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Proposal H And M Romantic relationship Marketing Marketing Essay


A market entrance strategy maps out how to market, deliver and disperse H&M's products in another country such as India. When products and services are exported to another country, the strategy will establish means of obtaining contracts and providing them in that country.

If H&M has decided to conquer the international market in India, it is opened up to many selections. These options may include the price, risk and the amount of control that the business will come across in the country. In entering a global business, it is important that the management of the H&M can choose marketing admittance strategies and carefully choose the merchandise that the company will market in India.

Exporting, is the easiest form of marketing entry strategy which include direct or indirect method such as using a realtor, in the case of immediate method and counter trade if the business opted to put into practice an indirect method. Due to technological advances, immediate marketing is staging a comeback, leading to a marriage orientation.

Moreover, since H&M would like to be known internationally, there are a great many other ways the company can choose from like jv or export handling zone. The management of H&M should choose the export strategy and include in their operation the specific channels to advertise their product.

Relationship marketing has revolutionized the traditional marketing and has become the biggest paradigmatic change in marketing practice in recent years. It has not only evolved customers to advocate by swapping client satisfaction by customer joy but has also increased quality service offers that exceeds goals. Similarly, it'll open new horizons for H&M. It'll trigger the H&M to introduce new products and services. Relating to Berry and Parasuraman (1991: 25) "relationship marketing concerns bringing in, developing and retaining customer relationships". Romantic relationship marketing will provide H&M with necessary selling approach to cope with various challenges, placed by the modern market in India. Marriage marketing transforms one utilization to multiple service usage and will reinforce H&M by providing them the wherewithal with that they can carry out effective customer services in India.

Nowadays, competition in fashion industry and demands of customers are increasing constantly. They demand for global fashion company like H&M where there are provisions for an incentive to the customer. So, strong determination to customer support, appeal and maintenance whatsoever levels will be the priority of H&M, while working with the customers. Relationship marketing will help H&M to overcome these problems and make the sales techniques easier. Palmer (2001) enumerated the the different parts of relationship marketing to be: a focus on customer loyalty and retention; long term orientation; tracing identifiable buyers; distinguishing different levels of relationship between the buyer and the seller; high levels of customer determination; and service quality as being the responsibility of each employee. Romantic relationship marketing will change indifferent customers into dedicated clientele and emphasizes on the retention. Customer retention is the methods to delivering long-term profitability in H&M.

Customer relationships management focuses on customer retention, and customer retention is thought to be more profitable than customer acquisition. Dawkins and Reichheld (1990) discovered that higher retention rate brings about higher net present value of customers. The longer customers can be maintained by H&M, the more and more tangible benefits will accrue from a sustained income stream. The finish goal of marriage marketing is earnings for H&M. Saren and Tzokas (2000) raised the effectiveness of marriage marketing in creating unique, difficult to imitate knowledge through the functions of discussion and dialogue with the client. Understanding of customers can only just be enhanced if H&M is able to maintain lasting relationships with their customers.

The determinants of store choice, customer devotion, patronage behaviour, customer retention and relationship marketing have been extensively studied around the globe. Therefore, a considerable volume of books exists, especially regarding fashion industry. However, there continues to be considerable scope for research in this field as the environment of fashion industry is a constant status of flux and the introduction of new store platforms in India has led to remarkable changes in consumer behaviour. New and existing fashion industry have a tendency to provide a completely new experience for his or her consumers by offering complex customer service, a broad and assorted variety of goods, breakfast time ambience, quality imported and branded products.

Since, fashion has invading people design of living and H&M's the product that is chosen to go international market. Hence, this research will suggest a marketing entry strategy for H&M using Porter's Five Causes model (Porter, 1980) and SWOT research of other H&M' companies far away. The company is a new entrant to the Indian Market, thus, this paper will provide a marketing admittance strategy analysis for the company as it invade the marketplace in India.

Competitors Analysis

Competitor's analysis is vital since H&M is a new entrant within the market place. It is vital so the H&M can know their competition and the possible strategy that they could use to level up such opponents and know the needs of the target market. Thus, which means that H&M will enter into the India as a new industry considering many opponents within the marketplace place.

Marketing Accessibility Analysis

Utilizing Marketing Mix

Marketing is recognized as one of the main component underpinning successful business creation and because of its complicated applications, marketing is defined in many ways (Sheth, Gardner, and Garrett 1988). Relating to Elliot (1990), the marketing theory was first promulgated in the past due 1950's. The importance of marketing concept has oft-repeated elements such as: customer orientation; included marketing initiatives; and resultant profitability (Elliot, 1990).

The marketing combination guidelines can be fine-tuned on a repeated basis to meet up with the changing needs of the prospective market and other dynamics of marketing environment (McCarthy, 2004). In relation to marketing plan, marketing mixture includes both short-term and long term strategies produces a far more profitable marketing mix. Lasting strategies build brand/company recognition and present sales income a permanent, progressive boost. Short-term strategies develop a temporary, immediate income boost by giving buyers an incentive to get. By utilizing both long and short-term strategies, you can focus on immediate sales goals while building your business reputation and goodwill (Kyle, 2004).

1. 1. Product

H&M AB (originally known as Hennes & Mauritz) is a Swedish clothing company, known for retail of low-cost custom made clothings. It was founded in VsterҐs in Sweden in 1947 by Erling Persson, though at the time it only sold women's clothing and was called Hennes, which means "hers" in Swedish. Persson acquired the premises and inventory of a Stockholm hunting equipment store named Mauritz Widforss in 1968. Persson widened into menswear and renamed the store to Hennes & Mauritz, later abbreviated to H&M (www. hm. com).

H & M is the world's preferred and preferred custom made of apparels and clothing for man and women. In addition, H & M is also known not limited to their fashion plastic but because of the quality of the clothes designed toughness and the funkiness of its clothes. Through the online stores, H&M provides the local, continental and European Market a special clothing designs. The main goal of H&M is to provide impressive designs of apparels and clothes for different kinds of people in several countries all over the world. The company is well known because of its strategy of providing clothing designs only for every country's preferences and needs.

1. 2. Pricing

H & M is thought to have advantages as it pertains to its prices tactic. To become known in to the market place and as a new entrant, the business will provide its target market with an inexpensive cost while providing them a high quality products and services. The business will be given the client and client a price that is less than its competitors so that the consumer will be enhanced to buy and patronize the H & M clothes and makeup products.

1. 3. Positioning/Distribution

The H&M's products will be distributed directly to its clients and consumers in order to be known on the market place. H&M products can utilize jv strategies with distinguished distributor of apparels, clothes and makeup products, providing them with great offers, in order to market the product of the H & M internationally.

In 2003, H&M announced its entry into the usually exclusive Milan fashion landscape. It remains to be observed if H&M and other low-end merchants can find market there. In February 2004, The Gap, another visible international merchant, sold off all of its German stores to its competition, H&M.

H&M launched its first American store on March 31, 2000 on New York's famous Fifth Avenue. Following the success its stores, additional outlet stores were opened in the SoHo, Gramercy, and Herald Square areas of Manhattan, followed by outlets in Upstate New York in Syracuse, Utica, and Western Nyack. The brand then broadened to other regions of the country, including Chicago and its outlying suburbs.

The first two H&M stores to appear on the Western world Coast of the united states opened in SAN FRANCISCO BAY AREA, California on November 19th, 2005. H&M opened up its first Canadian store in Fairview Shopping mall in Toronto and soon after, its store in Toronto's Eaton Centre was opened up in March 2004. Following great financial success, H&M exposed ten other stores within the higher Toronto Area. Stores were also opened in Montreal in Spring and coil 2006.

H&M prolonged its extension in the Canadian market and doubled the amount of stores in 2006. It designed new marketplaces include Barrie, Hamilton, London, Kitchener/Cambridge/Waterloo, St. Catharines and Windsor and Ontario market, Fairview (Pointe Claire) shopping centre, Rockland Centre, the Galeries d'Anjou and the Carrefour Laval. (www. hm. com)

1. 4. Campaign/Communication

H&M may use video advertisements, printing advertisements and the concept of e-marketing to market its products. These campaign and communication strategy will have a tendency to meet up with the consumers form different places all over, especially those target markets or the consumers in the working place.

Moreover, because the trend in the market place today is the use of e-marketing, the business will provide an online site that any customer can access. The usage of the Internet is changing technologically advanced marketing instantaneously while different market sectors have been endeavoring to use it within their marketing strategy. It does not only reconfigured the way different firms do business and the way the consumers buy goods and services but it addittionally become instrumental in changing the value chain from manufacturers to sellers to consumers, creating a new retail distribution route (Donthu and Garcia, 1999). E-marketing is a powerful tool used that can be utilized by H&M. E-marketing is thought as the process of obtaining marketing objectives by using electronic communications technology (ICT). Smith and Chaffey (2001) have provided a 5Ss' learning devices about how the internet can be employed by all business companies for different e-marketing tactics. These 5S's are useful for H&M and are available, serve, speak, save and sizzle.

E-marketing or online marketing strategy can be used by H&M to market its products. Thus, the H&M has created its website (www. hm. com). H&M will use the e-marketing strategy is to retain in touch to different internet surfers and to have the ability to draw in more clients and consumers. H&M use e-marketing to accelerate its business collection whether the customer of the web site is a person, employee, stockholders, sellers, suppliers or end customers.

1. 5. Market Segmentation

Marketing segmentation is described "as an aggregating process - clustering people with similar needs into a market section" (Perreault & McCarthy, 2002: 74). Matching to Ravesteyn (2005), customer segmentation is critical for a highly effective relationship online marketing strategy. H&M will provide its goal consumers for its product by using market segmentation strategy. The segmentation of the marketplace is a crucial aspect of marriage marketing and the segmentation of business customers by H&M must be in line with the various levels of marriage offered by the company. They have to make use of romantic relationship marketing and management at portion or market level to recognize the prospective market they intend chasing (Stewart, 1995). Generally, the context of the market segmentation for this company would be the Psychographics. Strydom, Cant & Jooste (2000) identify the next four types of segmentation: demographic, geographic, psychographic and behavioural segmentation. Psychographics includes social class, lifestyle, and personality factors (Chiagouris and Kahle, 2000). The end result of using these parameters is a psychological profile of each market segment. Issues also evaluated the customers' loyalties, patterns and self-concept. Social class details how individuals want their office automation will meet their comfort and satisfaction, what they consider important about their immediate environment, their ideas on various problems, and their hobbies.

As lifestyle studies specializes in what the consumer requires, using these review results as marketing strategies eventually became a marketing theory. The marketing theory is a basic beliefs that maintains that H&M should endeavour to satisfy the needs and wants of customers via a coordinated set of activities that also allows the H&M to achieve its goals at a revenue. The H&M must be able to consider its consumer, especially the needs of the consumer to be able to let the business have an opportunity of having an growth of its business portfolio as required by the consumers.

The focus of this introduction is on the behavioural segmentation process, which refers to the segmentation of potential buyers or customers into categories based on their knowledge of, attitude towards, use of or respond to a product or service of an H&M. The behavioural variables recognized by Kotler (2000) include:

Occasions - infrequent clients develop needs, purchase, or use products.

Benefits - make reference to the huge benefits that clients seek.

User status - includes potential users, regular users, non-users, first-time users or ex-users.

Usage rate - includes light, medium or heavy users.

Loyalty position - are categorized as hard-core loyals, divide loyals, moving loyals and switchers.

Buyers-readiness stages - where in fact the customers are either aware or unaware of the product or service, enlightened, interested, have a desire for the product or service and also have objective to buy.

Attitude - enthusiastic, positive, indifferent, negative and hostile.

Research Goals:

Relationship marketing will contribute significantly to the development of H&M in India. Therefore, it becomes necessary to research its applications in a fashion company in India. This review fulfils this need. The analysis addresses the different pros and cons of relationship marketing in a fashion company in India.

Thus, the overall purpose of this research exploration is to identify, identify and analyse factors which may have an impact on romance marketing, customer retention and customer acquisition in Indian fashion framework. The main targets of this analysis receive below,

To identify, identify and analyse factors that will impact on relationship marketing, customer retention and customer acquisition in a fashion company with H&M in India.

To appraise the views of customers of H&M in India, the way they feel about the business's marriage with them.

To gain information how H&M in India build customer marriage marketing tactics.

To understand and determine the mediating role of customer tendencies between romantic relationship marketing and customer retention and acquisition.

To indentify the market entry strategies for H&M in India.

Research Questions:

What is the partnership marketing tactics practiced by the H&M in India?

What is the marketplace entry strategy employed by the H&M in India?


As it's been described in the aims of the study project that the main reason for this analysis is to examine the market entry strategies and relationship marketing by H&M in India and customer romantic relationships in Fashion Company and also to find out how fashion company interactions with customers helps bring about its admittance in India. The ultimate product of this research project will be a report, filled with the H&M's romantic relationship strategy and market entrance strategy in India, what exactly are their benefits and drawbacks. The article will support the perceptions of employee and customers. Finally, the statement will focus on some romantic relationship marketing problems of H&M and a fashion company and suggest some rules to eliminate these problems and improve its customers foundation in India.

Research Methodology:

Interested customer and would be customers of H&M in India will be contacted to collect the info. A couple of two types of data.

Primary data

Secondary data

Primary data includes the information about romantic relationship marketing and market entry strategy available from customers of H&M in India. This also contains responses by the several staff of H&M on the shop-floor. Supplementary data will tell about the impact of romance marketing in the merchants and the info has been available in their system. To acquire the data, suppliers' employees, submitted at different positions, will be contacted. Similarly, to evaluate the changes in retail services, brought on by the relationship marketing, customers' views will also be discovered.

The tools to acquire this data will be the surveys. Because of this, employees and customers will be interviewed, where as to know the views of customers, different questionnaires will anticipate to ask them different questions.

To assess the accumulated data, different statistical techniques will be used.

Qualitative research can be referred to as the opposite of quantitative research method. Any research method has its advantages and it down sides. Qualitative research is a report done that produces its results and conclusions that do not result from statistical means or other approach to quantification. This method of inquiry requires a higher level of intelligence and experience from the researcher to reach at a far more realistic and targeted data from the respondent.

Quantitative research is referred to as a way of measuring of how people feel, think or action in a particular way and that survey tend to include large samples from fifty to a variety of interviews, organized questionnaires containing generally closed questions that want questions along with set in place responds. This calls for the clear assertion of factors i. e. specifying the dependent and the impartial variable.


The most important thing to handle any research study is to learn the background, research goals, and research technique of the research project. For this literature is researched out. The College or university Library will be the primary source to examine the literature. Catalogs in hard and delicate form will be from the library. Likewise, different research publications and articles in the catalogue will be valuable resources to prepare a thorough research statement.

To make the questionnaires, research done by Fashion Company to learn the relationship marketing and market admittance strategy will be used. Similarly new questionnaires, depending on situation, will also be prepared.

Project Plan:

The task is split into three phases.

Literature review

Interviews of employees of H&M and their customers

Report writing

Literature Review:

To carry out any research study, a research must be able to review the books. This makes researcher aware of work, done by other people in the respective field. The main source of books is the journals, in which different researchers release their conclusions of problems.

Interviews of retail employees and customers:

In order to accumulate information on the impact of market entrance strategy and know impact on relationship marketing in the Indian fashion company, the employees of H&M will be interviewed. They'll be asked about the negative and positive points of romance marketing utilization in their stores. In the same way, customer views will be taken through the interviews. Considering all these views, suggestion to enhance the customer services will be recommended.

Report writing:

The final product of the study project is a written article. The composition of my report will be divided in following categories,


In the advantages, the market entrance strategy and background of marriage marketing use popular sector will be talked about and how different relationship marketing systems will be utilized to address the issues of H&M, with the passage of time.

Aims and goals:

In this part of survey, purpose of the research task will be explained very clearly; what are the seeks of the study and what are the problems, which is reviewed in the survey.

Research strategy:

This is the main area of the report. After saying the trouble, different research methodologies will be explained to gather the data. The principal source will be the interviews of the employees and customers. From these interviews, impact of romantic relationship marketing and market entry strategy of H&M will be assessed. The questions asked to employees and customers will be provided in the appendix of article.


After describing the problems and research methods, advice will be recommended to get rid of the highlighted problems.


In order to carry out any research project, it is very important to review all the areas of the project. One of the key aspects regarding any job is the risks involved. There's also some risks involved, about the research project in mind. One risk can be privacy. H&M employees can be duty-bound and show reluctance to give information about their working methods and on romantic relationship marketing operations, used in the fashion company.

Impact and Beneficiaries of Research:

The main aim of this research activity is to investigate the market admittance strategies and relationship marketing by H&M in India and customer relationships popular Company also to find out how fashion company relationships with customers encourages its access in India. This research can be quite helpful for the fashion sector. For example, it will assess the effectiveness of relationship marketing and its own market entrance strategies in India. It will determine the views of H&M employees about the intro of romantic relationship marketing in their working environment. Out of this, both positive and negative things about the role of romance marketing in the style sector, submit by the H&M employees, can be known. Similarly, the customers' views about the insertion of romance marketing and the result of H&M's market admittance strategy are available out. Customers' level of satisfaction about the H&M's customer services can be evaluated. This survey will also show the comparison of different strategies among different H&M's companies worldwide and how they use relationship marketing to attain the same focus on. By knowing the views of customers through this review, their difficulties while interacting with H&M, can even be discovered. This survey will also treat these issues and suggest solutions to get rid of these problems. So, the major beneficiaries of the report will be the management of H&M and by considering the suggestions of the report, they can enhance their market entrance strategies, customer services and therefore the customer relationship from H&M will be invigorated.

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