H&M was founded in 1947 by Erling Persson, with the first shop operating in Västers,

Sweden. The business was initially called "Hennes," which is Swedish for "hers," since it
only sold women’s clothing at the time. It wasn't until 1968, when Persson bought the
hunting gear company Mauritz Widforss, that the company was rebranded Hennes & Mauritz
to reflect the brand's development into menswear. Shortly after merger and the company's
official rebranding as the shorter H&M, the firm began to expand gradually outside of
Sweden's borders. H&M is a Swedish global retail brand that puts its touch on the heart of
fashion's throbbing heart to uncover styles and trends that are accessible to even the most
fashionable people on a budget. The company's product range offers high-quality clothes and
accessories for men, women, teenagers, and children of all ages. H&M displays things
including such home decor and cosmetics cosmetics in addition to their main product lines to
allow buyers to widen their product selections. Their dedication to affordable yet appealing
apparels has helped them create a huge global fanbase and establish themselves as a
prominent player in the fashion industry.

Zara is a Spanish clothing store founded in Galicia which is one of the world's largest
fashion empires. It is also the main chain store of the Inditex corporation, the world's largest
clothing retailer, which was established in 1975 by Amancio Ortega. The apparel company
also owns Pull&Bear, Massimo Dutti, Bershka, Stradivarius, Oysho, Zara Home, and
Uterqüe. The company presently has 2,220 outlets in 88 countries. Zara has always been a
ready-to-wear trendsetter for decades, thanks to its very rapid supply chain. The customer is
at the heart of our one-of-a-kind business approach, which includes design, manufacture,
distribution, and sales via their extensive retail network.

2.0 Marketing Mix

2.1 Product

H&M 

H&M's approach for its products was focused on economies of scale and huge
production batches. As a result, over 80% of store content remained same globally, and shops
seemed pretty much identical regardless of whether the consumer was in Sweden or Taiwan.
However, the company made essential modifications on the ground. H&M conducted focus
groups in China to ascertain garment size and color preferences. Client demand specified the
product mix at local stores, which was impacted by previous season's sales, the store's
location, and size. Because high fashion apparel was produced in restricted quantities, it was
only available in big cities.

ZARA

Zara sells men's, women's, and children's clothing. Jeans, trousers, tops, skirts,
knitwear, T-shirts, shoes, purses, and accessories are included in the collection. These are all
components of Zara's product strategy. It is a one-stop shop for anyone in need of formal or
casual attire. Zara usually partners with emerging designers to bring you the hottest fashion
trends. The brand focuses on contemporary designs and ensures that its inventory is
constantly renewed for the benefit of its clients. Zara also offers a diverse selection of styles.
It introduces at least 10,000 new designs each year. Zara merchandise is popular with both
high-end fashionistas and the common people. The preferences of the target market have an
effect on the availability of a product line.  Zara is committed to environmental stewardship
and trash management. It recycles its hangers and security tags. Zara's items are packaged in
either biodegradable paper or plastic bags. Zara creates a number of its products utilizing
environmentally friendly materials such as organic cotton. These products feature a
distinctive and distinctive label that quickly identifies them.
2.2 Price

H&M

H&M is a retailer that offers high-end apparel at a premium price. H&M merchandise
are priced lower due to their lower manufacturing and transportation costs. When compared
to Zara, H&M has a larger assortment of goods. H&M items cost an average of $25, but Zara
items cost $45. High-quality items at considerably lower prices appeal to young people,
resulting in an increase in sales for the company.
H&M has established a pricing plan that includes a wider range of prices in order to
appeal to a wider range of customers and merchandisers. They have kept a major amount of
their goods in the discounted sector in terms of maintaining a median pricing strategy. Their
sales volume will continue to improve under this arrangement, resulting in increasing
revenue. Furthermore, the company offers a range of deals and discounts on both essential
and current goods. It is self-evident that the prices of these commodities were fair, and so the
firm could afford the reduced pricing. This also allows the organization to have a steady
supply of current and new fashions on hand. The company has been relentless in its quest of
cost cuts at every opportunity, and as a consequence, its average sales prices are far lower
than those of its competitors. Additionally, the company's management is advised to make
purchases at the lowest possible cost in order to keep overhead to a minimum. One of the
most important facts is that H&M has indeed been able to deliver high-quality items at lower
costs as a result of their philosophy of removing the intermediary function in all transactions.
Previously, this intermediary would profitably obtain and sell raw resources for the firm.
Following their departure, the company started ordering in bulk directly from the supplier.
This has resulted in lower cost prices, which has resulted in lower selling prices.

ZARA
 Zara's clothing is both trendy and reasonably priced. Zara delivers the latest fashion at
much lower prices than other global brands in all of its stores. Zara has a low-price strategy.
It could do so as it does not spend a lot of money on advertising and materials. In general, its
cost structure is cheaper than that of its competitors. Zara's prices vary per country. The firm
positions itself as a manufacturer of high-quality apparel at a reasonable price. Their products
are branded differently in each market. Zara develops a market-based pricing strategy that
determines the highest price a customer is willing to pay. The targeted pricing determines the
production budget. As a result, the profit margins obtained on each item are stabilized. This
sheds light on Zara's marketing mix pricing strategy. The brand advertises its goods using a
number of methods. Zara sells low-priced products all year and discount bargains of 50%
more than twice a year, which customers eagerly await.
2.3 Place

H&M

H&M sells its products in stores and through e-commerce, which are spread across
more than 50 countries and have over 4000 locations. H&M can be found in almost every
shopping complex regardless of whether it is just a mere complex or a high-end shopping
complex competing with other luxury brands.The items are manufactured in almost 800
factories in Asia and Europe.It also offers its products through online storefronts, where
clients may select items from their catalogs and pay with just a swipe of customers’ debit or
credit cards. The items will be delivered to their doorstep within a certain period of time
guaranteed by H&M. The products are manufactured in countries with inexpensive labor to
ensure the costs are being kept down. H&M has built an amazing supply network over the
years. The shipment is delivered right away, and operating costs are kept to a minimal level.

ZARA

With 2200 outlets in 88 countries, Zara reached the international market and is
globally known. Customers are able to  shop at Zara's online site or on its application. Zara's
competitive advantage stems from their extensive distribution network. It uses a special
business model to bring new trendy clothing to market as quickly as feasible. Based on the
store's sales information and client preferences, store managers send orders to headquarters
twice a week. Zara stores are mostly corporate-owned rather than franchised. This helps to
maintain a consistent Zara shopping experience no matter where you visit. The stores are
usually located in regions with high-end goods and have a broad, stylish appearance.

2.4 Promotion

H&M

H&M uses a multi-channel promotional strategy in its marketing mix since it has a
diverse product portfolio catering to various segments.There are a few promotion strategies
that H&M uses. For example, Youtube, TV advertisements, digital marketing, sponsorship
and promo codes and discounts. Just like other brands, H&M also has its own YouTube
channel, where it creates original advertising campaigns to engage customers. For TV
advertisements, H&M's advertising is creative and they are focusing on the brand's latest
inventive ideas. Each brand is in charge of its own marketing strategy. In order to raise
awareness, the commercials are aired at regular intervals and on networks that are mostly
watched by young people. In order to turn potential purchasers into customers, H&M uses a
digital marketing platform that engages in overzealous search engines and social media
marketing. H&M secured an agreement with The Weeknd and they also support The
Weeknd. Collaborative projects with high-end designers and fashion icons, collaborations
with celebrities from the entertainment and sporting worlds. Last but not least, the most
useful promotion strategy is promo codes and discounts. During the end-of-season sale,
promo codes and discounts are available. Discounts are available in both online and physical
locations.

ZARA

Unlike others, Zara does not spend too much money on advertising. Even its owner
never conducted a press conference before. Unlike other brands that become its competitors,
Zara does not have any engagement in any flamboyant campaigns. On the side note, Zara’s
outdoor advertising is very eye-catching because they only concentrate on the latest fashion
that these youngsters prefer. Rather than using expensive marketing tactics, Zara promotes
itself through word of mouth and social media. Zara has a massive social media following
which is 30 million Facebook fans and 45 million Instagram followers. Zara rather spends a
lot of dollars on high-end real estate and the interior design for their outlets across the world.
This brand believes that its storefronts are enough for advertising their brand. With that being
said, Zara does not require any other advertisement platform to sell its goods.

3.0 Opinion

H&M intends to appeal to a broader range of clothes customers by buying and

creating companies with distinct designs. Each H&M brand has its own price range and
aesthetic idea; for example, Collection of Style (COS) sells at a higher average price than
H&M's main product basket and caters to European markets. Monki, on the other hand, sells
apparel that is half the price of Collection of Style's and has designs that are comparable to
Collection of Style's.

Zara classifies the items sold in its stores between lower and upper clothing, with the
top garments having higher price points. Zara wants to be known as a high-end store with
reasonable costs. Its flagship stores, like the one on Fifth Avenue in New York City, are
carefully located in high-traffic areas across the world with high real estate expenses. Zara
does not place a high priority on advertising as part of their branding strategy.

4.0 Conclusion

Everything in the classic 4Ps marketing school is focused on the firm and the brand -
its Product, Price, Promotion, and Place. It's all about the customer in the new 4Es approach
to marketing — customer experiences, exchanges with customers, evangelism via customers,
and being Everywhere for customers. In effect, the client takes on the role of brand manager.
It's Zara's one-of-a-kind edge over its competitors, the most notable of which being H&M.
Zara considers client input to be its most significant brand asset, and it uses it to enhance its
products and services. Zara involves the client in the decision-making process, whereas H&M
makes decisions for them, much as designers used to dictate fashion trends to customers. The
consumer, on the other hand, now has the last say. Zara understands, but H&M still has to
learn.