My Part For Report

A. Market Positioning PantSaloon will be established as a customized jeans maker For college students and the young adults, that offers flexible, unique and creative jeans with perfect fitting and comfort to the level of the customer's choice of fabric, cut and over-all design. It is PantSaloon’s advantage to become a specialized clothing servicing store that will emphasize wide-ranged creative designs, styles and fabrics along with the perfect fit and comfort to the customer. PantSaloon will be known for its uniqueness, flexibility, creativity, and innovativeness. These youthful characteristics will make the whole perception of the store away from the tailor shops that are usually associated with being stiff and traditional. PantSaloon is taking the Less for More strategy in defining its competency in pricing. Viktor Jeans has been making waves in the same market but what will make PantSaloon apart from Viktor is its competitive designs and quality at an affordable price. This will be highlighted because the target market, students and young adults, cannot afford prices such as Viktor’s. V. Marketing Mix A. Product As can be observed, majority of the brands in the market offer jeans that are ready-to wear which do not actually correspond to the actual fit of each and every consumer. This has become a pressing concern for most of the college students and young adults as they would always spend difficult times finding the jeans that would fit right. Although alterations could be done to repair the clothes’ dimensions, more often than not, the process can possibly ruin the style or design of the product. EALA Inc. was able to understand the problem that today's youth face hence the reason of coming up with the idea of PantSaloon, a brand that will provide jeans that would perfectly fit them at their own wanted cut and design. PantSaloon's service is geared towards addressing the usual problems that college students and young adults always come across with. Thus, the cuts, fabrics and dimensions that shall make up our jeans will be custom-made in order to give our target market the right fit and the right comfort match their body frames. Moreover, our house designers will create trendy collections and will also regularly update the design and style of our jeans thereby conceiving a uniquely stylish boutique that perfectly matches the today's youth. 1. Features Themes. The world of fashion moves in a relatively fast paced track that we need to continuously plan and innovate designs in order to keep up with the present and forthcoming trends. Consequently, PantSaloon fashion shall exert efforts in providing jeans and pants that are appropriate to the current fashion themes, but would still refer to the customer’s requests. In order to offer this, EALA, therefore has to constantly search for the latest trends on the web, magazines, and catalogues, and should also be keen in observing how prominent fashion figures project themselves through the clothes they wear. In addition, we will seek advices from fashion enthusiasts and hire in-house designers who will assist us in keeping up with the current fashion statements. For the introduction of the venture, EALA will issue the first collection of four designs showing off the brand’s capabilities of producing stylish pants. The designs are flexible enough to match any kind of cut that the customers are openly comfortable with. The designs will include the following: PS 1 – pant designed with detailed stitching PS 2 – jean designed thru deconstruction PS 3 – jean showcasing pocket embellishments and beadings PS 4 – jean showcasing pocket embroideries PantSaloon will introduce new designs and keep up with it by having quarterly themes, depending on the forecasted demand and clamor of fashion aficionados. Page 1 of 5

Colors and Fabrics. Since the business is basically selling on the over-all individuality of the customer, PantSaloon, will offer a wide array of colors of jeans and other types of fabrics used for pants like denim, corduroy, twill and canvas. Colors will be pre-approved by the house designers as they know which colors are matching the kind of fabric. For denim, we will have stretch and non-stretch. We will also soft and hard jeans. In addition to that, PantSaloon will also offer good kinds of bronzed/metallic jeans, dark-colored and the light colored ones. For twills, an array of such colors, from black to khaki to white, will be from offered. Same thing goes with corduroys and the canvases. Special fabrics like army cloth and checkered fabrics will also be provided for those who want an older look. Product Line. The initial product line will consists of all-jeans collections. PantSaloon will be focusing on the manufacturing of its core product and will make sure that expertise in such activity will be achieved in the first three years. Variations of pants like shorts and skirts will be offered as well on seasonal basis or if the customer requests for it. The entire jean collections shall revolve in a tagline that will promote personal adaptation of the jeans to the customer's fitting such as: Makers of the jeans specially-made for you. On its fourth year of operations, PantSaloon will open its array of t-shirts that is in line of the objectives and target market of PantSaloon. It will invest in opening statement-shirt venture where customers can have their personal statements printed on their shirts. Two years after that, PantSaloon will be opened for jacket-customization. Other merchandise and accessories, like bags, wallets belts and leather bracelets will be offered as well. Maintenance of the merchandise and service offerings will be observed and assured through the years. Designs will be improved and updated to make sure that the taste of the moving target market is kept captured. Augmented Products. Aside from the stylish jeans collections, PantSaloon will also hire friendly and accommodating trained personnel to make the customer’s experience within the store something to be remembered and repeated. They will be called Jeans Engineers. Such label will give an impression that the personnel are all technically trained to do create the perfect jeans for the customers. Today, people are much more concerned with the environment and PantSaloon understands that. Thus, our store will only utilize stylish reusable paper bags and not the plastic ones in order to contribute to this cause. Customers do patronize companies that operate with a heart. In recognizing our responsibility to society, this is not to be done for promotions alone but also for the greater good of the community. Also, PantSaloon will have spacious fitting rooms for comfort, which needed so customers can appreciate the beauty of the product that our store has to offer. Oftentimes, students and young adults do not come alone. They have companions like friends, barked and colleagues with them that's why PantSaloon is putting a waiting area composed of mini sofa and beanbags. Fashion Magazines like GQ and InStyle will be available as well for fashion references. Almost all major shops accept credit cards and this will be the same for our store. PantSaloon understands the hesitance of some shoppers in bringing a lot of money for shopping. Added to that, to make the experience very relaxing and worthwhile, we will also play feel good music. Surround mirrors will also be put up on the walls so potential customers can know right away if the product looks good on them without having to fit the clothes. Promo giveaways such as posters, pocket calendars and key chains will be given to buyers so they can remember our store all the time. An after-sale service, like alteration, will be offered for free to make sure that the jeans stay fit to the customer. B. Place Page 2 of 5

It is best to put up the clothing store in the area where the business can easily tap its target market. For this particular reason that is why PantSaloon will be initially put up in Katipunan. It will specifically be located in the second level of Drews Bldg, right behind Shakey’s. One apparent reason for putting up the store in the Katipunan area is that the place is relatively accessible to college students in the higher social strata. Just right outside the store is Ateneo, which happens to be the perfect representation of the target market. The location also has the ability to pre-determine the clients of the store. Katipunan, among any other areas in Quezon City, has high commercial and residential land value. The target market is centralized in the area, such as those who are residing in La Vista, Loyola Heights, and Xavierville Subdivision. As a new entrant in a relatively new market, jean-customization, PantSaloon needs to establish a very strong niche first before moving up or outside that niche. For PantSaloon, the locality is of Katipunan is the best place to put the business up as the target market is literally centralized in the area. EALA Inc. is looking also to the fact that the studentry market is forever active because of the annual entrance of freshmen to the academes. It only means that the market will never be saturated because every year, a group of new students will be replacing the touched market of the graduating students. PantSaloon will maximize all its effort is tapping the Katipunan market before it actually expands to other communities. EALA Inc. is looking for pursuing an extension in highly urban areas like malls, where the same profile of the current target market is located. Beyond the ten years of operations, the store will continue expanding to other relatively urbane malls such as Gateway and Glorietta. The group will also consider locating to other parts of the Metro such as Alabang Town Center in the South. C. Price Prices are set according to the positioning and image of the brand. Items at PantSaloon will cater to the needs and interests of college students and young adults in the Class A, B and C brackets of the Katipunan area. Survey results have shown that 43% of the total respondents are willing to pay 500 to 1,000 pesos for custom-made jeans. EALA Inc. decided to extend the prices of the more elaborate clothing design to a maximum of P2,500. These price ranges are strategically set to mean affordability against Viktor, while the appreciation of higher price against ordinary shops speaks of higher quality. Since PantSaloon is a specialty store, we can set a medium-ranged premium in all prices. Mark-up percentages will start at 150% to 300% of the variable costs that will include direct fabric materials and manufacturing labor. The assumed costs are at minimum orders of 30 jeans order in different sizes already. Appliqués and other design materials for the clothes are excluded from the basic manufacturing cost. D. Promotions 1. Short-Term Promotional Activities and Goals For the first three years of the business operation, the company will aggressively advertise the brand and products among students and young adults residing within Katipunan area. As much as possible, EALA Inc. chooses to find ways of doing the necessary promotions without having to pay much. The company cannot afford to engage in costly advertising efforts in our first years hence, product offers and gift certificates shall be done to promote the business instead. Goals for the three months: • Establish awareness of the stores existence among residents and students within Katipunan area • Attract initial customers to enter the store, window-shop, and render the PantSaloon service • Have the “first buyers” spread the good news (word-of-mouth advertisement)

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The store will be opening on January 1, 2007. The first three months will actually be the trial period and all activities will be noted for future assessment. For this period, operations should be personally handled by the owners. It is EALA Inc.'s concern to make sure that the shoppers will immediately notice the store. The interior design of the store itself will serve as an initial “come in” advertisement. Industrial and post-modern look will also be the theme of the store to highlight the 'engineering' of jeans. White and bright, warm lighting shall be used in place to enhance the color of the jeans and project a classy ambience. Experts also said that this kind of lighting makes one more stunning because the natural color of the skin is yellowish. Displays include the prototype designs of the collections and the sample fabric that they may choose from. Framed posters showing patterns as to how jeans are made will be placed around the store. Staff and personnel will also wear shirts that have "Pants Engineer" print to emphasize that jeans that PantSaloon makes are all made especially for the customer. The objective is for the customers to get an idea of the nature of PantSaloon service. What a better way to win over window shoppers and actually convert them to actual buyers! Goals for the second quarter of year 1: • Make noise, have the media press notice the PantSaloon brand • Encourage repeat buying by giving special services • Begin to establish brand equity • Attract prospective loyal customers After the assessment of market response during the first three months of operations, EALA Inc. will launch PantSaloon in a fashion show and concert party. A ribbon cutting to be led by the owners and top fashion celebrities will kick-off the party. Fashion show will showcase three sets of collections from the in-house designers of the store. For this fashion show, PantSaloon will not only use the skinny-type girls and boys as models. EALA Inc. will incorporate diversity in the 'reality' of the actual users of the jeans. This will include the petite type and the chubby types among others. The concert on the other hand will showcase hit bands. The bands' vocalists will wear a pair PantSaloon jeans during their performance. Press and media people from fashion magazine publications and lifestyle TV shows will be invited. MTV or MYX will also be invited to cover the program for a wider media mileage. Goals for the second half of year 1: • Start establishing relationships with the print ad media • Develop further the equity and image of the PantSaloon brand At this stage, PantSaloon will begin to implement aggressive marketing efforts by sponsoring photo shoots of leading magazines for college students and young professionals. The initial product line will be seen in the glossy pages of Summit media publications, which include Seventeen and Cosmopolitan magazines and Metro’s Chalk magazine. According to the Marketing Manager of a leading clothing brand, PantSaloon can have the products advertised in this way for free! All we have to do is have the fashion editors notice the PantSaloon brand and promote its products. In addition, the store will begin to offer limited editions of about 10 to 15 pieces of certain items, part of which will be given to famous celebrities and other personalities who are regularly doing modeling stints in the magazines stated. They will eventually serve as the shop’s sort of “free” endorsers. Hopefully by this time, PantSaloon will be seen regularly in the monthly issue of the said magazines. Many are already doing this. It was observed that exclusivity and scarcity of a fashion item particularly when seen on models, increases its desirability especially to the fashionistas among others. Goals for the second and third year of the operations: • Participate in the online and TV advertising campaign • Update the customers and non-customers alike about what’s happening in the PantSaloon boutique • Establish personal relationships with the customers Page 4 of 5

The PantSaloon website will be developed to further inform the consumers about updates on the latest fashion tips and ways of taking good care of jeans aside from the items and promos the store will be offering. The website will also feature a web page for customer feedbacks, suggestions, and requests. Store profile, brand advertising, and pictures and prices of the latest items will be featured as well. There are TV shows that offer free guest appearances of promising entrepreneurs or exposure of newly established stores. Examples are Breakfast Supersize, Wazzup Wazzup and Us Girls of Studio 23. PantSaloon will grab the following opportunities in exchange for free jeans service. 2. Long-term Promotional Activities and Goals Goals for the third year of operations onwards: • Induce repeat buying behavior among customers • Shift from taking on sponsorship deals to being regular advertiser in premier magazines • Gain stronger customer loyalty • Have regular customers anticipate for the store’s latest offers • To continuously capture a larger share of the market • Choose a famous personality model that will best represent the brand image • Have the customers’ trust, appreciation and have them look up to the PantSaloon brand • Achieve a total awareness of the brand among the upper class societies By this time, the group will now have the ability to pay for an entire advertising page on glossy magazines. PantSaloon will continuously conduct fashion shows showcasing the new styles available. Re-launching will be done in the PantSaloon's 4th and 6th year of operation as it widens its product line by offering customized statement shirts and jackets on the said years. PantSaloon will also continue to give commemorative items like notepads and calendars on special occasions. Market positioning customized jeans maker for college students and the young adults offering flexible, unique and creative jeans, and perfect fitting and comfort of the client's choice of cut and fabric product Symbol of creativity, uniqueness and expression of individuality Place 2/F Drews Bldg. Katipunan, QC near to target market perpetual growth of the student market price Php 800-1000 per pair middle-ranged premium on prices promotions - launching cum fashion show - marketing efforts for brand awareness - tie ups with fashion and urban magazines and lifestyle TV shows

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