Marketing Strategy of Gucci analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on Gucci marketing mix, help the brand succeed in the market. Let us start the Gucci Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Gucci marketing strategy can be explained as follows:
Gucci is one of the top most luxury fashion brands well known globally. Since its inception in 1921, the brand has established as a leading fashion label. Gucci has a diverse product portfolio in its marketing mix with great length, width and depth. Gucci product line ranges from handbags, shoes, ready to wear products, jewelry, watches and other accessories. It has products for men, women and children. It has great length in each of the product category. In handbags it has totes, shoulder bags, backpacks, clutches, crossbody bags etc. Each bag has different variety of colors to choose from. Gucci have duffle bags, briefcases, portfolios, totes and backpacks for men.
In their ready to wear segment they have jackets and coats, denims, leather and fur, skirts, tops and shirts, pants and shorts, sweaters and cardigans, sweatshirts, T-shirts and suits for men. Gucci have a range of fancy shoes for women like pumps, sandals, ballerinas, moccasins and loafers, slides and mules, boots and wedges. For men they offer laceups, boots, sneakers, sandals, loafers. Some of the loafers are made from precious skin. Gucci offer accessories like sunglasses, belts, scarves, luggage bags, wallet, hats, gloves etc. Gucci also has beauty products ranging from fragrances to nail paints, eye and face makeup. In the children section one can find clothes and shoes for new born and grownups of age 12.
Gucci Price/Pricing Strategy:
Below is the pricing strategy in Gucci marketing strategy:
Gucci mostly offers premium priced products. The price of the apparels depends on the quality of fabric and the work done on the apparels.
The pricing strategy in its marketing mix includes all sort of charges and expenses it incurs. When the products are exported the rate of the products increases due to several charges imposed on them. The materials used in making of Gucci products are of premium quality therefore the pricing of the products are also high. Their finished goods have a made in Italy trademark on them. Their prestigious pricing makes the product act as a status symbol. Even in other products Gucci follows premium pricing. Despite the pandemic, the pricing of the products were maintained, as the brand still maintains a supreme quality. Gucci’s customers are not affected by this because they get high quality products. Gucci tries to offer discounts time to time to enhance sales and keep their loyal customers happy.
Following is the distribution strategy in the Gucci marketing mix:
Gucci is optimizing its existing network to drive organic growth and profits. Gucci operates in Europe, united states of America, Asia, Middle East, Australia. Its major business functions are merchandising, marketing and communication, store planning. The collateral aspects of the Gucci’s business are handled by the support staff functions like Human resources, Finance, Corporate social responsibility, legal and corporate affairs. From product development to the technical area Gucci’s supply chain is very efficient and helps in delivering products with cutting edge innovation. It has 500+ directly operated stores, a directly operated online store which works in 25+ markets. Gucci have limited number of franchises and selected departments and specialty stores through which they sell their products. Their stores are placed in expensive up street locations keeping in mind their clientele. They have visually appealing outlets which give a great, relaxing experience to the customers. Each Gucci store is uniquely designed and have classic interiors. The services provided by the employees make the customers feel special and exclusive.
With the growing penetration of ecommerce websites, Gucci has spread its business via multi-brand online platforms as well.
Gucci Promotion & Advertising Strategy:
The promotional and advertising strategy in the Gucci marketing strategy is as follows:
Gucci makes itself visible through advertisements, banners, look books, social and print media as a part of its marketing mix. Their marketing campaigns features on various social media platforms like Facebook, Pinterest, YouTube, Instagram, Tumblr. They have hired various bloggers to promote their content on social media. Gucci also has an app in eight different languages and it is called Gucci style app. It acts as a magazine consisting of fashion, geo location tips, interactive videos etc. Alessandro Michele has been driving Gucci’s advertising campaigns effectively. He understands the importance of connecting the past history of Gucci with the contemporary outlook of the customers. It leverages the rich heritage of Gucci and its craftsmanship. The ad campaigns showcase contemporary designs focusing on the classy & young generation. Gucci’s fashion shows are well accepted and recognized by the fashion experts and by the targeted audience. Gucci has an excellent customer relationship services which acts as a huge means of word of mouth promotions. Gucci offers its client a repair service and also allows them to pre order items that are still under production. Hence, the marketing mix of Gucci luxury fashion brand is completed.
Gucci is an Italian luxury fashion house. It belongs to the French fashion giant Kering group. It was founded by Guccio Gucci in 1921 in Florence, Italy. Macro Bizzarri is the CEO of Gucci. Gucci’s competitors are Chanel, Prada, Dior, Hermes etc. Over the years Gucci has become one of the world’s most influential luxury fashion brands. It is redefining fashion and luxury under the creative direction of Alessandro Michele. An average of 10,253 employees working for Gucci. In 2016 it generated a revenue of € 4,378 million. It gets major chunk of its revenue from western Europe and North America. Leather goods are the most purchased products of the company. Chime for change is Gucci’s global campaign to empower girls and women around the globe. Gucci has its own museum depicting its history by the name of Gucci Museo.
Gucci is also playing a part in fighting the climate change. It has launched an environmental program to reduce waste, paper and water in all offices, warehouses and stores.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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