Calvin Klein is a global lifestyle brand founded in 1968 known for its bold and progressive ideals. It produces luxury products across multiple categories including clothing, accessories, perfumes, and home goods. While Calvin Klein has strong brand recognition, it faces threats from increasing competition and needs to maintain its unique image and streamline operations as it licenses products worldwide. Going forward, Calvin Klein seeks to transform the customer experience through technology and personalization across online and in-store shopping channels.
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We were to create an IMC plan in order to execute our strategies for H&M. We created a new campaign with a "home sweet home" theme in order to expand their H&M Home line in other major cities. We also made recommendations for H&M in terms of PR, media, advertising, and etc. This is a PDF version of our IMC plan that also includes designs of our H&M Home Loyalty program cards, advertisement, and screenshot examples of social media. Template/designs by Savannah Kuang and loyalty program design by Mekynzi Sotello.
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Key points:
- Why is Gucci a disruptive brand? (3 main pillars)
- Why is Gucci a luxury brand?
- Analysis of the narrative and of the brand contract;
- Further recommendations.
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2. About Calvin Klein
• Calvin Klein Incorporated, better known internationally by its brand name Calvin
Klein, was founded in 1968 by Calvin Richard Klein in the city of New York, USA. It
is a global lifestyle brand that exemplifies bold, progressive ideals and a seductive
aesthetic. The brand seeks to thrill and inspire the audience while using
provocative imagery and striking designs to ignite the senses.
• The company is one of the most well-known fashion labels in the world with
significant presence in multiple categories like leather, lifestyle accessories,
perfumery, home furnishings, watches and ready-to-wear luxury products.
• The brand is currently owned by the Philips Van Heusen (PVH) Group and is
headquartered at Manhattan, New York. The brand primarily targets the affluent
upper middle class and positions its products and designs as exclusive “haute
couture” pieces with its high-end designer lines often promoted by supermodels
and celebrities of the movie industry all over the world.
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Fashion is about change. It’s fun to keep changing and to change the silhouettes, to change the fabrics and to change the color.
- Calvin Klein
3. Calvin Klein: Mission, Vision and Value
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It [fashion] should be really contemporary, and we should be answering people’s needs.
- Calvin Klein
4. The Calvin Klein logo is highly
minimalistic, which is quite in
keeping with the logo strategy
commonly followed by many
renowned fashion houses. It is an
acronym of the company’s full
name.The white color represents
the charm and the purity of Calvin
Klein while the black reflects its
sophistication and elegance. The
brand’s name is written in Futura
typeface.
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Significance of the logo
6. MARKETING MIX
• Marketing Strategy of Calvin Klein analyses
the brand with the marketing mix framework
which covers the 7Ps (Product, Price, Place,
Promotion, people, physical evidence,
process ). There are several marketing
strategies like product innovation, pricing
approach, promotion planning etc. These
business strategies, based on Calvin Klein
marketing mix, help the brand succeed.
• Calvin Klein marketing strategy helps the
brand/company to position itself
competitively in the market and achieve its
business goals & objectives.
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7. • First products that were launched by brand Calvin
Klein was a line of understated coats and youthful
dresses and by the year.
• During the late 1970s, Calvin Klein re launched his
collection of jeans and gave it a more firm shape
which became a rage amongst its customers.
• Products in men’s collection included overcoats,
suits and neckties that were stylish, comfortable
and simple.
.
PRODUCT
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If you think of how those women dressed, the kind of refinement, that kind of elegance. That’s really the inspiration for these clothes.
- Calvin Klein
• In the year 1978, the brand introduced a make-up collection
which includes both beauty and skincare.
• During the 1980s, the company launched underwear collection
for men and boxer shorts for females.
• In the year 1991, it introduced a new collection of silk-scarf and
in the year 1995, a collection of tableware, sheets and towels
were launched.
• In the year 2013, PVH acquired Warnaco Group and this helped in
uniting its sportswear jeans, underwear and formal line under a
single group.
• CKJ uses fashion shows to launch its collection to the press
• Quality is outstanding. The very first aspect for which Calvin Klein
briefs is the exceptional quality that the products provide.
• Their style is modern and minimalistic.
8. PLACE
• Calvin Klein has a strong presence in the international market. The first
store was established in Dallas, which included products such as apparel,
perfumes, cosmetics, accessories, household linen, etc.
• During 1993 and 1994, the company made a deal with four companies of
Japanese origins for creating in-store shops. By now brand was selling its
products through an estimated 12,000 outlets in the United States and its
products were also being sold in countries like Japan, New Zealand,
Australia, Ireland, United Kingdom and Canada.
• Calvin Klein has adopted an efficient distribution policy that involves both
direct and indirect sales for maintaining high sales. Its products are easily
available at both online and direct-dealing stores.
• It has departmental stores, direct distributors and specialized outlets at its
disposal in nearly 21 countries. Efficient and capable workers are employed
to provide relevant information and to help customers in finding the exact
product that they are looking for.
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9. PRICE
• Calvin Klein products’ price is usually higher because it markets its
products to the middle and upper classes. Its designer clothes and
accessories often cost more than basic clothes products on the market.
• Calvin Klein’s main competitors are Giorgio Armani, Hugo Boss, Ralph
Lauren, Tommy Hilfiger, etc. and it tries to keep prices a bit lower than
the competitors to gain market share. With this pricing strategy, it can
successfully attract customers’ attention and gain popularity.
• It has a target price strategy to compete with other players by setting its
price a bit lower than them and trying to reduce costs to earn more
profits. Thanks to this, customers tend to stick with the brand and
become loyal customers.
• Products of Calvin Klein are also available to purchase online with
frequent deals and discounted prices for old stock, thereby leading to
higher numbers in sales.
• The premium products are sold under a “black label” line, which targets
high-end customers. These products have high-profit margins but are
often sold in smaller quantities.
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10. • Calvin Klein often promotes their products to customers on many
channels including TV, direct marketing, social media,
promotions, sales campaigns, and personal selling.
• With the development of the Internet, social media, and
technology, Calvin Klein has used new areas to advertise their
products and generate a large number of sales.
• Calvin Klein is well-known for controversy in advertising
campaigns. TV ads used underage actresses were considered
inappropriate and “sex sells”. It created negative public opinion
among viewers and some even hated the brand.
PROMOTION
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Commercials capture your attention, that’s all..
- Calvin Klein
• Like many other brands, Calvin Klein also uses famous
celebrities to showcase their products in ads.
• To establish the brand, Calvin Klein products often have the
initials CK on them.
• The brand also uses email marketing to establish a
connection with the recipient and send information about
new products or promotion.
11. PEOPLE
• The brand is committed to delivering positive change from
Source to Store by empowering the people they work with,
preserving the environment, and supporting our communities.
We invest in communities through philanthropic initiatives, non-
profit partnerships, and associate volunteerism.
• The employees are knowledgeable, friendly and are dressed
appropriately.
• Calvin Klein effectively uses Customer Relationship
Management (CRM) to provide value and service to their
patrons. The preferred loyalty program is one method used to
keep customers coming back.
• The Calvin Klein customer is the modern and urban belonging to
the medium high class of the society.
• The target customers are men and women between the age 15-
30. 11
12. PHYSICAL EVIDENCE
Calvin Klein Store:
Placed in mall for better
reach. The stores have got
minimalistic theme.
The shopping bag has got the
Calvin Klein logo
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Calvin Klein Website:
Update on the latest
products.
Just like the stores the
website also carries a
minimalistic tone.
You can also see Calvin
Klein video campaigns and
fashion shows too. The
website is easy to use and
makes shopping easier and
saves time as well.
13. PROCESS
• Easy street address to be
found
• Convenient customers access
• Major cost, especially for
high quality retail space
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The only way to advertise is by not focusing on the product.
- Calvin Klein
• Accessibility day-night
• Competitors are one click
away.
• Variable cost
• Time saving
14. SWOT Analysis
Strengths
Presence in many fashion fields: Calvin Klein’s main products are
ready to wear clothes for men and women. In addition, they also
have perfumes and accessories such as eyewear, watches,
jewelry, and shoes for both men and women. There are also
exclusive furnishing and furniture product lines.
Controversial marketing: One reason for the Calvin Klein brand’s
incredible popularity is its smart marketing strategy and
advertising campaigns. The brand often uses sexual ads to draw
attention to their products. Through the ads, Calvin Klein can
stay in their target segments’ minds and often succeed in
building a bold image for the brand, which suits the young
generation very well.
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15. 15
SWOT Analysis
Weakness
Image management: Calvin Klein has always been famous for being an outstanding brand
with a quirky style and creative design. In addition to existing global design brands, many
prominent local designers are making a come up in the digital age, so Calvin Klein has to
work hard to maintain its unique image in the market.
Synergy: Licensing forms an important part of the Calvin Klein business model, and the
company finds it difficult and costly to coordinate their licenses, which are spread across the
world.
Ethics: Calvin Klein has always been seen as a controversial brand and criticized for its
sexualized materials. In addition, the brand also faces licensing issues
16. Opportunities
Children’s market: As urban residents have more money to spend, many designer brands are
turning to design clothes and other goods for children. This could be a potential market for a
well-known brand like Calvin Klein.
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SWOT Analysis
Threats
Competition: The main competitors of Calvin Klein are Tommy Hilfiger, Dolce &
Gabbana, Gucci, etc. They are all global fashion brands with unique styles, so it will be
hard to stand out as just jean products.
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Calvin Klein sought to transform the way its customers shopped online and in-store by
leveraging technology to provide a more personalized and consistent shopping experience
across multiple channels. By elevating the customer shopping experience, Calvin Klein
aimed to increase sales, improve customer engagement and strengthen its position as a
leading fashion retail brand.
The Future of Calvin Klein