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Communication process in H&M. Current situation and prospects

Essay 2016 8 Pages

Communications - Print Media, Press

Excerpt

Table of Contents

Introduction

Task One
1.1 In your report to the management of H&M, explain the communication process that applies to advertise and promote.
1.2 Within the background section of your report, provide a brief explanation of the organization in the advertising and promotions industry to the H&M management.
1.3 Assess how the promotion is regulated in the UK
1.4 Examine some current trends in advertising and promotions, including the impact of ICT. Relate this to the H&M.

Task two
2.1 Provide an explanation of the role that advertising could play in an integrated promotional strategy for the H&M.
2.2 Include an explanation of how branding could be used to strengthen a business such as the H&M. Include a definition of branding in this section of your report.
2.3 Identify and review the creative aspects of advertising in the context of H&M.
2.4 In your conclusion, examine and briefly explain the various ways of working with advertising agencies. Include at least three ways in your answer

Recommendations

Conclusions

References

Abstract

H&M is one of the most successful retailers acting on the territory of the United Kingdom. Its success is due in part on the quality of the products it offers and on the concept of its promotional, advertising activity and communication process, taking place in the company. Hence, the question posed in this assignment is to explain how the communication process applies to the advertisement and promotion in the company. As a consequence, an assessment of the regulation of advertisement in the UK has been made. Finally, several recommendations have taken place.

Key words: H&M, advertisement, promotion, regulations, branding, strengthening, business.

Introduction

In today’s world tools such as the advertising and promotion are basically used in order to inform potential customers about products, or services a particular company offers. To fulfill this motive, many strategies have been developed and practiced over the world. Moreover, in the digitalized society of today, it has become generally easier to carry out proper advertising and effective promotion. The importance and significance of promotional activities have also been investigated.

Task One

1.1 In your report to the management of H&M, explain the communication process that applies to advertise and promote.

In advertising and promotion there exist communication processes of various forms. In real business, the main function of the communication processes is to answer questions and to attract customers. In the case of H&M, the message sends to the customers is simple. It shows them the simplicity, affordability, and availability of the clothes of H&M to the wider audience.

H&M's is a retailer using multiple channels for promotions - mobile apps, high-street stores, online and social media. As seen from the media in the UK, the chain has the present marketing position " H&M’ physical stores are also located in the largest cities around the world. Its strategy is quite similar to ZARA’s; that is, H&M tries to let its customers have an image that it is a brand focusing on stylish designs with good quality at the affordable prices. In fact, H&M’s prices are lower than ZARA’s because it provides its products to all people who want to be fashionable without any scruple about the prices. H&M ’s mission is to make it possible for everyone to find his or her own dressing style in its collection (H&M, 2016)”.

1.2 Within the background section of your report, provide a brief explanation of the organization in the advertising and promotions industry to the H&M management.

The organization of advertising and promotion is done under a centralized system. In the fashion industry, most of the companies work with advertising and marketing managers, purchase and sales agents, as well as with financial staff members. In brief, one advertising agency is hired by the particular company in order to innovate their advertising efforts. Moreover, an additional type of organizations are the so-called specialized marketing communication services. Simply put, that type of organizations possess certain expertise in areas of advertising and promotion. For example, these are interactive agencies such as websites, companies dealing with public relations like Agenda, ABI, as well as agencies dealing with sales promotion. Last but not least, significant participants in that type of industries are the companies, providing collateral services; namely, artists, directors, printers, photographers, content writers, songwriters and self-employed freelancers (Kotler et al, 2005). Hence, all these organizations cooperate in the industry aiming to achieve a common goal – announcing the brand message to the audience of the company.

1.3 Assess how the promotion is regulated in the UK

Regulation of promotion in the United Kingdom strongly depends on the risk and the probable impact of it. Consequently, if a promotional campaign comprises high risk the company management should revise it or even withdraw it from any future campaigns (Bagwell, 2007). Moreover, regulations of that type may influence promotional campaigns comprising in misleading messages, lack of interpretation of the message, the inefficiency of web pages and the yield on promotional investments. However, in the case of H&M, the promotional approach was changed in the early years of the new century, focusing mainly on the promotion of the company’s luxury collections. Since then the mere promotional activity of the brand changes the regulatory directions in order to establish a new brand name. In April 2016, after revealing that their message has been heard and accepted by the public the company recruited new promotional agency (Adage.com, 2016).

1.4 Examine some current trends in advertising and promotions, including the impact of ICT. Relate this to the H&M.

Presumably, the current trend in advertising and promotion is associated with the introduction of technology so as to be capable of communicating the company’s message and to disperse it to the great audience. As shown by Bagwell (2007) in reality advertising is becoming more and more complex due to the number of new tendencies entering into it.

Another trend in the advertising and promotion is the integrated marketing communication, achieved by unifying all marketing communication messages and eventually sending them as a single one to the wider audience. Thus, the most significant characteristic of the advertisement is that it is a purposeful act, created intentionally and aiming to instill a reaction in large groups of the population (Adage.com, 2016).

In the case of H&M, the effect of the information and communication technology ( ICT) was crucial. The brand has an active web page, which launches some short videos in order to promote it. The use of apps and other types of interactive media has also proven to be a successful move.

Task two

2.1 Provide an explanation of the role that advertising could play in an integrated promotional strategy for the H&M.

Advertising plays an important role in any products or firms success. It is advertising that makes a product popular. Let us illustrate the global brand “H&M”. Because of the important role of advertising, H&M is now spending over 6 million dollars only on promotions.

The role of advertising in the integrated promotional strategy refers to the following:

- Traditional advertising. Showing advertisements on TV, on posters and billboards.
- Sponsoring of sport events
- Online promotion
- Selling H&M's collections.
- The local promotion held by retailers.
- H&M now also started to use technology to make animations or cartoon images to promote itself.

Basically, H&M strategy of integrated promotion proves the value of the role played by it for any business or product.

2.2 Include an explanation of how branding could be used to strengthen a business such as the H&M. Include a definition of branding in this section of your report.

Branding means creating trust with people concerned. In brief, referring the marketing terms branding is the total sum of the company’s value, inclusive of its products, services, people, advertising, positioning and culture (Kotler, 2010). Customers trust their preferred brand because they have the idea about what they are buying and what to expect. So creating strong branding is effective to influence clients.

Branding encourages confidence and trust. It influences not only customers but also shareholders, employees and other third parties. It increases company value and goodwill. Sometimes branding becomes so strong that even if the price increases, demand does not decrease.

Branding is reflected via a logo, name, and stripling. Actually, most people recognized them on the basis of these three. In reality, they also help in keeping the product or business apart and standing out from competitors, thereby creating more and permanent clients and augmenting the total value of the company.

2.3 Identify and review the creative aspects of advertising in the context of H&M.

One of the most essential facts connected with advertising is the creativity; creative messages often acquire greater attention and direct to positive approaches to the products. Hence, the ads that are highly-creative in their content often stimulate people to buy products and services. For example, if a person becomes mesmerized and moved by any advertisement the latter will influence him/her in a positive manner. What the advertiser needs to keep in mind is the fact that life is becoming more and more difficult and it is often difficult to mesmerize people with promotional campaigns. Simply put, this is where creativity is necessary to be achieved.

Nevertheless, three aspects are significant for the creation of mesmerizing advertisement. First is the creative process, able to capture the attention of the potential customers. Often, creative people having an enormous range of imagination attract other people. Second, the creative situation is what makes the imagination comes true. Third, the combination of these two aspects results in a well-known and characteristic advertisement (Adage.com, 2016).

2.4 In your conclusion, examine and briefly explain the various ways of working with advertising agencies. Include at least three ways in your answer

In summary, the proper ways to work with advertising agencies, include:

Flexibility

In today’s aggressive market, the company needs to be flexible in order to be able to achieve its goals. In the first place, why the help of an advertising agency was sought, needs to be remembered.

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Details

Pages
8
Year
2016
ISBN (eBook)
9783668789838
ISBN (Book)
9783668789845
Language
English
Catalog Number
v439164
Grade
5.00
Tags
H&M advertisement promotion regulations branding strengthening business.

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Title: Communication process in H&M. Current situation and prospects