Ch.8 Segmenting and targeting markets

Uniqlo strives to sell clothing for those who want a basic and high-quality clothing.  If you were to visit Uniqlo’s shopping website, you will see that the models are wearing clothing that are basic and simple. Also, Uniqlo is making clothing as one part of total style, which means the clothing can fit with any other clothing. As a result, Uniqlo makes many colorful, types and sizes clothing. This is its previous slogan "Make for All" and new slogan“Lifewear”. In addition, these are low prices.






Maybe some people who want a expensive clothing won't buy Uniqlo's products. They won't be in Uniqlo's market segment. 

Ch.11 Developing and managing product

New products are important to sustain growth, increase revenues and profits, and replace out of date products.  The term New Product has many different meanings, and there are six different categories; New-to-the-world products, New product lines, Additions to existing product lines, Improvements or revisions of existing products, Repositioned products, and Lower-priced products. The categories that Uniqlo falls under is Improvements or Revisions of Existing Products and Lower-Priced Products.

The most recent product Uniqlo launched is new improved fleece in October 15 in Japan. it was a project for celebrating 20 anniversary of selling a fleece. The new fleece was made as more 1.5 times warmer than previous one. Uniqlo found a special yarn and that is first idea to use it for making a clothing.


On the other hand, in USA, the most new products Uniqlo launched is new collection for fall and winter 2014 from +J collection in September 10. This +J collection has started in 2009 winter and is collaboration with a famous German designer Jil sander. His design is basic and simple, and totally matches with Uniqlo's concept, Lifewear. The collection is very popular since it has launched.



  These new products can be categorized under Improvements or Revisions of Existing Products.   
In addition, even if these are new, high quality and designed by famous designer, the prices are Uniqlo's price, which means low. for example, the fleeces' price is from $10 to $30 and +J collection's price is from $40 to $150. That is a reason why these products sold well and leads to the next category, Lower-Priced Products.

This is Uniqlo's new products.

In addition, Uniqlo locates as growth stage in product life cycle because it is still trying to open new stores in the world and it doesn't reach the maturity stage. Its product is a golden age of product, its selling doesn't stay at somewhere, but continues increasing.

Ch.12 servises and nonprofit organization marketing

Nonprofit organization marketing, is called NPO marketing, marks the community as target and doesn't gain any profit financially at all. It's usually used by hospital or NPO organizations. My company Uniqlo is a company to sell clothes toward costumers and gain a profit by selling. However, now Uniqlo attempts to do this NPO marketing as one of its CSR. That is Uniqlo Recycling.


Check this out!
https://www.youtube.com/watch?v=Tlnh-yyV1yU



 First, Uniqlo accepts all its products, which is used, from costumers at store, then Uniqlo gives all of them to countries or communities or people those need clothing, this is reuse.
Uniqlo thinks that all it's products are shareable, their responsibility is making use of the worth of all products maximally. Since it had started on June 2012, the amount of collected clothes is 29.15 million, and the amount of reused clothes is 11.29 million in 2013.



Through this NPO marketing, Uniqlo can make future costumers nonprofitly. 

Ch.10 product concepts

In fact, product concept doesn't mean only the concept but also it includes the service before and after purchase products. Uniqlo dose it in many ways.

For example, in online, it shows the explainment about products. You can choose women, men, or kid and if select one of them, next more details comes up such as swear, underwear, t-shite, knit or so on. The each category like woman,man and so on is product item and all these are making product line of Uniqlo. And once you click woman, you will see product line depth of woman items.
the woman's line depth is 42.






Uniqlo is a global brand because the earning  from outside of Japan is one third of whole.
In Sep 2013 to Aug 2014, the amount sold is 683.3billion in Japan and 251.1 billion in outside.

Ch.17 Personal selling and sales management

Personal selling is more important as the number of potential customers decreases ,as the complexity of the product increases, and as the value of the product grows because the salespersons are there to provide explanation while advertisement or sales promotion can't do the same way for customers.
I have a sister and she works in Uniqlo store as part job. Let me show you how Uniqlo manage workers like my sister. First, when she got a job, Uniqlo gave her a HANDBOOK which states what worker should be under working at Uniqlo store. The HANDBOOK indicates rules at the store. It starts from introducing Uniqlo company and the store to client relations minutely. Im the rule of before attending at work, how to put the name in the attendance book or the worker must confirm campaigns at the time. In the rule of words, the workers have codes about specific things such as honing to rest room, finding a shoplifter, and money changing between workers. In the rule of working process in the store, it show that they must to do morning assembly, resister, arrange of products, correspondence at fitting room, revision, stocking shelves, cleaning up the store. Moreover, it states about correspondence to claimers.
I usually heard that working in Uniqlo store is very hard but very good experience so if a person was working as worker at Uniqlo store, he or she can get a job easier than people who don't. According my sister's story, I think that's true. Even part of job worker is needed specialist as salesperson. Therefore, the Uniqlo worker can the sales relationships.

Ch.16 Advertising, public relations, and sales promotion

Uniqlo's CEO said that advertisement is one of important part for selling its products. Uniqlo uses mainly commercial on TV and build bard for advertisement. In addition, it enphasises new products and promotion on these advertisement. For example, on October 22, Uniqlo started a new commercial about launching "Urlra Right Down" for this winter. In commercial, it informed how much it's useful and warm, how to promote than last season, it shows variety color and designs, and variety wearing styles.






While Uniqlo uses commercial for advertisement, it also uses build bird. In New York, we can see a lot of its advertisement on the street or on the train, bus and station, or building bard in Times Square, or so on. In this type advertisements, Uniqlo uses famous actress, actter, and models, also it shows the price which is low and one of strong point in Uniqlo.

Ch.14 Marketing channels and Retailing

If a brand has similar products to other brands, people think the products are not interesting and fascinating. Therefore, in clothing market, it's very important to make difference from others. Uniqlo has an original marketing channel. It does by itself from developing raw materials and supply them to selling.  That means Uniqlo don't have other retail companies and intermediaries, make products by itself and sell them by itself. So Uniqlo's retails are original stores and online only. The consistence business condition like this is called SPA( Specialty store retailer of Private label Apparel). Now some clothing company has this SPA system but when Uniqlo started to have the system, it wasn't common. The reason why Uniqlo can remain in surplus in the recesssion is this SPA system. In addition, the reason why Uniqlo can supply products with low price is this SPA system.

Uniqlo has supplied unique and original designed clothing such as HEATTECK, AIRism, Fleece or Sweat. Also there are low price even their designs looks high cost. Because Uniqlo has SPA. They have own designers, planning, making and selling. 

These Uniqlo's fascinating aspects are all because of SPA systems.

The slogan " life wear " of Uniqlo needs to be able to make many kinds of products which means it needs variety. The SPA system makes possible to be able to cope with the task.



I found  another good aspect of SPA.
I went to the Uniqlo store which located at 5th Ave and 53st. First when I went into the store, the lady worker said hello to me and asked me she may help me and what I was looking for. I told her I was just looking, she said to me that when I needed to help, ask any workers there. Her service was really nice. Olny 2min ago, the another worker asked me whether I needed help, so I tried to ask him I want denims. Then he asked me which type of denims I want and I said skinny type to him, so he lead me to denim corner and show me all kinds of skinny denims with their details. It was very clear to understand and nice. In the end, I didn't get anything, but the worker smiled to me and said have a nice day to me. The customer service was really good and satisfied my mind. The workers looked they liked their job and are educated. I think the reason why the workers are good is SPA system. Because the system exists, Uniqlo can control all services to costumers. As a result, it connects the increase of the selling amount. The SPA system is a priory part of Uniqlo.

Ch6, Costomers Decision Making

The costomers have consumer decision making process for each. As the managers must need to know  and understand the process which is consumer behavior.
I'll explain it as Uniqlo's costomer.
First of all, Need recognition. There are so many advertisement on the train and bus, the billboard, onTV as commercial  or on the internet screen. When seeing the ads, people read it, think about it and then have an impulse to purchase the product. Then they recognize it is their want. In addition, if people see the ads which shows the popular person uses the products or the price down or sale information like the picture, their impulses are stronger.





Secondly, Information search. After people recognized what is their want, they search more information in the internet or outside. If people use internet, they can see not only the product's home page but also criticism on another page and they know how much they want it though the searching.

Thirdly, Evaluation of Alternatives and purchase. After searching information about what they want, they are ready to buy the products so they go to the store and buy the products. In addition, Uniqlo has online shopping on its home page, so if people who don't have enough time to go to the store feel an impulse to buy the product through the process, they can get it on line. 

Finally, Postpurchase behavior. This is how people feel satisfied after purchasing. If the satisfaction is bigger, then the customer tend to continue buying the brand's product.

The customer behavior is very important for managers. 

Ch2. strategic planning for competitive advantage

Uniqlo is known as low cost clothing store. This is one of the strategic planning of Uniqlo.
Uniqlo has the coherent business model which does from planing and manufacture to saling by itself. That called SPA. A big strategy  is that Uniqlo has own factory. Therefore Uniqlo can sale their products to castmer with low cost. In addition, its clothing is high quality. The two strategy are a key to compete with another company in clothing market.
Let me introduce their high quality products.
First of all, as you know, it is HEATTECH. HEATTECH has some characteristics such as keeping warm, protecting from static electricity, made of stretch raw materials and antibacterial. It was the first product as clothing has these characteristic in clothing market. It iswell known as high quality clothing with low cost since it started to be sold in store in 2003. This revolutionary hit connected Uniqlo's amount sold. In fact, In 2011 HEATTECH sold more than 1 million. Uniqlo expanded share in clothing market.
Uniqlo publishes that its concept is "lifewear". That means Uniqlo's products fit all people in the world because these are basic clothing such as swears or fleeces. Therfore, HEATTECH is a representative product in Uniqlo now.








The other high quality product is "AIRism". It is an inner which take away sweat from boby and keep dry and also protect from getting a cold by sweat. It is also a hit items in Uniqlo.
Unilqlo competes with these high quality products with other companies in clothing market.

Ch5. Developing a global vision

Uniqlo, today, has 446 stores in the world and amount sold of stores in foreign country accounts.
30% of all amount sold. CEO Tadsshi Yanai said the goal is a apparel clothing company from Asia and the Uniqlo foreign project cross over the Uniqlo Japan project. The first global store is a store in SOHO, NY in 2006. It has passed 8 years since then, now the objective of amount stores in the world is 632 stores.
As the CEO Yanai said, the economic development area was in the United State but now the area is moving to in Asia and Asia has wealthy today. Uniqlo must get this historical turning point as a big chance to be global company. Uniqlo is Japanese company in Asia  so it has a advantage that it deeply knows about the situations of anyother Asia country comparing with the USA and Europe companies, H&M, ZARA and GAP. Using this advantage, Uniqlo can keep a predominance position than theses foreign clothing companies. Also he said that today the United State is the area which has a high expectation value because especially in west side there are a lot of Asian people and it's like small Asia market. Therefore, Uniqlo shouldn't miss the market and the objective of the amount of stores in west and east side in the USA is 100 stores for each side. 

As global marketing, Uniqlo is doing  collaboration with some artists. For example, it's saling some clothing designed byJil Sander and the clothing is know as fashionable collection.

Ch4. The marketing environment

Uniqlo is known as low price and high quality designed clothes for everybody, around from 5 to 50. This is true. This company was a small clothing store for only men as national brand in Yamagichi in 1984. Then they sold clothing as unisex with the name which is "Unique Clothing Warehouse". It got a superior factory in China and made a model of saling, SPA like GAP. SPA is special store retailer of private label apparel which means that make clothing with low cost so it can sake them with low price to customers. Uniqlo still now does from planning, production distribution to saling by itself so it can sale clothes which is high quality with low price. The low price is known as good for family financially and then its target is wide like from child to old people.
At same time, Uniqlo is competing with making own unique designed clothing in market. It results having many custamers. For example, HEATTECK is one of its unique items. It is the clothe keeping warm and getting sweat out so keeping fresh and warm, which is that other clothing company doesn't have. 



Also Uniqlo tries to be global clothing brand. It started from New York in 2006 when it opened a first store in another county. Then it continue opening stores in other country and now it has stores in not only Asia but also Europe and The united state.

These points are Uniqlo's marketing environment.

ch3. ethics&social responsibility

Uniqlo said about ethics and social responsibility that act as people on the earth who have an high moral value like changing the world with clothing. It is working more than 10 volunteer activities for environment problems and refugees and children.

 This is one of these activities, " clothes for smiles". It is a common proposal with Novak Djokovic who is a famous tennis player in the world. It has fund of a million from sales of Heattech and Ultralightdown.
 One way to use the fund is giving children in the world dreams. For example, it did that giving children shopping experiences in Serbia. It established a special shop in Serbia and children could choose which clothes they want and get it. This has two goals that let children know that they can whoever they image as aspect of psychology, and giving them clothes for living as aspect of physical.
 The another way to use the fund is volunteer with UNICEF. For example, it is used for the activity that making a school for children in Bangladeshi.

Another activity is support activity                    
for an earthquake, 311, in Japan.
It opened a store in the affected area
where doesn't have a rehabilitation,
does volunteer with NGO and contributes

clothes which valuable 3.3 millions.

Ch1. History and Mission Statement

Hi. 

This is MARIN YAMADA's blog about Uniqlo company in fall semester 2014.

Let me tell you about the company first.

Uniqlo Co., Ltd. is a Japanese casual wear designer, manufacturer and retailer. The company has been a wholly owned subsidiary of Fast Retailing Co., Ltd. since November 2005, and is listed in the First Section of the Tokyo Stock Exchange.

In addition to Japan, the company operates in Australia, Bangladesh, China, France, Germany, Hong Kong, Indonesia,Macau, Malaysia, the Philippines, Russia, Singapore, South Korea, Taiwan, Thailand, the United Kingdom, and the United States.

This company's origins in japan.

Uniqlo in Ginza, Tokyo.

Since March 1949, a Yamaguchi-based company, Ogori Shōji existed in Ube, Yamaguchi.

In May 1984, they opened a unisex casual wear store in Fukuro-machi, Naka-ku, Hiroshima under the name "Unique Clothing Warehouse". It was at this time that the name "Uniqlo" was born, as a contraction of "unique clothing". In September 1991, the name of the company was changed from "Ogori Shōji" to "Fast Retailing", and by April 1994, there were over 100 Uniqlo stores operating throughout Japan.

In 1997, Fast Retailing adopted a set of strategies from American retailer The Gap, known as "SPA" (for specialty-store/retailer of private-label apparel), meaning that they would produce their own clothing and sell it exclusively. Uniqlo had begun outsourcing their clothing manufacturing to factories in China where labour was cheap, a well-established corporate practice. Japan was in the depths ofa recession at the time, and the low-cost goods proved popular. Their advertising campaigns also proved fruitful.

In November 1998, they opened their first urban Uniqlo store in Tokyo’s trendy Harajuku district, and outlets soon spread to major cities throughout Japan. In 2001, sales turnover and gross profit reached a new peak, with over 500 retail stores in Japan. When Uniqlo decided to expand overseas, it separated Uniqlo from the parent company, and established Fast Retailing (Jiangsu) Apparel Co., Ltd. in China. In 2002 their first Chinese Uniqlo outlet was opened in Shanghai along with four overseas outlets in London,England.

But sales did not go well in England, and stocks in Japanese warehouses were overflowing. In 2002 and 2003, Uniqlo profits dropped sharply.In 2004, the company began joint ventures with Japanese fashion magazines, and hired such celebrities as Norika Fujiwara to appear in commercials. They teamed up with new designers, and profits rose, including at London outlets. The acquisition of other fashion companies by Fast Retailing also helped the struggling company get back on its feet.

Uniqlo in Shinsaibashi,Osaka.

2005 saw more overseas expansion, with stores opening in the United States (New York), Hong Kong(Tsim Sha Tsui) and South Korea (Seoul), their South Korean expansion being part of a joint venture withLotte. As of year-end 2005, in addition to its overseas holdings, Uniqlo had around 700 stores within Japan.By 2006 sales were $4 billion. By April 2007, the company had set a global sales goal of $10 billion and a ranking among the top five global retailers, joining what at the time was Gap,H&M, Inditex, and Limited Brands.

Fast Retailing signed a design consulting contract for Uniqlo products with fashion designer Jil Sander in March 2009. Shiatzy Chen has been approached by Uniqlo to produce a capsule collection of ready to wear pieces to launch in November 2010 while Asia's largest Uniqlo store outside Japan opened its doors in Kuala Lumpur in the same month.

UNIQLO.yamada