Les moyens de développement de l'entreprise Hermès (document en anglais)

I. Market research

The sportswear market is dominated by some brands like Nike, Adidas, Puma ... But our market is not just sportswear, our market is the luxury sportswear. Actually our competitors are Hugo Boss, Prada, Gucci, Dolce and Gabbana…

The way of distribution is not the same for all brands, Nike, Adidas and Puma have an intensive selling strategy. Luxury’s brands need to have another way of selling. For instance, Hugo Boss and Prada follows an exclusive selling strategy, it means that they sell only in their own stores or in some specialized store (but they are chosen)

II. Marketing mix

 Product

The line we’ve created represent the French quality, it represent also The Hermès brand. We’ve created the Hermes Sport Line with these 4 tracksuits. Two are for Men, two are for Women. We have chosen the best ingredient in order to have the best tracksuit you ever seen: black felted jersey with black orange black signature web detail - hood with drawstring detail - front zip closure - side zip pockets - 93% Egyptian cotton and 7% elastam.

Egyptian cotton is known as the best cotton in the world.

Moreover the interior of the sweatshirt is in silk. Hermes silk is the best silk you can buy. We use an ancestral production. Our silk is produced in France, Lyon.

We wanted to let man and woman having our new collection, that’s the reason why we developed our tracksuit for both sexe.

We’ve chosen 2 colors:

- White: it is the main color of our brand, it also represent the pureness and the quality.

- Black: it represent class, something élégant, chic.

Orange is the color of Hermes and appears in both white and black.

We decided to produce our tracksuit in Bourgoin Jallieu in the district of la Maladière. Silk will come from Lyon (Pierre Benite) and will be assembled at the end, in La Maladière.

French production is more expensive but it is a synonym of very high quality.

 Price

In order to give a luxury image to our product its price will be high, we chosen 1500€ (2000$)

The price strategy chosen is the premium strategy that we can define by the fact that the customers are ready to pay more or a high price for the quality and the prestige of the product.

This strategy is possible thanks to the fame of Hermès Brand in the world of luxury and fashion. Moreover the silk we use is the same than in the carré d’hermes, which is very expensive. In the market we can observe that the price of tracksuit is of approximately 650 Euro (400 for D&G, 800 for Gucci, 700 for Prada)

But they do not use ingredients like we use, Egyptian cotton, silk…

For our opinion 1500€ is the good price.

 Place

We will sell our tracksuit only in Hermès stores around the world.

Sell in Hermès stores allows us to get a luxury

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