A Comprehensive Marketing Plan for UNIQLO's Australian Expansion

This marketing plan analyzes UNIQLO's strategy for growth in the Australian market, focusing on its expansion to the Gold Coast. The report begins with a situation analysis, including a SWOT analysis and an assessment of social and demographic trends. It outlines marketing goals, targeting generation X and Y, and the baby boomer generation. The plan details UNIQLO's value proposition of affordable, high-quality, and stylish clothing. Marketing tactics cover product development, pricing strategies based on the 5Cs (company objectives, customers, costs, competition, and channel members), a direct distribution channel, and a promotional budget including TV ads and billboards. The report concludes with references and appendices, including a SWOT analysis, providing a comprehensive overview of UNIQLO's marketing approach. This report highlights the importance of understanding the target market and adapting marketing strategies to local market conditions.

Running head: MARKETING PLAN 1
A MARKETING PLAN TO GROW UNIQLO
Student Name
Student ID
Date
Word count: 1730

MARKETING PLAN 2
I. Situation Analysis
UNIQLO is a Japanese fashion giant and has been operating in Australia for over three
years since it opened up its first store in 2014, which is located in Melbourne. It is one of the
world`s leading dealers in textile fashion wear for women, men, kids and babies (David &
Toshiro, 2012). Its sales rose 47% to $174.5 million in 2016. It is projected that the net sales
of the fashion store will reach $1 billion by 2020. The key goal of the company is to be the
globe`s fashion dealer of choice and continually expand its market share in Australia and
globally. A SWOT analysis given in Appendix 1 shows the likely weaknesses of UNIQLO`s
fashion products within the highly competitive fashion industry with further adverse impacts
by the macro-environmental factors.
Following a vivid assessment of the market, I inference that social trends are the chief such
factor impacting UNIQLO products (Douglas, John, & Essam, 2015). There has been a rise
in the spending among the Australians particularly in Melbourne and this is highly attributed
to its touristic nature, an increase in status and non-status seeking teenagers, and a rise in
informal and casual fashion preferences. These emerging social trends are the ones fashion
giants are articulately tapping into, Uniqlo inclusive.
Additionally, demographics are another factor. The primary target market for the company
is generation X and Y and the baby boomer generation. It comprises of people of ages 18-25
and 25-40. These are particularly professionals. Also, babies and international students form
a key niche of the market (Helen & Richard, 2012).
II. Marketing goal
Open a store in Gold Coast (in November 2017); attain $310 million in revenue and
increase our sales by 69% by December 2018.
III. Marketing strategy
Target customers
Appendix 3 provides a vivid profile of the target market. Geographically, the segmentation
of our products will be mainly focused in urban area markets, particularly those of Sydney,
Gold Coast, and Melbourne. Sydney and Melbourne are tourist centers and hence this
provides a perfect central market for our affordable and trendy fashion textile wear
(Junghyun, Eunju, Eunha, & Euntaik, 2012). The CBDs of the three cities are also
instrumental in providing alluring central locations to showcase and sell our products. Here,
our consumers will include: tourists, city residents and commuters from other places.
However, Melbourne and Sydney require quite prudent product offering since the two cities
experience periodic changes in seasons/climate compared to Gold Coast.
Regarding the assessment of the demographics, the targeted consumers will range from
those of low income, middle income and high income (Ramesh, 2015). This is because our
aim is to give our customers the value for their money by offering affordable fashions. 21%
of Australia`s households earned an income of $2,500 or more weekly in 2016 (Tsan, 2014).

MARKETING PLAN 3
This partly informs our decision to target this particular socioeconomic class. However, we
still highly target the rest of the socioeconomic classes. For instance, one can get a basic item
like a plain white men`s T-shirt for $7.90. As such, our products are affordable across all the
socioeconomic classes in the country.
Value proposition
UNIQLO products are highly creative, trendy, affordable, high quality and stylish. We
differentiate ourselves from the rest of the competitors by providing a broad range of colors
for our items (Hubbard, Anne, Philip, & Antony, 2014). A majority of the items are made of
special fibers, particularly the HEATTECH which creates warmth regardless of the fact that it
is light and thin. Furthermore, we are able to provide a huge selection of clothing products
throughout the year despite the changing seasons, different styles that include casual,
professional and fashionable, they come in highly distinctive colors and most importantly
they are all of the high quality.
The value proposition of UNIQLO is by providing high-quality stylish clothing at prices
which are affordable to all. The prices of the attires are set in such a way that every person
can afford them regardless of the socioeconomic class that they come from and hence they
are assured of getting value for their money (Susaina, Julie, & Joseph, 2015). UNIQLO
products need to be continually positioned within the affordable or pocket-friendly yet high-
quality range. This is because universal affordability is a key factor in determining whether
your products can move out of the shelf at a high rate or not. It is also a determinant of
whether your items can be accessible to every of your target customers or not. It gives you a
competitive edge in that your customers can buy as much as their purchasing power can
allow them anytime. High-quality items also aid in popularising and cementing our
reputational brand among our loyal and potential customers.
IV. Marketing tactics
Product
UNIQLO products are presently distinctive in the market compared to the products of the
competitors in the industry. Our items are made of high-tech fabric materials yet they are
availed at affordable prices to the customers. Furthermore, currently, our products come in
the latest styles or trends to meet the increasing and diverse styles and preferences of women,
men, kids and those of babies (based on the styles and preferences of their parents since the
babies certainly cannot choose for themselves). Studies indicate that consumers` purchase
instincts are largely guided by affordability and variety in terms of colors and the number of
product selection available to them (Tim, 2011). As such, Uniqlo has extensively capitalized
on this since its present products come in a wide variety and are affordable to both the loyal
and potential customers.
UNIQLO needs to further develop and polish itself as a stylish, classier, attractive and a fast
fashion retailer providing creative and customer-centered products while continually
redefining the association between affordability/price and quality. Customer preferences

MARKETING PLAN 4
nowadays are highly bent towards more trendy, alluring and innovative clothing products
which are tailor made or rather custom made to meet their diverse needs (Verchi, 2016). As
such, UNIQLO has been able to remarkably capitalize on this although more needs to be
done in order to give it a more competitive edge in the market over its competitors. This will
also enable the brand to appeal and attract a wide range of consumers from all walks of life.
It can do this by using celebrities from all walks of life as models.
Price
The 5Cs on which pricing strategies are based are evaluated as illustrated below.
Company
objectives
The pricing set by the brand should back its efforts to attain its targeted
goal. UNIQLO should set its prices slightly lower than those of its key
competitors such as Topshop and Zara. This will enable the brand to
increase its market penetration and consequently its market share in the
country.
Customers The pricing strategy is immensely impacted by the change in both the social
trends and demographics of the targeted customers. The two factors are
central in influencing the manner in which UNIQLO`s pricing strategy is
designed.
Costs Should be informed by the prices of the main market competitors
Competition There are several key competitors in the fashion market and hence the
prices for UNIQLO are quite influenced by this. As such, the market or
retail prices are set based on the level of competition for market share.
Channel
Member
The dealers at the retail stores form a fundamental influence since they have
a direct personal interaction with the customers. UNIQLO uses a marketing
channel system which is one-level. That is, its products move directly from
the manufacturers to the retail stores.
The pricing strategy based on other major market competitors should be executed by setting
slightly lower prices for UNIQLO as a brand. Although UNIQLO is one of the brands with a
broad array of products that are of high quality and pocket-friendly, it needs to be diligent
when making decisions about their prices. This is because lower prices can increase the
overall sales of the brand but do not necessarily translate into actual profits (Ken, 2012). As
such, the price setting strategy should be done based on a comprehensive consideration of the
goals of the brand in the market and be flexible to changes in the highly competitive fashion
industry.
Distribution
UNIQLO`s distribution channel is a direct marketing channel that involves a one-level
channel system. The products of the brand move directly from the different manufacturers to
retail stores globally. This implies that there are no middlemen involved in the distribution of
the items. This gives the brand an upper hand regarding the challenge of dealing with
conspiracies and disadvantages associated with middlemen. Consequently, it is able to
closely monitor the movement of its products as well as the prices at which the products are
being retailed at in the various retail stores (Kahn, 2015).

MARKETING PLAN 5
This distribution channel involves a network of other manufacturing partners located in
Southeast Asia and China. This has enabled the brand to foster the manufacturing of
creative, affordable and reliable products for its customers. Additionally, this serves to
strengthen the mutual ties between UNIQLO and its producers and consequently ensure that
its stringent quality standards are always adhered to. As such, this type of distribution
channel system will continually enable the brand to attract more customers and hence
translate into increased sales and market share. This distribution channel is the most suitable
for the brand since it aids it in ensuring that it continuously appeals to more customers and
hence higher chances of successful new market penetration and expansions.
Promotion
The optimum budget of AUD $50,000 was expended on promoting UNIQLO as a brand to
open up a store in Gold Coast and attain a $360 million revenue.
Objectives Task IMC Tools
Used
Budget/Cost (AUD)
Increase
awareness of the
new store by
90% among our
loyal and
prospective
customers
 Designing TV
Ads
 Procuring 5m by
3m billboards
advertisement
Advertising $15,450 (for billboards)
$10,100(for TV Ads)
Raise the
awareness on the
wide selection of
fashion clothing
available in the
new store
 Giving gifts for
each double
purchase, for
example, give
out a free plain
T-shirt
Direct
marketing
$7.9×2000 plain T-
shirts=15,800
Monitor the
brand`s online
positioning
 Establish a
vibrant customer
interaction via
digital platforms
Internet
marketing
(YouTube,
UNIQLO App,
Twitter,
Facebook,
Instagram and
WhatsApp)
A 10secs YouTube video+
Facebook post+ Instagram
post= a range of UNIQLO`s
items[(320 different
items×$25)]=$8,000
Total= $49,350
Promotion is meant to consolidate the loyal customer base alongside attracting prospective
customers and hence increase the market share. The above table shows that a huge part of the
budget will go to billboards and TV Ads. A majority of Australians commute daily using the
roads and watch TV as well. As such, this will heighten the exposure of the new outlet.

MARKETING PLAN 6
V. References
David, F., & Toshiro, M. (2012). UNIQLO Marketing Plan. Media.dropr.com.
Douglas, W., John, F., & Essam, I. (2015). Strategic marketing: creating competitive
advantage. Oxford University Press.
Helen, M., & Richard, M. (2012). CIM Coursebook 03/04 strategic marketing management.
Routledge.
Hubbard, R., Anne, G., Philip, L., & Antony, O. (2014). Macroeconomics. Pearson Australia.
Junghyun, J., Eunju, K., Eunha, C., & Euntaik, L. (2012). A study of a social content model
for sustainable development in the fast fashion industry. Journal of global fashion
marketing, 61-70.
Kahn. (2015). Product planning essentials. M.E Sharpe.
Ken, K. (2012). Advertising and sales promotion. Cengage Learning.
Ramesh, M. (2015). Trends, challenges, and innovations in management. Zenon Academic
Publishing.
Susaina, C., Julie, I., & Joseph, R. (2015). Happily Ever After: The Effect of identity
consistency on product satiation. Journal of consumer Research, 564-577.
Tim, S. (2011). Pricing strategy: setting price levels, managing price discounts and
establishing price structures. Cengage Learning.
Tsan, C. (2014). Fashion Branding and Consumer Behaviour. Springer Science and Business
Media.
Verchi, A. (2016). Handbook of research on global fashion management and merchandising.
IGI Global.

MARKETING PLAN 7
VI. Appendices
Appendix 1: SWOT Analysis
Strengths
 A reputable fashion brand
 Broad array of products for
men, women,
Kids and babies
 High-quality products
 Affordable prices that provide
value for
Money spend by customers
 Strong financial background
Weaknesses
 Lack of a strong brand loyalty
 Product launching and variety highly
dependent on the four seasons
Opportunities
 Change in social trends
 Great brand popularity
Threats
 Increased competition in the industry
 Possible brand switching attributed to target
segment
Appendix 2: CDSTEP Analysis
Demographics  Primary target market includes people of ages 18-25 and 25-40
Social Trends  Stylish look, status and non-status seeking teenagers
Economic  The growth in household income in 2016
Technology  Technology permits coherent ties with customers
Appendix 3: Segmentation analysis
Geographic Urban areas in Australia (Sydney, Melbourne, and Gold Coast among
others)
Demographic Men, Women, Kids, and Babies. Also international students
Psychographi
c
Good looks boosts self-esteem and confidence
The desire to seek social status
Behavioural People who want to appear trendy and classier
Benefit Affordable