Tactical Gap Analysis

The following analysis on the current brand image is based on our interviews and survey results. We concluded that despite Denizen positioning itself as a high quality, value for money jeans brand; much of our respondent positioned them on the fair value line. The lack of communication on the jean’s quality for Denizen’s marketing communications coupled with the lack of emphasis on being a jean’s specialty brand, lead to the first tactical gap that we identified, which is comprehending and agreeing with information. Using the laddering technique on our respondents to find out more about the brand image, we realized that this gap actually stems from the current usage of marketing collateral. 

We analyzed the approach taken by Denizen on their current marketing strategy and discovered a recurring cycle of widening tactical gap which is illustrated by the diagram below.

Initially, this gap occurs due to the inherent quality gap that most consumers have about the parents brand and the sub brand, which is Levis’ and Denizen in this case. They would perceive Levis’ jeans to be of better quality than Denizen. However, after our interview with Jay Gee, we discovered that it was not the case for Denizen.  The management is keen on having their target market try on the jeans to experience the quality of Denizen themselves. This led to the lowered price of jeans to increase the trial rate among the target market. The sales promotion such as price bundling eventually led to the wrong target market being attracted to the store. Teenagers do not want to be associated with a brand that attracts the older age group or foreigners (dissociative group). Furthermore, with Denizen located in heartland malls next to other ‘budget brands’ like Giordano and HangTen, respondents are thus comparing Denizen to those ‘budget brands’ despite Denizen competing with the likes of more premium brands like Uniqlo.

Using the Consumer Processing Model as shown above, the gap actually lies in the comprehending and agreeing with the information that Denizen wants to communicate to the target consumers. 

Comprehending attended information: The current promotion of “2 for $99” is currently available at all Denizen stores. After our interview with Jay Gee, we realized that the promotion was set in place for customers to bring their friend or family along to experience the promotion together. This was in line with their brand to be inclusive and promoting the spirit of brotherhood. However, our in-depth interview participants never had this idea in mind. Most people would just buy 2 sets for their personal use. This shows that the message was not fully comprehended by their audience.

They have recently stepped up their efforts on the promotion by further offering a price of $20 for the 3^rd jeans purchase. Our group sees this as a step backwards towards their brand identity of a premium but affordable jeans brand. This further price promotion dilutes the brand equity.

Furthermore, being located among cheaper apparel stores does not help in its aim to be a slightly premium brands among the heartland mall brands such as Giordano and Hang ten.

Agreement with what is comprehended:  Their celebrity endorsement with Jay Park has recently ended in August 2011. Without an endorser, its symbolic value as a young and hip brand is not clearly communicated to the customers. Consumers are only left with in store displays to be exposed to their message. Furthermore, without their Asian endorser, the Caucasians images portrayed in the stores do not convey their Asian cut jeans expertise that Denizen identified as one of their unique selling point.