1. Please read the strategic case about Patagonia at the end of Chapter 18 and answer the questions.
  2. Please read the strategic case To Rent or to Own at the end of Chapter 20 and answer the questions

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Chapter 18: Personal Selling and Sales Promotion Strategic Case 7 Patagonia Climbs into the World of IMC
Book Title: Marketing 2020
Printed By: wael Ghran ([email protected])
© 2020 Cengage Learning, Cengage Learning

Chapter Review

Strategic Case 7 Patagonia Climbs into the World of IMC

When it comes to advertising, apparel manufacturer and retailer Patagonia takes a different
approach. The headlines of its popular advertisements feature in big, bold letters “Don’t Buy
This Jacket.” Underneath is a photo of a Patagonia jacket made from recycled materials.
The copy of the ad describes how much water, carbon dioxide, and waste is expended in
manufacturing and transporting the jacket. Patagonia acknowledges that even its eco-
conscious products are environmentally damaging.

Patagonia is not trying to put itself out of business with these types of ads. Rather, it is
reinforcing its mission of environmental protection and sustainability. Patagonia uses this
type of promotion to cause consumers to think about whether they really need a brand-new
product. If the answer is yes, then Patagonia encourages them to purchase products that
will last them a long time. This is where its products come in.

Background

The idea behind Patagonia, headquartered in Ventura, California, started from one man’s
passion for rock climbing. Outdoor enthusiast Yvon Chouinard loved rock climbing but
lacked reusable climbing gear. He began developing his own reusable rock climbing pitons
and selling them out of his car. In 1965, he co-founded Chouinard Equipment. Eventually,
the company began selling more eco-friendly chocks to replace pitons. These chocks were
designed to eliminate rock damage when climbing. This was the company’s first major foray
into environmental consciousness.

Chouinard and his wife had begun to sell durable climbing clothing as a way to supplement
their hardware business, but by 1972 the clothing had become its own line. They called their
clothing line Patagonia to reflect the mysticism of far off lands and adventurous places.
Customers appreciated the bright colors and durability of Patagonia clothing. The company
decided to align its brand with environmental responsibility and switched to more expensive
organic cotton in 1996.

Today, Patagonia sells its gear through its own branded stores, online, and through retailers
such as Dick’s Sporting Goods and REI. Patagonia has 75 branded stores, profits
exceeding $600 million, and 1,200 employees. Patagonia has become known for its
environmental consciousness, employee-friendly workplace, and high-quality, long-lasting
clothing.

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As with all well-known firms, Patagonia’s success would not be possible without a carefully
integrated promotion mix that educates consumers about what the brand and its products
represent. Word-of-mouth communication is highly encouraged, and Patagonia encourages
viral marketing through the use of social media including Facebook, YouTube, Twitter,
mobile marketing, and its own corporate blog. A strong mix of advertising, public relations,
personal selling, and sales promotions is used to keep its brand relevant, both for retailers
that sell their products and for customers that buy from them directly.

Patagonia’s “Do Not Buy” Advertising

Patagonia freely admits that advertising is not a high priority in its mission to change the
world. The company does not employ an outside ad agency, instead choosing to develop
promotions in-house. Much of the advertising that Patagonia does involves advocacy
advertising rather than product advertising. For instance, its short film “DamNation” was
geared toward demonstrating how removing dams in the United States is important to
restoring our rivers. Although this type of promotion promotes a cause rather than a
company brand, the advertising’s affiliation with the company helps to promote the firm
indirectly and give it a reputation for sustainability.

iStock.comElectra-K-Vasileiadou

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All of Patagonia’s advertising reflects the company’s mission statement: “Build the best
product, cause no unnecessary harm, use business to inspire and implement solutions to
the environmental crisis.” Encouraging consumers to purchase their products if they do not
need them conflicts with Patagonia’s mission. As a result, it does the opposite and releases
advertisements advising consumers to avoid purchasing what they do not need, even if that
means forgoing Patagonia products. Additionally, Patagonia’s “Buy Less” campaign
encourages consumers to sell their used Patagonia gear on eBay or through Patagonia’s
website. Patagonia is declaring a war against consumerism.

It might seem that Patagonia’s advertising discourages sales. However, its advertising
platform of a war against consumerism serves to demonstrate the appeal of its products.
Patagonia offers products that last for a lifetime, and by encouraging consumers to
purchase less, they are simultaneously encouraging them to make sure that what they do
purchase lasts for a long time. Because customers can trust that Patagonia will sell them a
high-quality product, they are more likely to become long-term customers of the firm.

Patagonia’s Public Relations Image

Much of the publicity surrounding Patagonia involves the numerous sustainability initiatives
in which it participates. For instance, in 1985 Patagonia started giving 1 percent of its total
sales to environmental organizations. The organization 1% for the Planet is an alliance of
businesses that donate part of their proceeds to environmental organizations to support
sustainability and the preservation of the environment. Since it started, Patagonia has made
$58 million in grants and in-kind donations.

Patagonia’s Common Threads Initiative seeks to get employees and customers involved in
the process of environmental responsibility. The company partnered with eBay to allow
employees and consumers to sell their used products through eBay’s “Common Threads”
partner site. Those wishing to sell their products must take the pledge to reduce, reuse, and
recycle. The Common Threads Initiative reinforces Patagonia’s mission statement and is
also an effective public relations tool to get employees and consumers involved in working
with the organization.

Patagonia also reaches out to the public through its digital sites. Its blog
thecleanestline.com serves as a weblog for customers, employees, and friends of Patagonia
to share environmental activism activities and stories of the outdoors. Its Worn Wear
program encourages customers to celebrate their stories of their experiences with
treasured, well-worn apparel. Patagonia’s initiatives and customer relationships have led it
to be covered in numerous news and feature articles, from Fast Company magazine to The
Wall Street Journal.

Personal Selling and Sales Promotions at Patagonia

Patagonia relies heavily on the sales function for its wholesale business. It employs a
wholesale management team to build relationships and promote its brand among specialty

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retailers. As Patagonia expands globally, it is reorganizing and expanding its sales force to
meet the needs of stores in different countries. In Europe, Patagonia added sales positions
and reorganized its sales force into four regions. Sales members are given iPhones and
iPads to enhance communication as they travel.

Patagonia also uses personal selling in its retail stores. Retail sales associates are trained
to greet customers courteously, assist them in shopping for products, and provide them with
accurate information in response to customer inquiries. They must also honor the
company’s “ironclad guarantee” for product returns. Sales training for Patagonia employees
involves a combination of in-person training and online video.

Additionally, Patagonia offers a number of incentives or inducements to attract customers to
its online and physical stores. Because Patagonia products can be expensive, the company
mitigates the risk of purchase with liberal return and replacement policies. If the person
decides she or he is not happy with the product, the customer may return it to the company
to be repaired, replaced, or refunded. Products with wear and tear will be repaired at a
reasonable charge. For online purchases Patagonia offers free deliveries for purchases over
$75.

Above all, Patagonia wants to ensure that its sales promotions are completely transparent to
customers. For this reason, it warns consumers about the authenticity of online coupons
offering discounts for Patagonia products. Instead of offering online coupons, Patagonia has
a link that will take the customer directly to its discounted product offerings. This eliminates
the possibilities of coupon fraud and maintains a transparent, trusting relationship between
the company and the customer.

Patagonia has developed an effective integrated marketing communications mix using
advertising, public relations, personal selling, and sales promotion. Its promotion mix serves
to establish and maintain long-term relationships with both customers and specialty stores.
It also informs stakeholders about the company’s avid support for environmental
consciousness. Rather than promoting specific products, Patagonia prefers to promote
environmental causes and combat the idea of consumerism. Although it might take some
unconventional approaches to promotion, Patagonia has developed campaigns that
resonate with customers and inspire long-term loyalty.

Questions for Discussion

1. Describe how Patagonia uses different elements of the promotion mix.

2. Why do you think Patagonia tends to use advocacy advertising instead of
product advertising?

3. How do Patagonia’s marketing promotion activities serve to reinforce its
primary mission?

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Chapter 18: Personal Selling and Sales Promotion Strategic Case 7 Patagonia Climbs into the World of IMC
Book Title: Marketing 2020
Printed By: wael Ghran ([email protected])
© 2020 Cengage Learning, Cengage Learning

© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means –
graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.

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Chapter 18: Personal Selling and Sales Promotion Strategic Case 7 Patagonia Climbs into the World of IMC
Book Title: Marketing 2020
Printed By: wael Ghran ([email protected])
© 2020 Cengage Learning, Cengage Learning

Chapter Review

Strategic Case 7 Patagonia Climbs into the World of IMC

When it comes to advertising, apparel manufacturer and retailer Patagonia takes a different
approach. The headlines of its popular advertisements feature in big, bold letters “Don’t Buy
This Jacket.” Underneath is a photo of a Patagonia jacket made from recycled materials.
The copy of the ad describes how much water, carbon dioxide, and waste is expended in
manufacturing and transporting the jacket. Patagonia acknowledges that even its eco-
conscious products are environmentally damaging.

Patagonia is not trying to put itself out of business with these types of ads. Rather, it is
reinforcing its mission of environmental protection and sustainability. Patagonia uses this
type of promotion to cause consumers to think about whether they really need a brand-new
product. If the answer is yes, then Patagonia encourages them to purchase products that
will last them a long time. This is where its products come in.

Background

The idea behind Patagonia, headquartered in Ventura, California, started from one man’s
passion for rock climbing. Outdoor enthusiast Yvon Chouinard loved rock climbing but
lacked reusable climbing gear. He began developing his own reusable rock climbing pitons
and selling them out of his car. In 1965, he co-founded Chouinard Equipment. Eventually,
the company began selling more eco-friendly chocks to replace pitons. These chocks were
designed to eliminate rock damage when climbing. This was the company’s first major foray
into environmental consciousness.

Chouinard and his wife had begun to sell durable climbing clothing as a way to supplement
their hardware business, but by 1972 the clothing had become its own line. They called their
clothing line Patagonia to reflect the mysticism of far off lands and adventurous places.
Customers appreciated the bright colors and durability of Patagonia clothing. The company
decided to align its brand with environmental responsibility and switched to more expensive
organic cotton in 1996.

Today, Patagonia sells its gear through its own branded stores, online, and through retailers
such as Dick’s Sporting Goods and REI. Patagonia has 75 branded stores, profits
exceeding $600 million, and 1,200 employees. Patagonia has become known for its
environmental consciousness, employee-friendly workplace, and high-quality, long-lasting
clothing.

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As with all well-known firms, Patagonia’s success would not be possible without a carefully
integrated promotion mix that educates consumers about what the brand and its products
represent. Word-of-mouth communication is highly encouraged, and Patagonia encourages
viral marketing through the use of social media including Facebook, YouTube, Twitter,
mobile marketing, and its own corporate blog. A strong mix of advertising, public relations,
personal selling, and sales promotions is used to keep its brand relevant, both for retailers
that sell their products and for customers that buy from them directly.

Patagonia’s “Do Not Buy” Advertising

Patagonia freely admits that advertising is not a high priority in its mission to change the
world. The company does not employ an outside ad agency, instead choosing to develop
promotions in-house. Much of the advertising that Patagonia does involves advocacy
advertising rather than product advertising. For instance, its short film “DamNation” was
geared toward demonstrating how removing dams in the United States is important to
restoring our rivers. Although this type of promotion promotes a cause rather than a
company brand, the advertising’s affiliation with the company helps to promote the firm
indirectly and give it a reputation for sustainability.

iStock.comElectra-K-Vasileiadou

7/18/22, 8:46 PM Print Preview

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All of Patagonia’s advertising reflects the company’s mission statement: “Build the best
product, cause no unnecessary harm, use business to inspire and implement solutions to
the environmental crisis.” Encouraging consumers to purchase their products if they do not
need them conflicts with Patagonia’s mission. As a result, it does the opposite and releases
advertisements advising consumers to avoid purchasing what they do not need, even if that
means forgoing Patagonia products. Additionally, Patagonia’s “Buy Less” campaign
encourages consumers to sell their used Patagonia gear on eBay or through Patagonia’s
website. Patagonia is declaring a war against consumerism.

It might seem that Patagonia’s advertising discourages sales. However, its advertising
platform of a war against consumerism serves to demonstrate the appeal of its products.
Patagonia offers products that last for a lifetime, and by encouraging consumers to
purchase less, they are simultaneously encouraging them to make sure that what they do
purchase lasts for a long time. Because customers can trust that Patagonia will sell them a
high-quality product, they are more likely to become long-term customers of the firm.

Patagonia’s Public Relations Image

Much of the publicity surrounding Patagonia involves the numerous sustainability initiatives
in which it participates. For instance, in 1985 Patagonia started giving 1 percent of its total
sales to environmental organizations. The organization 1% for the Planet is an alliance of
businesses that donate part of their proceeds to environmental organizations to support
sustainability and the preservation of the environment. Since it started, Patagonia has made
$58 million in grants and in-kind donations.

Patagonia’s Common Threads Initiative seeks to get employees and customers involved in
the process of environmental responsibility. The company partnered with eBay to allow
employees and consumers to sell their used products through eBay’s “Common Threads”
partner site. Those wishing to sell their products must take the pledge to reduce, reuse, and
recycle. The Common Threads Initiative reinforces Patagonia’s mission statement and is
also an effective public relations tool to get employees and consumers involved in working
with the organization.

Patagonia also reaches out to the public through its digital sites. Its blog
thecleanestline.com serves as a weblog for customers, employees, and friends of Patagonia
to share environmental activism activities and stories of the outdoors. Its Worn Wear
program encourages customers to celebrate their stories of their experiences with
treasured, well-worn apparel. Patagonia’s initiatives and customer relationships have led it
to be covered in numerous news and feature articles, from Fast Company magazine to The
Wall Street Journal.

Personal Selling and Sales Promotions at Patagonia

Patagonia relies heavily on the sales function for its wholesale business. It employs a
wholesale management team to build relationships and promote its brand among specialty

7/18/22, 8:46 PM Print Preview

https://ng.cengage.com/static/nb/ui/evo/index.html?dockAppUid=101&eISBN=9781337910613&id=1475684445&nbId=2917779&snapshotId=2917779& 4/5

retailers. As Patagonia expands globally, it is reorganizing and expanding its sales force to
meet the needs of stores in different countries. In Europe, Patagonia added sales positions
and reorganized its sales force into four regions. Sales members are given iPhones and
iPads to enhance communication as they travel.

Patagonia also uses personal selling in its retail stores. Retail sales associates are trained
to greet customers courteously, assist them in shopping for products, and provide them with
accurate information in response to customer inquiries. They must also honor the
company’s “ironclad guarantee” for product returns. Sales training for Patagonia employees
involves a combination of in-person training and online video.

Additionally, Patagonia offers a number of incentives or inducements to attract customers to
its online and physical stores. Because Patagonia products can be expensive, the company
mitigates the risk of purchase with liberal return and replacement policies. If the person
decides she or he is not happy with the product, the customer may return it to the company
to be repaired, replaced, or refunded. Products with wear and tear will be repaired at a
reasonable charge. For online purchases Patagonia offers free deliveries for purchases over
$75.

Above all, Patagonia wants to ensure that its sales promotions are completely transparent to
customers. For this reason, it warns consumers about the authenticity of online coupons
offering discounts for Patagonia products. Instead of offering online coupons, Patagonia has
a link that will take the customer directly to its discounted product offerings. This eliminates
the possibilities of coupon fraud and maintains a transparent, trusting relationship between
the company and the customer.

Patagonia has developed an effective integrated marketing communications mix using
advertising, public relations, personal selling, and sales promotion. Its promotion mix serves
to establish and maintain long-term relationships with both customers and specialty stores.
It also informs stakeholders about the company’s avid support for environmental
consciousness. Rather than promoting specific products, Patagonia prefers to promote
environmental causes and combat the idea of consumerism. Although it might take some
unconventional approaches to promotion, Patagonia has developed campaigns that
resonate with customers and inspire long-term loyalty.

Questions for Discussion

1. Describe how Patagonia uses different elements of the promotion mix.

2. Why do you think Patagonia tends to use advocacy advertising instead of
product advertising?

3. How do Patagonia’s marketing promotion activities serve to reinforce its
primary mission?

7/18/22, 8:46 PM Print Preview

https://ng.cengage.com/static/nb/ui/evo/index.html?dockAppUid=101&eISBN=9781337910613&id=1475684445&nbId=2917779&snapshotId=2917779& 5/5

Chapter 18: Personal Selling and Sales Promotion Strategic Case 7 Patagonia Climbs into the World of IMC
Book Title: Marketing 2020
Printed By: wael Ghran ([email protected])
© 2020 Cengage Learning, Cengage Learning

© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means –
graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.