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H&M Marketing - Case Study Example

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H&M Marketing

Fashion adopted by H&M is usually the one which is the ongoing trend in the society. It can be clearly seen through the massive budget allocated to the marketing sector that H&M is heavily dependent on the marketing campaign that they undergo. 4% of the revenues of H&M are allocated to the marketing campaign. Furthermore, in 2002 a top fashion legend was selected by the H&M to promote its products through marketing. The economical spending of the H&M management does not stand the marketing campaign as the management itself decides to spend a heavy amount on marketing campaigns. This shows that H&M is to a great extent marketing orientated and is heavily dependent on these approaches.
Ans2. The efficiency/effectiveness matrix is a tool used by businesses to categorize companies according to their success in strategies and implementation. H&M can be categorized into the 'Thrive' cell of the effective/efficient matrix. The 'Thrive' cell in the matrix usually denotes organizations which are successful in forming and implementing strategies. Similarly H&M shows a sign that it belongs to one of these organizations because of its rapid growth and success. The strategy pursued by them is of the kind which adopts recent approaches to meet the demands of the society. The rapid growth which the company is going through shows a sign of the company thriving in the business sector. It has expanded from a small outlet to 900 garment shops all over the world. And it is known to top the list in terms of expansion with its other competitors. The effectiveness of H&M can be seen in the implementation of the strategies and the efficiency of this effectiveness is also great. Strategies pursued by H&M are different from their other competitors and most of the emphasis in these strategies is on pricing, marketing and fashion designing. H&M has incurred great profits in the years and thus best suits in the category of 'thrive'.
Ans3. Customer value forms an important aspect of the strategies formed in the business world today. Firms give importance to this very aspect when forming strategies to give the customers a product or service which they desire with a better deal. H&M is known to provide customers with a better deal as required by the customer value. Customers of H&M are highly satisfied with the products they are getting as these products are according to their needs. Not only the desires are being met but also the price at which these desires are being met is exceptional. The designing section of H&M is known to be travelling through out the world to pick up the recent trends in fashion and implement them in their fashion industry. Pricing is marked as an important criterion in the firm as it helps to attract customers towards it. Prices of the H&M products are known to be very low comparatively with other brands. Their motto is a clear sign on their stand on pricing strategies according to the new fashion trends. H&M also makes sure that new trends in fashion are quickly picked up by their designers and provided to the customers. A particular design in the H&M outlets would not be seen for a longer time as it would be removed with the newer fashion designs. Furthermore the same design if provided by other brands would be comparatively higher in price so the customer value is highly considered by the management of H&M. The cheap prices and the latest apparel in ...Show more

Summary

Ans1. H&M a company founded by a Swedish is flourishing and known for its strategy in business through out the world. The strategies sought out by the management are carefully worked out before implemented. This gives them a great benefit over other brands in terms of strategy and branding…
Author : michelwalsh
H&M Marketing essay example
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