Marketing Case 10 Alshaya Essay Example

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ALSHAYA: The House of Brands

  1. The H&M Store

Core product benefits

The H&M store, known for its wide variety of fast fashion outfits for men, ladies, teenagers and children has been in operation since the opening of its first outlet in Sweden in 1947. It has since opened over 4,000 stores in more than 62 countries. The choice of its brands has made it the second largest global clothing retailer. Consumers of the products have benefited from this brand in many different ways including the availability of the products whenever clients need them. This has been made better by the fact that the store has many outlets in many countries, making their products easily accessible.

Actual product benefits

Being basically a fashion outlet, H&M stores has provided its customers with a wide variety of products to choose from. Their continued partnership with various famous designers has given it an edge above similar retail outlets. This has kept customers coming for new designer clothes. This, coupled with the wide reach it enjoys, makes easy for consumers to access their products considering the do not have to travel for long distances to purchase the products. The increased collaboration with a wide variety of fashion designers has made their stores have the latest designs, some which end up being sold out in a matter of hours. This shows how well customers relate with the products offered by M&H stores.

Augmented product benefits

The H&M chain of stores is arguably the biggest outlet stores of the Alshaya Group. It presence across five continents makes it easily available to consumers. It has furthermore ridden on the capabilities of the Alshaya group to make it even more reachable. It has also increased the variety of products that it stocks. Starting as a clothing retailer, H&M has grown to stock other products ranging from shoes to handbags. It has achieved this through the continued partnerships with various designers across the globe.

  1. The Sources Of Equity For H&M Stores

The David Aerker’s brand equity model identifies five brand equity components which include:

  1. Brand Loyalty

Since its inception in the late 1940s, H&M has over the years embarked on a mission to keep their customers satisfied through various initiatives and incentives. This has cultivated a culture of loyalty among its customers and thus they keep coming to their stores.

  1. Brand Awareness

The store has opened its doors in over three continents with over four thousand outlets. Coupled with aggressive advertisements run on the media, H&M has managed to reach many customers while at the same time retaining the ones already acquired. They have also used the faces of celebrities like Beyonce, to market their products. This has made it easy for consumers to identify with their products.

  1. Perceived Quality

H&M has managed to portray itself as the house of quality, stocking clothing from most of the world’s renowned designers. Customers walking in their stores have been made to believe that they are buying quality. This is especially vital because customers are attracted to quality goods, with the mindset that ‘cheap is expensive’.

  1. Brand Associations

This chain of stores has over the years associated with world renowned designers to provide them with the cloths they design. Some of these designer clothes have even been sold out in a matter of hours, especially in localities where people are fashion conscious. Furthermore, its association with Alshaya Group helped increase its sales.

  1. Other Proprietary Assets

The retail store had by 2012 raised more than one million dollars through its partnership program with UNICEF. Furthermore, H&M is committed to propagate an economy with no wastes by announcing that it will award a million Euros to advance recycling technology


  1. Blue Carreon (2011). «Marni for H&M Collaboration for Spring 2012». Forbes.

  2. Aaker, D.A. (1991), Managing brand Equity; Capitalizing on the Value of a Brand Name. The Free Press, New York, N.Y.

  3. Bergin, Olivia (2012). Anna Dello Russo to design an accessories range for H&M. The Daily Telegraph. London

  4. Hendriksz, Vivian (2015). H&M preparing to launch new ‘mystery’ label. Fashion United. Retrieved August 18, 2016.

  5. Harriet, W. (2012). Cos: Thoroughly modern minimalism – Features – Fashion. London: The Independent. Retrieved 18 August 2016.