From wearable devices, social media to coffee shops, Ralph Lauren uses technology to counter the plight of the fashion industry
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Looking at the global fashion and apparel industry, although it seems glamorous, dazzling and confusing, and every anniversary event always gathers many stars and spotlights, in fact, the situation in recent years has not been very good. In addition to the interference of some e-commerce players, which has plunged the clothing markets of various countries into discount wars, coupled with the fierce presence of many affordable clothing merchants, the competition situation in the clothing industry has become more treacherous and changeable.
The huge impact faced by the apparel industry
Chen Grazutis, an equity research analyst at Bloomberg Intelligence, also bluntly pointed out, “The entire retail industry, especially the apparel industry, is under considerable pressure. People no longer buy as many clothes as they used to.”
Take Ralph Lauren as an example. Founded in 1967, this representative manufacturer of the American fashion apparel industry has annual sales of US$4 billion. Although it still launches excellent designs for men’s and women’s clothing, and its flagship store also introduces new products from time to time… However, in the eyes of the younger generation of consumers, this well-known company is inevitably a bit old.
In order to turn the tide, Ralph Lauren has made many bold attempts in recent years. Of course, all efforts are to win the attention of the consumer public. In addition to boosting sales performance, we also hope that the vast customer base will continue to support this brand with a traditional history.
Attract younger generations with “storybooks”
For example, during the back-to-school season in September a few years ago, Ralph Lauren launched a storybook selling for $18.95, telling the story of eight children who returned to school, hoping to use story marketing techniques to attract new people (Editor’s note: generally refers to “sixth graders”). As you can imagine, the clothes the children are wearing are of course all new Ralph Lauren clothes.
Ralph Lauren’s marketing department calls this storytelling marketing technique “merchantainment.” Simply put, it combines business with entertainment, using a relaxed and casual approach to attract the attention of the younger generation. This trick is naturally very effective. Just imagine the charming images of fashion brands on the paper. It is not difficult to imagine.
(Storybook/pictures once launched by Ralph Lauren: taken from POPSOP)
Embracing technology, even Polo shirts and fitting rooms can be “smart”
Although Ralph Lauren belongs to the fashion apparel industry, the parent company is not stingy in investing in technological things. Not only did they launch their own brand app, allowing consumers to easily search for their favorite clothing, they also got involved in wearable device technology as early as 2014, launching a smart Polo shirt in August that can be used to collect consumers’ breathing, heart rate and calorie consumption data. In addition, a smart fitting room was launched in 2018, allowing consumers to look through the mirror to find clothes that suit them. Over the years, their efforts in user experience have finally received some feedback.
▲Ralph Lauren’s “Smart Fitting Room” (The video is taken from YouTube, please forgive me if it is removed.)
Not only does it embrace the power of technology, Ralph Lauren is also bold and forward-looking on the road to digital transformation. For example, they have reorganized their advertising department, made necessary layoffs, and closed certain stores. In order to effectively focus on the effectiveness of advertising and further convey the value proposition of this veteran fashion brand, Ralph Lauren has actively interacted with potential customers through channels such as mobile apps, physical locations and social media in recent years, and has achieved some results.
Manage different communities with care and be present in various channels
For example, Ralph Lauren published 4,591 posts on Instagram and accumulated 9.8 million followers. Their fan page on Facebook also has 9.15 million fans. In addition, he also published 4,461 tweets on Twitter, accumulating 2.31 million followers. On different social media, each has a different promotional tone, and it is not difficult to see the efforts of the marketing department.
The company’s first chief marketing officer, Jonathan Bottomley, said in an interview with the media: “Customers around the world are enjoying various shopping methods driven by digital power, so we cannot be absent in various channels and spaces. If people are interested in fashion products, then the first thing we need to do is to tell a story that makes everyone feel.”
Use physical “coffee shops” as a key point to promote the brand
Of course, Ralph Lauren doesn’t just play with social media when it comes to marketing, they also extend their reach into the physical world. For example, in September last year, a luxurious dinner and performance was held in New York’s Central Park to celebrate the company’s 50th anniversary; in addition, they have successively established Ralph’s Coffee around the world to satisfy the consumer public who are deeply interested in the Ralph Lauren brand.
Regarding the idea of establishing a coffee shop, founder Ralph Lauren pointed out: “In my imagination, our store is a place where customers can experience different styles of the world; therefore, I wanted to create a warm and friendly space where everyone can sit down comfortably, sip coffee or cocktails, and spend a good time.”
Following New York, London, Paris and Chicago, Ralph’s Coffee also settled in Hong Kong in Asia last year. The whole store uses green and white as the main colors, which looks classic and tasteful, and echoes its own brand. These coffee shops around the world not only shoulder the important responsibility of promoting their own brands, but also benefit from the popularity of “check-in internet celebrity shops”, so Ralph’s Coffee has become a key point of contact with the consumer public.
(Ralph’s Coffee in Hong Kong, the entire store uses green and white as the main colors. / Picture: taken from Ralph Lauren)
It is a road of digital transformation that “goes with the trend” and “has to be done”
From wearable devices, social media to various attempts in coffee shops, it is not difficult to see that Ralph Lauren is seriously trying to polish the brand and restore its former glory. It is true that Ralph Lauren’s digital transformation is still ongoing. It is both “taking advantage of the trend” and “having to do it”.
Fortunately, some improvement results can also be seen from the financial report card submitted by the company in the past two years. Of course, it may be too early to judge success or failure, so let us continue to watch!
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★ This article was originally published on the “Marketer” website.
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