Marketing Strategies of Prada

This presentation discusses the marketing strategies of Prada, a renowned Italian luxury brand. It covers the company's history, product range, market share, and their use of social media for promotion. The presentation also highlights the challenges faced by Prada and provides recommendations for improvement.

Marketing
PRADA

Contents
 Introduction of Prada
 History
 Product range
 Market share
 Marketing
 Conclusion
 Discussion
 References

Introduction
 A Italian brand Parda began its journey as exclusive leather good shop. The
shop provides various products such as accessories, stylise luggage and
finished goods.
 The company was founded in year 1913 in the city of Italy by Mario Prada.
PRADA is a one of the iconic brand in the fashion history. It is among one of
most valuable luxury brand.

History

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 The designers of the Prada continuously strive in order to innovate new
products in the market.
 In year 2017 the company operated in total about 659 owned as well as
franchised stores across the world.

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 PRADA was founded in year 1913 by Mario Prada and his
brother Martino.
 In 1913 Mario Prada found Prada label by starting Galleria Vittorio emanueli
II. This was a store which was started originally after the name of Fratelli
Prada. The store is a Italian fashion capital and has beauty cases, leather bags
and featured trunks.
 In year 1919 role of “ official supplier to the Italian Royal Household” was
given to the Prada. As Prada has this honour the brand became authorized to
use House of Savoy Coat of arms.
 In 1970 the daughter of Luisa Prada, Miuccia Prada joined the company

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 In year 1988 the company was announced officially as Prada Company. The
company was the first to launch nylon which looks as a precious silk.
 In 1982 the company introduces the Women's Prada footwear.
 In year 1983 after gaining the recognition as Prada label the company opened
the store as Vial dell Spiga.

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 In year 1984 the backpack of Prada is launched
 In year 1986 the company expand is business internationally and open a store in New
york city
 In year 1987 the two partners Miuccia and Bertelli got married

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 In year 1988 the company opens a Prada women's collection
 In 1999 the company opens its store in other cities such as London. Tokyo and
Paris
 In 1993 the Miuccia Prada introduced a new brand named as Miu Miu brand.
The brand has various products such as footwear, accessories, bags and ready
to wear.
 In year 2000 the company launches a eye wear collection

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 In year 2006 Miu Miu brand is added to the ready to wear calender of Paris.
 In year 2010 the launch of “Prada Made in....” happened. The line “Prada
Made in.......” describes about the different craftsman who has contributed in
the making of Prada's products from different countries

Product range
 Prada provide a variety of products such as watches, electronic products,
perfumes, home products, footwear, clothing for both men and women.
 The company produce electronic products in conjunction with LG
electronics. The three phones namely LG Prada II. LG Prada and LG
Prada 3.0 by which the company has entered the mobile sector.
 The most of the income of company is generated from the sale of leather
goods. The company also provides clothing for children.

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 The company also has a different sector for women which comprises of
handbags, cosmetics and jewellery.
 The company also provides the sports and lifestyle line by the Linea Rossi
brand. The company also provide various perfumes such as Prada Amber and
Prada candy for women, Prada Lunna Rosa for men.

Product range

Prada Shoes

Women’s clothing

Men’s clothing

Product Range

Market share
Net sale worldwide Net income worldwide Brand Value
Prada 3.1 billion EUR 205. 44 m EUR 4.81 billion USD
Gucci 6.2 billion EUR - 22.44 billion USD
Armani 2.5 billion EUR 271 million EUR -
Burberry 2.7 billion sterling 293.6 million Sterling -
Chanel $ 9.6 billion 1.8 billion -
Jimmy - 2.8 million sterling -

Marketing
 Prada use various social media platform for promoting its product. The
company has strong presence in social media.
 The company has nearly about 14.1 million follower of Instagram and about
6.44 million follower on Facebook.
 The company use large number of social media platform such as Facebook,
Instagram, YouTube, Pinterest etc.

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 The company post a creative and interactive content on social media which
helps in gaining attraction of customers.
 The company has large number of follower on various social media platforms.

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 The company created a market campaign as a result of which a mobile app “ II
Palazzo” was created. The mobile application help the users to explore virtual museum
which was created by James Lima.
 Users can see the wide range of accessories and sunglasses of Prada and the mobile
application also allow the user to purchase product online
 The company also started a digital campaign as # Prada 365. The campaign display
continuous visual advertisement with the help of online, social media and print media.

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 The company has done the partnership with net- a – porter and Mytheresa.com
in order to sell its product online. Earlier the company use to sell its product
through stores.
 As a result the sales of the company decline by 10 % in the first half of 2016.
This forced the company to adopt the online realm. As a result the company
has done partnership with net- a – porter and Mytheresa.com and starts selling
the products online.

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 The company has done the partnership with net- a – porter and Mytheresa.com in order
to sell its product online. Earlier the company use to sell its product through stores.
 As a result the sales of the company decline by 10 % in the first half of 2016. This
forced the company to adopt the online realm. As a result the company has done
partnership with net- a – porter and Mytheresa.com and starts selling the products
online.

Conclusion
 The company has come a long way. And at the time the company has entered
the market has set a strong image in the market. Despite of various difficulties
which the company face due to change in market demand the company was
able to maintain its position in the market.

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 The goal of the company is to make use of all media channels in order to promote their
products. The company uses various social media channels such as Facebook,
Instagram, YouTube in order to promote their product.
 The company also make use of print media in order to promote their products

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 The company website i.e., Prada official website and its mobile application
helped the company to achieve success. As now a days the customer are more
inclined toward online shopping there focus has been shift from traditional
shopping to online shopping. So it can be said that the idea or the step taken by
Prada to move to online shopping is correct measure taken by the company.

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 The desktop site of Prada also display variety of content which helps to attract the
customers towards their products. The company is constantly exploring the new
technologies and the trends in the market and accordingly setting its marketing
strategies. The company is successful in operating both the platforms i.e, online and
offline platform in order to promote the product and provide convenience to its
customers

Discussion
 Prada has been performing badly in its handbags business. The company has
also been disconnected from the in its footwear offering. The reason behind
this is the management of Prada underestimated the rise in demand of
sneakers.

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 Another serious issue which is faced by the company is that its ready to wear and
leather goods are gaining the huge support from the customers earlier but now due to
the decline in sale of evergreen products the company is facing loss in the market.

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 The company has also miss on its sales capability. Other main issue is that the fashion
market has shown a drastic change in year 2018. The industry has also faced the labour
issue which was caused due to overwork by the labour, underpaid and underage
employees in the industry which also affect the performance of the company.

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 Another issue is that fashion industry is the most polluting industry on the
planet as it use various toxic chemicals and Bedrock. The use of water and
pesticides in order to produce cotton have been seen as one of the major cause
of drought. These all factors is causing a huge challenge to the company.

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 Prada is not only the company in the market which is facing difficulty and challenges
by the cheaper brands providing a accessible luxury such as Longchamp and Michael
Kors. The company should focus on its marketing strategies in order to maintain its
customers.

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 The company should also make the proper use of online platforms. Because
now a days almost every one is in contact with social media it will help the
company to identify the trend in the market and likes and dislikes of
customers.
 Prada should try to work on improving its products and should recruit new
designers. It will help the company to improve its marketing strategies and see
the things from a different side. The company should try to focus on
improving its customer service.

References
 Xu, Y., 2017. Financial Analysis of Prada Company.
 Arora, A.S. and et.al., 2016. Miu Miu diffuses Prada: coupling country-of-origin
versus country-of-manufacture effects with brand authenticity and
contagion. Journal of International Consumer Marketing, 28(4). pp.228-250.
 Lu, X., 2017. PRADA Applicability in Industrial Practice. arXiv preprint
arXiv:1707.06782.
 Masè, S. and Silchenko, K., 2017. The prada trend: brand building at the
intersection of design, art, technology, and retail experience. In Fashion Branding
and Communication .(pp. 125-153). Palgrave Pivot, New York.
 Liu, Y., 2017, July. An Analysis on The Devil Wears Prada from the Perspective
of New Feminism. In 2017 2nd International Conference on Modern
Management, Education Technology, and Social Science (MMETSS 2017).
Atlantis Press.

 Online
 Prada – Statistics and facts. 2019 [online] Available through <
https://www.statista.com/statistics/710563/net-sales-of-prada-by-brand/>
 Analysis- Prada needs to focus less on new shops and more on new handbags .
2015. [online] Available through <
https://uk.reuters.com/article/uk-prada-strategy-analysis/analysis-prada-needs-t
o-focus-less-on-new-shops-and-more-on-new-handbags-idUKKBN0LF1I8201
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