to the end customers directly. Market opportunity Nowadays, customers place high value on buying experience. They also seek for personalization and uniqueness. This doesn’t mean how special the product is but means how special can the customers be treated. - Transparency and authenticity will be the most important factors for making purchasing decision. Consumers nowadays have more interests in a brand if they understand how the products are designed and produced. Risk: - Pros: One of the biggest benefits for Ray-Ban to open flagship stores is that they can reinforce the brand both internally and externally. Internally, Ray- Ban can make sure that their employees hold the same vision and strategy as the brand and can further serve as brand ambassadors to deliver brand image. Externally, Ray-Ban flagship stores can be a brand guideline for other local retail store. By doing so, Ray-Ban’s brand image can be delivered in a consistent way. - Cons: Opening new stores can be expensive, and the cost of rent and new employees training can be so high that profit made on selling only Ray-Ban glasses may not be sufficient to cover the cost. Also, as Ray-Ban is expanding their footage into our new retail stores and flagship stores while reducing the inventory at Sunglass hut or department stores, Ray-Ban might lose some sales to other brands that still place their sunglasses in a Sunglass Hut. Brand implications: By opening Ray-Ban’s own retail and flagship stores, we can have a clearer communication from inside out. Employees have clearer thoughts and believe on Ray-Ban brand so they can deliver the brand message to the customers accurately. The shift of distribution strategy will have the brand implications of increased brand awareness and delightful buying experiences.