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The Fashion Channel: Case Statement

 Essay regarding The Fashion Route: Case Record

Case Record #1: The trend Channel (TFC)

Christie Scarbrough

2/16/2015

The trend Channel (TFC), founded in 1996, was a successful cable TV network exclusively dedicated to fashion-oriented programming along with offering the latest information on the fashion industry transmitting 24 hours a day, 7-days-per-week. TFC's primary " Craze Everyone” business design was to charm to broad demographic groupings to achieve the highest viewership feasible with the principal target audience of ladies between the age range of thirty five – fifty four. In 2006, TFC forecasted income of $310. 6 , 000, 000 – with $230 mil target income exclusively via advertising. Right up until 2006, TFC was the transmitted market leader in fashion programming. However , TFC was faced with a changing competitive scenery that insecure TFC's long term growth and sustainability. TFC realized they will needed to re-structure and adopt new segmentation and setting marketing strategies to be able to maintain continuous momentum intended for profitability and success. The Problem: Competitive Difficulties

By 2006, TFC continued to be the only fashion-focused cable television network. However , major cable networks launched fashion-specific programming blocks mixed with their normal programming and realized exceptional ratings. Both the biggest network threats were CNN and Lifetime. By providing a wide-range of consumer offerings, these " double-edged” competitors attracted the younger female market and carried off a significant range of ad purchases from TFC. Revenue generated by ad spots is TFC's primary source of income. In case the variety of buyer marketers purchasing advertising areas drop, advertisement revenue is going to fall along with client interest. In the event that consumer interest falls, ratings will decrease, TFC's CPM (cost every thousand) will certainly drop, plus the possibility of staying placed on a reduced service deal tier by simply cable workers will increase. Sooner or later more TELEVISION networks follows CNN's and Lifetime's business lead – depriving them of more visitors...

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