uni c ukon_nochikara

UNIQLO : Marketing Analysis

Ukon-No-Chikara

09BN157M Hiroki Ishihara 09BN139P Shiori Itoh 09BN021C Yuki Sato 10BN903F JaeSeok Gim

PositioningUSP & SWOT

Competitors ES & CW Adjustment

Positioning

“Made for ALL”Product: Daily clothPrice: Cheap but good qualityTarget: Everybody ⇒Simple & Ca-

sual +Fashion

Place: Everywhere ⇒easy to buy

Close to Customer



Unique Selling Point & SWOT Analysis

1. Unique Selling Point

Uniqlo has a strong image of cheap but high quality clothing

For example: Uniqlo jacket: 2990 yenHeat-tech: 1500 yen

“Low Price, Reasonable Qual-ity”



Unique Selling Point & SWOT Analysis

2. SWOT Analysis of UNIQLO

PriceSales

NetworkQuality controlName value

Many re-peaters

Few hit products“Cheap” brand im-

ageWeak globalization

strategy

Global trendNew businessOnline shopsPartnerships

Appear-ance of other

competi-tors

Over-seas

regula-tions

Cheaper products

SWOT Uniqlo



1. Competitor Analysis

Company Name(Flagship Brand) Country End of

Fiscal Year

Sales(¥ Bi-llions)

Change (%)(local base)

Hennes & Mauritz Sweden Nov. 2009 1,208.7 +14.5

INDITEX(ZARA) Spain Jan. 2010 1,208.4 +6.5

Gap USA Jan. 2010 1,187.0 ▲2.3FAST RETAILING(UNIQLO) Japan Aug. 2010 814.8 +18.9

Limited Brands USA Jan. 2010 721.7 ▲4.5NEXT UK Jan. 2010 443.9 +4.1

Polo Ralph Lauren USA Mar. 2010 416.3 ▲0.8

Esprit Hong Kong Jun. 2010 363.2 ▲2.2

Liz Claiborne USA Dec. 2009 251.8 ▲24.4

Abercrombie & Fitch USA Jan. 2010 244.9 ▲15.9

Worldwide Apparel Specialty Stores

Raned by Market Capitaliza-tion

Detail of competitors

Competitor Data & Matrix Market Analysis

Rank-ing Company Kinds

Sales （億円）

Growth rate（％）

Sales ra-tio（％）

1 Uniqlo SS 5,092 +15.8 94.6

2 Shimamura SS 4,286 +4.6 100.0

3 Sogo Seibu DS 4,018 ▲11.8 47.4

4 Mitukoshi DS 3,378 ▲18.5 61.0

5 J.Front re-tailing DS 3,318 ▲9.9 50.5

6 Takashimaya DS 3,304 ▲13.5 47.4

7 Aeon re-tailer GMS 3,012 ▲8.3 18.1

8 Ishetan DS 2,787 ▲10.0 70.5

9 Yokado GMS 2,400 ▲9.6 17.6

Clothing ranking in Japanese market



2. Matrix Market Analysis

Worldwide Apparel Specialty Stores

Competitor Data & Matrix Market Analysis

Shimamura

A&F



Enhancing strengths & Correcting weaknesses

1. Enhancing Strengths

Store Strate-gies

-Brand aware-ness- Accessibility

Overconcentration of loca-tion of the stores, espe-cially in the downtowns

Open more outlets in the residential areas.

Strengths Limitations Enhance-ment

Product-Product Portfolio-High-tech fab-rics

Failure of the challenge to introduce ‘fashionable’ el-

ements to their design

- Divide products and sec-tor of the store into two brands- ‘Acceptable’ level of the fashionable elements

Administra-tion

- Retail network- Quality control- Relationship with cooperators

Some products are not car-ried in some stores

‘Sold out’ of inventories

Establish the system that can check and exchange

inventories between stores.



Enhancing strengths & Correcting weaknesses

2. Correcting Weaknesses

Brand Power-Brand competi-tiveness

-Image of low-price clothes.-Consumers want to con-ceal the UNIQLO brand

Use the image of low-price as the foundation of adver-tising as reasonable price

Weaknesses Problems Correction

Management Ability

- Launching new business- International market strategy

-Lack of ability to launch new business- Limitation of the interna-tional market strategy

-Recruit and scout more people who can manage complicated biz problems. - Divide entire interna-tional market to some ar-eas, and run local Mgt centers to develop suit-able strategies



To Meet its Goals & To Compete in an International Market

Divide the products into two different brands

Casual Line

Fashion Line

Normal UNIQLO line. Maximize the characteristics as SPA‘Made for All’, ‘Good Quality, Reasonable Price’

Be sold in the separated sector of the store Fashionable, but simple and acceptable design

‘Fashionable goods at reasonable price’Quite sophisticated, but loved by everyone



To Meet its Goals & To Compete in an International Market

Divide the world into several areas

World-Common

Area-BasisDivide the entire market into several areas.

Some of the products, will be specialized only for the specific areas.Items which is sensitive with trends

R&D, and manufacture will be performed based on the areaCan pursue better efficiency compared to country-based production

Products which is sold well in anywhere of the worldIn most cases, simple and basic items.Managed by headquarter in Tokyo.High production efficiency through world-scale of production.

uni c ukon_nochikara

Lifestyle

entire market

market capitalization

japanese market

entire international

uniqlo brand

areas products

reasonable quality uniqlo

competitors clothing