Fashion Marketing -Marks and Spencer - Essay Example

? Company Analysis: Marks & Spencer/ Limited collection Introduction and Background Marks and Spencer (M&S) is a British multinational clothing brand, currently operating in over 40 countries around the world with over 1000 of store chain globally. Headquarter of Marks and Spencer is situated in city of Westminster, London. Company profile extends to diverse product line. Food and beverages product line is considered as most diverse one. Other products include all types of clothing from kids to adult clothing. The company had been founded in 1884. The founders of the company were Michael Marks and Thomas Spencer (Briggs, 1984). Nowadays, the brand is considered as a style icon among the style and trend lovers. It has now extended too many brand lines. The company was also victimized of the recent financial crisis that was observed during last decade, but through effective marketing and operational strategies, the management sooner remained successful coping up the slump effects. In response to reduce the effects of economic recession, one of the most successful marketing strategies was targeting strategy revisited. The management decided to target niche. The “Limited Collection” named brand was one the most successful events in effort to regain the previous leadership position. Currently, only UK stores’ chain has 21 million plus customer turnover per week (Marks and spencer annual report 2012). Current Scenario: Marketing Strategy M&S has retailing structure of stores. They have particularly targeted the status quo of upper class and upper middle class of the society. The offerings of Marks and Spencer are considered as class symbol and people feel real value while being able to afford the brand. In other words, it is the brands of brand and cost conscious people. Recently the management has announced to commence 60 new stores around the world till the year 2016. To accomplish the mission of 60 new stores, they have started their way by exploiting Indian fashion market for the first and this has been pointed as a right decision on a very right time (Marks and spencer annual report 2012). The current competitors of Marks and Spencer may include ASDA, Tesco, Aldi and Centra. M&S has differentiated marketing and retailing strategies for European and Asian market as per the characteristics and preferences of the target population. The Limited Collection brand was introduced in the late 2004; it was not being considered that it could significantly remain helpful to create such a unique differentiation. But it remained pretty successful and customers showed a very high adoptability towards the brand. However it has its same placement and the concept oriented approach which keenly values the notion of cost and brand consciousness. Serving segment is cost conscious group, target population is high class and upper middle class whereas positioning of the products is as a high quality and distinguished fashioned products. The Limited Collection brand offers a wide range of women’s, men’s and kid’s wear. The best feature of the brand is that the offerings are replaced each week from the outlet. In this way, it has a vast choice and unique variety because of rapid replacement of display items from the stores. The section of Limited Collection is not offered at every outlet which is a step towards a specification orientation (Marketingweek.co.uk, 2004). Competitors’ Analysis for Marks and Spencer Competitors’ analysis is really worth when designing a lucrative marketing strategy. The competitors of Marks and Spencer in fashion industry include a wide range of potential competitors. The competitors may include elite class fashion designers to middle class fashion wears. It is important to study the characteristics of the competitors. The realistic competitors of M&S are those who present their products to the population of upper middle class and higher classes of the society. Specifically the competitors of M&S may include Alde, Centra, Levi’s and ASDA. Although some of these companies offer a wide variety of fashion products but they are competing in the race of fashion. M&S is specifically most popular in the area of women’s wear. The competitors are competing on their own resource based capabilities for example Levi’s has special advantage on the specialty of jeans products such as trousers. Competitors have other comparative edges which are left over by the market. It cannot be generalized that the market based resources are not achievable but the unique selling points are better not to be acquired to maintain the healthy competition. However we do not observe head to head competition in the fashion industry but otherwise a huge potential exists. People have certain associations with brands and the market players are well aware of the exploitable areas. Competitors of M&S are also well organized, lean to answer the marketing strategies and significantly innovative to give a tough time but the USPs of M&S are still more appreciable that they are market leader since a long time ago (Interactive, 2013). SWOT Analysis Strengths: There are several distinguishable features of M&S which are unmatchable and through which the company has gained and sustained competitive as well as the comparative advantage around the globe. It has a very clear brand perception, placement, segmentation and targeting strategies. The designs, product lines, band value, financial position and customers’ choice are the primary strengths of the company. Other strengths include growth, innovation, high adoptability, and market leadership, customer service quality and high responsive (Irishseagull.tripod.com, 2013). Weaknesses: Apparently there is no weakness in the management and strategies of the company but if we critically analyze, it can be found that M&S does not pay attention on younger customers specifically. They do not have internet integration through which they can gain more customer attention. Opportunities: To get more from the market, the company can revisit their some of the marketing and positioning strategies. For example, online shopping is a great area which is still grey. Other opportunities may include improved kids’ wear, improved innovation, new markets’ exploitation, and target lower classes of the society as well and perform well in the field of corporate social responsibility by paying back to the society. Threats: The strategies adopted by M&S are not that much innovative rather these are just resource oriented strategies which can easily be imitated because barriers to entry in the fashion market are not significant. Anyone can beat them on the basis of resources and identical opportunities. M&S is not so much active over the internet which is a prominent flaw of the marketing strategy of the company (Cadogan, 2012). References Briggs, A. 1984. Marks & Spencer 1884-1984. London: Octopus Books. Cadogan, J. 2012. Marketing strategy. London: SAGE. Irishseagull.tripod.com. 2013. M&S SWOT Analysis. [online] Available at: http://irishseagull.tripod.com/msswotanalysis/ [Accessed: 21 Nov 2013]. Marketingweek.co.uk. 2004. M&S launches Limited Collection | Archive | Marketing Week. [online] Available at: http://www.marketingweek.co.uk/ms-launches-limited-collection/2014747.article [Accessed: 21 Nov 2013]. Marks and spencer annual report 2012. 2013. London: M&S. Interactive, H. 2013. Superbrands case studies: Marks & Spencer - Brand Republic News. [online] Available at: http://www.brandrepublic.com/analysis/233544/Superbrands-case-studies-Marks---Spencer/ [Accessed: 24 Nov 2013]. Read More