Every edition Ragtrader catches up with a previously featured label to chart its development over the intervening period. Here Tracey Porter talks to footwear wholesale and retail label Clarks.
COMPANY: Clarks
BRAND MANAGER: Tim Jackson
What were the key issues or challenges for your company five years ago? And now?
Everyone knows Clarks as a school shoe brand - 99 per cent awareness - however only 25 per cent are aware that Clarks have everyday casual/fashion shoes for children. The brand has suffered from a perceived lack of fashionability. Retail presence was a former challenge and while the brand has ramped up fashion our major challenge continues to be exposure plus lack of staff in major centres to adequately explain the brands core values.
What was the range like five years ago? What is it like now?
A somewhat "staid" brand has now become an up-to-date, on trend children's footwear brand, although not a fashion leader. SKUs have dropped by 20 per cent particularly in the area of width fittings in our fashion ranges which are now dominated by single season, single width styles.
How many stores/wholesale accounts did you have five years ago? And now?
Our account base is stable, closures virtually matched by new customers. We have focused on supporting key independent retailers through the introduction of the Clarks Platinum Specialist program in the past four years. These hand-picked stockists of the brand offer the best range of fittings, styles and level of service to the consumer. We now have 40 locations across the country participating in the program.
What was the retail climate like for your business five years ago? How has it changed?
Much more competitive now as many adult brands as well as international niche brands have expanded into kids footwear in the Australia market which they previously had no interest in. Retailers are now focused on reduced stocks to achieve stock turns in keeping with other components of their businesses.
What was your approach to marketing and promotions five years ago? What is it now?
No key formula found. With such a detailed brand message to communicate and limited dollar investment, it continues to be a challenge. This investment was then watered down across three key ranges (school, summer fashion & winter fashion) inhibiting the brand from making much of an impact. Back To School contributes significantly to the brand's turnover for retailers. So with this in mind, you'll notice a ramped-up focus through media and instore communications.
What was your approach to staff training five years ago? How has it changed?
Staff training is an integral piece of the brand puzzle and we'll continue to educate and inspire the staff that fit children for shoes and sell our product. Around 1,000 staff trained across the country annually.
How many staff did you employ five years ago? And now?
Three to four in product development & brand management. It's important to nurture talent and invigorate the brand through fresh eyes. With a continued focus to further develop the everyday casual/fashion side of the brand the team has grown. Our sales team across Australia and New Zealand has shared customer service, logistics and marketing resources. No change.
What was your approach to retail technology five years ago? And now?
Pacific Brands' online wholesale ordering system with guaranteed quick turn around has further enhanced our already exceptional customer service/logistics process. Our independent retailers can re-order stock at anytime of the day or night.
What was your greatest moment/most significant development in the past five years?
Definitely in our school shoe business, where we continue to maintain our market leading position. The Clarks brand has a lot of emotional equity with consumers, and they remember the brand from their own childhood. The brand is seen as reliable, trustworthy and a quality brand. No matter what happens, our commitment to this hasn't changed.
What has been the worst experience of the past five years?
The current economic environment has been the most challenging. Price increases across all areas will continue to test.
THEN:
Name: No change
Challenges: Consumer perception
Range: Staid
Climate: Relaxed
Best moment: Emotional equity
NOW:
Name: No change
Challenges: Exposure
Range: Fashion forward
Climate: Competitive
Worst moment: Economic climate
