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GGU MKT 302Professor Dr. Chet ChaffeeSpring 2013Piyanuch Kangwankijwanich (Tu)Wanich Hathagitjamroen (Hui) Kanokwan Watkum(Wan)
SMART BeautyBy Maybelline
AGENDA Introduction SWOT Analysis Competitors Targeted Customers Business Objectives
Product Positioning Product Life Cycle Price
Distributions Promotion and Communication People
References
SMART Beauty
INTRODUCTION Lipstick is a product that is used daily by women,
and there are rumors about lead contamination. Maybelline lipstick color FF 205 or Pink Patel
contained the highest lead.
Benefits for Maybelline IF it launches green cosmetics Lessen notorious reputation Create competitive advantage over competitors by
improving the brand image Decrease production costs in a long-term
SMART Beauty
Posted by Dr. Claudia Pirisi, Oncologist. Dr. Elizabeth Ayoub, biomolecular and medical is issued an alert for lipsticks containing lead, which is a carcinogen. The brands that contain lead are:
CLINIQUE, ESTÉE LAUDER, SHISEIDO, RED EARTH (Lip Gloss), CHANEL (Lip Conditioner), MARK AMERICA, MOTIVES LIPSTICK, AVON
Take this test:1. Put some lipstick on your hand2. With a gold ring on this lipstick pass it3. If the lipstick color changes to black, then you know that contains lead
LEAD IN LIPSTICK
SMART Beauty
SMART Beauty
• Strong R&D teams • Strong supply chain
• Like-mind celebrity• Intelligent & stylish image
• Product testing on animals
• Low price positioning
• International cosmetic brand
• Alternative choice for green consumers
• Intense competition
• High costs of advanced technological
COMPETITORS
Direct Competitors:
Indirect Competitors
SMART Beauty
TARGETED CUSTOMERS Women aged 16-45 who always
wear colored lipstick Moderate income and live in
major states such as New York, California, Illinois, etc.
Chic, modern, love fashion, health-conscious Price sensitivity Use public transportation, donate
to non-profit organizations 3R: Reduce (electricity usage),
Reuse (tote bag), Recycle (waste)
SMART Beauty
BUSINESS OBJECTIVES
LONG-TERM GOALS SHORT-TERM GOALS• C2C LCA• zero waste• Reduce carbon footprint• Energy effectiveness and
efficient• Decrease production costs• Support local communities
• Packaging scorecard • Waste/recycling audit • Sustainable plants and
building • LEED Accreditation • Animal welfare policy • Cross-functional working
groups • Training process• Increase sales 5%
quarterly • 30% of the market share • 50% customers’
awareness
SMART Beauty
POSITIONING
Premium
Organic Glam SKII
Dior
Origin Elizabeth Arden
keilh Clinique
Clarins
100% natural 0%natural
Smart Beauty
Body shop Maybelline
Revlon Neutrogena
Mass
SMART Beauty
PRODUCT LIFE CYCLE
Raw material 100% natural ingredients No harmful effects for humans Botanical oil: moisture and smooth Super plants: natural colors
Packaging Ingeo producer Nature Works Biopolymer (from plants) 50% less GHG 30% less non-renewable energy (than PVC)
SMART Beauty
Supplier Well-managed organic farm Require to comply with all laws Fair trade USA Educating farmer
Transportation UPS Sustainable company Reduces carbon footprint Top score on the CDLI (99 out of 100)
SMART Beauty
PRODUCT LIFE CYCLE
Manufacturing processes Sustainability trainings for employees Reuse,Recycle, and Reduce No toxins and heavy metals Wastewater treatement system Solar cell system
Retailer Non-toxic cosmetic retailers CVS, Walgreen, and Target Screening out the chemical products Communicate safety commitments
SMART Beauty
PRODUCT LIFE CYCLE
End-users and Disposal
Remain high performance Returning package policy
Discounts and gifts Promote recycle
Disposal processes Eliminate wastes Never leave toxins and chemicals
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PRODUCT LIFE CYCLE
PRICE
Customers are price sensitive Price and Quality based strategy
Slightly higher than market price Product differentiation
SMART Beauty
DISTRIBUTION
SMART Beauty
Directly to Customers Online shopping and the mobile application provide more detailed product descriptions
Through Retailers Convenience stores and Drugstores e.g. Walgreens,
CVS/pharmacy, and drugstore Supermarkets e.g. WholeFood, Safeway University grocery stores Communicate the sustainable campaign quickly
Through Wholesalers Discount Stores: Wal-Mart, Target, and Costco Design the special sustainable packaging for large volume
orders
SMART Beauty
DISTRIBUTION
PROMOTION AND COMMUNICATION
Smart Beaut
y
Sponsorship
- PETA
- GEF
- PINK Make-up consultants
- Educate biochemical in
cosmetic
Internet
- Social media
- Blogger
Event Marketing
Public Relation (PR)
Sale promotion
- Co-branding
SMART Beauty
Sponsorship: donates funds to support three organizations
Animal Protection: The Ethical Treatment of Animals (PETA) Environmental Protection: The Global Environment Facility
(GEF) Human Right: The Pink Fund
PR press Promote the company’s products and sustainable activities Persuade the media outlets such as blogs, The New York
Times, The Wall Street Journal Event marketing
Promote product launching by tradeshow or roadshow Display products in the universities and offices
SMART BeautyPROMOTION AND COMMUNICATION
L'Oreal, Lancôme, MAC, Estée Lauder, Cover Girl, Revlon, Maybelline, Clinique, Olay, Neutrogena, etc.
It's not just rabbits and mice, it's cats and dogs too.
SMART BeautyANIMAL TESTING FOR COSMETIC PRODUCTS
Sale promotion offer special promotions created co-branding strategy: sustainable cosmetic bags Product redemption promotion: return getting a discount
Make-up consultants: Teach make-up artists the right method Use natural products and ingredients Educate to evaluate materials and labels in cosmetic products
Internet promotion Social media: Facebook, Twitter, YouTube, and Pinterest.
Provide product description details Update new product launching Promote PETA, GEF, and PINK information and activities updated
Make relationships with bloggers: TreeHugger, Committee to Protect Journalists Blog, and Animal Rights blog
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PROMOTION AND COMMUNICATION
PEOPLE
Rotates employees to join non-profit organizations and boost ethics
Encourages employees to reduce environmental impact Reduce CO2 emissions: reduce electricity, gas
and diesel consumption. Reduce waste: separating the type of waste and
use recycled, reused, and repaired products and packages
Reduce domestic water consumption: minimize use through low-flush toilets, metering and other devices
SMART Beauty
REFERENCES About us. (n.d.). Retrieved March 29, 2013, from The Pink Fund website:
http://www.thepinkfund.org/about_the_pink_fund.php All about PETA. (n.d.).Retrieved March 31, 2013, from PETA website:
http://www.peta.org/about/learn-about-peta/default.aspx Environment. (2011). Retrieved from Corporate Sustainability Report of UPS: http
://www.responsibility.ups.com/community/Static%20Files/sustainability/ 2011_UPS_CSR_Environment.pdf
Environmental working group. (n.d.). Lipstick. Retrieved from http://www.ewg.org Ingredients Glossary. (n.d.). Retrieved from the Organic Pharmacy website: http
://www.theorganicpharmacy.com/health/expert-advice/organic-ingredients/173# Linda, C. (2011, March). Activia yogurt in bioplastic cups introduced to German market.
Retrieved from Packaging Digest website: http://www.packagingdigest.com/article/518409-Activia_yogurt_in_bioplastic_cups_introduced_to_the_German_market.php
Making A Difference. (n.d.). Retrieved from NatureWorks LLC website: http://www.natureworksllc.com/Product-and-Applications/Folded-Cartons
Romanowski, S. (2012, July). Color cosmetic. Mintel. Sustainable Development. (2008). Retrieved from SCG website:
http://www.scg.co.th/en/05sustainability_development/03_sustainability_report.html What is the GEF. (n.d.). Retrieved March 31, 2013, from GEF website: http
://www.thegef.org/gef/whatisgef Whole Foods Top Green. (2012). Retrieved from Environmental leader website: http
://www.environmentalleader.com/2012/12/12/whole-foods-tops-green-cosmetics-retailer-ranking/?graph=full&id=1
SMART Beauty