An Analysis of Prada's Marketing Mix: Strategies and Effectiveness

This report provides a comprehensive analysis of Prada's marketing mix, examining the strategies employed by the luxury brand across product, price, place, and promotion. The report begins with an abstract summarizing the key findings, followed by an introduction that highlights the importance of marketing in promoting products and building customer awareness. The methodology section outlines the use of internet sources and industry sites to gather information on Prada's marketing strategies. The core of the report delves into each element of the marketing mix, detailing Prada's product offerings, premium pricing strategy, distribution channels, and promotional activities. The report discusses the product range, including eyewear, footwear, clothing, and fragrances. It explains Prada's premium pricing approach targeting affluent customers. The report also analyzes Prada's distribution channels, from boutiques to e-commerce platforms. The report details the promotional methods, including advertising in magazines, fashion shows, and social media. Finally, the report offers recommendations for improvement and concludes by emphasizing the potential for continued brand development. References are included to support the analysis. This report is a valuable resource for understanding how Prada has successfully implemented its marketing mix.

Student’s Last Name 1
Marketing
By (Name)
Course
Professor
University
Date
Table of Contents

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Abstract............................................................................................................................................3
Introduction......................................................................................................................................4
Method.............................................................................................................................................4
Marketing Mix of Prada...................................................................................................................5
Product........................................................................................................................................................5
Price............................................................................................................................................................5
Place............................................................................................................................................................6
Promotion....................................................................................................................................................7
Recommendations............................................................................................................................8
Conclusion.......................................................................................................................................8
Bibliography....................................................................................................................................9

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Abstract
Marketing is a tool that has been used by many businesses to promote their products. The
four marketing Ps have been incorporated to effectively market goods and services. This paper
will discuss how Prada has effectively used the marketing mix in promoting its product. The first
marketing mix to be discussed is promotion. This will include the promotional methods that the
company uses to remain competitive. The second one is place. The paper will analyze how Prada
has positioned itself in the market to cover a wide geographical area in order to serve its
customers from each corner of the world. The third marketing mix is price. The paper will
identify how the company has priced its products. Additionally, this essay will discuss the
products that Prada deals with such as clothes and its potential consumers.

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Introduction
Marketing involves selling and promoting products. Marketing of products may be done
using several methods such as advertising, publicity, and using sales personnel. Marketing of
products is important because it increases the awareness of the product which builds potential
customers. Marketing also increases the sales of goods. Good marketing skills and methods
attract consumers hence increasing the sales of the products. Moreover, marketing creates trust
between the seller and the buyer. An effective marketing strategy comprises of the four
marketing Ps. The 4Ps include identification, selection, and development of a product,
determination of price, choosing a suitable distribution channel in order for the products to reach
to the consumers, and creating and implementing a promotional strategy. This essay will discuss
how Prada has used the 4 marketing Ps to attract customers.
Method
The method used to prepare this report will primarily rely on internet sources from which
valued information will be gathered. By analyzing information from these internet sources,
Prada’s marketing mix will be summarized, taking into account the strategies the company uses
to attract customers and satisfy their needs. Industry sites and news related sites will also be
used. The internet sources will also provide necessary information relating to the prices of the
company’s products. Also, the structure of this report was obtained by referring to the
university’s website.

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Marketing Mix of Prada
Product
Prada is an organization that has built its brand due to its luxury products which are
available to both men and women in all the target segments. The products associated with Prada
include eyewear, footwear, clothing, leather goods, fragrances, watches, and home products
which form the firm’s marketing mix product strategy. Nonetheless, the company has got
exclusive jewelry, handbags as well as cosmetics that are tailored for women (U.K., 2019). Prada
also has children’s clothing along with Miu Miu line of products that are designed for the
younger segment. Also, under its Linea Rossi brand, the organization provides sports and
lifestyle products. Recently, the company entered in the mobile phone industry whereby it
partnered with LG Electronics and the partnership resulted in the manufacture of three phones
that include LG Prada, LG Prada 3.0, and LG Prada II (Marketscreener.com, 2019). Nonetheless,
the company has also introduced Prada Link, a watch that is compatible with LG Prada.
Nonetheless, in 2012, Prada suspended the production of watches. The company’s perfume
sector has got several ranges that comprise of La Femme Prada, Olfactories, L’Homme Prada, as
well as Les Infusions that falls under iconic scents, Prada Amber and Prada Candy for women
along with Prada Luna Rossa manufactured for men and Amber Pour Homme falling under the
Puig brand.
Price
Being a prestigious fashion house dealing with Luxurious products, in 2016, Prada posted
revenue of US $3.91 billion. The company has positioned its brand as the most influential
fashion brand and has a premium status symbol. The company has effectively targeted women,

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men as well as the children from rich families that live in urban cities and who are willing to
purchase its premium products. The company possesses a high brand value. As a result, it adopts
a premium pricing strategy (International and International, 2019). The company’s list of
customers comprises of actors, models, famous personalities, dignitaries, and royals. Prada
charges astronomical prices for its set of goods but they remain competitive and loved by the
customers as they are eager to continually remain associated with the high-profile brand name.
Because most of Prada customers come from the elite class that does not give much
consideration to the amount of money that they spend, Prada has been effective and successful in
achieving its premium pricing policy. At times, the company also caters for its customers by
developing customized products which are charged at the highest premium rate (Fashionbi.com,
2019). For instance, the company’s bags have prices that vary from $300-$3000, shoes ranging
$300-$700, fragrances ranging $50-$200, clothing $200-$2000, skin care $50-$200, and
sunglasses from $200-$300. In addition, accessories that comprise of caps, gloves as well as
belts range from $200-$400.
Place
Place refers to how the product will reach the customer. Prada has got an effective
distribution channel that makes it easy for customers to access its products. The firm ensures that
the presence of its brand suits the brand’s essence. The organization has hired international and
renowned acclaimed architects to develop stores in several locations. The stores were devised to
give the consumer a unique Prada experience (Cpp-luxury.com, 2019). The company opened its
first center in Broadway, New York and it has the potential of being successful due to its
strategic location. Prada also has satellites in Australia, Indonesia, Germany, India, United
Kingdom, Australia, Hong Kong, Canada, Russia, South East Asia, Europe, and United States

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(WIRE, 2019). The company has its products accessible at various boutiques in malls,
multipurpose, and megastores in the world. This makes its products accessible the consumers’
geographical location. The retail company has over 629 boutiques across the world with the
oldest in Milan. Moreover, they have e-stores and e-commerce sites which makes it easy for
customers to make their orders online (Business Insider, 2019). This clearly explains how Prada
has placed itself in the market and its distribution marketing mix.
Promotion
This explains the methods that companies use in promoting their products such as
advertising, public relations, and special offers. Prada has always aimed at creativity and
innovation in promoting its brands. Prada always adopts aggressive promotional methods in
marketing its brand. The company owns a website which portrays Prada’s products with all the
information that consumers would want to access on different products. On the other hand, Prada
conducts fashion shows that appear to be persuasive as well as productive in the fashion industry
(Marketscreener.com, 2019). Prada also has several ads on magazines that include Elie and
Vogue. Furthermore, Miuccia Prada arranged a traveling art gallery which aimed at connecting
the young generation. There is a group which is working towards safeguarding the environment
along with taking part in charity events in Milan to create awareness about cancer prevention.
Nonetheless, Prada has conducted several runway shows which comprise of music designed by
French artists along with the company’ actors and models. These actors and models are featured
in Prada’s ad campaigns which helps develop a strong customer impact. Prada’s marketing mix
has assisted it to create a strong bond around the world.

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Recommendations
1. The company can improve its shoe collection by making use of more durable
materials aimed at improving longevity and comfort.
2. In promoting its products, Prada should use social media by ensuring that
advertisements primarily focus on its products.
3. Prada should also promote its products on websites, public events, and through
signage and window displays.
Conclusion
The organization has come a long way since its establishment in 1913 and it still has the
potential of going even further. If the company follows the recommendations on ways it can
improve its brand awareness, the company may have the opportunity of becoming a powerful
fashion entity globally. Nonetheless, the company also needs to continuously develop its brand.
Fashion is all about art, and the designers have the capability of either making or breaking Prada.
The organization can also consider expanding its brand to incorporate plus size men as well as
women’s apparels and update its website to ensure that it includes other countries that have got a
high purchasing power.

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Bibliography
Business Insider. (2019). Prada is in crisis. [online] Available at:
https://www.businessinsider.com/prada-and-the-luxury-goods-sector-sales-and-results-2015-3?
IR=T [Accessed 21 May 2019].
Cpp-luxury.com. (2019). Prada turnaround strategy focuses on digital and less stores. [online]
Available at: https://cpp-luxury.com/prada-turnaround-strategy-focuses-on-digital-and-less-
stores/ [Accessed 21 May 2019].
Fashionbi.com. (2019). Luxury Marketing & Retail Business - Is PRADA Doing It Right?.
[online] Available at: https://fashionbi.com/insights/marketing-analysis/luxury-marketing-retail-
business-is-prada-doing-it-right [Accessed 21 May 2019].
International, E. and International, E. (2019). Prada SpA in Luxury Goods | Market Research
Report | Euromonitor. [online] Euromonitor.com. Available at:
https://www.euromonitor.com/prada-spa-in-luxury-goods/report [Accessed 21 May 2019].
Marketscreener.com. (2019). Prada : Reports Steep Fall in First-Quarter Profit |
MarketScreener. [online] Available at: https://www.marketscreener.com/PRADA-S-P-A-
8235601/news/Prada-Reports-Steep-Fall-in-First-Quarter-Profit-20534160/ [Accessed 21 May
2019].
Marketscreener.com. (2019). Prada : says shop closures to offset openings in 2016/17 |
MarketScreener. [online] Available at: https://www.marketscreener.com/PRADA-S-P-A-
8235601/news/Prada-says-shop-closures-to-offset-openings-in-2016-17-22153720/ [Accessed 21
May 2019].

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U.K. (2019). Analysis - Prada needs to focus less on new shops and more on new.... [online]
Available at: https://uk.reuters.com/article/uk-prada-strategy-analysis/analysis-prada-needs-to-
focus-less-on-new-shops-and-more-on-new-handbags-idUKKBN0LF1I820150211 [Accessed 21
May 2019].
WIRE, B. (2019). Research and Markets: Prada Case Study: From Family-Owned Business to
Global Luxury Goods Powerhouse. [online] Businesswire.com. Available at:
https://www.businesswire.com/news/home/20120716005478/en/Research-Markets-Prada-Case-
Study-Family-Owned-Business [Accessed 21 May 2019].