General Marketing Strategy H&M is a Swedish fashion multinational company known for its fast-fashion clothing for men, women, teenagers and children. The general idea behind H&M marketing strategy is to promote quality for affordable prices and sustainability. Price: The fashion brand ensures the best price by: • in-house design • no middlemen • large purchasing volumes • buying the right products from the right markets • efficient logistics • cost-consciousness in all parts of the organisation H&M does not own factories, but instead buys products from independent suppliers that are close long-term partners of H&M in Asia and Europe. Sustainability: H&M has shown itself as one of the most environments concerned company’s today. H&M is the first fashion company in the world that has launched an global initiative, that means customers can hand in unwanted garments- from any brand in any condition- to H&M stores.
Advancement in logistics capabilities allows H&M to better utilize inventories and reduce waste throughout their global supply chains. The change is driven by improved communication capabilities allowing greater and speedier diffusion of information within company. Improvements and changes in communication technologies also open different avenues through which to communicate with its customers and suppliers. The continued popularity of blogging, hauling and other forms of social interaction between customers or potential customers can act to attract customers or build customer loyalty. It also offers more marketing channels through which H&M can communicate with customers.
The two strengths of Hansen Mechanical Contractors, Inc. are an educated team and positive workplace. The first strength is that the management and employees have years of specialty experience in the plumbing and mechanical construction area. The management leaders all have college degrees in business and most carry certifications in plumbing and mechanical. Since construction is a field that changes daily with building codes and project management the current employees are required to keep their certifications up to date. The field employees are employed through the union and all have had to pass an apprenticeship in order to stay active in the union.
As an industry leader in fast fashion, H&M is facing crucial competition, other retailers are also rest no effect to take as much as market share, to keep its granddaddy first place position, H&M has been conducted a series value added collaboration initiatives. High-end designer collaboration H&M have worked with a lot of great designers. Back to 2004 they started to collaborat high-end designers like Karl Lagerfeld, recently Alexander Wang, Isabel Marant and Maison Martin Margiela have become H&M’s friendly partners. Not only collaborated with Karl Lagerfeld and Alexander Wang, H&M has a smart strategy that partnering with at least one high-end designer and launching a new collection each year since 2004, and at the same time, they create
This is because H & M had holds a large number of employees and take their employee as valuable assets for the company. The brand reputation is valuable resources for H & M. They had strong brand loyalty among their customers through the H & M engage in the sale of clothing, accessories, footwear, cosmetics, and home textiles. H & M had a strong position in the market due to the quality and design on their product had maintained the customer loyalty towards their brand. In addition, the reusable product of H & M also is one of the brand recognition of H & M due to they currently are implement recycling and reuse program and this can help to diminishing of scarce resources (Academia.edu, n.d) and also reduce the production cost. Moreover, the reputations of the company with supplier are H & M had aim for their suppliers to take more and more ownership for ensuring good working conditions and environmental performance for themselves.
The company is also beginning to expand with shoes and home decor. Price: H&M is known for its high quality and stylish clothing. Although it is high quality and is seen worn by celebrities it is very affordable for the average person. The company’s business concept is to offer fashionable and high quality clothing at an affordable cost. Place: H&M sticks to keeping their company in a busy area, such as a big city shopping centre.
The company only hires 200 artisans a year which this whole process slow down the production line which is not an issue for the company since it wants to maintain the brand philosophy of creating exclusivity and scarcity. ▪ Hermès is a fan of pursuing the “limited edition” strategy and limiting distribution of its products in the stores ▪ The introduction of “patience” as a very strong principle and element in its brand strategy. Clients cannot expect to walk into a store and walk out with a Birkin bag. They have to place an order and wait for months to get it. ▪ Hermès collaboration with ultra-luxury brands, such as John Lobb shoes, Puiforcat tableware & dinnerware and Saint Louis glassware, is consistent.
The number of fast fashion brand for example H&M and Zara keeps proliferating despite costly rental fee and economic downturn in Hong Kong. H&M opened their first retail store in Hong Kong in 2007 and further set up 20 stores more within less than 10 years. Another well-know fast fashion brand, Zara have possessed totally 14 physical stores since 2005. Fast fashion market is proved to be highly successful when they are easily accessible nearby. It seems that it is taking over the traditional apparel industry, especially in Generation Y market.
Weaknesses: The weakness of the industry of Harley Davidson can be broken down to three parts. Firstly, its limited mix of products as they only focus on chopper motorcycles. The company’s is weak when it comes to market reach, as most of their sales comes from North America. Thirdly there is limited supply chain within Harley that discourages them to expand globally. Opportunities: This can also be analysed by looking at the weaknesses of the industry.
1. Strong Brand Reputation: BMW has built up its brand image over the past 50 years through its effective and unique marketing strategies; this was done by associating the brand image with the consumers’ perception, such as their customers’ achievement and success, in addition it offers top-notch customer service and a supreme product quality. With $29 billion BMW brand is the third most valuable automotive industry brand in the world (Interbrand,2013) and it is the 10th most powerful brand in the UK. And it was listed as the most prestigious business in the world, in 2012 by the Forbes magazine. 2.