MARKETING CASE STUDY

Marketing Study

Industry Analysis

The fashion industry is a thriving industry worldwide, including the Philippines.

According to a report by the Philippine Statistics Authority (PSA), total spending on

clothing and footwear alone amounted to P36.358 billion in year 2013. In 2014,

however, the industry experienced a decline and the total spending hit P32.985 billion.

However, in more recent years, spending for clothing and footwear posted a 10.2

percent growth rate in 2015. This trend is seen to increase over time, as long as the

population grows and spending continues. Apparel and footwear increased in current

value by 7% in 2016 as the country continues to experience favourable economic

conditions. With GDP growth of 6.22%, Filipino consumers are increasingly enthusiastic

to the benefit of sales on apparel and footwear. This has turned into a strong growth for

the fashion industry even in niche areas and certain categories of apparel and footwear.

The Philippine market is composed of several foreign and local apparel brands.

There are close to 200 mid-range and luxury foreign retail brands in the local market

over the last seven years. Many foreign brands are expanding to fast emerging Asia-

Pacfic regions such as the Philippines and are even starting their businesses here.

American businessmen and retailers continue to have healthy markets in the country

presumable because of the historical and cultural ties between the United States and

the Philippines.
 Since 2016, the fashion industry has grown at 5.5 percent annually, making it

worth around $2.4 trillion at present time. A rough estimate of how much a fashion

company spends on an initial capital ranges from P45,000 to as high as P2,000,000 and

above.

Market Analysis

Deep within the Guadalupe wet market are stalls that sell clothing products

and sewing services. The area is very busy for they stand alongside fish, meat and food

vendors. The store named Jewel's tailor shop and store is one of many in the area. It sells

costumes and clothing for special occasions, and they also offer sewing services. This stall

is located in Barangay Guadalupe which has a population of 18,271.

As the researchers went into the store, the abundance of Filipiniana and

Barong costumes were evident due to the celebration of the Linggo ng Wika this month of

August. The researchers inquired the sales lady about their sewing services, they said that

prices are dependent on the style and fabric. If the customer desired, they can acquire their

fabric elsewhere if their store does not provide something specific.

There were two sales lady available and calling onto you just as you passed

the store. The researchers asked if they have other branches available and they said that

they only had this branch at Guadalupe. There seemed to be a steady flow of customers

because their location is near the entrance.

They also seem to have good income for they are well stocked in terms of style

and sizes. The researchers asked for a size large of a specific dress, and it was readily
available. Since they are located at the wet market, people always come and go to their

store. Competition is very high for the stores besides them offer similar products and

services, but they seem to have a bigger slot than their competitors. They are near

Guadalupe home owners and Guadalupe mall, which is a well visited place. They also

have different grocery stores nearby. In front if the wet market are jeepneys readily

available for the public. Truly, it is a place well visited.

Target Market Profile

In the Philipppines, majority of income in the fashion industry come from female

customers. Ginhawa apparel is a women’s clothing brand that leans towards liberated

fashionistas that area often on the go and find relief from convenient fashion. Ginhawa

Apparel’s market composes of women or queer individuals ages 18-30; college

students, graduates or white collar workers. The business is also open to teenage

women who seek new and experimental fashion trends. These individuals may come

from classes B and C.

The primary market is considered to be the women aged 18-25 years old

because of the frequent urge of individuals in this age range to travel and seek new

experiences in style. The company’s secondary market consists of women aged 26-30.

Although not limited to this age span, it is only logical to think that most Filipinas ages

30 and above are less likely to wear experimental fashion trends. Both markets tend to

travel for work or leisure. These women are most likely working clerical/office jobs or

students/newly graduates that are dependent on their parents’ income and prefer

clothes that are stylish and convenient.

The world which we inhabit is an extremely competitive environment. The fashion

industry is considered to be one of the most dynamic and thriving industries in the

world. It is a combination of various activities, from the production of products, the

creation of articles of clothing, shoes, and accessories among others. The apparel

industry is the fast-paced business environment. With new and unique apparels

emerging, those who cannot cut it ends up closing their stores. However, we strive in

our economy for this competition. Competiton, albeit vicious sometimes, has numerous

beneficial effect on our economy. With a variety of competitors that Ginahawa apparel is

about to face, they strive to make a unique product that will surely lure potential

consumers.

There aren’t a lot of national competition available near Ginhawa apparel for it is

located in a wet marketplace. National competitors tend to have more recognition

nationwide. Their brand is also acclaimed by the people for they have multiple branches

around the country. However, there is numerous local competition available for

Ginhawa apparel. Their neighboring stores are their main competition. Their strength is

that they can achieve their own loyal customers and that locals have easier access to

them than national stores. Their products offered are also affordable. As a weakness,

local competitors have low brand recognition and they only have minimum access to

customers.

One of the examples for a national competitor is “Bench”. They are one of the

leading store outlets in the country and they are available to the people more because

they have multiple branches around the country. They offer all types of clothing from
shirts, pants, jackets, shorts, and even shoes. They also have other products such as

perfume, dry shampoo, and makeup. Their products are affordable ranging from 200-

1000 pesos. Another national competitor would be “Plains and Prints”. They offer

clothing mostly for women. Their style is usually work clothes with different feminine

designs. While Bench gives clothing and products for men and women, Plains and

Prints embraces the women’s body with its different designs and trends. Next is

“Kamiseta”, Kamiseta is considered as the leading specialty retailer of fashionable

casual apparel in our country. This brand is hip, youthful, and active which satisfies

what consumers look for in an apparel. Kamiseta has been rapidly increasing its

influence and popularity towards its customers. Their success was because of

continuous product development and affordable prices that lure the customer in. They

also have a website wherein they provide international shipping for their shoppers.

Lastly, “Unica Hija”, it is a Filipino retailer of stylish casual apparel for women. Unica

Hija’s style objective is to satisfy modern women in their preferred style of clothing and

make them feel confident throughout the day just with their outfit. Their store comprises

of women’s clothing that ranges from formal dresses, rompers, shirts, jackets, and a

variety of bottoms.

One of the examples for a local competitor is “Jewels Tailor Shop” They sew their

own products and will sell them to their customer at their very own store. Jewel’s tailor

shop also offers customized sewing/tailoring services to their customers. They are very

affordable ranging from 50 PHP to 1000 PHP depending on the design and product.

Another example of a local competitor is “Ilaw Family’s Clothing Store. They sell clothes

from different producers at their own store.They have a variety of styles from casual,
formal, and sleepwear. They have a similar price range with Jewel’s tailor shop from 50

PHP to 500 PHP depending on the design. Next is “Arthur’s Tailoring”, it focuses on

Arthur's offers tailoring services for pants, barongs, shirts, suits and other men's

clothing. Both shops has sold an average of 30 items in the beginning of their business

venture, but two years this sales increased by at least 3-5 items.has a wide variety of

fabrics to choose from. They have a “6-hours service" covers rush orders for pants,

shirts, and barongs which is very convenient for its customers. If the customer wants the

suit immediately, they can just rent suits from Arthur’s Tailoring. Lastly, is “Nikko’s

Tailoring”, wherein they make their own clothes and sell it in their stores as well. Their

clothes vary from Suits, Gowns, to Medical suits, medical blazers. Their prices range

from 500 PHP to 1000 PHP. It usually depends on the design and type of fabric used.

National Competitors

1. Bench – They are one of the leading store outlets in the country and they are

available to the people more because they have multiple branches around the

country. They also have other products such as perfume, dry shampoo and

make-up.

2. Plains and Prints – They offer clothing mostly for women. Their clothes are

mostly work clothes with different feminine designs.

3. Kamiseta – They offer all types of clothing from shirts, pants, jackets, shorts, and

even shoes.
 4. Bayo – They offer a variety of clothing that ranges from clothes, shoes and even

bags. They only offer women’s clothing such as t-shirts, skirts, dresses and

etcetera.

Local Competitors

1. Jewel’s Tailor Shop – They sew their own products and sell them to their

customer at their very own store. Jewel’s tailor shop also offers customized

sewing/tailoring services to their customers.

2. Ilaw Family’s Clothing Store – They sell clothes from different producers at their

own store. They have a lot of variety from casual, formal and sleepwear.

3. Grace’s Garments – They offer a variety of clothes for men and women such as

pants, shirts, skirts and even work clothes. Their clothes also came from different

producers.

4. Lani’s Tailor Shop – They offer customized sewing/ tailoring services just like

‘Jewel’s Tailor Shop’. Their prices are available to the customers. It ranges from

250 – 1000 pesos depending on the design of the clothing.

Marketing Mix

SAMPAGUITA REVERSIBLE TUBE & SKIRT

-It is made of breathable fabrics namely cotton and spandex

(65% cotton and 35% spandex). Clothing materials such as

buttons and zippers are also used. It is made available in black

maroon and indigo.

EVERLASTING REVERSIBLE TUBE & SKIRT

-It is made up of breathable fabrics namely cotton and

spandex (65% cotton and 35% spandex). It is made available in

different prints and designs such as floral and natural designs.

CARNATION REVERSIBLE TUBE & SKIRT)

-It is made up of breathable fabrics namely cotton and

spandex (65% cotton and 35% spandex). This product is made

available in two styles. The first one is the tube is plain while the

skirt is printed, the other one is the tube is printed while the skirt is

plain.