This side is made by a group of students from NYP, BM class BF, for our BM0203 Retail Store Management ICA2 group project.




Nanyang Poly
Business Management Retail
BF Team 3
D&G

Team Members: Lesley (Leader), Isabella, Pei Ni, Jaslin and Shao Ran.




Dolce & Gabbana Group
In 1985, the company was founded by the Italian designers Domenico Dolce & Stefano Gabbana in Milan, Italy. Black in color and geometric in shape are the usual designs for their clothing.

By March 2008, the Group’s consolidated revenues have increased by 21% reaching €1,266.6 million. Wholesale revenues reached €1,652.1 million, 55% for the Dolce&Gabbana brand and 45% for D&G. In addition to being the sole owner of the two brands, the Group is also wholly responsible for the management and control of the three business divisions: Production, Distribution and Licences.

Additionally, as of 31 January 2009 the Group has an overall workforce of 3,828 personnel and a distribution network comprising 116 directly operated stores and 17 factory outlets.

Furthermore, the group has two central brands:



Specializes in luxury items, is influenced more by designers and is more formal and 'timeless', responding to long-term trends rather than seasonal changes. It also sells sunglasses and corrective eyewear, purses, and watches. In February 2010, it was announced that American singer Madonna would design a collection of sunglasses set to be released in May of that year. They also have a set of fragrances, for men and women.

Slightly more casual line that follows an urban inspiration and attempts to set trends rather than follow them. It is the younger, more flamboyant line of the brand. Like Dolce&Gabbana, D&G sells watches as well as clothing, and have been voted the U.K's best luxury brand. In 2005–2006, a limited line of 1000 golden D&G Motorola RAZR V3i mobile phones were distributed by D&G boutiques and major Motorola retailers. In July 2009 D&G signed a lucrative deal with singer Alexandra Burke which will see her model their fashion lines in her music videos and in promotions.
D&G pricing approach
Thursday, July 8, 2010 @ 2:18 AM

D&G mainly focus on premium pricing approach.

Premium pricing is used when the product has one or more unique characteristics. This uniqueness differentiates the product greatly from competition and creates a significant competitive advantage. This strategy demands a high-quality item to merit the high price. Because of the extremely high price, premium pricing generally is a short-term strategy as competitors are attracted to markets with high-margin items. The length of time you can charge customers a premium price depends on the sustainability of the competitive advantage — the greater the sustainability, the longer time premium pricing is a viable option. For example, D&G set its price very high because its unique design and superior quality compare to other brands.

Advantage of premium pricing approach:
Premium pricing can be used to improve brand identity in a particular market. This is called price-quality signaling, because the high price signals to consumers that the product is high in quality. D&G use this strategy to give their product an aspirational image.

However, D&G sometime also use price skimming approach to maintain the competitive in the market.

D&G has to use price skimming for some of their products. For example, pants, shirts and jeans.becuase there are too many competitors in the market. If there are too many competitors, each with a full line of products in the varying stages of the product life cycle, buyers will find it difficult to make decisions based on quality or service or value for the price. Inevitably if there is too much competition for the same buyer, the buyer will look for the laptop with the most features at the lowest price. Therefore, If D&G keep premium pricing in some of the product line; they will lose the market share and the reputation,brand indentity will also be hurt.

by ShaoRan