To What Extent do Chanel’s marketing Strategies Contribute to One’s Popularity Around the World

Abstract

By being one of the industry's most successful and famous luxury brands, Chanel demonstrates the role of market leadership. She provides practical marketing innovations to the industry's overall growth. Chanel not only retains the craftsmanship and design of products as classics for a millennium but also can maintain a stable customer base, follow the trend of new emerging tastes of a further generation, and target existing and new generations. This paper will investigate the taste and preferences of Chanel’s key customers, the corresponding strategies of Chanel targeting, and models used to illustrate the competition of Chanel in the industry. More specifically, analysis methods and models, such as 4Ps, celebrity endorsement, and word of mouth, illustrate Chanel's marketing strategies and the fundamental reasons for its success. Also, the SWOT analysis further explores the internal and external advantages and disadvantages of Chanel's overall performance. From 2019 to 2021, the period with the spread of COVID-19, the general trend of Chanel’s financial results suggested that the revenue decreased in 2020 due to the severity and effect of COVID-19. In 2021, with the economic recovery from COVID-19, the revenue recovered and exceeded the revenue by 2019 with an increase of 22.9%.