During times of recession, sell direct
MANILA, Philippines - At the launch of Hush, an intimate apparel label under Red Logo, purveyor of affordable clothes and affiliate of Golden ABC, which also holds Penshoppe and the recently acquired Regatta, the hot topic wasn’t so much the svelte models sashaying down the runway in pretty underthings, but the state of retail.
Their marketing strategy aims to reach a larger market through what they’ve termed a “magalogue,” essentially a look book with the latest styles from Red Logo’s direct selling labels, which includes Fuel, a casual teen line, Agenda, corporate wear, Truth, a “casual luxe” line that aims to bridge the gap between casual and corporate (think casual Fridays at the office), and Hush, the recently-debuted underwear label.
“The style bible gave our direct sellers a definite sales advantage,” says Ricky Sy, Red Logo’s COO. Instead of a catalogue, the look book was a lifestyle pitch, with its editorial finish, glossy pages and glamorous cover girl (Donita Rose suited up in Agenda’s safari-themed apparel).
“In a difficult economic environment, direct selling thrives as people look for additional sources of income,” notes Sy. “Since direct selling requires a very minimal investment — P60 is all you need to buy a Red Logo magalogue and start earning from each order — we believe this is the right direction to take.”
Their marketing tool has proven effective so far. “We exceeded our target by 20 percent,” says Sy of the company’s first year performance.
To date, many of Red Logo’s dealers and direct sellers are made up of students and young professionals, fledgling businesspeople who know all about fashion and have a network of friends keen on purchasing the latest trends but without the buying power to do so.
Direct selling companies like Red Logo provide a service that seems to resonate with consumers during trying economic times. Since recession-conscious shoppers are less likely to throw down a cool P1,000 on a flimsy dress these days, what with looming doom-and-gloom stories peppering the news daily, shopping via an outlet that’s cheaper — expect major markdowns since final price points aren’t subject to mall rents or numerous other charges — and provides business for peers seems like a mutually beneficial way to shop.
And nothing beats shopping for a good cause.
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Red Logo is located at Sherwood Place, 2264 Taft Ave., Manila (tel. 536-5474); Waltermart, North EDSA, QC (tel. 332-1232/332-1235); Starmall, Shaw Blvd., Mandaluyong City (tel. 721-0645); and Starmall Alabang, Muntinlupa City (tel. 807-7621/807-7591).
