Monday, November 30, 2009

Chapter 10: Products Life Cycle

NGC (New Generation Computing) announced that Billabong has selected NGC's e-PLM for Product Lifecycle Management and e-SPS for Global Sourcing and Visibility. NGC's software will be implemented worldwide as a strategic PLM and global sourcing solution for Billabong across all of the company's regions and brands.
Billabong selected NGC after a detailed and rigorous evaluation of the industry's leading PLM vendors. "We chose NGC based on the functionality and ease of use of their solutions, as well as NGC's deep understanding of the fashion and apparel industries," said Mike Savage, General Manager of Product Development, Billabong International Limited.
"Billabong is an exciting, dynamic company and one of the hottest brands in action-sports apparel," said Alan Brooks, President, NGC. "NGC is honored that we were selected by Billabong, and we look forward to a successful implementation."

Chapter 10: New Products.

Billabong employs separate design teams in Australia, North America, and Europe to create new products that will appeal to individual market places. The design team is in charge of selecting every single detail of the new products. Their final touches are to position the product as high quality and fashionable items. Also, they have to be sure that these are original and have the ''wave'' logo widely recognizable. Moreover, the design team considers ideas from other sources. For instance, Billabongs model Tori Praver worked together with the design team to create this Tori Praver design for Humanity bikini.

Monday, November 23, 2009

Chapter 16: Personal Selling‏

People that shops at Billabong are really satisfied with the treatment that they receive at the stores. Therefore, to quench customers’ needs and questions, Billabong is really careful at the moment of picking up their employees. Normally, Billabongs salespeople are surfers, skaters, and snow boarders, with the goal of have employees feeling comfortable with the store products and environment to transmit that feeling to customers. Also, they hire extreme sorties for the knowledge they already have. For instance, a surfer employee knows a lot of things about surfers’ wants and needs; therefore, he/she could easily help a customer, being natural and relax wipe working. Billabong employees are always fresh and young people, friendly and open to customers, giving them the confidence to ask for anything they need.

Chapter 16: Sales Promotions

Billabong is not a company that uses sales promotion as often as a strategic plan. For instance, they put on sale few products that weren't sold in the season they belong to. For example, in Soho New York, the store has a small wall with products on sale. There they are using a premium sale promotion, offering mans flip-flops on regular price and the second pair 50% off. They are also selling few board shorts on rebate with a 20% off. As we can see, these promotions aren't made to attract or enhance lower price searchers consumers. In fact, is not common to find Billabong's products in a Billabong store on sale.

Monday, November 16, 2009

Chapter 15: Public Relations



One of the ways billabong maintains a high public relation is getting public publicity by sponsoring or organizing championships. Some of their own championships are International Flow Championship, ASP World Junior Championship, OCCY's Grom Comp, and Billabong Pipeline Masters. Another way Billabong gets public publicity is by sponsoring pro surfers, skaters, and snowboarders from all around the world. These sportiest have a contract with the bran getting billabongs products for free with the condition of wearing and using them all the time. This sportiest are chosen by their professionalism and popularity; for example, Hawaiian surfer Granger Larsen, Brazilian surfer Maya Gabeira, skater Bucky Lasek from Maryland, skater Lacey Baker from California, snowboarders Clint Allan and Jamie Anderson, and body boarder Matt Lackey. Also, all of them are part of billabongs different teams based on the sport they play.

Chapter 15: Billabong ads

Here are some more Billabong Advertisements samples.


Feel beautiful and enjoy...Love Billabong.

Billabong Commercial.

http://www.youtube.com/watch?v=gQ2BmPnOBmQ&NR=1#watch-main-area

Sunday, November 15, 2009

Chapter 15: Advertising

Billabong uses an institutional advertising strategy. As a clothing brand, billabong commonly doesn't advertise just one of its products. Their advertisements are made to build up and make more popular the image of the company. As we can see in this add, billabong is not advertising a specific product, it is just promoting the name ''Billabong''. This advertisement shows three ''friends'' in a sunny day, enjoying, laughing, and having fun in their way to the beach. We can also infer that they are feeling sure, beautiful, and comfortable wearing billabong clothe. These kinds of ads are published in teens and sport magazines, wed sides, channels, and in many kinds of outdoor media. Billabong advertisements are also always implying their slogan ''feel beautiful and enjoy...Love Billabong'' in their pictures and images.

Monday, November 9, 2009

Chapter 17 : Dividend Announcement

21 August 2009: Directors resolved to pay a final dividend of 18.0 cents per share, franked to 50%. This takes the full year dividend to 45 cents per share, representing a full year payout ratio of 63.7% of NPAT, excluding the impairment charge. The unfranked portion of the dividend is declared to be conduit foreign income. Australian dividend withholding tax is not payable by non-resident shareholders on the unfranked portion of the dividend sourced from conduit foreign income.

The record date (books closing date) for determining an entitlement to the dividend is 25 September 2009 and the dividend will be paid on 23 October 2009. Trading on an ex-dividend basis will commence on 21 September 2009 (four business days before the record date in accordance with the timetable laid out in Appendix 6A of the ASX Listing Rules).

The Dividend Reinvestment Plan (DRP) was approved by the Directors on 21 August 2008. In the financial year ended 30 June 2009, the DRP was offered to ordinary shareholders for the first time and provided the opportunity to acquire fully paid ordinary shares, without transaction costs, at the prevailing market value less 2.5%. For the final dividend to be paid on 23 October 2009, the DRP is optional and offers ordinary shareholders the opportunity to acquire fully paid ordinary shares which rank equally with all other shares issued, without transaction costs, at the prevailing market value. A shareholder can elect to participate in or terminate their involvement in the DRP in respect of the 2009 final dividend at any time prior to the record date of 25 September 2009.

Chapter 17: Billabongs Revenue.

Chapter 17: Billabong Share Price

Billabong is sweeping back into favor; with the Gold Coast surf wear giant's shares on April 29th closing above $10 for the first time since December. The Burleigh-based company has been riding a wave of renewed optimism that the US market has finally turned the corner, punctuated last weekend by rosy comments from US President Barak Obama's economic adviser Lawrence Summers. Mr Summers said the 'sense of unremitting freefall' evident in the US economy a month ago had disappeared. On Monday August 24th, Billabong's shares temporarily shot to a high of $11.05 thanks to a trading glitch, before sliding back to finish at $9.43. But April 29th, the surge began in earnest with the shares jumping 7.6 per cent to close at $10.12 -- adding almost $1 billion to Billabong's value since February's low of $6.09. Brokers were at a loss to explain the sudden favoritism.

Monday, November 2, 2009

Chapter 13: Retailing

Retailing ere All the activities directly related to the sale of goods and services to the ultimate consumer for personal, non-business use. There are different classifications of retailing which are Ownership, level of service, Product Assortment, and Price.

  • Ownership: Independent, Retailers Chain Stores and Franchises
  • Level of service: it can go from self services like factory outlets and Warehouse clubs, which provide low service, to full service like Exclusive stores, which provides every kind of services that consumer could need.
  • Price: The amount of money the retailer makes as a percentage of sales after the cost of goods sold is subtracted.

There are also non store retailing, which are companies that offer their goods and services without having a store. For example, Automatic vendors are the machines that offer goods for sale. Another non store is Direct Retailing; this retail classification is based on the selling of products by representatives who work door-to-door, office-to-office, or at home parties. A third non store retailing is Direct Marketing, this retail use techniques to get consumer to make purchase from their home, office, or another non retail setting. The last non store retailing would be Electronic Retailing; they encourage consumers to shop online at home.

Retail promotion strategy is all about Advertising, Public Relations, Publicity, and Sales Promotion. The site choice is also a part of promotion strategy. It is important to investigate for Economic growth potential, Competition, and Geography. Also the Atmosphere is the overall impression conveyed by a store’s physical layout, décor, and surroundings. Presentation of the Retail Store is what attracts consumers to visit a store, Employee type and density, Merchandise type and density, Fixture type and density, Sound, Odors, and Visual factors are aspects that consumers look in a store as part of service.

Sunday, November 1, 2009

Chapter 13: Billabongs Retail

Billabong currently has around twenty company-owned stores across Europe and Hazell says it has plans to grow as suitable opportunities arise, whilst not compromising its core business as a wholesale driven operation which sells to surf and board sports stores worldwide.
"Retail offers Billabong an opportunity to showcase our product portfolio and this helps us drive brand value and awareness," adds Hazell. "In these situations, it's critical that the IT platform is both robust and efficient, and sits comfortably within the retail environment."
"We chose VC STIMELESS because it's the only truly international retail software vendor for a retail like us, and it was fundamental to our growing needs to integrate regional and country specific retail practices, like fisility and legislation, as well as have instant support for our staff in their own language," concludes Hazell. Anticipated benefits of the new system include:
  • easier to use and learn for store staff
  • improve (more informed and quicker) customer service, especially at busy times
  • significant reductions in surplus and discounted stock through improved forecasting
  • fewer returns to the central warehouse
  • cost savings and increased performance
  • less shrinkage
  • improved accuracy on inventories
  • less paperwork, so considerable times savings
  • fewer errors than with previous manual processes (e.g. supplier tracking)
  • real time information and improved management reporting