BIG PROJECT – MARKETING PLAN FOR UNIQLO

A) INTRODUCTION:
1. Company Overview:
Uniqlo is an international clothing-retail brand from Japan and the world’s third largest manufacturer
and retailer of private label apparel, known for providing high quality casual wear at remarkably affordable
prices for men, women and kids through 18 countries. As of 30 November 2019, the company reported that
2,249 Uniqlo stores were operational worldwide.

History
Founded by Tadashi Yanai, the founder and CEO of Fast Retailing, the parent company of Uniqlo. He was
born in 1949 to a suit shop owner in Yamaguchi, Japan, and finally became the president of his father’s
chain of 22 stores in 1984. He opened a store in Hiroshima called “Unique Clothing Warehouse” when he
was in charge of the business. Which was later changed its name to “Uniqlo”. Initially, Uniqlo was a typical
multi-brand shop selling Nike, Adidas and other foreign brands. Due to “The Great Recession” of Japan in
the ‘90s gave Uniqlo a great chance to bloom. Uniqlo products quickly gained popularity among price
conscious Japanese customers, and by 1998, Uniqlo had expanded to 300 stores across Japan.
Uniqlo is built on solid foundations. Their business concept “MADE FOR ALL” is as clear as their
values and does not target a specific group of consumers, which means “makes clothes that transcend all
categories and social groups”. UNIQLO’s mission is to enable people all over the world to experience the
joy of wearing such great clothes. 'We consistently provide fashionable, high quality, basic casual clothes
that anyone can wear anytime anywhere– and always at the lowest possible market prices.'

Current Situation:
About stores and branches, UNIQLO Japan had 817 stores (including 43 franchise stores) at the end
of August 2019. UNIQLO International expanded to 1,379 stores, including 807 in Greater China (Mainland
China, Hong Kong, and Taiwan), 188 in South Korea, 231 in Southeast Asia & Oceania, 91 in Europe, and
62 in North America. New store openings have been especially rapid in Greater China and Southeast Asia.
(UNIQLO Business Model | FAST RETAILING CO., LTD.) Currently, UNIQLO Vietnam is having 6
stores (3 stores in Ha Noi, 3 stores in Ho Chi Minh City as of January 31, 2021) (DANH SÁCH CỬA
HÀNG | UNIQLO VN) and there is still a tendency to increase in number of store not only in major cities
but also in other areas of Vietnam. This development is partly due to the stable and well-controlled methods
of Vietnam in the complicated situation of COVID-19. In the other hand, not as lucky as Vietnam, UNIQLO
Japan is having tendency to open 6 new stores and close 11 stores estimated from September 1, 2020 to
August 31, 2021 in response to the current COVID-19 situation in Japan. (số liệu dựa trên UNIQLO Store
Openings / Closings (Japan) | FAST RETAILING CO., LTD.)
Each season, UNIQLO conducts promotional campaigns for core products such as HEATTECH,
Ultra-Light Down, AIRism, and Bratops. During the campaigns, UNIQLO advertises the products' unique
qualities and noteworthy features on TV and in other media. In Japan, they use email, social media, and
weekly flyers in the Friday editions of national newspapers to notify customers about limited-period
discounts, typically of 20-30%, on key ranges. Coming to E-commerce, online sales are increasingly
important, accounting for approximately 11% of total sales in FY2019. In the geographically large markets
of Greater China and the U.S., online sales account for approximately 20% and 25% of total sales
respectively. In Japan, that ratio is only 9.5% (¥83.2 billion), but they aim to increase it by targeting 30%
annual growth in online sales. (UNIQLO Business Model | FAST RETAILING CO., LTD.). Fast Retailing
plans to spend a total of 100 billion yen to build automated warehouses not only in Osaka but also in China,
Southeast Asia and the U.S. The rate of internet use in some countries in Asia is higher than in Japan, and
the web could become an important medium of contact with customers abroad. The service has also grown
during the Coronavirus pandemic because customers don't have to spend time in stores. (Uniqlo boosts
investment in e-commerce in Japan and China - Nikkei Asia)
 Profit & GDP Results Summary | FAST RETAILING CO., LTD.

2. Marketing Objectives:
When looking back 10 years back, Uniqlo is just a small brand in Japan. But now, Uniqlo has grown
and become a global brand. As expected, this fashion brand has entered the Saigon and Hanoi market in
2019, 2020. Behind this adhesion are many years of incubating ambitions with smart marketing directions.

Target Indigenous Culture

Mr. Osamu Ikezoe said that since coming to Vietnam, Uniqlo has always been inspired by the long
history and unique culture of Hanoi Capital in particular, and about the country and people of Vietnam in
general. That inspiration is a creative premise for Uniqlo to create a world-class shopping space, harmonized
with Vietnamese indigenous culture. This space not only brings a unique shopping experience but also
makes consumers feel the respect for the local culture that Uniqlo offers to the Vietnamese market.
In addition to the familiar main products that every store has, Uniqlo Vietnam has specific products
for the Vietnamese market only. Especially, the UT Mickey Stands Vietnam collection combines exclusive
Uniqlo motifs with Vietnamese images such as lotus flowers, conical hats, motorcycle and more. This is a
most popular collection exclusively for the Vietnamese market. (nguồn Hành trình “oanh tạc” thị trường
Việt Nam của Uniqlo (admicro.vn))

Clarity and Difference in Branding

Uniqlo's strategic vision and style are extremely clear, this is the foundation for the company to
create the success of Uniqlo's Marketing strategy. The company has a strong philosophy in manufacturing
its products that is "Developing its own products of exceptionally high quality". Uniqlo focuses on making
basic clothes to enhance life that can be appropriate for everyone. With a commitment to low prices and
fabric quality, Uniqlo clothing is mass produced and focused on the most "basic" clothing that everyone
needs. Unlike its closest competitors such as H&M or Zara, who regularly conduct market research to
uncover the latest trends and follow them, Uniqlo does not.

Focus on Research and Technology

Instead of pursuing fashion trends, Uniqlo instead focuses on research and development to
continually improve its technology innovations so that Uniqlo's target customers can have the best quality
products. Uniqlo brand innovations include HeatTech, AIRism and Lifewear, with HeatTech being the most
famous of all. Uniqlo constantly innovates based on its technology for its innovative fabrics. When
HeatTeach was first introduced in 2003, 1.5 million units were sold. Just 10 years later in 2012, 130 million
units were sold, with a wide variety of items. In addition, the brand innovation not following the market but
bringing the products that the customers need make Uniqlo become very attractive to customers. (6 bài học
từ chiến lược Marketing của Uniqlo mà Marketer nên biết (admicro.vn))

Brand Associated with Community Activities

Uniqlo is also interested in cooperating with domestic organizations to give a lot of interest and
perspectives in Vietnam society. For example, Uniqlo Vietnam has partnered with Tòhe, a Vietnamese
social enterprise, to organize art playgrounds and creative activities that are completely free for children
with special circumstances. This action both shows the desire to contribute to environmental protection, and
at the same time, reveals Uniqlo’s “sincere heart” when it is ready to reach Vietnamese consumers through
its cultural beauty and national values of Vietnam. (UNIQLO toan tính gì ở Việt Nam?
(brandsvietnam.com))

Figure 1. Tohe has created a special area towards sustainable development, with a unique installation
called “Garden”.

B) MARKET ANALYSIS
Vietnam’s economy has grown rapidly in recent years. Leading to a sharp increase in the demanded goods
of consumers, especially for the fashion industry. Moreover, this is the period of technology expansion.
Thanks to the dynamic development of the e-commerce retailers and the improvement in consumer
perception, Vietnamese people are willing to spend more on famous and expensive brands. According to the
survey data in 2015-2016, the expenditure for clothing of the Vietnamese people ranked third, accounting
for 14% only after spending on food (32%) and saving (14%). In particular, the women spend more time and
money to buy the clothes than the men. This is a relatively high figure compared to the consumption and
savings of Vietnamese consumers. The consumers have the highest purchasing habit from 2 to 3 times a
month, and then once a month. The level of consumer shopping does not differ so much. (Báo Cáo Thị
Trường Thời Trang Việt Giai Đoạn)
In 2017 the trend consumption of the clothes in Vietnam is in the third position with 51% and this area was
the one who increased the most Asia Plus Inc., (2016).

1. SWOT analysis UNIQLO SWOT Analysis

Strengths – internal factors
As the third’s largest clothing-retail brand in its industry, UNIQLO has numerous strengths that enable it to
thrive in the market place. These strengths not only help it to protect the market share in existing markets but
also help in penetrating new markets. Some strengths that are:
 Strong base of reliable supplier of raw material
 Reliable distribution network that can reach majority of its potential market.
 Strong Brand Portfolio
 Wide range of functional products
 Aligned brand strategy and customer perception
 Use of innovation in designing products (e.g. Heat Tech)
  Complete command of value chain

Weakness – internal factors

However, there are still some weakness which Uniqlo can improve upon:
 Higher costs in the global market due to taxes, freight and other operational costs
 Inability to have a strong brand awareness in the US and Europe market
 Weak e-commerce presence relative to other brands
 Gaps in the product range sold by the company
 Need more investment in new technologies
 Limited success outside core business

Opportunities – external factors

 Increase global presence, especially in the US and Europe market
 Focus on social media content creation and promotion
 Look at outsourcing other parts of the value chain for a cheaper labor cost (e.g. clothing
manufacturing in Vietnam)
 The adoption of new technology standard and government free trade agreement has provided
UNIQLO an opportunity to enter a new emerging market.
 Stable free cash flow provides opportunities to invest in adjacent product segment
 The low inflation rate brings more stability in the market

Threats – external factors

 Intensely high competition within the fast fashion industry (H&M, Zara, Pull&Bear etc.)
 High threats of substitution with other brands
 Legal and economic regulations in new countries
 Rising raw material can pose a threat to the UNIQLO profitability.

C) STDP ANALYSIS
1) Segmentation:
Geographic:
Uniqlo is using geographic segmentation which is dividing the market based on the different regions. Uniqlo
is also very famous for their functional clothing products known as HEATTECH, AIRism and Blocktech.
HEATTECH has the capabilities of keeping one warm but still be very light and thin which are appropriate
to the freeze and cool regions such as which countries are contain winter season. Besides that, AIRism and
Blocktech are both recent technical developments produced by Uniqlo, where AIRism apparel has the
purpose of soaking up sweat and staying cool while Blocktech apparel has the ability to block rain and wind
which are suitable to the hot and warm season regions such as contains summer season countries.

Demographic:
Uniqlo markets its products to the age categories and both the genders. People with low and middle income
are mostly targeted such as employees, college, graduate and post graduate students.

Psychographic:
From customers’ perception, Uniqlo merchandise price makes them feel affordable and the quality of the
product is very strong. Uniqlo also discovers that their customers who buy their goods come from learning
experience, customers got Uniqlo’s information through word of mouth from their friends and family. In
addition, through social networks and promotion activities, they get to know Uniqlo's information. Uniqlo
also provides its goods to consumers who are young, fashionable and trendy. (Uniqlo’s moodboard)

2) Targeting:
Male and female adults between the ages of 18 and 50 are the main target demographic for Uniqlo who are
searching for affordable and high-quality apparel that suits their lifestyles. It attracts customers who are
looking for comfortable and laidback, fashionable clothing. Uniqlo clothing are not only limited to higher
income people. Good quality and affordability are an indicator of good value for consumers. This approach
has widened the target market due to the fact that all the consumers are searching for premium clothes that
are also affordable.
In a way to present the market identity, most apparel labels will have their logo written on their designs.
However, Uniqlo does not have any of the apparel it offers, carrying the logo of the brand, other than the
size tag, which can only be seen within the collar of the clothes it sells. Uniqlo admits that while some of its
clients would prefer to dress well, its brand value, though, does not reflect too well on the pride and ego of a
buyer, should the clothes be bearing any logo other than branded logos. In today's fashion, Uniqlo retains
and observes the trends while omitting the trade mark on its goods. This is the way Uniqlo targets its
consumers, where individuals tend to dress well, but do not want to pay too much while always looking to
be trendy.
Teenagers:
Uniqlo targeted adolescents between 18 and 24 years of age, regardless of male and female, middle income
and below and all races in demographic segmentation. For geographic segmentation, they are both winter
season countries and summer season countries. In addition, they have a popular affordable brand and a
strong perception of product quality and a casual, vivacious and free lifestyle. Also, they contain young or
trendy personality and learn to wear from their peers, families, social networks and previous buying
experiences.
Adult:
Besides the teenagers, Uniqlo also had target adult with age between 25 to 50 years old. The adult gender is
both male and female, they contain middle income and above and all races are target by Uniqlo in adult
group. They are perceived casual wear and clothing can towards pleasant appearance and they will learn to
wear from their peers, families, environment factors and previous buying experiences.

3) Positioning/Differentiation:
Today, there are multiple companies in the intensely dynamic fashion market, with brands like ZARA and
H&M competing over consumers’ dollars. The first perceptual map shows the various brands according to
price and how the collections are 'fashionable' or 'trendy' compared to each other. The second perceptual
map contrasts the prices and the quality of the clothing offered. We wanted to evaluate how UNIQLO fares
relative to two of its nearest rivals, Zara and H&M, from these two perceptual maps.
Based on the perceptual map above, here are the analysis with other competitors:
1. Price position: Uniqlo has an affordable price, and the competitor, H&M also have.
2. Functionality: Uniqlo is the leader of basic yet functional clothes brand in the world.
3. Main competitors in Vietnam: H&M, Zara, and Cotton:on

D) MARKETING STRATEGY
Vietnam is one of the key markets for Uniqlo, which currently has more than 2,000 stores worldwide.
According to statistics of market research company Statista, the size of Vietnam's clothing market is
currently about 5.6 billion USD. It will continue to increase by 8.8% per year in the period of 2019 - 2023.
97% of market revenue comes from popular clothing products. Chairman Yanai calls Vietnam, Southeast
Asia’s growth engine country ‘land of promise’ as sales and manufacturing hubs. With the latest move, Fast
Retailing hopes Vietnam will drive its regional growth as consumption rises and at the same time, become a
manufacturing hub for the company in the face of a prolonged U.S.-China trade war. (Tham vọng lớn của
Uniqlo tại Việt Nam. https://baodautu.vn/tham-vong-lon-cua-uniqlo-tai-viet-nam-d117400.html)
With the current successful background. Of course, with Uniqlo continually expanding its business activities
and investing and manufacturing in Vietnam, Vietnam's opportunities are not small. Besides, Uniqlo is only
one of the six leading brands of Fast Retailing. In addition to Uniqlo, GU, Theory, Helmut Lang, PLST
(Plus T), Comptoir des Cotonniers, Princesse tam, and J Brand. The General Director of Uniqlo Vietnam has
also affirmed that Uniqlo is a "stepping stone brand" from which Fast Retailing will bring other brands to
the Vietnamese market.

The opportunity to get a good market share and reasonable profit is high, and the Vietnam market is one of
the best choices to establish and expand business due to several factors:
1. Strong population density, with 94 million residents in the nation (12 million people in Hanoi and 10
million people in Ho Chi Minh).
2. In the last 20 years, the economy has expanded exponentially, which has had a positive effect.
3. The overall supply chain cost is lower compared to other markets in Southeast Asia due to
the existence of some of our suppliers in Vietnam.
Our main value propositions are providing casual and functional clothes with reasonable price to middle
income people in Vietnam, introducing our sustainability projects, and supporting local communities as well
as implementing advertising ways to create a separate point for the brand. The first step to build up our
marketing strategy is researching our target market in Vietnam: Customers, competitors, and apparel
industry. Our team works hard to get enough data (investigation, interview, website, customer observation,
statistics) across various channels and we are able to evaluate our business priorities and customer
behaviors.

1. Customer segments
Segment 1: High level income Vietnamese people
Segment 2: Middle level income Vietnamese people which is growing fast, with annual average income
per year more than $3,500 (The World Bank Group, 2018). We assume that people in this segment will visit
our store at least once a month.
Segment 3: Low level income Vietnamese people, those who get less than $3,000 per year in average such
as students or university students.
Segment 4: People under poverty level, those who have annual average income less than $150 per month.
Our target customer is people in Segment 2 (S2) and Segment 3 (S3)

Customer Attributes Market Description

Location Hanoi, Ho Chi Minh and big For direct point of sale
cities (Hai Phong, Can Tho,
Thu Duc, Da Nang, …)
All Vietnam For online shopping
Age Young generation
Gender Male / Female
Income Middle class > $3,500 per year
Low class < $3000 per year
2. Competitors (4P analysis):
- Zara is the youngest of the three fashion retailers, born in Spain in 1975. Textile Inditex owns this
brand. Owning the supply chain stages allows Zara to turn around products faster. The company can
design a product and sell it in stores within a month.
- Besides, H&M, or Hennes & Mauritz, is the oldest. Founded in Sweden in 1947, H&M owns
various brands, including Monki, Weekday, Cheap Monday, and COS. (So sánh mô hình kinh doanh
của H&M, Zara và Uniqlo. https://nhipcaudautu.vn/kinh-doanh/so-sanh-mo-hinh-kinh-doanh-cua-
hm-zara-va-uniqlo-3315947/)
 PRODUCT
H&M ZARA
- Design features: Consciousness of current - Product Design features: Highly fashionable
year's fashion trend and season by more than design based on Paris collection and show
200 designers. Reproduction of luxury brand trends. Catching up with current fashion
products at a low price. trends of the world.
- Variation of items: Produce abundant kinds - Variation of items: Produce abundant kinds
of fashion items (clothes, bags, shoes, of fashion items (clothes, bags, shoes,
accessories). accessories)
- Target customers: Diversified products that - Product cycle: While most fashion retailers
are suitable with many segmentation only produce and sell between 2,000-4,000
(Women, Men, and Kids) pieces per year, Zara releases more than
10,000 models per year.

Number of products available from 3 fashion brands

A variety of sizes and colors is available in stores

Source: VIRAC compiled

 PRICE
H&M ZARA
- Cheap and sightly high price - High price
- H&M can purchase input materials at a - Zara is recognized as a luxury fashion brand
lower cost than Zara, so H&M always keeps with high prices in some Asian countries such
the average low price in all markets. H&M's as Japan, Arab kingdoms. Zara maintains low
pricing strategy aims to expand and occupy prices in Spain and a little over one slightly
many customer segments with diverse compared to other countries using the Euro
spending levels. currency.

Price list of 3 famous fashion brands

Source: VIRAC compiled

 PLACE
 H&M ZARA
- Short production time (approximately 12 - Production line: Production is made by own
weeks): Outsourcing production line to more manufacturing factory (Arteixo in Spain) Not
than 800 manufacturers worldwide without conducting outsourcing because Spain is
their own factory. relatively cheap in personnel expenses in
- Distribution: Carry goods with low-cost Europe.
shipping from countries all over the world - Stores: Zara has about 2000 stores, currently
that can make the products cost cheaper. in Vietnam there are only 2 official Zara
-Stores: H&M has the most stores of the stores in Hanoi and Ho Chi Minh City, online
three, with more than 3,450 stores globally store. (So sánh mô hình kinh doanh của
and 11 stores in Vietnam. In 2015, total of H&M, Zara và Uniqlo.
number of workers is about 148 thousand https://nhipcaudautu.vn/kinh-doanh/so-sanh-
people (Full-time workers are 104,634, and mo-hinh-kinh-doanh-cua-hm-zara-va-uniqlo-
full- time workers’ rate is about 70%) 3315947/)
- Business hours: 9:30-22:00

 PROMOTION:
H&M ZARA
- Promotion: Make consistent messages - Promotion: Advertising expenses are being
(fashion and quality at the best price) for all reduced by developing stores in the center and
promotion channels, including making it as an advertisement.
advertisements, magazines, PR events,
fashion shows, collections
- Collaboration with famous artists or famous
brands in the world.

3. Current Market Position:

So, after all the studies above, we highly recommend some reality marketing strategies for Uniqlo, these
strategies aggregated from data collected from information gathering from customers using Uniqlo:
1. Various designs, focusing on design as well as materials
2. Create your own signature to make it easier to approach consumers (Go to return - Bitis, Drinks for
the champion - Milo,)
3. Open more online sales so that consumers from everywhere can choose and shop easily.

Marketing Mix (4P Analysis)

 PRODUCT:
Clothes were classified as consumer goods and basic products. Nowadays, it has to fulfill
consumer’s expectation, from the style, design, and the function. We provide functional and high-
performance products for our customers. Uniqlo's products focus on quality as well as utility rather than
design. We differentiate our products in the markets by:
1. Providing functional products for different uses: products like Heat-tech, UV Cut, AIRism,
Breathable, and Ultra-Light in affordable price.
2. “Outfits highlight personality, not impose customers”. Our products are simple but suitable for all
ages. From there, people can combine to create their personality. Vietnamese women are often
interested in high fashion products, especially skirts and shirts. We also have a unique product line to
cater to these customers. The "weapons" of Uniqlo are feature products, good quality, and affordable
prices. (Osamu Ikezoe. 2020. CEO Uniqlo Việt Nam: 'Chúng tôi không nghĩ Zara, H&M là đối
 thủ'.https://zingnews.vn/ceo-uniqlo-viet-nam-chung-toi-khong-nghi-zara-h-m-la-doi-thu-
post1055508.html)
3. Some products make up Uniqlo's brand, such as UV-resistant jackets, ...
4. Providing Uniqlo regular casual products for all people.
5. We have an innovative center for unique, innovative design in Los Angeles. With this, we will have
detailed plans considering measurements, environmental conditions, and consumer tastes for
Vietnamese consumers. We will have a dedicated merchandise buyer team to research the
Vietnamese market's needs and preferences carefully.
6. Introducing our special services inside the stores by applying the special service standard of our
Japan in our Vietnam stores. We will do that by training the staff and applying high-quality
requirements inside the stores. The special services will be an attractive factor for our customers.
7. Applying “all products recycling project” in our stores in Vietnam. Our project to increase awareness
about clothes recycling will attract customers who support sustainable issues. People in Viet Nam
now tend to think about the environment more. Instead of giving the plastic bag like traditional,
Uniqlo is now handing the paper bag to protect the environment. Thus, they will pay more attention
to Uniqlo.(ContributingtoSocietythroughClothing.https://www.fastretailing.com/eng/sustainability/
community/donating_clothing.html)

 PRICE:
This is the most important factor because price generates revenue for the company. Uniqlo focuses on
customer opinion, so we set up a survey of consumer perceptions of Uniqlo prices.

- Most of them rate the price at Uniqlo is acceptable. Consumers in Viet Nam always seeks for
comfort and affordable price when they look for basic casual wear. Most of Uniqlo's product prices
in Vietnam range from 400,000 to 800,000 VND, so it is suitable for the target consumers.
- Vietnamese consumers always want a good quality and cheap product when they go shopping so
Uniqlo is one of their choices. Let us say if you want people to look at the price at 400.000 and
399.000VND, they will pick the one with the 399.000VND because it is cheaper and it is more eye-
catching price than the plain 400.000VND. Uniqlo’s mission is to offer clothes for all people. From
this statement, Uniqlo will offer a special section inside the stores consists of high-quality products
in higher prices for high level income customers. And at the end of every year, Uniqlo will always
have some awesome deals such as 20%-30% off to make sure that they don’t leave any stock behind
for the new stock to come. (Chiến lược giá của 3 ông lớn ngành thời trang Zara, H&M và Uniqlo.
https://marketingai.admicro.vn/chien-luoc-gia-cua-zara-hm-va-uniqlo/
  PLACE:
*Our market logistic objectives are:
1. “Getting the right goods to the right places at the right time for the lowest cost”.
2. Starting with two significant stores in the two biggest cities, especially in the shopping malls (Hanoi:
Vincom Mall and Ho Chi Minh: Saigon Center). Then deployed in all other big cities such as Da
Nang, Hai Phong, Can Tho, ...
3. Online platform store: launch Uniqlo website (https://www.uniqlo.com/us/en/home/) in two
languages: Vietnamese and English. Customers will be able to shop, send complains and
suggestions, and ask for explanation. Payment is through debit or credit cards or special
payment cards like gift cards.

* Marketing Channels Strategy:

Uniqlo's channel distribution is mainly concentrated in Japan, with more than 700 Uniqlo stores located in
the country of sunrise. Uniqlo's distribution strategy focuses on putting products on the shelves, taking the
response to the needs of users as the goal. The company focuses on responding to changing Japanese fashion
trends, emphasizing designs that match the Japanese prefers minimalist style. Uniqlo also depends on the
partners for producing and warehousing, then distributing the products to the stores. In Vietnam, we will
depend on the following channels:
1. Store point of sale: Suppliers in Vietnam direct to the stores.
2. Online point of purchase: When customers shop online, Uniqlo will ship the products directly
from the warehouse.
3. Indirect sales point: magazine, promotion booklet

* To minimize total market logistics cost:

Our strategy depends on our suppliers’ facilities, which are already established in Vietnam. We do not need
to establish the whole warehouses in the first step. Instead, we will use our partners’ facilities. So, to
summarize, we are going to:
1. Depend on our suppliers’ warehouses in Vietnam to avoid the fixed cost.
2. Focus our production in Vietnam factories.
3. Establish digital service shipping: from the warehouse to customers.

 PROMOTION:
Vietnam's retail market has proven to be an attractive market for foreign brands due to its low labor costs,
the presence of multinational brands in the market, and foreign retail brands confirmed the increase in
awareness in the market. So Uniqlo needs to have the right brand promotion ways to reach consumers as
well as promote products efficiently:

*Advertising:
1. Uniqlo can install various billboards within the near vicinity of the planned location of the retail
store.
2. Uniqlo could also place magazine ads as a teaser around three months before its official
store opening to create a hype to the Vietnamese market.
3. Other advertising means would be to produce TVCs or a television ad, as well as a
radio advertisement to have a greater reach to increase awareness in the market.
4. Create your own signature to make it easier to approach consumers (Go to return - Bitis, Drinks for
the champion - Milo...)
5. Combine with influential celebrities in Vietnam to easily promote the brand.
*Sales Promotion:
1. Uniqlo could give out promotional coupons to those who would attend the grand store opening.
2. Below-the-line strategies such as flyers and posters would also be circulated in select areas to
promote the brand.
3. Cash refund offers like rebates could also be provided as part of the flyers and the coupons to be
distributed as a perforated part of the flyers and coupons to attract in-store traffic.
4. Gifts with purchases could be offered to the first 1,000 visitors of Uniqlo on a particular day, like a
limited edition Uniqlo eco bag.
5. Uniqlo could craft a loyalty rewards program to retain and attract loyal customers. This could be a
card that could be offered for free to customers during their first visit to Uniqlo, and they will be
getting stamps upon purchasing a total of 50 dollars or roughly 120,000 Vietnamese dongs in a
single receipt purchase.
6. Event sponsorships could also be done, like choosing specific events aligned with the company’s
motto of made for all, producing clothes with high quality at an affordable price, and its design.

*Public Relations and Publicity:

1. Uniqlo could hold a general press conference before opening their new store for media coverage.
Press kits could be included as well.
2. The brand could also hold an exclusive store viewing for the elite members of the Vietnamese
society, such as fashion A-listers who could be potential ambassadors to the brand. Also, exhibiting
at one or two prestigious venues to conduct an exclusive event to be attended by investors.
3. Another strategy would be partnering with various businesses by having articles published into
clients’ trade journals

*Online and Social Media Marketing:

1. Development of a bilingual Uniqlo Website exclusively for the Vietnamese market
2. Search engine advertising would be implemented to increase the search ranking of Uniqlo. Some
examples of keywords to be purchased are affordable clothes, modern clothes, best clothes, and
Vietnam.
3. Celebrities, bloggers, and social media influencers should be tapped to create content and share
content with the Vietnamese consumers.
4. Since Uniqlo is a retail brand, direct email marketing could be done to keep customers updated with
the company's latest trends and products. Email marketing could be done bi-monthly as not to have
too many emails with the risk of people unsubscribing.

*Business-to-Business:
1. There is an opportunity for Uniqlo Vietnam to adapt the strategies of other global Uniqlo strategies
to partner with existing characters or brands to design exclusive pieces (e.g. Disney x Uniqlo,
Snoopy x Uniqlo, etc.)
2. For a two-way mutual partnership of Uniqlo supporting the up and coming designer, Uniqlo might
partner with other local designers and create a limited-edition product line whose prices could be
increased due to the limited number.
E. RECOMMENDATION:
Focus more on the digital side:
During COVID-19, especially in this 4.0 customer have a tendency to shop online so Uniqlo should step up
their game on social media and website to attract customers to spend money. For example, they can retarget
visitors/ customers, connect with influencers or engaging relationships with their audience.

Get involved with local culture:

At Lunar new year, lucky money is a well-known custom of Vietnam. Therefore, Uniqlo could give a
chance to draw lucky money to which’s customers that purchase at the set price.

Involved in good cause:

Every year Uniqlo should start a charity where they sell their clothes and save some of that money toward
the middle of Vietnam whenever we get Typhoon going through. Flooding will happen every year in Viet
Nam. That is a good opportunity for them to see that as a chance for people to come and buy their products
as they got some good quality clothes. As long as they help the people in the flooding area, everyone is
going to think that they are actually helping the poor people out, they will start to come more.
References:
Uniqlo (2020), Uniqlo Business Model, Retrieved on February 6, 2021 from
https://www.fastretailing.com/eng/group/strategy/uniqlobusiness.html
Uniqlo store location, Retrieved on February 6, 2021 from https://www.uniqlo.com/vn/shop/
Uniqlo store opening/closing, Retrieved on February 6, 2021 from
https://www.fastretailing.com/eng/ir/monthly/shopinfo.html
KEIICHI FURUKAWA (2020), Retrieved on February 6, 2021 from https://asia.nikkei.com/Business/Retail/Uniqlo-
boosts-investment-in-e-commerce-in-Japan-and-China
Results Summary (2021), Retrieved on February 6, 2021 from
https://www.fastretailing.com/eng/ir/financial/summary.html
Gang (2020), Hanh trine “oath tic” the truing Viet Nam cue Uniqlo, Retrieved on February 6, 2021 from
https://marketingai.admicro.vn/hanh-trinh-oanh-tac-thi-truong-viet-nam-cua-uniqlo/
Gang (2020), He low 6 bay hock to chin look Marketing cue Uniqlo am Marketer nan bite, Retrieved on February 6,
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Phan Nam, UNIQLO ton tin go ở Viet Nam?, Retrieved on February 6, 2021 from
https://www.brandsvietnam.com/20009-UNIQLO-toan-tinh-gi-o-Viet-Nam
Quyen, Phuong. (2016). Boa Coo the Truing Thai Trang Viet Gaia Loan. Retrieved on February 6, 2021 from
https://maybanhang.net/2016/12/bao-cao-thi-truong-thoi-trang-viet/
Strategic Management Department, S. M. U. (n.d.). UNIQLO SWOT Analysis Matrix [step by step] Weighted
SWOT. Retrieved on February 6, 2021, from http://fernfortuniversity.com/termpapers/swot/1433/1147-uniqlo.php
Hitesh Bhasin. (2019). Marketing strategy of Uniqlo. Retrieved from https://www.marketing91.com/marketing-
strategy-of-uniqlo/
Newlook169. (2017). Uniqlo-Moldboard, Consumer Segmentation. Retrieved from
https://newlook169.wordpress.com/2017/07/01/uniqlo-moodboard-consumer-segmentation/
Retviews. (2019). Uniqlo Strategy – The Differences with Competitors H&M and Zara. Retrieved from
https://retviews.com/blog/focus/uniqlo-competitors/
Tham vọng lớn của Uniqlo tại Việt Nam. https://baodautu.vn/tham-vong-lon-cua-uniqlo-tai-viet-nam-d117400.html
So sánh mô hình kinh doanh của H&M, Zara và Uniqlo. https://nhipcaudautu.vn/kinh-doanh/so-sanh-mo-hinh-kinh-
doanh-cua-hm-zara-va-uniqlo-3315947/
Osamu Ikezoe.2020. CEO Uniqlo Việt Nam: 'Chúng tôi không nghĩ Zara, H&M là đối thủ'. https://zingnews.vn/ceo-
uniqlo-viet-nam-chung-toi-khong-nghi-zara-h-m-la-doi-thu-post1055508.html/
Contributing to Society through Clothing.
https://www.fastretailing.com/eng/sustainability/community/donating_clothing.html
He lộ 6 bài học từ chiến lược Marketing của Uniqlo mà Marketer nên biết. https://marketingai.admicro.vn/he-lo-6-bai-
hoc-tu-chien-luoc-marketing-cua-uniqlo-ma-marketer-nen-biet/