How a marketing overhaul could have saved Ted Baker

In 2022, Authentic Brands Group acquired the fashion brand. We consulted with industry experts to determine how they would approach turning the business around. With the appointment of administrators, did the company take heed of this guidance?

Introducing the advertising campaign 'Getting to Know The Bakers' of 2017.

This blog post was initially released on August 18th, 2022.

In 1988, Ray Kelvin started a fashion company called Ted Baker which he named after his alter ego. The brand became known for its Britishness and the quirks of its founder, securing a niche in the market as a high-end high-street brand. However, the brand has faced difficulties in recent years, seeing a drop in share prices in 2018 and Kelvin leaving due to accusations of misconduct in 2019, leading to a pre-tax profit loss of £38.4m in 2021. The brand has now been bought by Authentic Brands Group, which owns Reebok and Juicy Couture, for $254m.

Kelvin expressed his uncertainty about whether Ted Baker still possesses the same essence it once had, but he remains optimistic that with a change in leadership, it will rediscover its identity. He believes that Ted Baker, at its heart, is an extraordinary brand that came to fruition through a deep appreciation and enthusiasm for their craft.

Data from YouGov revealed that Ted Baker's brand index scores declined from 13.1 to 11.9, reputation score from 19.8 to 16.8, and quality slightly slipped from 25.9 to 24.9 between January 2020 and August 2022. These declines were not significant compared to Abercrombie and Fitch, which saw a drastic decrease of five points in its YouGov index score after a notorious documentary exposed its practices. This slow decline of Ted Baker implies that consumers have lost interest and excitement in the brand.

Furthermore, the responsibility for this lack of success can be attributed, at least in part, to the marketing department.

Ted Baker had an unconventional approach which made them popular among their audience. They chose to launch their first multimedia advertising campaign in 2018. Previously, they created unusual movies such as a spy-themed short film directed by Guy Ritchie in 2016, along with a comedy web series called 'Keeping up with the Bakers' which had eight episodes.

To carry out its social media plan, Ted Baker chose to let customers find the brand on their own without any prompting. This was done by concealing posts and creating scavenger hunts. It was all part of Kelvin's marketing strategy, which focused on making the brand more alluring by keeping it hidden.

Craig Smith used to work as a marketer for the company for a span of 24 years. He played different positions such as the digital commerce director and brand communications director during his tenure. However, he decided to leave his post in 2019.

While working in the industry, he mentioned that the brand team was granted ample time, resources, and funding. "Back then, our main focus was on conveying our brand and goods effectively while offering a unique selling point within the market," he explained.

"At present, the process of completing the work feels mechanical and dehumanizing, like a factory producing sausages."

The founder of Ted Baker, who was known for being unconventional, leaving the company was a factor in the company's decline. The company's marketing has become lackluster and lacking in character. It has been described as appearing dull and lacking effort. The new owners of the company are advised to have courage and focus on the fundamental principles of the company.

Smith expressed that the situation had been unpleasant, and they desire for the item to return to its former prosperous state.

"It requires a genuine boost of enthusiasm and determination. If achieving that mandates a complete overhaul where old things are discarded for newer ones, then let it be so."

Is Responsible Fashion The Solution?

However, some people think that Ted Baker is facing more complex issues. According to Zara Ineson, who holds the position of executive creative director at House 337, an agency that is owned by ODD, Ted Baker lost its importance because it did not adjust to the significant change in consumer behavior.

Our attitude towards clothing has transformed. Nowadays, people opt for practical and simple outfits, rather than obsessively keeping up with fashion trends. Unfortunately, Ted failed to adjust to this change.

The House 337 is a new establishment that belongs to Odd and Engine Creative and is focused on providing "ethical consulting" services. Ineson, one of their representatives, explains that traditional brands like Ted are being left behind because today's consumers are more interested in buying from sustainable, youthful, and fun brands like Ganni and Reformation that make them feel good about their purchases.

Authentic Brands Group has a task at hand to redefine and clarify the values of Ted Baker. They need to figure out what Ted's beliefs are and what he stands for. They also need to determine Ted's perspective on the world and the significance of clothing. They must show that they support their community in an effective way. It is suggested that they should not rely on the fact that Ted is British or his founder.

According to Ineson's statement, in order to remain relevant in the current world, Reebok needs to pose some important, socially and culturally stimulating questions to itself.