...MARKETING ASSIGNMENT REPORT WRITING ON LUSH COSMETICS EXECUTIVE SUMMARY: This report is on LUSH cosmetics – a sustainable brand in cosmetic industry. This report will describe about marketing history, company ethics and current market position of LUSH. This report also deals how LUSH is making their products with sustainability and what marketing strategy they are following. We will discuss about marketing mix of LUSH, How they are doing ethical business and their position in competitive market. We will also do SWOT analysis and LUSH position mapping with other brands. This report also concentrates how LUSH can improve its marketing strategy. Keywords: Organic, Cosmetic, Sustainability, Product Portfolio, Marketing mix, Customer, Social Media, Competitive. TABLE OF CONTENTS 1. INTRODUCTION: ..…………………………………………………………………………...5 1.1 MARKETING BACKGROUND OF LUSH: ………………………………………………...6 1.2 COMPANY PROFILE: ……………………………………….……………………………...7 2 LUSH AND SUSTAINABILITY:……………………….……………………………………8 2.1 LUSH AND GREEN SUPPLY CHAIN: ……………………………………………………8 2.2 LUSH AND SOCIAL INFLUENCE: ……………………………………………………….9 3 LUSH PRODUCT ANALYSIS: ……………………………………………………………..10 3.1 LUSH PRODUCTS: ……………………………………………………………………….10 3.2 PRODUCT PORTFOLIO: ………………………………………………………………….11 3.3 LUSH SERVICES: ……………………………………………………………………….…11 3.4 LUSH AND THEIR SUPPLIER: ………………………………………………………..…11 3.5 LUSH AND THEIR CUSTOMERS: …………………………………………….…………12 4 MARKETING STRATEGY OF LUSH: …………………………………………………...
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...Case Study: L'Oreal in China Allen Cha 1a) In a short time, the young Chinese cosmetic market has become quite saturated with numerous firms. In order for Yue Sai to position its brand effectively, it has to draw upon unique strengths that others do not have. Madam Yue-Sai created Yue Sai with the aim “to create, produce and sell the very best beauty and skincare products that we can offer to Asian women and to the world…” The company started under her belief that the Chinese women had different standards for beauty and required specifically tailored cosmetic products. If Yue Sai under Cotyhad continued to build its brand under this positioning instead of focusing on distribution, the brand would be a far more prominent player in the current Chinese market due to first mover advantage. Yue Sai is currently competing in target markets and product properties that it simply cannot succeed in. Consumers that are aware of Yue Sai’s original positioning brand image are most likely in their 30-50s. Luxury cosmetic firms do not traditionally target this consumer segment. If Yue Sai repositions its brand from “cosmetics for confident, modern Chinese women” to “delicate luxury cosmetics for modern mature Chinese women”, the brand would be able to instill a distinct image in the targeted consumer’s mind relative to competition. It is the ideal positioning for a brand named after Madam Yue-Sai, who now perfectly fits the new segment. It will be able to grab a dominant share of a...
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...customers really need because this is the most important key to success. Oriflame offers natural cosmetic products which helps them to build the main core competence of the company. 2. Price Why is Price so important? Price is the only element of mix that generates turnover and profits and this is the first choice criteria for consumers (especially in times of economic crisis). The price allows consumers to compare and make decisions, it directly influences demand (price elasticity) and gives an indication of the product’s positioning and quality. Other influences which affect consumer demand is psychological price -> fix your price according to two points: the pricing floor (too cheap) and the pricing ceiling (too expensive). We can say that Oriflame keeping its prices between this two levels. This fact is an advantage for them because people can afford the products and choose them instead of more expensive brands, considering that in cosmetics industry are a lot of competitors. 3. Place The positioning of a product or a brand, it’s making the great choice to put forward the product, to show the best aspects of it regarding competitors. The offer must be attractive and different to the consumer spirit. When a brand is less similar than another, the consumer will more remember of it. Oriflame’s products are not so different from Avon’s products or from another cosmetics company. The only aspect that make them special is providing of natural products. A...
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...AVON -STUDY CASE- Analiza contextului global al afacerilor prin prisma factorilor de impact asupra industriei cosmeticelor The cosmetic industry is one of which products tend to be countercyclical. Demand for such products normally remains constant and unaffected by economic distress. The color cosmetics are predicted to see a slowdown in volume demand. A growing trend in the cosmetic industry is the introduction of ‘green’ products. More than one in seven (16%) of global beauty products launched in 2008 were certified organic, ethical or natural. There are concerns that the global economic climate will stifle new product development, innovation and sustainability programs in 2009. An economic slowdown usually curbs companies from investing in research and development and it is that research that has brought forth a wealth of green cosmetics. For example, retailers such as Wal-Mart are increasingly requiring more ecofriendly supply chain. There are forecasts that consumers are unlikely to give up their commitments to organic products just to save a few pennies. 68% of consumers will remain loyal to a company that has a social and environmental commitment. Many consumers are now ‘voting with dollars’ for organic products and supporting brands that support values similar to their own. Economic factors mainly affect the purchasing power of customers. The more customer demand for the product the more profit to the organization, at the same time if there is no customers demand...
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...an increased inclination of new product testing and rising disposable incomes have largely contributed to an overwhelming increase in the organic beauty products and cosmetics. However, this does not fully justify as to 1) why the consumers buy organic cosmetics, 2) where do they buy and 3) how they come to the decision to test, buy and continue to buy these products. Perhaps an answer can be found by raising several questions: a) How much is the market for organic cosmetics? b) Where is this market? c )Is it increasing in numbers or decreasing in numbers? d) Do the rising inflation, current depressed economic situation and rapid levels of technological enhancement has an effect on the growth and development of this market for organic cosmetics? e) What lies behind the motivation to buy these products? f) How are the attitudes and behaviour changing towards organic cosmetics? An investigation in to the size of the organic cosmetics market, does not give a clear picture though broad individual countries trends are available (see, Hennessey 2007, Armstrong 2009) and very limited published data for this industry sector. Mathew Hennessey (2007) in the article “Organic Cosmetics Break Out” raises a very vital issue by asking, “Is the makeup counter poised to go green? May be. What's certain is the global cosmetics industry is enjoying an unprecedented boom and the organic market is the next frontier. ” Hennessey wrote this in July 2007 when the Hain Celestial Group, a leading...
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...Sephora logo is a white "S" shaped flame against a black background. Sephora is a French brand and chain of cosmetics store founded in 1970 by Dominique Mandonnaud and this company is originated in the capital city of Paris in France. Sephora is a consumer goods industry. Sephora opened its first United States store in New York City in 1998. Its North American headquarters is located in San Francisco, with corporate offices in New York City and Montréal. Featuring more than 100 brands, along with its own private label, Sephora offers beauty products including makeup, skincare, body, fragrance, color, and haircare. Today, Sephora is one of the leading perfume and cosmetics stores in France and holds a long-standing presence in the beauty industry around the world. Sephora is owned by Louis Vuitton and Moet Hennessy LVMH as of 1997. Sephora launched its online store to the U.S. in 1999 and into Canada in 2003.Sephora currently operates over 1,700 stores in 30 countries worldwide generating over $4 billion in revenue as of 2013, according to Forbes. As of September of 2013, the Sephora at Champs Élysées in Paris, France, attracts over six million people a year. Sephora now also offers UK delivery on its site. 2.0 Descriptions of general marketing mix elements The general marketing mix basically consists of the 4 P’s of marketing which are product, place, price and promotion. The 4 P’s is probably the best known way of defining the marketing mix, and was first expressed in 1960...
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...A. EXECUTIVE SUMMARY Aim : To study the growth of cosmetics industry in India. Women cosmetics market growth on a period of time along with a strong increase in male cosmetics market. Cosmetic brands promotions and advertisements in attracting customers. Consumer behavior in accordance with the utility drawn from the usage. Medicinal & Herbal/Ayurvedic Cosmetics market & Fake cosmetic industry in India. Methodology : A sample survey conducted on UG and PG students regarding their cosmetic usage and benefits they are drawing from them along with a small research on cosmetic stores in different areas to know about the use of cosmetics by the local households also. Survey was conducted by personal interview and using questionnaire also. Findings : The survey portrays the utility of cosmetics usage by students which is varying according to the age groups where as the research on stores at different places reflected different results. From the study it is found that with the growth of women cosmetic market, Men’s grooming product market is also growing rapidly. Consumers are more concerned about herbal and natural cosmetics. With the rise in fake cosmetics market, a lot of people face trouble in recognizing the real products and end up buying fraud ones. Since the consumer buying behavior is the important factor to forecast the sales of any product in a particular area.So company should keep close eye on the market situation. yet, customer were price sensitive, but the changing...
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................................................................................................................... 5 3.Macro Environment ............................................................................................................................ 7 4.Consumer behaviour ........................................................................................................................... 9 References ............................................................................................................................................ 11 Overview The Indian personal care industry is estimated at Rs 45000 crores. The industry is divided into personal care, fabric wash, hair care, oral cares, skin care, coloured cosmetics, toiletries and fragrances. The industry has a low entry barrier and competition is severe. Besides the large multinational players, there are some leading domestic players as well as the huge unorganized players. Though most of the market share is with the larger players, companies vie for the marginal market share. Cheaper imports and duplicate products are also affecting the major players. One of the major multinational companies dealing in this sector is Amway. Amway is an American multinational direct-selling company that uses...
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...Cited……………………………………………………………………….pg12 I. Overview and History The L’Oréal Group is a French cosmetics and beauty company founded by Eugene Schueller in 1909, headquartered in Clichy, Hauts-de-Seine. It is the world’s largest cosmetics company, which has developed activities in the field of cosmetics, concentrating on hair color, skin care and so on. In 1973, L’Oréal purchased Synthelabo to pursue its ambitions in the pharmaceutical field. Later on, Synthelabo merged with Sanofi in 1999 to become Sanofi-Synthelabo, which merged with Aventis in 2004 to become Sanofi-Aventis. In the same year, L’Oréal acquired Yue Sai. L’Oréal also purchased The Body Shop in 2006 and acquired major Chinese beauty brand Magic Holidings in 2014. Timeline of L’Oreal Group II. Current Situation and Major Issues 1. Current Situation 1) Global market: L’Oréal is the world’s largest cosmetics company, with worldwide sales of €19.5 billion in 2010. 2) Chinese market: * L’Oréal is the second largest beauty and skincare player in China and No.1 in the luxury segment. Five of its brands, including Lancôme and Maybelline New York, are No.1 in their respective categories. * However, the acquired Chinese brand- Yue Sai does not perform well. a. No substantial profit b. Barely improved sales 2. Major Issues * L’Oreal wants to expand its market share in China’s cosmetics market but it meets some specific problems on...
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...The internal and external factors which impacts market expansion will be analyzed and then come to the objectives setting. Based on those objectives, marketing strategies will be supplied after marketing segmentation, targeting consumer market and positioning the company. Finally, we will demonstrate the implementation and the monitoring strategies. 1.2 Methodology Data comes from professional articles, ABS website, business news and financial magazines. 1.3 Limitation This report based on secondary date from articles, reports and websites. Without doing any consumer research in the real market, some conditions could be restricted to the marketing plan. In the mean time, cosmetics sold or made in China need to meet the animal testing requirements, especially the foreign imported ordinary cosmetics(Vicky, 2015). However, China is making changes for the animal testing laws, there are still chances and solutions for Aesop to enter. What’s more, Aesop has already established its official online store in China, which will pose treat to the physical stores’ sales. But Aesop is famous for its purchasing experience, hence there still have market share for it. At last, some of the data we used were produced before 2014, thus it may not clearly reflect the current consumption trend of the market. 1.4 Company background Aesop was established in Melbourne in 1987. They produce and sell skin, hair, and body care products. They investigate widely about plant-based and laboratory-made...
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...1. Product Description The product in this study comprise of Face & Skin Creams & Lotions under HS 3304910 2. Import Restrictions The import, export and transshipment of Cosmetic (Natural Base) are regulated under the new subsidiary legislation “Health Products (Cosmetic Products – Asean Cosmetic Directive) Regulations 2007’’ supersedes the previous legislation governing the control of cosmetic products under the Medicines. Any person who introduces a cosmetic product into Singapore must ensure that the cosmetic product is safe for human use when applied under normal conditions of use, and does not contain any banned or restricted substance stipulated for cosmetic products as listed in the legislation. Product Types The illustrative list provided below is not an exhaustive list on types of cosmetic products. Product forms and types not listed should be considered against the definition of a cosmetic product. • Creams, emulsions, lotions, gels and oils for the skin (hands, face, feet etc.) • Face masks ( with the exception of chemical peeling products) • Tinted bases( liquids, pastes, powders) • Make-up powders, after –bath powders, hygiene powers etc • Toilet soaps, deodorant soaps etc • Shaving products ( creams, foams, lotions etc) • Products for making-up and removing make-up from the face and the eyes • Products intended for the application to the lips • Products...
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...Vanessa Trenholm Student ID 5336 ADMN 121 November 1, 2005 L’Oreal’s Global Makeover: Case Study Problem: L’Oreal has a number of issues to consider; the approaching retirement of CEO Owen Jones, the potential takeovers of Nivea and Shu Uemura, their trouble gaining a presence in the Japanese market, and the lack of revenue in certain areas of their products offerings. There is also some loss in business for high demand products during turnover time as buyers wait for new shipments. Condensed Recommendation: L’Oreal should carefully select a CEO candidate who has experience in global management and the ability to spot trends. L’Oreal should proceed with the potential takeover of Japanese Shu Uemura, but they should reconsider the Nivea takeover as it may open them to a potential takeover threat. They should continue with their global expansion by developing new brands to meet particular ethnicities, perhaps aiming to catch the South American market as they have done with the African market. They should also flesh out their dermocosmetics products lines to increase the low 6% revenue in that area. Problem L’Oreal has experienced unprecedented success through global expansion into new beauty-product markets, under the direction of Owen Jones, who became a chairman in 1988. In 2006, Owen Jones plans to retire, so there is some speculation on how things may change with his successor. Currently there are a number of business maneuvers L’Oreal is considering: the...
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...refers to an evaluation and recommendations on the current market situation of L’Oreal Paris. A brief introduction of the background of L’Oreal Paris and the product category which L’Oreal Paris exists will be also explained in this report. It includes the general idea of cosmetic industry. Furthermore, this report also indicates the macro and micro environment and major competitors. The most significant factors in macro environment are economic, cultural and demographic forces. In this case, it will be also providing the reason and some evidence that explain how these factors are affecting L’Oreal Paris. Otherwise, for, micro environment, this report only discuss between customer and competitors. Next, there is a significant evaluation of the product analyse with reference to the type of products, the three level of products, the branding strategies, and what types of packing and labelling that L’Oreal Paris provided. In addition, a complete analysis of target segment and how current product influence buyer behaviour and meet difference needs and wants. Later on, L’Oreal Paris needs to consider and build the marketing mix to attract more consumers. It includes a brief evaluation of the price, place, promotion and products. Some recommendations associated with several aspects are also provided at the end of this report. The sources of information were collected from academic journals and text book as secondary data. 1.0 Introduction 1.1 Purpose The goal of this report...
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.................................11 COMPETITION BRANDS.......................................................12 MARKETING STRATEGIES BY OTHER BRANDS .....................13 CURRENT MARKET STRATEGY.............................................23 REFERENCES:.......................................................................29 LAKME Overview India, with a population of nearly a billion people, is a country of contrasts. India's urban population is the main engine that fuels the demand for various cosmetic products. Although Indians are strongly attached and committed to their traditions, and culture, the advent of television and the awareness of the western world is changing the tastes and customs of India. The ‘morphing’ of India is subtle and the changes are not visible for the first...
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...Kolkata based Emami launched world’s first men’s fairness cream “FAIR AND HANDSOME” in 2005.The goal of this paper is to take a closer look at the issues related to men fairness cream by analysing how the evolution of “Fair and Handsome”took place,its positioning in the market and its sustainance against global competitors. EVOLUTION OF THE BRAND: WHAT WAS THE NEED TO LAUNCH FAIR AND HANDSOME? Are men concerned about their complexion ? Do men worry about skin fairness ? If asked few decades back the answer would be a big 'no' as fairness creams and cosmetics were the personal properties of female race. But today alarming statistics reveal that cosmetics and fairness creams are equally sought after by men too. As fashion trends and lifestyles change, the attitudes and conceptions about human beauty. The Indian cosmetics industry was quick to latch on to the phenomenon. Surveys carried out by cosmetics companies suggested that a large number of Indian men were using fairness creams that were originally targeted at women. Over the years, Indian male became more and more conscious of his looks, not just in the business world but also in society. A lot depended on how he presented himself. Men didn't want to run the risk of being seen as irresponsible and negligent due to their looks. Celebrities, too, became more vocal about their grooming...
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