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Retail Marketing of Billabong Clothing Company - Case Study Example

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The paper "Retail Marketing of Billabong Clothing Company" is a perfect example of a case study on marketing. Billabong has been recognized in Australia as well as in European nations for more than 20 years in the boardsports sector, though it has a limited customer base and experiences cut-competition. …
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The paper "Retail Marketing of Billabong Clothing Company" is a perfect example of a case study on marketing. Billabong has been recognized in Australia as well as in European nations for more than 20 years in the boardsports sector, though it has a limited customer base and experiences cut-competition. This report analyses how Billabong’s business environment as well as the impacts of its acquisition. The paper provides a strategic plan for future recommendations. Nonetheless, Billabong should have a good marketing strategy so that it can overcome its competitors such as Rip Curl and Quicksilver. The study has been divided into three sections, the first section is the introduction and then followed by retail marketing strategy and final recommendation. The introduction section comprises of history of Billabong and competitors/sustainable competitive advantage. The second section, retail marketing strategy, discusses the current retail market strategy, and it considers the firms' communication mix as well as its retail mix. The second section also discusses the firm’s physical location. Lastly, the recommendation section gives a projection of the future retail strategy.

  • HISTORY OF THE COMPANY

According to Billabong (2012), Billabongs mission statement is “Famous for setting standards in the board sports by developing youthful lifestyle brands as well as experiences.” Billabongs foundation objectives include a commitment to brand protection as well as enhancement, deliver the return to the shareholders, expand in new geographical markets, and expand product range as well as professional staff development.

According to Aggarwal (2011), Gordon Merchant and Rena were the initial founders of Billabong. In 1973, Billabong was founded along Australia’s Gold by the Gordon Merchant and Rena, surfer and surfer board shaper respectively. During those early days, the pair designed boards’ shorts from home. The pair would cut them out on the kitchen tables and then cart the product around to the hometown surf shop so that they can sell.

The business venture started off well since surfers were attracted to their board shorts that were superior. The board shorts were also more durable owing to the distinctive triple-snitching method used by Gordon. Best local surfers were introduced to Billabong and were incorporated in the marketing of the brand. Billabong sponsored contests that would be followed by special events. By the 1980s, the firm had established itself firmly in the Australian surf culture and was warming up for international expansion (Boal, 2009).

In February 2012, Billabongs shares were halted after it requested owing to reports of an A$776 million offer from a United States equity company, TPG Capital. The following day the firm announced its major restructuring plan and 150 outlets were to be shut down and 400 full-time jobs were to be lost globally, this included 80 in Australia. 

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