fashion apparel—uniqlo group one

Fashion Apparel—UNIQLOGroup One

AgendaSTRENGTHS WEAKNESSESCompany Background & Situation

Research’s Target Market

Attributes of research

Position Research

Positioning statement

Marketing mix strategy

Competitors & SWOT

http://www.uniqlo.com/jp/

Company Background

• 1949–1994: rise in Japan

• 1997: "SPA" strategy

• 1998–2002: first Tokyo store & overseas expansion

• 2005–present: further expansion

• Goal of 5 trillion yen by 2020


Current Situation in HK market

• Good quality with reasonable price;• Focused on the basic casual apparel with functional design for all age;

Products situation:

• Demand of apparel still increases ;• Uncertain global economic outlook ;• Enjoying strong consumer purchasing

power

Market Situation:

• Strong control over production and distribution;• Largest by store count in HK’s Fashion Apparel market (HK: 16 retail stores);

Distribution Situation:

• Targeting consumer’s number keep stable;• Growth rate of income not reach the CPI;• Tourists and parallel buyers

Macro-environment:


SWOT Analysis

•Large-scale-store & Largest by store count;•Research & Development;•High quality with reasonable price;•Effective distribution management;•Well-trained and helpful sales people.

•Low switching cost & lots of alternatives;

•Plain design, lack fashion styles;•Slow new releases’ turnover rate.

•High industry rivalry and intense competition;

•Unpredictable fashion trends;

•Negative shocks from the global economic slowdown;

•High and increasing rental fee.

•Strong purchase power in HK; •Brand loyalty and strong beliefs in brands’ design of HK consumers;•CSR activities;•Brand building through Flagships.

SWOTAnalysis

STRENGTHS WEAKNESSES

OPPORTUNITIES THREATSOT Negative

Internal factors

Externalfactors

Positive

SW


Competitors

• Spanish• Extremely trendy• No advertisement

• Swedish • Huge customer & vendor base

• American• The largest specialty apparel retailer in the U.S

• American• Strong brand portfolio • & promotion


Research’s Target Market

UNIQLOHK

Target Customers:

Location: Hong Kong

Enjoys strong consumer purchasing power

Facing intensive competition

Middle-class working adults, both male and female

Enjoying casual wear that ensures high quality and nice design

Research Sample Size: 66 (F: 30, M: 36)Sampling procedure: Randomly Collected from 66 HK residents ( all middle-class employees)


• Branding– Friends recommend– Reputable

• Product– Durable– Material– New products launch– Practical/comfortable design– Stylish/fashionable design– Variety of sizes– Variety of styles/products

• Price– Good value

• Place– Online shopping– Outlet locations– Store design

• Promotion– Advertising– Promotional activities– Sales promotion

• Service– Helpful and friendly service staffs– Responsible service staffs

Attributes of Research


Research findings

Component1 2 3

sales promotion .814 new products launch .720 promotional activities .701 good value price .672 variety of styles/products .657 variety of sizes .646 outlet locations .609 advertising .543 durable .855 material .828 responsible service staffs .713 practical/comfortable design .700 helpful and friendly service staffs .699 online shopping stylish/fashionable design .774store design .651reputable brand .641friends recommend .612

Factor 1Promotion Launch

Level

Factor 2Clothing Quality

Factor 3Design

Consideration


Research findings

BrandREGR factor score 1 for analysis 1

REGR factor score 2 for analysis 1


A&FMean -.5217033 .0537563 .1460195N 66 66 66Std. Deviation .68649959 .91783895 1.01965575

GAPMean -.1518559 .1637730 -.2451455N 66 66 66Std. Deviation .79649766 .88788000 .73682791Mean .4503950 -.4489947 .1088190N 66 66 66Std. Deviation 1.29242466 1.12416771 .95898595Mean .1454976 .3169033 -.3637582N 66 66 66Std. Deviation .98703071 1.03162318 .76341856

ZARAMean .0776667 -.0854380 .3540653N 66 66 66Std. Deviation .88197725 .87093569 1.27284028

TotalMean .0000000 .0000000 .0000000N 330 330 330Std. Deviation 1.00000000 1.00000000 1.00000000

Promotion Launch Level

Clothing Quality

Design Consider



Research findings

Sum of Squares df Mean

Square F Sig.


Between Groups 34.669 4 8.667 9.570 .000

Within Groups 294.331 325 .906 Total 329.000 329


Between Groups 22.376 4 5.594 5.929 .000



Between Groups 23.162 4 5.791 6.153 .000



Clothing Quality

Design Consider


Research findings

Model R R-Square Adjusted R-Square

Std. Error of the Estimate

1 .680a .463 .458 1.159

ModelUnstandardized

CoefficientsStandardized Coefficients t Sig.

B Std. Error Beta

1

(Constant) 4.152 .064 65.092 .000

REGR factor score 1 for analysis 1 .537 .064 .342 8.413 .000REGR factor score 2 for analysis 1 .683 .064 .434 10.687 .000REGR factor score 3 for analysis 1 .625 .064 .397 9.783 .000


Research findings

Model Summary

Model R R Square Adjusted R SquareStd. Error of the

Estimate1 .848a .719 .718 .884a. Predictors: (Constant), overall preference

ANOVAb

Model Sum of Squares df Mean Square F Sig.

1Regression 657.318 1 657.318 840.499 .000a

Residual 256.515 328 .782 Total 913.833 329

a. Predictors: (Constant), overall preferenceb. Dependent Variable: willing to buy

Coefficientsa

Model Unstandardized Coefficients Standardized Coefficients t Sig.

B Std. Error Beta1 (Constant) .437 .138 3.177 .002

overall preference .898 .031 .848 28.991 .000a. Dependent Variable: willing to buy


Research findings—Perceptual Map

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Design Consideration

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Positioning Statement


• Product Line

• R&D

PRODUCT

1

• Good Quality

With Reasonabl

e Price

PRICE

2

• Sales Promotion

• Sales Force• Advertising

PROMOTION

3

• Distribution Outlet

• Service

PLACE

4

Marketing Mix Strategy

Marketing Strategy


PRODUCT

R&D

PRODUCT LINE

Marketing Research

Expand product line to further diversify the product to provide more stylish fashion items.

Further enhance the design and quality in accordance with the feedback from customers.

Maintain strong R&D investment on innovation in respect of design and fabric.

Marketing Strategy-Product


Put quality at the first place in the process of

cost management.

Attach more importance to the work of quality review

group in new factories built in Southeast Asia.

PRICECOST

QUALITY

Good quality with reasonable price

Marketing Strategy-Price


Marketing Strategy

Sales Promotion Promotion

Sales Force:

Advertising

Marketing Research

Action Plan


Marketing Strategy

Distribution Outlets Place

Service

Action Plan


fashion apparel—uniqlo group one

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