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MARKETING MANAGEMENT - CLOUD TAILOR [1]

Nithin Pulluru (Cover Page, Executive Summary, Documentation)

Kanmanthareddy Kaushal Reddy (Situation Analysis)

Namashivayagari Soumya (Marketing Research)

Akashdeep Bhagat (Marketing Strategy)

Prerana Upadhyay (Marketing Program)

Golden Gate University

Marketing Management

October 18, 2022

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1. EXECUTIVE SUMMARY:

• Cloud Tailor is an online application that enables personalized fashion styling, fashion

visualization, recommendations, order placement, tracking and fulfilment. Cloud

Tailor’s unique asset light ‘Online + Offline’ global fulfilment business model makes

sure that clients get the best quality product with affordable pricing for personalized

fashion in committed time.

• Cloud Tailor concept is to make simplify and enhance personalized fashion choices for

women at anywhere (online/offline) one stop solution .

• Cloud Tailor helps in personalized fashion as there won’t be need for hopping many

boutiques. Making sure that professional and trained staff make offline interactions

based on customer-centric app.

• Technology enabled makes cloud tailor offer the various designs from one place to

another place of the world. It also directly helping lot of designers creating many

opportunities by providing offline door step measurements.

• Cloud Tailor is the only mobile app that has full fashion styling, learning, social sharing,

order placement, tracking and reward program.

• It plans to provide VR visualization of dresses styled by the customer or by the fashion

designer with in the app which helps the customer to go for it or not with-out wasting

money and time.

• The women’s industry is about 185 billion USD valued business per annum globally,

which is a huge market to capture by providing innovative ideas and making it

convenient and easy for the customers.

• There is a huge scope in this market if the company present a brand and offer timely

dispatches in the best possible to overseas customers for their personalized fashion

requirements.
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• The new service/project to be implemented is “Feel-at-Home”, it is a service which

allows customers to request the nearest Cloud Tailor partner to send an Agent with

samples of clothes available on the platform. The customer can feel the cloth and then

decide what cloth they would like to place the order with.

2. SITUATION ANALYSIS

2.1. PESTEL

Political

There are no major political influences/factors affecting the fashion industry in India, but

the Central and State governments are promoting the locally manufactured products. The

most known influence through a political entity in an industry on a global scale are Nehru

Jacket and Modi Coat.

Economic

Economic factors can have both positive and negative impacts on the fashion industry.

When there is an economic stability, most of the people tend to spend more on their clothing

or fashion apart from other things. But in times of inflation and recession, people spend

very little on the fashion. Also, now a days due to government policies people are buying

the locally sourced fabrics from the local vendors which is helping the industry to grow

significantly.

Social

Digital and social media, Fashion blogs and vlogs, Movies etc., are few major influencers

of the fashion industry. People choose their clothing style based on their personal and

cultural environment. Particularly, Indian society for a long time has portrayed a certain

cultural and traditional style of dressing. The potential market for fashion industry is
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influenced by celebrities. Also, now a days people are preferring to be comfortable in what

they wear rather than just be appealing.

Technology

The fashion industry has always been subject to technological changes and has influenced

the way in which apparel products are produced, supplied, and delivered to customers.

Technology helps to reach the potential customer through online platforms and retailing e-

commerce sites, through which people can buy what they want from the comfort of their

home. The growth in technology also helped the industry to advertise and market their

products at a significant decrease in cost.

Environmental

The products of the clothing industry have a disastrous impact on the environment. Fashion

leaves a great environmental footprint along its supply chain and life cycle. For instance,

growing non-organic cotton requires a big amount of chemicals, water, and pesticides,

which harm human health and have a significant, long-lasting impact on the environment.

Besides, overconsumption in the fast-fashion world leads to greater amounts of waste

creating disposability problems.

Now a days many manufacturers are considering the recycling of used fabrics. Few brands

like H&M, Zara, etc., are even asking for the customers to give back old clothes for

recycling in return for offers and discounts to buy new products. This is a bit better for the

environment.

Legal [2]

One of the niche areas of law, Fashion Law, is growing in existence in India. There might

not be a central piece of legislation that governs the subject but the realm of fashion, with
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all its variants, has piqued an interest in the Indian legal fraternity with many exploiting

services in the fashion industry.

Fashion Law can be defined as an amalgamation of various kinds of laws viz. Contract

Law, Employment Law, Consumer Protection Law but most importantly Intellectual

Property Law, which can be regarded as the major tenet of Fashion Law. As a result, fashion

law as a legal specialty is still considered an emerging field around the world.

Fashion Design Council of India (FDCI) a primary non-profit organization that promotes

the business of fashion in India and works towards its sustainable growth. In India, the key

laws that regulate and protect intellectual property rights in the fashion industry are

a. Copyright Act, 1957.

b. Designs Act, 2000.

c. The Geographical Indication Act of Goods Act, 1999.

d. Trademark Act, 1999.

We are aware of the Copyright, Designs and Trademark acts, but the Geographical

Indication Act is primarily used to protect products based on their geographic origin.

Provisions under this Act help protect indigenous populations from having their creations

copied by outside entities.

However, the question arises on the knockoffs of fashion designs. The big fashion houses

may be able to protect the IP in their products by having access to resources, but the same

cannot be said about local designers and/or creators. These local and indigenous creators

are not well versed with the legal tenets and are often strong-armed by the big fashion

houses who either copy their work and commercialize the same or buy off the artistic

designs at a considerably lesser price; exploiting the commercial knowledge of the local

creators and going on to make a huge amount of money on hard work of others. Another
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issue is also with respect to the number of duplicates or first copies, as they are commonly

referred to in Indian street fashion. Many big brands have their exact designs copied and

sold in variety in several street shops in major cities. The volume of such first copies is so

huge, it becomes difficult to identify and pursue legally against such sellers.

2.2. SWOT Analysis

Strengths

Being one of the first players in this hybrid industry is an advantage and strength by

having a vast network. This a one-of-a-kind service which with no direct competitors

as of now having a first mover advantage providing their service at the specific

requirements of the customers

Weakness

Delay of services due to scarcity of manpower.

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Opportunity

They have an opportunity to collaborate with well-known designers or celebrity

designers to promote their service which can attract a potential customer range and cater

to them. There is also an opportunity to go global.

Threats

Any major player or a famous fashion designer providing the same service can be a

threat and its competitors might be able to attract more and customers and even their

customers by offering something which they won’t and in a better way appealing to the

customer.

2.3. Competitor Analysis

There are a few direct competitors like Binks, e-silai and myTailor.in, offering almost a

similar service based out of social media and online websites but not in a hybrid way. At

present these competitors are not offering all the services offered by Cloud Tailor but with

the current market may become the best. Cloud Tailor is the only brand offering their

services via., both online platform (Smartphone and website) and through offline stores.

Indirect competitors are well established famous designers, generational designers (those

who cater to a family for generations).

2.4. Consumer Behaviour

The factors influencing the consumer behaviour are

• Personal factors like they can try and buy the products and services from online or the

comfort of their home and economic capability of the consumers.

• Many young consumers psychologically tend to try something new either a product or

service.
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• Since the services offered cater to mostly all social groups, consumers tend to buy the

products or services based on their respective social circle.

• The type of culture we belong to and the way we perceive things around us depends on

our upbringing, places we have lived in, our norms and values. Few of the cultural

factors are, most of the consumers have a long-time designer but also the consumers

like to try other designers sometimes which is a good opportunity for us.

3. MARKET RESEARCH:

• As the popularity of internet retailing and customization increases, firms feel great

pressure to develop appropriate strategies for their online operations.

• Evolving Internet technology is the ideal tool to serve present-day fragmented

consumer markets, we look at firm strategy as perceived by the customer (conducting

a consumer survey) rather than adopting the ‘‘supply-driven’’ perspective, which looks

at strategy from the company’s point of view.

• We also adopt a demand-driven perspective in the selection of the performance

variables. In contrast to existing supply-driven research, which uses profitability as the

criterion variable.

• Cloud Tailor is a global destination for personalized fashion solutions for every woman,

in an easy-to-navigate space with experienced designers.

• It is a one stop shop for women exclusively who are looking out for a customized design

of any kind of style with a proper fitting through online and offline platforms.

• India’s leading phygital D2C (Physical Stores + App and ecommerce website) platform

which offers designing and tailoring solutions to women from across the globe.

3.1. Market Demographics

Every Women in some way thinks about fashion from time to time. When deciding

what to wear on any given day, thinking about what fashion you wish to represent. By
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understanding fashion demographics, it becomes possible to understand other personal

preferences for marketing purposes as well.

Cloud Tailor caters to the target audience of working-class women, the lower middle

class to upper middle class, who are looking for customized design consultation and

tailoring services with-in the existing prices of the market.

It is currently serving customers from more than 7 countries in the world.

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1. Bangalore 4. Kochi 7. Tirupati 10. Nalgonda

2. Delhi NCR 5. Patna 8. Ahmadabad

3. Hyderabad 6. Pune 9. Siddipet

3.2. Market Needs

The Women’s wear industry is a 185 billion USD valued business per annum globally.

The correct estimates of the Personalized fashion industry are not available since it is

completely fragmented market and there are no organized players in the market now.

Cloud Tailor gives you the option of customization of any style –any design to women

across the globe who have difficulty with the existing process of dealing with tailors,

delivery times and getting customized outfits.

3.3. Market Trends

Market Trends in Fashion changes time to time, Women's fashion has contributed a lot

globally. Probably because women are the most conscious people when it comes to

what they wear plus the constant release of trending clothes.

The impact of COVID-19 made most of the women started working from home, the

lifestyle of women changed from offline to online shopping in the fast fashion industry

through online platforms to their doorstep.

Cloud Tailor provides ‘Any Style - Any Fashion’ options exclusively for women,

provide tailoring solutions at the comfort of your home through the app “CLOUD

TAILOR” and an online website www.cloudtailor.com, recommending the best style,

pattern, and design for the customers & make their decisions simpler and faster.

The advance features include Fashion designer consultations, Personal Styling, Online

measurements, Pick-up & delivery service, Free lifetime alteration with live order

tracking.
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3.4. Market Growth

The growth of women's fashion industry is not only expanding around the globe but

helping to increase employment to all gender. When you look at the US alone, the

industry accounts for about 2 million people employed in various sectors within the

fashion industry. The average annual wage ranges from $26,000 up to $84,000.

The ones already experiencing growth favor them have identified the area of an

increased market outside the western world, a high number of people accessing online

through Smartphone penetration and emerging of the middle class worldwide with

disposable income.

The current trend is projected to increase in the coming years as the new group of

consumers that are stirring the market changes to fall between 16 years of age to 34

years. A lot seems to change now that there are no digital barriers preventing entry of

clothing merchants globally. Let's wait and see what the future holds for the women's

fashion industry.

4. MARKETING STRATEGY

4.1. Mission Statement

• Easy Styling and Stitching. Order from anywhere.

• The mission of the company is to enable people to connect with tailors, get

recommendations, and get customized cloth stitching from the comfort of their home

allowing them to select from a wide variety of selections available along with a cheap

pricing scheme.

4.2. Marketing Objective-Project

The marketing objective of this project is to enable customers to get a feel of the cloth

they would like to stitch their dress with before placing the order from the comfort of
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their home/office or anywhere they like, all they have to do is place a call and request

for an agent to bring the samples to the doorstep.

The marketing objectives are to inform what the platform enables customers to do

• Easy to use platform.

• Connect with Fashion Designers/Tailors from comfort of their homes, offices etc.…

• Reasonable and Flexible prices for stitching.

• Choose from variety of cloth selections available from all-over-the-world.

• Get samples of the clothes before getting their dress stitched to give them 100%

satisfaction.

5. MARKETING PROGRAM:

5.1. Perceptual Map

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5.2. Analysis of the 4P’s of the Marketing for Cloud Tailor

a) Product: Cloud Tailor, Direct to Customer (D2C) platform that enables

personalized women’s fashion. This provides the following three services to the

women: Assemble fabric pieces to make the garment, fit the garment to the women

and mark final adjustments and stitch/embroider by hand or machines.

Three layers of the Product are:

i. Core Product: The woman is buying an online tailoring service which includes

stitching and fitting garments according to the size of a particular woman by

hand or machine as per the women’s requirement and selection. Women get a

recommendation for the best style, pattern, and design according to their taste

which helps them to make their decision simpler and faster.

ii. Actual Product: In this layer, after purchasing the service women get their

desired custom-made costumes according to their measurements given during

the pickup of the raw material from the women themselves. After choosing the

service they get advanced features like fashion designer consultation, personal

styling, online measurement, pickup and delivery service and most important

lifetime alteration.

iii. Augmented Product: The Women get an online tailoring service on their

doorstep so they do not have to travel to tailors, this will save their time, and

travel expenses also the pickup and delivery services are free of cost to women.

If any fitting issue occurs that is also covered in the post-sales services like

refitting and altering for a lifetime.

b) Price: Cloud Tailor has set their price by studying the market and the tailoring

expertise across the country. Their motto “Low Price, High Quality” clearly depicts

pricing as accessible to women’s needs and demands.

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The three layers of Pricing Strategies are:

i. Cost-based Pricing: The cost of the services is set according to the service

chosen by the women at a nominal rate per service as compared to the offline

service provided by the tailors.

ii. Competitor-based Pricing: Cloud Tailor sets a minimal rate that can be afforded

by women as compared to other companies or local tailors. It has been set after

prolonged research over their competitor’s pricing.

iii. Customer Value-based Pricing: The priority of Cloud Tailor is to provide top-

notch service and value customers’ money.

c) Place: The cloud tailors management team determines the most appropriate place

or distribution channel to sell their services to get their customer attention. They

have chosen multiple channels offline and online.

The Offline Channels include:

i. Wholesaler: Wholesaler distributors are one of the primary distribution

channels as they promote the articles and clothes to be brought from the Cloud

Tailors to grow the business and thus eventually help themselves to grow as

well.

ii. Designers/Tailors: The designers/tailors affiliated with the Cloud Tailors

eventually help their customers to get on this platform as they will be getting

more business from cloud tailor and customer satisfaction will rise too

eventually leading them to get stable income per month.

The Online Channels Include:

i. Website: Cloud Tailor website and application are their main source of

distribution channel as eventually, every customer comes to their attractive web

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page and mobile app which are easy to use, highly attractive, and readily

available.

ii. Social Media: Cloud Tailor have their marketing pages on the most used Social

Media platforms like Facebook, Instagram, Snapchat, and WhatsApp where

they attract customers for their product and services.

iii. Ad streams: Cloud tailor uses Google Ads, Facebook ads, and Instagram ads to

promote their product and services. Using these platforms enables their growth

and reachability to every corner of the globe.

d) Promotion: - There are 4 stages of promotion that can be used for the progression

of the product.

i. Introduction Stage: Cloud Tailor is using Ad Streams, Televisions, and media

channels and is currently using promotional and discount coupons for marketing

their product. Their discount and promotional have been reduced so we can say

that they have exited the introductory stage of Promotion.

ii. Growth Stage: Currently Cloud Tailor is at the growth stage of the product life

cycle and their product is now being recognized by the target market. Cloud

Tailor is working on the strategy like Social Media campaigns to encourage the

loyalty of the customers.

iii. Maturity Stage: Cloud Tailor is yet to reach the Maturity stage as their product

is currently fresh in the market. Also, they do not have any actual rivals in the

market so when they reach this stage, they will have to devise a strategy to retain

their customers who can switch to their rivals.

iv. Decline Stage: Cloud Tailor is very far from the decline stage of the product life

cycle. When they near the decline stage they will have to devise various

strategies, such as adding more features and services to their product so that the
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customer may get reminded of the product and also get engaged with new

features of the product.

5.3. Branding Strategies of Cloud Tailor

A brand is an intangible marketing or business concept that helps people identify a

company, product, or individual.

The key steps which Cloud Tailor is following for creating its Branding Strategy are as

follows:

1. Brand Identity: Cloud Tailor being an Online Tailor for every woman’s custom

clothing has its Vision “To be the go-to brand for anything fashion” being its core

mission as “Evolve how personalized fashion is perceived and experienced.” They

are creating their own brand identity by being the first online tailor which can

customize and personalize any woman’s clothing.

2. Brand Objective: Cloud Tailor’s objective and aim are to become every woman’s

go-to brand for their personalized fashion needs. They aim to solve a huge problem

that every woman who loves customized wearables faces.

3. Brand Audience: India being so much diverse, maximum stores are present in India

itself and due to huge cultural growth across the world Cloud Tailor has a presence

across & countries around the globe and expanding thus they know their target

audience and are strategizing to reach to every woman across the globe for their

fashion needs in the simplest manner as possible.

4. Industry Consideration: Cloud Tailor has considered its industry very well and is

also strategizing to improve its branding by focusing on its niche industry.

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Following the above steps, Cloud tailor has a good strategy for branding. The main

branding elements which are at work for creating Cloud Tailor a better brand are as

follows:

5.3.1. Internal Brand Elements:

1. Brand Positioning: Cloud Tailor is specific to woman-centric fashion needs and

provides every custom need for women dealing in all areas of custom tailoring thus

being a perfect niche in their area occupying the woman custom fashion e-

commerce business also being very pocket friendly.

2. Brand Differentiation: Cloud tailor is differentiating itself from other brands such

as Manish Malhotra Clothing, Sabyasachi, etc., by being first in the market to

provide doorstep tailoring and lifetime altering services so that they are unique in

their field and establish a huge brand in the future.

3. Brand Personality: Cloud Tailor being in a female customized fashion has the

personality trait of being Sophisticated. They target only women’s clothing and are

in the customized fashion industry.

5.3.2. External Brand Elements:

1. Brand Name: Naming Cloud Tailor describes the brand itself, in this era moving

everything to the cloud means easily accessible everywhere thus Cloud tailor offers

tailoring services in every corner of the country.

2. Brand Logo: Cloud Tailor logo depicts a thread in a design of a Cloud passing

through the hole of a needle where the thread is passed so that stitching can be done.

Thus, it is telling a story of tailoring accessible from everywhere.

3. Tagline: Cloud Tailor’s tagline is “Every Woman’s Online Tailor” which describes

the online tailoring services they are offering. Being impactful and punchy in

reaching every woman’s personalized clothing needs.

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4. Colour Code: Their colour coding is purple which also can be seen as a shade of

red and blue, so it depicts passion and excitement, and it also depicts loyalty and

trust being in the customized fashion for the woman as a woman is extremely

choosy and strict in the choice of their fashion needs.

6. REFERENCES:

1. www.cloudtailor.com

2. Demystifying Fashion Law in India; by Vidushi Trehan – Legal Associate

at Khurana & Khurana, Advocates and IP Attorneys.

3. How Cloud Tailor is using ML to deliver Personalized Fashion Styling; by

Jeenal Jain, startuptalky.com