Chanel Fashion House has been a leading brand in the sale of luxurious brands. The
company, however, faces a weakness in the development of its website making navigation by
users quite challenging. The increasing trends in technology have allowed users to depend on
the websites of companies to obtain information and also shop for products (Negash, Ryan,
and Igbaria 758). Chanel has not invested much in online commerce as well as in
optimization of its website. This proposal targets the brand managers who need to consider
the need for changes in the presentation of the company’s products on the site. Also, the
management at the production and distribution levels needs to rethink the use of e-commerce
for the sale of goods to customers. The change in the use of the website and electronic
commerce is relevant to allow the company to compete favorably in the competitive market
while also providing convenience to the customers.
Chanel has a poorly developed website that limits its access by online users. The web
page is not optimized to create a user-friendly interface discouraging the users from
considering the product. Also, the company has also limited its use of e-commerce lowering
the number of customers who can access the products at their convenience. This has led to
decrease in the number of people visiting the website hence reducing the number of
individuals aware of the product. Most clients, therefore, opt for the products offered by the
competition due to their convenience. On a scale of five, the problem is at an alarming three
as the potential to improve clientele through the upgrading of the website and use of ecommerce has been neglected. The main root of the problem is the fact that Chanel believes
in the physical contact with the customers as the best way to establish relationships. Also, as
part of their brand, the company distances itself from any interaction with online users. As a
result, the customers who cannot have time to visit the specialized stores do not have a
chance to enjoy Chanel products. The continued neglect of this issue amidst the increase in
technology may make the products of the company unattractive to the customers as they are
not readily available at their convenience. Consequently, the future scale may increase
costing the company billions of money that could have been avoided with the correct
This problem can be solved through investment in the website development and
optimization of search engines for the company. The site will be developed in such a way
that it provides a better interface for the users to interact with the products and check updates.
Also, the website will include an online shopping platform that will enable the customers to
view available products and order them at their convenience. The use of Search Engine
Optimization will enable Chanel to increase the number of clients who can easily access their
website with simple keywords. This solution will require the hiring of experts in web
development and search engine optimization effectively to augment the activities of the
company in the website. Also, the development of the e-commerce service will require
software development to incorporate the inventory of the company with accompanying price
list on the website. Indeed, the advertisement of the website will also be required to create
awareness of the services offered for the customers. All the experts will require specialized
training to understand the mission and vision of the company. This will enable them to align
their work on the website and software to reflect the objectives of Chanel.
The solution will position the company at a competitive edge in the industry as its online
presence will be recognized. The number of people aware of the product will also increase
which in turn shows the potential customers. More so, allowing online shopping will increase
the sale of products as clients will not have to visit physical stores to buy the luxurious
products. The success of the solution will be measured in several ways. One, optimization of
the search engine will be effective depending on the rank of the Chanel in a Google search.
This means that as users type specific keywords (Chanel, Chanel Fashion, Chanel Products),
the Chanel website should be among the first results obtained by the user. This will increase
the likelihood of the customer visiting the website to explore the products. Two, the number
of sales obtained from e-commerce will also be used to indicate the success of the solution
while the number of visits to the website will show the popularity of the company. Due to the
nature of the products, the results of the project will be observable as the repetition of results
may not be relevant for the project.
The project will take six months to be complete taking into consideration the three main
activities including website development, SEO of the website and advertisement of the
website. The following table gives the timeline for each of the proposed activities.
Training of experts
Testing of the
Introduction of ecommerce in
TV and Radio
The proposed solution will cost $1,000,000 to meet effectively all the requirements
proposed above. The breakdown of the cost is as shown below.
Estimated Cost ($)
Training of experts
Testing of the website
Introduction of ecommerce in website
TV and Radio
The solution provided is both relevant and attainable for Chanel Fashion House. The
correct implementation of the project will lead to increased sales of the company basing on
existing literature of the effectiveness of SEO, e-commerce and website development for the
success of businesses (Wirtz, Schilke, and Ullrich 275). The brand managers will enable their
products to have a wider reach and increase the sales through the new shopping platform.
The other alternative for the company would be to increase its global presence that would
mean opening up of new stores. This solution would not be viable as it would mean an
overall change of strategy for Chanel. Another option would be to reduce the prices in a way
that will increase the sales but in the long run, this would interfere with the luxurious nature
of the products.
Although the solution to address the decreased online presence of the company and
introduce online shopping is viable, it has a limitation in that the existing distribution system
may need to be restructured. This will be to introduce shipping mechanisms to the customers
purchasing online products (Zou and Seo 147).
It is crucial to understand the technological advances that are occurring can be used to
improve business activities. As such, use of the websites and online shopping should be a part
of every business. The increased competition in the fashion industry calls for creativity for
Chanel to remain relevant to its customers.
Negash, Solomon, Terry Ryan, and Magid Igbaria. "Quality and effectiveness in web-based
customer support systems." Information & Management 40.8 (2003): 757-768.
Wirtz, Bernd W., Oliver Schilke, and Sebastian Ullrich. "Strategic development of business
models: implications of the Web 2.0 for creating value on the internet." Long Range
Planning 43.2 (2010): 272-290.
Zou, Patrick XW, and Youngsin Seo. "Effective applications of e-commerce technologies in
construction supply chain: current practice and future improvement." Journal of
Information Technology in Construction 11 (2006): 127-147.
Purchase answer to see full