Marketing Essentials Report: H&M Marketing Strategies and Analysis

This report provides a comprehensive analysis of H&M's marketing strategies, functions, and roles. It begins with an introduction to marketing and its importance, followed by an examination of H&M's marketing function, including its role and responsibilities in identifying successful products and promoting them. The report then delves into the marketing mix, exploring how H&M utilizes it to achieve its goals. It also covers the relationships between marketing and other organizational functions like finance, human resources, production, and research, as well as B2B and B2C marketing. The analysis includes H&M's marketing process, responsibilities of the marketing department, and roles in relation to different departments. Finally, the report discusses marketing planning and concludes with a summary of the key findings, demonstrating how H&M effectively attracts customers and increases its revenue.

MARKETING ESSENTIALS

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK1.............................................................................................................................................3
P1 Marketing function and its role and responsibilities.........................................................3
P2 Roles and responsibilities in marketing function .............................................................6
TASK2.............................................................................................................................................8
P3 Marketing mix for achievement of firm goals..................................................................8
TASK3...........................................................................................................................................11
P4 Marketing plan...............................................................................................................11
CONCLUSION..............................................................................................................................15
REFERENCES .............................................................................................................................15

INTRODUCTION
Marketing is the step of attracting customers towards organisation product by the help of
establishing intangible relationship between product and customer of product. This the most
important function of management in any commercial organisation which want to sell there
goods and services in a target market. It includes number of activities like advertising,
identification of target market and research of market. In context of this report, H&M will be
base company. Hennes & Mauritz(H&M) is a Swedish faction clothing retailer which have
operating 74 nations with 5000 stores. It has become a most loved fashion brand in currant times.
Company is also present on online platform in 33 countries where it sell its products on online
basis. In this report all the factor related to marketing of the product will be discussed. All type
of product mix and competitor of company are analysis in this report. There will also analysis of
function of marketing that how they influence profitably of firm in long run and attracting new
customers towards firm product.
TASK1
P1 Marketing function and its role and responsibilities
Marketing function is a part of business operation in which a company identifies products
which will be successful in market place and then promote that product in order to increase
revenue.
Concept of marketing : Philosophy of marketing essential states that it is required by a firm to
identify needs and wants of a customer and then fulfil those needs in a way which is better than
its competitors(Kayabasi and Mtetwa, 2016). Almost every firm in today's scenario uses
marketing concept.
Current and Future marketing trends: In today's marketplace industry is growing and
developing rapidly. This happens due to new technologies and innovations brought in by
competitors. H&M used to go with traditional ways of marketing. It used various kinds of print
media and outdoor media. Magazines and billboards had the major marketing budget. Ways of
marketing for H&M have changed a lot lately. Now the firm uses internet as a platform to
promote its products. It has a vast media presence. It promotes through a number of social media
platforms. These includes Instagram, Facebook, Twitter etc. It has also joined hands with some

online shopping sites which are now promoting H&M. Other than this they have made contracts
with fashion influencers, bloggers and You Tubers. In this way H&M is dealing with today's
changing market scenario.
Process of Marketing: Marketing process considers of four steps which states that how can
marketing function be implemented on an organisation and functioning of business so as to
influence masses of population towards their product and services. When followed correctly it
helps an organisation to fulfil its goals(Sharp, 2016). The four steps of this process are
mentioned below- Situation Analysis: In this first function of process of marketing. In this a suitable
situation is analysed on which marketing will be implemented. This function includes
analysis of needs of consumer in order to market their product. In context of H&M
consumer taste, preference and styles are studied well in order to develop a market plan. Marketing Strategy: This step include analysis of all different types of marketing
strategies. There are a number of strategies available in the market. It is required by firm
to choose the best fit for their organisation type based on their objectives. H&M is an
apparel brand which focuses on youngsters. So its strategies will be based up on its target
market and its objectives(Suuronen, 2016). Marketing Mix Decision: After identification of marketing strategy next comes decidion
regarding marketing mix. In it performance of company is compared with one of its
competitors. This helps company to attain competitive advantages. H&M is compared to
Zara which is one of its major competitor.
 Implementation and Control: In the last step of marketing all above mentioned steps are
applied in same series. It happens when company is ready to launch its product or
service. This requires an effective control as well as management system. H&M has a
marketing team which takes care of this fact and evaluates effect of marketing strategy as
well as changes brought by it.
H&M is a famous brand which has a large range of apparels for men, women and kids.
Its marketing department works effectively so as to increase revenues and profits of firm. In
order to function correctly and be an asset for company marketing department have some
responsibilities. Below mentioned are responsibilities of marketing department of H&M-

Market Information- The first and foremost responsibility of market department is to
gather information from market(Hugos, 2018). Every other process is based on this information
collected. In H&M marketing department stay in touch with customer and collects data regrading
their needs and wants.
Market Planning- It is important for a company to learn about market before launching
of any product or service. In H&M marketers study marketplace and then come to a conclusion
regarding where to open its stores.
Financing- Another major function of marketing team is to allot budget. This budget is
made keeping in mind rate of return which is provided by every sales promotion tool used. In
H&M marketers very concisely decide where to spend how much amount.
Product Design and Development- Marketing department have conducted market
survey. This gives them best knowledge about needs and wants of customers. In H&M marketing
team sit with designers and suggest them on what all should be included and what all needs to be
excluded from their clothes.
Distribution Channels- Distribution of goods is another function of marketing team.
H&M have two ways of distribution of its product. First one is through its retail stores which are
present all over world and second is through online site.
Creating Content for Marketing- In order to do marketing it is necessary for a
company to make a brand name through brand logo, tag lines etc.It is duty of markting team og
H&M to create such advertisement and have such content which will attract customers.
Organising Events and Campaigns- Another responsibility of marketing function is to
think for society as well. Managers at H&M keep organising some events and campaigns. Such
campaigns are of dual benefit(Kotoua and Ilkan 2017). They provide dual benefit to H&M.
Firstly, it is a step of company towards society. Company is fulfilling its need to do CSR
activities. Second reason is that this is ultimately increasing name of company. It will attract
more customers in this way
Engagement of Customers- It is important for a marketing team to keep consumer
interested in goods and service provided by them. H&M stores salesperson are are trained well
so that they do not loose customer interest. From the time a customer enters stores and till the
time they leave store they need to be engaged in goods.

Supporting Sales Team- It is important for marketing department to maintain a
coordination between marketing and sales team. It is duty of marketing team to tell what to sell
and then that product or service is sold by sales team. In context of H&M, sales team is are
trained well and they work effectively with marketing team.
P2 Roles and responsibilities in marketing function
Marketing function of company is important function which have number of
responsibility in organization it have to cooperate with all organization function to facilitate
smooth working in organisation this will also enable organization to achieve its objectives.
Relationship between marketing and other organisational functions is stated below:
Finance department with marketing department: finance department of firm is that
department of firm which act as back bone of it. This function provides finance to different
department of firm and helps them in their working in organisation(Wang Chen and Chen, 2016).
Finance department of H&M allocate fund to its all department which includes marketing
department. H&M's finance function cooperates with marketing function as marketing function
identify market and study behaviour of customer than provide information to finance function
that in which product they should invest which will help in reducing wastage of resources.
Marketing department of H&M also identify opportunities for further investment by finance
department.
Marketing with human resources: Human resources function of organisation deals with
managing human resources of organisation. It includes identification of vacant post, recruitment
and selection and managing their compensation. Marketing function of H&M has close
relationship with their human resources department(Mishra, 2016). As HR function of firm deal
with training and development of employees in their organisation and marketing needs trained
staff for its functioning. In case of marketing it is important for employees of organisation as it
help them in promoting their products to increase sales and profit will also increase incentives of
employee which increase motivation in organisation.
Marketing with production: Production department of organisation is that department
of firm which produce the product of organisation as well as design the product. Marketing have
various responsibilities towards this department as marketing do research and study behaviour of

consumer. Which help in production department in identifying what are the needs of customer
and which type of product should be manufacture. This will also help as identifying competitors’
products and there quality and feedback about company's product quality to production
department to make changes accordingly(Amiri, 2016). Production department has also
important role in marketing function as it provides marketing, product for further sale. In H&M
both department have great combination as production department manufacture products
according to guidelines of marketing department which analyse market trends.
Marketing and research: research department of firm is that department which analyse
business environment where firm is working this department have separate importance in
organisation. Marketing department is highly dependent on research and development
department as it help them in identification of target customer and their behaviour which help
marketing department in using proper tool to attract them towards organisation(Lies, 2017). In
context of H&M, coordination between this departments have crucial role because it help firm in
achieving targets of marketing by effective research and product development.
Marketing function in B2B(business to business):This is the framework which
includes transaction between business to business. There is a chain in this framework which
incudes manufacturer, wholesaler and retailer. H&M has a huge chain of this function as they
purchase many products from different wholesaler and act as the final seller of product.
Marketing function in B2C(business to consumer): In this framework transaction
between business and end customer of product are included. This act as the last chain in selling
of product because here the product will be consumed for staffing human wanted. H&M is also
flowing this system in there working as they also deal with customer for selling their product to
them.
Marketing function of organization has many roles and responsibilities in organisation as
it fulfil many responsibilities for different department of firm. Which facilitate increase product
response in increment in sale of products for firms like H&M. Fulfilment of these responsibilities
also work as achievement of targets of organisation in long run which ultimately leads to
profitability in organisation.
There are some other responsibilities of marketing function which are not classified according to
department are stated below.

 Marketing department of organisation has to perform role of listener organization
customer(Critchley, 2018). In context of H&M their marketing function work as link
between firm and customer by identifying there complements and demand related to
product.
 In H&M marketing department have a clear responsibility of representing firm bran on
global platform.
 Marketing function also play a role of researcher by search new tools of marketing of
company product. Marketing department of H&M identify different tools of marking like
Product Management tools and Marketing automation tools.
 Marketing function play an important role in managing coordination between different
marketing partners of company this function help H&M in establishing better
coordination in different department of company and guide them in particular direction
which is good marketing of product(Brychkov and Domegan, 2017).
TASK2
P3 Marketing mix for achievement of firm goals
Marketing mix is a framework which help firm in identifying and using tactics which will
help company to compare their product prise etc. for gaining advantage in competitive
environment. This set of action is consist of 7P which are product, price, promotion, place ,
position, packaging and people. How H&M can use this for gaining advantage in business is
stated below:
Basis H&M ZARA
Price H&M is dealing in luxury
products which have high price
in nature. Clothes and other
merchandise of this have huge
price range. Which target high
income class people of society.
So price of H&M is not the
ZARA have min focus is to
target both high and medium
class customer so price of their
products are into so high or
they have both high range and
low range products which can
fit in budget of people so this

factor which can give them
competitive advantage. But it
will increase profit of company
as high price is termed as high
rate of profit(García-Medina,
Farias Coelho and Bellido-
Pérez, 2017).
will lead in competitive
advantage to firm in compare
of their competitors.
Product H&M have their existence
form long time which
facilitated them in lunching
different products under single
brand name. They are currently
dealing in different kinds of
clothes like man garments,
Lady's garments and kids wear
which facilitate them to
explore market more widely
and present their product in
global market.
ZARA was founded in
1975(45 years ago). Company
is running its operations from
long time that is the reason
behind there diverse range of
products. Company is dealing
in products like clothing,
accessories, shoes, swimwear,
beauty and perfumes so it
provide them maintain the
market in different seasons.
Place H&M has different stores in all
over the world and their
distribution channel is also
facilitate them in maintain their
organizational structure and
demand of product. This work
as an competitive advantage to
firm in long run.
ZARE have also their stores in
different nations which help
them in maintain their
distribution channel strong but
there distribution partners are
not so efficient to maintain
good function which leads in
loosing opportunities in long
run(Mghebrishvili, 2018).
Physical Evidences Physical environment of H&M
is totalling hygienic and clean
ZARA have also strict rules
and regulation regarding

for maintaining healthy
working condition in
organisation. All sores are well
maintained and strictly follow
rules related to safety of
organisational climate.
physical appearance of their
stores but because of bad
monitoring firm has loosing
hygienic factors from
organization(Heroux, 2017).
Promotions There are various methods of
production used by H&M in
there organisation which help
company in getting excess to
customers. The method used
by H&M is TV advertisements:
H&M comes with creative ads
which focus on its latest
innovative designs. Company
also use their social accounts
as medium of advertisement of
their new and innovative
products.
ZARA believes in different
approach as compare to other
competitors as it does not
advertise about its product it ,
they does not place there logo
or other advertising items on
their product this is because
ZARA believes in promotion
of their products by moth
publicity which is done by
customer to customer.
People People in marketing include
the entire person who is related
to firm directly or indirectly.
These people are employees,,
creditors, debtors, investors
etc. which have direct impact
on firm. H&M have number of
related people in its firm
structure, these all have major
importance in to it. Which
facilitate organisation to do its
This function is common in
ZARA as they have also lots of
people in there organization
which facilitate them smooth
large number for their working
but it also act as problem for
management of ZARA that
they have not clear set of
programme to manage these
people and it will lead in
wastage of resources.

operations(Yagelski, 2016).
Process Process is the last but most
important function of
marketing mix this function
deals with the relationship
between firm and there
customer. H&M has clear
relationship with their
customers as they follow the
process in which customer and
firm has direct interaction
while buying product.
Sometime if customer buy
product online than H&M
provide full description of their
product which aid customer in
identify product easily(Rennke
and Denker, B.M., 2019).
ZARA have ridge process in
there working which act as a
barrier in there customer
interaction and make there
them less satisfied with
company process this will also
lead in decrease number of
buyer of firm products.
Strength and weakness of marketing mix -
Strength Weakness
 Marketing mix acts as perfect
framework for analysis the factors
which aid organisation in getting
competitive advantage
 Second benefit of marketing mix is it
analgise that what factor of a firm is
strong than its competitor which will
leads in profitability of organization.
 It does not include unique
considerations of service market which
will effect in its original decision.
 Marketing mix is a costlier process as
well as it requires trained staff for its
making which is also a costlier process.

Marketing mix of H&M states that firm is doing well but it has to focus on its price, product and
promotion techniques this is because company have major share in market and competitors of
firm have also poses similar kind of quality which can affect firm profit earnings ratio.
TASK3
P4 Marketing plan
It is that plan of marketing which is formed by marketing department of firm in order to
achieve goals and objectives. Marketing plan is consist of tools and techniques which firm is
going to use for marketing their products to external market this advertisement and promotion of
company’s product is done through various tools which help company in establishing a
relationship with customer where firm can understand the needs and requirement of there clients
and customer can aid firm in increasing its profitability(Chernev,2018). In context of H&M
marketing plan is formed by their marketing manager. Who is a specialised worker in making
effective market plans for their business by considering external environment factors. These
plans must be clearly stated to every employee of origination. The market plan for H&M is
stated below:
Overview of the company
H&M is world’s leading brand in fashion designed cloths and luxury items. This
company is operating the company has a significant online presence, with online shopping available
in 33 countries with 5000 stores across globe. Company is operating in 74 countries in which 33
countries are those where it is selling its product online. There are number of fashion brand in
UK But H&M have their separate identity as company is running from long period of
time ,company have number of customer who are working in it . it is a Swedish brand which is
working under an logo of H&M. company has a mission, aim and marketing objectives which
are stated below:
Mission: H&M mission statement is “to drive long lasting positive change and improve living
condition by investing in people, communities and innovative ideas” this is in context of
company fashion and design.
Aim: the aim of H&M is to guide and direct its employee in the direction of success and respect.
It also want to communicate the message customers that they should care about their garments in
there whole lifespan.