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Repositioning of ORIFLAME, Hellas. Name: Setta Aikaterini ID: 130873 Brand Building in Advertising, CN 4313 Professor: N. Dimitriadi

Oriflame Repositioning Project

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Page 1: Oriflame Repositioning Project

Repositioning of ORIFLAME, Hellas.

Name: Setta Aikaterini

ID: 130873

Brand Building in Advertising, CN 4313

Professor: N. Dimitriadi

Page 2: Oriflame Repositioning Project

Content Table

1. Executive Summary with Current versus Desired Identity………………………………… 1-3

2. Brand Repositioning Styles……………………………………………………………………………... 4-6

3. Brand Repositioning Dimensions……………………………………………………………………. 7-8

4. Brand Repositioning Themes and Usage…………………………………………………………. 9-13

5. References…………………………………………………………………………………………………………. 14

Page 3: Oriflame Repositioning Project

Brand Repositioning

Why does the brand need to be repositioned?

Oriflame is a pioneer company in Greece as it is the first cosmetic company that

operates with the pyramid working system. According to Hellenic-Swedish Chamber of

Commerce, “In Greece Oriflame was founded in 1993 and currently has more than 1.100.000

Consultants.” However, in 2015 with Avon’s Company, which is a similar operating cosmetics

company in Greece, sales rising, Oriflame has come into a dead end. The company has lost

its identity, which is the pure, ecofriendly, cosmetics industry and has started developing

other product lines as well. The company itself describes the brand as, “The essence of the

brand is the Swedish heritage of being natural, progressive and ethical”, in the official

website. However, in the current time the brand seems to be very slow in progress and on

top of that they have launched healthy diet products having clearly confused the consumers.

Moving on, the brand is in a serious need of a reposition as it has lost its identity and

lacks of new ideas. Currently, a lot of diet products have been added, like nutrition bars, diet

dust and teas, that have confused the consumers as it is no longer a completely cosmetics

company. So, the brand needs a repositioning in order to redefine its goals and regain its

identity. Because of the lack of new and fresh ideas in the brand we should probably

reconsider our target group. Oriflame seems to belong to the mature ages that need to trust

the brand that they choose more than anything else. Also, since the products are eco-

friendly and organic may affect more the ages 45 to 70 as they seem to be more mature, and

already have tried plenty of cosmetics brands with various backgrounds.

To sum up, the main reasons for repositioning are that the brand identity has been

lost and consumers do not really know what to expect from us anymore. The main

repositioning move that we are going to make is to reconsider our target group and refocus

again on selling good and qualitative cosmetics.

Page 4: Oriflame Repositioning Project

Brand Personality

I believe that the best person to identify to our brand personality is Jane Fonda. She

is a very well-known actress and a former fashion model that in her 77 years still looks young

and well pampered. She is a woman that promotes beauty as much as the woman’s needs

and values. She fits perfect to our brand identity as our products are environmental friendly

and have a mature and classic aspect on them. We care to be everything that a woman

wants and work to make them show the age that they feel like. So, Jane Fonda is the best

person to characterize our brand characteristics, as she is the ideal image of every woman,

which is to grow up and still look as fresh and young as Jane Fonda does.

Also, another important aspect of her character is that she is an activist as well. She

is a woman that promotes her rights and care for the world as much as her looks. Especially

in a time where consumers care a lot for the long term aspects that a brand can affect.

According to the “Journal of Customer Behavior”, published in 2014, “Increasing numbers of

consumers are interested in gaining better understanding of the consequences our everyday

products have, both short-term and long-term, on the planet, as well as on our physical well-

being”. So this is a perfect fit for our eco-friendly products that are not tested on animals

and our main goal is to satisfy the women needs in the most pure and simple way.

At last, another common characteristic with our brand character is the way she

reflects the meaning of beauty. She always uses to dress fashionably but yet simply and

every time does her make up in a classical and light tone. Oriflame is also promoting a more

timeless line, with earthy colors within it and not something too modern or too hippie. Also,

it is important to state that as a company who cares about the environment, we always look

for new ways to achieve our goals, by incorporating more natural ingredients and more

effective as well. Due to “Beauty ingredient innovations and trends”, it is well supported that

hydrated skin is number one need especially in the winter time, “product developers are

adding hyaluronic acid and rich pigments to formulations to create a hydrated, healthy look,

combined with primers that are breathable and moisture-locking.”. As I said before, our

main target audience is mature women and our main goal is to make them feel good about

themselves, by accepting and endorsing it. We have no purpose to “transform” them to

Page 5: Oriflame Repositioning Project

something that they are not or feel uncomfortable being, but make them feel good and

pampered.

In conclusion, the brand adjectives can easily be identified with our representative

character. Firstly, maturity is number one and both our target group and our character are in

a mature age. Also, Jane Fonda has some activist stands towards environment and women’s

rights, so it is also a perfect match for our company’s personality. At last, the timeless

characteristic exists, by the safe made choices and the fact that a woman in an older age

should keep it minimal and qualitative.

Mission – Our main mission is to succeed in becoming known for our ecofriendly character

and be easily recognized for that. We want women to see themselves that we are a hard

working company for their satisfaction and we provide the best technological and natural

products at the time.

To be more specific some of the objectives that we are targeting to achieve in the next year

are:

1. Be recognized for our new identity

2. Raise profits over 3%

3. Have more requests from women to being representatives

4. Find more formulas to create natural products and create some new additions as well

Vision – Our long term vision is to become the best company that sells natural products and

be recognized for our quality and efforts.

Page 6: Oriflame Repositioning Project

New Styles

1. Mature

Sight: warm earthy colors (green, brown, bamboo)/ (Shapes: geometrical, structured.)Scent: slightly scented / sweet scent / natural.Touch: wooden, bamboo (natural touch nothing synthetic).Hearing: (there is no specific area where we can add the hearing factor)

2. Environmental

Sight : earthy colors that remind of the environment (wooden colors mostly).Scent : natural scents and very environmental (ex. Breeze, ocean, flowers etc).Touch : lots of woods in the packaging (the packaging could be recycled as well).

3. TimelessSight: nature and earthy colors are always in fashion.Scent: calm and discrete scents.Touch: wooden material touch is always a timeless choice.

Combining the New Styles

Our goal for the new brand is to make it look deluxe and yet very accessible. That is

why we are using natural colors and materials, in order to also show our environmental

concerns and love that we give to our products. Our main idea is to protect animals and

avoid polluting the environment by creating herbal products that are eco and skin friendly.

So, everything must be combined in order to create products that have to offer a great

variety of uses and they are also very carefully produced.

Moving on to the actual styles, sight is the colors that are combined to give an

earthy tone to the whole product image. We will use brown, green and wooden-bamboo

tones that connect with all of our adjectives which are mature, timeless and environmental.

For the mature aspect of the brand we need to use colors that are simple and classic that

will smoothly bound to our customer’s aesthetics. Moreover, the specific selection of colors

Page 7: Oriflame Repositioning Project

is fitted for the environmental aspect as well. Since we are talking about protecting the

environment and produce animal testing free products, we should also use brown and green

to highlight this side of our character. At last, it should be stated that this selection of colors

is all time classic and never goes out of fashion, so it is also bound to the timeless

characteristic as well.

Within the sight aspect, packaging shapes are also included and might also be the

most important part of a product. According to “Color Cosmetic Packaging and Today’s

Consumer”, the packaging might even be the only reason why a consumer buys the product,

“The package is the critical touch point and should be the distilled expression of the brand.”.

So the shapes that we are using are geometrical like squares, circular and octagonal

packages. This way we are holding onto our image the timeless part and shapes like these

can hardly go out of fashion or seem of a specific style other than a classic natural shaped

one. Also, those types of shapes include the environmental and mature characteristics in

them, as well. It is environmental because of the natural shapes and nothing is too extreme

or too modern, everything has a smooth environmental touch to it. At last, they are mature

as well because the packaging has nothing too fancy on it.

Moving on to the scent element, since our brand does not have a representative

retail store to sell the products and our transaction policy is by ordering online and mailing

the products at each customer’s place of selection, we have embedded our smells within our

products. The most important smell representative will be our perfumes and they are all

going to be of a soft and light odor. We will be producing perfumes that will have a light

smell but yet easy to be identified and the perfumes will definitely be naturally made

without any artificial odors. Most specifically some of the ingredients that we are going to

use are jasmine, chamomile, lavender and citrus. In terms of the maturity aspect, the smell is

light and gives an element of delicacy. The environmental aspect is supported by the

ingredients of the perfumes and the overall smell, which is natural and flowery. At last the

timeless aspect is bound to the fact that our smells are light and natural being able to

remain throughout the time and fashion changes.

The touch element is going to be separated into two categories. The first one is the

touch of the packages and off course the actual feel of the products, for example whether

they are cream based or dusted. Starting off with the packaging, our compact product

packages are going to be by bamboo or light wood whereas the tubes are from plastic but it

is made out of recycled materials and can also be recycled after the use. The maturity

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element can be found within the use of those materials as they are classic and perfectly

represents the personality and sense of style of a more mature woman. The environmental

role, comes where the packaging is made either by natural material (wood) or by recycled

plastic and off course it is highlighted by the fact that both types of packaging can also be

recycled in the future as well. The timeless aspect is also, found in the material that we are

using and in the fact that recycling is the most effective and well known way to save natural

resources.

The second category is actual product form, we are going to make them cream

based but also, adding a dusty finish. More specifically, the eye shadows, blushes, bronzers

are going to have a cream feel to them but as long as they are used on the skin they are

going to have a dry finish. This way is also helping the products to be long lasting by

combining two forms all in one. This is something that is completely compatible with the

maturity aspect of our brand, as older women usually want more coverage with less care to

fix every few hours their makeup. The only environmental aspect in this case of the product

form is that they are still made by natural ingredients without using anything superficial and

off course they are free of animal testing. The timeless aspect is that even if we try to be as

much as technological progressive as we can, we are not taking risks that might seem to be

dangerous on the long run for our consumers.

Figure 1. Demonstration of Product Packaging

Page 9: Oriflame Repositioning Project

Dimensions

Complexity/Design - The design of the products is very minimalistic and simple. Our main

target group is mature women and for that we need simple packaging and light made

products. Everything about our products is very simple, fitting easily to every woman from

the most carefree to the most demanding ones. We chose to retain a minimalistic brand in

the means of quantity and design as well. We rejected all of the nutrition products that we

had and we restrained our brand only into a cosmetic one, as we had started in the

beginning. Also, since our brand adjectives are also, mature, environmental and timeless, we

wanted to represent them in every possible way. As our “role model” represents as well, we

are a brand that promotes beauty in every age, most likely in the older ages, and we keep in

mind the idea that beauty is made out of simplicity and purity, not by overwhelming our skin

and image with many extra “ornaments”.

Representation – Oriflame represents realism, as the one of the main aspects of the brand is

nature. Every sight element is highly combined with an environmental aspect, representing

things that we have already seen. From our packaging to our mentality, we support the

“green” message and the natural aspect in everything that it can be applied. Firstly, the

materials we use in order to package our cosmetics are reminding of nature and simplicity as

well. Woods, warm and earthy colors are some of the elements that stand out. Since we do

not have a store representing our

products, I would like to focus more to the

image that give our company

representatives and monthly brochures.

Everything should bound to combine

this natural aspect and show to our potential

customers that we also, support in action our

beliefs.

Figure 2. Demonstration of Perfume Packaging

Page 10: Oriflame Repositioning Project

Perceived Movement – The Oriflame’s logo is a very recognizable one and we would not like

to change it holistically. However, we are making some changes, in order to show to our

customers that we have restructured our brand and we are even more ready to take on the

ongoing challenges. Our logo right now has a light green color and the first O is in more

calligraphic form whereas all of the other letters are static and in a circled font.

However, we would like to add some movement to the logo and make it clear

enough that we are an

environmental friendly

brand. The movement is added by the slightly italic

font and the leaf that also underlies some

“waving”. Moreover, we have intensified the green

color of the brand by making it more dark and

significant. This way, we are building our brand

identity along with a color that will characterize

us and make people think of us when they see it.

Potency – The new repositioned brand will have a soft potency in all of its aspects. More

specifically, our main vibe is natural and soft, as our target

group is women in ages of 45 to 70. Our brand should

inspire those women to relax and dedicate some time for

them by using cosmetics made by the purest and simplest

way possible. Since our goal is to show the natural aspect of

the brand, everything we do should cooperate to show that nothing is overwhelming or

Figure 3. Original Oriflame Logo

1. Oriflame's New Logo

Page 11: Oriflame Repositioning Project

useless, because as nature recycles every element and uses it again, our brand uses the

same way natural ingredients to achieve the best quality for our customers.

Themes

1. Repeated and Adapted Themes

Our new theme is going to be nature, or else the “green” philosophy. Our products are

pure and some of them, such as crèmes, perfumes and cleaners are made by natural

ingredients. In order, to adapt this theme according to the trends, we have in mind to

change the “nature representation” every time the seasons change. One example would

be during the Easter time, when the spring smells are more intense and flower odors

would be preferred rather than more heavy-winter ones. Also, more light but bright

colors are coming back in fashion, like coral lipsticks and blushes. So, according to each

time of the year and the ingredients available, we will be adapting this theme to show

that we are working all year long to keep our consumers happy and follow their needs.

2. Networks of Associations

Page 12: Oriflame Repositioning Project

Competitors – Decision Issues

Our main current competitor that offers very similar products to our company is

Avon. The way of operating is also similar to our job ethics, as they work with the direct

sales system. That is that the company has a number of ambassadors and from them

people learn the company and order their products. According to a marketing case study

about the Avon company, “Avon Company is present in whole world, in over 143

countries and it has over 3.7 million of representatives.”. As we can observe it is a well-

positioned company that reaches every age and every type of women. Their goal is to

produce different lines that will satisfy from teenagers to mature women and from men

to even little kids. The variety of products is very wide and the prices can vary from

average to expensive.

Moving on to some more specific competitive elements, Avon is also a company who

respects the environment. Due to the marketing case study, “The Company respects the

international standards for the environment, so that its activity is not harmful for the

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environment. It was the first company that eliminated from its product’s composition

the CFC gases (chlorofluorocarbons) – gases which are harmful for ozone blanket.

Almost all packaging is recyclable.” However, even if it is stated that they protect the

environment and they use recyclable packaging, their identity (logo, slogan etc), lacks of

these information. It is safe to say that because of their color as well, which is pink, they

focus more on supporting and offering some earnings into the research for breast

cancer. They even have a specific line, into every brochure that is dedicated to this

purpose and all of the items are pink with the ribbon on them.

So, undeniably we are talking about a company that has nature and human

sensitivities. However, since our point of focus is the environmental aspect, we should

say that we have the lead, because we are making sure that people will know that as it

has become an integral piece of our brand identity.

Moreover, Avon has categorized its products and target groups as well, within three

categories. According to the marketing case study, “According to consumer’s incomes,

Avon Cosmetics addresses to the following categories: clients with low budget (budget),

clients with medium incomes (mass), clients with high incomes (mass premium), and

luxury clients (prestige).” In differentiation to our company, where we are only targeting

average to high income women. That is because our products are based on natural

ingredients and that is still in our times, hard to work on in cheap ways.

Concluding, I believe that the hardest part will be to differentiate from Avon as we

work in a very similar way and people tend to think of us in the same way. We have the

same system to operate, which is the direct sales system but our quality and philosophy

as well is highly different from Avon’s. Our goal is to satisfy the needs of a very specific

target group, which is also, much more demanding, in the best way possible.

Another company that offers highly similar products is Apivita. It is a highly herbal

based company and all of its products are made by natural ingredients. They were the

first in Greece to present “paraben free formulas by the end of 2008”. According to the

International Cosmetic News, “It reported sales of € 19m globally in 2006 and expects

€25m in sales this year”. That is proof that natural products do sell and people tend to

become more engaged to them as they familiarize better. Since Apivita is mainly focused

on skin care and shampoos, we will compete in this type of products. However, this

company is known for using propoline and other ingredients produced mainly by bees.

Page 14: Oriflame Repositioning Project

So we have the differentiation of focusing in more general natural ingredients such as

aloe vera, citrus, sea salt etc.

Thematic Usage

Target Group – Customer Insights

Our target group is 45 to 70 years old. They are women that work or stay at home to

raise their children or even have retired. They belong to middle or high socioeconomic

class and have sensitivities. In order for people to care about the environment and

appreciate the fact that we are doing so much, by using natural ingredients and

recyclable packaging, they must have an educational groundwork. Also, it is more likely

to care more about their skin and looks when they start to grow old and think about

factors that young women rarely have in mind.

Also, some of them, the ones who have retired, have more free time to spend to our

product presentations by our ambassadors and find this process relaxing and pleasant.

They look to find other women like them to share their problems and chat for

cosmetics and other “light” subjects. Most of them are experiencers, that have tried a

Page 15: Oriflame Repositioning Project

lot of different products in their lives and they think that nothing is better that pure

natural cosmetics. Also, they valid the fact that the company is ecofriendly, as most of

them have children and grandchildren and care to see them happy in a “healthy”

environment.

Usage / Concepts

The main theme as I describe under the “themes” section, is going to be the

“green” ecofriendly aspect. In the promotion procedure, we will be focusing more on

the products that are in a bigger percentage natural, made by pure herbal ingredients.

We will be focusing on those as we need to show to consumers that this is our identity.

Women will choose us just because of this aspect and we should make it as

recognizable as we can. In order to be more specific, I will briefly present the spring

campaign for Oriflame Company. The brochures, which are the main representative

aspect for our products will have a green font with flowers and spring themed graphics.

In the beginning the perfumes will be presented and they all will have a flower smell,

light and hard to forget. Moving on we will have all of the other products, in sections

that are based on the natural ingredients that they are made of. After that we will input

all of the rest that have a more general spring effect on them such as lipsticks, blushes

and eye shadows.

Slogan

The slogan that we chose to use for our repositioned brand is “All Nature’s

Beauty in a Bottle”. It is also going to be presented in the logo and in every front page

of our brochures, and website. It serves the goal completely, which is to show that we

use natural products and the cosmetics are made by herbal ingredients. It is also a

slogan that mostly applies to our target group, as women in a younger age would not

care so much for natural beauty and environmental concerns.

Narrative

Our main product narrative is going to be relaxation. Just like in a professional

spa, our products can and will offer to our clients the care and effectiveness that they

want to see. Harmonically combined with nature, our brand gives a more light and

relaxed vibe. When our clients will use the products, they will fill like traveling in an

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exotic place. All of the anxiety and thoughts will vanish and they will have the chance to

completely dedicate these “pampering” hours to themselves.

CITATION (APA)

Pervin, S., Ranchhod, A., Wilman, M.(2014). “Trends in cosmetics purchase: Ethical

perceptions in different cultures. A cross country comparative study between

South Asian and Western consumers.” Journal of Customer Behavior, 13(1), 57-

72.

Hashim, J. (2014). “Beauty Ingredient Innovations and Trends”. Global Cosmetic Industry,

182(1), 52-54.

Page 17: Oriflame Repositioning Project

Palade, A. (2011). “Analysis of Marketing Mix on Cosmetics Products Case Study: Avon

Company”. Annals of the University of Petrosani Economics, 11(4), 233-244.

“Skincare”. (2007). ICN (International Cosmetic News), (98), 19.

The Oriflame brand – natural, progressive and ethical. (n.d.). Retrieved April 1, 2015, from

http://investors.oriflame.com/html/annual-2010-en/this-is-oriflame/the-

oriflame-brand.php