CHAPTER 1

Introduction

Most
create

of
and

the

business

produce

owners

main

satisfied

objective

customers

is

who

continuously patronize their product. Products

with

to

will
high

quality and fashion trending.

Fashion is custom and style that is prevailing mostly
in dress or behaviour. Most of the time fashion is used to
express life and wants in a given time and place. It is
also used to unite those of a social class and segregates
them from the others.According to Cumming (2004) as cited
by Jandonero et al.(2014) trend style influencesbehaviour
and

lifestyle

of

person.

Itis

quicksilver

mode

of

creativity for many people in diverting their attention.

Fashionable items are mostly seen from celebrities, high
society and supermodels.
According to CyntiaDurcain, a form of imitation and so
of

social

equalization,

but

paradoxically,

in

changing

nonstop, it differentiate one time from another and one

stratum for another is the so called Fashion.Fashion is a
state

of

mind,

unites

those

of

social

class,

and

segregates them from the others, a spirit and an extension

1

of

ones

self.

comfortable

Most

with

you,

of

all

fashion

translating

is

almost

self-esteem

being

into

persons style
A

Boutique,

according

to

Lidell&Scott,

2011,

is

small version of shopping outlet for fashionable clothes

and

jewelleries

appropriate

for

the

occasion.

The

word

boutique is French for shop via Latin from the Greek

storehouse.
As

being

Mikaelsen,

on

2011

the

states

fashion
that

industry

Boutique

owner

or

business,

must

have

fashion and insider whose job requires insights to learn

trends and this will also help to encourage customer to
promote the product to the public. And boutique must know
proper promotion to attract potential customers.
A marketing strategy is a marketing logic which the
business unit hopes to achieve its marketing objectives,
(Kotler, Armstrong,Saunders and Wong,1999). It is the broad
principles by which the business units expects to achieve
its

marketing

objectives.

Consist

of

basic

decision

and

total marketing expenditure, marketing mix and marketing

allocation(Kotler 1990).

Marketing strategy is the overall plan for choosing a

target

and

succeeding

within

it

through

product,pricing,distribution and promotional choices (Bovee

and thill,1992)
Ingram and Laforge, 1995, describe marketing strategy
which consists of selecting a target market and developing
a marketing mix to satisfy the market needs.
In the view (Berkowitz,Kering,Haertley and Rubelius,
1997)

marketing

strategy

is

the

means

by

which

marketing goal is to be achieved usually characterized by a

specified target market and a marketing program to reach
it.
According
identification

to
of

Wyosocki,
customers

2001
wants

marketing
and

needs

is

and

the

adding

value to the products and services that satisfy those wants

and need, at a profit.
In the 21st century integrated marketing communication
is dominant that means a harmonized adoption of different
promotional tools for convincing customers with the most
effective

methods

possible(Jozsa

et

al.2005)The

general

trend is that companies spend more money on below on the

line

communication(BTL)

advertising

(above

and

the

sales
line

promotion

than

communication)

the
.The

international literature concerning sales promotion is very

rich

since

lot

of

books

(Lummins&

Mullin

2002,

Blattberg&Neshin 1990, Schuttz et 1998)were published on

how

traders

and

manufacturers

can

design

effective

campaigns. Most of the studies concentrating on fast moving

consumer

goods(FMCG)

and

investigating

the

planning

and

implementing stages on sales promotion techniques aimed at

consumers and initiated by the manufactures

or retailers.

Another popular direction of sales promotion literature is

the

investigation

of

customer

behaviour

namely

how

effective and cognitivephases (Laroche et al. 2001&2003).

Statement of the Problem:
This

study

aims

marketing

strategies

Urdaneta

City

to
of

determine
selected

specifically

suits

the

fashion
to

importance

of

boutiques

in

the

following

questions:
1.What is the profile of the respondents in terms of:
A. Manager-Respondents Profile
a) Age;
b) Gender;
c) Civil status;
d) Highest educational attainment; and
e) Trainings and Seminars Attended?
4

B.Client-Respondents Profile
a) Age;
b) Gender;
c) Civil Status; and
d) Highest Educational Attainment?
C. Business Profile
a).Type of business organization;
b) Initial capital;
c) Number of employees;
d)Years of operation;
e) Location; and
f) Average monthly sales?
2.What

are

the

degree

of

importance

of

marketing

strategies practices by fashion boutiques in terms of:

a. Promotions;
b. Product;
c. Place; and
d. Price?
3. What is the significant relationship between managers
and

customers

in

the

Marketing

Fashion Boutique in Urdaneta City?

Strategies

of

selected

Research Hypothesis
There

is

significance

relationship

between

the

managers and customers in Marketing Strategies of selected

Fashion Boutiques in Urdaneta City.
Scope and Delimitation
This study will focused on the marketing strategies of
fashion boutiques. It aims to determine the profile of the
manager respondents in terms of age, sex, civil status,
highest

educational

trainings

attended

attainment,
and

the

numbers
profile

of

seminars

of

the

and

client

respondents interms of age, sex,civil status, and highest

educational

attainment.

In

terms

of

business

profile

it

aims to find out the firms initial capital ,number of

employees, number of years of operation, type of business
organization , average and monthly sales and location .It
also aims to determine the marketing strategies practice by
fashion boutiques in terms of promotion, product, place,
price and this study is undertaken in Urdaneta City.

Significance of the Study:

The present study will benefit the following groups:

Fashion Boutique Owners,thestudy will serve as their guide

in formulating strategic promotional strategies that will
surely catch the attention of their loyal as well as future
customers.
Future

Entrepreneurs,

the

study

could

provide

right

attainments in promoting their products and services.

Clients,

this

study

will

benefits

the

client

once

the

identified strategies had been given due attention by the

fashion boutiques.
Future

Researchers,

this

study

will

provide

future

reference and serve as a guide in conducting their study.

For

Students,

different

this

marketing

study

will

strategies

inform
of

them

fashion

about
boutique

the
in

Urdaneta City it can be their reference fo their school

works in their business subjects.
For marketing Profession, the study will serve as their
guide

in

order

to

improve

strategies and effectiveness.

more

about

the

marketing

Definition of terms:
For

better

understanding

of

this

research

the

following terms had been defined orally and operationally.

Sales Promotion refers to the marketing information about
the product and brand.
Sales Promotion Strategies refers to the information and
dissemination,

pricing

and

billing

and

products

and

services provided by the fashion boutiques.

Fashion, refers to a popular style or practiced offered by
the fashion boutiques
Fashion Boutiques, it refers to the stores or boutiques who
offerclothing, footwear, accessories, and make-up.
Manager-respondents,these

refer

to

the

owners

of

the

fashion boutiques who are knowledgeable about the profile

and activities of the business.
Client-respondents,

these

are

the

respondents

who

are

directly related such as parents, teens, professionals etc.

Marketing

is

the

identification

of

customers

wants

and

needs to be able to satisfy them.

Marketing Strategy,It is the broad principles by which the
business units expects to achieve its marketing objectives.

Theoretical framework
This study is based on two theories: 4Ps theory of
marketing mix and Product Life Cycle Theory.
Marketing Mixs 4Ps of Marketing is a theory proposed
by Jerome McCarthy on 1960 which has since been used by
marketers throughout the world. It is use to organize all
aspect of the marketing plan around the habits, desires and
psychology of the target market. The theory of 4Ps stands
for the first P the product, and takes into account its
design, features and competitors. The second P, price, is a
factor that can be adjust to manage demand to determined
profit margin and to drive market share. Promotion is the
third P. it seeks to find which media to engage in order to
make the right people aware of the products benefits and
which slogans, tag lines and logos will resonate with the
target market. Place, the fourth P, determines where and
how potential customers can access the product. This theory
is

related

based

on

to

this

improving

study

because

business

marketing

product

strategy

quality,

is

pricing,

promotional tools being use and the place of the business.

Product life Cycle Theory is an economic theory that
was developed by Raymond Vernon. This theory asserts that
marketing strategies must evolve along with a product from
9

inception through obsolescence. Early in a products life

business owners or managers should tailor their marketing
mix

to

spark

interest

and

educated

potential

customers.

During the growth phase, the efforts shift to secure a

wider audience by building brand loyalty, a stable supply
chain

and

additional

distribution

channels

as

defences

against competitors enter the market. As the market for the

products matures, weaker players are driven out and there
is

little

differentiation

among

competitors.

Marketers

should again shift to attempts to steal market share from

other produces through incentives to distribution channels,
such

as

volume

cooperation
discounts.

advertising

This

theory

in

is

store

related

promotions
to

this

and

study

because in any business theres always a product life cycle

that

is

needed

to

monitor

improvement.

10

for

continuous

strategic

Paradigm of the Study:

Marketing Strategies of

Marketing Strategies of

selected fashion boutiques

selected fashion

as perceived by the

boutiques as perceived

customers;

by the managers;

a. Promotion

a. Promotion

b. Product

b. Product

c. Place

c. Place

d. Price

d. Price

Figure 2
Conception Framework

Conceptual Framework:
The figure 2 shows the marketing strategies of selected
fashion boutiques in Urdaneta City as perceived by managers
and customers on the aspects of promotion,product,place and
price.

11

Review of the Related Literature and Studies

This chapter deals with the related literature and studies

which are related to advertising and promotional techniques
of

business

understand

firms.

the

It

study

will

help

because

readers

important

to

better

details

about

marketing strategies are discussed in this chapter.

Related Literature:

Foreign:
According
Jandoneroetal.

to
,that

Colby

and

promotion

Alkon

(1991)cited

objectives

are

by
to

communicate the information , position products and control

the sales volume. They also pointed out that the use of
free samples; free trial of items and giving freebies could
contribute in the successful promotion of these products in
the establishments.
Proper use of promotional mix could result in the success
of

the

firms.

attention

of

Product
customers

availability
and

involves

increasing

the

getting

the

potential

of

buying process of the customer (Ehmke and Lusk, 2000)

12

It is very important for a marketer or a business

owner to learn the concept of the advertising in order to
capture the interest of an individual with regard to the
companys products or services. The advertising message can
be seen in any place that is use to carry and display the
information about the companys offered services or product
(BrenKent 2008)
Then owner of the firm should produce integrated
marketing communication for an effective promotion. A firm
who produced new products may inform the consumer about
their

offerings

and

discussed

its

benefits

to

their

potential customer (Perreault,Jr. William &Mccarthy, 2005)

cited by Jandonero 2014.
Promotions get harder as more companies clamour
to

grab

the

customers

increasingly

divided

attention

.Firms must communicate that they are good, credible, and

reliable in making their product (Kotler and Keller 2010)
cited by Jandonero et al.
Marketing managers use price-oriented promotions
such as coupons, rebates and price discounts to increase
sales and market share, entice trial and encourage brand
switching.

Non-price

promotions

such

as

sweepstakes

,frequent user clots and premiums add excitement and value

to

brand

and

may

encourage
13

brand

loyalty(e.gaaker

1991

;Shea ,1996)In addition , consumers like promotions. They

provide

utilitarian

benefits

such

as

monetary

savings,

added value, increased quality and convenience as well as

hedonic

benefits

such

as

entertainment,

exploration

and

self-expression (Chandon,Laurent and Wansink 1997)

Local:
Sales promotion is a marketing tool that gives price to
increase the product usage as an expansion of markets for
product or to introduce a new product(Mandoza, 2003) as
cited by Jandonero,et al. 2014
According to Republic Act 7394, sales promotion
means techniques intended for broad consumer participation
which contain promises of gain such as product, security
service or winning in contest game, tournament and other
similar competition which involve determination of winner/s
and which utilize mass media or other widespread media of
information.It

also

means

techniques

purely

intended

to

increase the sales, patronage and/or goodwill of a product.

According
marketing

mix

to

consist

Duncan
of

Ps

2002,

the

(product,

traditional
price,

place,

promotion) calls the four Cs or the new marketing mix.

14

It

has

consumers

been

with

established

repeat

in

purchases

literature

are

that

profitable

only

(Nagar,

2009) it is not every repeat purchase that is connected to

consumers

commitment

of

brand.

However,

consumers

commitment is important for a repeat purchase. Therefore,

business operators need to develop marketing programs that
will

not

only

reinforce

customers

commitment

but

also

encourage repeat purchase.

Sales
activities
service

Promotion
that

perceive

immediate

sales

is

change
by
and

marketing

the

the

and

price/value

target,

2.Altering

of

thereby
long

communication
a
(1.

term

product

or

Generating

brand

value.

(Robinson 1998)

Related Studies:

Foreign:
Although

anintegralcomponent

of

many

marketing

communications strategies, relatively has been written allout the management of consumer sales promotions.Exploresa
framework that examines the relative and importance of key
factors on manager useof two consumer promotional tools;
coupons

and

lucky

draws.The
15

results

show

that

brand

managers

use

extensively

trade

than

and

media

consumer

sales

advertising

but

promotion
do

not

more

consider

sales promotion to be more effective in meeting objectives.

The

current

sample

of

Singaporean

supermarkets

managers

heavily favours price-oriented over non-price promotions.

Concludes

that

managerial

use

of

sales

promotions

is

influenced primarily competition and short-term pressures.

The

findings

provide

tentative

support

for

the

proposed

framework. (Chun Wah,Lee, April 2002)

In

the

study

of

Kola

and

Akinyele

(2010)

cited

by

Jandonero et al.(2014) stated that advertising is effective

in

providing

generating

information,

interest

of

creating

consumer

awareness,

towards

the

and

companys

offerings.
Generally it can be ascertained that only a few studies
aimed at the analysis of sales promotion technique in a
higher involvement product category and there is not such a
comprehensive
thedemand

and

study

that

supply

would

side

at

Veronika, March 2010)

16

analyse
the

the

same

problem
time

from

.(Keller

Local:
In extending knowledge in promotion mix is
generally considered to be more operative and informative
to the business foundation. It supported and looks forward
on what is the main concept of the provided information for
the business offerings. (Revillos, 2006) as cited by
Jandonero.
The study of Caniedo et al. (2003) had found out
that proper knowledge in promotional tools is of great help
in achieving the marketing objectives which leads to the
increase

of

costumers,

and

the

loosening

of

tight

competition. It is also recommended that industry business

should

give

attention

in

informing

their

target

market

about products innovating unique and different designs and

promoting products and services.
According to the study of Pascual (2007) as cited
by Robiso et al. (2012), managerial skills and knowledge in
promotion

are

needed

for

successful

management

of

small

enterprises.
Meanwhile in the study of Domingo et al. (2012),
as cited by Jandonero, has a significantly related to the
personal profile of the owner which involve that male or

17

female, young or matured are looking for something new in

promotion.
According to the study of Belen et al. (2007) as
cited in the study of Capales et al. (2013), most promotion
concerns were included in purchasing contracts to reduce
cost. It aims to minimize the cost of management but at the
same time, to offer customers the complete range of product
requested.

18

Chapter II
RESEARCH METHODOLOGY
This chapter presents the methods that the researcher
was used in this study.

These include the research design,

research instruments and their validation procedures, data

gathering

procedures,

and

the

statistical

treatment

of

data.

Research Design
The descriptive and quantitative research design was
used

in

this

study

since

it

involves

recording,

interpretation, and analysis of conditions that exist. It

describes and deals on the knowledge of the owners in their
marketing strategies of fashion products to the customers
in Urdaneta City.

Subjects of the Study and Sampling Scheme

The subjects of this study were the fashion boutique
owners

in

Urdaneta

City.

According

to

Business

Permit

Licensing Office, there were 25 registered fashion boutique

owners

in

researchers
Marketing

Urdaneta
asked

City.

the

Strategies

Upon

getting

permission
of

Selected

19

to

the

list,

conduct

Fashion

the

the
study

Boutique

in

UrdanetaCity.The

researchers

was

used

the

purposive

sampling method which shows that the data gathered were

enough

to

prove

the

respondents

knowledge

in

Marketing

Strategies.
Respondent of the study
Respondents

Manager

Customer/Clients

15

70

Selected fashion
boutiques
1.Girl Shoppe
2.Abeka
3.Rosett
4.Fashion Ville
5.Oxygen
6.Ninety nine point nine
7.Ditas
8.Value Best
9.Pay for Less
10.Bizzare
11.Kamiseta
12.Mossimo
13.Bopshop
14.NIKI fashion wear and
accessories
15.Mendrez Boutique

Statistical Treatment of Data

The

gathered

data

were

tallied,

analysed,

and

interpreted in accordance with the problems posted in the

study. The following were the statistical tools used to
answer the specific problems of the study.

20

Problem number 1 described the profile of the managerrespondents

in

terms

of

a.

personal

profile:

a1.sex,

a2.age, a3.civil status, a4.highest educational attainment,

and

a.5

personal

number
profile

of
of

trainings
client

and

seminars

respondents:

attended;

b1.age,

b.

b2.sex,

b3.civil status, b4.Highest educational attainment and c.

profile of the business in terms of: c1.initial capital,
c2.number of employees, c3.years in operation, c4.type of
business organization, c5.average monthly sales, and c.6
location.
To answer the problem number 0ne (1) Percentage was
used as a statistical treatment.
Formula: Percentage (%) =f/N x 100
Where: f - stands for the frequency of responses
N Number of respondents
Problem number two (2) described the marketing strategies
practice by fashion boutiques in terms of; a. product, b.
price, c. place,d.promotion
To answer the problem number two (2) Weighted Mean was used
as a statistical treatment.
Formula: WM = TWF/N
Where: WM weighted mean
TWF total weighted frequency
21

N Number of respondents

Mean Values

Descriptive Values

4.21-5.0

Always practiced

3.41-4.20

Often practiced

2.61-3.40

Sometimes practiced

1.81-2.60

Seldom practiced

1.0-1.80

Never practiced

The number problem three (3) it described the significant

relationshipbetween

managers

and

customers

in

marketing

strategies of selected fashion boutiques in Urdaneta City.

To

answer

the

coefficient

problem

of

number

correlation

3,

was

Pearson
used

as

treatment.
Formula:
r=nxy (x)(y)

ny- (y) nx- (x)

Where:
r Coefficient of correlation
X and y scores
N Number of respondents
22

product-moment
a

statistical

LEGEND:
Mean Values

Descriptive Equivalent

0.91-1.00

Very high relationship

0.71-0.90

High relationship

0.41-0.70

Moderate relationship

0.21-0.40

Low relationship

0-0.20

Slight relationship

23