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NATIONAL ECONOMICS UNIVERSITY

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REPORT
PRINCIPLES OF MARKETING

Topic: Marketing strategy of Dior France

Class: International Business Management 64D


Lecturer:

Student name – Student ID:

Nguyễn Đức Hiếu – 11224413 Nguyễn Chính Minh – 11224228


Nguyễn Thành Hiếu– 11222336 Phạm Hồng Anh Đức – 11221399
Đỗ Hải Phong– 11225088 Nguyễn Minh Đức - 11221378
Phạm Trung Kiên – 11223169

HÀ NỘI – 2024
PHIẾU ĐÁNH GIÁ HOẠT ĐỘNG NHÓM

Stt Tên thành MSV Công việc chi tiết thực hiện Điểm đánh
viên (Cú pháp: Giai đoạn / Công giá của
việc cá nhân) nhóm
(%/100%)
1
2
3
4
5
6
Tổng 100%

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CONTENTS
CONTENTS.............................................................................................................................................2
OPENING STATEMENT.......................................................................................................................4
INTRODUCTION...................................................................................................................................5
A. THE MICROENVIRONMENT.........................................................................................................9
1. Customers....................................................................................................................................9
2. Suppliers......................................................................................................................................9
3. New Entrants................................................................................................................................9
4. Substitutes..................................................................................................................................10
5. Competitors................................................................................................................................10
B. THE MACROENVIRONMENT ( PESTEL ANALYSIS ).............................................................11
1. Political......................................................................................................................................11
2. Economic...................................................................................................................................11
3. Social.........................................................................................................................................12
4. Technological.............................................................................................................................13
5. Environmental............................................................................................................................13
6. Legal..........................................................................................................................................14
C. MARKETING 4PS...........................................................................................................................14
1. Products.....................................................................................................................................14
1.1 Product Diversity:....................................................................................................................14
1.2. High-end Service:...................................................................................................................16
2. Price...........................................................................................................................................17
3. Place...........................................................................................................................................17
4. Promotion:.................................................................................................................................19
D. SWOT ANALYSIS OF DIOR..........................................................................................................21
1. Strenght:.....................................................................................................................................21
2. Weakness:..................................................................................................................................22
3. Opportunity:...............................................................................................................................22
4. Threat:........................................................................................................................................23
E. SUGGESSION..................................................................................................................................23
1. Technology................................................................................................................................23
2. Socially......................................................................................................................................24
REFERENCE.........................................................................................................................................25

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OPENING STATEMENT

Step into a world where beauty takes on new dimensions, where fashion becomes an art form, and
where elegance reigns supreme. Welcome to the mesmerizing realm of Dior, an iconic French fashion
house that has shaped the very essence of haute couture since its inception in 1946. With its rich
heritage and unwavering commitment to excellence, Dior has become a beacon of inspiration, a
symbol of sophistication, and a testament to the transformative power of style.

From Christian Dior's groundbreaking 'New Look' that revolutionized post-war fashion to the
modern-day creations that grace runways and red carpets, Dior has consistently pushed the boundaries
of design, redefining the realms of possibility and enchanting audiences with its extraordinary vision.
Each collection tells a story, weaving together elements of history, culture, and the boundless
imagination of its creative directors.

At the heart of Dior's allure lies its unparalleled craftsmanship. Behind every meticulously tailored
garment and every handcrafted accessory lies the skill and dedication of the brand's artisans. For
them, precision is an art, and every stitch, every bead, and every embellishment is an expression of
their unwavering commitment to perfection. It is this dedication to detail that elevates Dior's creations
to the realm of wearable masterpieces.

Yet, Dior is not merely a purveyor of fashion; it is an emblem of timeless elegance and enduring style.
From its iconic Lady Dior handbag, adorned with the celebrated cannage stitching, to its exquisite
J'adore perfume, which encapsulates the essence of femininity, Dior's offerings extend far beyond the
realm of clothing. The brand has seamlessly expanded into accessories, fragrances, cosmetics, and
even luxury home goods, captivating hearts and captivating imaginations with every carefully curated
creation.

But Dior's impact extends beyond the realm of fashion and luxury. It is a brand that embraces
responsibility and champions social causes. From initiatives supporting women's empowerment and
education to its commitment to sustainable practices, Dior strives to make a positive impact on the
world, ensuring that its legacy goes beyond the realm of mere aesthetics.

Today, as Dior continues to push the boundaries of creativity and innovation, it remains a beacon of
inspiration for designers, artists, and fashion enthusiasts around the globe. Its iconic designs have
graced the bodies of royalty, celebrities, and countless individuals who seek to embody the essence of
grace and sophistication. Dior has become a symbol of aspiration, an emblem of elegance, and a
testament to the enduring power of fashion to transcend time.

So, join us as we delve into the enchanting world of Dior, where dreams are transformed into reality,
where imagination knows no bounds, and where the pursuit of beauty takes on new meaning. Prepare
to be captivated, for Dior is not simply a fashion house; it is an artistic journey that invites you to
explore the very essence of style, grace, and the transformative power of fashion.

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INTRODUCTION

Christian Dior: Early Life and Formative Years


Born on January 21, 1905, in Granville, France, Christian Dior grew up in an environment steeped in
artistic inspiration. His family's background in the fertilizer business initially shaped his career
expectations, but his passion for art and design steered him in a different direction.
From a young age, Dior exhibited a penchant for sketching and design, and his artistic inclinations led
him to pursue studies in political science. However, his burgeoning interest in fashion ultimately
propelled him toward a different career trajectory.

Entrance into the Fashion Sphere


In the 1930s, Dior commenced his professional journey by selling fashion sketches to various couture
houses. His talent quickly garnered attention, and he secured positions working alongside established
designers, honing his craft and absorbing the intricacies of haute couture.

The Groundbreaking "New Look"


The turning point in Dior's career arrived in 1947 with the unveiling of his revolutionary "New Look"
collection. This collection, characterized by lavish fabrics, accentuated waists, voluminous skirts, and
a return to opulence after the austerity of wartime fashion, captured the essence of post-war
rejuvenation. It became an instant sensation, redefining women's fashion and establishing Dior as a
trailblazer.

Establishment of the House of Dior


After the tremendous triumph of his iconic "New Look" collection in 1947, Christian Dior set out on a
mission to establish his lasting influence in the realm of fashion through the establishment of his
namesake fashion empire. With the support of Marcel Boussac, he inaugurated the House of Dior,
situating it at the esteemed address of 30 Avenue Montaigne in Paris. This prestigious location swiftly
became synonymous with opulence, refinement, and the pinnacle of haute couture.

Dior's vision sought to redefine the concept of femininity in the post-war era, presenting designs that
celebrated lavishness and refinement. The atelier, which served as the creative nucleus of the fashion
house, became the birthplace where skilled artisans fastidiously brought Dior's visionary concepts to
life. Through their collaborative efforts, they crafted garments that embodied the epitome of luxury

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and elegance.

The House of Dior's renown transcended geographical boundaries, captivating a diverse clientele that
encompassed both royalty and celebrities. Its sophisticated designs solidified its position as a symbol
of prestige, prompting the brand's expansion on an international scale, with the establishment of
boutiques in prominent fashion capitals like Milan, New York, and London.

The establishment of the House of Dior set an unparalleled standard for excellence in haute couture,
firmly establishing the brand's guiding principles and philosophy. Christian Dior's unwavering
dedication to innovation and impeccable craftsmanship continues to serve as an inspiration for
designers, marking the inception of a legacy that has spanned across generations. This pivotal moment
paved the way for the brand's enduring influence and the creation of iconic milestones and
groundbreaking innovations within the realm of fashion.

Christian Dior Haute Couture: A Testament to Mr. Dior's Legacy


Christian Dior's enduring legacy finds its most exquisite expression in the realm of haute couture.
These meticulously crafted creations stand as a testament to his unwavering pursuit of elegance,
innovation, and artistic expression.
The House of Dior's haute couture epitomizes the very essence of Mr. Dior's vision. Each garment,
painstakingly brought to life within the atelier, bears the hallmark of his ethos—exquisite fabrics,
precise tailoring, and visionary designs. These creations are not merely fashion; they encapsulate an
enduring legacy of craftsmanship and sophistication.
Mr. Dior's commitment to preserving the artistry of couture is reflected in every stitch and fold. The
brand's runway spectacles serve as a canvas where his vision comes to life, intertwining fashion with
art in a symphony of elegance.

Furthermore, in the present day, Dior's runway presentations persist in paying homage to and
reimagining the enduring heritage left by Mr. Dior. These shows capture the very essence of his
original creations, while simultaneously imbuing them with a modern sensibility, resulting in a
seamless fusion of tradition and contemporary ingenuity. Christian Dior's commitment to haute
couture established a legacy that surpasses the confines of time. His meticulous focus on intricacy, his
spirit of innovation, and his unwavering pursuit of beauty continue to shape the realm of Dior's haute
couture, ensuring that his influence remains forever interwoven into the very fabric of the fashion
world.

Evolution into eyewear

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During the late 1960s, the House of Dior embarked on an expansion of its esteemed haute couture
lineage by venturing into the realm of eyewear, giving rise to Dior Eyewear. This strategic move
aimed to infuse sunglasses and optical frames with the brand's signature attributes of elegance, style,
and craftsmanship.

Dior Eyewear swiftly garnered acclaim for its fashion-forward designs that mirrored the aesthetics
seen on the brand's iconic runways. These frames transformed eyewear into highly coveted fashion
accessories, incorporating distinctive elements from Dior's renowned couture collections. Each pair of
Dior sunglasses and optical frames exemplifies meticulous attention to detail, employing premium
materials and precise engineering to ensure both style and durability.

Remaining dedicated to its commitment to craftsmanship, Dior Eyewear has sustained its prominence
by continuously innovating with new designs, materials, and technologies, all while staying true to the
brand's heritage of sophistication and excellence. The introduction of Dior Eyewear marked a
seamless fusion of fashion and vision, expanding the brand's legacy to redefine eyewear as a symbol
of style and luxury.

Dior's Milestones and Innovations

During the 1950s, Dior's impact resonated worldwide, cementing his position as a fashion authority.
He introduced legendary silhouettes such as the "H-Line" and the "A-Line," revolutionizing the
fashion landscape and establishing enduring benchmarks for grace and refinement.
In addition to his contributions to clothing, Dior ventured into the realm of perfumery, unveiling the
iconic fragrance "Miss Dior" in 1947. This venture into the world of scents marked the inception of a
legacy that expanded to encompass timeless fragrances like "Diorissimo" and the beloved classic,
"J'adore."

Legacy and Enduring Impact

Regrettably, Christian Dior's extraordinary odyssey was tragically curtailed on October 24, 1957, at
the age of 52. Nonetheless, his enduring legacy persevered, leaving an indelible mark on future
generations of designers and profoundly shaping the ethos of the House of Dior.

Successive creative directors of the brand, including Yves Saint Laurent, John Galliano, Raf Simons,
and Maria Grazia Chiuri, each infused their distinctive creative touch while paying homage to Dior's
rich heritage. They upheld the brand's essence by seamlessly blending tradition with contemporary
innovation, ensuring that Christian Dior's essence and spirit continue to thrive within the house.

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Yves Saint Laurent, John Galliano, Raf Simons, and Maria Grazia Chiuri (from left to right)
Christian Dior's indelible impact on the fashion universe remains immeasurable. His ability to
transform post-war fashion and redefine femininity in design left an indelible mark, paving the way
for future generations of designers. His legacy endures not only through his iconic creations but also
through the everlasting influence he wielded over the fashion landscape.

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A. THE MICROENVIRONMENT

1. Customers
The buyers have weak bargaining power in the case of Christian Dior. The company is product
oriented, rather than market oriented. It produces high end, luxury products, and has its own customer
base who buys the product despite the high prices. The loyal customer will buy the product no matter
how much higher the prices will be. This makes the brand stand one out and weakens the bargaining
power of the consumers. However, in this switching cost does not make a big difference, but
consumers run towards differentiated products. The brand is mostly famous in its bags and
accessories or fragrances.
Example:

Miss Dior Perfume: One of the earliest examples of Dior’s product-oriented approach is the launch
of the Miss Dior perfume alongside the brand’s first collection. Christian Dior managed to convince
his customers that they weren’t fully dressed without a puff of fragrance. Despite the high price, the
perfume became a must-have accessory for many, demonstrating the weak bargaining power of
consumers.

2. Suppliers
Dior’s suppliers are crucial in its micro-environment. The company sources high-quality materials for
its products from various suppliers, maintaining strong relationships to ensure the best quality.
Dior, a leading luxury fashion brand from France, has a vast supplier network to ensure high product
quality. Dior carefully selects premium materials from around the world. For example, Dior uses
leather from Italy, silk from Japan, and wool from England. Dior is part of the LVMH group, the
world's largest luxury conglomerate. This allows Dior to access a wide network of suppliers and raw
materials.
Example: The Lady Dior handbag is crafted from premium Italian leather, providing softness,
durability, and a luxurious appearance. Its distinctive design features hand-embroidered Dior
"Cannage" stitching, creating a unique and unmistakable beauty.

3. New Entrants
In the Porter’s Five Forces Analysis of Dior, the threat of new entrants is considered low. The high-
end luxury fashion industry is highly saturated with several established brands that have already

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developed brand loyalty among their customers. Moreover, these luxury houses, including Dior, have
created customer loyalty over the decades and consumers already have allegiances. Therefore, it is
unlikely that a new firm will be able to enter the industry and pose a significant threat to Dior.
However, there are several new luxury fashion brands that are making a significant impact in the
industry:
Rains: Rains is a designer lifestyle brand. Its collections blend a conceptual-meets-functional design
approach, a strong urban inspiration, and a signature fabric identity.
Luca Faloni: Luca Faloni first and foremost is a designer name that focuses on the quality and
longevity of a garment.
Isa Boulder: Isa Boulder is one of the 14 brands recommended to keep an eye on
Telfar: Telfar is among the best fashion and style companies of the year.
These brands are gaining recognition for their unique designs and high-quality products. Substitutes

4. Substitutes
Dior Perfume: Dior perfume is one of the most famous products of this brand. However, there are
many other perfume brands that also offer similar fragrances with equivalent or even better quality.
For example, Miss Dior perfume can be replaced by Chanel No 5 Eau de Parfum from Chanel or
Black Opium from Yves Saint Laurent.
Dior Handbags: Dior handbags are a symbol of luxury and sophistication. However, there are many
other handbag brands that also offer similar models at more affordable prices. For example, the Book
Tote from Dior can be replaced by handbags from Marc Jacobs or Gucci.
Dior Apparel: Dior is one of the world’s leading fashion brands with many famous collections.
However, there are many other fashion brands that also offer similar clothing models with equivalent
or even better quality. For example, clothing models from Dior can be replaced by clothing models
from Chanel or Louis Vuitton.

5. Competitors
There are many rivals in the industry who are dealing in luxury items like Channel, Louis Vuitton,
Herms, Gucci, etc. The fashion industry is highly saturated, and every competitor is involved in
producing the unique product to gain the market attention. Christian Dior is working its best by
attracting different consumers geographically. This helps the brand in increasing the consumer base.
However, Christian Dior is one of the leading brands in the industry because of its talented managers.
The company is involved in producing differentiated products and capturing the market. Its new and
limited edition sold out really quickly.
Example: The rivalry among existing players in the luxury fashion industry is intense. Christian Dior,
being a prominent player in this industry, faces competition from several well-established brands.
Here are some of the main competitors of Dior:
 Chanel: Chanel is a high-end fashion brand known for its haute couture, luxury goods, and
fashion accessories. Chanel is often associated with its iconoclastic approach and exclusivity,
focusing on cutting-edge, ready-to-wear apparel that draws inspiration from menswear. On
the other hand, Dior is celebrated for its accessibility and romantic designs, preserving
femininity through its fashion lines

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 Gucci: Gucci is well-known for its fashion accessories, leather goods, and ready-to-wear
collections. The brand has introduced a modern angle to the fashion world and is recognized
internationally as one of the highest-selling Italian fashion brands. Gucci has been a dominant
force online, but recently, Dior overtook Gucci as the world’s most popular luxury brand
online as Gucci’s share of search interest dropped from 22.34% in 2019 to 13.4% in 2023

B. THE MACROENVIRONMENT ( PESTEL ANALYSIS )

1. Political
In France, local governments hold significant sway in policy making and regulations, diverging from
the typical structure in many other nations. For Dior, this means adhering closely to the regulations of
the states and territories where it operates rather than implementing uniform nationwide policies.
Fortunately, despite potential disruptions in the business environment due to armed conflicts or
political instability, France faces no immediate threats, allowing Dior to draw from its experience in
navigating challenging operational circumstances.
However, the involvement of various stakeholders such as non-governmental organizations, protest
groups, and activist movements remains crucial in shaping policies. Collaboration with these entities
not only aligns with community goals but also serves Dior's corporate objectives. For example,
Solidarite Formation Mediation (SFM) is an NGO that is working on facilitating the integration into
society of people who face difficulties from an early age to adulthood. The goal of SFM is to develop
people’s autonomy as citizens through access to knowledge, such as knowledge of the environment
and the French language, and access to social and administrative rights.While France's governance
system has remained stable over time, potential shifts in leadership could introduce divergent policy
trajectories, necessitating vigilant monitoring by Dior to anticipate industry-wide government
priorities.
Additionally, the company has benefited from favorable taxation policies across the Western
Hemisphere, contributing to its profitability and investment in research and development. Yet, rising
inequality may prompt changes in taxation policies, while local governments explore sector-specific
taxation measures to mitigate the carbon footprint of the Consumer Cyclical industry.

2. Economic
Increasing trade liberalization in France can open up new investment opportunities for Dior, allowing

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the company to expand into regions previously inaccessible. However, government intervention in the
Consumer Cyclical sector, especially in the Apparel/Accessories industry, can significantly affect
Dior's prospects within France. Additionally, the easy availability of money in the market post the
2018 recession may lead to rising inflation rates in the French economy. The annual inflation rate in
France was confirmed at 2.3% in March 2024, down from 3% in February, and compared to initial
forecasts of 2.6%. It marked the lowest level since September 2021, driven by a broad slowdown in
prices for food (1.7% vs 3.6% in February), services (3.0% vs 3.2%), energy (3.4% vs 4.3%), and
manufactured products (0.1% vs 0.4%). Tobacco prices also moderated sharply (10.7% vs 18.7%).
The skill level of the workforce in France's Consumer Cyclical sector is generally moderate to high,
presenting Dior with opportunities to enhance services domestically and explore global expansion
leveraging this skilled talent pool.

Labour force trends by qualification, 2005 to 2025, France and EU


Moreover, the fluctuating exchange rates in France could impact Dior's investment plans both in the
short and long term. Despite these challenges, the overall economic performance of France is
expected to remain stable over the next 5-10 years, supported by government spending, steady
consumer demand fueled by disposable income, and increasing investments in emerging industries.

3. Social
Media outlets, both traditional and social, wield significant influence over public opinion in France,
presenting Dior with an opportunity to enhance its product marketing and positioning strategies.
There were 59.94 million internet users in France at the start of 2023, when internet penetration stood
at 92.6 percent. France was home to 52.10 million social media users in January 2023, equating to
80.5 percent of the total population. A total of 71.15 million cellular mobile connections were active
in France in early 2023, with this figure equivalent to 110.0 percent of the total population.
Additionally, access to essential services has notably improved for the wider population in France
over the past decade and a half, largely due to increased investment in public services. As gender roles
continue to evolve in French society, Dior can explore diverse concepts to accommodate and support
these changing roles. However, amidst increasing liberalization, attitudes towards health and safety
are becoming more relaxed, posing a risk that Dior must avoid given the high stakes involved in
France. Nonetheless, with a youthful and expanding demographic profile, France presents favorable
conditions for Dior to target various segments of the population with its Consumer Cyclical products.
France’s total population was 64.69 million in January 2023. 51.7 percent of France’s population is
female, while 48.3 percent of the population is male. At the start of 2023, 81.6 percent of France’s
population lived in urban centers, while 18.4 percent lived in rural areas.

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4. Technological
Dior must closely monitor the advancement of 5G technology, as it holds the potential to
revolutionize customer experiences within the Apparel/Accessories industry by offering faster speeds
and increased accessibility. The deployment contributes to improving mobile coverage in France,
gradually replacing the existing 4G networks by 2030.
Furthermore, investments in research and development, both on a macro and micro level in France,
are critical indicators of an environment fostering creative disruption and innovation, with both
government and private entities investing resources in developing novel solutions. The evolution and
widespread adoption of mobile technology have significantly reshaped customer expectations in the
Consumer Cyclical sector, requiring Dior to not only meet but also innovate to surpass these
expectations and maintain a competitive edge. Moreover, robust safeguards for intellectual property
rights and patents in France could incentivize more players to invest in research and development
initiatives. The rapid pace of technological innovation is disrupting traditional supply chains by
providing greater access to information for supply chain partners and industry stakeholders.
Lastly, analyzing the latest technological innovations implemented by competitors offers valuable
insights into emerging trends and the future direction of the Apparel/Accessories business model.

5. Environmental
Renewable technology presents an intriguing opportunity for Dior to align with emerging trends,
especially considering France's subsidies for investments in the renewable sector. France aims to
install 6.5GW of “low-carbon electrolytic hydrogen” production capacity by 2030, rising to 10GW in
2035, according to a draft update of France’s national H2 strategy. The government plans to commit
nearly €9 billion by 2030 to support the deployment of decarbonised hydrogen. The document
confirms that France will spend €4 billion on subsidies — in Contracts for Difference-style auctions
— to support the deployment of 1GW of “electrolytic production” over the next three years.

Additionally, with the Paris Climate Agreement setting concrete targets for France, there's heightened
scrutiny on environmental standards, which could impact Dior's operations in the country. The shift
towards recycling becoming a standard practice in the French economy necessitates Dior to develop
plans to comply with regulations and meet expectations within the Consumer Cyclical sector.
Moreover, extreme weather events are increasing operational costs for Dior, prompting investments in
flexible supply chain solutions. The company also faces ongoing scrutiny from environmental
agencies, further adding to operational expenses. Furthermore, environmental norms are reshaping
product innovation priorities, with products increasingly designed to meet environmental standards

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rather than solely focusing on traditional value propositions

6. Legal
Dior needs to carefully assess the business laws in France to ensure they align with international
standards set by organizations like the World Trade Organization and the European Union.
Understanding the level of environmental laws in France is crucial for Dior to comply with
regulations and guidelines while conducting business operations. Additionally, considering the time
taken for business cases in court is essential, as lengthy resolution processes, even in countries
following international norms, can significantly impact business decisions. Regarding data protection
laws, Dior needs to evaluate if France has robust mechanisms in place to safeguard against data
breaches, considering the growing importance of data protection in privacy and intellectual property
rights. Furthermore, Dior must ascertain the health and safety norms in France and assess the
associated costs of meeting these standards to ensure compliance and mitigate risks to its workforce
and operations.

C. MARKETING 4PS

1. Products

1.1 Product Diversity:


 For over 70 years of existence and development in the fashion world, while other competitors
embrace creativity that breaks all molds, Dior has chosen to enhance and refresh its core
values. From the cinched waist and the famed New Look dress created by founder Christian
Dior more than half a century ago, to the present day, Dior’s dresses each season still carry
the brand’s signature silhouette, feminine yet paired with vibrant colors and more refined
tailoring techniques. Maximizing the enhancement of the wearer’s figure has become the
distinctive DNA of the fashion house Christian Dior. Here are the main product lines of Dior:
 Haute Couture: Dior is renowned for its haute couture creations, which are made-to-
measure garments crafted with meticulous attention to detail and exquisite craftsmanship.
Haute couture pieces are often showcased during Dior's fashion shows held in Paris, where
they captivate audiences with their artistry and innovation. These garments represent the
pinnacle of luxury fashion, designed for discerning clients who appreciate the highest levels
of quality, exclusivity, and personalization.

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(Dior Haute Couture from the SpringSummer 1955 Collection)
 Ready-to-Wear Fashion: Dior's ready-to-wear collections encompass a range of clothing
items, including dresses, suits, coats, shirts, and knitwear. The ready-to-wear designs capture
the essence of Dior's signature style, combining timeless elegance with contemporary flair.
Each season, Dior presents new ready-to-wear collections that reflect the latest fashion trends
while staying true to the brand's heritage and aesthetic.

(Dior Ready-To-Wear AutumnWinter 2024 Collection)


 Leather Goods and Accessories: Dior offers a diverse selection of leather goods and
accessories, including handbags, wallets, belts, shoes, and small leather goods. Iconic Dior
handbag styles, such as the Lady Dior and the Diorama, feature luxurious materials,
impeccable craftsmanship, and distinctive design elements. Dior accessories complement the
brand's clothing collections, allowing customers to complete their looks with stylish and
sophisticated pieces.

(Dior’s Leather Goods and Accessories)


 Jewelry and Watches: Dior's watches and jewelry collections embody the brand's

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commitment to craftsmanship, innovation, and sophistication. Dior timepieces combine Swiss
watchmaking expertise with contemporary design, featuring elegant and distinctive styles for
men and women. Dior jewelry pieces showcase exquisite craftsmanship and precious
materials, ranging from diamond-studded earrings and bracelets to statement necklaces and
rings.
 Skincare and Cosmetics: Dior's skincare and cosmetics products are formulated with high-
quality ingredients and advanced technology to deliver effective results. Prices for Dior
skincare products, such as moisturizers, serums, and treatments, can range from moderate to
high-end, depending on the product's formulation and benefits. Dior cosmetics, including
foundations, lipsticks, and eyeshadows, are priced competitively within the luxury beauty
market, reflecting the brand's reputation for quality and innovation.

(Dior Bracelet from the Dior-Print High Jewelry Collection)


 Fragrance: Dior is renowned for its fragrances, which range from classic and iconic scents to
modern and innovative creations. The Dior fragrance portfolio includes perfumes for both
men and women, as well as unisex fragrances. Signature Dior fragrances, such as J'adore,
Miss Dior, and Sauvage, are celebrated for their captivating aromas and elegant packaging.

(The Dior Sauvage Collection)

1.2. High-end Service:


 To live up to the brand’s reputation, Dior’s staff is selected systematically and professionally.
Sales associates are required to have a bachelor’s degree, at least 1-3 years of retail sales
experience, preferably in a luxury consumer goods environment and to be fluent in foreign
languages, especially in a multilingual country like France,... Particularly, the attitude towards

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service is highly valued, with criteria such as dedication, warmth, “the customer is king,” and
full support,... The ability to develop strong and lasting relationships with people through
strong communication, organization, and follow-through skills is also crucial.
 Dior values its top clients and offers VIP treatment to ensure an unforgettable shopping
experience. VIP clients may receive invitations to exclusive events, private viewings, and
special previews of new collections. They may also have access to personalized services such
as private shopping appointments and concierge assistance.
 For clients seeking the ultimate luxury experience, Dior offers made-to-measure services for
bespoke haute couture garments. Expert craftsmen and designers work closely with clients to
create custom-fitted pieces that reflect their styles and personalities.

2. Price
 Although Christian Dior faces stiff competition from other luxury brands like Chanel and
Prada, it has kept premium prices instead of competitive prices for all the products.
 Premium Pricing and Prestige Positioning: Dior employs a premium pricing strategy,
positioning its products at the upper end of the luxury market. This deliberate pricing
communicates exclusivity and quality, appealing to affluent consumers seeking status and
exceptional craftsmanship.
 Skimming Strategy for New Collections: Dior often utilizes a skimming pricing strategy
when introducing new haute couture or ready-to-wear collections. They start with higher
initial prices to capture early adopters and brand enthusiasts willing to pay a premium for the
latest designs.
 Price Consistency Across Channels: Dior maintains price consistency across its distribution
channels, reinforcing brand equity and ensuring that customers receive a consistent luxury
experience, whether they purchase in a flagship boutique, online, or through authorized
retailers.
 Limited Editions and Exclusive Offerings: Dior leverages limited editions and exclusive
collaborations with artists and designers to command even higher prices for unique pieces.
This strategy creates a sense of rarity and urgency among collectors and fashion connoisseurs.
 Value-Added Services: Dior justifies its premium pricing by offering value-added services
such as personalized fittings, customization, and after-sales support. This enhances the overall
customer experience and justifies the higher price tag.
Dior's pricing encapsulates a meticulously crafted narrative of luxury, where premium prices reflect
not just the cost of production but also the intrinsic value of heritage, innovation, and prestige
associated with the brand.

3. Place
 The top beauty brand Christian Dior has spread its product presence to 200+ locations like
South America, the Middle East, Japan, the UK, etc., The company started its journey in 1946
in Paris and decided to go global by opening a retail shop in New York City in 1948. Later,
more stores were opened in strategic locations like London, Beijing, Tokyo, Hong Kong, etc.,
to make the brand more accessible. Their stores are mostly in the US (102), and France (86).
 Flagship Boutiques and High-End Retailers: Dior positions its flagship stores in esteemed
locations throughout the globe, frequently in fashion hotspots like New York, Paris, and
Milan. They also collaborate with upscale department shops and luxury merchants to connect
with wealthy customers looking for unique in-store experiences.

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 Ex: Dior's Avenue Montaigne flagship, the spiritual home of the brand since 1946 when
Christian Dior moved in and launched his first collection there, underwent a massive
renovation led by CEO Pietro Beccari, closing for two-and-a-half years before reopening on
March 6. The new 10,000-square-meter space features a gallery, restaurant, pâtisserie,
gardens, a guest suite, and more. All original elements are back, with offices temporarily
relocated. The flagship now offers all Dior categories, focusing on integrating fashion and
beauty.

 E-commerce and Online Presence: With its official website and approved luxury online
stores, Dior has a strong online presence and provides e-commerce possibilities. This
approach serves a worldwide clientele by making Dior items available from any location with
an internet connection.
 Ex: To attract more domestic consumers, Dior said in its 2020 Annual Report that it will be
increasing its online presence in its Fashion and Leather Goods categories. "The Group's
Maisons prioritize the innovation of their collections, expanding upon their enduring and
iconic lines, attaining superiority in their retail networks, and fortifying their virtual presence,
all while preserving their unique identities." In 2021, Dior made a big step in the high-end
fashion industry by opening its first online store in Australia. This online store replaces
traditional brick-and-mortar stores by selling jewels, Dior Maison home goods, womenswear,
and menswear only online. This move is a change in strategy for premium labels like Dior,
who have traditionally depended on boutique and department store sales and had a restricted
internet presence.
 Pop-Up Stores and Special Events: Dior frequently opens pop-up stores and holds unique
events in major locations to build enthusiasm and talk about its products. These temporary
retail rooms offer a one-of-a-kind shopping experience and allow Dior to establish a more
personal connection with its customers.

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4. Promotion:
Dior's marketing approach stays exclusive by steering clear of sales promotion. The promotion mix
consists of social media marketing, website promotion, celebrity endorsements, and advertising in
upscale, niche fashion publications. In various fashion events, celebrities endorse Dior items, and a
website provides buyers with the most recent product details.
 Influencer Collaborations and Iconic Ambassadors: Dior often partners with influential
celebrities and fashion icons to showcase its products, leveraging their massive followings to
create buzz and desire.

 Creative Crossovers: In the 1930s, collaborating with artists like Elsa Schiaparelli and Max
Ernst infused artistry and imagination into Dior’s DNA, setting them apart. In 2021,
partnering with musician Travis Scott for a menswear collection broke boundaries, attracting
a new generation.

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 Dior uses A-list endorsers to put a face (or several) to their brand to reach a wide range
of people and spread their message. International talents are mapped out on Dior's
roster. From Hollywood celebrities like Robert Pattinson to K-pop groups like TXT, they
appeal to certain niches while yet being well-known worldwide. Their bilingual strategy
broadens their appeal and connects with a global audience. Dior is more than simply fashion.
Selecting sportsmen such as Kylian Mbappé draws attention to their relationship with success
and brilliance while selecting environmentally minded celebrities like Marion Cotillard
reflects their commitment to key principles and appeals to environmentally aware customers.

 Social media marketing: Dior has a cutting-edge, high-tech approach to social media
marketing. Similar to when it used an augmented reality filter on Facebook in 2018 to
advertise Dior-color-quake sunglasses. Dior effectively integrates its offline marketing
techniques into its social media marketing strategy with sophisticated campaigns and celebrity
influencers. For instance, their Instagram account features a plethora of visually appealing
pictures of models wearing Dior.
 The Christian Dior-founded brand, which employs more than 200K people worldwide, also
reinvents the "online popularity" game. A Luxe Digital study from 2023 shows that Dior
outperforms competitors like Chanel, Gucci, and Louis Vuitton, capturing 13.83% of all
luxury search traffic.
 Recent controversies and impact on Dior advertising and promotion: In recent years,
Dior’s marketing model benefited from the controversies that surrounded its brand

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ambassadors- reported the New York Times.
Take two examples below:
 Dior Sauvage sales increase and Depp-Heard lawsuit: In 2022, Johnny Depp-Amber
Heard lawsuit resulted in Dior Sauvage sales increase by 1,899%, and Dior Sauvage became
the world’s second most searched brand on social media.
 Bella Hadid controversy and Dior: Does Dior support Israel? It was a much-searched
question over the internet after Bella Hadid’s controversial remarks on the Israel-Palestine
conflict. Many people thought Bella would lose the contract with Dior due to the company’s
support for Israel. But, maintaining a neutral stance, Dior continued its contract with Bella
despite all controversy.

D. SWOT ANALYSIS OF DIOR

1. Strenght:
 Heritage: Dior’s one of the most well-known and famous brand in the entire world with a rich
history and countless legacy among some of the most popular product in their respective field.
Thanks to this, the brand’s face resonates deeply with its consumer, making it easy to
integrate and develop into new markets with ease. This is even more prominent in France
where Dior basically got a home ground advantage and with a population that is already well
customed to Dior.

 Wide product range: Dior’s pool of product range to many fields and markets. Dior’s products
stem from clothing, which included leather-based clothes, ready-made outfits, along with
make-up products, jewelries, accessories, skincare and watches. Though mostly famous for
their product that serve the ladies, Dior also take a hold inside the market for the men with
their Dior Homme brand and even for the children with Baby Dior.

 Global recognition: Dior is one of the most famous and recognized brand in the world, with
hundreds or even thousands of store across the entire globe. Dior’s main focus is the
European market, especially France, the home of its founder, Christian Dior, and branching to
the US and Asia. Through this well-established reputation and the massive network of stores,
Dior presented itself as a luxurious company, aims to bring the style of elegant and high-class
society to it.

 Broad product portfolio and strong branding: Since Dior offers a wide variety of products and
due to the reputation of the brand, to be able to work for Dior means a big chance to make a
life for a person, be it fame or wealth. As such, Dior can connect and work with many famous
celebrities like Johnny Depp, Natalie Portman and many more throughout the years.

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2. Weakness:

 Portfolio complexity: even though Dior’s diverse and massive variety of product is a strength
of the company, it’s also it own weakness. This is due to the domino effect and the
hypothetical scenario in which one product gains a bad reputation would drag the whole
brand down with it. This is because the reputation of a brand lies on it quality, exclusiveness,
distribution channel, and promotional & marketing strategies. Reputational damage due to
brand ambassadors, employees, suppliers, channel partners…could collapse the entire system
since customers would associate the name “Dior” with bad products, no matter if the bad
product is something different compared to the rest of the brand.

 International over exposure: as a global company who have foothold in over 35 countries,
Dior often have to deal with economic fluctuation in the local economies, different cultures
that vastly differentiate or even outright opposite of one another, making it difficult to
establish a local structure that can still be in line with company’s traditions and values.
Furthermore, as different countries have various workforce structures and legal provisions
and regulations, to be able to comply and bring shipments between countries is a headache in
of itself. To be able to efficiently managing all this required a high level of strategic agility
with the right personnel in charge which could be difficult to come by as they need to have a
perfect understanding of the country that they are task with while figuring out how to blend
Dior as a brand into that country.

 Seasonality: as a clothing and accessories brand, Dior is affected a lot by seasonal variations
and how the trends go. This problem complicated demand patterns, resulting in a big overhaul
of the entire operation from marketing, producing, distributing and many more which
required investment and careful planning, Because if a brand fails to catch up to seasonal
changes, it means a guarantee failures to campaigns that launches in that season. A failure
season can result in massive losses both in term of earnings and of reputation.

3. Opportunity:

 Changing opportunities: the world is rapidly evolving with the quality of life ever increasing,
as such, the middle-class is constantly growing day by day. This is a prime market for brands
like Dior whose specialty are luxurious goods, in which the demand are constantly growing
due to the need of this growing social class. This is a prime opportunity for Dior to capitalize
on a changing market, to adapt to the preferences of a new wave of customers and bring back
as much money and success as possible.

 Developing economies: with the rising economic powers in Asia and Africa and the rising
quality of life in those countries, it help boost consumer’s buying rate and increase their

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choice into more luxurious products. This is a gold mine and a huge opportunity for premium
goods and services to expand into. More market, bigger customer base and stronger buying
power is a perfect foundation for brands like Dior to establish a foundation and setting up
long term plan to expand into.

 Market Development: by tapping into new markets and diversifying its global presence, Dior
can get a head start into this new lands, getting to know about the local cultures and set up a
structure of business that are fitting with the local population, furthering the position ahead of
its competitors.

4. Threat:

 Competition: in any field of business, competition is always a threat that loom in the
background, ready to exploit any weakness that the company make. With Dior, having
established itself inside the field of luxurious goods, it’s even more fierce. As such, to be able
to stay ahead of competitions and not fall back behind, the company needs to be innovative
and adaptive to the flow of the market in order to stay relevant and keep the image of the
brand in the spotlight.

 Economic uncertainties: with the unpredictable situation in the global affairs, it’s a real risk
that a economic crisis can happens at anytime, thus affecting the buying power from the
customers, making currencies dropping value and reducing the need to obtain luxurious goods
that Dior products. Furthermore, this can also shift the global economic, making the future of
potential markets become uncertain and unpredictable, which can severely mess with the
planning of the brand.

E. SUGGESSION

1. Technology

Nowadays, with the rapid development of electronic devices and the Internet, Dior Sauvage should
concentrate more on online promotion to boost their sales in France. Firstly, Dior should develop their
official website and Dior Sauvage should have its dedicated section on the official Dior website. The
website should provide detailed information about the fragrance, including its notes, packaging, and
the story behind its creation. Therefore, users can explore the product, view images, and find nearby
stores or authorized online retailers to purchase Dior Sauvage in France.

Dior Sauvage should also have a stronger presence on social media platforms such as Instagram,
Facebook, and Twitter. With 45 million, 18 million and 9,8 million followers on Instagram, Facebook

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and Twitter respectively, the brand should regularly share more of visually appealing content, such as
campaign images, behind-the-scenes footage, and lifestyle shots featuring the fragrance. Social media
should also be used effectively by Dior Sauvage to announce their new product launches,
collaborations, and special promotions in France. Adapting to changing consumer behavior is also
crucial since the Covid-19 pandemic has brought about significant shifts in consumer behavior.
Brands have had to adapt their marketing strategies to cater to changing needs and preferences. For
example, with more people working from home, Dior Sauvage focused on marketing the fragrance as
a way to enhance personal well-being or create a sense of luxury and escape from their hectic pace of
life.

Furthermore, Dior Sauvage should have more quality and popular collaborations with French
influencers and celebrities to promote the fragrance on various online platforms. During Covid-19,
particularly at the end of 2021, the brand chose Kylian Mbappé, the most formidable young player
today, as the face of the Eau Sauvage Elixir campaign. Since Johnny Depp became the ambassador of
Dior Sauvage in 2015, this perfume line has always carried a strong, somewhat bold image. This
image is also quite similar to Mbappé, with elegance, style, and gentlemanly standards. Sharing about
his role, Mbappé said: "Sauvage Elixir brings a feeling of freedom, the desire to possess
determination. It is a woody scent, a strong scent that suits me and defines me.". Dior Sauvage can
also collaborate with French celebrities having the same strong, bold image from other areas such as
rappers, actors, tennis or basketball athletes, etc. Furthermore is the online retailers. Dior Sauvage
should be available for purchase through various online retailers in France, including luxury fragrance
websites and e-commerce platforms. These retailers should have dedicated product pages, customer
reviews, and additional marketing efforts to promote and sell Dior Sauvage online.

2. Socially

Socially, younger people in France including Millennials and Generation Z are interested in luxury
brands and high-end perfumes like Dior Sauvage. They think of Dior products and Dior Sauvage in
particular as a symbol of status and use them to project their identity and financial capabilities.

Marketing wise, Dior Sauvage should be positioned as a high-end, elegant, and luxurious brand,
targeting the luxury and creative markets in France. Its uniqueness and core values, combined with the
blend of tradition and innovation would help Dior become an icon of beauty and sophistication in the
eyes of consumers. The fragrance line of Dior in general, and Dior Sauvage in particular, can also be
known as evidence of that sophistication. Moreover, with the price range from 83$ for the 60ml size
to 258$ for the 200ml size, the Dior Sauvage is considered one of the most expensive perfumes for
men in France. This premium pricing strategy is also included in Dior Sauvage’s strategy. They rarely
have a discount program and even increase their price, all in order to make their customers feel
luxurious and grand when using their products. For Dior Sauvage, the expensiveness of this perfume
can also make their customers smell "flashy and luxurious" when sprayed on their bodies.

Furthermore, Dior Sauvage should actively collaborate with ambassadors and celebrities who can
allure the attention of French young people and desire to buy the fragrance to pursue their model
images. Many people consider ambassadors to be the “face” of a brand. For example, since 2015,
Johnny Depp has been chosen as the representative face of the famous Dior Sauvage perfume line,
launched in 1966. With a wild, free and honest spirit, Johnny Depp is the suitable face for the line

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Dior Sauvage products. The enthralling brand film sees the brand ambassador, Hollywood hero
Johnny Depp, embracing a dramatic and mysterious look as he escapes the city to bury his jewelry in
the desert. That's what Dior should do for Sauvage Elixir. A wild, handsome old man, still extremely
passionate with his passions. Celebrities can evoke emotions and create a personal connection with
their fans. Johnny Depp's fan base, which includes a significant number of young people in France,
may have felt a sense of affiliation and loyalty towards him. This emotional connection could have
translated into positive feelings towards the brand and its products, including Dior Sauvage, therefore
increasing sales and generating more profits for Dior Sauvage. Last but not least, all those perfumes
are usually associated with the Brand image but with another core of business in France market. For
instance, Chanel No 5 with Chanel Haute Couture or Versace Eros with Versace Jeans Couture. The
perfume follows the clothes collection; each season has its own perfume. In order to grow, Dior
Sauvage should deal with prestige, image advertising presence and symbolic communication. For
example, a marketing campaign Dior came up with was Dior Sauvage with Christian Dior’s Ready-to-
wear Summer Collection 2021. This collection includes a range of men's clothing items, such as suits,
coats, tops, and bottoms, designed for everyday wear. With Dior Sauvage- a cherry on top to complete
the outfit, it gives French customers a casual as well as masculine, confident feeling throughout the
day.

REFERENCE

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https://pretavoir.co.uk/blogs/news/the-history-and-legacy-of-christian-dior

2. Dior Wikipedia https://vi.wikipedia.org/wiki/Dior

3. Apply for Dior Sales Associate (2024). Indeed. https://www.indeed.com/q-Dior-Sales-


Associate-jobs.html?vjk=edecec85b93991ce

4. Dior Pricing https://www.dior.com/en_vn

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6. Các dòng sản phẩm của Dior (2021). Centimet. https://centimet.vn/tong-quan-ve-cac-dong-


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https://thebrandhopper.com/2024/01/20/dior-history-success-factors-marketing-strategies-
more/#Marketing_Strategies_of_Christian_Dior

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9. Dior place factor example: GDR visits ... Dior's 30 Avenue Montaigne flagship in Paris —
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nuoc-hoa-dior-sauvage/

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15. Christian Dior Pestel analysis: https://embapro.com/frontpage/pestelcoanalysis/6930-


christian-dior#google_vignette

16. 10 NGOs in France https://socialimpactguide.com/journal/ngos-in-france/

17. France inflation rate https://tradingeconomics.com/france/inflation-cpi

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forecasts-2025

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20. France starts 2024 with 44,134 5G authorized sites


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of-national-h2-strategy/2-1-1573875

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https://www.adforum.com/tribune/christian-dior-and-the-art-of-branding

23. Christian Dior A New Look for Haute Couture Porter Five Forces Analysis (case48.com)
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24. 10 Perfumes Similar to Dior Addict– Fragrenza


https://www.fragrenza.com/blogs/fragrances/addict-10-perfumes-similar-to-dior

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25. Top Christian Dior Competitors & Similar Companies | MBA Skool
https://www.mbaskool.com/competitors/companies/18455-christian-dior.html

26. Porter Five Forces Analysis of Christian Dior - Porter Analysis


https://www.porteranalysis.com/porter-five-forces-analysis-of-christian-dior/

27. Christian Dior and the art of branding - Insights (adforum.com)


https://www.adforum.com/tribune/christian-dior-and-the-art-of-branding

28. Medium Lady Dior Bag Black Cannage Lambskin | DIOR


https://www.dior.com/en_us/fashion/products/M0565BNGE_M900-medium-lady-dior-bag-
black-cannage-lambskin

29. 5 Perfumes Similar To Miss Dior: Top Alternatives [In 2024] (10fragrances.com)
https://10fragrances.com/perfumes-similar-to-miss-dior/

30. Best Brands Like Dior: Upgrading Your Luxury Fashion Game - brandslikeit.com
https://brandslikeit.com/brands-like-dior/
31. Top Christian Dior Competitors & Similar Companies | MBA Skool
https://www.mbaskool.com/competitors/companies/18455-christian-dior.html

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