Toms Shoes: 4PS, Innovation, and Marketing Recommendations

Subject: Case Studies
Pages: 7
Words: 2076
Reading time:
8 min
Study level: College

Introduction

TOMS Shoes is an organization founded in California and operates in several markets across the globe. It was formed by Blake Mycoskie after he experienced poverty among peasants in Argentina, where the villagers could not even buy a pair of shoes (Hammond, 2020). Mycoskie returned to the US with a mission of making shoes. He went from one retail establishment to the next with a one-of-a-kind business concept. The background to the formation of the organization informed its strategies. For example, the 4Ps of TOMS Shoes reflect a unique business concept adopted by the organization. The price charged on the products includes the help for the poor in society. The organization has also embraced technology, especially in promoting the product. TOMS Shoes has become a global organization with branches across the world.

Moreover, TOMS Shoes has embraced innovation and creativity through its products and content. It provides content, goods, and services related to its social cause. TOMS indicates that the data in promotional materials are appropriate and capable of forming immediate connections (Tezer, Bodur, and Grohmann, 2020). In addition, the contents are beneficial to customers across the globe. TOMS recognizes that the monetary value of coupons should be used to benefit society. The organization is also committed to providing innovative products that meet the needs of consumers. For example, TOMS collect views from different customers of all ages to design shows that attain their needs. Therefore, this report will analyze TOMS using the 4Ps marketing model and innovation as well as reflect on my learning from the module.

4P’s for TOMS Shoes

The 4Ps of marketing are one of the main ideas adopted by most organizations. It consists of product, price, place, and promotion (Bohnenberger et al., 2019). A product is a tangible or intangible item produced by an organization to fulfill its target market’s needs. Price is integral for an organization and customers because it significantly contributes to its profits and survival. Promotion is crucial in the marketing of a product as it boosts the organization’s brand and sales in the market (Bohnenberger et al., 2019). A place is a geographical location in which an organization sells its products. Organizations are shifting their operations from physical stores to online stores in the contemporary world. Therefore, the 4Ps are integral for organizations’ success in the market.

TOMS Shoes use the promotion to add value to their products in the market. For each sale, the organization established a one-for-one business model, in which they guarantee to provide a pair of free shoes to the poor and needy (Tezer, Bodur and Grohmann, 2020). This model is promoted on their website, Twitter, Facebook, and Instagram. For example, on the website, the “how we give” section has an emotive video showing various ways the One-for-One model assists those in need. TOMS also started a campaign entitled “One Day Without Shoes,” in which individuals were urged to upload a photo of their bare feet on Instagram (Tezer, Bodur and Grohmann, 2020). This helped improve people’s lives and how their consumers can contribute personally by purchasing a TOMS product.

TOMS Shoes has a pricing strategy that considers the needs of the people. The price of the shoes ranges from $40-110 depending on the value (TOMS Shoes, 2021). It is doubled so that additional funds can be donated to a needy child. The strategy ensures that customers understand the world’s issues and partake in offering solution. Additionally, the fleece TOMS Shoes are priced at $68 for specific customers. Furthermore, the organization offers vegan-designed shoes at a slightly higher cost in the market. There is also a boot option priced at $77 due to its value (TOMS Shoes, 2021). The pricing strategy is linked with a charity to promote sustainability. Therefore, the pricing used by TOMS is to make sure that the customers participate in social welfare.

TOMS products are modeled using the Argentine alpargata design, normally flat. However, fashion evolution is also available in high-heeled shoes. They are often composed of canvas or cotton cloth with a flexible rubber sole. TOMS also offers various styles such as Cordones, Botas, Wedge, and the Wrap Boot (TOMS Shoes, 2021). The organization is a well-known fashion brand in high demand, particularly among women. The products are well-known for their flexibility and lightweight design. It does not hurt an individual’s feet and keeps them stable while walking. Therefore, the products are designed to provide value to customers.

TOMS has expanded its product line beyond shoes to include TOMS t-shirts, hoodies, and hats. Any merchandise purchased includes the one-for-one movement guarantee, which means that for every t-shirt ordered, a pair of shoes will be provided to a child in need. TOMS has also begun selling the TOMS flag as well as stickers, pendants, and gift cards (Tezer, Bodur and Grohmann, 2020, p.725). In addition, TOMS Shoes has lately announced the expansion of its one-to-one strategy into eyeglasses. The organization will now sell eyeglasses, and for each item purchased, the brand now provides spectacles to those in need who would not be able to buy them otherwise.

TOMS sells its products through physical stores and online platforms. Although the organization is situated in Venice, California, it has stores in several markets (Tezer, Bodur and Grohmann, 2020, p.712). The organization started selling the products from phone orders and later evolved to be sold globally in retail stores and through the internet (Tezer, Bodur and Grohmann, 2020). In addition to the physical stores, TOMS Shoes has an interactive website where they sell the products online. A customer interested in buying a shoe can make an order online regardless of their geographical distance, and the company will deliver. As a result, the organization sells its products through physical stores and websites.

TOMS Shoes Innovation and Creativity

TOMS Shoes delivers content, products, and services linked to its social cause. When generating marketing material, it ensures that the information is relevant and can create quick connections (Tezer, Bodur and Grohmann, 2020). The contents created are useful tool in marketing because they help attract and retain customer. The organization understands that content must have a human worth in addition to discounts and coupons. And when an individual buys a product, TOMS tries to emphasize the impact the customer is having on the world, as though they are changing it for the better. In this approach, it makes its customers feel like active partners in its social goal (Tezer, Bodur and Grohmann, 2020). The creativity of the TOMS is experienced through the contents designed.

TOMS has constantly modified its social mission to suit its consumers’ shifting social objectives to remain relevant in a fast-changing environment. Since its inception, it has expanded its product line and its dedication to social change (Tezer, Bodur and Grohmann, 2020). For example, when a customer buys a pair of TOMS sunglasses, the organization will provide eye care to a person in a developing country. The organization remains relevant to its customers even if they do not wish to purchase new shoes by diversifying its product line and making social commitments. In addition, the organization has remained committed to social affairs to attract the public. Therefore, the organization’s strategy helps make the products appealing to the public.

TOMS Shoes has a culture of innovation that guides its operations. Innovation is a requirement for survival in the highly competitive economic world in the contemporary world. The organization is well aware of the situation and has strived to become innovative and creative (Tezer, Bodur and Grohmann, 2020). They are meeting the needs of millennials through their products and by becoming a digital pioneer. To inspire creativity in the team, the team has devised a strategy known as to try, test, and fast. This innovation culture is crucial because TOMS must constantly experiment with new products and services in order to progress (Tezer, Bodur and Grohmann, 2020). The management of TOMS has effectively ensured that its operations meet the needs of customers and society at large.

Recommendations and Conclusion

TOMS Shoes is an effective marketing strategy exhibited through its 4Ps. The model is designed to promote charity to needy people. The charity strategy of the organization is vital for effective performance. For example, the cost of supplying shoes to needy children is factored into the shoe’s price. As a result, the customer becomes the beneficiary, allowing it to build a long-term business that gives back to the community. Children in need will receive a pair of TOMS shoes if people continue to buy its products. The organization is also able to make a profit, sustain itself, and educate people about how they may help children in need by providing them with a pair of shoes.

The organization has a deep understanding of the target market to provide a product that meets the customers’ needs. The innovative culture of TOMS, through its products and contents, is designed with the people’s needs. For example, it keeps its customers interested even if they do not want to buy new shoes by diversifying its product line and establishing social commitments. To attract the public, the organization should remain active in social affairs. The organization understands the situation and has made an effort to invest in order to become more innovative and creative. Through its products and position as a digital pioneer, they are serving the requirements of millennials. To maintain this culture, they should focus on regular training their employees.

Reflection

Throughout this course, I have learned about the role of innovation and creativity in a business organization. Creativity and innovation are the heart of entrepreneurship; hence, they play a role in achieving a successful and viable business (Acar, Tarakci and Van Knippenberg, 2019). I learned that firms, particularly in today’s competitive market, require a touch of innovation to operate efficiently and avoid falling behind. These concepts have always been inextricably intertwined because they help develop new and transformative ideas. For a variety of reasons, organizations must foster entrepreneurship creativity and innovation. An organization that needs to perform effectively in the market should create a culture of innovation.

During this course, I also learned the concept of operations management in business. Operations management is known as the running of processes in an organization in order to achieve the required efficiency (Abusweilem and Abualoush, 2019, p.2146). I discovered that it is primarily concerned with converting raw materials into finished goods and services as effectively as possible to optimize an organization’s earnings. As a result, poor operation management may affect an organization’s end product. An operations management expert should understand the local and global trends, customer demand, and resources. The success of an organization depends on the effectiveness of operations management.

To improve my professional career, I need to cultivate teamwork. People who operate in teams are much more productive and efficient than those who work alone. Working on many tasks relieves everyone’s obligations by sharing ideas and responsibilities. Teamwork is important because it allows members to share ideas and responsibilities, reducing stress and enabling them to be more precise and comprehensive while accomplishing tasks (Tripathy, 2018). As a result, teamwork will enable me to engage with other professionals and learn. Therefore, teamwork will allow me to contribute to developing strong employee relationships in the workplace because the more workers work closely together, the more they learn to know and like one other.

I also need communication skills to improve my profession because it is important when fostering relationships. Effective communication is required to speak appropriately with diverse people by presenting ideas clearly and concisely (Sousa and Rocha, 2019). The skills will help me in all aspects of my life, from my job to social occasions. The ability to communicate effectively and as intended is an important life skill that should not be overlooked (Sousa and Rocha, 2019). These attributes are critical abilities that most employers seek. Therefore, with good communication skills, I will create and maintain relationships in the workplace.

Leadership skills will also play an integral role in the effectiveness of my profession. A leader should have attributes that motivate team members. They should be able to understand problems that individual team members’ face to allow them to provide appropriate solutions. For example, they are born with certain qualities, such as compassion and honesty, or learn to lead from experience and education. These abilities will aid me in developing positive relationships with coworkers. In addition, effective leadership may create trust in the team to help increase team performance.

Reference List

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Acar, O. A., Tarakci, M., and Van Knippenberg, D. (2019). ‘Creativity and innovation under constraints: A cross-disciplinary integrative review.’ Journal of Management, 45(1), 96-121. Web.

Bohnenberger, M. C., Schmidt, S., Damacena, C., and Batle-Lorente, F. J. (2019). ‘Internal marketing: a model for implementation and development.’ Journal Dimension Empresarial 17(1), 7-22. Web.

Hammond, C. (2020). ‘Stitching Time: Artisanal collaboration and slow fashion in post-disaster Haiti.Fashion Theory, 24(1), 33-57. Web.

Sousa, M. J., and Rocha, Á. (2019). ‘Skills for disruptive digital business.’ Journal of Business Research, 94, 257-263. Web.

Tezer, A., Bodur, H. O., and Grohmann, B. (2020). ‘Communicating brand biographies effectively: the role of communication source.Journal of the Academy of Marketing Science, 48(4), 712-733. Web.

TOMS Shoes. (2021). Buy TOMS shoes online | Upgrade your shoe collection | ZALANDO. Zalando. Web.

Tripathy, M. (2018). Building quality teamwork to achieve excellence in business organizations. International research journal of management, IT and social sciences, 5(3), 1-7. Web.