Dr. Martens approached losses – Kommersant FM

The British shoe brand Dr. Martens is suffering colossal losses – the company’s shares have reached a historical low, falling by 30%. Trading in securities on the London Stock Exchange was temporarily suspended, CNBC reports. The shoe maker has previously reported difficult forecasts due to lower revenues. CEO Kenny Wilson will retire next March. He emphasized that the company has ALREADY created a cash base to cover current expenses.

What are the problems of the legendary brand? Co-founder of the TWIGA Communications group Karina Ohanjanyan admits that this is a consequence of incorrect marketing strategies: “The successes and failures of a company, the rise or fall of its shares largely depend on marketing activity. There is a feeling that Dr. Martens as a brand was counting on modern youth, or even not on them, but on fans of a certain style.

If you look at the huge number of brands in and around the fashion industry, they are repositioning themselves, they have new products, new lines and marketing with new target audiences. I admit that this company did not get its bearings in time and did not launch marketing to a new public.

At the same time, we see an incredible number of brands that went nowhere, they were given up, and they got new breath and new opportunities. Therefore, nothing is over if the company owners are enthusiastic.

If there is political will, then competent marketing will also help steer us in the absolutely right direction.”

In 2022, shares of the British brand have already fallen by 20%. Then the company explained this by a decrease in demand before the Christmas holidays, opened new stores and invested in modern marketing tools. However, all this did little to help the manufacturer, says Sergei Vikulin, director of the Raschini fashion house: “The brand has repeatedly tried to enter new niches. Historically, it has always been associated with a certain type of shoe. Attempts to supplement with other types of goods, to expand the range and matrix were unsuccessful. It’s all about a fairly narrow and difficult to repeat chain and set of circumstances.

It is hardly possible to expect that they will somehow be able to renew their popularity and associate the brand with something new and fashionable. After all, they have been quite successful in a certain associative range for more than 20 years. It was both rave and grunge culture.

To break such a powerful associative connection, you need to do something incredible. Over the past ten years, there have not been many examples of brands that successfully fit into certain areas of youth culture. You can remember Yeezy from Adidas. In this regard, Dr. Martens has already squeezed out everything it could.

At the same time, the company will not fall below the plinth, despite the fact that it has a negative financial situation. Most likely, the brand will have a much narrower audience and will continue to function for some time due to inertia. Most likely, it will be repeatedly resold to those optimist-enthusiasts who think that with their marketing moves they can restore the former glory of this company.”

German doctor Klaus Martens made the prototype of the first boots a few weeks after the end of World War II. The shoes became popular in the late sixties, when The Who guitarist Pete Townshend appeared on stage wearing boots from this brand. In particular, the so-called Martins were a recognizable feature for representatives of subcultures – punks and skinheads.

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Anna Kuletskaya