ASSIGNMENT 2 FRONT SHEET

Qualification BTEC Level 4 HND Diploma in Business

Unit number and

Unit 2. Marketing Planning and Processes
title
Date Received 1st
Submission date 28th December
submission
Date Received 2nd
Re-submission Date
submission
Student names & codes Final scores Signatures

1. Hoang Minh Chau

2. Nguyen Vo Minh Anh

Group number: 3. Lam Tam Phuong
4. Ho Ngoc Bao Tram
5. Nguyen Phan Hanh Nguyen
6. Nguyen Le Phuong Anh

Class GBD1002 Assessor name Nguyen Thi Kieu Trang

Student declaration
I certify that the assignment submission is entirely my own work and I fully understand the consequences of plagiarism. I understand that making a false
declaration is a form of malpractice.

P3 P4 P5 M3 M4 M5 D2 D3 D4
 OBSERVATION RECORD
Student 1 Hoang Minh Chau
Description of activity undertaken
1. Market Research
2. Objectives of market research
3. Questionaire, create google form
4. Objectives of Marketing Strategy
5. PESTLE analyis, SWOT analysis
6. Positioning and Differentiation Strategy
7. Marketing Mix 7Ps strategy
8. Action Plan
Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

Student 2 Nguyen Vo Minh Anh

Description of activity undertaken

1. Competitor Research
2. Comparison of 7Ps marketing mix
3. Questionaire, create google form
4. Review of competition that identifies major competitors and assesses
their market positions.
5. PESTLE analyis, SWOT analysis
6. Positioning and Differentiation Strategy
7. Action Plan

Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

Student 3 Lam Tam Phuong
Description of activity undertaken
1. Introduction about company
2. Action Program
3. Target Segment of Marketing Strategy

Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

Student 4 Ho Ngoc Bao Tram
Description of activity undertaken
1. Strengths and weaknesses of your organization in terms of marketing mix.
2. Collect, analyse report data
3. Conclusion

Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

Student 5 Nguyen Phan Hanh Nguyen
Description of activity undertaken
1. Introduction about the report
2. Multimedia plan regarding to “Promotion”
3. Controls and Monitoring

Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

Student 5 Nguyen Le Phuong Anh
Description of activity undertaken
1. Review of competition that identifies major competitors and assesses their
market positions.
2. PESTLE analyis, SWOT analysis

Assessment & grading criteria

How the activity meets the requirements of the criteria

Student
Date:
signature:
Assessor
Date:
signature:

Assessor name: Nguyen Thi Kieu Trang

 Summative Feedback: Resubmission Feedback:

Grade: Assessor Signature: Date:

Internal Verifier’s Comments:

Signature & Date:

Table of Contents
I. Introduction ...................................................................................................................................................... 10

1. Introduction about the report ................................................................................................................... 10

2. Introduction about company ..................................................................................................................... 10
II. Marketing-mix Strategy: ................................................................................................................................ 11

1. Market research ........................................................................................................................................... 11

2. Competitor research.................................................................................................................................... 12
3. Marketing Mix comparison ........................................................................................................................ 13
4. Strengths and weaknesses of H&M in terms of marketing mix: ......................................................... 20
III. Marketing Plan ................................................................................................................................................. 21

1. Executive summary: .................................................................................................................................... 21

2. Situation Analysis ........................................................................................................................................... 21
3. Competition .................................................................................................................................................. 25
4. External environment analysis .................................................................................................................. 26
5. SWOT analysis .............................................................................................................................................. 28
IV. Future plan: ........................................................................................................................................................ 31

1. Objectives:..................................................................................................................................................... 31
2. Target segment: ........................................................................................................................................... 32
3. Positioning and differentiation strategy: ................................................................................................ 32
4. Marketing mix strategy: ............................................................................................................................. 33
5. Multimedia plan:.......................................................................................................................................... 37
6. Action Program............................................................................................................................................. 40
7. Controls and Monitoring: ........................................................................................................................... 43
V.Conclusion .............................................................................................................................................................. 44

VI. FORM AND DATA LINK ...................................................................................................................................... 44

VII. REFERENCES ....................................................................................................................................................... 45

I. Introduction

1. Introduction about the report

Businesses must constantly recognize and update the complexities of new markets in order to gain a competitive advantage in the global
economy. We are marketing personnel for company X, and we have been assigned the task of researching competitors and developing a
marketing strategy based on our findings in order to advance our company's marketing objectives. The report provides an overview of what
we discovered.

2. Introduction about company

H&M has been developing as a brand with impacts on people’s personal life, in a sense that it is a well-known brand all over the globe. This
brand made its first appearance in Vietnam back in 2017 in a Ho Chi Minh City mall. The Swedish clothing chain has been launching more
stores and opening up its business for cities all over Vietnam. Its basic collection is a well-known addition to everyone’s closet, for daily
necessity and can be incorporated into outfits for more formal occasions.
Since the initial launch of H&M, this brand has been developing into a successful name brand in Vietnam and continues on growing. With
the upcoming fall season, I want to use this opportunity to create a collection that emphasises the beauty of the harvest season with the
main theme of Vietnamese folk art. By using the right marketing methods, this collection might not only be a success to the H&M clothing
brand, but also accentuates the beauty of Vietnam through items of clothes.

II. Marketing-mix Strategy:

1. Market research
In recent years, the Vietnamese fashion industry has shown an amazing growth rate, signs that are also great opportunities for Vietnamese
brands to develop.
One of the big trends to replace the model of imported goods sold abroad is the appearance of many popular local brands, with high-
quality products ranging from youthful dust to elegant elegance.
These domestic brands have really reformed domestic fashion by choosing products as the source of development, along with persistent
creativity in each product. With those innovations, they have achieved certain results, with brands reaching billions of dollars in revenue
every day. (TANOS, 2021)
2. Competitor research
According to the general research of the current Vietnamese market, the biggest competitor of H&M which can be mentioned is GAP. GAP
is a multinational fashion retailer headquartered in San Francisco and is a fast-fashion brand. (MISA AMIS, 2021)
GAP organization or GAP inc., which owned some sub-brand like Gap, Banana Republic, Old Navy, Athleta, Piperlime, and Intermix. In
which, the brand GAP includes basic product lines for male, female, child, and infant customer groups. In particular, the
line GAP Kids is very popular with not only international consumers but also the preferred choice of most Vietnamese mothers. (Vân, 2021)
In October 2011, after 2 months of announcing its entry into the Vietnamese market, the first store GAP was present in the center of Ho
Chi Minh City. Currently, GAP is present in Vietnam with 7 stores in the form of franchises. (Vân, 2021)
 3. Marketing Mix comparison

a. Product:
H&M GAP
In terms of products, H&M stands out for its fast fashion model and focus Our entire commitment to sustainability starts with our design teams
on making the necessary changes in the products they offer. ... Vietnam's and the creation of goods that are attractive, have a minimal
product lines are focused on design, style, and materials, and the environmental effect, and provide our consumers with confidence,
designs, in particular, are always extremely adaptable and suited for Since the materials in our clothing contribute greatly to the
everyone, regardless of gender or age. Customers may purchase items environmental impact of each garment, our design and
for the entire family, including grandparents, parents, and even children. manufacturing decisions have considerable power to make our
With a wide range of items,... H&M is suitable for all types of customers products more sustainable. Gap Inc. offers a wide range of items to
and attracts a large number of customers to use its products. Main
products that will be made with recycled, organic, or another more appeal to clients in both the low- and high-end segments. (Gap Inc.,
sustainable cotton (MISA AMIS, 2021) 2021)

b. Place:
H&M GAP
H&M operates a total of 12 stores in Vietnam, including locations in Can GAP has a total of 6 stores in Vietnam, located in Ho Chi Minh, Ha Noi,
Tho, Ho Chi Minh City, Ha Noi, and Da Nang. In comparison to GAP, the and Da Nang cities. Compared to H&M, GAP is quite focused on
Vietnamese market has a larger number of stores and is more specialty stores, online, franchise stores, retailers. Moreover, GAP
established. Customers will have easier access to items as a result of this. also pays attention to official pages on websites and social networking
Furthermore, the goods are available for purchase on the brand's official like Facebook, Instagram. (Vietcombank. , 2021)
pages on social media platforms such as Facebook and Instagram, as well
as on the brand's official websites. (H&M VN., 2021)

c. Promotion:
H&M GAP
H&M created a multi-channel promotion plan that included advertising, Gap Inc promotes its brand and products through a blog or video in a
sales promotion, and online promotion, all of which contributed to the wide range of media like social media or Youtube. Apart from
brand's global exposure (Arangarajan, 2021). The brand has also promotional activities, the brand works with different types of
collaborated with celebrities in several fields to increase customer collaborations and campaigns to promote its collections and raise
preferences for collections. For example, they collaborated with the brand awareness (Pratap, 2021). Hole Inc. gives an assortment of hard
celebrated Indian designer Sabyasachi in 2021. The collection was and electronic gift vouchers that might be utilized to make buys across
named Sabyasachi x H&M. Additionally, H&M has many official page in their sites in general and shops. Indeed, even web-based gift
social media like Facebook or Instagram to showcase new items worn by vouchers, with the choice of a customized engraving, are conveyed in
models in pre-matched sets. In important events, H&M also gives around three days... Print and media publicizing are two of the
customers many gift, vouchers to thank them for buying products. regularly utilized types of promoting. (Team, 2017)

d. Process:
• H&M: do not own any factories. All things considered, we get our garments from around 800 distinct sellers, generally from Europe and
Asia. Our Manufacturing Office sets orders with providers and ensures that things are delivered at a sensible expense, of brilliant quality,
and on time. (H&M., 2020)
We manage all functional parts of assembling and keep in close association with our providers at our Manufacturing Offices across the
world. (H&M., 2020)
We guarantee that our products adjust with quality and security laws and are made in protected, reasonable, lawful, and working
conditions through broad controls and tests. philanthropic. (H&M., 2020)
In recent years, H&M has also manufactured eco-friendly packaging products such as paper packaging.
• GAP:
Client care tasks and transformation stages. (Gap Inc., 2021)
Show how cycles move in a retail business by displaying administration activities and distinguishing potential regions for executing
innovation-based lean administrations. (Gap Inc., 2021)
Upstream inventory network creation and supplies. (Gap Inc., 2021)
 e. Physical evidence:
H&M GAP
H&M shops are sufficiently bright and give a charming climate. The In Times Square, Gap Inc. has set up a next to each other brand
product is intended to have a satisfying appearance that will engage insight. This supersized Gap and Old Navy retail presentation is
purchasers. H&M is widening its item and venturing into new business focused on enticing visitors inside and treating them with
sectors all through the world. The merchandise is of top-notch and exceptional customer service. (Rebholz, 2018)
modern. (Team, 2017)

f. Price
H&M GAP
H&M offers a wide range of high-quality clothing at a discounted price. Gap Inc.'s pricing strategy integrates a combination of product line
This is due to H&M's low production and shipping costs. High quality and sentiment pricing techniques. The strategy will allow Gap to
and significantly lower prices attract young people and thus lead to optimize pricing in a number of ways, such as locating distribution
increased revenue for the company (Team, 2017) centers closest to stores to minimize costs. (Research., 2016)
 g. People
H&M GAP
H&M staff is very much prepared at each level. Staff influence strategies, H&M staff is very much prepared at each level. Staff being urged to
yet additionally in how to approach business customers insight. Staff has create and think of the best attire to wear. H&M connects with
been trained these representatives walk customers through the most various worldwide clothing creators to make the current style.
common way of settling the issues about item or size, etc. (Team, 2017) (Addison, 2019)

h. The way 7Ps applied to objectives of H&M and GAP

 H&M:
Leading the Change:

• Promote and scale innovation.

• Drive transparency.
(H&M group., 2021)
7Ps has met business goals, ensuring that products designed and
manufactured respond to requirements and quickly catch up with the
trends of the market you are aiming for. So, in the product development
phase, marketers have to do a series of deep research into the product
lifecycle that H&M is creating. In addition, 7Ps also ensure transparency
to create trust between the company and its investors, customers,
partners, and employees, establish trust and goodwill by building and
maintaining maintain the company's reputation for openness and
honesty in its business dealings.
Circular & Climate Positive:

• Take a circular approach to how products are made and used.

• Use only recycled or other sustainably sourced materials.
• Create a climate-positive value chain.
(H&M group., 2021)
H&M group will improve and develop processes and marketing strategies. We have met our goal by reducing our use of electricity and water, as
well as by manufacturing eco-friendly packaging products such as paper packaging and main products that will be made with sustainable cotton.
Fair & Equal:

• Provide fair jobs for all.

• Champion inclusion and diversity.
(H&M group., 2021)
H&M has met its goal of providing fairness at work through its people marketing strategy. According to each area of expertise of each
department, H&M will reasonably divide the work for each employee. At the same time, through the product and process to meet the brand's
leadership and diversity goals, creating a stable relationship for stakeholders.
 GAP:
Objectives: Our aim is to reimagine the way business can change the world. (Gap Inc., 2021)
• Ensure that the people who make our products operate in safe and fair conditions.
• Minimize the impact on the environment.

H&M does this by collaborating throughout our value chain and between government, business, and civil society to address process challenges.
We also seek to engage employees and customers across all of our brands in an effort to build a more sustainable world. H&M promotes people
and communities, improving working conditions, water management, climate resilience, circularity, and product sustainability.
 4. Strengths and weaknesses of H&M in terms of marketing mix:
Strength Weakness
• The product lines of H&M Vietnam are focused on design, style and • H&M's products do not have as much environmental impact as
materials, especially the designs are always highly applicable and other competitors. Environmental factors are also quite a big
suitable for everyone regardless of gender and age. concern for customers at the moment.
• H&M has an investment in a global chain of stores, creating a large • H&M: didn’t own any factory.
scale to help customers easily access products. . • There are not many special strategies to meet the needs of luxury
• Dress is arranged to have a decent look and attract customers. The customers
goods are of excellent quality and the latest trends. • The brand's goals don't focus too much on humanity or ethnicity.
• High quality and significantly lower prices attract young people and
thus lead to increased revenue for the company.
• Employees come from different backgrounds and have special
skills.
 III. Marketing Plan

1. Executive summary:
H&M intends to launch the fall collection on August 20. H&M conducted a survey to collect customer reviews and needs and decided on a
marketing strategy and project implementation plan. with the purpose of spreading Vietnamese national culture

2. Situation Analysis
a. People:

Customers in the survey about H&M:

With 143 surveys, most of them are customers aged 15-22 (80.4%). Most of them are women and teenagers with high shopping needs, income
close to stable. People who have shopping needs not only for themselves but also for their children. The variety of H&M collections gives
customers the freedom to choose and discover their own personal style.
 b. Product:

Favorite product line:

As a Swedish streetwear brand, With H&M, consumers will find everything from trendy fashion items to clothing accessories, at affordable prices.
Fashion for all seasons, all fashion styles to be found at H&M. The survey shows that the majority of customers choose T-shirts as their favorite
products when shopping at H&M (61.7%). Besides, shirts, pants, accessories and skirts are also very popular (18%-42.9%).
 c. Process:
• The points of H&M make customers satisfied:
Materials, colors, designs and sizes are the advantages that H&M achieves when offering products to its clientele.

• Most popular materials:

Cotton is the most chosen material by customers with 46.2%. 4-way elastic and khaki elastic are 2 materials that are also very popular with votes
accounting for 17.4-18.9%. Other less popular materials include: bucket, linen, tarta, papa and kate elastic.
 d. Physical evidence:
The process of buying and receiving products:
The survey showed that the purchase and receipt of the product went quite smoothly. Only a small percentage have problems with the purchase
(6%). This is a allowable number within the framework.

e. Price:

Product cost of H&M:

With the goal of bringing street brands into the lives of customers, H&M chooses to offer reasonable prices and quality for its product lines. This
is also an advantage that helps H&M achieve success in the fashion industry around the world.
 f. Promotion:
Customers through the survey show that they are satisfied with the company's programs, especially the discount program and gift vouchers.

H&M is a very popular international fashion brand, this is also the reason why H&M needs to have policies to help maintain and promote its
advantages as well as overcome shortcomings from customer feedback. Through the above survey, customers are relatively satisfied with the
product quality as well as the price and service at H&M. Besides, there are also a few factors that need to be improved such as inconveniences
from the store's consultants as well as problems in choosing the right product through the website. To develop further, H&M needs to adjust and
absorb the opinions of customers to make the brand more popular on a global scale.

3. Competition
a. Competition of H&M

GAP and Zara are H&M's primary competitors. H&M items are less expensive than these two brands. H&M has done this by keeping
production and delivery expenses to a minimum. The goal is to save expenditures as much as possible. H&M also offers a larger selection of
brands and goods than its two competitors. H&M's competitive approach of great quality and low pricing to attract young people leads to
increased sales. (Maneki marketing, 2021)

Nowaday, the appearance of foreign "fast fashion" brands such as Zara, Mango, H&M, Topshop, Uniqlo... are being loved and chosen by
consumers. Currently, the Vietnamese fashion market has a few prominent brands following this trend with a large number of stores such
as: Eva de Eva, Hnoss, Ivy Moda, Canifa... The rest are mainly retail brands fragmented, not large enough to mark in brand recognition for
consumers (Phuong, 2019)

b. Assesses their market positions:

The appearance of the "big guys" in the foreign fashion industry not only meets the increasing shopping needs of consumers, but also creates
fierce competition in the domestic fashion market. H&M's main competitors are GAP and Zara. Compared to these two brands, H&M
products are cheaper. Following in the footsteps of Zara and H&M opening stores in Vietnam, Japanese fashion brand Uniqlo is also
aggressively recruiting people to prepare to enter this potential market. Uniqlo's products are always aimed at the lowest prices and are
affordable for all classes of consumers. In recent years , " the list of Vietnamese fashion brands has the potential to explode . " Breaking the
notion that fashion design is " expensive , popular fashion brands in Vietnam are enjoying the benefits . Affordable price while ensuring
outstanding quality. Fashion brands in Vietnam such as NEM Fashion, Elise, COCOSIN, Hnoss, Owen, etc have long become the favorite choice
of young Vietnamese people, surpassing famous brands in the world. (Sơn, 2021)

4. External environment analysis

a. Political:

Political instability: Currently, on social networks, people believe that H&M has changed the map of China from no cow's tongue line to
showing illegal cow's tongue line. This action of H&M quickly angered the online community and Vietnamese consumers.(Mai, 2021)

De-globalization surge across the globe: The entire manufacturing cost has grown as a result of trends such as better working conditions,
high minimum salaries, raw material costs, and labour regulations. Such developments would erode the company's cost-cutting edge. (Shaw,
2021)

b. Economical:

Global economic recession: The Covid-19 epidemic has been awful for H&M, just like it has been bad for any other firm. Since the virus
spread, consumer purchasing behavior has altered dramatically as a result of the disruption to supply networks. As a result of this sickness,
the globe experienced an economic downturn. (Momin, 2021)
c. Social:

Social Media emerging as a storefront for fashion retailers: Customers who want to own H&M products have no choice but to go directly to
the above establishments to shop. Because H&M does not have a separate shopping website for the Vietnamese market. H&M does not
cooperate with domestic e-commerce floors. H&M Vietnam Fanpage is also only for promoting and introducing product information. (Anh,
2020)

Changing choices of customer: Nowadays consumers are more about the designable fashion and want to be more fashionable among them.
Moreover, they want more fashionable goods as well. (Ullah, 2021)

d. Technological:

Increasing importance of online channels: H&M continues to improve its mobile app, which recently announced the usage of the H&M club
feature, which allows customers to earn reward points for purchases made both online and in-store. They may shop using their mobile
device's app. (UKessays, 2020)

Innovative technologies such as data analytics and AI to improve efficiency: Aside from that, they are continually experimenting with
technologies to increase consumer pleasure and experience. They want their procedures to go smoothly, quickly, and without complications.
(Momin, 2021)

e. Environmental:

Demand for eco-friendly products: H&M wants to be 100% circular and renewable, which means that all of the company's goods will be
made from old ones, and only recycled and long-lasting materials would be utilised. (Ullah, 2021)
 The terrible effects of the fast fashion industry: It is the pressure to produce quickly that has created a series of consequences for the
environment, sellers, users and even manufacturers. The use of toxic chemicals in the cotton industry causes many farmers to get cancer,
causing serious birth defects in babies. More dangerously, chemicals still have the ability to penetrate the skin, accumulate in the body,
imbalance hormones and potentially cause cancer. (Minh, 2019)

f. Legal:

In June 2020, the National Assembly of Vietnam also passed the revised Law on Investment and the Law on Enterprises, both of which will
take effect from January 1, 2021. The revised Law on Investment adds updated content on conditional business investment lines, investment
incentives, and support mechanisms, and at the same time removes administrative approval for some types of investment projects. (Kiểm
Toán Crowe Vietnam., 2021)

5. SWOT analysis

a. Strength

Priority focuses on fashion, quality, price and sustainability. Sustainability has many facets but we want our customers to dress well and feel
comfortable in what they are wearing. (Dat, 2019)

Low price: Compared to other fashion retailers like Zara, H&M's products are cheap, suitable for the current Vietnamese market. (Pestle
Analysis., 2021)
With extensive controls and tests, H&M ensures its products comply with quality and safety regulations, and are produced under safe, fair,
legal, and working conditions humanitarian.
H&M has an investment in a global chain of stores, creating a large scale to help customers easily access products.
b. Weakness

Reliance on third-party suppliers: H&M relies on outsourcing to independent suppliers, so they have low production control. Moreover, if
there is any problem with the contract, it will bring a bad image to the brand (Anh, 2020)

Affordable pricing affects quality: H&M is known for its low-cost apparel, however this has a negative impact on the quality of the clothing
and other H&M items. (Bhasin, 2019)

H&M is very slow to open online fashion stores, or e-commerce. For many years, H&M's recipe for success was based on entering new
markets and opening more retail stores. However, in the digital age, this is the "fatal" weakness of H&M when it wants to develop on the e-
commerce platform. (Vietnamfinance., 2018)

c. Opportunity

Product range: The group’s product range is extensive. Customers are attracted to competitive prices and quality goods but do not necessarily
focus on the uniqueness of a product. (N.A, 2021)

More demand: Standards of living and purchasing power of people are both increasing across the globe. This increases the demand that
people have for branded products as they become more brand conscious. H&M can cash in on this opportunity by capitalising on the higher
demand. (Pestle Analysis., 2021)

In Vietnam, the demand for technological development and online channels is increasing. That is why H&M has had the opportunity to
develop more online channels and mobile apps on technology systems.(UKessays., 2020)
Technological developments, specifically data analysis and AI techniques are increasingly valued. As a result, H&M has had more
opportunities to develop software to help customers secure information or reduce complex procedures to satisfy customers' needs in the
simplest way.

We believe that the demand for innovation in environmentally friendly products in the Vietnamese market is an opportunity for H&M.
H&M is an environmentally conscious brand. It has researched and produced packaging made of paper or materials that do not have an
adverse effect on the environment. Therefore, environmental demand in Vietnam has promoted and encouraged the strategy to be more
widely disseminated.

Laws in Vietnam present huge opportunities for international companies, including H&M. The state will have the convenience of
investment, removing some operators for approval to create conditions for international fashion brands to develop in the Vietnamese
market.

d. Threat

Intense competition: Local as well as international firms compete fiercely in the garment market. In order to keep up with current trends and
fashion, each organisation must be aware of the competition. (Bhasin, 2019)

Covid 19: The lockdown that had to be imposed because of the pandemic has affected the flow of products and raw materials from one place
to another, which can heavily impact H&M’s sales. The pandemic has also posed an imminent threat of an economic recession which is
another factor that can cause the sales of the brand to take a hit. (Pestle Analysis., 2021)

Lifestyle changing in Pandemic: Changing lifestyles and habits of customers has negatively affected the development of H&M. The revenue
as well as the consumption of H&M's goods decreased significantly because the demand of the people was no longer high.
IV. Future plan:

1. Objectives:

S: H&M wants to spread Vietnamese folklore to the youth generation in Southeast Asia.
M: H&M will run this campaign within 1 month to reach young people's attention to Vietnamese culture.
A: H&M completes its target collection by printing/embroidering folk paintings on the products. This goal is realistic and achievable because
H&M has sufficient resources in terms of capital, facilities, and human resources.
R: H&M implements this strategy in line with the current brand's business goals of increasing sales and promoting the brand widely. This is the
right time to achieve goals in today's social environment.
T: H&M will train and assign human resources to be skilled and knowledgeable about the brand's marketing strategy and social goals. H&M will
create a realistic time frame for completing the smaller goals needed to reach your end goal.
 2. Target segment:
According to our market research survey of needs and evaluation of H&M products and services, up to 80,4% of customers are in the age
group of 15-22. This new collection will focus on this customer segment, including men and women who have stable income. Moreover, this
customer group is more specifically targeted than having an interest in folk art, or blending of Asian culture color. Our mission is to make
customers buying this collection feel that this collection has cultural value, or is valuable as a souvenir with national identity.

3. Positioning and differentiation strategy:

Positioning strategy: This marketing campaign of H&M will occupy an important place in the hearts of potential customers. When launching
the collection, H&M aims to make a deep impression on customers and wants customers to approach the product because of the meaning and
message that the collection brings.
H&M wants people to evaluate the brand as a brand that focuses on the development of products and services, targeting the benefits of
people and society.

Differentiation strategy: H&M's collection has its own national culture, which is new and not yet popular in the Vietnamese fashion market.
H&M always wants to improve the product value as an item that spreads the pride of Vietnam's customs and traditions.
H&M wants to create unique artistic products targeting young people who are passionate about folk art. Moreover, H&M wants to help many
young people know about the ancient culture to spread and preserve the material and spiritual values of the previous generation.
 4. Marketing mix strategy:

7Ps Strategy of H&M

Image: Products of this collection will be launched with the image of Vietnamese folk art.
Quality: Our integrated commitment to sustainability starts with our design teams and develops products that look good, have a less
social impact, and instill confidence in our customers. Since the materials in our clothing contribute greatly to the environmental impact
of each garment, our design and manufacturing decisions have considerable power to make our products more sustainable.
Product attributes:
• Quality: stable quality, similar to previous H&M product lines.
Product • Style: As a daily fashion, the target audience is Vietnamese youth aged from 15 to 25 who have a passion for painting, folk art, or
the colors of Vietnamese culture.
• Design: Fast fashion, autumn-winter fashion should favor long-sleeved clothes with the collection's logo printed.
• Brand: design logos printed on products, namely jackets, long-sleeve t-shirts, t-shirts, hats, backpacks, bags.
• Packaging: design a paper bag with the brand's signature white H&M logo printed on it.
• Labels: autumn-winter collection
 H&M offers high-quality clothes at a low price. H&M will continue to launch new fashion collections at prices similar to old products and
still lower than competitors in the market. H&M will keep production and shipping costs to a minimum. The focus is on minimizing costs.
Pricing High quality and lower prices to attract young people is H&M's competitive strategy, which leads to higher sales.
H&M will sell the new collection's products in a penetration manner: selling multiple products at low prices to make a profit. At the same
time, H&M will research and launch bundles of clothes to create price incentives and attract more customers.

H&M will sell its products through exclusive and franchised stores located in major cities in Southeast Asia.
The brand also offers its products through an online store, where customers can choose from a list of available products, purchase and
pay online.
H&M will link up with e-commerce sites like Lazada, Shopee, etc to expand the market size in Vietnam.

Place
 This collection of H&M has a wide range of products catering to different segments, so the group uses a multi-channel promotion strategy
in its marketing mix.
• TV advertisements: H&M comes with creative ads which focus on its latest innovative designs. Each brand handles its own marketing
decisions.
• YouTube: H&M has its own YouTube channel where it comes up with unique ad campaigns to engage with customers.
• Digital Marketing: It indulges in excessive search engine marketing and social media marketing to convert potential buyers into
consumers.
• Promo codes and discounts: Promo codes and discounts are offered at the end of the season. The discounts are offered on both online
Promotion
and retail stores.
• Offering free products bearing the collection's logo: with the aim of connecting two items closely, arousing desires and expectations,
and enhancing customer satisfaction.

The staff at H&M selected for the launch of this collection are highly trained at knowledge of national traditions.
People The work culture is very modern and employees are rotated in every department and are always motivated to innovate and bring out the
best clothes. H&M also collaborates with many clothing designers around the world to create the latest fashion trends.
 Employees are trained to retain highly profitable customers by providing them with better service and offers. In the case of any
complaint, staff at H&M will make every effort to resolve it as soon as possible.
Employees at H&M stores help customers choose the best merchandise for them. Therefore, the service and delivery time is very fast, so
it is very popular with customers.
Process
The company is using artificial intelligence to understand customer needs and recommend the best products online.
To transport goods from the factory to the store, H&M uses rail or sea, to increase the efficiency of internal logistics.
Improve the payment process: instead of paying in cash, H&M will let customers pay with e-wallets, and create many promotions when
paying online. H&M supports customers to return products when they are not satisfied.

H&M stores are appropriately lit with a great atmosphere and unpretentious staff. Staff wear traditional Vietnamese costumes as a
uniform.
H&M will design billboards to display in stores or show promotional videos in retail stores with the image of the representative face to
attract customers.
Physical
User stories and suggestions are always welcomed by the brand, which also helps to engage customers with the brand.
Evidence
Stores: Spacious, decorated according to traditional folk concept. The goods that are of excellent quality and the latest trends wil be
displayed in a place that is easy to see and attract customers' eyes.
Dresses are arranged to have a decent look and attract customers.
Website: Sort products by category, with search, Q&A and customer consultation.
5. Multimedia plan:

Many cultural features and identities of Vietnam have been gradually ignored and this is the point in time when we need to do more
than talk. Since each of our actions can lose or save a national cultural identity on the verge of loss, this is why H&M conveyed the
message of the new collection with a message: ‘‘Preserving Vietnamese national cultural identity with H&M”

To keep up with the trend of young people and the significant development of 4.0 technology, H&M reaches out to young people
through social networking sites such as Facebook and Instagram, as well as the newly emerging entertainment channel TikTok.
Therefore, the H&M department has launched a communication strategy that combines well-known celebrities such as Binz and
Justatee, etc; Fashionista and KOL, to easily deliver the message.

a. Advertising

Estimated budget
Type Specific information Content Time

Elle, Harper’s Bazaar VietNam, L’Officiel The mission of the new series After its debut in August About
Vietnam. is to introduce a version 2022, the newspaper 1,500,000,000
series that reflects will quickly respond to VND
Vietnamese cultural values the new features and
PRINT and conveys the message of concepts of the
(newspaper/ preserving the country's collection.
magazine) beautiful traditional culture.
 H&M Homepage Display and promote the
H&M's official Facebook About
https://www.facebook.com/hmvietnam/ brand's collection on the
page will post from July,
homepage. The message 8,000,000 VND
when the collection is
"Preserving Vietnam's
not yet available, until
national cultural identity" will
Facebook the end of 20 days,
be expressed through each
when the collection is
model of clothing and
made available to the
accessories.
market.

Instagram of H&M Instagram is a popular social From July, when the

About
https://www.instagram.com/hm/ media platform. H&M will collection is not yet
broadcast adverts on the available, until the end 15,000,000 VND
social media platform of 20 days, when the
between the hours of collection is made
9:00pm and 11:00am, when available to the market,
Instagram
users are most active. H&M's official Instagram
Customers will be able to page will post.
readily access the collection's
products because of this.
 b. PR
KOLs Name Content Estimated budget

H&M will provide her with a new Preserve and protect About 22,000,000 VND
product from the collection for use, national cultural identity
and then present and share her with H&M.
experience with the new product in 1
daily vlog. Through vlogger Co Em
Trendy's experience vlog, H&M will
Youtuber Cô em Trendy
offer a 10% discount promo code
when entering her name or when
purchasing a large value order will
receive a valuable gift from the H&M
brand itself.

Be a sponsor of their music product or Preserve and protect The budget for costumes
official mv.H&M will fund the national cultural identity and filming is around 50
costumes for two artists' music videos with H&M million VND.
Rapper Binz, Justatee or music products. As a result, it will
draw the attention of adolescents'
clients as well as followers of
musicians.
6. Action Program
 Market
What When Who Cost
Strategy

Creating a new The collection will be launched Youtube ads attach direct Poster design: 4.600.000
collection poster, during the Fall season of 2022, links to the new collection on VND
based on on August 20. To widely spread the official H&M website. Youtube ads price per
Social Vietnamese folk art the news, audio and visual ads impression: ¢15,
networks themes. Pay social will be played at least 1 month Spotify ads attach direct links estimated for 2 months:
and viral media for playing prior to the drop and after. via the poster banner. 46.000.000 VND
marketing ads on them. Ads are expected to last for 2 Spotify audio ads price per
months in total. impression: ¢0.02,
estimated for 2 months:
23.000.000 VND
Promotion
Creating an The collection will be launched H&M Marketing and The cost will remain
automated process during the Fall season of 2022, Customer Service teams will minimal with the works
that targets on August 20. To widely spread handle the process of coming from inside the co-
Email
prospects and the news, Promotions will be attaining club members and operation.
marketing
customers with an sent via emails prior to, the prospects.
H&M membership. day of, and after the drop. Estimated budget:
11.500.000 VND

Social media Creating work The collection will be launched KOL and H&M ambassadors KOL and ambassadors
and PR associations with during the Fall season of 2022, will post on social media with price per post: $25,
 scouting and hiring on August 20. To widely spread direct links to the new estimated budget for two
PR agents, and KOLs the news, PR posts will start collection on the official H&M months: 138.000.000 VND
to post on social appearing at least 1 month websites connected to the
media to promote prior to the drop and after. posts.
the publicity of the Posts are expected to last for 2
incoming collection. months in total.

H&M will design a A month before the campaign HR Manager will implement Inviting experts cost:
course for staff to is launched: (on July 20) and plan and invite experts About
People train in skills and on Vietnamese Tradition to
knowledge about train employees.
traditional culture.

Contact suppliers to At the begining of January: Production department and Depends on the
prepare and after completing the complete marketing department will manufacturer and the
manufacture new plan and officially entering the come up with ideas and market price at the time of
materials. project implementation implement plans, contact project implementation at
Manage the process. investors and production each stage of production
Process
production and At the beginning of June: facilities. and distribution.
distribution of products are delivered to Logistic Depart will supervise
products to retail stores and directly distribute
stores. products from factories to all
stores nationwide.
 Shop decoration At the begining of August The marketing department About 1 billion for 12
according to will assign the design and retail stores’ decoration.
Official traditional folk decoration team to the direct
store concept. stores to decorate according
to the requirements of the
Physical plan
Evidence
Associate with At the begining of July Marketing department and E-
Shopee to expand commerce department will
Online
the product sales work together to create a
store
market. sales platform with
categories and promotions.

7. Controls and Monitoring:

We predicted the types of risks we could face during project implementation based on H&M's action plan.
1. During the Covid-19 pandemic, it was a stressful time, new strains of the virus can emerge at any time, and we do not know when they
will emerge. Customers will not be able to purchase things in person at H&M locations at that time. In the worst-case situation, we will
use our buying website to promote online.
We will contribute to the development of H&M's online shopping channel by spending around 50 million VND to create a sales page
with a user-friendly interface for customers to purchase and select products.
2. The concept of "preserving Vietnamese national cultural identity" is novel. During the implementation of this strategy, we will face
numerous challenges. Because it is a new breakthrough in the brand's message, it may or may not be well received.
 If it does not receive much attention from young people, the primary target audience, we have proposed a solution to apply a 10%
discount on bills exceeding 799 thousand VND and donate an exclusive photo-printed anti-covid mask from H&M worth over 499
thousand VND.
Method of monitoring:
• Production is moving forward.
• Completeness of the product
• Allocation of resources
• Costs of production are under control.

V.Conclusion
Through the report of the marketing department, H&M found ideas for new products for the Vietnamese domestic market and provided
solutions to overcome the company's current gap in the manufacturing market. Based on the information provided by the report, the marketing
department will assume the position of formulating strategies and completing a new product model to increase market share and position in
the Vietnamese market.

VI. FORM AND DATA LINK

1. Form to survey customers' needs and evaluations for THEIR products and services:
https://docs.google.com/forms/d/1Pc40kS6cteC457WktRd8jNUTtq62Av7thVATqOhhWB0/edit#responses
2. Aggregated data from form:
https://docs.google.com/spreadsheets/d/1ev04d5-k3CYVk5ZmONlkOga4r3eNPF3PrwXVdqeGJ00/edit?resourcekey#gid=499573449
VII. REFERENCES
1. Addison, 2019. Marketing Mix Gap Inc the. Essay48. Available at: https://www.essay48.com/term-paper/15204-Gap-Inc-The-Marketing-Mix
[Accessed December 22, 2021].

2. Ana, D., 2021. Creatopy. [Online] Available at: https://www.creatopy.com/blog/youtube-ads-cost/ [Accessed 25 December 2021].

3. Anh, N., 2020. Vào Việt Nam đã 3 năm, vì sao H&M vẫn trung thành duy nhất với kênh mua sắm tại cửa hàng?. [Online] Available at:
https://cafebiz.vn/vao-viet-nam-da-3-nam-vi-sao-hm-van-trung-thanh-duy-nhat-voi-kenh-mua-sam-tai-cua-hang-20200814173314747.chn
[Accessed 24 12 2021].

4. Arangarajan, A., 2021. H&M marketing strategy - how H&M became the second largest global clothing retailer. StartupTalky. Available at:
https://startuptalky.com/h-m-marketing-strategy/ [Accessed December 26, 2021].

5. Bhasin, H., 2019. SWOT Analysis of H&M. [Online] Available at: https://www.marketing91.com/swot-analysis-hm/[Accessed 22 12 2021].

6. Dat, L. V., 2019. Vũ khí bền vững của hãng thời trang H&M. [Online] Available at: https://nhipcaudautu.vn/kinh-doanh/vu-khi-ben-vung-cua-hang-
thoi-trang-hm-3331643/ [Accessed 25 12 2021].

7. Gap Inc., 2021. Product life cycle. Available at: https://www.gapinc.com/en-us/values/sustainability/strategy/sustainability-strategy/product-life-

cycle [Accessed December 22, 2021].

8. Gap Inc., 2021. Product. Available at: https://www.gapinc.com/en-us/values/sustainability/product-1 [Accessed December 21, 2021].

9. Gap Inc., 2021. Sustainability strategy. Available at: https://www.gapinc.com/en-us/values/sustainability/strategy/sustainability-strategy [Accessed

December 22, 2021].

10. H&M Group., 2021. Goals and ambition. Available at: https://hmgroup.com/sustainability/leading-the-change/goals-and-ambitions/
[Accessed December 22, 2021].

11. H&M VN., 2020. Stores in Vietnam. Store Locator Vietnam |. Available at: https://www.hm.com/vn/store-locator/vietnam/ [Accessed December 21,
2021].
12. H&M, 2020. Indeed. [Online] Available at: https://www.indeed.com/cmp/H&M/salaries [Accessed 25 December 2021].

13. H&M., 2020. Production. Available at: https://career.hm.com/content/hmcareer/en_vn/workingathm/what-can-you-do-

here/corporate/production.html [Accessed December 22, 2021].

14. Jack, Y., 2021. Adshark. [Online] Available at: https://adsharkmarketing.com/spotify-advertising/ [Accessed 25 December 2021].

15. Kiểm Toán Crowe Vietnam., 2021. Vì Sao Nên đầu Tư Vào Việt Nam? Available at: https://www.crowe.com/vn/vi-vn/insights/doing-business-in-
vietnam/doing-business-in-vietnam-2020/why-invest-in-vietnam[Accessed December 28, 2021].

16. Mai, T., 2021. Làn sóng tẩy chay H&M: Người Việt Nam từng chi 3 tỷ đồng mỗi ngày mua sản phẩm H&M. [Online] Available at:
https://vietnamfinance.vn/lan-song-tay-chay-hm-nguoi-viet-nam-tung-chi-3-ty-dong-moi-ngay-mua-san-pham-hm-20180504224251494.htm
[Accessed 24 12 2021].

17. Maneki marketing., 2021. Chiến lược marketing của H&M. [Online] Available at: https://maneki.marketing/hm-marketing-strategy/ [Accessed 21 12
2021].

18. MISA AMIS., 2021. Phân Tích Chi Tiết chiến lược marketing Của Thương Hiệu H&M. Available at: https://amis.misa.vn/30091/chien-luoc-marketing-
cua-hm/ [Accessed December 21, 2021].

19. MISA AMIS., 2021. Phân Tích Chi Tiết chiến lược marketing Của Thương Hiệu H&M. Available at: https://amis.misa.vn/30091/chien-luoc-marketing-
cua-hm/[Accessed December 21, 2021].

20. Momin, A., 2021. Phân tích H&M PESTLE 2021. [Online] Available at: https://pestleanalysis.com/hm-pestle-analysis/ [Accessed 21 12 2021].

21. N.A, 2021. In-Depth Swot Analysis of H&M. [Online] Available at: https://biznewske.com/swot-analysis-of-hm/ [Accessed 22 12 2021].

22. Phuong, L., 2019. Thời trang Việt vất vả cạnh tranh trên "sân nhà". [Online] Available at: http://www.baodongnai.com.vn/kinhte/201912/thoi-trang-
viet-vat-va-canh-tranh-tren-san-nha-2980197/[Accessed 25 12 2021].
23. Rebholz, J.S., 2018. Bridging the gap - design:retail. design. Available at: https://www.designretailonline.com/projects/stores/bridging-the-gap/
[Accessed December 22, 2021].

24. Research., 2016. Gap Inc. 7ps of marketing – focus on the product component of the marketing mix - research-methodology. Available at:
https://research-methodology.net/gap-inc-7ps-of-marketing-focus-on-product-component-of-the-marketing-mix/ [Accessed December 22, 2021].

25. Sơn, N., 2021. Top 11 danh sách các thương hiệu thời trang Việt Nam nổi tiếng nhất hiện nay. [Online] Available at:
https://nghethuat365.com/danh-sach-cac-thuong-hieu-thoi-trang-viet-nam/ [Accessed 28 12 2021].

26. Swot Analysis., 2021. SWOT Analysis of H&M: Strengths & Weaknesses 2021. [Online] Available at: https://www.swotanalysistemplate.com/hm-
swot-analysis/ [Accessed 23 12 2021].

27. Team, M.B.A.S., 2017. Gap Marketing Strategy & Marketing Mix (4PS). MBA Skool. Available at: https://www.mbaskool.com/marketing-
mix/products/17355-gap.html [Accessed December 21, 2021].

28. UKessays., 2020. H&M PESTEL Analysis. [Online] Available at: https://www.ukessays.com/guides/pestel-examples/hm-pestel-2021.php
[Accessed 21 12 2021].

29. Ullah, N., 2021. Application of PESTLE analysis into H&M , s.l.: Fast-Fashion Labels Industry: Strategy. Available at: https://mpra.ub.uni-
muenchen.de/108715/1/MPRA_paper_108715.pdf [Accessed 21 12 2021].

30. Vân, A., 2021. Thương Hiệu gap. TheTips. Available at: https://www.thetips.vn/thuong-hieu-gap/#gsc.tab=0 [Accessed December 21, 2021].

31. Vicki, W., 2021. Weidert Group. [Online] Available at: https://www.weidert.com/blog/top-10-most-effective-marketing-strategies [Accessed 25
December 2021].

32. vietcombank., 2021. Danh Sách Các Cửa Hàng Gap Tại HÀ Nội và HỒ chí minh. Available at:
https://www.vietcombank.com.vn/Personal/Card/Documents/Danh_sach_cac_cua_hang_Gap_tai_Ha_Noi_va_Ho_Chi_Minh.pdf?5[Accessed
December 21, 2021].