The Fashion Channel ( Tfc ) Essay

743 Words May 28th, 2016 3 Pages
Introduction
The Fashion Channel (“TFC”) was founded in 1996. It was the only channel dedicated solely to fashion and was broadcasting 24 hours a day, 7 days a week. TFC was enjoying its success since the beginning. As other companies saw TFC’s success, they were copying the concept and stealing viewers from TFC. By June of 2006, Jared Thomas, TFC’s CEO, determined that TFC had to develop new marketing and brand-building programs to further its growth (Stahl, 2007, p. 2).

Key Strategic Issues TFC had to make drastic changes to its marketing programs due to the lack of detailed segmentation, the age of TFC’s avid viewers and the lower ratings. TFC’s marketing messages were to appeal to a broad group since it had grown without articulating any target segmentation (Stahl, 2007, p.2). However, networks were evaluated positively if they can target specific groups (Stahl, 2007, p.4). According to TFC’s demographic survey, majority of its viewers were women between 35 and 54 years (Stahl, 2007, p.2). Yet, networks that have older audiences generated lower advertising rates (Stahl, 2007, p.4). TFC received a lower rating than its competitors in consumer interest, awareness and perceived value (Stahl, 2007, P.5). The lower ratings led to lower advertising fees. Norm Frazier, TFC Senior Vice President of TFC Advertising Sales suggested dropping the price for a unit of advertising by 10% or more due to low performance (Stahl, 2007, p.2). Based on the evidence cited,…

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