June 8, 2005
the english cut wars (cont.)
Gordon, you identified the flaw in the "Don't do it" argument [i.e the argument that English Cut should not diversify into anything other than bespoke Savile Row suits].This is getting fun. Posted by hugh macleod at June 8, 2005 2:12 PM | TrackBackI have never once referred to suits as "luxury" items [whereas Gordon did, tellingly]. A suit is a suit is a suit. You wear them, for the same reason you wear anything else- to cover up one's nakedness, to protect oneself from the elements, and to identify yourself among your group.
Yeah, bespoke suits are by far the best route, in terms of quality. But they cost a lot of money and take weeks to make. So time and money are the big opportunity costs- for both supplier and customer.
So, let's say you don't have a lot of time or money. What compromises are you willing to make, as a customer? And what compromises is English Cut willing to make, as a supplier?
At least with English Cut, you and I can hopefully have an informed, two-way conversation about this (like you are doing now bwah ha ha ha...). Try doing that with Armani.
Forget Armani and M&S - for me the benchmark to beat is the Endurance range from Ted Baker. It's the first suit that I feel good in, want to wear and it out performs the M&S and low end bespoke I've had. It even came with a free prize - I discovered the rather useful 'passport pocket', 12 months after owning it - no more passport panics at the airport. Didn't realise you should rtm for a suit. Make me a suit as good as the endurance and I'll buy.
Posted by: Guy at June 8, 2005 3:50 PMThis approach you're discussing sounds like a High-Low play from The Marketing Handbook. You can leverage a reputation/product with known high quality to sell a lower-priced product that still has good quality but less options.
Posted by: Sean Winstead at June 8, 2005 4:24 PMEnjoyed meeting you. This photo of you is proving to be pretty popular http://www.flickr.com/photos/richardbyrom/18101423/
Posted by: Richard Byrom at June 8, 2005 6:18 PMHugh,
I think this is what you're talking about:
http://www.emh.co.kr/images/productivity_frontier.gif
(comes from a 1996 Michael Porter article "What is Strategy?)
You're saying that there clearly are competitive positions "on the frontier" where a) English Cut can make a tradeoff that b) satisfies a new set of customers. Being "on the frontier" means you are setting of best practice: no increase in quality can come without an increase in cost, no decrease in cost can come with a decrease in quality.
The interesting stuff happens when you are able to shift the curve out to the right, usually through new technology, but in a niche like yours, you could do things like substitute lower cost materials but use the same workmanship, or perhaps even scrimp a bit on workmanship but add to the experience... the effect is to shift the curve straight up - same costs, better quality.
It kind of all gets back to: are you the best or are you the cheapest? In this case, it is a bit more subtle: are you the best, given a cost level, or are you the cheapest, given a quality level?
If you arrange to come to Calgary, I bet I can help you sell some expensive and some cheap...
Posted by: Terry Rock at June 9, 2005 4:48 AM