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UNIQLO

by Unknown
Author is
1.MICROENVIRONMENT. licensed under

THE COMPANY:

-UNIQLO’S BRAND MESSAGE ENCAPSULATES A CLEAR VISION: “UNIQLO IS A MODERN


JAPANESE COMPANY THAT INSPIRES THE WORLD TO DRESS CASUAL ”. THE CORPORATE
STRATEGY THAT HAS WORKED FOR UNIQLO SO FAR IS TO “TOTALLY IGNORE FASHION”
INSTEAD OF CHASING FAST-FASHION TRENDS LIKE ITS OTHER COMPETITORS. THE BRAND
PHILOSOPHY “MADE FOR ALL” POSITIONS ITS CLOTHING TO TRANSCEND AGE, GENDER,
ETHNICITY AND ALL OTHER WAYS TO DEFINE PEOPLE. CONTRARY TO ITS NAME “UNIQLO”,
ITS CLOTHES ARE SIMPLE, ESSENTIAL YET UNIVERSAL, ENABLING THE WEARERS TO BLEND
THEM WITH THEIR INDIVIDUALISTIC STYLE.

-THIS DESIGN DRIVEN CLOTHING BRAND OFFERS UNIQUE FUNCTIONAL PERFORMANCE


OWING TO IN-HOUSE FABRIC AND DESIGN INNOVATION. THE COMPANY DISTINGUISHES
ITSELF FROM ITS PRICE DRIVEN COMPETITORS BY BRANDING ITS SIGNATURE INNOVATIONS
WITH NAMES LIKE HEATTECH, LIFEWEAR AND AIRISM. UNIQLO PROVIDES A SUPERLATIVE
PHYSICAL SHOPPING EXPERIENCE BY IMPECCABLY MANAGING ITS STORES, INCULCATING A
POSITIVE EMPLOYEE CULTURE AND THROUGH IN-STORE TECHNOLOGY LIKE VIDEO
TUTORIALS THAT DESCRIBE PRODUCT ATTRIBUTES

-DELIVERY SYSTEM SUPPORTING A CLEAR BRAND PROMISE: UNIQLO HAS INDEED


MANAGED TO SUCCESSFULLY DEFINE A CLEAR BRAND PROMISE FOR ITSELF TO PROVIDE
HIGH QUALITY, PERFORMANCE-ENHANCED, UNIVERSAL, BASIC CASUAL WEAR AT
AFFORDABLE PRICES. ON THE OTHER HAND, IT HAS ALSO CREATED A STRONG DELIVERY
SYSTEM TO DELIVER ON THIS BRAND PROMISE.

-PRODUCT DEVELOPMENT APPROACH AND EFFICIENT SUPPLY CHAIN: THE BRAND’S


APPROACH TO MAKING APPAREL HAS MORE IN COMMON WITH THE ITERATIVE APPROACH
TO PRODUCT DEVELOPMENT EMBRACED BY THE TECHNOLOGY INDUSTRY THAN THE
CYCLICAL, TREND-DRIVEN RHYTHM OF THE FAST FASHION RETAIL INDUSTRY. THE
COMPANY ALSO RUNS A HIGHLY ROBUST SUPPLY CHAIN. ONCE A GARMENT IS IN
PRODUCTION, ABOUT 400 SKILLED STAFF MEMBERS VISIT PRODUCTION CENTERS TO
ENSURE QUALITY AND RESOLVE OUTSTANDING ISSUES.THE UNIQLO GLOBAL PRODUCTION
CENTERS ARE LOCATED IN SHANGHAI, HO CHI MINH CITY, DHAKA, JAKARTA AND
ISTANBUL.

-COMPANY CULTURE AND VISIONARY LEADERSHIP:

UNIQLO’S FOCUS ON TEAMWORK IS DEMONSTRATED THROUGH ITS FLAT ORGANIZATIONAL


STRUCTURE WITH EMPLOYEES GREATLY ENCOURAGED TO PROVIDE SUGGESTIONS. STAFF
TRAINING IS A HUGE PRIORITY FOR THE COMPANY AS EACH NEW EMPLOYEE IS TRAINED
FOR A REMARKABLE 3 MONTHS – WAY ABOVE GLOBAL INDUSTRY AVERAGE.  IN 2000, THE
COMPANY BUILT A UNIQLO UNIVERSITY IN TOKYO IN WHICH 1,500 NEW STORE MANAGERS
ARE TRAINED EVERY YEAR. THE UNIQLO CUSTOMER CENTER ALSO USES CUSTOMER
FEEDBACK TO CONSTANTLY IMPROVE ITS PRODUCTS.

-HIGH DEDICATION TO INNOVATION: THE BRAND IS WELL-KNOWN FOR ITS FABRIC


INNOVATIONS. THE COMPANY ALSO HIRES JAPANESE TEXTILE MASTERS CALLED “TAKUMI”,
WHO WORK CLOSELY WITH FACTORIES IN CHINA AND JAPAN TO CONTINUALLY DEVELOP
NEW HIGH-TECH FABRICS FOR UNIQLO.

HTTPS://MARTINROLL.COM/RESOURCES/ARTICLES/STRATEGY/UNIQLO-THE-STRATEGY-
BEHIND-THE-GLOBAL-JAPANESE-FAST-FASHION-RETAIL-BRAND/

2. MACROENVIRONMENT:

DEMOGRAPHIC:

- THE MAIN TARGET MARKET OF UNIQLO IS THE MALE AND FEMALE ADULTS THAT ARE
RANGING FROM THE AGE 18 TO 40 AND ARE LOOKING FOR AFFORDABLE AND HIGH-
QUALITY CLOTHING THAT FITS THEIR LIFESTYLES. IT TARGETS THE PEOPLE WHO ARE
LOOKING FOR TRENDY CLOTHES WHICH ARE CASUAL AND LAIDBACK. UNIQLO APPARELS
ARE NOT ONLY LIMITED TO HIGHER INCOME PEOPLE. THE GOOD QUALITY AND
AFFORDABILITY INDICATE THE GOOD VALUE FOR CONSUMERS. THIS STRATEGY HAS
BROADENED THE TARGET MARKET  BECAUSE ALL THE CONSUMERS ARE LOOKING FOR
QUALITY CLOTHES WHICH ARE YET AFFORDABLE.
HTTPS://WWW.MARKETING91.COM/MARKETING-STRATEGY-OF-UNIQLO/
3.SWOT

STRENGTH:

OUTSOURCING

UNIQLO FOLLOWS THE EFFECTIVE OPERATIONAL STRATEGY OF OUTSOURCING THE


MANUFACTURING WORK FROM CHINA AND OTHER ASIAN COUNTRIES. IT HAS ALLOWED
THE COMPANY TO TAKE ADVANTAGE OF THE CHEAP LABOR AND ACHIEVE COST
EFFICIENCY.

GLOBAL BRAND

ACCORDING TO AN ESTIMATE, UNIQLO HAS GOT APPROXIMATELY MORE


THAN 2252 STORES IN OVER 17THCOUNTRIES WORLDWIDE. SOME OF THOSE COUNTRIES
ARE THE USA, UK, SPAIN, SINGAPORE, SOUTH
KOREA, MALAYSIA, INDONESIA, INDIA, GERMANY, FRANCE, CHINA, CANADA, BANGLADESH, 
AUSTRALIA, AND MANY OTHERS.

DISCOUNTED PRICE

THE SMART OPERATIONAL STRATEGIES HELP UNIQLO TO REDUCE THE SUPPLY CHAIN AND
OTHER OPERATIONAL COSTS. THE COST EFFICIENCY MAKES IT POSSIBLE FOR THE
COMPANY TO PROVIDE DISCOUNTS TO THE CUSTOMERS. IT’S BENEFICIAL BOTH FOR THE
CUSTOMERS AND THE COMPANY.

BRAND VALUE

ACCORDING TO AN ESTIMATE BY  FORBES, THE BRAND VALUE OF UNIQLO IN 2020


WAS 9.2 BILLION DOLLARS. THE CLOTHING BRAND RANKED AT THE  84TH POSITION OF THE
WORLD’S MOST VALUABLE BRAND IN 2020.

DELIVERY SYSTEM SUPPORTING A CLEAR BRAND PROMISE: UNIQLO HAS INDEED MANAGED
TO SUCCESSFULLY DEFINE A CLEAR BRAND PROMISE FOR ITSELF TO PROVIDE HIGH
QUALITY, PERFORMANCE-ENHANCED, UNIVERSAL, BASIC CASUAL WEAR AT AFFORDABLE
PRICES. ON THE OTHER HAND, IT HAS ALSO CREATED A STRONG DELIVERY SYSTEM TO
DELIVER ON THIS BRAND PROMISE.

-PRODUCT DEVELOPMENT APPROACH AND EFFICIENT SUPPLY CHAIN: THE BRAND’S


APPROACH TO MAKING APPAREL HAS MORE IN COMMON WITH THE ITERATIVE APPROACH
TO PRODUCT DEVELOPMENT EMBRACED BY THE TECHNOLOGY INDUSTRY THAN THE
CYCLICAL, TREND-DRIVEN RHYTHM OF THE FAST FASHION RETAIL INDUSTRY. THE
COMPANY ALSO RUNS A HIGHLY ROBUST SUPPLY CHAIN. ONCE A GARMENT IS IN
PRODUCTION, ABOUT 400 SKILLED STAFF MEMBERS VISIT PRODUCTION CENTERS TO
ENSURE QUALITY AND RESOLVE OUTSTANDING ISSUES.THE UNIQLO GLOBAL PRODUCTION
CENTERS ARE LOCATED IN SHANGHAI, HO CHI MINH CITY, DHAKA, JAKARTA AND
ISTANBUL.

-COMPANY CULTURE AND VISIONARY LEADERSHIP:

UNIQLO’S FOCUS ON TEAMWORK IS DEMONSTRATED THROUGH ITS FLAT ORGANIZATIONAL


STRUCTURE WITH EMPLOYEES GREATLY ENCOURAGED TO PROVIDE SUGGESTIONS. STAFF
TRAINING IS A HUGE PRIORITY FOR THE COMPANY AS EACH NEW EMPLOYEE IS TRAINED
FOR A REMARKABLE 3 MONTHS – WAY ABOVE GLOBAL INDUSTRY AVERAGE.  IN 2000, THE
COMPANY BUILT A UNIQLO UNIVERSITY IN TOKYO IN WHICH 1,500 NEW STORE MANAGERS
ARE TRAINED EVERY YEAR. THE UNIQLO CUSTOMER CENTER ALSO USES CUSTOMER
FEEDBACK TO CONSTANTLY IMPROVE ITS PRODUCTS.

-HIGH DEDICATION TO INNOVATION: THE BRAND IS WELL-KNOWN FOR ITS FABRIC


INNOVATIONS. THE COMPANY ALSO HIRES JAPANESE TEXTILE MASTERS CALLED “TAKUMI”,
WHO WORK CLOSELY WITH FACTORIES IN CHINA AND JAPAN TO CONTINUALLY DEVELOP
NEW HIGH-TECH FABRICS FOR UNIQLO. UNIQLO HAS ESTABLISHED THE REPUTATION AS
ONE OF THE WORLD’S MOST INNOVATIVE BRANDS IN THE CLOTHING AND APPAREL
INDUSTRY. WHETHER IT’S SPORTSWEAR, LIFE WEAR, STRETCHED FABRIC, AIRISM, OR HEAT
TECH FABRIC WHICH CONVERTS MOISTURE INTO HEAT, SUCH FEATURES HAVE ALLOWED
THE COMPANY TO DIFFERENTIATE ITS APPAREL FROM COMPETITORS.

HTTPS://MARTINROLL.COM/RESOURCES/ARTICLES/STRATEGY/UNIQLO-THE-STRATEGY-
BEHIND-THE-GLOBAL-JAPANESE-FAST-FASHION-RETAIL-BRAND/

HTTPS://SWOTANDPESTLEANALYSIS.COM/SWOT-ANALYSIS-OF-UNIQLO/

4. STDP

SEGMENTATION:

UNDER GEOGRAPHIC SEGMENTATION, IT TARGETS THE URBAN AND SUBURBAN


POPULATION. UNDER DEMOGRAPHIC SEGMENTATION, IT TARGETS ALL THE AGE
CATEGORIES AND BOTH THE GENDERS.
PEOPLE WITH LOW AND MIDDLE INCOME ARE MOSTLY TARGETED.  
UNDER PSYCHOGRAPHIC SEGMENTATION, TARGETS THE SOCIAL CLASS WHO ARE
WORKING, MIDDLE AND UPPER MIDDLE CLASS.

HTTPS://MARTINROLL.COM/RESOURCES/ARTICLES/STRATEGY/UNIQLO-THE-STRATEGY-
BEHIND-THE-GLOBAL-JAPANESE-FAST-FASHION-RETAIL-BRAND/

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