Have you shopped a Target collaboration recently? It seems like they're still a 'thing!' I haven't checked one out since Lilly Pulitzer in 2016 (thank goodness we're past that phase, but also, no judgment if you have some hot pink still in your closet!!). And this headline about Target x Diane von Furstenberg caught my eye.
After sitting through 15 hours of economics this term I wrote in the margins of an HBR case study 'target collabs,' along with other prominent brands within brands such as Stella McCartney for Adidas, See by Chloe, and Marc by Marc Jacobs (note, the topic of the study was software, NOT fashion, but it's me, after all).
The gist of the HBR case was this: "The two-version strategy, though enticing in its simplicity, ignores the psychological phenomenon known as “extremeness aversion.” When buying products, consumers normally try to avoid extreme choices—they fear they’ll pay too much if they go for the most expensive version, and they worry they’ll get too little if they opt for the cheapest. They are drawn instead to a compromise choice—a version in the middle of the product line. Like Goldilocks, they don’t want “too big” or “too small”—they want the product that’s “just right." This usually means that products should be offered with three versions--and the mid-range will likely be chosen. ***see: https://lnkd.in/ddejStwP
I'm always interested in the highs/lows and how/if these collaborations further consumers' propensity to purchase the 'real thing' as mentioned above if it's the only one? Or if they believe that the real thing can be produced with Target margins? Are we in a belief that the Target item(s) are really a compromise of something in the middle? Is there a similar feeling of luxury through some of the collaborations we've seen? (We aren't even touching on fast fashion here; we can save that for another time).
What do you think? 👇
https://lnkd.in/dXuFY24r
President & Co-Founder @ BodiData, Inc
4wBailey's presentation was exceptional. Everyone should be sure to watch it when it is published on Youtube by PI Apparel.