Comparison Fo Marketing Strategies
In this term paper we will compare two companies, Splash of Landmark Group and H&M, two leading fashion retailers in UAE. We will individually analyse the marketing strategies of the two companies and compare them to see which one is more successful in the UAE market. We will also suggest some recommendations for developing their strategies.
Both of these companies have equally done very well with their marketing strategies in the past and even better in the year of 2008 while being under the influence of the economies downfall. Sustainability has been the main marketing strategy that has made H&M a highly successful business and continues to do so to this day . In the case of Splash, its marketing strategy consists of aggressive selling with various offers and promotions for its customers. The topic we have chosen to write about is important because Splash and H&M are well-known companies that are popular amongst young consumers.
Learning about each marketing strategy will help educate us better on where they stand in the apparel industry in reference to others we know about. Comparing Splash and H&M hopefully will give us a better understanding about the two companies and how we can make their marketing strategies better. In organising our paper we will start out giving the brief overview about the two companies and further proceed to analyse each of their brand positioning, pricing , promotion, e-marketing etc. After the explanation and analysis of each strategy we will proceed to suggest recommendations for improving their strategies.
H&M Evolution The history of H&M started with a man named Erling Persson, who was a Swedish former salesman that became fascinated with America’s high-volume efficient outfits that Barneys and Macy’s carried. Persson first discovered the outfits when coming to the United States after World War II. Persson brought the retail concept – that high turnover produced lower prices – and brought it back with him to Sweden. It was then that Erling chose to open his own store which he called Hennes, standing for “hers” in Swedish.
During this time the store only sold women’s clothing. The company Hennes was established in 1947 in Vasteras, Sweden and by 1968 Persson had purchased the men’s sportswear inventory and property of a Stockholm hunting equipment store which was named Mauritz Widforss. Erling Persson then changed the name of his store Hennes to Hennes & Mauritz to express the expansion, and later downgraded to just the abbreviations H&M. By 1970 Hennes & Mauritz developed a children’s clothing line and by 1978 the store offered much of all family clothing.