Strategic Marketing Management for Uniqlo: Extended Marketing Mix and Value Proposition

RUNNING HEAD: Strategic marketing management
STRATEGIC MARKETING MANAGEMENT

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Table of Contents
Part 1 3
Introduction 3
Critical review 3
Recommendation 5
Part 2 7
Strategic options for extended marketing mix 7
Balanced 2P 7
Additional 3P 9
Justification for choices 10
Value proposition 11
Evaluation and control 11
Part 3 13
Optimise customer engagement 13
Key issues and strategies to maintain marketing metrics 14
Conclusion 16
References 17

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Part 1
Introduction
Fast fashion refers to fast moving designs in the clothing and apparel industrial sector in
global and national markets. Fast fashion became popularity as it provides trendy and
fashionable clothing in affordable price. The top performing organizations include ZARA, H&M
and Uniqlo. This report focuses on the strategic management of Uniqlo. The company has
opened its first store in 1984 at Hiroshima, Japan. Uniqlo started with a chain of suburban stores
that later developed in cosmopolitan area through fleece campaigns to increase Uniqlo sales
across Japan. At present, this company controls clothes-making protocols including design, retail
and manufacture. The revenues of Uniqlo account for 6.5% of the national apparel markets of
Japan.
Critical review
Key drivers of organisational growth are booming sales and growth of stores in
international markets. In an approximation, 51% of sales in the international markets is
accounted by Uniqlo with a rapid increment in 1300 stores in Asia, Europe and USA. Another
key driver is that the company focuses on maintaining high quality standards with reasonable
pricing strategies. The company has also partnered with Winter Olympics 2022 (Beijing) and
Summer Olympics 2020 (Tokyo) to enhance sportswear consumption. The prominent
sponsorships include Roger Federer and Adam Scott (Uniqlo.com, 2019). The global brands that
Uniqlo partners with are Theory, PLST, Comptor Des Cotonniers and Princesse Tam Tam. It
owns 825 stores in Japan, with 43 franchises. Uniqlo targets an undifferentiated market that

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provides a standardised retail blend for all its customers. The company targets on common
fashion needs, fit, price and innovation. The age groups for its target customers start from
newborn and goes up to 65 years of age or older.
The brand concept for this company is to inspire its target markets in Singapore to choose
casual wear. Some of its iconic products are the heattech line, ultra light down and AIRism.
Hence, the current positioning of its products is irrespective of age groups. Pricing is affordable
for the products with good quality against value. Promotion for this product is dependent for
sponsorship advertising. The current market position of Uniqlo is that it is a highly profitable
business. The predicted revenues for the year 2022 are around ¥300 billion. Chernev (2018) state
the main purpose of innovation the product line of Uniqlo is to develop innovation for the
company. Key competitors of Uniqlo like Bossini, Giordano, and Mujia have lines of casual
footwear (Uniqlo.com, 2019). The experience of Uniqlo in domestic fashion market is stagnant.
Hence, the company can target energising the product market.
Strong global sales have introduced new goods and ideas that can meet the demands of
the growing target base- Uniqlo also leverages on sponsorships along with upcoming issues like
2020 Tokyo Olympics. Product development of Uniqlo is seen to be relevant in similar segments
of the target market in Singapore (Aghazadeh, 2015). However, application of new or developed
product to retain competition in the growth can penetrate innovation. Competitive strategies
develop into new range of products in existing markets to enhance brand image and shares. New
products should be introduced in national markets of Japan for continuing growth in revenues
and prevention of the exposure of Uniqlo to decline stage. The new product of Uniqlo is an
active or sports footwear that incorporates AIRism technology in a range of affordable products
(Uniqlo.com, 2019).