Well, being a customer of Service, and a student of business, I believe that they don't want tom dick and harry to shop from their outlets. Because, now as Service has advanced to, Shoe Plant and Service Mega store, where you have all the big brands, under one roof. And all of them are very BIG, like Nike, Hush Puppies, Urban Sole, and many other local and international footwear brands. they don't want to disturb their positioning in the minds of their existing customers.
Although, Service is loosing a big segment of potential customers, but, it is retaining the segment of customers, for whom they have advanced to Shoe Plant and Service Mega Store. That's why Service advertise Don Carlos, than its chapals.
This is what I believe, is the reason of not advertising chaplas...
In my openion reason 4 Service not brodcasting the chapal ads is its high price as compared to its competitor like Bata. As Bata price for chapal is much cheap then that of service. the ppl of pakistan are very price sensitive n prefered low price n not high quality.
ReplyDeleteSo why Service need to spend million of rupees n advertise on TV as the compant knws that only those ppl tend to buy his chappal who are quality concious n price in not the main reason of buying.
i think thats the reason that they dont advertise on TV but they preffered advertised through billboards or poster which is more cheap n effective in case of attending their "real customer"
if they dont want to 'disturb the positioning' they have set, why not completely drop the product from the line?! it of course gives Service some benefit to keep it there. Yes, this may occur because service might not want the class to whom chappals are particularly targeted at to be there primary customers. however, that does not mean that a person who wears Don Carlos does not wear chappals! they also may not advertise chappals due to the expense involved.. but this think about the huge sector of audience left untapped! probably the returns may turn out to be more than the expense!
ReplyDeletein my opinion.. its all a play of perception that service has created. the product line has not only a large variety but also a huge variance in prices. but service has positioned itself as a brand which does not come cheap! when positioned like that, a brand and price sensitive customer paying rupees 8000 for a don carlos would never want the same brand to cater with a product so low priced as a chapal. thats just one way to see it. another reason why service might not want to advertise chapals is that it may have kept this product as an ad-on. a customer comes in, buys an expensive shoe.. sees the chappal and suddenly remembers he ought to get one pair of that too...
yes thats what i try to say ;)
ReplyDeleteplus when customer comes to Service after watching Doncrlos Tv ads 4 buying Don Crlos there is always an opportunity that they buy chappal.So by Don crlos ads, Service can also sold their other brands such as chappal :)
i just visited the servis shoes website. the name of their chappal brand is calza. they have positioned their three chappal categories on durability, comfort and style. after visiting their website i can safely say that they take this product category quite seriously and its not an ad-on product. i disagree that they have positioned themselves as an expensive brand because they also advertise servis cheetah which according to my knowledge is the cheapest brand in sports footwear. whenever i think of servis i do not associate them with high price, rather i believe its a brand that gives value for money i.e, reasonable price and ok quality.
ReplyDeletei think they do not advertise chappals because the profit margins on this product category is very low that means if they start advertising costs will exceed profits without a considerable increase in market share.
by the way don carlos also has chappals that i've not seen in any don carlos ad either.
k.. if the product category is taken seriously then why not advertised properly? costs might come into play but in a market where service occupies the leading position as a local brand in both manufacturing and exporting shoes, don't think it will mind increasing its market share by capturing the market untapped for chappals. i am not a service customer, however,i know that if a service shoe does not come expensive it is not even as cheap claimed to be for a middle class consumer.. even when you talk about a cheetah shoe. when you talk about a cheetah shoe coming cheap, don't forget the Chinese shoe market which has already captured 65 percent of the Pakistani shoe market.. and so Don Carlos does come VERY expensive ;)I am not familiar with the Don Carlos chappals.. don't think they are advertised, but Calza is meant to be for chappals.. why is that not advertised then?
ReplyDeleteHere you go. I found some Servis ads on youtube. Though i must say the calza and liza ads seems very uninspiring old fashioned (they probably are old ads). I still wonder about the Don Carlos ad. What does it actually mean?
ReplyDeleteCalza ad
http://www.youtube.com/watch?v=98e8fXbS2I8
Liza ad
http://www.youtube.com/watch?v=4mlhj15Ssi4
A General ad
http://www.youtube.com/watch?v=0l_79w6RSag&feature=related
Cheetah ad
http://www.youtube.com/watch?v=fUq82mv8lk8&feature=related
Don Carlos ad
http://www.youtube.com/watch?v=fqTAqcwkhJ0&feature=related
adding to Rehan point. I have seen Calza ad's on TV. And i think Service not only depends upon Don Carlos..its true that they advertise and promote Don Carlos more then Chappals, but at the same time they are adcertising on their Chappals aswell which they have given the name CALZA....So if they are advertising on it, its mean that they are earning atleast some profit from this. Not promoting much as compared to Don CArlos doesn't mean to drop the product from productline, as chappal is the need of every Pakistani no matter he or she is a high profile customer or a middle or a low profile......
ReplyDeletepeople doncarlos and service chapals are two brands,two differnt products which are targeting different market segments,different target markets,there demographics and psychographics are different.doncarlos is designed for special class
ReplyDeleteand to maintain as well as to upgrade doncarlos need to advertise in order to build there brand equity in a more strong way and in compition is a service chapal,look at the product description,i think very few percentage will care about the brand of chapal they are wearing,reason is this is a basic need and when it comes to doncarlos it became a want.