individual assignment coco chanels

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Full name : Phạm Yến LinhRoll number : HS170564Class : MKT1714

Course : MKT101- Marketing PrinciplesLecturer : Bùi Thùy Dương

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1I. INTRODUCTION

1. Company history:

Coco Chanel's real name is Gabrielle Bonheur Chanel (1883-1971) was born in afamily of poor circumstances, and from a young age had a hard life earning a living.With a strong passion for singing and her youthful beauty, she started singing at theage of 18. The name Coco Chanel because she took her name from Coco in herfavorite musical The Atlanta to attach it to. with my name

- In 1921 when Ernest Beautiful released perfume lines numbered 1 to 5, it wasat this time that Chanel realized that she had found the scent that carried her soul andtemperament - the bottle of

Chanel perfume. No.5. This scent is a combination of Rose, Jasmine, Ylang, musk, Sandalwood, etc. to create an extremely seductive and luxurious scent.

Ylang-- She initially stopped perfumes to give to customers and spray them all over herfashion store and to please and impress her gods.

- In 1922 she launched the Chanel No.5 perfume line and soon Marilyn Monroerevealed to the press that she wore nothing to sleep but only covered her beautifulbody with a few drops of Chanel perfume. Almost the whole world rushed in search ofthis divine perfume

- At the end of World War II in 1945, Chanel No.5 officially became the selling perfume at that time with a selling price of 30ml perfume of about 300 USD.

best-- In 1922 Chanel continued to launch Chanel No.22 named after the year of itsdebut, still bearing the direction of Chanel No.5 but with a little more subtle blend andbold challenge.

- In 1970 Chanel perfume No.19 was introduced to the public on the occasion ofChanel's birthday

- In 1974, the Cristalle perfume line was introduced with her inspiration forcrystal with its purity and fragility but still containing the sophistication and at thesame time the departure of Chanel.

- Immediately after that, men's fragrances with seductive scents made many boyshappy with the passionate scent of sandalwood, which was released in 1990.

- In 2014, Chanel launched Chanel Bleu for both men and women with anattractive scent following the current trend.

- In 2018, Chanel announced that it would be moving its headquarters to London,later that year the fashion brand banned fur and exotic skins from its collections.

- In 2020, the Launch of the Tweed De Chanel couture collection. Tweed DeChanel is the first High Jewelry collection to focus entirely on tweed fabrics.

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22. Products and services offered

Employees at Chanel are very proud of Chanel's products and services. Incomparison to Chanel's competitors L'Oréal USA, Gucci, Burberry, and Harry Winston,employees rate Chanel's products and services as good. Chanel has been creating acontinuous value for its customer, developing through services tailored to customers’interests. It provides its clients with various goods and services available such as leathergoods, womenswear, accessories, jewelry, and cosmetics. The brand also providespersonalized client service and experiences in retail boutiques, such as creating apersonalized fragrance by Chanel or tailored leather and apparel goods, all over theworld, making the interaction with clients a vital service. As it is vital now, Chanel alsoprovides e-services offering together with customization of goods and maintenance ofgoods that were previously acquired. In addition to this – for loyal VIP customers,Chanel provides fashion show invitations, gala dinner events, and art exhibitions.

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33. Vision Statement

The goal of the brand is to be both ageless and refined. This emphasizes the factthat the brand creates clothing and accessories that are always fashionable, i.e. Chanelproducts never go out of style.

'Fashion to be utilitarian' is also part of the company's vision. This means that thebrand strives to create apparel that is simple to wear and provides the wearer with asense of freedom and comfort.

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· The girl should be two things – classy and fabulous.· The house of Chanel dressed a century.

Headquarters: Neuilly-sur-Seine, France

II. Analyze the microenvironment

1. Suppliers

Chanel, which began acquiring partners in the late 1980s, now controls Lesage,the feather expert Lemarie, the hat maker Maison Michel, and the glove maker Causse,among other niche fashion suppliers. Chanel had a fantastic year in 2019, with

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5revenues of 12.27 billion euros, up 13% from the previous year. Chanel has decided tobuy Gaiera Giovanni, an Italian firm, much to everyone's astonishment. This latestacquisition joins a long list of suppliers that Chanel has acquired in recent years,including Italian leather manufacturers Renato Corti and Mabi, French manufacturerGrandis, Samanta, a tannery; the Spanish Colomer Leather Group, which alsospecializes in leather; and Orlebar Brown, a swimwear manufacturer.

2.Marketing intermediaries

Chanel is a world-known company. The brand is exclusive and has strong equityand loyalty. To advertise their products, they take advantage of most of themultimedia platforms like the Internet, magazines, billboards, department stores,social media, and commercials. Chanel’s history is a big point of the advertising, theydo not produce a new product every two days like a lot of other brands. Chanel spendsmillions on advertising media. They use a lot of celebrities and models for thisadveadvertisementsh as Marilyn Monroe, Suzy Parker, Ali McGraw, CatherineDeneuve, Carole Bouquet, Kate Moss, Brad Pitt, Nicole Kidman, Gisele Bundchen,and many others. Chanel has their stores all around the world. They put a lot of effortand time to make the experience for the customers unique and special. Chanel usesthe direct channel to distribute clothing, leather luxury good, and jewellery directly totheir consumers. Chanel also uses dual distribution selling glasses, fragrances andcosmetic products, which are available at their own stores and other retailers likeMacy’s and Bloomingdale’s. They adopt both direct and retailer channels. Chanel hastheir stores in NYC in three locations. Two of stores are located uptown, at aprosperous location. Fifth Avenue is a major through fare in the centre of the

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6Manhattan where most of the upscale stores located As well as Soho, which is alsofamous shopping neighbourhood. Chanel sells selectively to several retailersworldwide; including Harrods, Jenners, The Boots, and The Perfume Shop, amongothers. After distribution to its intermediaries, Chanel sells the rest of their product intheir high-end stores and online.

3. Competitors

Chanel is one of the leading luxury brands in the world. Many customers whocan afford Chanel often have a large selection of designer products that go through theentire designer brand. However, they have strong competition from other famousbrands in the world. The following are highly competitive brands.

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7) Louis Vuitton

Vuitton is well-known for its travel bags, which include trunks, suitcases, andholdalls. It is the world's most well-known fashion house, with products sold indepartment stores, standalone shops, and on the internet. It has a $28.4 billion brandvalue.

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) Hermes

Hermes International is headquartered in Paris, France, and was founded in 1837.Lifestyle accessories, perfumes, leather, home furnishings, watches, jewelry, andready-to-wear are among the company's specialties. The corporation uses a premiumpricing policy to reflect the distinctiveness of a luxury consumer's needs. It sells itsgoods in 307 stores across the world as well as online.

) Gucci

Gucci, a top Chanel competitor, is an Italian fashion house that was founded in1921 and has its headquarters in Florence, Italy. The firm is an Italian fashion andleather goods company. There are around 278 locations in the company's globalnetwork.

) Prada

Prada is an Italian clothing and accessory company with headquarters in Milan,Italy, that was founded in 1913. Travel items, leather purses, ready-to-wear, shoes,

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9and other fashion accessories are among the company's specialties. This organizationhas acquired worldwide acclaim and recognition because of the high quality of itsproducts. Prada has 618 stores globally, including malls, megastores, and multi-purpose structures.

) Dior

Christian Dior, or simply Dior, is a luxury goods firm based in Paris, France, thatwas founded in 1946. The major brand, Dior, brought in approximately 1043 Euros inrevenue in 2016. The company operates through around 4000 companies around theworld.

4. Competitive advantages

- Strong online presence- very active on Twitter, Instagram, and good website- Rich brand heritage

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10- Strong brand identity

- Luxury product quality- Loyal audience

- Innovation, elegance, style- Strong brand portfolio

- Innovative in developing new products

- Level of consumer satisfaction remains high, due to the policy of the brand forthe sales. Assistants to be as friendly as they can, consequently building client–brand relationships, leading to an increase in the number of loyal customers.- Highly skilled workforce – as Chanel provides training sessions for theiremployees.

5. CustomersAge: 20-60Gender: Woman

Finances: High disposable incomeLifestyle: Classic, sophisticated, luxury

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11III. Analyze the macroenvironment

1. Demographic Environment

Demography is the study of human populations in terms of their size,demographics, geography, age, gender, race, occupation, and other characteristics.Because it concerns individuals, the demographic environment fascinates marketers.Several essential measures have been utilized in population studies by demographersand population scientists. People have more money to spend on luxuries before andafter having children as part of the family life cycle. As a result, Chanel perfume willprimarily target women between the ages of 25 and 40, who have not given childrenand who fall into socioeconomic groups A and B, as they have the most discretionarycash.

2. Economic Environment

Economic factors include interest and inflation rates, development of the globaleconomy, and exchange and wage rates. Combining these factors, it lasts a moresignificant and inevitable impact on the organization. Looking at these factors, and thecurrent economic situation, Chanel will have to work around the current situation.Selling online and providing deals for loyal customers is the way that they areworking through currently. This helps to maintain some of the sales rates and to keeployal customers attracted.

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12In1974,thelack ofavailability basedonsales cutscausedthedemand torise,thussalesand priceoftheproduct weredriven up.

LuxuryGoodsMarketisgrowing:Thenumberofconsumershastripledinunder200years,to 330millionpeople.

Spendinghasrisen toUSD300 billion,since 2013

3. Natural Environment

The natural environment involves the natural resources that are needed as inputsby marketers or are affected by marketing activities. Environmental concerns havegrown steadily during the past three decades. Marketers should be aware of severaltrends in the natural environment.

4. Technological Environment

Considering technological factors is essential to maintain competition status inthe fashion retail market. The growing use of mobile devices, online shopping, andsocial media trends, has forced many businesses to make their products and servicesavailable online. Chanel is keeping its technological aspects up to date. The brand hasan online website, where clients can see the product range, alongside the prices.

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13Furthermore, store assistants often send out pictures of the new collections to theirloyal VIP clients.

Researchanddevelopmentarebeing donefor"Re-formulating" theperfume, tobemoresustainableandmove awayfromsynthetic chemicals

5.Political Environment

The political context has a significant impact on marketing decisions. Laws,government agencies, the government itself, and pressure groups that affect or limitdiverse organizations and persons in a given country make up the politicalenvironment. Political elements are the forces that affect the country's infrastructureand are usually enforced by the government. Environmental regulations, tariffs, laborlaws, tax policies, trade limitations, political stability, and reforms are all examples.Chanel may have sales challenges in the current pandemic crisis, as their fashionshows have a smaller audience reach, and total goods shipments in most nations arehalted due to flying restrictions between countries.

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Ingredientbans andLabeling regulations6. Cultural factors

Chanel has a strong culture of process and product innovation. Top managementsupports innovative and creative ideas, and employees are encouraged to participate inthe problem-solving process. The organizational culture supports the vision, mission,and values. The culture of the social factors in individual businesses varies worldwide.The factors include diverse demographics, population growth rates, and culturalviewpoints. Chanel's top clients are mostly based in Asia and eastern Europe, wherethe brand holds most of its store locations. European and western cultures are lesskeen on spending large sums of money on their apparel; thus, Chanel tries to expandits business outside of those regions.

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15IV. Reference