Branding and Marketing Channel Strategies:

Some Effects on Channel Partners

Prepared by:

Oumaima NAAMI (Master Marketing & Logistics)

Saad HENNANE (Master Marketing & Logistics)
Mouad EL MEGDER (Master Marketing & Logistics)
Achraf RAMI (Master Marketing & Logistics)

Supervised by:

Salah OULFARSI (Professor

at ENCG ELJADIDA &
Deputy Director)

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1 The concept of luxury
There is a general agreement on the lack of "substantial" definitions of luxury. Since luxury
can be defined based on the general intrinsic characteristics of the products, the techniques
used or the techno-economic characteristics of the industry . However, a certain consensus is
emerging about the main characteristics desired by the consumer of luxury brands. "From a
subjective point of view, the term luxury could refer to "Things you have that you do not think
you should have. Most luxury products are also associated with a strong brand name and its
logo, as well as a tradition of crafting and high quality . Several researchers have enriched the
traditional view of luxury consumption. In this revised paradigm, two types of luxury
consumption orientation should be considered in the management of luxury brands. Wong and
Ahuvia were the first to demonstrate that personal orientation towards luxury brands was
more important to some consumers than to others. When these consumers choose a luxury
brand, there are usually utilitarian, emotional, and symbolic dimensions that underlie their
personal orientation.

Brand Strategies
The main purpose of branding
strategies is to establish a clear
and distinctive identity of your
products, services and
organization. Brand strategies
also seek to create brand equity
and create consumer safety. In
the first model are the brands
that are based on taking the
quality of their products to the
extreme, making a cult of them
and their heritage.

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 This is nourished by the history of the brand, its
founders and its new creators, thus transmitting
the personality of the brand and its values as is the
case of Chanel and Hermes.

The second model has its origin in the United States and since it has a lack of own
history, there is an invention of the history of the brand. This strategy focuses more
on imagination, creativity and experimentation, thus transmitting its values. An
example is found in Armani, with the creation of several hyper luxury resort hotels.

Marketing strategies in Luxury Fashion

Bastien and Kapferer argue that traditional marketing strategies cannot be applied
to luxury fashion so they have created the anti-laws summarized below: The law of
non-positioning/ Luxury does not have to respond to the increase in demand/ Make
it difficult to buy from customers/ no Unique Selling Proposition/ Communicate to
those who are not your target audience/ Luxury sets the price and not the other way
around/ Do not relocate factories/ Sell marginally on the internet Although some
people still need to see and feel the products at the catwalks and international fairs,
the digital age offers possibilities that begin to influence the marketing of luxury
goods and therefore in the trends of Marketing strategies in fashion luxury. What
only a few years ago seemed impossible, since it seemed that e-commerce would
never reach luxury, new technologies and above all, the use of mobile devices have
challenged it and even today art galleries and houses Auctioned off as Christie's have
joined e-commerce to sell and auction their products. The digital marketing strategies
most used by fashion are the online presence strategies through website and social
networks through mobile devices that promote interaction with the user and video
marketing strategies that use the videos to generate rapprochement and Interaction
with the spectators and participate in the development of the storytelling of the
company.

Digital Marketing and storytelling

The principle of "storytelling" is one of the key strategies in digital and mobile
marketing, this principle is found in video marketing strategies, social media, events
and exhibitions open to the public, which seek to interact with the public and show
their history.

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 2 Methodology
This article is extracted from an online journal named International Journal of Interactive
Mobile Technologies (IJIM) (volume: 11, issue: 6), those are some information about this
article:
 Type: Literature review;
 Name: Branding and Marketing Channel Strategies: Some Effects on Channel
Partners;
 Page: 136-149 (14 pages);
 Authors: Zahaira Fabiola González Romo (International University of Catalunya
Barcelona), Irene García-Medina (Glasgow Caledonian University), Noemí
Plaza Romero (Oberta University of Catalunya);
 Published online: 27th November 2017;
 DOI (Digital Object Identifier) : https://doi.org/10.3991/ijim.v11i6.7511.

This section will see how the authors gathered this data (survey, interviews, experiments,
etc.), why they chose this method, and what limitations they’ve faced during this study.

Methodology used
 Subject analyzing

This article is a literature review that contains 6 principal titles: Introduction, Methodology,
Literature review, Results of the research, Conclusion, Limitation of the study, and
References.
The authors used simple tenses such as Present, Past, and Present continuous.
The article contains 6 citations based on a dialogue between the interviewer and the
interviewee in The United Kingdom.
They also used sustained language more particularly professional and business terms.

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  Research method
The research was based on qualitative techniques such as selection of the brands, and
in-depth interviews.
Brands :
The selection of the brands was based on the results of Brandz 2015, completing this
selection with a study of the brands with more interaction in the social networks between
January and June 2015, these data were contrasted by the number of followers in social
networks like Instagram and Facebook to arrive at a list of the brands with greater mobile
interaction and followers: Prada, Chanel, and Louis Vuitton. This content analysis was
also based on scientific articles on marketing strategies and luxury fashion, in addition
to this, some information was obtained from books, blogs and different webs specialized
in luxury fashion.
Interviews :
The in-depth interviews were conducted with different professionals in the sector such
as a Human Resources Manager Christie's in London, Marketing Executive at Hackett in
London, Fashion Blogger in the UK, and a Personal shopper in Selfridges in London.

 Is it an appropriate method for the type of study they are conducting?

The qualitative method is the appropriate one for this type

of study because it doesn’t contain quantitative data such
as different ranges of ages, number of likes and shares,
different buying habits, and number of consumers.

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  How do the authors choose the population? What criteria did they use?

Brands:
This research was published in 2015 and at this time the most popular luxury fashion
brands were: Michael Kors, Zara, H & M, Victoria's Secret, Mango, and Louis Vuitton.
(Top 10 most popular fashion brands of 2015 (fashionunited.com))
So the authors did not choose the brands just basing on their economy or the masse of
sales but on the numbers of followers on Facebook and Instagram of each.
Interviews:
The interviewers were professional in this sector, these interviews aimed to complete the
information with the reports and the personal contributions of industry professionals in
different facets of the business.

 Does the sample size of the population enough ?

Brands:
Those 3 brands were enough for the study, the authors picked the top
3 popular luxury brands based on the number of followers.
They may have wanted to add some other brands but those 3 are
enough.

Interviews:
The authors chose 1 Human
Resources Manager, 1 Marketing
Executive, 1 Blogger, and 1
Personnel Shopper all based in the
UK.
They didn’t want to expand the
population with aim of having
particular and honest responses.

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  Results of the study
The data gathered by the authors is:

Prada: founded in 1931 by Mario Prada in Italy

and it was the leading brand of luxury
accessories in Italy, Prada has been through 4
phases, the first phase consisted in recognizing
the need for brand distinction.

The second phase consisted of using the critical elements to create the
internationalization of the brand,the third phase is to create an international group of
luxury brands, the decision on the acquisition of the Car Shoe and Church, and the
independence of the Miu brand, were the main strategies acted by Miuccia Prada to give
shape to the luxury conglomerate of the mark, the last phase consisted on strategies to
open market in the cosmetics industry, perfumes and accessories as well as sunglasses.
Digital and mobile marketing strategies are also essential, Prada joins digital marketing
strategies through storytelling tactics on digital platforms, with the use of celebrities and
bloggers to influence their target audience and market, Prada joins e-commerce, offering
online sales of its products from its website.

Chanel: founded in 1909 by Gabriel Bonheur, Coco Chanel

France was one of the highest value companies in luxury
fashion, in order to attract and connect with the audience
Chanel uses storytelling, It also makes use of the support
of highly influential celebrities in the different types of
consumers in which it is targeted, Chanel was focusing on
2 principal marketing strategies the 1st one was the digital
marketing, Chanel gets into e-commerce, makes use of
social networks, website, blog, and create mini videos as
a digital strategy, the 2nd strategy was related to the price
of its products, it uses an anti-luxury marketing law,
Chanel sets the price of its products without the customer
being the one who dominates this factor, at a certain time
by increasing Chanel the prices it leads to increase the
inaccessibility and exclusivity of its products which means
creating a brand value.

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 Louis Vuitton: founded in 1821 and chosen by Napoleon III as the official travel and
packaged trunks manufacturer of the queen in 1852, all their marketing strategies were
based on the storytelling Louis Vuitton uses digital strategies to catch up and interact
with the audience through online platforms and mobile devices. Louis Vuitton followed
another special strategy which is "The series" where Louis Vuitton organizes exhibitions
open to the public; making him a participant; in strategic cities of the world during a
certain period to gain more audience and be closer to them.

 Limitations of the study

- The guidelines that some international luxury

brands strategies followed;
- Lack of information about the opinions of consumers
of digital media that may help to understand the
main strategies used to attract the audience.

Other methodologies can be used

In addition to the qualitative method used, the quantitative method can be used too.
This method can be used in:

- Analyzing how many followers each brand gained through years or how much will
gain;
- Number of likes, comments, saves and shares per day (Google analysis);
- How did the brands contribute to the audience (Through program SPSS).

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3 Results satisfaction
The results showing in the article are considerably improtante, they present how much
the brand have evolved, and how the using of storytelling technique is important in
digitale strategies for thus brands. Also how the history, the origines, the heritage are
considered more then a source of pride, but using it to reach more marketing goals.
The authors also took into account the great difference between different marketing
practices, and that the use of so-called ordinary marketing practices is not the case
for luxury brand in the FASHION sector, the greed of a positioning in the market, set
the customer as the main point, calculations and pricing strategies, the arguments to
convince customers and also the communication, , these are different things in this
sector than others,, marketers in this sector must first focus their resources and their
time on building a brand and value in order to have a “luxury brand”.

The adaptation of the practices anti-laws in marketing it

allows brands active in this sector not just to be different
then other competitors in the market, but to differentiate the
sector in total and to give a different point of view to
consumers expectations. Anti-law practices also aim to
create a certain atmosphere for consumers and brands to
value both parties, consumers by giving them the feeling of
value and higher social status, and the brand by its strong
position in terms of product offering and pricing.
Communication also plays an important role in the marketing
strategy of these brands, use of social media is more
sensitive, need to be more careful in using of these types of
communication, customers are not price sensitive but they
are sensitive to how the brand communicates and how the
information is disseminated. The internet, the
communication passed through the digital even if it is
considered a little sensitive but it is important in the
marketing strategies of these brands today.

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 The authors also addressed important cases to study, the case
of PRADA, CHANEL, LOUIS VUITTON. They presented the
different backgrounds and how these 3 brands that have
different origins and different stories have succeeded to be
among the most communs brands more value and more
luxurious in the fashion industry by using the storytelling
technique in the different communication strategies adopted by
each, This storytelling technique is also used in communication
strategies in communication strategies in social networks to
reach more customers and more audiences.

Other authors also discussed the same topic,

A. DOUGLAS and C. MOORE in their articles entitled THE
ATONOMY OF LUXURY BRAND raised this issue, it is said
that marketing in this sector and quite complex quite
expensive and quite sensitive, which refers to the
complexity of this sector and its difference from other
sectors in the same industry, others also supported the
research in the article analyzed, in the case of LV
( LOUIS VUITTON), that this brand is based primarily on
innovation, creativity, and excellence as the essence of
the brand.

The famous website and blog LUNCHMETRICS CONTENT

published in 2019 an article that discusses the same
marketing practice STORYTELLING, and that this
technique represents a large part in the construction in
the brand and in the communication of value and
prestige, it also describes CHANEL’s strategy by using
this practice in these websites to communicate more
with its community.

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 4 Perspectives
Using analytics of interactions and follower numbers on social media like Instagram
and Facebook to come up with a list of brands with the highest mobile interaction
and followers, which are: Prada, Chanel and Louis Vuitton, And taking it's like a
data to start the study, and give good perspectives for the latter, which is based
on the determination of the best digital and mobile marketing strategies carried
out by brands in the luxury fashion sector, with common denominators decrying by
consumers, and which are "beauty, rarity, quality and price"

According to the article, the authors have chosen to explain the subject from three
main perspectives:

 Speaking of the concept of luxury;

 Brand strategies;

 Marketing strategies in the luxury fashion sector.

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 Other perspective

The authors gathered this data basing on number of followers, the top 3 best brands
whom has the highest number of followers on Facebook and Instagram.

As the previous example cited in the methodology part(Top 10 most popular fashion
brands of 2015 (fashionunited.com)), we found that FashionUnited analysts have been
calculating each global fashion brand’s reach taking into account their social media
followers on Instagram, Facebook, Twitter and Pinterest, as well as social mentions
using hashtags and retweets, and finally adding how much Google search traffic each
brand received.

The top 10 most popular fashion brands is a mix of sportswear, high street retailers,
lingerie giants, as well as luxury designer brands. Which are Nike, Zara, H&M, Adida,
Victoria’s secrets, Macy’s, Forever 21, Michael Kors, Mango and finally Louis Vuitton.

We can see that those 2 perspectives have

one commun brand which is Louis Vuitton.

The French brand enjoys a large social

media reach, with just over 18 million fans
on Facebook, more than 8 million
followers on Instagram and 5 million on
Twitter. The luxury label also enjoys a high
amount of Instagram love with more than
19 million mentions during 2015, probably
helped by the opening of its free exhibition
in London and the popularity of its live
streamed fashion shows during Paris
Fashion Week.

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