Verity Marketing      Marketing that gets to the point.
	33 Stilwell Av. 102 3GW Tel 01223 783412 Fax 01223 78400 www.xverityx.com e-mail don.alwood@xverityx.com

Steve -

1. There is a large difference in Hapman's and Ausweiss's corporate images.

2. People think of Ausweiss as a company that makes outdoor and leisurewear for teens and young adults. Their product is seen as a luxury good.

3. Many young people think of Hapman's clothes as 'clothes your parents wear.' Everyone agrees that Hapman's are a good price and good value. They will buy Hapman's for everyday wear, but profit margins are small in comparison to Ausweiss

4. Older people buy Hapman's because they know and trust the brand, and because they are less concerned about fashion, and they are not a part of Ausweiss' target market.

5. The corporate identity that Ausweiss wants is of a company for teens and young professionals. In theory, people wear Ausweiss for going hiking in the mountains, but our research shows that it is more likely to be worn to barbeques, or for going shopping with friends

6. The Ausweiss logo - (see pic) is recognised by 70% of young adults and 92% of teens. The Hapman's logo had 78% and 85% recognition in the same, even though our brand is much older.

7. Because the main selling point of Hapman's clothing is affordable everyday wear, it is not possible to increase margins by raising prices without encountering price resistance from our core market. The same core market would be upset by any attempt to reposition Hapman's as a brand for young energetic people.

Analysis: There is a small market for outdoor clothing targeted at older customers because Ausweiss doesn't try to sell to this group. However, if we want to go head-to-head with Ausweiss, we can't use the Hapman's brand. Hapman's will have to create a new brand for the teens and young adults

1. False
Ausweiss is seen as a luxury, Hapman is seen as everyday clothing.

2. True
If profit margins are slim, you do not make a lot of money from each sale.

3. True
Ausweiss targets the young adults/teens market..

4. False
Ausweiss clothes are mainly used as casual wear rahter than for hiking, camping or hunting.

5. True
Ausweiss customers like people to think that they are outdoor, adventurous people.

6. True
Older people remember Hapman's because they have seen it often, but young people who have seen both logos, remember Ausweiss more.

7. True
Older people are less concerned with an outdoor, adventurous image, and like Hapman's sensible prices.

8. False
If Hapman's tried to reposition itself, it would lose its core market of older customers..