Ralph Lauren's Marketing Strategy

                                               Ralph Lauren's Marketing Strategy

 Polo Ralph Lauren has long been out in front of its luxury and fashion peers when it comes to technology. The brand was among the first to embrace e-commerce, and, in more recent history, it has been aggressive in its use of mobile marketing.

Last year alone, the company went live with a mobile commerce platform, began using QR Codes and launched its first iPhone app (this month it launched its second app around its Rugby brand). The "Make Your Own Rugby" iPhone app allows users to personalize rugby and polo shirts, as well as upload their photos to virtually try on the shirt.

Leading the charge is David Lauren, senior VP-advertising, marketing and corporate communications. He also happens to be the son of chairman-CEO Ralph Lauren. The 37-year-old took on the marketing role at Polo Ralph Lauren in 2001 and has held his current title for just over a year.

Mr. Lauren admits it's a challenge to stay on the cutting edge while maintaining the brand's timeless, lux image. Likewise, many competitors have been tentative when it comes to taking advantage of technology and social media. But embracing technology gives Polo Ralph Lauren a competitive advantage, Mr. Lauren said. Quick response (QR) codes, which are bar codes that can be scanned with cellphones to get content associated with the product, for example, might not yet be widely used in the U.S., but in Japan they're just another way to shop. When the U.S. catches up, Polo Ralph Lauren, which spent $171 million on advertising in fiscal year 2009 -- down 9% from fiscal year 2008, according to the company -- will be ready, Mr. Lauren said.

"We want to be exploring [technology] right now, so that our learning puts us ahead of the curve," he said. "Each learning is a brick in the wall, and we want to be at the top of the wall when the floods come."

 

The retailer has both mobile apps for its brands as well as a mobile Web site. By using mobile, the company has been able to target consumers of particular brands and tie their mobile experience to an in-store engagement. To help users interact with Ralph Lauren’s RLX brand, the retailer tapped mobile with an engaging iPad app that users could play with to see the clothes in the collection. 

 Additionally, for the Rugby brand, which is aimed at younger consumers aged 18 – 27, Ralph Lauren used an app to let shoppers create and buy a personalized shirt. Users could then send their customized piece to be projected in the store window of Rugby’s New York location where consumers could shop the window. In addition to the Rugby initiative, Ralph Lauren has used technology to create shoppable windows at the brand’s other stores and tapped into 4D technology for a special event that brought Ralph Lauren flagship stores in New York and London to life in Nov. 2010.

Ralph Lauren outlined the company’s tech innovations and explained how each digital initiative fit in with the retailer’s more traditional marketing channels. Their motto is, “We do not just sell clothes, we sell a lifestyle that is exciting." They want people feel by buying a shirt, it gives you a spirit that Ralph Lauren writes through his clothes with stories that are meant to inspire you.

The Ralph Lauren Web site was created 11 years ago and was one of the first luxury retailers to transition its brand to an online commerce experience. “When we opened online, many thought it would be the end of our retail business and would cannibalize our sales,” Mr. Lauren said. “We had to fight to say it would be good platform to build the Ralph Lauren story on,” he said.

Ralph Lauren’s digital marketing efforts revolve around “merchantainment” or combining merchandising and entertainment for consumers. According to Mr. Lauren, Ralph Lauren was the first major luxury retailer to create a digital style guide with tips, photographs and user questions on Ralph Lauren’s products and how to style them.

For the tenth anniversary of Ralphlauren.com, the retailer used fourth-dimensional technology to create a show for shoppers that emphasized the classic but tech-savvy direction of the brand. Ralph Lauren has used various digital channels to editorialize content, including a branded quarterly magazine that gives users trend reports and articles meant to highlight the retailer’s current product line.

Ralph Lauren also created a Web initiative for its Lauren brand that used top editors at fashion magazines to walk users through the brand’s current collection and let users shop looks directly.

In addition to different campaigns, Ralph Lauren has used partnerships and advertising to bolster its digital repertoire.

For instance, in September Ralph Lauren used the month of September to control sole advertisement  on the New York Times iPad app. Again, it is about bringing merchandising and entertainment together to take you right into the Ralph Lauren world. The New York Times ads featured a live fashion show and also let users buy items directly without clicking through to the retailer’s mobile Web site.

Last year, Ralph Lauren launched its online-only brand Denim & Supply, and the company is only advertising with online spots, which is unique for a luxury brand. It has also used digital initiatives to bolster its Pink Pony Charity and has raised more than 486 million impressions via print, online and broadcast advertising.

Despite its digital push, Ralph Lauren stressed the importance the online and mobile initiatives must play in an overall marketing initiative for luxury brands. The Internet does not work without anything else and you need multiple ways to do it and enhance everything else. It is about showing the customer something they do not already know. It has to get the consumer really excited, and has to try to understand the customer and the message of the brand.