Marketing Mix of H&M: Analysis of Strategies for UK Market Success

This report provides a comprehensive analysis of H&M's marketing mix, focusing on its strategies within the UK market. The report examines the various elements of H&M's marketing mix, including product offerings, pricing strategies, distribution channels, and promotional activities. The product section discusses the range of clothing, accessories, and other items offered by H&M, targeting the lower-middle class and student populations with trendy and affordable fashion. The price analysis explores H&M's competitive pricing strategies, including discounts and promotions, to attract customers. The place element examines H&M's physical stores and online presence, highlighting the importance of convenient locations and the impact of the COVID-19 pandemic. The promotion section details H&M's use of various channels, such as media, digital marketing, and celebrity endorsements, to reach and engage with customers. The report concludes by emphasizing the effectiveness of H&M's marketing strategies and their contribution to the company's growth and success in the UK market.

Marketing fundamentals
INTRODUCTION
Marketing fundamentals can be describe as all those activities that help in
reaching customer and increasing profit share of the firm. Hennes & Mauritz AB
(H&M) is one of rising fashion clothing company in United Kingdom. Firm was
founded in the year 1947 by Erling Persson at Västerås, Sweden and in later stage
expanded market in different part of the world. In UK company target low income
budget people who are highly interested in wearing latest attires. Marketing Mix
helps firm in framing strategy to target British customers. It has elements namely
product, price, place, promotion, physical evidence etc. Trendy Goods and services
of the firm available at very cheap rate and hence support changing taste and trend
behaviour of people. Organisation is mostly available on physical stores which
support shopping habit of customers. It uses various kinds of promotion channels to
attract customers such as media, digital marketing etc. Report emphasizes on
marketing mix of H&M and the way in which contribute in growth of the firm.
Marketing Mix of H&M
Marketing mix of H&M can be defined as steps that firm used to promote its
product in market. Strategy of company decided according to it, increase innovation
and creativity to attract large number of customers in the country.
Process
Customer relationship management is highly focused in the organisation. Firm
provides training and development program to workers which increase quality, efficiency,
and productivity of work. Increase customer satisfaction level as they are getting better
quality product on time (Dörnyei, 2020). Supply chain management of the organisation is
highly Effective it help in in reaching customer on time. It also decreases unnecessary
expenditure and work can be done timely. Customer care numbers are given to buyers so
that in case any problem can reach to organisation. It help in resolving problem quickly and
increased customer experience. These strategies play a significant role in mouth to mouth
publicity which highly impact on financial condition of the firm and contribute in achieving
higher goals. Organisation gives staff given training regarding store management as well as
the way in which they communicate with customers. It has dual impact on consumers and
hence they become loyal to organisation. Transportation and other process related
management services perform in effective which help in influencing customer in gaining
competitive advantage in changing business.
Product
H&M is brand of lower Middle Class Section and student Society of the country. In
United Kingdom firm target this kind of customer by giving them the opportunity to wear
latest fashion at lower prices and hence become brand of commons (Goworek, Perry and
Kent, 2016). There are multiple clothes that firm offers such as trendy, yoga wear etc. Also,
sales shoes, bags, accessories, beauty etc for attracting female section of the country. In cheap
Monday organisation give product related to pop and music culture and other fashions for
both genders.COS related to men’s, women, children clothes which are wardrobe and classic
in appearance. Monki is another segment of the company which offers trendy collection for
young ladies in the country. On weekend company sells product for young adults those who
inspired from changing trends in the country. Organisation is one of the most inspiring and
customers women always loyal to the form because of product and quality. White portfolio is
another characteristic that support one stop shopping of habit of the customers. Jersey,
jacket, jumper etc. and large number of other clothes that firm offered to British customer.
Main concept behind low prices clothes to reach large number of lower section Society of the
country and able to increase profit share in changing business (Hanaysha, 2020). Organisation
highly invests in technology so that increased quantity of the product with quality and
influence large number of customers with variety of products. Research and development
team of H&M is concentrated on innovation and creativity so that new design can be available
for the customers. In Britain people believes in one stop shopping habit and firm design
variety of cloth so that people cannot switch to another brand. It has tied up with various kind
of designer in the country and hence able to manufacture large number of fashion attire.

Physical Evidence
A Store Of the firm has a beautiful ambience
with supporting staff. Arrangements of clothes in
decent way at shop and hence influence customers to
purchase it. Merchandise of the company is of great
quality with latest fashion (Niinimäki and et.al.,
2020). Organisation provides product and services for
diversify population and hence support globalisation
of its market. Public relation activities again impact
on buyers for example celebrities and others are used
for promoting firm's product.
People
H&M has diverse workforce which help in innovation and creativity at workplace. Human resource Department recruit
people from different background, ideology, culture so that organisation can offer variety of product to them. Training and
development sessions also provided for increasing communication level so that diversification of culture can easily promoted in
the firm. Organisation also focuses on personal growth of employees with the help of various kinds of reward and award as well
as recognition. For example: yearly promotion event organised in the firm which help in gaining consumer and interest profit
share in changing business. Leaders use transformative style in working culture so that people feel part of organisation and help
in achieving higher targets on time. Innovation and creativity highly focused by the organisation which helps in gaining
competitive advantage in. Professional development as well as technological programs started by H&M so that workforce can
work in era of globalisation. As the people come from different backgrounds, share their experience related to work which also
improve innovation. Leaders in the organisation give autonomy to workers and involve them in decision making of the
organisation. Feedback, suggestion and opinion again help in understanding employees need and the way in which work can be
improved.
Price
Price become important factor in changing business and H&M offer variety of cloth at lower
prices with high quality which attract large numbers of customers in the country and hence
able to increase profit share in changing business (Henninger, Alevizou and Oates, 2017).
Organisation follows competitive prices strategies so that able to influence various kinds of
people by fluctuating cost of the products. Reason behind lowering cost of product is cheap
transportation as well as large number of suppliers available in the country. Organisation
manipulates raw material prices so that they can offer range of product on discount.
Organisation sales old stock at very cheap cost on festival as well as on occasion. It attracts
lower middle class as well as student section of the country. There is multiple option of
discount that organisation offers to customers for example: If people purchase product in
bulb then price will be very less compared to individual and hence firm able to sells quantity
of product in a day. Price war is another way to target customers and H&M provide range of
goods by cutting cost which help to break the customer of other Organisation in the country
and hence able to improve competitive advantage in changing business (Black, 2020).
Company highly focused on women of lower class which easily attracted towards trendy
clothes. They easily influence from discounts and it help in increasing profit share of the
firm. There are multiple competitors of the company in United Kingdom such as zara, mark
and Spencer etc. This organisation focused on improving quality of their product so that
more and more customers can be attracted towards the organisation. However, company is
less focused innovation and creativity and fewer amounts is invested for it which hampered
growth of the firm. It become necessary for H&M to follow a strategy so that innovation
and creativity can be increased and from able to target large audience with the help of it.
Place
Organisation is is located at different location in various countries
with 4135 physical stores which help supporting shopping habit of the
peoples. There are multiple franchise of organisation which help customers to
easily get H&M product at nearby location and hence increase customer
satisfaction level. Organisation highly focused on physical stores as women’s
and students want to hangout from routine life and for that shopping is best
option. In United Kingdom H&M have less number of stores which effect on
its profit share in changing business. However, H&M is determined to open
more store in big cities like London, Frankfurt etc. Which have large number
of people. Firm strategy is to increase physical stores in different part of world
which help in gaining customers for its product. Although COVID has highly
affected H&M business for example people avoided going out for shopping
with decrease market share of the organisation. However organisation can
make quick changes in stores such as increase protocols related to social
distancing so those customers do not scare to come. Effective supply chain
management can become effective in such kind of problems. Form can
contact local delivery channels and can invest in opening their own which help
in reaching customers and increase customer satisfaction level. Most of the
competitors winning market because of this strategy and changing business
required to adapt and implement in the system of the firm.

Promotion
H&M use multiple channels for promotion of its products and services such as
media, digital marketing and mouth to mouth publicity. In United Kingdom there are a large
number of diverse people and hence to attract them different form of advertisement will be
done by the firm such as on Christmas company advertise product in that theme which help
gaining loyalty of customers and increase market share in changing business. Facebook is
one of major tool for the organisation to target consumer mid and above age. There are
large numbers of people available on this platform which highly attracted by organisations
advertisement and hence try to purchase them. Instagram used by majority of youngsters in
the country and organisation use it for influencing them. YouTube is one of the important
social site that are used by British customers And Company share its blogs on it so that
people can know actual value of the product with characteristics (Pal and Gander, 2018).
There are multiple bloggers which are in collaboration with the organisation and they
promote firms product and support growth of it. H&M also have a separate digital marketing
team which conduct survey on this platform as well as target customers. Human resource
department of firm hire trained and skilled workforce for it which help in gaining competitive
advantage. Training and development program also conducted by HRM for marketing team
can easily and in modern way promote product. Media is another platform where H&M
highly invest to influence customer. It includes advertisement on newspaper, magazine,
radio etc. Most of the customer in country genuinely attract with the help of it. It is observed
that people avoid social media advertises because of continuous updating. Mouth to mouth
publicity another powerful strategy of promotion and firm do it by providing quality product
and services to customer. However, H&M invest greater in digital marketing to customers
than any other platform. Organisation is also connected with various kinds of celebrities as
well as social media stars and hence able to connect and target population of the country.
H&M try to reach and sell products to lower middle Class in United Kingdom which are highly
influenced from firm's product. It sells latest fashion product and support changing text
content of British customer (Mitterfellner, 2019). Moto behind is to remain in market for
longer and continuous increase profit share which are necessary for business.
CONCLUSION
It can be analyse from the report that H&M expanding business by proper
implementation of marketing fundamentals in business. 6 P’s of marketing mix are use in the
report. Organisation strategy is to provide latest fashion clothes to lower middle class and
student section of the society. It use various kind of promotion channels for it such as
Facebook, YouTube etc. and hence firm will able to reach large population in the country and
increase market share. Competitive price strategy is followed by the firm which help in
gaining competitive advantage in changing business. Trained and skilled workforce increase
efficiency quality and productivity of work.
REFERENCES
Books and Journals
Goworek, H., Perry, P. and Kent, A., 2016. The relationship between design and marketing in
the fashion industry. Journal of Fashion Marketing and Management.
Henninger, C.E., Alevizou, P.J. and Oates, C.J., 2017. IMC, social media, and UK fashion micro-
organisations. European Journal of Marketing.51.(3).pp.668-691.
Hanaysha, J.R., 2020. Marketing Mix Elements and Corporate Social Responsibility: Do they
Really Matter to Store Image?. Jindal Journal of Business Research.9.(1).pp.56-71.
Black, S., 2020. Fashion in a Time of Crisis.
Pal, R. and Gander, J., 2018. Modelling environmental value: An examination of sustainable
business models within the fashion industry. Journal of Cleaner Production, 184, pp.251-263.
Dörnyei, K.R., 2020. Limited edition packaging: objectives, implementations and related
marketing mix decisions of a scarcity product tactic. Journal of Consumer Marketing.
Mitterfellner, O., 2019. Fashion Marketing and Communication: Theory and Practice Across
the Fashion Industry. Routledge.
Niinimäki, K and et.al., 2020. The environmental price of fast fashion. Nature Reviews Earth &
Environment, 1(4), pp.189-200.