Hugo Boss like many people say is a famous perfume with the most adorable varieties when it comes to offering quality perfumes for men. But, this is not really true. In fact, it is a complete brand offering clothing, accessories, footwear, and fragrances. It is a German brand and one of the most famous and old clothing company. The company produces products for both men and women. It also manufactures clothing for kids. The company owns more than 1100 stores globally and with a healthy portfolio of €2.9 billion in 2019, the company surely is showing immense potential for future growth.
This article will try to elaborate in-depth analysis of the marketing strategy of the brand, its various products and their characteristics, and a brief history to start with. The discussion will also highlight the marketing strategy of Hugo Boss including 4 P’s of marketing (Marketing Mix) and SWOT analysis of the company.
The discussion will wrap up by giving some of the stats and final words for its current and future business strategy and some of the challenges the company can overcome to maintain a healthy growth rate in near future.
HISTORY OF HUGO BOSS
Before moving forward, it is better to go through some of the history of the company. This will reflect how the brand has emerged itself to be the most loving brand of this age. Some of its main achievements and growth phases over the years are discussed below:
Hugo Boss founded the company in Germany in 1924.
He entered into a partnership with two more people and opened a factory for producing shirts, jackets, work clothing, sportswear and raincoats.
He joined several organizations and expanded the brand presence by selling its products to the tune of $26,993 U.S. dollars in 1932. These increased to over 3,300,000 RM in 1941.
The company designed uniforms for the Nazis during World War II.
In 1950, the company started to manufacture suits for men.
These suits became a brand identity of the company during the 1970s. The company registered them as a trademark in 1977.
HUGO BOSS SINCE 1984
The company launched its first fragrance in 1984.
It launched the Hugo and Baldessarini brands were introduced in 1993.
In 1995, the company launched its first footwear range.
The company has expanded itself in more than 120 countries with 6000 plus locations.
The company has offered a wide range of products under different brand names. They share different portfolio in the company’s financials and include:
BOSS Hugo Boss (68%).
BOSS Selection at 3%.
BOSS Green at 3%.
CURRENT BRAND IDENTITY OF HUGO BOSS
Hugo Boss is currently offering different products with an aim to provide a complete fashion solution for both men and women. The brand has expanded itself to more than 6000 locations globally in more than 120 countries. This is also the result of a strong distribution and sales network in regions like the Middle East, Europe, North America, and the Asia Pacific.
The company generates its revenues from the sale of perfumes, clothing, accessories, footwear for both men and women. To keep its avenues open for different products, it has segregated its business into different services so that the business gets afloat even its one segment or division underperforms on certain occasions.
MARKETING MIX OF HUGO BOSS
A marketing mix refers to the company’s strategy of branding itself in the global market. These include Product, Price, Place, and Promotion also known as 4 Ps of marketing. The marketing mix of Hugo Boss is discussed below:
As discussed, the brand generates its revenues from different products. The important aspect about these products is that they are made for every segment of society with varied fashion tastes. Some of them include:
The company offers its products at affordable prices.
It sells its products through different stores and retail outlets around the world. The brand has also been a supporter of online means to reach customers around the world.
The brand has been successful to integrate both digital and traditional marketing strategies for its promotional purposes. The different means used by the company include:
SWOT ANALYSIS OF HUGO BOSS
To understand the marketing strategy of Hugo Boss in detail, here is an overview of the SWOT analysis. It includes
- Exclusive designs.
- Strong brand image.
- Huge presence in more than 120 countries.
- Wide range of products.
- Better or similar products from competitors.
- Marketing campaigns are limited to traditional means rather than modern ones of digital marketing.
- Still has a low market share knowing the fact that it has still got a better and wide market presence in more than 120 countries.
- Can use online means to increase market share
- It can also come up with promotional campaigns during certain seasons and on certain occasions to build its market share.
- Implications of the pandemic of COVID-19.
- Trade wars between developed economies.
- New entrants can easily take market share by offering lower prices than Hugo Boss.
This discussion clears the point that Hugo Boss is more than just a famous perfume. It has a strong brand identity globally. Unlike its competitors, the company has managed its resources efficiently over the years to study the nerves of its customers and to offer them a different range of products including perfumes, clothing, accessories, footwear, etc. But, the question of unforeseen circumstances like the consequences of a pandemic of COVID-19 has been a concern for companies around the world. This is coupled with the sales and distribution models that will surely be revamped after the COVID-19. Hugo Boss has to address this issue.