The Fashion Channel

Problem Statement

The Fashion Channel was a successful cable TV network. It wasn’t long before the network realized that other networks were taking note of its success and beginning to add fashion related programming as well. The Fashion Channel needed to boost segmentation, positioning and advertising in order to maintain their current standing. Dana Wheeler was hired to draw on their strengths to help TFC eliminate competitors. TFC realized they need to focus on their target market of women between the ages of 18 to 34 years old.

Overview of Recommended Action

Dana Wheeler should consider the following these steps in trying to increase ad revenue:

1. She can target segmentation and position towards women between the ages of 18 to 34.

2. She can place more focus on the Fashionistas segment and spend additional income on programming.

3. She can target these two segments-the Fashionistas and the Shoppers/Planners.

Plan of Action

The Fashion Channels situation arose from an increase in competition from existing rivalries. The Channel was known as one of the most widely available niche networks. It reached almost 80 million U.S. households that subscribed to cable and satellite television. According to its annual demographic survey, it became evident that women between 35 and 54 years were its most devoted viewers. Aside from basic demographics, the channel didn’t have adequate detailed information about its viewers. Accordingly, it never attempted to market to any viewer segments in particular. In order to increase the number or viewers, Jared Thomas believe that TFC’s marketing message should appeal to as broad a group as possible. Dana Wheeler knew it was crucial to attract a critical mass of viewers who were interested in the network’s content. The challenge she faced was targeting the right viewers and offering advertisers an attractive mix of viewers. She knew it was important to maintain its overall audience, so she was left with three alternatives.

Alternative 1 for Wheeler was to do a research on women. TFC’s target market was women aged 18 to 34. Wheeler first considered examining the segments of Fashionistas, Planners & Shoppers, and Situationalists. She knew that investing

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