Chapter 14- Marketing channels and retailing

   
     Burberry is one of the most popular company in all of the UK. People from all around the world visit a store to get a chance to see and buy one of Burberrys amazing products. Over the years Burberrys "stock" has been rising and their selling has increased greatly. Some say this is because of CEO Angela Andthrendts and her marketing ability but i think it is just because of the way they sell their products at retail and the care in which the employees have for you. Burberry has increased 5.4 % in value of retail sales since 2012. Burberry had 26 retail stores open just this year. This is important because retail accounts for 64 percent of their revenue.

    Burberry also has a wholesale line. Burberry sells wholesale suits and mens clothing to china. However in January Burberry discussed that they would slow down wholesale shipments because they feel it is a risk of bad debt when they choose to curtail shipments.  I actually got a chance to visit a Burberry the other day and i was definitely impressed as to what i saw. Burberry has 11 stores in the state  of New york and they are considering expanding. When i walked in the store the first thing i noticed was the design of it. It was very clean and all of the products were displayed beautifully. However, the one thing i didn't like about it was that it didn't feel very inviting. Right when i walked in it didn't have that feeling of comfort. Usually when i walk into a store someone greets me. This could be so because it is one of burberrys smaller stores as it is in soho.  Ever since burberry made the change to have full internal control over manufacturing and distribution they have seen success. whenever Burberry sees a retail store that is not doing good enough or reaching its max potential they close it down.

   Burberry manufactures there products in many ways. There internal manufacturing is done in Castleford  Enlgand, Wales, and in New jersey. Control over quality is handled in Europe. Burberry often collaborates with companies to make the best product available in a specific field. For example Burberry paired with InterParfums S.A. to make the best fragrances in the market. They also Collaborated with Safilo S.P.A for their eyewear brand.

   In Japan  categories are managed under a group of licensing agreements. These categories are design, manufacturing, and distribution. This is good for Burberry because they have companies like Sanyo and Mitsui to overlook important categories while they sit back and receive the revenue.


   Other then retail stores Burberry also has concession stores. Burberry feels that the customers would like this because they wouldn't have to go to a large department store to buy there products. Burberry also operates 3 factory stores which are in the UK, USA and also spain. These stores can sell Burberry products with small imperfections by purpose so they don't throw away clothes that were botched.
Burberry continues to improve their marketing channels and hope to become an even more successful company that they are right now.

Picture showing how Burberry does business