• Textile Industry and Fast
Fashion in Turkey
• History of H&M
• H&M Collections
• Brand Hyerarchy
• POPs and PODs
• Brand Elements
• Brand Associations
• Secondary Brand Associations
• Brand Marketing (4P)
Textile and Fast Fashion Industry in
• Turkey’s Textile and Clothing industry is regarded as a locomotive industry.
• Textiles and clothing are among the most important sectors of the Turkish
economy and foreign trade. Accounting for about 7% of the GDP together, these
two sectors are the core of Turkish economy in terms of GDP contribution, share in
manufacturing, employment, investments and macroeconomic indicators.
• These sectors had a 18,3% share in total export volume in 2013. According to
Social Security Institution statistics, there are more than 52,000 textile and
clothing companies in Turkey with more than 918,000 employees.
• Marks & Spencer
• Polo Garage
• Faik Sönmez
• Accessories and Euromoda
•(Zara, Bershka, Massimo Dutti, Pull and
•Park Bravo Group
Fast Fashion Retailers In Turkey
History of H&M
• 1947 The first store opens in Västerås, Sweden, selling women’s clothing. The store
is called Hennes.
• 1952 Hennes opens in Stockholm.
• 1968 Founder Erling Persson buys Mauritz Widforss, a hunting and fishing
equipment store. Sales of men’s and children’s clothing begin. The name is
changed to Hennes & Mauritz
• 1990s Progress continues in Europe with the opening of the first store in France in
1998. Newspaper and magazine advertising is complemented by outdoor
advertising featuring famous models. In 1998 H&M online shopping begins.
• 2004 H&M initiates designer collaborations starting with Karl Lagerfeld. More
collaborations follow with Stella McCartney, Viktor & Rolf, Madonna, Roberto
Cavalli, Comme des Garçons, Matthew Williamson, Jimmy Choo, Sonia Rykiel,
Lanvin, Versace, Marni, David Beckham, Anna Dello Russo, Maison Martin Margiela
and Isabel Marant.
History of H&M
• 2006 A major expansion of online and catalogue sales begins with the Netherlands as the first
market outside the Nordic region. The first stores in the Middle East open via franchise.
• 2010 The first H&M stores in South Korea and Turkey open. Israel becomes a new franchise market.
Online shopping starts in the UK. The first H&M Home stores open outside Sweden. Monki moves
into Asia with a store in Hong Kong. H&M becomes the world’s largest consumer of organic cotton
and continues to increase its use of sustainable materials in the following years.
• 2012 H&M opens in Bulgaria, Latvia, Malaysia and Mexico, and via franchise in Thailand. COS opens
in Finland, Italy, Poland, Hong Kong and Austria, and opens via franchise in Kuwait. The Monki
brand grows in China and Weekday opens in the Netherlands.
• 2013 The first H&M store in the southern hemisphere opens in Chile. H&M also opens in Estonia,
Lithuania and Serbia. Indonesia becomes a new franchise market. H&M introduces online shopping
in the US. The & Other Stories brand is launched in several European countries. COS, Monki,
Weekday and Cheap Monday also open in new markets. Weekday and Cheap Monday launches
online shopping. A global clothing collecting initiative starts in selected stores.
• H&M exists in 53 countries and as of 2013, employed around 116,000 people with
• It is ranked the second largest global clothing retailer, just behind Spain-based
Inditex (parent company of ZARA), and leads over third largest global clothing
retailer, United States based GAP Inc.
• The branding consultancy Interbrand ranked the company as the twenty-first
most-valuable global brand in 2009 and 2010,makin it the highest-ranked retailer
in the survey. Its worth is estimated at $12–16 billion.
• Sales during the period 1 March – 25 March 2014 increased by 12 percent in local
currencies compared to the same period the previous year.
• First store in Turkey opened in 2010 (Bayrampaşa Forum AVM)
• H&M does not own any factories, but instead works with 900 independent
suppliers, mainly in Asia and Europe.
• In 2013, the turnover including VAT increased to SEK 150 billion.
• H&M’s growth target is to increase the number of stores by 10–15 percent per
year and at the same time increase sales in comparable units. The growth is
• Online shopping is available in several European countries and in the US. H&M
sees potential for online sales in all markets.
• Quality is key for H&M – from initial idea to final product.
H & M Stores in Turkey
• 2014 - There are 22 Stores in Turkey;
• Istanbul (12)– Ankara (5)– Antalya (2)– Samsun (1) –
Gaziantep(1) – Antakya (1)
• H&M Home
•Current segment is defined as;
Teenagers and young adults(ages between 17-26)
Men, Women and Children
Teenage girls and young women are highlighted
•Target Market is;
Everyone who define themselves as hip, looking forward to change the
wardrobes to be trendy and follow the latest fashion themes.
Usage of Celebrity and Endorsers
Koton is perceived more suitable to
H&M is young and active whereas
Koton is classic and serious.
H&M is more desirable in terms of
being hip, modern and trendy where
Koton is more desirable being formal.
H&M - Limited locations in non-
suitable malls for the target market
Koton – Lots of locations in central
malls and outlets
H&M Company Core Values
• Believe in people
• One team
• Straightforward and open-
• Keep it simple
• Entrepreneurial spirit
• Constant improvement
Perceived Values of H&M
• Customer oriented
• Good showcases
• Cost – consciousness
• Always new
• Always trendy
•USA: 20 – 30 USD
•ASIA – PACIFIC: 40 – 55 USD
•TURKEY: 40 – 80 TRL
•Some malls far from the central
locations (Beylikdüzü, Bayrampaşa,
• 319 Turkish companies
•22 Points of sale in Turkey
•Accesories, Tops, Jeans,
Underwears, Shoes, Sportswears
•Organic fabrics, cotton, recycled
wool, organic silk, organic leather,
organic hamp, lyocell, rcy. plastic
•Return in 15 days
•H&M Loves OneLove
•Twitter and Facebook
•Virtual Dressing Room online
•Product replacement on local
•More active on Twitter, less on
• New retail stores in more central and hip locations (Beşiktaş, Kadıköy, İzmir
• Same loyalty programs in Europe should be applied in Turkey
• Local celebrity endorsement
• Sponsorhip programs on local TV shows
• Launching H&M’s Fashion for AIDS Prevention
• Expanding variety of products for men
• New prime product line should be launched in Turkey in order to compete
with Indietex group