Fashion Brand Management

&
Strategic and Innovation
Management

(FINAL JURY)

Presented By:
Jasleen Kaur (MFM/21/355)
Urvi Thakur (MFM/21/415)
Vartika Verma (MFM/21/1235)
Vrinda Goyal (MFM/21/257)
CONTENTS
Primark - Introduction
Current Strategies
4 P’s
Vision & Mission Statement Analysis
Competitors
Key External Factors
Key Internal Factors
EFE Matrix
IFE matrix
Strategies In Action
Strategy Formulation (TOWS, IE)
Strategy Formulation (QSPM)
Conclusion
Strategies in Brand Lifecycle Management
 About PRIMARK
Irish multinational fast fashion retailer

It is a subsidiary of Associated British Foods and Leading international clothing

retailer

Around 400 stores, across 14 countries in UK, Europe and in the United States

Known for its range of on-trend clothing, footwear, accessories, and

homewares for men, women, and children at astonishingly low prices.

Look good, pay less

Industy Founded Founder HQ

Retail 13 June, 1969 Arthur Ryan Dublin, Ireland
KEY FIGURES

1.1 BN £13.5
GBP BN Valuation
NET WORTH OF UK STORES (June 2022)

7.1% 5.6 BN
MARKET SHARE - Clothing GBP (2021)
UK REVENUE OF PRIMARK
7.79 BN GBP in 2019

SOURCE: https://www.statista.com/statistics/787728/primark-clothing-
market-share-united-kingdom-uk/
CURRENT STRATEGIES
Mass buying, Very less margins, No advertisements,
Know their DNA and stick to it in everything they do. This makes that the company is very well aligned around the way they create value for
their customers. It is well-aligned externally with the market because this value proposition matches the needs and desires of a particular
customer segment and because it differentiates them from their competitors.

Primark offers low prices. So they clearly compete on price. Primark has chosen ‘Cost Leadership’ strategy, it means that Primark has a
cost privilege over competitors.

But it is not just price. It is price combined with an overwhelming large number of fashion items to choose from in their stores. At the
bottomline, they sell the kid-in-the-candy-store feeling, the Oh-My-God-I-can-buy-all-of-this-and-still-have-money-left experience.
That is their value proposition and that is why they are successful.
4 P's

The 4Ps (Product, Price, Place, Promotion) helps the

brand/company to position itself competitively in the
market and achieve its business goals & objectives
 Primark's Product

Make up
Clothing Skin Care
Night & Lingerie Clothing Girls Newborn Baby Home Furnishings Bath & Body
Shoes Shoes Boys Baby Girl Luggage & travel product
Accessories Accessories Toys Baby Boy Home Electrical Haircare products

WOMEN MEN KIDS BABY HOMEWARE BEAUTY

Pricing strategy of Primark
Primark targets value-seeking customers and promises them to
keep up with the latest looks without breaking the bank (Primark
Stores Limited, 2020).
It offers amazingly affordable prices that attract millions of
customers.
This is because of the economies of scale and the production of
items in countries such as Bangladesh, India, Pakistan, and China.

Place/Distribution Channel of Primark

Primark has a strong distribution channel with more than 300
stores in Europe and a lot of similar kinds of outlets in other
countries as well.
It has also expanded in Germany, Spain, and France and set up
outlets to increase its customer base.
Promotional Strategy of Primark
Primark's biggest and perhaps most effective promotional
strategy is word of mouth.
Likewise, Primark uses social media such as Facebook, Twitter,
Instagram, and Pinterest extensively and gets millions of likes and
shares online in short periods.
MISSION STATMENT

The mission statement of Primark is

“To provide customers of all ages
with high quality, trendy products
at inexpensive prices”.
VISION STATMENT

The vision statement of Primark is

“Value fashion for people”.
 IRELAND

COMPETITORS

SWEDEN
FOUNDED: 1947, Sweden FOUNDED: 1969, Dublin, Ireland.

STORES WORLDWIDE: 4,702- 59 Countries. STORES WORLDWIDE: 408- 14 Countries.

ENTERED INDIA: October 2015 - Select City Mall, Delhi. ENTERED INDIA: Yet to enter.

NO. OF STORE AT PRESENT IN INDIA: 50+ Stores. PRESENCE MODES: In - stores only.

PRESENCE MODES: In - stores, Online.

Source : https://hmgroup.com/about-us/markets-and-expansion/market-overview/ Source : https://www.primark.com/en-gb/about-us

https://hmgroup.com/wp-content/uploads/2022/03/HM-Group-Annual-and-Sustainability-Report-2021.pdf https://www.abf.co.uk/our-businesses/retail
STRENGTH
Cost leadership by aiming at Cost
Efficiency.
Strong branding, loyalty and awareness.
Highly efficient supply chain that
supports fast fashion.
Multichannel Strategy.
Extending online sales in existing market.
WEAKNESS
Poor working conditions.
Short lead time forces less variation in
style, design, colour and size.
Rapid growing effect lacking in e-
commerce sector.
Cost up in overseas distribution and
R&D.
Poor customer service.
Internal Factor Evaluation (IFE) Matrix-
CRITICAL SUCCESS FACTOR WEIGHT RATING SCORE

COST LEADERSHIP BY AIMING AT COST EFFICIENCY 0.16 4 0.64

STRENGTHS

STRONG BRANDING, LOYALTY AND AWARENESS 0.09 3 0.27

HIGHLY EFFICIENT SUPPLY CHAIN THAT

SUPPORTS FAST FASHION 0.10

4
0.4

MULTICHANNEL STRATEGY 0.10 4 0.4

EXTENDING ONLINE SALES IN EXISTING MARKET 0.05 3 0.15

POOR WORKING CONDITIONS 0.09 1 0.09

LESS VARIATION IN STYLE, DESIGN, COLOR, AND SIZE. 0.07 1 0.07

WEAKNESS

RAPID GROWING EFFECT LACKING IN

E-COMMERCE SECTOR 0.15

2
0.30

COST UP IN OVERSEAS DISTRIBUTION, R&D. 0.11 2 0.22

POOR CUSTOMER SERVICE 0.08 2 0.16

TOTAL 1.00
2.70
BRIEF: Develop branding strategies for an International Brand launching itself in India
OPPORTUNITY
Global expansion in key markets like
Asia.
Going big and better in e-com sector
Company image & engagement for
environment, labour, social & product
dimension.
Click & Collect
Expanding Menswear Collection
THREAT
Change in customer demand, shopping
behaviour, price sensitivity & trend
Competitors such as H&M, Gap, and
new entrants in the market that want to
recapitalise their profit.
Exchange Rate Fluctuations.
Increasing Labour & Raw Material Cost.
People moving towards slow fashion.
 External Factor Evaluation (EFE) Matrix-
CRITICAL SUCCESS FACTOR WEIGHT RATING SCORE

GLOBAL EXPANSION IN KEY MARKETS LIKE ASIA 0.14 3 0.42

OPPORTUNITIES

GOING BIG AND BETTER IN E-COM SECTOR 0.11 1 0.11

COMPANY IMAGE FOR EVM, LABOR, SOCIAL

& PRODUCT DIMENSION. 0.07

2
0.14

CLICK & COLLECT 0.1 4 0.4

EXPANDING MENSWEAR COLLECTION 0.11 2 0.22

CHANGE IN DEMAND, SHOPPING BEHAVIOUR, PRICE, SENSITIVITY & TREND 0.13 4 0.52

COMPETITIVE THREATS 0.08 3 0.24

THREATS

EXCHANGE RATE FLUCTUATIONS.

0.1
1
0.1

INCREASING LABOUR & RAW MATERIAL COST. 0.08 3 0.24

PEOPLE MOVING TOWARDS SLOW FASHION. 0.08 2 0.16

TOTAL 1

2.55

 Internal External (IE) Matrix-

BUSINESS STRENGTH/ COMPETITIVE POSITION
(Internal factor evaluation total weighted scores)

STRONG AVERAGE WEAK

4.0

(External factor evaluation total weighted scores)

BUSINESS STRENGTH/ COMPETITIVE POSITION

HIGH
3.0
MEDIUM

2.0
LOW

1.0
4.0 3.0 2.0
 CONCLUSION
The total weighted score of IFE matrix are plotted on the x-axis while on the y-axis the total
weighted score of EFE matrix is plotted.
On x-axis, the IFE Score of 2.70 represents that the internal position of organization is in average.
On y-axis, the EFE Score of 2.55 represents medium range.
In conclusion, the IE Score lies in the 5th region, which suggests to Hold & Maintain the current
strategies.
 TOWS Matrix-
OPPORTUNITIES THREATS
EXTERNAL 1. GLOBAL EXPANSION IN KEY MARKETS LIKE ASIA 1. CHANGE IN DEMAND, SHOPPING BEHAVIOUR, PRICE,
2. GOING BIG AND BETTER IN E-COM SECTOR SENSITIVITY & TREND
3. COMPANY IMAGE FOR EVM, LABOR, SOCIAL & PRODUCT 2. COMPETITIVE THREATS

INTERNAL DIMENSION.
4. CLICK & COLLECT
3. EXCHANGE RATE FLUCTUATIONS.
4. INCREASING LABOUR & RAW MATERIAL COST.
5. EXPANDING MENSWEAR COLLECTION 5. PEOPLE MOVING TOWARDS SLOW FASHION.

STRENGTHS
1. COST LEADERSHIP BY AIMING AT COST EFFICIENCY.
2. STRONG BRANDING, LOYALTY AND AWARENESS.
3. HIGHLY EFFICIENT SUPPLY CHAIN THAT SUPPORTS FAST
FASHION.
4. MULTICHANNEL STRATEGY.
5. EXTENDING ONLINE SALES IN EXISTING MARKET.
S2S4O1O2- Using existing brand loyalty & awareness & multi channel
strategy to expand market & flourish in the e-commerce sector.
S3S5O2- The huge no. of products coming to store within a very short
cycle will help increase sale in the store. Also, Primark's unparallel supply
chain will be helpful for product shipment, delivery in case of online
store & will lead to high level of customer satisfaction.
S1O3- Healthy financial condition & saving costs can help them focus
on the betterment of brand image in terms of engaging labour & other
social & environmental activities.
S4S5T1- Using multichannel strategies and expanding online to grab
online shoppers that will help deal with the changing shopping
behaviour. Online strategies can include discount to attract price
sensitive segment.
S2S3T2- To deal with the competitors, Primark needs to make use of
all its core strength that give it a sustainable advantage.
S2S4S5T2- To overcome barriers in entering new market the have to
focus on their branding and also expansion strategy & multichannel
strategy.

W3O1O3- To make it big the company needs to look at the immense W3T1- As shopping behaviour is changing, to keep pace with that
WEAKNESSES opportunity it has in the online sector & create or develop an image that Primark can tap on the online market with intense marketing &
would boost online sales along with giving customers an exclusive promotional activities that will ensure growth & also be able to stay at
1. POOR WORKING CONDITIONS.
experience. Also, focusing on the online market & selling in the key par with the consumer base that is inclining towards online shopping.
2. SHORT LEAD TIME FORCES LESS VARIATION IN STYLE,
markets.
DESIGN, COLOUR AND SIZE.
3. RAPID GROWING EFFECT LACKING IN E-COMMERCE
W2O2- To grow in the e-commerce sector Primark can keep its
SECTOR.
bestselling products in more variation permanently in its online store.
4. COST UP IN OVERSEAS DISTRIBUTION AND R&D.
5. POOR CUSTOMER SERVICE.
STRATEGY FORMATION
1. Using existing brand loyalty & awareness & multi channel strategy to expand market
& flourish in the e-commerce sector.
2. To make it big the company needs to look at the immense opportunity it has in the
online sector & create or develop an image that would boost online sales along with
giving customers an exclusive experience. Also, focusing on the online market & selling
in the key markets.
3. To deal with the competitors, Primark needs to make use of all its core strength that
give it a sustainable advantage.
4. Healthy financial condition & saving costs can help them focus on the betterment of
brand image in terms of engaging labour & other social & environmental activities.
5. Primark's unparallel supply chain will be helpful for product shipment, delivery in case
of online store & will lead to high level of customer satisfaction.
QUANTITATIVE STRATEGIC
PLANNING MATRIX
 Using existing brand loyalty & awareness
& multi channel strategy to expand
Key Factors market & flourish in the e-commerce
sector.
Create or develop an image that would
boost online sales along with giving
customers an exclusive experience.
Also, focusing on the online market &
selling in the key markets.
To deal with the competitors, Primark
needs to make use of all its core strength
that give it a sustainable advantage.
Healthy financial condition & saving
costs can help them focus on the
betterment of brand image in terms of
engaging labour & other social &
environmental activities.
Primark's unparallel supply chain will
be helpful for product shipment,
delivery in case of online store & will
lead to high level of customer
satisfaction.

Wt. AS TAS AS TAS AS TAS AS TAS AS TAS

COST LEADERSHIP BY AIMING AT COST EFFICIENCY 0.16 3 0.48 2 0.32 3 0.48 2 0.32 2 0.32
Strengths

STRONG BRANDING, LOYALTY AND AWARENESS 0.09 4 0.36 3 0.27 4 0.36 3 0.27 2 0.18

HIGHLY EFFICIENT SUPPLY CHAIN THAT SUPPORTS 0.10 2 0.20 3 0.30 4 0.40 3 0.30 4 0.40
FAST FASHION

MULTICHANNEL STRATEGY 0.10 4 0.40 4 0.40 2 0.20 2 0.20 4 0.40

0.05
EXTENDING ONLINE SALES IN EXISTING MARKET 3 0.15 4 0.2 3 0.15 1 0.05 4 0.2

POOR WORKING CONDITIONS 0.09 1 0.09 1 0.09 3 0.27 4 0.36 2 0.18

Weakness

LESS VARIATION IN STYLE, DESIGN, COLOR, AND SIZE. 0.07 1 0.07 2 0.14 2 0.14 3 0.21 1 0.07

RAPID GROWING EFFECT LACKING IN E-COMMERCE 0.15 3 0.45 4 0.6 3 0.45 1 0.15 3 0.45
SECTOR

COST UP IN OVERSEAS DISTRIBUTION, R&D. 0.11 3 0.33 2 0.22 4 0.44 2 0.22 4 0.44

POOR CUSTOMER SERVICE 0.08 1 0.08 1 0.08 4 0.32 3 0.24 2 0.16

Sum Total Attractiveness Score 1.0

Opportunities

GLOBAL EXPANSION IN KEY MARKETS LIKE ASIA 3 0.42 4 0.56 4 0.56 2 0.28 4 0.56
0.14
GOING BIG AND BETTER IN E-COM SECTOR 4 0.44 4 0.44 2 0.22 2 0.22 3 0.33
0.11
COMPANY IMAGE FOR EVM, LABOR, SOCIAL & 1 0.07 2 0.14 4 0.28 4 0.28 2 0.14
0.07
PRODUCT DIMENSION.

CLICK & COLLECT 2 0.1 3 0.3 2 0.2 1 0.1 3 0.3

0.1
EXPANDING MENSWEAR COLLECTION 1 0.11 1 0.11 1 0.11 1 0.11 2 0.22
0.11

CHANGE IN DEMAND, SHOPPING BEHAVIOUR, PRICE, 2 0.26 3 0.39 4 0.52 1 0.13 3 0.39
0.13
SENSITIVITY & TREND
Threats

0.08 2 0.16 3 0.24 4 0.32 2 0.16 3 0.24

COMPETITIVE THREATS
0.1 1 0.1 2 0.2 3 0.3 1 0.1 3 0.3
EXCHANGE RATE FLUCTUATIONS.
0.08 1 0.08 1 0.08 2 0.16 3 0.24 2 0.16
INCREASING LABOUR & RAW MATERIAL COST.
0.08 2 0.16 1 0.08 3 0.24 3 0.24 3 0.24
PEOPLE MOVING TOWARDS SLOW FASHION.

Sum Total Attractiveness Score 4.47 5.16 5.94 4.18 5.68

APPLICATION &
IMPLEMENTATION OF
STRATEGIES
Implementation of strategies based on the scores obtained from QUANTITATIVE
STRATEGIC PLANNING MATRIX. We have selected the strategies with TAC > 5
To make it big the company needs to look at the immense opportunity it has in
the online sector & create or develop an image that would boost online sales
along with giving customers an exclusive experience. Also, focusing on the online
market & selling in the key markets.
To deal with the competitors, Primark needs to make use of all its core strength
that give it a sustainable advantage.
Primark's unparallel supply chain will be helpful for product shipment, delivery in
case of online store & will lead to high level of customer satisfaction.
Suggest & explain Brand lifecycle management strategy at every stage of the lifecycle of the
brand introduced in Indian Market.

BRAND LIFECYCLE
Every brand or product has its life cycle which spans from the time it is launched to the time it exits from the market
INTRODUCTION PHASE
FOCUS POINTS : Creating brand awareness , with simultaneously building demand
Establishing a clear brand identity

Stores - Tier 1 cities initially

Build buzz on the store launches and plan fun events during launch for engagement
Heavy focus on advertising for creating awareness in the market and
Ensuring that it gains maximum traction in the market
- By enabling customers to test or try out the products by
- Offering discounts and offer codes initially
- Promotions through social media ads
- Bill boards of coming soon
GROWTH PHASE
The growth stage is marked by steadily growing demand as the brand gains consumer acceptance. This growth, in turn, leads
to reduced business costs and higher profits.

FOCUS POINTS : Gaining new customers & Increasing market share

After doing more market research and insights - launch of stores in Tier 2 - 3 markets

Existing users might promote the brand by using it or talking about it - word of mouth
- Influencer Marketing, collaborations with creators
- Sustainable campaigns and new collab collections
- Getting more insights and retargeting with notifictaions during discounts, new collection launches, etc
. Creation of a CRM system to keep customers up to date with latest trends and offers- geographically

Ensure that demand does not outstrip supply by a large margin - high growth rate
Efficiency in production, supply chain, and distribution operations.

Incorporate more features in store to capture the interest and attention of stores as well as investing in the 'psychology
of shopping habits' to provide intelligence about store layouts as well as improving visual merchandising.
MATURITY PHASE
As a product enters the maturity stage, sales, demand, and profit stabilize. Sales grow very slowly or reach a plateau. The maturity stage is
typically the longest phase

FOCUS POINTS - Differentiation from competing brands

Introducing new product categories / market

Introduce product variants or new product categories - Stationery, Gifting, Maternity wear,
Expand Soft goods, etc
Address unexplored market segments - Plus size, Older age group,etc
Seasonal offers, sales and membership discounts to ensure maximum sales and
competitiveness
Can have insta communities, features #Primania

Keep an eye on competing products and optimising the price, while protecting the margins

Giving customers an option to order products when stock is not available- however, this
would require stock maintenance

Better customer services in stores - for retention, more online ads retargeting
DECLINE PHASE
FOCUS POINTS : Reduce promotional expenditure
Focus on more revenur generating categories

Discontinue various categories like home, beauty, etc and mainly focus on most revenue earning categories liken womenswear, menswear,
kidswear

Buy in masses - The bestselling products instead of expanding the product range
REFERENCES
REF: https://www.forbes.com/sites/jeroenkraaijenbrink/2019/01/22/why-is-primark-so-successful-the-power-of-
alignment/?sh=f60796c769d3

SOURCE: https://fashionandtextiles.springeropen.com/articles/10.1186/s40691-018-0164-y
https://ignitesales.com/blog/95-of-purchasing-decisions-are-emotional/

https://www.businessstudynotes.com/finance/strategic-managment/how-to-prepare-the-internal-external-matrix/

https://dokumen.tips/documents/zara-swot-analysis-and-tows.html?page=12