Distribution Channels at Clothing Retailer Hennes & Mauritz
Distribution Channels at Clothing Retailer Hennes & Mauritz
A key section in selling success is the strength of a smart sets diffusion impart. Kerry Capells (2002) Business Week article looks at Sweden-based Hennes & Mauritzs (H&M) sourcing and inventory direction strategies and their reliance on distribution channel partners. H&M has developed a extraordinary distribution channel dodge to compete with better entrenched retailers including Gap, Old Navy, Zara and FCUK.
H&M ware Strategy
Understanding H&Ms distribution strategy requires a clear intellectual of their oerlap philosophy and strategy. Like Gap and other habiliment retailers, H&M foodstuffs to a particular segment of the bearing consumer market. H&Ms philosophy is Fashion and quality at the crush price (H&M, 2004). H&M keeps up with its competitors by providing a variety of styles from updated classics and demeanor basics to cutting-edge fashion trends (H&M, 2004).
Kotler defines the product as a combination of goods and services (Kotler et al, 2001). H&M seeks a product edge by providing affordable fashion lines similar to its competitors, but with a fast turnaround from practice to production to sales floor (Capell, 2002). Capell focused on this merged distribution channel in his article.
Distribution Channel Outline
Marketers a good deal put forward to the fourth P, place, as placement, logistics or distribution. Marketers must create a place or a way for logistics and physical actors line to get a product to market and into the hands of scrape consumers (McColl-Kennedy and Kiel, 2003). A distribution channel refers to the type of intermediary or linkage amidst manufacturing businesss and consumers. A one-channel distribution network involves only the retailer between producer and consumer. Direct distribution occurs when the producer directly supplies the product to the buyer. The choice of distribution