Analysis Of The Commercial Zen Of Muji

1003 Words3 Pages
bulb-icon

Recommended: Market Segmentation, Target Market Selection, and Positioning

Positioning and branding
Positioning is a significant part of organizational or business strategy. MUJI, as a retail company, is consistently successful in branding and positioning within the contemporary global market. This is shown in the article “The Commercial Zen of MUJI” published on The New Yorker on December 2015. Began by describing the scene of MUJI opening a new flagship store on Fifth Avenue in New York, the author introduces the origin and current situation of MUJI. Throughout the article, she explains the ‘no-brand’ branding strategy, and discusses the ways in which MUJI position their brand image in consumers’ minds. MUJI promotes ‘minimalism’ design against waste in packaging and production, emphasizing on recycling and reusability …show more content…

A business with brand equity would have the benefits of incremental attraction, cost advantages and sustainable price premium. It is shown in the article, “In 2015, MUJI posted an eighteen-percent increase in revenue over the year, to $2.14 billion, and a fourteen-percent increase in profits, to $196 million…” (The Commercial Zen of Muji,2015) It demonstrates that MUJI’s implementation of ‘no-brand’ branding has worked in their favor as the brand equity raises MUJI’s sales growth, inspiring the company to expand globally. From a domestic retailer, it has grown into an independent two-billion-dollar company with hundreds of stores not only in Japan but also spread around the world. Simultaneously, MUJI doesn’t stop expanding the range of products. Initially, it only had about forty different products, including snacks and household goods. However, today it sells more than seven thousand items, ranging from furniture to cosmetics (beauty and basic skin care products) which allows it to dominate the industry in terms of market share.
A brand’s market share and profitability can be raised through product positioning. By using its unique way of positioning and branding, MUJI manages to establish and develop its brand image as well as brand identity which lead to greater brand equity. As shown in the article “The Commercial Zen of MUJI”, we can see that brand equity brings benefits to a brand by setting it apart from its major competitors and creating increased sales growth. Consequently, MUJI obtains the potential for higher market share. Hence, it is necessary to appropriately position a brand and maintain brand

Show More
Related

  • Mision, Vision and Intent of Masco Cabinetry

    1001 Words  | 3 Pages

    Sarkar, A. N., & Singh, J. (2005). New paradigm in evolving brand management strategy. Journal of Management Research, 5(2), 80-90. Retrieved from http://search.proquest.com/docview/237238894?accountid=28644

    Read More

  • The Downfall of JC Penney

    531 Words  | 2 Pages

    Ron Johnson spent a great deal of time and money to promote his ideas of “stores-within-stores” by turning floor space into an area to house several branded boutiques. He did this in order to attract a target market of a wider demographic which includes age, gender, and generation. One of the m...

    Read More

  • The Holland and Barrett Brands

    1792 Words  | 4 Pages

    Definition; - “brand equity is the added value endowed on products and services. It may be reflected in the way consumer think, feel, and act with respect to the brand, as well as in the price, market share and profitability the brand commands.”(Kolter and Keller.2012, p265) according to the case study of Holland and Barrett, brand equity refers to high brand value, brand with high value equity means, H&B has the ability to create some sort of positiv...

    Read More

  • The Commercial Zen Of MUJI Case Analysis

    1019 Words  | 3 Pages

    Positioning is a significant part of organizational or business strategy. MUJI, as a retail company, is consistently successful in branding and positioning in contemporary global market. This is shown in the article “The Commercial Zen of MUJI” written by Silvia Killingsworth in December 2015 on the New Yorker website. Began with describing the scene when MUJI opened a new flagship store on Fifth Avenue in New York, Silvia introduces the origin and current situation of MUJI. In her article, she explains the ‘no-brand’ branding strategy, and discusses the ways in which MUJI position their brand image in consumers’ minds. MUJI promotes ‘minimalism’ design against waste in packaging and production, emphasizing on recycling and reusability by utilizing

    Read More

  • Heineken Case Study

    770 Words  | 2 Pages

    We propose a branding strategy which takes into account the brands capabilities and competencies, strategies of competition brands and the outlook of consumers experience in their respective societies. As an international brand there is the challenge of staying connected with local customers. We will overcome this by adapting marketing strategy to local needs using a variance of standardized marketing mix and an adapted marketing mix.

    Read More

  • Kevin Keller Brand Equity Model Essay

    1751 Words  | 4 Pages

    Kevin Keller’s brand equity model is known as the Customer Based Brand Equity Model (CBBE). This model was first introduced in his book, Strategic Brand Management. According to the model, a company must shape how customers think, feel, and act towards a product in order to build a strong brand. A consumer must have the right type of experience around the brand, which foster positive thoughts, opinions, perceptions, beliefs and feelings. By building strong brand equity, customers will recommend company products and will buy more of them. Moreover, this increases brand loyalty and decreases brand switching to competitors. One’s memory consists of a network of associations and connecting links, and any association ever processed about a brand

    Read More

  • Brand Equity Model Of Adidas

    1462 Words  | 3 Pages

    Companies use a collection of brand equities to represent their products in the market (Voolnes, 2012). Brand equity refers to the commercial value that is derived from the perception of consumers on any given brand name of particular products in the market as opposed to the product itself. Ataman (2003) notes that the effect to the consumer is in the brand name and not the product itself. Companies use logos, trademarks and a collection of other symbols to present this information to the customers. The use of these symbols is meant to try and capture the customer mindset so that they can be thinking about the company products at all times through the items they possess at home (Estes, Gibbert, Guest, & Mazursk, 2012). This can well be explained by use of the customer-based brand equity model that brings together the requirements for a publicly renowned brand in the market.

    Read More

  • Nike's Brand Development Efforts

    2189 Words  | 5 Pages

    One of the fundamental parts of successful brand creation process is developing the strong brand image and communicate brand ID across all available media channels. This essay will discuss and evaluate companies NIKE marketing strategies in terms of companies brand development efforts. The company’s success in the footwear, apparel and accessory markets will be linked with marketing branding concept. Furthermore, the discussion on NIKE marketing strategies and their efforts to preserve and increase the leading market position and marketing activities to increase brand equity will be discussed and critically evaluated.

    Read More

  • Brand Exploratory

    1334 Words  | 3 Pages

    In conclusion, the customer- based brand equity model is an important platform that may help in building a strong brand. It could assist a company in assessing its progress as well as providing a blueprint for marketing research activities. If properly planned and implemented, it could help the company in achieving its marketing strategies and in the realization of an increased profit margin

    Read More

  • The Significant Factors To Building Brand Awareness

    337 Words  | 1 Pages

    The review of relevant literature is to identify what's brand awareness and how to carry out in strategic marketing, and consumers' behavior. The study prove that the significant factors on brand awareness as a perception of product, service, and image of the company and has a tremendous effect on consumers’ evaluation of system results. From reading all of the relevant journals, it is understandable that the significant factors on building a successful brand image and awareness is consumers and their relationship with the brand, company, service and the product. Brand awareness is the vital importance to marketing strategy and marketing communications because it links customer behavior to firms’ financial metric. Keller (2001), noted, customers’ reaction toward brand awareness is associated profitably brand equity.

    Read More

  • Branding In Marketing Essay

    2042 Words  | 5 Pages

    The ability of the management in positioning and establishing the product is a success in any company that operates for marketing and profit acquisition. Furthermore, the ability of the company and its management to complete and maintain a competitive edge among its competitor throughout the product differentiation is another basis to say that is successful. Also, innovation and the constant development on the product lines and the growing number of customers also define the corporate standing of a company. Effective branding strategy and strong brand name are an important part of the profitable business. But, all the strategies and all marketing theories can be worth nothing without the compliance of the desires of consumers.

    Read More

  • Impact Of Brand Image On Consumer Behaviour

    2117 Words  | 5 Pages

    People are buying the product which gives them prestige. Marketers have interest on consumer psychology and they are playing with every day by showing that their product will give prestige in the society. It’s true that the transparent societies now needs brands image. Marketers analyze the interest and needs of consumer than create the product according to the need of the society. Brand can attain the people attraction and the business can have the good reputation by giving satisfaction to consumer. If the brand gives satisfaction and function are according to the expectation of consumer than the brand gets good image on the mind of consumer. brand image is great weapon to use for the competitors it builds in years , at once the business gets brand image it has competitive edge from other brands in the market. When consumer rely on the brand the company can create the long term relation with the consumer, in other words (CRM) consumer relationship management. The brand image has effect on the choice of every individual there believe and attitude change their preferences. Brand image can be effected by price as price is an important part for consumer when they are making purchase decision if they find the value of brand is equal to the pricing they purchase that brand if not they refuse it. Similarly the image of brand can be effected by the attributes and features or

    Read More

  • Brand Repositioning Case Study

    2353 Words  | 5 Pages

    As a result of an existing dynamic environment, the repositioning of a brand rep-resents a given advanced development of its positioning, according to Homburg and Krohmer (2006). As identified by Roosdorp (1998) repositioning is considered as the second phase of the positioning strategy itself (cf. Homburg/Krohmer 2006,

    Read More

  • Relationship Between Advertising and Sales Promotion

    1171 Words  | 3 Pages

    Aaker, D.A., (1991), “Managing Brand Equity: Capitalizing on the Value of a Brand Name”. New York: Free Press. P. 134-140

    Read More

  • Brand Positioning Case Study

    736 Words  | 2 Pages

    Brand positioning refers to “target consumer’s” reason to buy your brand in preference to others. It involves identifying and determining points of similarity and difference to ascertain the right brand identity and to create a proper brand image. A significant differential advantage can lead customers to focus on product benefits other than price. Brand Positioning is the key of marketing strategy. A strong brand positioning directs marketing strategy by explaining the brand details, the uniqueness of brand and it’s similarity with the competitive brands, as well as the reasons for buying and using that specific brand. Positioning is the base for developing and increasing the required knowledge and perceptions of the customers. It is the single feature that sets your service apart from your competitors.

    Read More

More about Analysis Of The Commercial Zen Of Muji

Open Document