Digital Marketing in Fashion Industry: Gucci Case Study Report

This report provides a comprehensive analysis of Gucci's digital marketing activities. It explores how Gucci has leveraged digital channels to enhance its global presence and engage with customers. The report delves into specific strategies, including the redesign of the official website, the use of image-driven content, brand recognition through popular ambassadors, the GucciGram campaign, and the utilization of memes to connect with audiences. It also examines Gucci's digital marketing mix, including product, price, place (online official store, social media, and online retailing), and promotion. The report highlights Gucci's premium pricing strategy, product differentiation, and distribution methods. It also considers the importance of understanding social media expectations. The report concludes with recommendations for Gucci, such as price differentiation and better protection of intellectual property rights. The report also discusses the digital marketing mix, including product, price, place, and promotion strategies. The report aims to provide a comprehensive overview of Gucci's digital marketing efforts and their impact on the brand's success.

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DIGITAL MARKETING
6/15/2019
Student name

DIGITAL MARKETING 1
Executive summary
The report’s purpose is to understand the key concepts of digital marketing. Digitalization has
brought up new opportunities for the world to reach out to the potential customer without
physically available at the place. The report will include the discussion over digital marketing
activities of GUCCI. The products of the company are the presentation to Italian craftsmanship
and the detailed quality concern that are unsurpassed. The key digital activities of the brand that
has been contributed to enhance the global presence of the company included redesigning and
relaunching of website, publishing image driven content of brand, brand recognition and
visibility through popular ambassador and collaboration with popular culture, Gucci gram, use of
memes, and knowing the expectations in social media.
The brand proposition is to create a premium quality brand and unique design to give brand
recognition. The product designing is its key aspects that provide the luxury through the brand
and represent the products through digital high definition pictures at the official website.
Through product differentiation strategy, the company claims to have a good quality product and
unique design that is complementing through the pricing policy of the company. The redesigned
official store of Gucci is one of the popular digital channels, through which the company is
marketing and selling its products online. The key recommendation to Gucci included price
differentiation and better protection to the intellectual property right.

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Contents
Executive summary.........................................................................................................................1
Introduction......................................................................................................................................4
Company’s digital marketing activities...........................................................................................5
Redesigning and relaunching of website.....................................................................................5
Publishing image driven content of the brand.............................................................................5
Brand recognition and visibility through popular ambassador and collaboration with popular
culture..........................................................................................................................................6
GucciGram...................................................................................................................................7
Use of memes..............................................................................................................................8
Knowing the expectations in social media..................................................................................9
Digital marketing mix......................................................................................................................9
Product.......................................................................................................................................10
Price...........................................................................................................................................10
Place...........................................................................................................................................10
 Online official store........................................................................................................10
 Social media....................................................................................................................10
 Online retailing...............................................................................................................11
Promotion..................................................................................................................................11
 Social media campaigns..................................................................................................11
 Gucci style app................................................................................................................11
Conclusion.....................................................................................................................................12
Recommendation...........................................................................................................................12
References......................................................................................................................................13

DIGITAL MARKETING 3
Introduction
Digitalization has brought up new opportunities for the world to reach out to the potential
customer without physically available at the place. The industry’s scenario has been completely
changed due to increased use of technology and digitalization. The marketing activities of an
organization has been changed completely, instead of using traditional mode for marketing
digital marketing tool are used by the companies to cover a large area. The report’s purpose is to
understand the key concepts of digital marketing (Rialp & Rialp, 2007). Digital marketing
includes the marketing activities of services and products while applying digital technologies
majorly through use of the internet that is through electronic devices like laptops, mobile phones,
and digital advertising (Adam & Kotler, 2014).
The report will include the discussion over digital marketing activities of GUCCI. Gucci is one
of the popular Italian fashion brands serving the global with its unique design of fashion
accessories with more than 550 locations. It was founded in 1921 with high brand image and
premium quality products, it is considered to be one of the luxury brand with key strategies
social media, e-commerce, and collaboration (Thomson, 2016). The products of the company are
the presentation to Italian craftsmanship and the detailed quality concern that are unsurpassed
(gucci, 2019). The major product range includes jewellery, watches, and leather goods. The
company claims to be innovative, progressive, and influential that is the completely new
approach to the fashion industry through the house of redefined luxury. The products of Gucci
are a representation of contemporary, eclectic, and romantic (Armstrong & Giardina, 2016).

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Company’s digital marketing activities
Gucci has been working for its digital marketing strategies and has been the cause for its great
success in today’s scenario, which has driven the brands towards various growth opportunities
and the ability for the company to create and maintain the global presence. The old luxury world
of Gucci has been able to meet digital marketing as per the changing environment and customer
expectation (digiday, 2019). The key digital activities of the brand that has been contributed to
enhance the global presence of the company:
Redesigning and relaunching of website
The company’s unique selling proposition with traditional marketing was the experience of the
customer at the store of the brand and the luxurious feel that was provided to the customer. To
maintain this service and experience through e-commerce business of the company was
challenging for the company. Gucci strategies to redesign its website, through online store brand
provide the experience of actual of the runway that features ready to wear collections (Reid,
2015). The life has been brought to the world, this marketing campaign has been represented the
Gucci woman full of life in the very stubble and smart way. Moreover, the offers on the site also
include free return options, gift wrapping, product information, and find in store options. For
instance, $10,000 handbag from Gucci makes a nail polish free for $100 (referralcandy, 2019).
Figure 1: (gucci, 2019)
Publishing image driven content of the brand
The collection of the brand represents visually rich imagery that has been able to protect and aura
of luxury and elitism. The feature of the website visual content that has been able to make eh
online presence attractive and enhance the customer experience. For instance, the product
webpages of the websites were fully occupied with product high quality image that can be the
view from various angles to make the consumers experience more convenient and help in the

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purchase decision for the customers. This has helped the company to increase the digital sale of
the company and increase brand recognition around the globe. However, the challenge through
this included the appropriate image identification, posting, and regular updating of the website
by the company (retaildive, 2019).
Figure 2: (Source: (referralcandy, 2019)
Brand recognition and visibility through popular ambassador and
collaboration with popular culture
One of the popular collection by the company include the collection presented with Lady Gaga,
this digital marketing strategy of the company has also increased brand recognition around most
of the nation. The luxurious appearance e of the brand’s product was able to create perfect brand
positioning as the brand is willing to consider. Top celebrities using Gucci product were posted
through social media websites that depict the brand positioning to be the high-income customer
segment and latest fashion brand. Moreover, the company had the collaboration with some of the
popular people like creating a popular video with Beyoncé that is “Formation” (Balmer &
Abratt, 2016).

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Figure 3: (Source: (referralcandy, 2019)
GucciGram
Another popular digital strategy of Gucci includes the collaboration with best visual artists of
Instagram. This Gucci Gram campaign was the artwork that was inspired by the house print of
brands with upcoming Instagrammers and insta famous artists. This is one of the key
promotional strategies of the company through social media platforms. Through inviting some of
the popular artists that helped the brand to recreate the patterns of the brand and including them
to be the part of the brand campaign. However, this has been limited to the promotion over a
single channel that is Instagram (Petersen & Kumar, 2015).

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Figure 4: (Source: (referralcandy, 2019)
Use of memes
As per the changing trends over the digital media, the company has used the memes that are the
animated gif’s and images paring up with the clever message is attractive to the youth and most
of the people at social media platforms. Gucci considered this trends going on launched Le
Marche Des Merveilles watches collection (Tuten & Ashley, 2015). The company provides a
commission to tons of internet artist and photography team in order to create the memes to attract
online customers through social media so they are global to relate to the brand. This has helped
the company to launch their product in an effective way and also able to enhance the customer
relations of the company, to feel close to the brand (Bach, 2017).

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Figure 5 : (Source: (referralcandy, 2019)
Knowing the expectations in social media
The company strategy is to know what is expected at the social media platforms from the
customer. This depicts that the company before going for any digital marketing considers the
latest social media trend and what kind of content customer are willing o see at social media are
identified. Afterward, the company creates the campaigns and the marketing strategy through
digital channel. This has helped the company to be up to date and make the marketing effective
to gain potential customer attention. However, this has increased the cost to the company, as the
company needs to be active and invest high in research all the time to be updated at social media
(Bakir & Rose, 2015).

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Figure 6: (Source: https://www.theshelf.com/the-blog/luxury-brand-analysis)
Digital marketing mix
Marketing mix of digital marketing of Gucci include 4P’s as follows
Product
In marketing, the key aspect is the product that is to be marketed through digital mode. The
product as already discussed in the previous section is the luxury and premium product with a
product differentiation strategy of the company. The products that the company offered include
the leather products that are the fashion good like bags, belts, shoes and so on. Moreover, the
company is launching a product with collaboration with celebrities. The brand proposition is to
create a premium quality brand and unique design to give brand recognition. The product
designing is its key aspects that provide the luxury through the brand and represent the products
through digital high definition pictures at the official website (Pansari & Kumar, 2016).
Price
Pricing is the major element that will help the company to create brand positioning. The pricing
strategy that Gucci has been following is Premium-pricing strategy. The company key objective
is to create the luxury and premium brand positioning, which can be reflected through the
product price, quality and design. Through product differentiation strategy, the company claims
to have a good quality product and unique design that is complementing through the pricing
policy of the company (Petersen, 2015). The company is targeting high-end customer that is
high-income group customer segment, which makes the premium pricing strategy relevant for

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Gucci. Through this strategy, the company can enhance brand image through online marketing.
For instance, in the case of a retailing website, the filter option for the brand are luxury brands
which c arête the brand position and enhance the brand image. However, this could be one of the
disadvantages to the company that it is not offering the products to other customer segments or
has not been considered the price differentiation strategy to target various income groups
(Ottman, 2017).
Place
The distribution strategy of the company through digital marketing includes
 Online official store
The redesigned official store of Gucci is one of the popular digital channels, through which the
company is marketing and selling its products online. The reliability of the product is high and
through this mode, the company has been able to reach out to global customers. Moreover,
through this official site the company has been able to provide the excellent services and
experience to the customer, which is eventually helping the company to increase the brand image
and increase the sale of the company. Moreover, brand recognition has also been increased
through which the customers are able to recognize the product through its design and logo
(Zhang, 2015).
 Social media
This is one of the trendy ways to reach out to the customer for the purpose of promoting and
selling the products. The customer can order their products through social media websites,
especially in countries where the company is being collaborated with other retailers to sell the
products. Moreover, the company can use this channel to make the purchase decision of the
company more convenient through the use of videos instead of pictures of the products (Tiago,
2014).
Figure 7: (Source: https://www.theshelf.com/the-blog/luxury-brand-analysis)

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 Online retailing
This includes other retailing websites other than the official one. This may include targeting
customer in some specific nation. For instance, the company is being using Mantra in India,
Amazon for the sale of goods. This is helping the company to increase the availability of the
products to the customers. However, the con to this channel is the chances of duplication of the
product and wrongly use of the brand name even after legal protection through IPR (Yen, 2017).
This strategy relevance can be understood through number of visit at Gucci website through
graph presented below:
Figure 8: (Source: https://www.similarweb.com/website/gucci.com#overview0
Promotion
Promotion is the key element in digital marketing, as the changing social trends reflect the
maximum use of digital mode by the companies to promote and advertise their products to the
market in different zones across the globe at the same time. The major tools used for promotion
by Gucci include
 Social media campaigns
This includes campaigns, advertisements, and promotion through one of the best digital source
that is the social media platforms. This includes Facebook, Pinterest, Instagram, and twitter. The
Instagram memes strategy has already been discussed in the previous section. Moreover, the
company has been able to gain maximum brand recognition through this digital promotion
channel and is been able to attract maximum new customers to increase the customer database of
the company (Mura & Mariani, 2016). While auditing digital marketing of Gucci, it can be
analysed that the brand has been able to engage with around 39.7 million customers through
social media.

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Figure 9 : (Source: https://www.theshelf.com/the-blog/luxury-brand-analysis)
 Gucci style app
This help is helpful for the customers to search for the nearby store and more relevant
information needed. This has helped the company to increase the customer relationship and
provide better service to the customers (Pappas, 2016).

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Conclusion
From the discussion, the key highlighting aspects include digital marketing includes the
marketing activities of services and products while applying digital technologies majorly through
use of the internet that is through electronic devices like laptops, mobile phones, and digital
advertising. Gucci is one of the popular Italian fashion brands serving the global with its unique
design of fashion accessories with more than 550 locations. The key digital activities of the
brand that has been contributed to enhance the global presence of the company included
redesigning and relaunching of website, publishing image driven content of brand, brand
recognition and visibility through popular ambassador and collaboration with popular culture,
Gucci gram, use of memes, and knowing the expectations in social media.
The product designing is its key aspects that provide the luxury through the brand and represent
the products through digital high definition pictures at the official website. The pricing strategy
that Gucci has been following is a premium-pricing strategy. The distribution strategy of the
company through digital marketing includes social media, online official store, and online
retailing. The major tools used for promotion by Gucci include social media campaigns, and
Gucci style app; this has helped the company to increase the customer relationship and provide
better service to the customers.
Recommendation
 Search engine optimization
From the figure below, it can be audit that the most reachable source to the customer is
searching through search engines. Therefore it is recommended to brand to include SEO
to its digital marketing strategy to make the information easily available to the potential
customer (Sharma & Gautam, 2017). From figure 11, it can be analyse that the company
has been investing in top five key words, where the company can increase the investment
in SEO to attract more customer and enhance the customer experience online. moreover
from figure 6, it can be analysed that the search interest for the brand has been
inacreseing over time, making this strategy more relevant for the brand.

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Figure 10: (Source: https://www.similarweb.com/website/gucci.com#overview)
Figure 11: (Source: (Source: https://www.similarweb.com/website/gucci.com#overview)
 Price differentiation through digital marketing
Another disadvantage is the pricing policy that is only targeting the high-income group.
The company can go for a slightly lower price range in order to target upper middle class

DIGITAL MARKETING 15
as well (Ryan, 2016). Therefore, the recommendation to the company would include the
price differentiation strategy to be offered exclusively through online stores to specific
nation, in order to target nations whose purchasing power is not so strong.
 Facebook campaign
The brand has largely focused over instagram campaigns, as discussed in previous
section. The recommendation for Gucci is increase in engagement through Facebook and
increase focus over Facebook campaigns, as it has been analysed that the maximum
traffic among social media for Gucci pages are through Facebook.
Figure 12: (Source: https://www.similarweb.com/website/gucci.com#social)

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