An interesting thought came across my mind after I made this post regarding piracy in Malaysia.

At first I thought of it as a solution to piracy, or at least a means of reducing piracy. But now I highly doubt that this is a solution for piracy. In fact, I am certain that this is not a solution for piracy.

My thought:

Why don’t clothes and apparel makers create cheaper more affordable ranges of products for markets which are heavily brand-name and image conscious (Asian markets in particular)?

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Doing so could help increase their market share to include consumers who could not otherwise afford their more expensive products.

Not many can afford to stock their wardrobes with the latest fashions from über-expensive design-houses, but many would want to simply because it is a fashion statement (especially in image conscious Asian countries).

Would these people not buy a more affordable range from brand name stores?

After thinking a little more about it, I realized that there are already clothes and apparel makers doing it. Albeit not exactly what I had in mind.

Armani for example has a range of products. Starting from the super expensive flagship Giorgio Armani label, to a still very expensive Emporio Armani, and to a more affordable but still expensive Armani Exchange.

Although it seems more the case that Armani is differentiating these product lines more by age group and style-vs.-function then anything else, it is still the case that there is a significant price difference of items sold at Giorgio Armani versus at Armani Exchange.

Admittedly, it is highly unlikely (maybe) that a brand such as Armani would risk diluting its prestigious brand image by creating a cheaper more affordable product line for Asian countries.

But what about other companies such as Nike?

If Nike were to create a new and more affordable product line specifically for Asian countries but still strive to maintain its quality and standards, would Nike not be able to gain market share?

Of course, this would have to be paired with the right marketing campaign to promote this new affordable product line, and not let the market think of it as cheap (in a negative way) goods.

The Asian markets are starting to see a huge boom in its middle-class consumers (especially if you take into account China), would this strategy not help some clothes and apparel makers penetrate and gain market share in these markets?

I am still thinking about this thought, and am sure that there are many loopholes around it. I would love to discuss it. If you wish to do so, please leave a comment below or if you prefer to contact me directly, click here.