MIXED SIGNALS

Katies, womenswear, East Gardens.  This is a very interesting example of mixed signals.  On the one hand, announcing 'new arrivals' is very important in retail (new-ness sells),  and especially in fashion with the new season.  Also to their credit, Katies has enlarged the size of the prices, which should appeal to their older, budget-conscious shoppers.  This something which a surprising number of retailers have failed to do in the recession.  The black on yellow is visible from some distance away, which is obviously positive.

However, the questionable aspect of this is that yellow and black (taken together) signify 'sale'.  So while they are signalling 'value' they are also communicating that the merchandise is 'distressed' which detracts substantially from the 'freshness' of the merchandise.  In my view this undermines their ability to secure a good margin on the product.  

On balance, crude, not pretty, but probably effective.  However it certainly doesn't take the brand anywhere positive.