H&M Marketing Strategy: Segmentation, Targeting, Positioning and Marketing Mix

Assessment 1 Blogging to
communicate

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
H&M STP........................................................................................................................................3
What is STP of the company? .....................................................................................................3
SEGMENTATION......................................................................................................................3
TARGETING...............................................................................................................................4
POSITIONING............................................................................................................................5
H&M MARKETING MIX..............................................................................................................5
What is marketing mix to the company?.....................................................................................5
PRODUCT...................................................................................................................................6
PLACE.........................................................................................................................................6
PRICE..........................................................................................................................................7
PROMOTION..............................................................................................................................7
PHYSICAL EVIDENCE.............................................................................................................7
PEOPLE.......................................................................................................................................8
PROCESS....................................................................................................................................8
Customer preferences.......................................................................................................................8
Performance evaluation...................................................................................................................9
Brand strategy..................................................................................................................................9
Mechanisms for engaging audience...............................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing fundamentals revolve around the elements of marketing mix by which
organization enhances their business and attract more customer. Marketing also include the
brand strategy and social media which help company to make improvement in their business.
This report includes the information about H&M that establish in Sweden in 1947 and deals in a
fashion and best quality clothing even though in cosmetics. Report also includes the marketing
mix and segmentation, target and positioning market which helps them to attract more customer
and being competitive in the market to compete with their competitor.
MAIN BODY
H&M STP.
What is STP of the company?
STP indicates the segmentation, targeting, positioning which company uses to target the right
customer for them.
SEGMENTATION
Main segmentation company does is from middle class people to high class.
segmentation which company uses one demographic and other is psycho graphic segmentation.
Illustration 1: segmentation of H&M
(Source: Chapter 8: Segment and Target Markets, 2015)

Demographic segmentation of the H&M based on the market where the organization is situated
and the price of the product which company sale to their customer at the best quality (Delirium,
2017). Majorly H&M focus on the age group of 15 to 30 years. On the other side psycho graphic
segmentation includes the interest of the customer by which company segment their market and
customer accordingly. This also indicates the dependent that children also live with their parents.
Segmentation of the H&m claim the value of the organization and their business. H&M designer
interpret fashion trend according to them and thereafter they create their own fashion to people
follow them accordingly. In many country company uses same demographics which is urban and
by this they target their customers. Behavioural segmentation of company depend upon the
consumer behaviour towards the company products as they create vale and make difference from
their competitors and company also create a traditional department for their customer to attract
those types of customer who prefer traditional. H&M belongs to genially segmentation which
helps them to segment their product according to their customer preferences (Alam, 2020).
TARGETING
Target market of the H&M is for the young generation and stylish product design for
them. Targeting customer of H&M are group of individual who love fashion and trendy products
and wants to buy them at an affordable price in a premium quality. For example; H&M target
college students sell their products, accessories etc. at a low price which they can afford and
therefore, the company provide these products at the best quality. In women company majorly
target women section to sell their products because the major trend occur in a woman's. Women
usually invest a lot of money in the fashion and this factor give the organization benefits.
(Uggla, 2017).
POSITIONING
Marketing strategy of positioning aim towards the brand occupy distinct position in the
market. H&M is the retail brand to provide their customer a fashionable product in a high quality
and at the best price which they sell to their customers. The company is second largest retailing
across the globe even in the e retailing through their own website which people use to buy the
product from them. the highly competitive business environment many of the companies are
trying to stand out at the global level in specializing and making the industries, labors and
resources more effective. In recent years, H&M who is the second largest multinational clothing