Patagonia’s target market is also favorable in their success because they focus their products for a “core” user that includes the some of the most elite athletes on the …show more content…
Outsourcing will never be acceptable. All production will take place at the headquarters to avoid redundant industry manufacturing designs, manage costs, and discover new trade-offs for leveraging purposes. The western region of the United States occupies predominately all of the adventurous landscape; such as, mountains, cliffs, lakes, and forests. The environs of the adventurous landscape would attract visitors directly from your customer base, so you could easily connect and relate with your consumers needs, likes, dislikes, lifestyle, and step into the lives of the “serious outdoorsmen”. Primarily, the goal is to have at least twenty retail locations, mainly on the west coast of North America where the nature enthusiast resides, and open more than one new store every year. Conversely, BG Group will possess more force within the industry, as a result of a more liberal growth outlook, over primary rival Patagonia (growth expectations is approximately a new store per year), due to more store …show more content…
In comparison with Patagonia, BG Group’s primary customer will be lowly educated, low income consumers of average quality outdoor apparel and equipment, but with a focus on fashionable apparel and dependable equipment. Patagonia is not a low cost provider, develops products for the “core user”, charges higher than the industry average, ignores fads and the next generation customer, and views things in psychographics rather than demographics. Yet globally, the younger population tends to be the most adventurous, fashion focused, has the least amount of funds to disburse towards purchases, and remains as loyal as older individuals to their most liked brand names. By charging less, BG Group will plan to sell more in bulk and mass produce, which will dramatically lower costs of production. “Hard core” followers, those persons who are extremely environmental conscious, are few and far between in this generation. Hence, Patagonia’s median customer age is forty-four. However, the next generation is more aggregate based rather than detail based, enjoys the never-ending challenge of conquering nature over the weekly athletic adventure, does not focus on environmental friendly equipment, and the professional backgrounds of a company. The next generation wants to be fashionable, but still have dependable, long lasting material and equipment. The VP of