The Marketing mix of UCB analyses the 4Ps of UCB, including the Product, Price, Place, and Promotions of UCB. Benetton Group is a global fashion apparel brand based in Ponzano Veneto, Italy. Its name was taken from the Benetton family, who founded the brand company in 1965. Luciano Benetton, the oldest child of the four siblings, saw a market for colorful clothes in 1963 when he was a salesman in Treviso. Benetton Group was formed in 1965, while the first store opened in Belluno in 1966.
Three years later, a store was opened in Paris. Today, the company has a network of about 5,000 stores in the international market and has an employee base of at least 7,000 workers. Benetton has three brands: Playlife, Sisley, and the United Colors of Benetton. With brand loyalty and more than 80% of revenues coming from UCB, it is not wrong to say that Benetton Group is UCB.
Competitors
- Uniqlo
- Inditex SA (MCE: ITX)
- Zara
- Gap
- Hennes & Mauritz-b- (H &M B)
About United Colors of Benetton (UCB)
- Type: Fashion brand
- Industry: Clothing, accessories, eyewear, and perfume
- Founded: 1965
- Founder: Luciano Benetton
- Headquarters: Ponzano Veneto and Italy
- Area served: Worldwide
- Key people: Luciano Benetton (Chairman) and Alessandro Benetton (CEO)
- Number of employees: 6,000
Table of Contents
United Colors of Benetton Product Strategy
The product mix of United Colors of Benetton includes product features across a diverse range of items, primarily in the fashion and accessories categories.
The new Product Mix of UCB in 2023 is as follows (Source).
- Clothing: This includes a variety of apparel for men, women, and children. Essential items in this category are: Cardigans and Jumpers, Jackets and Coats, Trousers and Jeans, Skirts, Shirts and Blouses,Innerwear includes vests, camisoles, nightwear, loungewear, and lingerie.
- Shoes: UCB offers a range of footwear options like: Shoes, Heels, Boots.
- Bags: This category includes various types of bags, such as: Crossbody Bags, Rucksacks, Clutch Bags.
- Accessories: UCB’s accessory line features: Hats and Caps, Colorful Shawls, Scarves.
- Children’s Line (Benetton Baby): A dedicated line of clothing for kids offering a variety of children’s apparel.
- Seasonal Updates: UCB is known for regularly updating its product lines with new designs to keep up with the latest fashion trends.
United Colors of Benetton Place Strategy
The company has its headquarters in Treviso, Italy. This is just the heart of the fashion apparel company. However, it has spread its presence to over 120 countries across all the continents. The company has more than 6,000 stores that sell its clothing line under three brands, namely the United Colors of Benetton, Playlife, and Sisley. Benetton’s international expansion strategy mainly began in 1979, after which we find the company rapidly growing worldwide.
Here are the key points regarding the place strategy of United Colors of Benetton (UCB):
- Global Presence: United Colors of Benetton has a significant global footprint, with its presence in over 120 countries. This wide geographical distribution allows the brand to reach a diverse and extensive customer base.
- Extensive Retail Network: The company operates a large network of stores worldwide, with around 6500 stores. This extensive network enables UCB to have a solid retail presence in key markets, enhancing brand visibility and accessibility.
- Online Platform: UCB offers its products through a dedicated online site besides physical stores. This e-commerce platform allows customers from across the globe to access and purchase UCB products easily.
- Collaboration with E-commerce Retailers: UCB products are available through various fashion e-commerce companies, providing additional channels for customers to access their products. This strategy broadens their reach and caters to the growing trend of online shopping.
- Diversity and Inclusion in Marketing: The brand’s core mission, to “color the world,” is reflected in its diverse product offerings and inclusive marketing strategies. This approach aligns with the brand’s emphasis on diversity, which is evident from its product lines and marketing campaigns.
United Colors of Benetton Pricing Strategy
The company has various products and accessories within its brands; hence, a wide range of advertising and pricing strategies are employed. The most crucial strategy, though, is using acceptable pricing on its products. Some brands that target the youth will ideally be quite affordable, whereas some products are known to attract premium pricing. Discounts are standard, hence attracting more customers.
United Colors of Benetton’s (UCB) pricing and marketing strategy can be described as a balanced approach combining premium pricing elements with market-competitive rates. Here’s an analysis.
- Slightly Premium Pricing: UCB positions itself with a somewhat premium pricing strategy. This approach reflects its products’ high quality and fashionable nature, aligning with the brand’s image as a trendy and upscale fashion label.
- Market-Competitive Rates: Despite the premium aspect, UCB’s products are priced moderately compared to its competitors. This strategy ensures that while the brand maintains a perception of quality and exclusivity, it remains accessible to a broader customer base.
- Value Proposition: The brand’s pricing strategy emphasizes offering value to customers. UCB’s focus on fashion, authenticity, and a wide range of colors and styles at a “democratic price” underlines its commitment to providing customers with fashion choices that are both trendy and valuable.
- Dynamic Pricing Strategy: UCB will likely adopt a dynamic pricing strategy, adjusting prices based on market trends, seasonal demands, and fashion cycles. This flexibility allows UCB to stay competitive and relevant in the fast-changing fashion industry.
- Psychological Pricing: Like many fashion brands, UCB might utilize psychological pricing strategies, such as setting prices just below a whole number (e.g., $49.99 instead of $50) to make the price seem lower, appealing to cost-conscious consumers.
United Colors of Benetton Promotion Strategy
United Colors of Benetton (UCB) is very fond of promoting several sporting events and for the provocative of its original “United Colors” campaign for publicity. The “United Colors” publicity campaign was coined when photographer Oliviero Toscani received the carte blanche from Benetton management. Toscani directed the creation of advertisements that were characterized by striking images that weren’t related to the products marketed by the company. Such billboard-sized graphic advertisements included depictions of an array of shocking subjects, such as the deathbed scene of an AIDS man. Though some of these adverts were controversial, association with Benetton and Toscani has been credited for the increased promotion of physical products and brand awareness. UCB strategically implements the marketing mix that target customers and markets within the fashion domain. With a focus on specialty stores, UCB embodies Carlo Benetton’s product concept, delivering tangible products that resonate with its diverse target market.”
An autumn 2011 communication campaign by Benetton to invite citizens and world leaders to combat the “Culture of hatred” led to the creation of the UNHATE foundation. This was and still is a social responsibility strategy, with the colors of Benetton marketing always trying to create the UNHATE culture in humanity.
Benetton has been involved in a series of sports sponsorships. For instance, UCB entered Formula One in 1993 as a Tyrrell sponsor. In 194, it sponsored Alfa Romeo; in 1985, the company sponsored Toleman and Alfa. The company also started the Benetton Formula LTD towards the end of 1985, with the team seeing great success between 1990 and 1997. Benetton is also credited for sponsoring a local rugby team, A.S. Rugby Treviso. This amateur rugby team later became the Benetton Rugby team, a formidable force in Italian rugby with 11 league titles.
Some Recent Video ads and Print ads for UCB are:
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