Partners in Crime

Master of Marketing students go to Melbourne

Although Salil and I both spent much of our Melbourne shopping weekend with our own vast retail agendas, we came together where, and when, it counted most. Our ‘shop until you drop’ instincts took control as we fought our way through the plethora of fabric, countless discounts, and long fitting room lines during a busy Monday afternoon at H&M. This ideally situated flagship store in the Bourke Street Mall alongside numerous tram lines has now created the perfect storm for Australian shoppers and foreigners alike. 

Seen below, I’m holding my recent purchases and Salil, yet to decide on his own. What you wouldn’t see from the photo however, is the size of the store. Not only is it massive, but it is catered to everyone’s taste and sense of direction with clearly marked sections based on style and department. In order for the brand to excel here in Australia, being that this store is the first of its kind nationally; the shopper experience has to be perfect.  

The Bourke Street Mall in Melbourne’s CBD was a well planned and coveted location from the very start. H&M can also capitalise on its positioning here specifically because its clothing is costing less for many customers then the other stores nearby, such as David Jones, Bardót, Forever New, etc. The product and price, alongside its location (place), help initiate the marketing plan for this retail giant. Fortunately, H&M has a very international and well-traveled consumer base in Australia, so most of their promotion has already been done through the foreign markets and shopping abroad.

Finally, although the brand is planning its opening of a second location in North Ryde, NSW, it could probably benefit further from retail partnerships such as with Westfield, in order to get better positioning in the following year when they plan to open up a Sydney CBD location in the Pitt Street Mall area. You have to be strategic when you go international, and coming from Europe while supplying daily updated New York fashion is not an easy task.

Ultimately, I think Salil and I both had an exciting and successful shopping weekend, but hit H&M the hardest since we can’t yet shop the brand in Sydney. The price was right, the location was central and easy to get to, and you couldn’t go wrong with the variation of styles offered for both men and women. So marketers, pay attention! This was a good example of how to create a strategic marketing plan in a ‘hard to break into’ retail market.

Christine Drpich
Current student in the Master of Marketing program at the University of Sydney Business School