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CONTENTS EXECUTIVE SUMMARY 05
INTRODUCTION
COMPANY SUMMARY 06
OVERVIEW
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CURRENT POSITIONING IN THE MARKET
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CURRENT PLACEMENT
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CURRENT PROMOTIONAL ACTIVITIES
MARKET ANALYSIS 17
SIZE OF THE MARKET
20
KEY PLAYERS
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COMPETITIVE LANDSCAPE ANALYSIS
TARGET CUSTOMER 23
DEMOGRAPHIC SEGMENTATION
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LIFESTYLE/PSYCHOGRAPHIC
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CUSTOMER PROFILE MOODBOARD
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The purpose of this proposal is to creatively apply the basics of fashion marketing practices and the role of fashion aesthetics explored in LXFM 501 to the creation of the brand extension.
5 PS STRATEGY FOR PORPOSED EXTENSION 27
HOTEL DESIGN STRATEGY
28
PRICING STRATEGY
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PLACEMENT STRATEGY
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PROMOTION STRATEGY
CONCLUSION 32
CONCLUSION
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REFERENCE PAGE
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I. EXECUTIVE SUMMARY
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Fashion designer brands extending their reach into the hospitality industry is not something new. There are already many well-done extensions such as “Palazzo Versace,” “Armani Hotel” and LVMH’s “The White 1921,” just to name a few. Although the hospitality industry is extremely competitive, we believe Hermès still has a great chance to succeed due to its many unique strategies. Competitors can copy anything, be it the services provided or the hotel’s’ design features, but the brand is one thing that is hard to duplicate and Hermès is a global lifestyle brand unlike the rest. It has a rich and glorious history, its product lines span from pencils to furniture and it has millions of high-profile loyal customers all around the world, which are the key factors for a successful hotel business. Furthermore, Hermès’ hotels are going to be highly priced, which eliminates a lot of lower-end competition. Customers willing to pay high prices for hotel stays will prefer hotels with style, history, service and comfort, which are the characteristics that can be associated with Hermès. Moreover, Hermès hotels will offer a chance to the existing and prospective customers, to truly live the Hermès experience; from the moment guests are picked up from the airport in a luxury car decorated with Hermès leather interior, to the moment they lay their heads on the luxurious Hermès pillow cases. The experience will be unforgettable and integral to the Hermès’ story. Today, customers are more willing to pay for experiences than ever before, and we believe Hermès hotel is a great way to venture into that profit. The biggest threat to this extension is that Hermès can lose control over its brand image. Since Hermès does not have any experience in the hospitality industry, it will have to license its brand name to a partner within the industry. If this is a joint venture and ends up not being monitored closely; low quality and an unsuccessful hotel could bring bad publicity to the brand. Furthermore, hospitality industry is highly volatile and heavily influenced by the economic conditions. Therefore, an economic downturn could steer customers away from Hermès hotels’ high price tag and expose them to financial risks.
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II. COMPANY OVERVIEW 2015 ANNUAL REPORT
A. OVERVIEW
Description of the brand Hisotory timeline Mission statement Current products and service Current ownership structure and organization Current revenue Environmental factors Future growth plans Proposed potential brand
B. CURRENT POSITIONING IN THE MARKET
Perceptual map (price/accessibility matrix)
C. CURRENT PLACEMENT All channels for distribution
Sales vloume distribution
D. CURRENT PROMOTIONAL ACTIVITIES Annual spend figures Details of current advertising activities
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DESCRIPTION OF THE BRAND The French house of Hermès was established by Thierry Hermès in 1837 as a harness workshop in Paris, specializing in saddles and fine equestrian leather goods. Over the years, the brand has come a long way and is known to create the most exclusive handbags in the world. The brand is an epitome of true class and elegance and carries a heritage of 179 years. Hermès is often identified with its orange boxes. The history dates back to the World War 2, when the company’s packaging supplier ran out of its traditional browntrimmed beige box. During that time, they were left with no other option but to use the only orange paper that was available. The brand continues to use the traditional orange boxes even today. Hermès is a popular brand among the elite class of the society and some of its celebrity clients include Madonna, Kim Kardashian, Victoria Beckham, Nicole Kidman and Lady Gaga.
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HISTORY TIMELINE Thierry Hermès founded the brand Hermès as a harness workshop, which specialized in making horse saddles and equestrian accessories.
The first leather bag was introduced by the brand.
1922
1837 1900
The first Hermès silk scarf was introduced. (Mark 2011)
1937 1935
Hermès designs the ‘Haut a Courroies’ bag; a large bag intended to carry saddles.
The first version of the Kelly bag was launched; called Sac à dépêches, The brand started focusing on International market. 8
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Hermès began to logo. The brand ing their iconic The perfume div establis
The Birkin bag was introduced.
Hermès expands its flagship store in Paris, with the purchase of 28 Rue Faubourg Saint-Honore
The iconic Birkin bag is considered to be a better investment than stocks or gold even today.
1978
2007
2016
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o use a caléche d started utilizorange boxes. vision was also shed.
2013
2003
After Jean Louis Dumas’(great grandson of Thierry Hermès) retirement, Patrick Thomas became the head of Hermès.
Sixth generation Hermès family member, Axel Dumas, is named CEO of the company and remains in position today
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Mission Statement: 1. To provide customers with the highest quality of craftsmanship. 2. To be the leader in quality fashion. 3. To achieve a timeless elegance that no other brand can imitate. 4. Pay close attention to the smallest details. (Annual Report 7) Products : Leather goods(47%), Women & Men’s RTW and accessories (Shoes, belts, scarves and ties), Jewelry, Watches, Fragrances, Tableware and Home, Equestrian and Petit h. Services : Purchase Services and Post-Purchase Services 1. They are present internationally via a network of exclusive stores and retail shops. 2. They make custom made handbags and many other leather products. 3. They are specialized in the design, manufacturing, and marketing of luxury products. 4. Purchased leather goods can be delivered to the factory and will be fixed by the same handcraftsmanship who made the product. Current Ownership Structure and Organization The descendants of Hermès’ founder, Emile Hermès still has more than 50% of the company’s stocks, while the rest of the company’s stake is in the hands of institutional and individual investors. Hermès’ stock is publicly traded in the Paris Stock Exchange. The company utilizes a divisional structure, in which the parent company Hermès International controls many individual divisions such as leather goods sector, home sector and Hermès Horizons. (Annual Report 24) ◊ Current Revenue In the most recent financial year 2015, Hermès had a revenue of 4841 million euros. The company has seen a healthy increase in revenue in recent years, namely 3484 million in 2012, 3754 million in 2013 and 4118 million in 2014. Due to the current condition of the luxury market, we can expect only a small increase in revenue for the year 2016. In short, Hermès has a bright long term financial future ahead. (Annual Report 20) 10
Environmental Factors Affecting the Business Preserving Biodiversity: Biodiversity preservation is addressed by each individual metier in line with its specific issues. For example, Hermès abides by the laws intended to combat illegal logging, such as the Lacey Act in the United States and the EUTR (European Union Timber Regulation), and the guidelines of the Washington Convention (CITES), protecting endangered plants and animals worldwide. Furthermore, sheepskins and cowhides used by Hermès are procured from European countries, and partnerships have been established with tanners. (Annual report 2015)
the method and scope indicated by the legislation (direct emissions generated by fixed and mobile sources, and indirect emissions associated with the consumption of electricity, heat or steam). Since 2013, the group has been equipped with the tools needed to carry out an annual update of the overall assessment of greenhouse gas emissions from its production and distribution sites. The results of this study provide data for analysis of the group’s environmental impacts and enable action plans to be drawn up within the framework of our Water-Energy- Carbon-Waste plan, which has been in place since 2010. The activities being highly diverse and emissions varying from one division to another, each métier drew up a plan addressing its own issues. All the measures taken within this programme are aimed at reducing Hermès’ impact on climate change. For example, the attention paid to the consumption of fine, rare raw materials of exceptional quality is a major concern for the Leather Goods division. Its consumption is optimised by jointly implementing the best practices and taking steps to minimise rejects and re-use offcuts. (Annual report, 2015)
Sustainable Use of Resources: In 2015, the concept of the pop-up store, with re-use of furniture, was rolled out to Europe, America and Asia. Materials: In partnership with suppliers, systematic efforts are made to give preference to locally sourced materials whenever possible. In recent years, an indepth analysis of the materials employed in stores helps to refine the way in which they are selected and thereby, to significantly reduce their environmental impact. For example, the use of brass is banned and replaced by aluminium in order to reduce the weight of furniture and simplify recycling. Pure wool carpets are laid using a plant-based adhesive, so that they can be recycled when replaced. Lastly, since 2014, a proportion of the leather offcuts from leather goods’ workshops is systematically used to cover counters in all stores and artisans’ workbenches. (Annual report 15)
Establishing Secure Relationships With Partners All Hermès’ production and distribution sites maintain constant dialogue with local authorities and stakeholders to ensure that they are fully integrated within the local community and nurture relationships based on trust, responsibility and good neighbourliness (Annual report, 2015). This makes it a positive environment for business.
Bilan Carbone (Carbon Assessment) In 2015, Hermès published its Bilan Carbone, as per
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Proposed 1: Hermès Athleisure
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Propose 2: Hermès Hotel
Future Growth Hermès will continue to pursue its long-term development strategy, that includes sustainable development, enhancing the production process by choosing the cleanest possible technologies, and establishing secure relationships with their partners. Hermès will also increase the production capacity and open new boutiques worldwide, in order to expand their business, meanwhile, bring new and younger customers into their stores. (Annual Report 79)
Proposed Potential Brand Extension 1. Hermès Hotel Industry : The brand can venture into the hotel industry, trying to impart its richness and comfort, by providing a luxurious stay to its customers. 2. Hermès athleisure : This category of apparel is on high demand and is becoming increasing popular in the current market.
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Current Positioning in Relation to Top 10 Direct Competitors Price
Exclusivity
Brands Dior Chanel Prada Balenciaga Miu Miu Valentino Gucci Burberry Louis Vuitton Fendi Hermes
Accessibility
Directly Operated Stores (Numbers) 194 120 388 62 173 116 278 215 460 200 210
Presence in Department Stores Low Low Mid Low Low Low Mid High Mid Mid Low 14
Merchandising Online
Nor for sale online Limited Most available online Most available online Most available online Most available online Most available online Most available online Most available online Most available online Limited
Current Placement Hermès current has 307 physical stores, of which 210 are directly operated and 97 are concessionaries. Hermès also has a very small online presence, and limited items are sold through their online channel. The company allows their fragrances and watches to be sold through third-party distributors, and the prices are tightly controlled by Hermès. In terms of revenue distribution, Hermès makes more than 80% of their revenue from their directly operated stores, which is one of the reasons why they were able to weather the financial storm extremely well. Their online channel accounts for only 2% of their revenue while the other 18% of revenue comes from the concessionaires. (Annual Report 15) Current Promotional Activities Hermes addresses its advertising activities as “communication,” and it spent 207.4 and 214.6 million euros in the same during the year 2014 and 2015 respectively. Hermès never uses mass media such as TV, radio and email lists to promote its products, because the brand does not want to be conceived as accessible to the masses. The company has a small presence on social media compared to its competitor, Louis Vuitton, who has 7 times more likes on Facebook and 4 times more followers on Instagram. Hermès still focuses on traditional print advertising, and it chooses to advertise in select high-end fashion magazines, such as Vogue and Harper’s Bazaar. Hermès’ fall/winter 2016 ad campaign “Grandeur Nature” focuses on the harmony between their products and the nature, indicating the natural beauty of their products and the sustainable business model, for which the brand works hard to achieve. The company gives importance to face to face communication with its customers, and that is the reason why Hermes sponsors the travel of its artists, around the world, to host events in which customers can see the products and the production process, first hand. (Annual Report 188)
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III. MARKET ANALYSIS A. SIZE OF THE MARKET
Size of the market of proposed locations PEST analysis SWOT analysis Core competencies and competitive advantage
B. KEY PLAYERS
C. COMPETITIVE LANDSCAPE ANALYSIS Perceptual map (Style/Price)
16 Le Jardin de Monsieur Li fragrance.
Paris, France
23 South Korea 17 Japan 41
Hong Kong 7
Taiwan 9
Saipan 1
Macau 3
d3
Philippines 1
Guam 1
Vietnam 2
Indonesia 2
Australia 4
Tokyo, Japan
New York, United Staes
Shanghai, China
Size of the Market of Proposed Locations The proposed locations for the Hermès hotels are Shanghai, Tokyo, New York and Paris. The global hotel industry was forecasted to generate 550 billion U.S. dollars in revenue in 2016. The highest contributor to this figure was the British hotel chain InterContinental Hotels Group which, in 2013, made 21.6 billion U.S. dollars in over 4,600 hotels worldwide. Other major players in this industry include Hilton Worldwide and Marriott International with 3,992 and 3,672 hotels, respectively, across the world (The statistics portal).
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followers within a social group. They would buy or avail any service that most of their fellow mates are buying. Thus, brands and services become one of the emblems of certain groups, differed by consumption levels. (Li,18) Chinese consumers are brand conscious, 45% of them believe that higher pricing corresponds to better quality, compared to 16% in the US and 8% in Japan .( Chevalier, Michael & Lu, Pierre, “Luxury China: Market opportunities and potential”, 2010). Therefore, Chinese consumers are willing to pay more for brands than their counterparts in the rest of the world.
PEST Analysis Political : The politics in the luxury sector would be customs duty, import VAT and consumption tax. 1) Custom : Despite falling international tariff rates, luxury goods remain subjected to high customs duties within mainland China. The non-dutiable costs such as royalties, the Free Trade Agreements and tariff classifications and other custom issues should be carefully evaluated. 2) Special trade zones : Free trade zones and Bonded Logistics Parks are located in major cities like Shanghai. These special tariff areas are regarded as outside of China for customs purposes. Goods can be stored here and not subject to import taxes until shipped into China’s domestic market. Similarly, this could be applicable for various cities in other countries as well. 3) Transfer pricing policies: Transfer pricing focuses on making sure that tax deductions are not claimed for overvalued goods purchases, thus reducing taxes payable. (Li,16).
Technological : Advancement in technology helps in advertising and promoting the Hermès hotel. Consumers can get information about the hotel through internet ads than via TV / print ads. Online advertising technologies (e.g. banner ads, online classified advertising, e-mail marketing, rich media ads and even social networking advertising) will enable the hotel to deliver messages to the public. Social networking can be an important tool for a luxury hotel in guiding and managing consumers. (Li, 19)
Economic : Considering the expansion of Hermès hotel in China, the GDP per capita of Suzhou has already caught up with all the 1st-tier cities and disposable income per capita of Hangzhou, Suzhou, Dongguan, and even Wenzhou, a 3rd -tier city are now at the same level with those of 1st-tier, even higher than Beijing. We can conclude that there is much potential growth of luxury market in these affluent 2nd-tier ones. (Li, 18) Social : Very often people are more likely to be
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SWOT ANALYSIS INTERNAL FACTORS
EXTERNAL FACTORS
Strengths 1. Hotel Hermès is owned by a reputed luxury brand which has a strong brand name and global presence. 2. Exquisite place for a weekend getaway or family get-togethers, where one can experience utmost luxury and class. 3. The brand has gained customer loyalty due to its existence over a long period of time. 4. The high-end positioning and pricing enables Hermes hotel to not face extreme competitive influence.
Weaknesses
Opportunities
Threats
1. New venture, easy to experiment and explore different services within the hotel.
1. Competitor hotels can imitate services, marketing and pricing strategies.
2. Expand its presence in emerging countries and popular tourist locations.
2. Big one- time investment by the brand.
1. Target market/ customer base is niche, as it is exorbitantly priced and aims at the elite class only. 2. Current global economy is uncertain.
3. Attract new customers
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Key Players and Competitive Landscape Analysis
Price
Style
Core Competencies and Competitive Advantage: The brand Hermès carries a rich heritage and legacy for 179 years. This brings it an edge over the other competitors as Hermès has been a trusted brand over a long period of time. Hermès has a stronger and a more loyal customer base. What sets it apart is that the Hermès hotel is super exclusive, creates a desire and aspiration among the customers, to book a room and avail its royal luxury services. Competitors include Four Seasons Hotel, Intercontinental Hotel, Armani Hotel and the like.
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Key Players 1. Marriot International. 2. Intercontinental Hotels Group 3. Hilton Worldwide Holdings. 4. Wyndham Hotel Group. 5. Jin Jiang International. 6. Choice Hotels. 7. Accor Hotels. 8. Best Western Hotels & Resorts. 9. Home Inns Hotel Group. 10. Carlson Rezidor.
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Pump in silk satin and suede goatskin.
IV. TARGET CUSTOMER A. DEMOGRAPHIC SEGMENTATION Gender and age Income and education Geographic B. LIFESTYLE/PSYCHOGRAPHIC/BEHAVIORAL SEGMENTATIONS Work activities Leisure activities Beliefs Technology usage Media consumed Shopping habbits
C. CUSTOMER PROFILE MOODBOARD Composite profile
REGISTRATION DOCUMENT FILED WITH THE AUTORITÉ DES MARCHÉS FINANCIERS In accordance with Article 212-13 of the AMF General Regulations, this shelfregistration document, which contains the annual financial report and comprises volume 1 and volume 2 of the Annual Report, was filed with the AMF on 14 April 2016. This document may be used in support of a financial transaction only if it is supplemented by an offering circular approved by the AMF. This document has been drawn up by the issuer and implies the responsibility of its authorised signatories. This document is a free translation into English of the “Document de Référence”, originally prepared in French, and has no other value than an informative one. Should there be any difference between the French and the English version, only the Frenchlanguage version shall be deemed authentic and considered as expressing the exact information published by Hermès.
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Target Customer Demographic Segmentation Gender: Men and women Age: Primary: Over 50 years old Secondary: Men who are 25 to 49 years old and women who are successful and have a family. Income: Over $250,000/year Education: Bachelor’s degree or higher Geographics: Lives a modern life in Tier 1 cities at China, Japan, France, America and other European and Asian countries. (Annual Report 20)
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Customer Profilescape Analysis Lifestyle/Psychographic/Behavioral segmentation Work: She/he owns a private company or is the CEO, or is placed at a high position in a company. She can also be a celebrity who is fashionable and rich. Leisure activities: She likes to play golf with her business partners and friends. During holidays, she loves traveling around the world and always lives in luxurious hotels. While traveling, she prefers reading magaines on the airplanes. She usually visits art museums or attends a concert every other month with her family members. Beliefs: She ensures that she gets the best quality and superior service at all times and considers herself to be a sophisticated, elegant and a confident woman. Usage of technology: She is a techno-savvy woman. She opts for gadgets that use advanced technology such as, artificial intelligent machines for housekeeping and other high-tech gadgets that are used in her house and her transportation. Media consumed: She gains information from TV, websites, and magazines. She also uses facebook and instagram, in order to be more involved in social networking websites. Shopping habits: She shops for high quality, classic clothing and accessories, unique objects, from furniture and lighting to home textiles, furnishing fabrics, tableware, and other items for personal creations. Basically, most of the products merchandised by Hermès are something that she will buy.
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Ultra Rich Successful Mature High Income Sophisticated Confident
Simple Elegant Classic Quality High End Unique
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Singapore 7
Indonesia 2
Australia 4
V. 5PS STRATEGY FOR PROPOSED EXTENSION A. (PRODUCT) HOTEL DESIGN STRATEGY
Hotel concept pictures Detail explanation
B. PRICING STRATEGY
Price point Service price
C. PLACEMENT STRATEGY Locations
Poisitioning, brand fit, and established relationships
D. PROMOTION STRATEGY Advertisement Social media marketing
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Hotel Design Strategy
Entrance: 1. Every pillar at the entrance has “Hermes” engraved on it. 2. The brand’s “H” logo can be spotted at the top of the door frame. 3. Valet parking services are offered by the hotel Hermes.
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Hotel Design Strategy
Reception : 1. A self-illuminated;“H” logo can be spotted at the front desk. 2. The indoor pillar has orange detailing. 3. The carpet that is used has ‘H’ of Hermes printed on it. 4. The hotel staff welcomes customers with a refreshing welcome drink, once the guards at the door let you inside.
Dining area: 1. “Hermès” prints its own seat cushion covers. 2. The tapestry used, is orange in color. 3. Transparent, floor length windows ensures a clear view of the exotic and scenic backgrounds.
Sit-out Area : 1. The sit out area is an escape from reality. The royal and presidential suites, and the palatial penthouse, have this sit out feature. It makes you feel like you are on a perfect holiday at the Hermès hotel. 2. Orange “H” logo prints cushion and pillows are place on the seats. 28
Bedrooms : 1. The bedrooms are angular in shape with patterned carpet flooring. 2. The blanket has an all-over print of the Hermès logo. 3. The orange nightstand harmonize with the blankets 4. The vases with flowers, add a touch of romance and goodness.
Bathrooms: 1. The gold plated “H” Logo bathtub and occasional wooden detailing makes it look chic. 2. The octagonal window adds charm to the entire set-up, with the brand’s iconic color- Orange, being used all along the window panel. 3. Indoor plants have been used in the interiors to give a serene feeling to the customers. 4. Lighting through the false roofing will enhance the entire look and create a good mood. 29
Price Strategy Hermès is an exquisite and premium luxury hotel that provides the best facilities, exclusive comfort and a royal feel to all its customers. The pricing is in par with its competitor hotels in major cities around the world. It aims at creating a sense of aspiration and celebration, among people, which should bring about an urge to book a room at the Hermès hotel. Guest rooms Studio Single room Twin room Super Deluxe room Suites Royal Suite Presidential Suite Palatial Penthouse
$1000 per night $1200 per night $1400 per night $1600 per night $2500 per night $4500 per night $9000 per night
SPA treatments range: $250 to $1250
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Placement and Promition Strategy
Placement strategy (distribution) We will introduce Hermès hotels in four major cities, including Shanghai, Tokyo, New York and Paris. One reason for this decision is that China, Japan, USA and Paris are major revenue sources for Hermes, which means that the customers there already recognize and adore the products of the brand. Therefore, Hermès hotels will have a better chance succeeding at these locations. Another reason is that these cities have very high concentration of ultra-rich individuals who will be able to afford the high price tag of a Hermès hotel room. Moreover, these cities are among the most popular tourist destinations in the world, which gives Hermès hotels an international exposure and word-of-mouth advertising. Hotel sales channels should include its own website, online and brick-mortar travel agencies. Hermès hotel’s website serves not only as a sales channel, but also a place where Hermès can present its luxurious lodging experience to the world. Online and physical travel agencies cater to both younger and older generations of customers. (Annual Report 59)
Promotion strategy (communication): 1. Traditional print media such as newspaper and magazines (Including their websites). Only certain magazines related to luxury and travel should be selected, such as “Departures,” “Luxury Travel”, “Travel + Leisure” and “Harper’s Bazaar.” 2. Social media such as Facebook and Instagram should display stills and videos of the hotel with a focus on the hotel’s luxury features. 3. Search Engine Optimization such as paid google search, should be utilized so that, Hermès hotel appears on the front page when people search for keywords such as “luxury travel” or “luxury hotel.” 4. Collaborate with luxury transportation : Airline’s first class programs, Cruise Lines through magazine placements or events. We will target first class passengers and cruise ship riders, especially the ones with destinations to Shanghai, Tokyo, New York or Paris. 31
V. CONCLUSION Strategic brand management does play a significant role in the steady growth of a brand. It is important for a brand to maintain and improve its positioning in the market, while nurturing its assets and at the same time, opening up new horizons to expand its customer base and bring in more profits for the company. Carrying a legacy of 179 years on its shoulders and having been creating the world’s very popular Kelly and Berkin leather bags, the brand Hermes, now ventures into a new brand extension, which is the Hermes hotel. The hospitality industry has proven to be a promising platform in a long period of time. Having been a successful brand in the industry, Hermes surely knows the knack to offer the best services that can keep the customers happy and loyal to them. A lot of consideration is gone into understanding the niche market, the customer base, the location, the economy etc. in order to create a brand extension. The brand’s fashion aesthetics and marketing strategies contribute to the creation and acceptance of this brand extension. The Hermes hotel is a luxurious paradise, which offers the best of everything. The hotel rooms and services are exorbitantly priced, primarily focusing on the elite class. The brand believes that their price points will make them inaccessible to everybody, thus helping Hermes to maintain a strong and an exclusive brand image. However, the hotel promises to provide a wholesome royal experience to all its customers. Hermes has always maintained a strong reputation for the best quality leather bags and for distributing its boutiques in fashion districts especially in Asian luxury markets. The Hermes hotel will now be opening up in USA, Paris, Japan and China, as they account to major revenue sources and the brand has a strong customer base in these countries. We therefore believe that the Hermes hotels will be successful in these proposed locations. Finally, Hermes will sustain its competitive advantage over the other competitors in the market, by implementing these strategies and executing them in the best possible way.
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WORKS CITED Alias. “A timeline of the Hermès brand.” https://baghunter.com/blogs/insights/hermes-brand-history-timeline, Accessed 27 November, 2016. Alias. “Fashion Marketing secrets.”https://fashionmarketingsecrets.com/2013/07/23/hermes-success-story/ Alias. “The statistics portal.” https://www.statista.com/topics/1102/hotels/ Accessed 27 November, 2016 Alias. “Various Environmental factors affecting Marketing Functions.” https://ebstudies. wordpress.com/2012/07/19/various-environmental-factors-affecting-marketing-function . Accessed 27 November, 2016 Chevalier, Michael & Lu, Pierre, “Luxury China: Market opportunities and potential”, 2010 http://llenrock.com/blog/top-10-largest-hotel-groups-in-the-world/ Accessed 27 November, 2016 Farrell, Sean. “LVMH and Hermès settle long-running dispute over ownership stake” https://www.theguardian.com/business/2014/sep/03/french-brands-lvmh-hermes-settlelong-running-dispute-ownership-stake, Accessed 27 November, 2016 Hermes Annual report 2015. finance.hermes.com/var/finances/storage/.../630394b9a95603bf81b399744dbbf044.pdf Accessed 27 November 2016 Li, Boyi. “Analysis of Business Opportunities for Luxury Brands in Second-tier Cities in China”, 2012, page 16, https://www.politesi.polimi.it/bitstream/10589/50822/1/down_2012_4_4_ 634691086827031250.pdf Mark. “History of Hermès”, Fashionintime, 15 January. 2011, http://www.fashionintime.org/ hermes/ Accessed 27 November,2016. Winterbottom,Jo ; Wendlandt, Astrid. “It’s all about distribution, luxury execs say”.10 June, 2009 http://www.reuters.com/article/us-luxury-summit-distribution-idUSTRE5592LO20090610
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