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Company
History
Hermès
was founded in 1837 when Thierry Hermès, great-great grandfather
of Jean-Louis Dumas-Hermès, recent chairman of Hermès,
established a harness shop at 18 Rue Basse du Rempart. Fundamental
to the development of the company, the personal relationship between
patron and House has been the guiding principal of its expansion.
Case
Study Concept
The
highest quality luxury brand, Hermès would like to evolve
its website to impact and grow its overall business in U.S.A while
maintain exceptional product and service image. By emphasizing on-line
personalized experience and relationship, Hermès team will
present its recommendations for development of Hermès.com
Design,
Business and Marketing Plan Solution
The
mission for the Hermès case team was to draw solutions of
how Hermès should evolve its website to impact and grow its
overall business in the United States. The team analyzed the current
Hermes.com website and the internet strategies of other luxury and
mainstream brands. Hermes.com was one of the first luxury brands
to develop an e-commerce platform and is a leader in offering customers
the opportunity to purchase luxury products via the internet.
The
research revealed potential to attract new customers via the website
and improve the consistency of brand image and customer shopping
experience with the Hermès retail stores. A survey revealed
that customers use the website not only to shop for items but also
to browse the collection before visiting a store. At the same time,
the team explored internet technologies that would address the current
trend of customers desiring a more personalized shopping experience.
Given this information, the team developed their recommendations
around these key elements.
The
team developed solutions to weave the established brand image into
the current Hermès.com by keeping consistency with the brand
concept of retail Hermès stores through a new site entry
page. To facilitate browsing before visiting a store, a section
featuring the entire collection, even items not offered on the website
for sale, was recommended. Further ideas were suggested to romance
the product by communicating the rich stories behind them, giving
the customer a connection to the products and therefore increasing
sales. Also, the team focused on enhancing customer relationships
through leveraging Customer Relationship Management technology to
personalize the shopping experience and create the ability to make
recommendations that would align with the customers buying history.
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The
Hermès Project Team
Jillian Avey, Columbia Business School
Franklin Isacson, Columbia Business School
Noha Mohsen, Columbia Business School
Ho Jun Kim, Columbia Business School
Paul Shih, Columbia Business School
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