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Surname 1 Name: Course: Tutor: Date: Off-White Introduction The success of Off-White in the global industry was mainly based on influence. The millions of followers on the company’s social media accounts and the use of celebrities for promotional and advertising purposes have made the company a luxury brand. Celebrities such as Rihanna have the made the brand very popular among the public. The company’s success in the implementation of its marketing strategies have been attributed to its founder, Virgil Abloh. Abloh has recognized the importance of embracing the identity of its diverse customers. Celebrities that have worked with the company have played a key role in promoting its fashion trends. This research paper aims at understanding the marketing strategies that Off-White has applied in becoming a leading global brand. Methodology The analysis of Off-White’s marketing strategy will be based on the implementation of three business tools which are marketing matrix, SWOT analysis, and ANSOFF matrix. A detailed conclusion about the success of these strategies will be made from the use of these tools. The information that will be used for this research will be from the following sources: -Off-White Official Website -Medium: Off-White and on-brand marketing to the me generation

Surname 2 -Portland State University: Off-White -Vox: the hottest fashion brand in the world was built on irony and $1000 sweatshirts -Footwear News: Virgil Abloh responds criticisms about lack of diversity at Off-White. Marketing Mix The marketing mix is composed of four categories that are interdependent. They include product, place, pricing, and promotion. Virgil Abloh has applied this strategy in different ways. Off-White products are made from the best fabric (Whiteling). Doing this ensures that the company produces high quality clothes. The company engages in fitting and also fabrication as part of its product line. Off-White also engages in the production of furniture (Off-White). The product stream of the company has reinforced a unique approach to lifestyle in its customers. Off-White sells its products in different places across the world. Some of its main markets include Sydney, London, Milan, New York, and Hong Kong among others (Off-White). These strategic markets have boosted the brand as they are top fashion countries and cities. In such markets, Off-White has charged higher prices for its products (Whiteling). One reason that has led to Off-White charging higher prices is the limited stock in these cities. Off-White has benefitted from charging higher prices in strategic markets. In most markets, Off-white has charged higher prices than its competitors for the same product (Whiteling). This strategy has been effective as the company has ensured that its products are unique and that it is first to introduce new products in the market. This strategy has given the company a unique competitive advantage which has allowed it to enter new markets. Its revenues have been maximized at the early stages of the product lifecycle. Off-White promotes its products in different ways. It uses Instagram to post photos and videos of its products. For example, when a new product is being released, posts on Instagram

Surname 3 are placed earlier (Off-White). The company ensures that locations for pop-ups are provided in different areas around the world. The company has used influencers and brand ambassadors to promote its products. Celebrities such as Rihanna and Kanye West have worked with the brand. Communication through social media and other sites have contributed to the effective promotion strategy. SWOT Analysis SWOT analysis is a tool that is used in determining an organization’s strengths, weaknesses, opportunities, and threats. It does not only allow an organization to focus on important resources and exploit its opportunities, but also assess challenges that it may face and determine ways in which they can be managed. SWOT analysis focuses on the internal and external environments of a business. Strengths  High creativity  Working with celebrities  Working with different brands  Has a good reputation Weaknesses  Limited retail stores in the US  Cost of shipment is high  Hard to know luxurious brands and street wear Opportunities  It can exploit technology for innovations  Opportunity to work with more known brands  Improve communication Threats  Social-cultural factors  Lack of diversity  Brand logo can be recreated Strengths

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Surname 4 Off-White has thrived on creativity in the development of its products. Apart from having a creative studio, the company has a system that records culture, politics, time, and art (Portland State University). The company has utilized such creativity in developing products that meet the needs and identity of customers around the world. Off-White has strategically positioned its brand in the market through the use of influencers and celebrities. Some of the celebrities that have supported the brand include Kendall Jenner, Naomi Campbell, Jay Z, Rihanna, and Beyoncé among others (Off-White). Influencers and celebrities are allowed to use the company’s products for promotional purposes. Off-White has collaborated with major brands to promote its products and services. Some of these brands include Nike, Levi’s and Choo among others (Off- White). Such brands have helped the company in building a positive reputation. Weaknesses Off-white has a limited number of retail stores in the United States. It is especially true for a market such as the millennial (Portland State University). In recent times, Off-White has opened more stores to accommodate its variety of customers. The cost of manufacturing products for the company is very high considering the fact that it has to ship its products from Italy (Portland State University). The high cost of shipment leads to the company charging higher prices for its products. In some situations, it has been difficult to differentiate the company’s products based on whether they are luxurious or street wear (Portland State University). It has created confusion among consumers and affected their purchase decisions. Opportunities Off-White has an opportunity of utilizing the existing technology to promote its brand. Its target customers such as the millennial and generation Z have been attracted to technological innovations (Portland State University). Using technology for innovation can attract more

Surname 5 customers. Abloh has the opportunity of collaborating with other brands to increase its brand awareness (Portland State University). The company should especially collaborate with luxurious brands to solve its problem of differentiating between luxurious clothing and street wear. Off- white should improve its communication strategy to ensure that it interacts more with the consumers (Portland State University). In the past, companies with interactive content have gained a market share over Off-White. Threats Social-cultural factors have been a threat to the company’s reputation. Such issues are common in the fashion industry. Recently, Off-White was criticized for its statements on the brutal killing of George Floyd, an African American (Off-White). Such cases have led to Off- White being criticized for not promoting diversity. In a dinner party shared by the company of Instagram, it was noticed that a majority of staff members were from one race (McDonald). He was criticized for forgetting about the African-American culture. The brand’s logo is a threat to its competitive advantage. It is because it can easily be recreated by competitors. ANSOFF Matrix An ANSOFF matrix is a market expansion grid that is used to analyze and plan the strategies for an organization’s growth. The tool is composed of four main strategies which are market penetration, product development, market development, and diversification. Existing New Existing New Market penetration Product Development Market Development Diversification Market Penetration Off-White has focused on penetrating existing markets. Its market penetration strategy has focused on the development of new products. Recently, the company introduced a collection

Surname 6 of sweatshirts and t-shirts at reduced prices. The prices were ranging from $95-$170 (Off- White). This is a significant reduction from the initial price which ranged from $300 to $800. The strategy has given the company a unique competitive advantage as it attracts more customers, and especially those who could not afford the initial price. The company has ensured that it does not charge lower prices that could hurt the brand. This marketing strategy has increased Off-White’s target market (Whiteling). It has helped in diffusing the street wear line. Product Development The product development strategy by Off-White has been effective. In recent time, the company has released a number of new and exciting products in the market (Tifanny). Such products have not only improved the growth of the company, but have also increased its market share in new and emerging markets. The men’s spring collection of 2018 is one such product line (Off-White). Through social media advertising, the company has kept customers excited about new product lines. In the development of new products, Abloh has ensured that he makes reference to his old collection (Tifanny). This strategy has reduced the cost of advertising for the company as old collections are well-known by customers around the world. Off-White has also created a hype for products that it will develop in future. It has done this through social media. Market Development Market development involves entering new markets using existing products. The success of Off-White has partly been attributed to its focus on customers. Through the development of fancy street wear, Off-White has created a unique competitive advantage in the market (Tifanny). The company has generated billions of dollars from selling its street wear in different countries, and especially the United States. The company has focused on the young

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Surname 7 people as they have become engraved with new products such as the luxury t-shirts produced by the company. Diversification In the past years, Abloh has engaged in the diversification of its product portfolio. In 2014, the company introduced the women’s wear in Paris (Tifanny). This led to the company being nominated for the LVMH price. The introduction of this clothing line created more business opportunities for the company. In 2018, the company also introduced its Nike collection that was designed for Serena Williams (Tifanny). The company has made many more collaborations that have opened up new markets around the world. Conclusion The analysis of the marketing strategies of Off-White has shown why it is among the world’s top global brands. Its marketing matrix has focused on the introduction of new products in the market. Aggressive advertising for the products is done by the business through the use of celebrities, influencers, and brand collaborations. The company has expanded in many cities around the world. The SWOT analysis has shown that the company has many strengths that it can use in maintaining a competitive edge. Opportunities such as collaboration with major brands will accelerate the company’s growth. The ANSOFF matrix has shown that the company has an opportunity of expanding into new markets and attracting more customers in the existing markets. Works Cited

Surname 8 McDonald, Samantha. “Virgil Abloh Responds to Criticisms about Lack of Diversity at Off- White.” Footwear News May 3, 2019. Web. <https://footwearnews.com/2019/business/retail/virgil-abloh-diversity-off-white-team- 1202777159/> Off-White. About. Web. <https://www.off---white.com/> Portland State University. Off-White. 2020. Web. <http://web.pdx.edu/~allstott/hypebeasthistory/offwhite.html> Tifanny, Kaitlyn. “The Hottest Fashion Brand in the World was Built on Irony and $1000 Sweatshirts.” Vox 30 Oct. 2018. Web. <https://www.vox.com/the- goods/2018/10/30/18027074/off-white-timeline-history-luxury-streetwear-virgil-abloh> Whisteling, Aston. “Off-White” and On-Brand Marketing to the “Me” Generation. Medium. 2019. Web. <https://medium.com/swlh/off-white-and-on-brand-marketing-to-the-me- generation-74a69a688373>

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