Published by MBA Skool Team, Last Updated: September 02, 2017
Marketing Strategy of Jabong analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Jabong marketing mix, help the brand succeed in the market.
Jabong marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Jabong Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Jabong marketing strategy can be explained as follows:
Jabong is one of the most popular ecommerce portals in India for apparel & accessories shopping. The online e-commerce store is the service that Jabong offers to its customers as a part of its marketing mix. The user interface of the online store has been made consumer friendly so as to help them navigate through the portal with ease with products classified into five distinct categories namely Men, Women, Kids, Sports, and Accessories. Since Jabong has a diversified portfolio there are subcategories within these main categories. Further, it also maintains a fashion blog, The Juice Style Insider, on the same portal to provide its consumer with guides and relevant articles. Overall, Jabong features more than 200000 products from more than 2000 brands which also includes private labels owned by Jabong.
Image: company website
Jabong Price/Pricing Strategy:
Below is the pricing strategy in Jabong marketing strategy:
Jabong’s main revenue stream is from the retail sales in which it charges a profit margin on the sold products from the consumers from its inventory.
The products listed on the online Jabong portal have been priced competitively as it faces stiff competition from several rival e-commerce companies and is also burning cash, invested by the investors, to attract and retain new customers by offering them discounts and deals on the products. Also, Jabong charges a commission from the vendors for providing the logistics, marketing and delivery services to them. This gives an understand in the marketing mix pricing strategy of Jabong brand.
Jabong Place & Distribution Strategy:
Following is the distribution strategy in the Jabong marketing mix:
Jabong has its headquarters in Gurgaon, NCR but has a presence across India. It can be accessed through all digital platforms such as Android phones, iPhones, Mac or Windows with dedicated applications also available for free download. Thus, Jabong is accessible to anyone with an access to a system and an internet connection.
It operates using a managed marketplace business model under which it sources products directly from the brands and stores and stores it in its warehouse based on the demand of the products but also operates as a marketplace for other vendors without storing their inventory and provides them marketing, logistics and delivery.
Jabong Promotion & Advertising Strategy:
The promotional and advertising strategy in the Jabong marketing strategy is as follows:
Jabong is primarily promoted through social media. The digital media is used to enhance the transactions and revenues and social media to increase engagement with its customers. Offline media, which comprises of small portion of its total marketing spend, are used to generate awareness in small towns and cities. Jabong are also focused towards attracting female shoppers more than men. Further it also undertakes frequent sale promotion campaigns by offering discount coupons and vouchers for various contests. Also, E-mail based marketing is done for existing users based on their recent purchase history. Jabong also exclusively uses TV commercials to promote the brand.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Jabong.
Jabong has approximately 2000 employees which are responsible for its service operations. Jabong operates as a low contact service and offers no direct customer service to its customers and they are only exposed to the front end i.e., service delivery and not the back end of the service (service operations). Jabong has its own logistics in place to reach the customers. If the customers need to resolve any issue they can do so only through Jabong help center where several FAQs have been answered or send an email and wait for the response from the Jabong team.
Jabong service is effectively people processing service as it is directed at people and is tangible in nature. The process involves the customer logging into the app or website and then select from the wide range of products available and add it to their virtual shopping cart. The customer can add as many products to the shopping cart as possible. After this step, the consumer can apply any discount coupon or voucher if applicable. They can then choose the payment option, whether they wish to pay up-front using debit/credit card payment or digital wallets or can choose for cash on delivery. An online invoice is generated and shared with user with tracking details of their products. The products are then delivered at their selected address in package labeled with Jabong stickers.
Jabong has no physical location which can be visited for the service encounter. The entire process takes place through the digital Jabong platform which makes it a low contact service. The only physical evidence left is the packaging of the product which is covered in Jabong stickers. The website and mobile app is also an evidence of the physical presence of the brand. Hence, this completes the marketing mix of Jabong.
Jabong is an e-commerce service for apparel, footwear, fashion accessories, beauty accessories, perfumes, home accessories, and other fashion and lifestyle products. The company was started back in 2012 with investments from German Internet company Rocket Internet which invests and incubates internet startup companies.
Jabong, which is headquartered in Gurgaon, NCR, focused on its marketing campaign with prime focus on social media, created their own logistics network and built a brand equity within a short span of time. Its major competitor was Myntra which was later acquired by e-commerce giant Flipkart along with Jabong in 2016.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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