02/22/14

UNIQLO shows Basic isn’t Boring

source: Uniqlo.com

Uniqlo is a Japanese clothing retailer with an unconventional marketing strategy. Unlike other successful H&M, Topshop, and Zara, Uniqlo does not produce ‘fast fashion’ to be worn and disposed of each season. Instead, it produces basic clothing in limited styles, and keeps costs low by preordering huge volumes of clothing many months in advance to be produced in Chinese factories.

I find their approach unusual because instead of having a target segment and making clothing to suit the segment’s specific tastes like most clothing retailers, they’ve chosen to focus on providing generic clothing for virtually everyone. It goes against a lot of what we’ve learned in class, and yet the company has been enormously successful. I think, though, that in this case the company’s generality is part of what makes them so distinctive.

 

What makes Uniqlo different from similarly priced retailers is not only the simplicity of the clothing, but also the quality and innovative technology of its fabrics. Clothing made of Heattech fabric provides lightweight insulation, while tops in the Airism line have special fibres that keep you cool and dry in hot weather. The company’s mass production schedule of a few styles allow it reduce costs enough to be able to invest more on the quality of fabrics, so that it can sell items like pure cashmere sweaters and Japanese selvedge jeans, both typically high ticket items, at affordable prices. In this way, it’s created an image that straddles the line between quality and budget. Limited edition collections with designers like Jil Sander have added to its higher end appeal, which has left Uniqlo as a bit of a brand oddity in clothing retailers.  It’s an in-between that attracts both the quality seekers and the budget conscious.

 

Altogether, Uniqlo has created a distinctive brand identity by favouring functionality over fashion, and quality over individuality. Its positioning has so effective that the company now has more than 950 stores worldwide and has made Tadashi Yanai (the founder/CEO of Uniqlo) the richest man in Japan. Soon, the company may even take over Inditex as the biggest retailer in the world, showing that perhaps consumer tastes in clothing may be simpler than it seems.

02/5/14

Coca-Cola’s Newest Ad is Beautiful for More Than One Reason

Ad screen shot

source: BusinessInsider.com

Coca-Cola’s Big Game commercial is one of the most talked about events from the Super Bowl, and for a good reason: the most recognized company in the world celebrated diversity during the most watched game in America. The ad featured the song ‘America the Beautiful’ sung in several languages, scenes with people of colour shown in a positive light, and two fathers rollerskating with their daughter. In terms of social justice, Coke’s #AmericaIsBeautiful campaign is a fantastic step towards getting more cultural and queer representation in media. In short, I’m thrilled by how this commercial celebrated the beauty of diversity.

 

But I actually love it for another reason: it was brilliant as an advertisement. Not only did it create an enormous amount of publicity for Coke, it also reinforced to viewers that Coke was truly a universally enjoyed drink. It’s reminiscent to McDonald’s advertisements, which uses the popularity of its products to encourage consumers to buy more. It was incredibly successful tactic for McDonald, and I think it will be equally successful for Coca-Cola. The feel-good message in the #AmericaIsBeautiful commercial is also to the company’s own benefit. There is no need for Coca-Cola to market Coke’s qualities as drink anymore, since the audience is almost certainly already familiar with it. It’s also very likely that everyone watching has, at least once, consumed a Coca-Cola beverage. Because the company is already in virtually every household in America, it can mainly increase sales by encouraging consumers to be loyal to their products and consume them more. By appealing to (most) people’s values and ideals they’re encouraging customer loyalty and engagement.

 

Kudos to the team at Coca-Cola who created the commercial. You certainly have a fan in me.

 

If you haven’t already seen it, here’s a link: Coca-Cola’s #AmericaIsBeautifulAd