A brief look into the USPs of top 10 retail companies
The clothing retail industry is growing by leaps and bounds, thanks to the retailers who are contributing to the economy. The market grew approximately by 5.46 percent in 2019. Top companies like Inditex Zara, H&M, Fast Retailing, etc are engaged in capturing the market by adopting Unique Selling Propositions (USPs). USP is the core of many businesses which makes it more of an event than mere commercial activity. Here is a list of the top 10 retail companies and their USPs :
1. Inditex, Zara
Founded 34 years ago, Inditex Zara shines like no other. It is one of the most successful retail brands and the largest fashion group with over 93 markets and over 7292 stores across the globe. One of the main reasons for Zara’s unparalleled success is its customer-centric approach. Zara does care for the customers and their tastes and preferences. For example, they have introduced an augmented reality experience by which the customers can use their mobile phones to see the models wearing a selected outfit when they click on sensors in the store, or displayed on shop windows which are AR-enabled. The customer service is one of the best. Inditex had a leading sales revenue (28.89 billion USD) at the end of the fiscal year 2019.
2. Fast Retailing (Uniqlo)
Unique Clothing Warehouse or Uniqlo is a widely popular brand run by the Japanese company Fast Retailing. The owner, Tadashi Yanai, saw the vast potential in Japan’s market for casual wear, which expanded the business from only suiting to casual clothing. The USP of Uniqlo lies in its deviation from chasing the fast fashion trend, which is unlike any other competitor. Instead, the strategy is to inspire the world to dress casually, hence the brand philosophy stands at “Made For All”. This was a move to create a market beyond any restrictions of age, gender, or ethnicity. They offer brilliant customer service and the physical experience of shopping remains without a single complaint till date. The company also brands its signature innovations with names like LifeWear, HeatTech, or AIRism. This gives Uniqlo a unique identity of its own. Uniqlo’s sales revenue in 2019 was 21.51 billion USD.
3. Hennes and Mauritz (H&M)
This Swedish multinational company was founded in 1947. Now it is a staple for fast fashion in the fashion industry. The brand strategy is clear: simple and unpretentious. They focus on bulk production of cheaper quality products and make them available at reasonable prices. The target market for H&M is mainly the GenZs who are highly inspired by the catwalk trends and latest fashion. H&M is very innovative which enables them to design the clothes and manufacture them in a short period of time. They produce pretty much everything you need, from swimwear to accessories and even sportswear. The sales revenue turned out to be 21.50 billion USD in 2019.
4. The Gap
This is an American clothing retailer, founded by Donald and Doris Fisher in 1969. Gap has an excellent management team with proven skills. It excels as one store for the family with strong lifestyle and retail collections. Gap works with an excellent team that conducts extensive research on the market. This makes Gap thoroughly aware of the market and hence they quickly adapt to the latest trends. Unlike some competitors, Gap produces durable products. This attracts customers with a knack for long-lasting items. The company holds marketing campaigns through TV and social media. The sales revenue as per the 2019 analysis was 16.58 billion USD.
5. L Brands
One of the reasons behind L Brands’ success is its ability to adapt to the needs and demands of the target consumers. Besides Victoria’s Secrets, the company owns its flagship brand of Bath and Body Works. The brand offers affordable luxury. Besides, the company has developed strategies to entice women who wish to feel the luxury the brand promotes. Victoria’s Secret Fashion Show, one of the most popular international fashion shows, is another strategy that helped the brand’s promotion more than anything else. Celebrities like Taylor Swift have performed in the show. The revenue for L Brands was recorded to be 13.24 billion USD.
PVH operates some of the most iconic brands like Calvin Klein and Tommy Hilfiger. PVH has focused on digital transformation, a transparent end-to-end procurement process that links the requestors, approvers, and providers. They have gained brand strength through solid online campaigns and digital focus. Clavin Klein collaborated with Heron Preston to launch its first global product which promised to reinvent essentials. PVH has recorded a consistent and impressive performance on digital platforms. 9.66 billion USD was PVH’s sales revenue in 2019.
7. Ralph Lauren
An American clothing retailer, Ralph Lauren offers a wide range of products, including luxury clothing, housewares, furniture, jewelry, fragrances, and footwear. Ralph Lauren is known for its quality products which continue to remain its USP to date. The brand has affordable lines for the urban middle-class market. Ralph Lauren has brilliant digital marketing schemes; in Europe, the marketing campaign included 4D mapping. It remains one of the most innovative marketing campaigns to date. The sales revenue achieved in 2019 was 6.31 billion USD.
A UK-based retailer, NEXT has a strong brand image reputed for its distinctive style and high-quality products. The brand has various channels for customer’s access. NEXT has a very attractive website. There is a solid online foundation with easy navigation for the buyers. Strong and focused development of technology and a drive for improving its online presence are important factors that led NEXT towards success. They have one fastest delivery network and respond to customer inquiries promptly. They achieved revenue of 5.08 billion USD in 2019.
9. American Eagle Outfitters
The brand has a diversified range of products like Aerie and Kids. It is known for its low-rise jeans, graphic t-shirts, polo shirts, and henley shirts. The company targets customers with fashionable choices and offers trendy casualwear. Stylish and comfortable are what they offer the younger generation. American Eagle Outfitters’ global revenue in 2019 was 4.04 billion USD.
10. Abercrombie and Fitch
The company is a large retailer of casual wear, targeting customers with chic and adventurous style preferences. People with medium to high purchasing power can afford their items. They have strong brand advertising, the most innovative store format, and an amazing interior. They entertain the customers with music in the background while shopping. They also spray cologne on shoppers. The sales revenue for Abercrombie and Fitch in 2019 was 3.59 billion USD.