Brand management

Mr. Trương Quang Cẩm

Group members

THẾ BẢO HUỆ LINH NGỌC PHÁT

I. BACK GROUND

History

Brand Ownership

Brand Portfolio

History

Hennes & Mauritiz AB

1946 1947 1968 1974 2006

Erling Persson

has outlined

ideas.

Hennes’s strore in Sweden

He bought Mauritz Widforss

=> Hennes & Mauritz

(H&M)

H&M appeared

on the Stockholm

Stock Exchange.

H&M appeared in Dubai

and Asian.

68 YEARS OF DEVELOPMENT

58 3600

Brand Ownership

Brand Portfolio

II. Brand Inventory

Brand Elements. Product Pricing

DistributionOnline and

offline communications

Leverage of secondary brand

associations

Brand Elements

Hennes & Mauritiz AB

“ Fashion and quality at the best price “

Packaging

Product

CHARACTER

COOL INNOVATIVE MERCHANDISE

CREATIVE

PriceJackets & Coats $39.99 - $99

Sweaters & Cardigans $9.99 - $34.99

Dresses & Jumpsuits $12.99 - $69.99

Pants $17.99 - $299

Jeans $9.99 - $59.99

Basics $5.99 - $24.99

Tops $5.99 - $49.99

Shirts & Blouses $9.99 - $69.99

Blazers & Kimonos $34.9 - $99

Sportwears $3.99 - $99

Skirts $12.99 - $179

Shorts $12.99 - $399

…

Distribution

3600 stores 252 stores

Online and offline communications

AdvertisingInteractive and direct marketing

Sales promotion

Event marketing and

sponsorship

PR

MagazinesBillboard

Poster

Website: hm.com

Autumn-winter fashion 2014

Beckhams are present in Shanghai to promote the collection of lingerie collaboration with fashion brand H&M.

III. BRAND EXPLORATORY

CONSUMER KNOWLEDGE

Knowledge of the existence of

a product

Knowledge of characteristics and associations of the

product

Knowledge in buying

Knowledge of consuming and

using the products

Knowledge of persuasion

BRAND IMAGE

BRAND AWARENESS

BRAND RESONANCE PYRAMID

Brand Relationship: When looking for a cheap fashion product

with acceptable quality, I can always count on H&M

Brand Responses: A convenient place to find a necessity at a good

price such as a plain color shirt 

Brand Meaning: A store with a simple lay-out, variety of

collections, simple designs, and lower customer services

 

Brand Identity: A retailer that sells clothes and fashion

accessories at an affordable price

EXISTING BRAND POSITIONING

TARGET MARKET

Competitive Frame of reference

POP & POD

Brand Mantra

III. STRATEGIC RECOMMENDATIONS (ABOUT BRAND POSITIONING)

Target market of 2017

Vietnam

Base on GE-MCKINSEY MATRIX INVESTMENT IMPLICATIONS

To define: • The attractiveness and potential growth of Vietnam market• The competitive advantages of H&M

GE matrix

Attractiveness of Vietn

am mark

et

H&M

GE matrix

GE MATRIX

The attractiveness and potential growth of Vietnam market

The formula to calculate:- The critical level ( %) * ranking criteria (1-5) = SCORE

• The diversity of market: (5%)*4= 0.2

• The size of the market: (11%) *4= 0.44

• The low level of competition: 0.39

• The large economy size: 0.36

• Cheap labour: 0.5• High inflation: 0.28• The financial crisis

affecting the exchange rate: 0.21

• Low-tech apparel: 0.24• Diversity of materials:

0.16

• The legislation of copyright: 0.12

• Consumer tastes change quickly: 0.33

• The influenced by geographical factors: 0.2

• High policy for environment: 0.03

Market Economy & finance

TechnologySociety & legislation

TOTAL COST: 3.46

The strength of H&M

The formula to calculate:- The critical level ( %) * ranking criteria (1-5) = SCORE

• Big market share: 0.07

• The rapid growth of business: 0.16

• Good channel strategy: 0.09

• The high level of competition: 0.22

• Good Financial Strength: 0.4

• Cheap cost of raw materials: 0.24

• Highly specialized of labourers: 0.28

• Capable of research and well product development: 0.44

• Good business organization: 0.27

• Care about environment: 0.12

• Compliance with legislation in Vietnam: 0.08

• Good relationship with customers: 0.07

• High level of brand recognition: 0.15

Market Economy & finance

Technology & Labourers

Society & legislation

TOTAL COST: 2.59

3.46

2.59

5

5 1

Invest selectively for growth

Competitive frame of reference

Mango

Feedbackimmediately

Competitor 2 (shortly describe)Mango

High fashion and glamour

Haute Couture

Points-of-Parity

Wide range of product variety

Points-of-Difference

A lower price range- Example: Organic cotton T-shirt H&M: less than 10$Zara: more than 10$

A very interactive website- Virtual fitting room that you can do mix & match

Heavier promotion than its competitors

Brand Mantra

V. TACTICAL RECOMMENDATIONS

ON PRODUCT

Always improve quality

Following fast trends

More diversity in product line

Collaboration with high fashion

designers

ON PRICING- The pricing strategy is

H & M widely practiced around the world is quite soft compared to the average level of the market

• Changing needs of the market and close cooperation with corporate policies, while constantly changing product lines and updated seasonal collections and combined with pricing strategy – cheap.

ON CHANNEL

Franchise

ON CHANNEL

H & M has had average level of control has shown the essence of their brand through business representative in the country expanded.

-It can also generate profits can predict from foreign operations. The degree of stability to be maintained over the medium term the main factor goods: the control and flexibility. risks, commit resources.

On Promotion

On Promotion

Represented brands

Linking to the TV channel about fashion.

.- Implement policies loyal customers will be a discount, and often accumulate points, receive gifts.- Hold a contest, game booths in shopping centers in the company H & M. For example, can hold a contest of Design Fashion

On leverage of secondary associations

• Reduced prices some items• Customers who bought a certain number of

coupons will be offered.• For VIP customers, get 1 of 1 products in bulk

orders.