~~~ Chapter 16 ~~~

        Advertising, Public Relations And Sales Promotion 

 H&M has a sales promotion that has been effective for the company and beneficial for the loyal and new customers. H&M gives each customer discount cards off their next purchase for five dollars. It usually shows the date It'll start and end.

I know this technique works because I didn't know about the discount cards until a friend of mine showed me a bunch she had. At first it was given to those that spent fifty dollars or more but now because we are customer friendly and want to keep them coming back,  we give to all that make a purchase at H&M. There are other discount cards that customers can receive of 15% to 25%. If  a customer has enough discount cards, they will be saving a lot!

Also, H & M have grate online offer.  Even if you sign up for H & M online you will get 20% off. Current strategies that H&M are marketing to its consumer are through a mobile marketing campaign to promote the latest collection. In doing this mobile marketing strategy consumers receive sms coupons, mobile banner ads placed on major portals and media sites.H&M launched their fist campaign in 2006 and is still continuing to use this channel to cover a wide range of consumers.The main goal for this marketing technique is to promote the latest seasonal trends for that particular season and to drive membership of the H&M Club. Consumers can sign up for this by going to the website and entering in their mobile number.

               Chapter 14: Marketing Channels And Retailing

 H & M for a retailer that has built its brand around accessibility and immediacy, it’s a curious move and one that stands in stark contrast to the sell-out success of the 2011 Versace for H&M

launch, which perfectly synchronized communications and retail, making clothes available for sale immediately after the runway show to debut the line.
As H&M is a retail firm in the fashion sector, customer satisfaction with collection after collection is the cornerstone of its success. In a well-adjusted assortment there are different production lead times  from here on abbreviated and different levels of marketing visibilities  which are co-promoted with identical advertising messages to consumers. An assortment should consist of private collections and entirely retail brands. H&M delivers all this at competitive prices in prime locations.  
 H&M is the second largest apparel retailer in the world, just behind Index SA. With 2,600 stores in 43 countries, H&M was a pioneer in pursuing vertical integration with its own distribution network. The company’s clothing collections are created in Sweden by approximately 150 designers and 100 buyers. H&M outsources production to a network of 800 suppliers; 60% of the production takes place in Asia, the rest in Europe. H&M offers two main collections each year, one in spring and one in fall. Within each season, there are several sub-collections that allow H&M to continually refresh its inventory. The primary collections are traditional long-lead items; the sub-collections are trendier items with short lead times. And also, H & M opened online shopping this is a grate  for me to shopping online. Ordering from online if you can't go to store, nowadays most of  us like to shop online. 
http://www.youtube.com/watch?v=nIc4JE53Tgk
 H&M also has a world-class IT infrastructure, which is key to its success. Each store is connected with corporate logistics and procurement systems and the central H&M warehouse.  The IT systems also reach as far as the design and product development teams, so executives have visibility into the entire process, from product design to sales. This leads to more effective management across all channels. The bottom line is this: In today’s highly competitive retail environment, regardless of approach, it’s critical to know how consumers will react to products well before they’re launched.

            Chapter: 6 

Consumer Decision Making

 

Chapter six talks about the importance of understanding consumer behavior, factors influencing consumer buying decisions. H&M is aware that there may be changes within a consumers decision making. They know that this is a risk and can effect their results and business. H&M knows that changing in the global economy can effect a purchasing behavior. H&M makes sure to have a flexible buying model that can be adjusted to different market conditions. As a worker and customer, I myself know what I need and what I simply want. Everything I buy I don't always need, it's just that I see something within my style and have to have it. Not only does the style compliment me, the prices H&M offers for their pieces you can't pass up. I have had customers come to my register deciding what to buy, if not all the items. Some say " I really don't need this, but Wow! look at the price in one" I will get it!. I had my experience while working last summer.

H&M seems to have found a great niche of sucking the customers in with the phenomenal prices. Over the years H&M has learned to cater to what the consumers may need and what their looking for. Their style of the clothing changes each season and are wearable by all ages and sizes. There are a variety of sections such as TREND a more high end line of H&M, yet still great quality and reasonable pricing. There is Divided Black for teens to late 20's early 30s. Divided RED is a more sporty, comfortable line. Everyday is a line that people can wear everyday, turn your work outfits into night wear. And lastly denim and basics, where they have t shirts, tank tops, underwear, sweatpants, leggings and etc. H&M has a big selection of Lingerie and bathing suits, and a line that all consumers seem to love is the LOG section. Very soft t shirts and tanks, more on the casual and dressy side of comfortable wear. Modern Classic is a work, dressy, classic look that women and men can both wear. So the decision making for consumers  is endless at H&M. You have many sections to choose from and always guaranteed a sale with additional low prices!

Chapter 5:          Developing A Global Vision

 Chapter five is about global market. What is global marketing? There are endless reasons why global marketing is important today. Global Marketing is the process of marketing  that targets market that throughout the world and has become an imperative for business. Globalization, trend toward greater economic, cultural, political and technological interdependence among national institutions and economies. The trend is a result of national boundaries becoming less relevant and different entities cooperating more actively across national boundaries.H & M no doubt is globalizing themselves all around the world. H & M now has 250 stores worldwide and owns 1,522 stores in 28 countries.More than eight years ago H & M owned 945 stores in 18 countries. H & M increasing its numbers of stores every year and are becoming more international entering several new markets, such as Greece, Slovakia, Hong Kong, Shanghai. H & M has a global marketing approach. The approach offers standardized products in the fashion and clothing market in different countries. H&M does this by using similar marketing mix and global advertising and communication. As mentioned in the chapter, global standardization is also used at H&M. The stores are standardized by keeping the same atmosphere throughout the store, although the size may vary. H&M makes sure to keep producing new markets each year to increase it's presence in the whole world. Every H&M stores launch all new products the same time, especially new campaigns in the company worldwide. A great example would be with the well known designer Lanvin. He launched his new affordable collection through H&M last year. The launch was a major turnout in New York, in fact worldwide!

International trade when a nation imports and exports goods. International Business, a larger concept than international trade because it includes foreign production of goods. Marketing, is composed of the activity set of institutions, and processes for creating. Communicating, delivering and exchanging offerings that have value to customers,clients, partners and society at large. Domestic Marketing a strategy that is based on information exclusively from domestic industry and customer demands, as well as the domestic cultural conditions. This is the first stage in how firm marketing strategies evolve Export marketing  this is the second stage in which companies move toward internationalization companies begin by doing business and meeting needs of customers outside their usual boundaries. In this early stage they rely on other companies to assist them, while perfecting the internal conditions of their business to eventually do so independently. External factors, such as saturated domestic markets, or unsolicited inquiries from foreign customers may lead to export marketing. International marketing when external marketing becomes increasingly more important and successful for the business, they will begin seeking new sources of growth and  profit. New countries serve as new markets, thus international marketing begins. International marketing begins. International Marketing is approached by concentrating product and promotional strategy to a given foreign market.