Marketing Essentials: H&M and Zara Analysis

This report provides a comprehensive analysis of marketing essentials, focusing on the roles and responsibilities of marketing within the context of H&M and Marks & Spencer. It delves into the marketing mix strategies employed by H&M and Zara, comparing their approaches to achieve business objectives. The report also includes a basic marketing plan for H&M, evaluating its potential impact. Furthermore, it explores the interrelationships between marketing and other functional units within H&M, offering a detailed examination of the marketing environment and its influence on business strategies. The document concludes with a summary of key findings and a list of references.

Marketing Essentials

Table of Contents
.....................................................................................................................................................1
Marketing Essentials........................................................................................................................1
TASK 1............................................................................................................................................3
P1 Explain the key roles and responsibilities of the marketing function in relation to mark and
Spenser........................................................................................................................................3
P2 Explain how roles and responsibilities of marketing relate to H&M....................................4
M1 In addition to the response of question P1, analyse the roles and responsibilities of
marketing in the context of marketing environment using H&M as a means to support your
answer.........................................................................................................................................5
M2 Basing your evidence from the Case Study, analyse the significance of interrelationships
between marketing and other functional units within H&M. ....................................................6
D1 As a marketing assistant, critically analyse and evaluate the key elements of the marketing
function and how they interrelate with other functional units within H&M...............................6
TASK 2 ...........................................................................................................................................7
P3 Compare the ways in which H&M and Zara apply the marketing mix to the marketing
planning process to achieve business objectives.........................................................................7
TASK 3............................................................................................................................................8
M3 Using your knowledge as a marketing assistant, evaluate different tactics applied by
H&M and Zara to demonstrate how business objectives can be achieved.................................8
P4 Produce and evaluate a basic marketing plan for H&M?......................................................8
M4 Considering your role as a marketing assistant, produce a detailed, coherent evidence-
based marketing plan for H&M..................................................................................................9
D2 As a marketing assistant, design a strategic marketing plan that tactically applies the use of
the 7Ps to achieve overall marketing objectives for H&M.........................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
The essence of marketing is a transaction that reach someone's needs and wants. There
are three elements of marketing process and these are marketer, Product or service and target
market. Essential of market are help in transfer, exchange and movements of products, raising
and maintaining the standard of living of the community, creates employment, source of income
and profit, act as basis for making decisions, sources of new ideas and development of economy.
Marketing is very useful in sending, deal and movement of products. Products and services
present to consumer help of different intermediaries such as retailers and wholesalers. Marketing
is useful to both company and customers. In this time marketing is very complex and hard task.
Marketing is useful in financial achievement of company(Blythe 2012). Marketing is an
instrument of calculation, give object for identify the demand. Marketing create awareness about
goods and services and marketing is process to agree them to purchase your goods and services.
Marks & Spencer plc also known as H&M and it is British based retail industry. Company
headquarter in London,UK and founded in 1884 approximately 133 year before. Sir Michel
marks and Thomas Spencer was owner of company. Company served in worldwide area. In UK
H&M have 852 stores, 52 stores in India and 49 in turkey and 615 other which sells to people
food products. Company key people Robert Swannell (Chairman of company) and Steve Rowe
(CEO of company) and approximate 82,904 employees work in company. Objectives of
company are understanding purpose and importance of business plan and identify external
planning consideration.
TASK 1
P1 Explain the key roles and responsibilities of the marketing function in relation to mark
and Spenser.
Marketing is the important role playing to promote products in the market. Its help to
create an effective brand image in customers mind and In the market. Its help to promote
products so customers are easy to buy and utilise their products. Through the marketing listen to
customers needs and wants after that Mark and Spenser products according to them products and
goods and also according to trends and fashion(Desai 2013). Marketing help to consider and
monitor competition in the market and also determine what their competitors are produce and

which one strategies they are applying. After evaluation and determining that company will
produce and adopt the specific strategies and methods to manufacture effective and efficient
products to customers, its help to give proper satisfaction to customers and get actual feedback
about products and services. Marketing play and important role to coordinate with their
competitors and their partners to build an effective in the market and build a brand image in
customers mind to improve productivity and working efficiency of employees. Marketing is the
innovative in nature to produce new and different products to customers to attract maximum
customers in the effective manner so they will easy to purchase their clothes and products an
utilise their products in their life. Main responsibility of marketing process have to communicate
with customers and easy to transfer information regarding their products and services to
customers so they can easy to understand. Through the marketing process have to give proper
and effective information to customers towards their products and services so they can purchase
and use in their life and help to promote their products(Dibband and Simkin2013).
Marketing is the systematic process to promote a products and services in the market and
produce products according to market trends and fashion so customers are easy to attract to their
company(LambHairn and McDaniel 2011). In the other word, marketing is the systematic and
effective process in which all companies try to attract maximum customers to their products and
services and increase their productivity in the effective manner. Its help to achieve their decide
objectives and goals. Marketing is the important part of all kind of business or companies to
promote in the market in the effective manner.
Marketing is the key element to promote a goods and products in the market in the
effective manner so there are many key elements of marketing those are help to promote them
and attract maximum customers and help to achieve targets and goals of the business. There are
few key elements of marketing is the product, price, place and promotion. All these are the part
of marketing process through these parts promote their products and goods in the market an build
an effective image in customers mind and in the market. All these are the essentials in the nature
through these parts and elements improve productivity and production of the products of the
company. To promote products and goods in the market so there are using many methods and
strategies those are help to achieve objects and goals of the business like advertising, branding,
promotions, research and strategies etc. all these help to promote and give an effective direction
to company. Marketing elements are essentials related to marketing functions. H&M is the

clothing and cosmetics products company that company wants to build a image in the market and
increase productivity of products so its heard to analysis the customers need and wants after that
company can easy to analyse them and produce products according to customers need and wants
and give them proper satisfaction to them. Marketing function are interrelated to marketing key
elements. Marketing functions are like to promote products, provide actual and real information
to customers, ask them their issues and problems regarding products and easy to define weak
points after that company will adopt effective strategies and techniques to innovate their products
and goods those help to generate products in the effective manner.
P2 Explain how roles and responsibilities of marketing relate to H&M
Marketing is the essentials to promote products and build an effective image in their
customers mind so there are many role and responsibilities of marketing. Marketing is the
systematic process in which promote their products and goods in the market and easy to build a
effective image in customers mind so all kind of companies can easy to achieve their objectives
and goals of the business. Marketing is the innovative in the nature is help to produce some
effective and innovative things and services to customers and try to attract maximum customers
to buy their products and promote in the market. Marketing process of main and important
responsibilities is the communicate with customers in the proper and effective process so they
can easy to understand their products feature and their quality if customers are satisfies through
the products of the company so they can easy to build an effective image in their mind and they
help to promote their products. Marketing is the effective process to help improve sales of the
company and give actual and proper satisfaction to customers they can attract easily to purchase
their products and easy to improve productivity of Mark and Spenser. Its help to manage budget
of the company according to company capabilities and power they will invest the capital and
fund in the market. Its help to manage all customers in the effective manner and also help to
calculate return of investment of the company. Through the marketing process help to promote
products in the market and help to build an effective image in their customers mind. In other
hand, marketing play an important and effective role to promote products in the market and help
understand actual and recent trends in the market( Jonesand and Rowley 2011).
Through the marketing process help to promote their goods and products in the market.
In the marketing environment have many competitors, substitute products, customers, vendors

and all. So all these are participate to promote products and goods to customers and help to
receive feedback and review through the customers then easy to define customers need and
wants. Marketing the systematic process in which help to define products to customers and help
to determine customers need and wants then provide them products according to them . Its help
to determine customers need then company can easy to appoint suitable and applicable strategies
and methods to full fill customers need and help to promote products in the effective manner. All
companies try to build an effective image in customers mind and also in the market all
companies try to provide effective and efficient products to customers and according to market
trends and fashion. If a company manufacture products according to market trends and fashion
so customers are easy to attract and purchase their products and set their mind regrading their
products and that particular company.
Apart from this, According to this case study marketing is the essentials part to develop
their products and goods in the effective manner and help to achieve their decided targets and
goals of the business. In which help to identify their customers needs and wants through the
company, so company will easy to evaluating them and after that appoint strategies to develop
products and goods for them. Marketing is the important term to identify market and their
customers. There are many function those help to promote products and help to develop
company in the market. In the marketing process there are many function like buying products
by customers, selling products to customers, help to provide market information to company,
market trends and fashion regarding information. At this time all customers wants something
new and effective(Lane 2016). When a company proper understand customers and market so
they will produce actual products to customers and easy to give them proper satisfaction. In the
market has many kind of risk to face by company like many competitors, substitutes,
rules/regulations, new companies, environment, location, brand image and customers needs. Its
hard to define market trends and fashion. Marketing process help to promote, directing and
controlling all activities and works in the effective manner. Marketing process is the is the part of
promotional process to products, its help to promote them in the systematic manner and help to
achieve decide targets and goals of the business and improve production level of products and
goods of the company so companies profits will automatically increase in the effective manner.
In the other hand, marketing play and important role to promote products and goods in the

effective manner and help to achieve a targets and goals of the business(Malhotra, Birksand and
Wills 2013).
TASK 2
P3 Compare the ways in which H&M and Zara apply the marketing mix to the marketing
planning process to achieve business objectives
H&M and ZARA both are the clothing and cosmetics product company these both are
using some effective and systematic process in which produce products and goods to customers
and give them proper satisfaction to them regarding their products and help to achieve their
target and objectives of the business. Marketing mix include product, price , place and promotion
these all are the key elements of the marketing process. Through these parts and elements a
company can easy to start their business to determine customers in the effective manner and
improve production level of the company. Marketing planning process should be effective and
systematic in the nature that help to achieve targets and goals. Marketing process involve many
steps first have to determine and identifies environmental trends and fashion also customers need
and wants these help to determine them and evaluating all customers in the systematic manner.
In the second step have to decide vision and mission of the company(Mihart 2012). After that
have to decide strategies and techniques to promote products and goods in the market. Through
these strategies and techniques easy to achieve targets and vision or mission of the company and
build a effective image in customers mind. In the marketing process hard to determine customers
and the market trends. After adopting strategies and techniques then control on all activities and
works in the effective manner if customers has any issues and problems so have to determine and
proper evaluating all issues and problems regrading products and goods. Both these companies
try to build an effective image and target to the market to achieve goals and objectives of the
business and attract maximum customers in the effective manner and try to promote products in
the market. Apart from this, there are defining the marketing mix of H&M and ZARA such as
follows:
7Ps of H&M and Zara
Basis of difference H&M Zara
Product H&M offer wide range of They are also selling variety of

variety i.e. from designer
cloths to everyday basics.
cloths but main focus of their
product is on selling cloths of
latest trend.
Price H&M is operating is premium
segment of clothing. Their
prices are high but compared
to main competitor like
ZARA, it is low.
ZARA is known for selling
cloths of latest trend. They are
charge high price for it
specially compared to H&M.
Place Globally, H&M has 4135
stores. They have adopted
strategy of franchising where
they select partner for at the
time of opening a physical
store. Their product is also
available online.
90% stores of ZARA is owned
by this company and
remaining 10% is running
through joint venture.
Promotion H&M is known for aggressive
marketing. They are promoting
their brand on every platform
i.e. T.V advertisement,
YouTube.
ZARA do not spend any
amount on marketing.
People Employees of this company
get regular transfer in different
departments so their overall
development can be done.
ZARA is a different strategy
for their personnel, they do not
transfer them so they can work
in one field for long time and
become specialist of their
field.
Process This company always focus on
retain those customer who are
generating more profit for
company. This work is done
They organisation do not have
any strategy like consider
problems of a customer on
priority basis. They treat

by resolving their quality on
priority basis.
everyone in same manner.
Physical evidence PR activities of this company
should that employees of
H&M are humble and they
care about customer. This
organically is entering in
markets for expanding their
reach.
ZARA do not care about
marketing, they are using this
money on opening new stores
at different places.
Basis of similarity H&M ZARA
Product Product of H&M are known
for high quality and they are of
latest trend.
ZARA is also operating in
premium clothing segment.
Price H&M sell their product at high
price because they known that
they are selling premium
quality.
They are also selling cloths at
high rate and do not reduce
price of their products.
Place H&M is a present at global
level with around 4000 stores.
ZARA is consider as leading
player of clothing retail at
global level.
Promotion They have aggressive
marketing strategy and they
always try to keep good
relationship with their
customers.
In term of promotion, they
only focus on brand loyalty.
People Employees of this company
has gone through fine training
program.
ZARA has quality workforce.

Process They have sound procedure for
resolving queries of customers.
This organisation changes
whole collection of their stores
in short period of time so they
can offer new clothes which is
demanded by customers.
Physical evidence Physical stores and employees
are evidence of existence of
this company.
They company is present in
different part of this world and
thousands of employees are
working in it.
TASK 3
P4 Produce and evaluate a basic marketing plan for H&M?
A marketing plan is an outline or blueprint that a guides company's marketing and
advertising policies for the coming years. These are two basic types of marketing plans first is
digital marketing plan which means that making a plan to advertise the product on digital media
and second is offline marketing plan which include various strategies and tactics that could be
used by the outlet to seek customer attraction. In the above heading we would prepare a
marketing plan which could be used on both the platforms digital as well as outlet of H&M.
Which is by providing discount n product. In this we would provide 15% discount on the
products but this scheme would work if they purchase for more than 100 pounds for a specific
period of time that is only for one week. This would be published on both the place on the stores
in the form of banner as well as on the application. This thing would be shown in the form of
banner while promoting in the outlet whereas this this would be promoted with every product
advertisement of H&M(Papasolo, mouand and Melanthiou2012). The impact of these things
would be evaluated with the number of count of footfall occurred during the time when scheme
was active and we would also count the number of orders we have received extra from various at
the time of issue of scheme validity. Another plan could be issue of gift vouchers on more than
the purchase of 1000 pounds in which company would provide a gift hamper to the clients.
These type of marketing plans are for shorter period of time but have more customer attraction.

This plan would be evaluated by counting the increase in number of purchase during validity of
the Plan.
MARKETING PLAN
Executive summary – H&M is considered as one of a top brand in clothing retail sector. This
organisation is present in different part of this world and currently company has almost 4000
retail stores worldwide. They are continuously expanding their business and in recently they
have entered in some Asian countries.
SMART Objectives
 Capture 10% market share of clothing sector in India 2 years.
 Increase revenue from Asian market by 5% in next 3 years. Open 50 stores in emerging market like India in next 5 years.
Marketing analysis
STP analysis:
Segmentation – This company will sell their product in premium segment because they
offer high quality and customer will not argue about high price because they understand that they
are getting value for the money which they are paying.
Targeting – H&M will target rich class segment. Buying power of middle class group in
India is not much and they will not take much interest in buying product by paying high price.
Positioning – Product of H&M will target young generation. Youth prefer to spend
significant amount of sum on buying trendy cloths. Increase brand awareness will assist this
organisation in attaining their target. Aggressive marketing is necessary for proper positioning of
an products.
Porter's five force analysis:
Threat of new entry – Clothing sector in this region is open to all and India is a big
market. Chances of new players coming to this industry is high. Biggest threat in new local
vendors who are constantly getting strong.
Bargaining power of buyers – It is high. Customers have more options and many
successful international brands are already present in this country.
Bargaining power of suppliers – Suppliers do not have much power because if a supplier
deny to agree the terms of H&M then they can easily find new one who will agree to their terms.

Threat of substitute – Their is any major threat of substitution. This risk is at low level.
Although now technology is also entering in clothing sector. Some small organisations are
selling jackets which comes with permanent earphone in it. At this point one cannot say that it is
a big threat.
Rivalry among existing competitors – ZARA is considered as their biggest rival at global
level and they have already entered in this emerging economy. Rival is high between these two
countries.
Budget
Almost 100 million pounds will be needed for accomplishing all of these targets. Most of
the amount will be spend on opening stores and advertising.
Implementation and controlling process
50 stores in next 5 years is an aggressive target but by opening 10 years every year, this
goal can be attained. Proper location for opening store will be found at initial stage and then
stores will be opened. By organisation continuous internal audits, the work of controlling can be
done in an effective way.
CONCLUSION
As per this project report, marketing is the important or essentials part to promoting
products in the market and try to full fill customers need and wants. H&M is the clothing and
cosmetic company that want to build an effective brand image in the market. In the market many
factors those are may be affect in the negative way on companies products and goods so
companies have to decide effective and suitable techniques and methods those help to achieve
targets and goals of the business. Through the marketing process promote and easy to launch
new products in the market and attract maximum customers.

REFERENCES
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