Topshop Report
Laura Johns
Betzy Matitico
AMM 420 Market Research Analysis
Professor Faraone
April 24, 2015
1. Overview of Company
Topshop is a retail store that first started in 1964. It was originally spelled as Top Shop
and was a branch inside the department store of the Peter Robinson Limited chain. It originated
in the UK and has expanded to other countries across the world. In the 1970s it finally became its
own store. It currently has over 500 stores worldwide and 300 of those stores are located in the
UK. Topshop is currently owned by the Arcadia Group. Topshop has become a popular
fashionable retail brand over the years. They have everything from clothes to makeup to shoes
and accessories. They even have expanded to selling men’s clothes and calling that line Topman.
They have gained worldwide popularity through their participation in London Fashion Week and
by collaborating with celebrities like Kate Moss. Topshop’s main goal is to provide current style
trends to people all around the world. When talking about the business of Topshop in the recent
economy, the chairman of Topshop, Sir Philip Green, has said, "I’m almost embarrassed to say
it’s OK…We can sell two-for-$18 jerseys and a $500 dress within 15 feet of each other. That’s
the secret. We have something for everyone...People are always going to go shopping. A lot of
our effort is just: 'How do we make the retail experience a great one?”
2. Overview of financial results
Total Sales
Profit
2011-2012
£2,679.0 million
£166.9 million
2012-2013
£2,682.6 million
£148.1 million
2013-2014
£2,706.5 million
£143.1 million
This table shows the total sales and profit for Topshop over the past three years. Since 2011,
sales have increased each year which is good for the company. When looking at profit though, it
has decreased every year since 2011. This is bad for the company. Even though they are still
making millions they aren’t making as much as before.
3. Target Market and why
Topshop’s main target market is for young, fashionable women in their 20s who are on a
budget. They try to attract students as well by offering a ten percent discount to them. Their goal
is to attract consumers who are fashion forward and have a good sense of their own personal
style. Topshop wants to be a brand that all consumers can wear to create their own individual
style. The former brand manager for Topshop, Jane Shepherdson, has said “Officially our target
market is 15 to 30-year-old women, but internally we target everyone who loves fashion,
regardless of age or income. The impact of the media has meant that everyone knows what the
celebrities are wearing, where they got it, what the designers are showing on the catwalk and so
on…” Topshop choses to reach this target market because young people are the people that are
usually the most interested in current fashion brands and that is what Topshop is all about.
Young consumers are more likely to spend money frivolously so, they use things like
advertisements and the student discount to influence their purchasing behavior.
Even though they have a brand called Topman that isn’t their main target market. Men
are a lot harder to reach in this market than women.They are definitely trying to expand that part
of the brand though.
Another huge target market that they are trying to reach is the United States. They are
trying to gain popularity and branch out even more over there because it would be a great
opportunity and benefit for them.
4. How does the company acquire their product?
Many of the products that are sold in Topshop stores are made in factories in the
countries of Sri Lanka, India, and Bangladesh. Topshop and other retail companies have come
under fire for buying from factories that pay their workers very little and make them work long
hours.
Topshop acquires the products they chose to make and sell in their store by seeking out
new design talents throughout the UK. They also team up with famous people to launch
collections throughout their stores. They work with designers like Tracey Boyd and Tristan
Webber. In 2007, they partnered with Kate Moss who designed an exclusive collection for them.
Beyonce also recently made a deal with Topshop to launch an active wear line.
5. Analysis of Topshop’s web/social media presence
Followers on Facebook = 3.9 million
Followers on Instagram = 3.9 million
Followers on Tumblr = 1.11 million
Followers on Google Plus = 2,396,643
Followers on Pinterest = 104,763
Followers on Youtube = 52,526
Followers on Linkedin = 80,822
Followers on Blog = 8,059
Topshop Google Trends report over 10 year period:
Topshop Google Trends report based on regional interest:
What’s not working:
-lack response on social
-responds too late when
-need to work on their blog
media to body image issues; faced with angry media and and tumblr outreach;
refuses to apologize
sensitive bloggers
emphasize on digital age
Competitor Analysis:
Followers on Facebook : 2
Million
Followers on Instagram:
880,000
Followers on Google Plus:
192,387
Followers on Twitter:
319,00
Followers on
Pinterest: 28,417
River Island can be seen as their main competitor, because River Island is always on the
related section on google trends, which means that this is what people search for other than
Topshop. Although River Island does has not reached the follower base that Topshop has on
Instagram, they certainly give them a run for their money on Facebook following. River Island
has two million followers, whereas Topshop has almost four million followers. On the other
hand, River Island does not have the magnitude of controversies that Topshop is infamous for.
This small competitor may just have what it takes to take their public relation skills to their
advantage.
Recommendations:
As a company produces multiple million in sales alone, it can be very easy to overlook
some key strategies in social media outreach. Firstly it is recommended to not just depend on
social media analytics. The engagement score does not mean its necessarily positive engagement
Respond much faster to the controversy, because bad publicity is not always good publicity. The
likes per post on Facebook do not reflect a positive reflection on follower engagement. If you
can afford Facebook advertising, please do so. The likes on the page do not mean anything if the
viewer’s cannot see the page’s posts. Topshop Tumblr is nowhere near where it should be
considering that their target market is so young and social media savvy. Their google trends
report reveals that their popularity is decreasing on the web, whereas their target market is
always online. Topshop’s Blog is one of the lowest followers in comparison to their other social
media sites. Most importantly, there needs to be a dialogue between the company and the
customers, instead of just selling to them.
6. Analysis of the three stores

Topshop (Oxford Circus)
Very inviting staff  boba shop

4 floors

tile floors

mixed floor layout 

vast assortment

cupcake shop
Topshop (Kensington)

nonchalant staff

2 floors

no mens apparel

limited merchandise

basic assortment

.
messy floor; recovery
needed

cramped fixtures and rolling racks

diverse accessories
● long stairway; less
wheelchair accessible
● tiny makeup assortment
● angular/mixed floor layout
(to save space)
● very crowded
.

cupcake shop

braiding services

full makeup counter
barbershop
Topshop(Shepherd’s Bush)

two floors

inviting staff, particularly men’s

both men and women clothing
offered

men’s suits and tailoring offered

very messy shoe area

vast assortment

captivating window display

mixed floor layout

clean isles and floors

adjacent to Zara

.
Topshop (Oxford
Circus)
Topshop
(Shephards Bush)
Topshop
(Kensington)
7. Major differences between the three locations
Specific target market:
● Kensington Topshop did not target men at all due to their lack of merchandise
● Oxford Circus Topshop specialized in both men and women, by offering barbe
and braiding services
● Shepherd’s Bush relied on local student and teenagers to be their shoppers; also
tourists
Location
● Oxford circus is located in what locals would call a tourist trap
● Shepherd’s Bush Topshop is also located in a tourist trap that boasts luxury retail
stores throughout the entire shopping center
● Kensington is near a tube station just like Oxford Circus , but is not nearly as busy
● Both Oxford Circus and Kensington were near a tube station
Merchandise Assortment
● Oxford Circus had the biggest assortment and was surprisingly very well kept
● Shepherd’s Bush had the second largest assortment and dealt with both genders
● Kensington had the smallest assortment and only dealt with one gender
8. Based on your analysis of the three locations, what changes would you make to the
overall strategy of the company?
The first opportunity we see is at the Topshop in Shepherd’s Bush. Their location might
not be right next to a huge tube station, but they are very close to schools. It would be
recommended to work with their marketing and reductions team to emphasize not only on
student discounts, but student exclusive sales. If Topshop manages to catch their target market
while they’re young, they are that much more likely to keep them as they age. Therefore, not
only would they make immediate sales, they would also be honing their key target market. In
general, this strategy would be key to emphasizing on the digital age of consumers.
The second strategy would be to use their social media channels in an empowering way.
Just a couple of years ago, Marc Jacobs created a huge buzz by creating pop-up shops all over
the U.S. This time they’re doing it again. According to an article from Punch Communications,
they outdid themselves by doing it in the U.K. The use of their social media outlets to create a
buzz, can give an opportunity to have pop-up shops and test out new products. Additionally, this
also gives Topshop an opportunity to further their brand recognition through an online outlet.
The third strategy would be to emphasize on their public relations. Although companies
like American Apparel are infamous for body image controversy, Topshop does not have to be
one of them. Their public relations team can be their best friend or worst enemy, it is up to the
company to make a change and make a change for the better.
9. Based on your research, what are some job opportunities for AMM graduates when
Topshop rolls out more stores in the USA?
AMM graduates have a lot of upcoming job opportunities with Topshop since there are
starting to open more stores in the United States. Graduates have the opportunity to be a personal
shopping host, online production assistant, buyer, and more. They have the opportunity with
Topshop to explore any career path their desire in the fashion industry. So much goes into
making what Topshop is today so jobs would be readily available for graduates. Working in the
fashion industry can be tough because it is competitive, but there are many opportunities and
avenues to explore and one of those could be Topshop. It would be a great place to work for
graduates who desire to work for a top fast fashion retailer.
10. Conclusion
We think this fast fashion retailer is so successful because they are constantly changing
their merchandise and selling the most current trends. They also provide consumers with a cheap
price which is a plus. They also have a big social media presence which influences younger
consumers to buy from Topshop. If Topshop continues at this pace, they will only continue to
gain greater popularity and success in the future.
‘
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