Wool’s Test Marketing
Programme Set to Launch in US
Brussels,
25/09/2006 The international wool industry and
two of the most high profile apparel retailers in the United States are
on the verge of launching an innovative marketing campaign, the Test
Marketing Project (TMP). World famous luxury high-end
retailer, Saks Fifth Avenue will launch the TMP at a major industry event
in their flagship Fifth Avenue, New York store on
Wednesday night US time. Members of the TMP’s
funding party - Australian Wool Innovation (AWI), the International Wool
Textile Organisation (IWTO) and Australian Wool
Services (AWS, owner of the Woolmark) - will attend the launch as guests of
Saks
Melbourne-based TMP Project Director, Brenda McGahan, said she is
anticipating ‘a strong and supportive response’
to the launch by Saks. The campaign by Saks, promoting and selling women’s
garments will feature fine and extrafine wool
content through until the end of November. The TMP
represents a $US 6.6 million collaboration between the AWI, IWTO and AWS
(The Woolmark Company). All parties have been
instrumental in the TMP’s development. With support from
14 different countries, the project’s aim is to test the degree to which
consumer marketing can have a measurably positive
impact on wool volumes. The TMP will target the end consumer
to create demand for fine merino wool apparel by influencing the
influencers to ensure fine merino wool apparel
products are available for sale and that purchases are stimulated at point
of sale. “We chose Saks as our launch partner for some
very specific reasons,” says Ms McGahan. “They provide
us with luxury positioning in the womenswear market, are one of
North America’s premier aspirational retailers
and have 55 stores with turnover in excess of US$2.7 billion a year. They
are precisely the type of retailer wool needs to
partner with for a test of the North American market.”
Saks will release their ‘Want it’
promotional campaign at the TMP’s launch as well as re-introducing wool
into their Saks Fifth Avenue Signature collection for the first time
in many years. Based around the key “must have”
items for the fall/winter season, wool will be centre stage as the fibre of
choice in women’s straight legged pant suits, the
wide legged pant and high fashion textured knits with a flow on into
menswear. The wool used in these products and communications is Fine
and Extra Fine Wool.
‘Extra Fine Merino Wool’ will lead communications activities and branding
as the icon product. “A major component of the TMP has
been its ability to leverage activities with retail partners,” says Ms
McGahan. “The result is a truly integrated communications program
which includes catalogues and direct mail
communications to encourage customers into stores, as well as high profile
fashion and trade media advertisements funded by
Saks, attractive in-store signage and, most importantly, an interactive
computer based training program and other
training devices such as book marks to help sales staff to sell.”
The second stage of the TMP will be launched with
southwestern based retailer, Dillards Department
Stores, in October. Dillards are renowned in the US for their product
innovation. Their TMP focus will be on their
menswear private label lines, knitwear, outerwear, pants, tailored suits
and socks. Test Marketing Project
Media Backgrounder 1. The Test Marketing Project
was initially suggested in April 2005 when three peak wool industry bodies
– Australian Wool Innovation Limited (AWI), the
International Wool Textile Organisation (IWTO) and
Australian Wool Services Limited (AWS/Woolmark) – joined forces on
the project. The TMP marks the first time ever
three industry-leading wool organisations have worked together in a
ground-breaking 2. IWTO President, Michael Lempriere, describes how
the agreement between the three organisations
represents the first fully collaborative, industry-wide, grower to
manufacturer approach to the marketing of
comfortable apparel wool. “It demonstrates that when the industry works
together much can be achieved, and underlines
that there is more that unites the industry than divides it. We must take
out the challenge to other fibres and strive
together to lift the demand for wool.” 3. The overall
project objective is to: ‘test the degree to which consumer marketing can
have a measurable, positive impact on wool
volumes’. 4. The TMP represents a
true integrated marketing campaign which capitalises on the
inter-relationship between consumers and
retailers. It aims to break a Catch 22 situation – i.e. if the retailer
doesn’t offer wool product for sale, the customer
will not buy it. And, if the customer does not want to buy it or is not
prepared to pay a premium for it, the retailer will not stock it.
5. The TMP will be assessed by four cornerstones:
Leadership Positioning – Retail partners’ ability to
position wool as a “must have” premium product; Wool Business Growth & Measurement – Retail partners’
commitment to new ranges and incremental wool
sales; Marketing Investment– Retail partners matching TMP
investment with their own vehicles and funds to
create an integrated campaign; and Education – Retail partners’ willingness to educate
buyers, sales associates and consumers about
the nature, uses and comparative benefits of wool. 6. The wool used in the products and promotions is Fine and
Extra Fine Wool. ‘Extra Fine Merino Wool’ will
lead communications activities and branding as the icon product.
7. The US was chosen for the test program because
the TMP will target regions with a high incidence of
consumers with high disposable income and disposition to buy quality
apparel. The US is one of four super regions for
wool consumption that are potentially worth more than US$500 billion
dollars at the retail level. 8. A
post TMP pilot evaluation is due to take place in early 2007.
For further information or TMP images please contact:
Henrik Kuffner,
Incorporated Chairman and CEO, Stephen Sadove.
A post-pilot evaluation is due to take place in early 2007.
consumer test marketing pilot backed by US$6.6 million of global industry
funding. Work on the TMP was commenced in October
2005.
Director General, IWTO
info@iwto.org
Rue de l'Industrie 4 - 1000 Brussels - Belgium
Tel: +32 2 505 4010 Fax: +32 2 503 4785
info@iwto.org - www.iwto.org