Marketing Plan for Uniqlo Australia - Case Study Example

Uniqlo Australia IMC Professor (Tutor) The Name of the School (University) The City and State Date Table of Contents Uniqlo Australia IMC 1 Table of Contents 2 Uniqlo Australia IMC 3 Executive Summary 3 Integrated Marketing Campaign 4 Brand Analysis 7 Situational Analysis, SWOT and Objectives 9 SWOT Analysis 10 Objectives 11 Message Map 12 Media Release 13 Title: Wear Innovative not Trendy! 13 Budget 14 Monitoring and Metrics 15 Conclusion 15 References 16 Uniqlo Australia IMC Executive Summary The following plan outlines an integrated marketing communication campaign for Uniqlo Australia. Uniqlo is a leading Japanese multinational unisex causal wear stylist, manufacturer, and merchandising chain. The company recently opened new stores in Melbourne and Sydney, Australia (Fast Retailing n.d). Nonetheless, Uniqlo is still facing numerous challenges competing with global fashion giants and the inability to reach the target market in Australia. As a proposition, Uniqlo can effectively communicate to its consumers through an IMC campaign based on the superior functionality and high quality of their products and brands. Uniqlo Australia requires an effective and engaging campaign to establish its brand an innovative-driven designer rather than a trend-driven designer (Hawthrone 2014). The campaign will focus on engaging target customers on numerous communication tools of integration. It will focus on traditional and non-traditional tools to offer coherence, consistency, and continuity as a long-lasting strategy to influence marketing in Australia. The campaign will rely on traditional tools of integration including TV, Radio, and Print Media. This will enable a more consistency and continuity in terms of message and style as well as the desired action. Moreover, the campaign will utilize internet marketing and mobile marketing. Through the use of social media (Facebook, YouTube, Twitter, Google…etc.), the campaign will enable convenient, inexpensive, and effective ways of communicating the quality and functionality of Uniqlo. Mobile marketing will offer a wider audience as smartphone use continues to grow significantly. Uniqlo is the new frontier in casual wear as they invest in innovation rather than trends. Through their innovative Life Wear brands, I believe that Uniqlo will change the concept of casual wear. The campaign is significant in ensuring that the correct strategies, channels, and messages are communicated to the target market in the most effective manner. Uniqlo will be able to communicate the idea innovation in casual wear through this IMC campaign. Integrated Marketing Campaign Today’s world is more integrated than ever. The development of technology and effects of globalization have made the world into one village. For businesses, this has resulted in numerous avenues of accessing the customer. Communication is no longer limited to geographies or time, but integrated in all manner of technologies. Integrated marketing communication is not a new idea or strategy. It surfaced around the late 1980s from the American Association of Advertising Agencies that defined IMC as a strategy or idea of attaining the goals of a marketing campaign using a well-coordinated use of diverse integration of promotional techniques that are aimed at reinforcing each other (Keller 2001). IMC is based on identifying the tactical roles of numerous communication disciplines such as public relations, advertising, and sales promotions among others. These factors offer consistency, clarity, effectiveness, and continuity when integrated inside a wide-ranging communications plan. In simple terms, IMC is the use of consistent market or product messaging across different marketing channels including traditional and non-traditional methods. Nonetheless, IMC can be better understood by focusing on numerous ideas including media ecologies, networked publics, and the communication theory. Media ecology is an ideology based on the study of media atmosphere or its environments (Fuller 2005, p. 13). It relates to the notion of technology and methods; codes and information of communication and how they play part in human activity or development. Media ecologies can be related to how natural ecologies have different characteristics and how they influence living things in such habitats. The same case applies to media ecologies as it dwells on how media technologies influence society, and more over how they control human affairs in the world through virtual means. According to Fuller (2005, p. 13) media ecologies have enabled people to translate artistic features aesthesis through virtual technology in the media. Medias such as TV have created cultures such as pop cultures (Fuller 2005, p. 17). Such media technologies have unique communication and artistic elements that influence human understanding and perception. Media ecologies or the growth of media technologies have created complex and dynamic (Fuller 2005, p. 13) systems that are able to engage people in all manner of their life. People relate and engage with media as a culture reflecting on the art, themes, and elements that relate to their everyday life. This means that media is a strong tool of achieving communication and engagement with customers for any marketing or business objective. IMC utilizes the idea of media ecologies by combining numerous marketing channels or media advertising methods to engage and influxes consumer perceptions and understanding (Barger & Labrecque 2013, p. 64). IMC can also be described in terms of networked publics. The notion of networked publics is based on linked or connected cultural, social, and technological advancements that gave convoyed the developing engagement with digitally connected media (Boyd 2011, p. 39). Publics are all that comprises the society from children, teens, adults, and the elderly. Each in their role and position are becoming connected through digital media as technological developments. Nonetheless, it is not only about being connected, but how digital media has shaped the publics in terms of collectives and space (Boyd 2011, p. 45). According to Boyd (2011, p. 45) networked publics are normal publics that are re-designed by networked or digital technologies that form a instantaneously collection and space of people. The main idea behind networked publics is the architecture they are built upon. Networked publics rely on media and information to be connected rather than traditional approaches of communication between publics (Boyd 2011, p. 46). The features, technologies, and potential of media technologies are allowing people to live in a connected framework. For instance, people can socialize through social media in so many aspects that can still be done traditionally in life. IMC capitalizes on the idea of networked publics to reach target consumers in the most convenient and effective manner. Lastly, IMC also relies on the theory of communication. This is specifically based on analysing the elements of communication. IMC utilizes the elements of communication such as source; sender, channels, and receiver to develop comprehensive marketing campaigns enable sustainable and effective results. Without considering issues such as the message and receiver, any type of communication would lead to unintended results or outcomes as well as feedback. Nonetheless, through communication theory, businesses can device effective and appropriate media messages and channels to achieve their marketing objectives. All these considerations makes it evident that IMC offers the best integration when it comes to marketing communication. Brand Analysis A brand has many definitions based on what a company aims at illustrating to the customer and what it wants to hide from the customer. Nonetheless, in history or earlier times, a brand was viewed as a logo or the design of a product wrapper (Holt 2002, p. 78). Today, this has become the shadow of the brand as companies create innovative and persuasive perspectives of their products. A brand can be explained as the set of stories, memories, relationships, and expectations that if combined reflect a customer’s decision to select one product over another (Blakeman 2014, p. 123). Moreover, a brand or branding is the marketing strategy of developing a name, design or message that identifies and distinguishes a product or service from others. It is the promise a business makes to its consumer. Brand image is the overall view or picture that consumer see when they think or look at a certain product (Blakeman 2014, p. 124). The image developed in their minds and reasoning every time consumers think or view a certain product forms the brand image. Brand equity is the marketable value that comes from a consumer’s perception of a certain brand name of a certain product or services, rather than the product alone (Blakeman 2014, p. 126). For instance, consumers who are willing to pay more for a certain product illustrates that the product has increased brand equity than other brands and even in terms of the product itself without a brand or brand name. One of the classical examples of brand equity is Apple’s IPhones that despite being highly priced, customers are willing to pay for it just because it’s from Apple. These notions of branding can be applied to Uniqlo to understand and evaluate its position in the market as well as against consumers. Uniqlo is a well-recognized and mainstream brand in its local market in Japan. The company offers innovative design casual wear for all seasons and occasions. Moreover, as a unisex brand, Uniqlo has achieved increased brand image among its target customers. Nonetheless, the company still lacks brand recognition, equity, and image in Australia. People in Australia are not aware of the Uniqlo brand, which is the main challenge. The recently established stores in Melbourne and Sydney are struggling as customers have not yet identified and engaged with the Uniqlo brand. Nonetheless, Uniqlo is a strong brand with its innovative Life Wear product portfolio. The company relies on expert craftsmanship and high quality materials to develop innovative wear. With the introduction of the Life Wear category, Uniqlo was able to reduce the number or weight of wear required during winter for one to stay warm (Hawthrone 2014). Their new innovative clothing has received increased awareness among consumers with a 74% recognition rate (Hawthrone 2014). Nonetheless, very few people have developed a brand image and equity for the category as sales are still low. This is based on the slow growth rate and lack of strategic marketing communication strategies. Currently, the brand has not yet received any perceived negative commentary except for positive commentary. According to Uniqlo’s report of the Life Wear brand category, consumers like the new idea of innovation in terms of clothing (Hawthrone 2014). This trend or engagement is also shared by stylists and designers who recognize innovation-driven designs as the future of the fashion industry rather than trend-driven products. Nonetheless, Uniqlo has received low customer engagement in Australia, having entered in 2014. Uniqlo also faces numerous disadvantages or challenges in terms of competition. The main competitors are H&M and Zara. Zara and H&M already have well-established stores and brand images in Australia. Offering high-street and casual wear fashion, these competitors have a competitive advantage in terms of engaging with the Australian fashion consumers. Nonetheless, Uniqlo is has a unique offering for Australian customers with innovative and superior quality products. Its product portfolio will offer increased preferences in terms of quality, colour, design, functionality, and convenience. Uniqlo has already introduced Life Wear products that can regulate moisture and heat in the body as well as reduce the bulkiness of clothes while achieving the same comfort in terms of warmth or coolness in winter or summer. The unique self-reported values set a stage for the opportunity to develop effective brand equity and image. Moreover, with a focus on affordability and innovative designs, the value proposition is significant for the Australian market. All that is required is an IMC that will communicate the values and brand strengths of Uniqlo to allow for effective customer engagement. Situational Analysis, SWOT and Objectives The Australian retail fashion industry has gained increased growth especially with the entry of global fashion firms such as Zara and H&M. The sudden focus on Australia is supported by the country’s economic stability that serves as a secure and potential growth environment. According to Weil (2013), the high value of Australia’s dollar ensures that large retail chains can offer products and discounts. Nonetheless, competition is high as local and multinational players push to get the customer. The political nature is also sustainable and engaging as business can now enter the market easily through mergers and acquisitions. Regulations are also favourable for retail chains, which has allowed for increased competitors to enter the Australian market. Consumers are also filling retail shops and stores to spend on clothes and latest fashion. Moreover, consumers are aligned to the idea of new and trendy fashion, which is different from Australian traditional designs. The main competitors are H&M and Zara being large multinational with the potential to impact the industry specifically that of Uniqlo entry into the Australian market. H&M has the strength of a larger retail chain with more stores than Uniqlo while Zara have a well-recognized brand name with luxury clothes (Weil 2013). Nonetheless, Uniqlo has an innovative product line with increased customer engagement as a competitive advantage. Moreover, their prices and value propositions beat those of H&M and Zara making it a clear competitive advantage and strength. Both competitors are new entrants in the Australian market with local chains such as ASOS and Topshop have the highest market share followed by Zara and then H&M. SWOT Analysis As illustrated in the table below, Uniqlo has the strength of diversifying or improving its product portifolio with proven strategies in Japan. Nonetheless, its main weakness is presence on the internet or social media that illustrates limited brand recall. The solution for this is a focus on social media and increasingly transforming Uniqlo into and engaging brand to create increased brand equity rather than relying on the local market in Japan. Strengths/Weaknesses Opportunities/Threats Japans number one causal brand. Unisex product offering. Innovative designs and product portfolio. International growth and presence. Product innovation based on customer feedback. Weaknesses Low brand recall. Limited presence out of Asian region Online presence is poor. Strong brand image may prevent brand switching. Opportunity for increasing brand portfolio. Consumer engagement through social media. Celebrity and sports endorsements. Threats Competition. Concentrated retail sector may increase brand switching. Foreign direct investment regulation in foreign markets. Objectives The objectives of the campaign are based on the SMART models in ensuring that they can be sustained and achieved as well as being realistic. 1. In terms of marketing, the IMC folio aims at increasing the purchase of Uniqlo’s products by about 20% increase in sales in 3months. This is based on the idea of communicating the superior quality and innovative functionality the company has to offer consumers. 2. The second marketing objective is increasing the market share by 15% by the end of 2014 by using market communication and promotions especially in social media. 3. The plan also focuses on ensuring about 20% of the target market (both males and females aged between 15 and 24) is aware of Uniqlo as a brand and its products by the end of the implementation period. 4. Additionally, the campaign also aims at increasing the number of Uniqlo’s Facebook like and Twitter Followers to over 5 million each by the end of the first year of the camping implementation. Moreover, the plan also wants to increase the number of vistors to its Australian e-commerce website by about 40%. Message Map The main message of the campaign will be “Wear Innovative”. Its main aim is promoting the increased high quality and innovative functionalities products offered by Uniqlo. By telling the target market to wear innovative, the message has to be made differently by ensuring its reinforced by adverts or pictures that illustrate the functionalities of Uniqlo’s products. The main message will be communicated through an advert that illustrates a person wearing bulky clothing in winter with another person wearing lighter clothing from Uniqlo, but all offering the same warmth or comfort. The main message will rely on such advertising or media features. Through TV ads, Radio ads, Social media picture and posts, and Video blogs, the message will be communicated effectively. Moreover, the campaign will develop an app that will allow people to sample the feature of Uniqlo clothes by wearing numerous brands and testing them in stimulated life situation such as summer or winter. Moreover, a large promotion will be run through social media that will focus on helping friends wear innovative clothing by recommending different products. When a customer recommends a Uniqlo product to their friend, the friend will get a discount on that item when buying the product. This will be achieved through interactive and engaging tools as well as platforms across the internet, social media, and mobile marketing. Media Release Title: Wear Innovative not Trendy! The campaign offers value and increased customer engagement. It will seek to create a clear and engaging message to consumers on what Uniqlo has to offer. The campaign will enable people to create memories, stories, and experiences with Uniqlo products and the brand itself. Uniqlo promises to change the customer’s view on casual wear. Our customers will understand what innovation means when it comes to casual wear. Uniqlo will change how people live by communicating the functionalities and superior quality that comes with each of its brands. With the combination of a strong integrated IMC, Uniqlo will change the Australian way of shopping. Customers will engage with the brand on television straight to their smartphones. Each aspect of the campaign is designed to ensure that consumers can identify with Uniqlo. The future is here waiting for the customer to step in and enjoy the innovation the campaign and Uniqlo have to offer. The campaign will be about in December. This will allow people to experience what innovation is in casual wear. The winter will be different as the customer gets to recommend innovative wear to their friends and family. Overall, get ready for the innovative side of your wardrobe. Budget The campaign is expected to cost in terms of implementation and evaluation. A budget will enable effective analysis and planning for a successful implementation. The main areas the budget focuses on include online promotions and advertising, Print, TV, Radio, and Search engine optimization. The following table offers an overview of the budget plan Print, Radio, TV, and Outdoor adverts $125,000 Online Advertising: Search engine optimization. Facebook campaign Twitter campaign $4,500 $15,000 $10,000 Smartphone App and Adverting $8,500 Research (interviews, surveys) $5,500 Technology and other infrastructure Freelance and external consulting outsourcing $12000 Total $180,500 Monitoring and Metrics The campaign effectiveness will be measured through engagement by reviewing the number of followers and likes on Twitter and Facebook respectively. When customers like the Uniqlo Australia page, it will be a measure of engagement and the same goes for Twitter. Moreover, the campaign will also apply Return On Investment ROI by measuring sales figures before and after the campaign. Again, the campaign will also measure the response time and buffer between different communication channels. Moreover, the campaign will utilize a consultant to monitor and document positive and negative interactions with Uniqlo. These measures will ensure that the campaign effectiveness is reviewed and changed accordingly to ensure increased effectiveness. Conclusion The camping plan is set to change the idea of casual wearing. As an innovative brand and campaign, customers will be expected to illustrate engagement across different platforms. By maintaining consistency in terms of message and offering, users will be able to find value in Uniqlo’s products. As a new product in Australia, users will be treated to new and innovative products allowing for increased customer choice. The social media experience will be unique in its message and implementation. This will allow for increased differentiation and customer engagement. The campaign will enable people to create memories, stories, and experiences with Uniqlo products and the brand itself. References Barger, VA, & Labrecque, LI 2013, 'An Integrated Marketing Communications Perspective on Social Media Metrics', International Journal of Integrated Marketing Communications, vol. 5, no. 1, pp. 64-76. Blakeman, R 2014, Integrated Marketing Communication : Creative Strategy From Idea to Implementation, Rowman & Littlefield, Lanham. Boyd, D 2011, 'Social Network Sites as Networked Publics: Affordances, Dynamics, and Implications', pp. 39-58. 'Fast Retailing: UNIQLO Comes to Australia Plans to Open First Store in Melbourne, Spring 2014', 2013, India Retail News, 2013. Fuller, M 2005, Media Ecologies : Materialist Energies In Art And Technoculture / Matthew Fuller, n.p.: Cambridge, Mass. : MIT Press, c2005. Hawthrone, M 2014, Uniqlo clothing giant ready for Australia with its heavy emphasis on customer satisfaction, The Age, [online] viewed on 30 Oct. 14 http://www.theage.com.au/victoria/uniqlo-clothing-giant-ready-for-australia-with-its-heavy-emphasis-on-customer-satisfaction-20140415-36pva.html#ixzz3He9sEdyY Holt, DB 2002, 'Why Do Brands Cause Trouble? A Dialectical Theory of Consumer Culture and Branding', Journal Of Consumer Research, vol. 29, no. 1, pp. 70-90. Keller, KL 2001, 'Mastering the Marketing Communications Mix: Micro and Macro Perspectives on Integrated Marketing Communication Programs', Journal Of Marketing Management, vol. 17, no. 7/8, pp. 819-847. Keller, KL 2001, 'Mastering the Marketing Communications Mix: Micro and Macro Perspectives on Integrated Marketing Communication Programs', Journal of Marketing Management, vol. 17, no. 7/8, pp. 819-847. Weil, J 2013, 'H&M, Uniqlo Plan Expansion', WWD, no. 44. Read More