Marketing Strategy of Tommy Hilfiger – Tommy Hilfiger Marketing Strategy: In 1985, the famous designer Thomas Hilfiger established Tommy Hilfiger Corporation which is now an extremely well-known company. The variety of items that are sold under the brand’s umbrella is kids’ wear, women’s wear, and men’s clothing and includes a variety of items such as eyewear, accessories, watches, apparel, fragrances furniture, bags, and more. There are 1400 stores in 90 countries. It is among the top brands prospering throughout the market and has the top sales charts in the casual wear market all over the world. The brand has brought American culture to the world.
It is a global sales network spread across over 100 nations. the worldwide retail sales of Tommy Hilfiger totaled 9.91 billion U.S. dollars in 2019.
Contents
- 1 Did You Know About Tommy Hilfiger?
- 2
- 3 STP in the Marketing Strategy of Tommy Hilfiger
- 4 Tommy Hilfiger Vision
- 5 Tommy Hilfiger Mission
- 6 Tommy Hilfiger Tag line
- 7 Competitive Advantage in the Marketing Strategy of Tommy Hilfiger
- 8 BCG matrix in the Marketing Strategy of Tommy Hilfiger
- 9 Distribution strategy in the Marketing Strategy of Tommy Hilfiger
- 10 Brand equity in the Marketing Strategy of Tommy Hilfiger
- 11 Market Analysis in the Marketing Strategy of Tommy Hilfiger
- 12 Customer Analysis in the Marketing Strategy of Tommy Hilfiger
- 13 Promotion in the Marketing Strategy of Tommy Hilfiger
Did You Know About Tommy Hilfiger?
[wp-svg-icons icon=”office” wrap=”I”] Company : Tommy Hilfiger
[wp-svg-icons icon=”user” wrap=”I”] CEO: Martijn Hagman
[wp-svg-icons icon=”user” wrap=”I”] Founder: Tommy Hilfiger
[wp-svg-icons icon=”calendar” wrap=”I”] Year founded: 1985
[wp-svg-icons icon=”location-2″ wrap=”I”] Headquarters: Amsterdam, Netherlands
[wp-svg-icons icon=”stats” wrap=”I”] Annual Revenue : 9.91 billion U.S. dollars
[wp-svg-icons icon=”bars” wrap=”i”] Profit | Net income : 4.71 billion U.S. dollars
[wp-svg-icons icon=”pie” wrap=”i”] Products & Services: men’s, women’s and kids’ sportswear, denim, accessories, and footwear
[wp-svg-icons icon=”pacman” wrap=”I”] Competitors: Perry Ellis International | Polo | Burberry| Gap | Nike | Adidas | Gucci
[wp-svg-icons icon=”globe” wrap=”I”] Website: usa.tommy.com
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Tommy Hilfiger Fun Fact : 1979, Tommy Hilfiger started a company under the name of Tommy Hill. His client list became filled, and his success was great right off the bat. He went on to create 20th Century Survival and a women’s line titled Click Point.
STP in the Marketing Strategy of Tommy Hilfiger
In the context of the concept of demographic segments within the market, it is based on gender, age, as well as income. Tommy Hilfiger is the primary line of merchandise line of the company which is inspired by classic American fashion and is targeted at customers aged 25-40.
Hilfiger is a brand that Hilfiger denim has a more relaxed in its style, Hilfiger Collection is a brand designed for women, and targets women between the ages of 25 and 40. Tommy Hilfiger Tailored is a brand that caters to males. The items are described as having luxurious hues with precise cuts and exquisite details. They target men aged 25 to 40.
Based on the various demands of its customers, the company has developed differently. The Tommy Hilfiger The brand targeted middle-class upper individuals. The brand is unique in its position in the marketplace, which is characterized by an inviting ambiance and distinctive variations that reflect the tradition of the brand as an all-American company.
It is advertised as a brand that has a strong belief in the “classic American trendy style’.
Tommy Hilfiger Vision
We are guided by a vision to drive innovation through our sustainability practices, to increase operational efficiency while reducing our environmental impact.
Tommy Hilfiger Mission
Tommy Hilfiger’s mission is to be one of the leading sustainable designer lifestyle brands through how it creates its product, manages its operations, and connects with its communities and stakeholders.
Tommy Hilfiger Tag line
Competitive Advantage in the Marketing Strategy of Tommy Hilfiger
1) Brand image
Tommy Hilfiger is one of the most renowned designer brands that has been making a huge splash on the market. It is a standout among the top designer brands. It has a vast assortment of items that provide the brand an extremely prominent brand recognition.
The assortment of products includes eyewear watches, fragrances, furniture, and women’s clothing that is well-marketed. The global sales of the brand were $7.4 billion in 2017.
Tommy Hilfiger has good quality fashionable designer items that people would like to associate with.
2) Innovation
The brand recently unveiled the most technological collection, Tommy Jeans Xplore which utilizes Bluetooth technology to determine the frequency with which a wearer uses the item, as well as the location the user wears the item.
The company aims to create a micro-community made up of Brand ambassadors through this program and provides rewards for the use of the product. The idea behind the initiative was to provide more value for the brand’s loyal customers. The application-based feature could also increase the number of points customers earn when they travel through certain areas.
The technology-driven initiatives have led to an increase in the brand trust of consumers.
3) Global marketing strategy
Tommy Hilfiger being one of the most renowned designer brands is a brand that engages its customers with diverse advertising and marketing strategies. advertising strategies for marketing. These strategies are holistic 360deg that concentrates on the digital experience of marketing and unique experiences.
In the year 2018 Tommy Hilfiger celebrated the designer’s fascination with fashion, pop culture, and music with various partnerships with brands and celebrities that drove a huge volume of sales, and drawing new customers in, and made it more appealing to the younger generation of consumers.
In 2017 the total cost for marketing was $180 million across the globe for communications and marketing efforts.
BCG matrix in the Marketing Strategy of Tommy Hilfiger
Tommy Hilfiger Corporation was bought by Phillips-Van Heusen in the year 2010. Phillips-Van Heusen owns brands like Arrow etc. the Tommy Hilfiger label comes into the category of famous brands. It was also named one of one of the top companies in the world.
The brand has launched a variety of campaigns and has forged an important collaboration with pop artists around the globe to maximize the enormous potential that is available to the brand all over the world. Famous personalities such as Hailey Baldwin and activist Winnie Harlow have been connected to the brand.
This brand was listed as 8 out of 77 brands included in the L2 Global Fashion IQ index of 2018. It was also named “the Most Innovative Company ” by Fast Company. Tommy Hilfiger has huge potential and therefore falls under the category of “Star” in BCG’s matrix. BCG matrix.
Distribution strategy in the Marketing Strategy of Tommy Hilfiger
The brand is global and employs over 15000 employees who work for the brand across the world. Tommy Hilfiger has built a vast distribution network that spans over 100 countries, with over 1800 stores across Europe, Latin America, Asia Pacific, and North America.
The company operates franchise and owned stores as a model for retail. These flagship locations are ones in the largest cities around the globe which makes it a significant brand. The stores are located in Paris, Tokyo, London, New York, etc.
Brand equity in the Marketing Strategy of Tommy Hilfiger
Tommy Hilfiger has an image that is a top and affordable brand. Since its beginning, it has been able to establish its reputation as a brand that has produced items with a “classic American cool with the preppy twist” and, now it is planning on becoming a more international brand.
This brand is expanding to new markets in Europe as well as Asia and is available in a wide range of markets. Its focus is on the younger generation of consumers.
The brand is growing popular with young people. PVH, the parent company PVH invests between $175 and $185 million annually in advertising and marketing initiatives to increase the brand’s image and credibility of Tommy Hilfiger.
Tommy’s presence in Europe could be utilized to create a platform for PVH to develop brands such as Arrow and Izod that currently earn very little or no revenue in Europe
Market Analysis in the Marketing Strategy of Tommy Hilfiger
Fashion is valued at $3 trillion, and it has been growing continuously. Tommy Hilfiger has been taking advantage of this thriving ecosystem. The iconic design that the company has created is its name for its own. The major opponents include Ralph Lauren, Gucci, Gucci, and Carolina Herrera as well as Donna Karan, Giorgio Armani, and Giorgio Armani, among others.
However, fast fashion firms such as Forever21, Zara, and H&M have changed the rules in the fashion industry and are having a long-lasting impact on premium brands. But Tommy Hilfiger increased its business to 22 percent, which is $1.1 billion. The brand is flourishing due to collaboration with top-of-the-line celebrities.
Labels like American Apparel, Abercrombie, and Fitch are closing stores across the world due to weak sales. Coach as well as Ralph Lauren are facing plunging profits and are employing strategies to reduce discounts.
Tommy Hilfiger’s international sales reached $193 million more than its US sales. Tommy Hilfiger is amid an enormous amount of competition from fashion brands, and therefore should be innovative and keep up the marketing initiatives to help make its brand more attractive to customers.
Customer Analysis in the Marketing Strategy of Tommy Hilfiger
The brand has a diverse audience and targets younger consumers. It offers a line of children’s clothes as well as clothes specifically for older customers. According to Hilfiger that Hilfiger is keen for the company to remain young and trendy.
The latest partnership with Gigi Hadid has helped the brand gain access to her 30 million-plus followers and it was observed that it was able to achieve a two-digit increase in sales in the aftermath of the collaboration. The brand can find a new way to entertain and engage the younger generation of consumers around the globe and be their preferred fashion brand.
Promotion in the Marketing Strategy of Tommy Hilfiger
Tommy Hilfiger is a brand that follows an extremely rigorous approach to marketing and utilizes multiple channels for reaching out to the customers it wants to reach. clients and enjoys extremely prominent brand recognition. It utilizes newspaper advertisements, billboards, magazine advertisements, and more. to promote promotional purposes and uses famous personalities as brand ambassadors, such as Gigi Hadid.
An innovative promotion approach was launched that lets customers become brand ambassadors through the creation of a micro-community made up consisting of ambassadors. The brand also offers a variety of discounts and special offers during the holidays and offseasons.
Point-of-sale advertising is utilized effectively by the company by giving the store a preppy style. Stores are designed so that they reflect the cool and classic style of the American way of life. The store experience in virtual reality that was launched in 2015 was also an enormous success.
The customers could view the merchandise in 360 degrees on the first row, and immediately purchase the entire collection. Even though the collection was showcased only in select flagship stores. The brand also makes use of promotions on the internet to market its merchandise by sending email updates to customers informing customers about the latest offerings or special offers.
This is the Marketing Strategy of Tommy Hilfiger. Please let us know if you have additional suggestions to add.
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