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LECTURE
INTRODUCTIONOF COMPANY :

PADINI

PADINI Holdings Berhad is a Malaysia-based investment holding company.

PADINI started from humble beginnings in the apparel industry; their roots are in the

manufacturing, trading and supplying of garments to retailers and distributors.

However, driven by a vision, they ventured into distribution and retail by creating

their own brands catering to specific consumer niches.

According to the company’s website, PADINI Holdings is currently the

market leader in the multibillion textile and garment industry in Malaysia. PADINI

Holdings have ten labels in their family of brands and retail in 330 freestanding

stores, franchised outlets and consignment counters in Malaysia and around the world.

Their labels proudly carry the Made in Malaysia stamp abroad in Bahrain, Brunei,

Cambodia, Egypt, Indonesia, Kuwait, Morocco, Myanmar, Oman, Pakistan,

Philippines, Qatar, Saudi Arabia, Syria, Thailand and United Arab Emirates.

PADINI Holdings Berhad is principally engaged in the sale of both men’s and

ladies’ shoes and accessories, garments, ancillary products, children’s garments,

maternity wear and accessories through various subsidiaries. It has presence in many

shopping malls in Malaysia and PADINI operates its business predominantly in

Malaysia. They address fashion conscious consumers of both genders and all ages

through their distinct brands: PADINI, Seed, PADINI Authentics, PDI, P & Co,

Vincci, Vincci Accessories, Tizio, Miki Kids and Brands Outlet. Each of these labels

represents a particular fashion philosophy and encompasses a comprehensive range of

products that fit into their targeted consumer’s universe

Park, Shah Alam. Incorporated in 1971 as proprietorship under the trade name Hwayo

Garments Manufacturers Company, PADINI was initially engaged in the manufacture

and wholesale of ladies wear. The company subsequently added men’s and children’s

lines to its offerings when it established its first three brands from 1975 – 1987. In

1988, PADINI discarded its role as wholesaler to take up the role of consignor.

Thereafter, the first single-brand store distributing Seed was opened in 1992 in Sungai

Wang Plaza, Kuala Lumpur.

The company has ten labels in its family of brands and retail in 330

freestanding stores, franchised outlets and consignment counters in Malaysia and

around the world. The company’s subsidiaries include Vincci Ladies’ Specialties

Centre Sdn Bhd, which is engaged in dealing of ladies’ shoes and accessories; Padini

Corporation Sdn Bhd, Seed Corporation Sdn Bhd, Yee Fong Hung (Malaysia)

Sendirian Berhad (Yee Fong Hung) and Padini International Limited, which is

engaged in dealing of garments and ancillary products; Padini Dot Com Sdn. Bhd.
(Padini Dot Com), which is engaged in provision of management services, and

Mikihouse Children’s Wear Sdn Bhd (Mikihouse), which is engaged in dealing

of children’s garments, maternity wear and accessories.

PRODUCTS

PADINI is mainly an integrated operation that controls its products – fashion

wear and accessories – from concept stage to manufacturing, merchandising and

image marketing. Products of PADINI falls under consumer products which

categorized as shopping products. PADINI itself has other alternatives brands under

it. PADINI address fashion-conscious consumers of both sexes and all ages through

ten distinct brands: PADINI, Seed, PDI, PADINI Authentic, P & Co, Vincci, Vincci

accessories, Miki kids, Tizio and Brands Outlet. Each brand represents a fashion

philosophy; each philosophy covers a comprehensive range of products aimed at a

targeted consumer. Brand image is strongly backed up by real value of quality,

functionality and price. PADINI is focus more on basic and family lifestyle and aim

for anyone who likes and extols casual style.

and women. The PADINI collection carries a clean, timeless and modern to the

working lifestyle. This brand is focuses on the formal wear and centralize customers

base for workers. The essential of PDI is to emphasis the casual stylish that can be

accepted in any occasion. Its purpose to let any guy or girl to get a style fix among the

fashion-current jeans, T-shirts, jackets, casual basic-T, belt, socks, scarf and even

accessories in a shopper-friendly setting. PADINI is focus more on basic and family

lifestyle and aim for anyone who likes and extols casual style.

PADINI provides the essential working lifestyle for the modern working man

and women. The PADINI collection carries a clean, timeless and modern to the

working lifestyle. This brand is focuses on the formal wear and centralize customers

base for workers. PADINI has launched out several of tie, belt, shirt and coat.
 Seed is the confidence of classic and casual plus a refreshing design. Seed

emphasize the best of both designs for men, women and even hip kids! The purpose is

stand-out style. Seed is focus on urban office-wear for the masses. The clothes under

this line are usually jackets, coats, suits, classic office pants and knee-length skirts,

semiformal skirt and belt and also classic jean. In addition to seed cafe, the cafe

portrays a bright and contemporary concept which jells with seeds youthful and

trendy image. PADINI authentic is more on casually yours. PADINI authentic focus

their style on quality casual wear. Its targets the teenager segment of the market. It

sells modern shirt, trendy jean, jackets, shirts and stylish dress.
PRICING

PRICING OBJECTIVE

Pricing is one of the most crucial components of the marketing mix, as it is

the only mix that generates sales for the company. Pricing must reflect supply and

demand relationship. If costs for a product too high or too low, it could imply a loss of

sales of sales for the business. PADINI Company pricing objective is Sales-Related

Objectives. This is because the company seek to boost volume and market share and

as the volume increase, it is measured against the company’s own sales across specific

time periods. The main sales-related pricing objectives include sales growth,

targeting market share and increase in market share. PADINI Company assumed that

the sales growth has a direct positive impact on profits so the pricing decisions are

taken in way that sales volume can be raised by setting a price, altering or modifying

policies are targeted to improve sales. Pricing decisions are taken in such a way that

enable PADINI to achieve targeted market share. Market share is a specific volume of

sales determined in the light of total sales in an industry. Sometimes, the price and

pricing are takes as the tools to increase market share. For example, if PADINI’S

market share is lower than expected it can be raised by appropriate pricing because

pricing is aimed to improve the market share.

Price of a product or service of Padini is highly influenced by other elements

of marketing mix. The product life cycle through which the product is passing through

or the kind of sale (lease versus overnight purchase, or liberal returns policy may be

followed). In the introductory of their product life cycle, the price is likely to be high

so if the product requires services and those services are to be provided free, naturally

the product will be highly priced. Other factors that influence the pricing decisions is

the channels of distribution, location of warehousing and the transportation involved.

Padini are able to get the manufacture to charge a lower price and the company are

able to sell their products directlyto their customers.

CHANNEL OBJECTIVES

A marketing channel can be viewed as a canal or pipeline for products. Lamb

(2013) defines marketing channel or channel of distribution is a business structure of

interdependent organisations that are involved in the process of making a product or

service available for use or consumption by end customers or business users.

Marketing channels facilitate the physical movement of goods from location to

location, thus representing place or distribution of marketing mix. Many different

types of organisations participate in marketing channels. So, Padini Holdings Berhad

were started from manufacturing, trading and supplying of garments to retailers and

distributors. However, driven by a vision, we ventured into distribution and retail by

creating our own brands catering to specific consumer niches. This activity is called

retailer channel. Consumer Goods are final goods that are brought from retail stores to

satisfy the needs and wants of customer. This retail channel is different from the

direct channel in that the retailer doesn’t produce the product. The retailer markets

and sells the goods on behalf of the producer. For consumers, retailers provide

tremendous contact efficiency by creating one location where many products can be

purchased.Retailers may sell products in a store, online, in a kiosk, or on your

doorstep. The emphasis is not the specific location but on selling directly to the

consumer.
 Fashion Industry is evolving into an important phase of digital

adoption by the consumer. E-commerce is expected to continue to grow. Generally,

average time spent per consumer on online shopping is on a rising trend. Shopping

landscape has changed from heavily on traditional business model, to a complex

journey across online and offline touchpoints. Spending habit and purchase decision

of consumer have also been greatly affected by new communication channels,

especially social media, video streaming and peer reviews. In today’s dynamic and

borderless business environment, competition is no more between companies within a

country. Apparel players in Malaysia face some competition from foreign fashion

companies. Competition emerges in many ways; product quality, price comparison,

product variety, speed of delivery of trendy apparel to market, product life cycle and

distribution channels. With the ease of reaching out information at consumers’

fingertips, consumers are becoming less brand loyal. Consumers will switch brands

when there are offers with better price and better value. This is the era that consumer

has higher expectation on what a company able to deliver, quality, value proposition,

convenience, newness and innovation.

PADINI PROMOTION AND ADVERTISING STRATEGY:

mix. It consists advertising, sales promotion, public relations, personal selling, and

direct-marketing tools that the company uses to persuasively communicate customer

value and build customer relationships. Customers can find out about the products

through PADINI’s online website which is www.padini.com where the customer will

directly have the access to PADINI’s product. Besides that, customer can reach

PADINI’s product through Facebook which is “Padini Holdings”, Instagram

“padini_my” and subscribe “PadiniHoldingsBerhad” on YouTube. PADINI is a

concept store, Concept Store bring the ‘all in one’ concepts. So that, customers will be

convenient to shop at there. It will be very convenient for the customers to reach the

product at it is all in one. Variety of modern style can be chosen by customers. All

they need are inside one shop. Most of the brands outlet will located at the shopping

mall instead of hypermarket. Because of the design of shopping mall more attractive.

So that can attract more customers.

PADINI used the differentiation strategies of product and image to place the

product occupies in the consumer’s minds. There are seven bases for positioning,

which are attribute, price and quality, use or application, product user, product class,

competitor and emotion. The hottest product of PADINI – Seed, use the product

differentiation in term of design to place the product occupies in the consumers’

minds. For example, when a consumer wants to buy a semi-formal with classic stylish

designed, the Seed’s product will come into their minds immediately this is because a

product is associated with an attribute, product feature or customer benefits as it

brings comfort towards customers. Besides, Miki kids is also one of the examples of

product differentiation where the design is specialty for kids, this is for product user

as it specifies for kids. On the other hands, P & Co used the image differentiation to

place the product occupied in consumers’s minds. When a consumer wants to buy

female clothes with younger style inside the PADINI, the brand of P & Co will

definitely come into their minds. Other than that, PADINI also provide clothes just for

office wear, it is use or application of positioning as it specifies the use just for office

attire. PADINI have several kinds of emotions based on brands under PADINI, as an

example VINCCI emotion is “Heels, Pumps, Flat and Wedges” and PDI emotion is

“Trendy, Chic and Casual”. PADINI directly positions to compete with UNIQLO,

H&M, Cotton Onn and many more. In short, PADINI use the differentiation of image

and product like unique design and brand image to position the products in the

consumer minds.
CONCLUSION

PADINI Holdings Berhad is a retailing company which sells fashion wear and

accessories. It has been incorporated for 40 years since 1979. Based on our research

that we have conducted, one of the key success factors of PADINI is that they are

very aggressive in their advertising compare to most of their competitor. They

recognize the value of promotions and advertising as a way of building a brand image.

This successfully incepts a strong image in the customers’ mind that it is a brand of

great value and affordable for them. Padini has always been one of the few brands in

the customer’s list when they purchase their clother especially formal dressings.

Padini is always implementing new concepts diversely in the apparel industry in order

to be unpredictable and stand out from its competitors. The firm has also begun to

expand into overseas neighbouring countries such as Bangkok and Thailand. This

accounts for one of its globalization strategies. After the overall marketing research

regarding this company, we have had the golden opportunity to integrate and apply

the material learned in class to the development of a “realworld” marketing plan. We

have identified a new market space (marketing opportunity) for PADINI Holdings

Berhad to expand their business to the next level. This assignment has positively

developed our written skills and our ability to think critically and creatively in

finishing this assignment.

 Website

- NuruL Atiqah Zainor, ( 2021 April 11), Principle and Marketing,

https://www.coursehero.com/file/p811ej/22-Target-market-and-marketing-mix-221-

Product-It-can-be-seen-that-the/