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Strategic Analysis Of Burberry

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2.0 Strategic Analysis Burberry Group PLC is a global luxury brand with British heritage, core outerwear, and large leather goods base. The company sell luxury product across apparel, accessories and beauty categories through a diversified network of retail, digital, wholesale, and licensing channels worldwide. And, Asia Pacific, American and EMEIA (Europe, Middle East, India and Africa) are main market of Burberry group. Different from other industries, macro-environment factors, such as shifting tax rate, the current fluctuation of global economy, etc., play important roles in luxury industry. In order to assess the macro-environment, the analytical model PESTLE analysis will be used. 2.1 Macro-Environment Analysis - PESTLE 2.11 Political…show more content…
Through early investment and focus, Burberry have established a leading position in digital in Luxury industry, with over 48 million followers and the brand is present on 20 social platforms including Twitter, Instagram, Facebook, Line and Kakao (Burberry Group, 2017). And The group's digital commerce (burberry.com) services 40 countries in 11 languages through various mobile devices such as mobile, laptop and tablet (Burberry Group, 2017). In 2017, Burberry was ranked Number 1 Digital leader in the ContactLab Digital Competitive Map (Burberry Group, 2017). According to Figure 3, Burberry is best brand in terms of E-commerce strategic reach and third-strongest brand in terms of digital customer experience. According to Figure 4, Burberry obviously improves E-commerce performance from 2015 to 2017. This is because that Burberry redesigned the China site to tailor it more effectively to local preference and behaviour that lead to an increase of around 70% in direct-to-consumer sales (Burberry Group, 2017). This will offer a more personalised digital shopping experience for the customers, both online and by connecting them more effectively to the Burberry’s store. Therefore, the strong customer digital experience and successful E-commerce enable Burberry to reach an extensive customer base and penetrate into global
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