Brand Valuation

Stage 1 - Segmentation

Stage 2 - Financial Analysis

According to Euromonitor, retail growth in the past 5 years has been at a decline of 5.7% and has been estimated to growth at less than 1% for the next 10 years. However, with Denzien as a young and growing brand, we assumed a slightly higher than average growth for the target segment and used the normal growth rate for the remaining segments


Stage 3 - Role of the Brand

Segment 1: The youths are more brand conscious and the product attributes appeal less to them. However, from our survey findings, Denizen fare rather poorly in the emotional dimensions of the CBBE pyramid and hence the role of denizen in influencing point of purchase is rather low compared to other brands with strong brand identity such as H&M. However with our promotional efforts, we believe we can turn around this negative sentiment and utilise this section's high RBI to its maximum potential. 

Segment 2: This segment market is not the main targeted segment for Denizen as the image seems to be too young and trendy for them. The higher purchasing power of this segment market means they are generally looking at more up-market brands. This results in a low RBI for the consumer segment as those who purchase Denizen are the budget conscious consumers where values matter more than the brand during the point of purchase.

Segment 3: This consumer segment are the most value conscious (assumption) and looks more for product attributes such as price and quality rather than the brand when purchasing denizen products. This results in a very low RBI for this segment.

Stage 4 - Brand Strength

Leadership 2 : 
As 1 year old brand, Denizen has to work on gaining greater market share.
Stability 4 :
The brand has a short history and fares poorly in the salience segment of the CBBE pyramid. Only time will tell if Denizen is able to retain its image and consumer loyalty over long periods of time.
Market 7 :
Denizen placed emphasis on emerging markets such as China, India etc. which are avenues of high growths. However, being in the fashion industry, Denizen is susceptible to changes in consumer taste and fashion trends.
International image 9 :
Denizen's parent company, Levis is an international brand which plays a part in helping Denizen to build her brand presence in the foreign markets.
Trend 7 :
Denizen is up to date in terms of the cuts of the jeans. However, there are room for improvement in areas of the jean's wash and design. They are currently working on introducing new cuts
Support 8 :
Given the parent company, Levis's intention to grow Denizen in the future to tap on the emerging markets, we believe that she will receive strong support from Levis.
Protection 10  :
Denizen brand elements are strongly protected by legal trademark.


Stage 5 - Calculations

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