Advertising and promotion strategies of three different companies in the cosmetic industry - Essay Example

Assignment Contents Contents 2 Task 3 Advertising and promotion strategies of three different companies in the cosmetic industry 3 Task 2 5 Assessment of promotional strategies of another cosmetic companies and recommendations for new advertisement campaign of fictitious company Bellissima’s 5 Task 3 7 Letter of complaint for Bellissima on the basis of the facts given by MD of Uroda 7 Bibliography 9 Task 1 Advertising and promotion strategies of three different companies in the cosmetic industry The cosmetic industry is a very wide industry and generates huge amount of profit margins. There are number of players in this market however the three most influencing company in this industry is L’Oreal, Avon and Oriflame. The L’oreal group has its headquarters in France and is a French beauty and cosmetics company. The brand has been able to capture a huge market share with a wide array of products with different target market as it launches some beauty products for the younger generation and on the contrary it also manufactures products that cure wrinkles of aged population. The major strategy behind the advertising campaigns of the group is to highlight the brand in each and every product. The strategy is that it relates its product line to those individuals who deserves the best and is cautious about the beauty products they use. It advertises its products as premium priced but believes to deliver the best quality cosmetic products. It uses several communication or media channels and highlights is growth over the years to its customers. Apart from the advertising strategies of its newly launched products the company also undertakes promotional strategies through various forms such as using in-store promotions in retail outlets, direct marketing to YouTube and through bloggers, promotions through contests in the form of digital contest in Facebook and Instagram, and even given an opportunity to the customers to customize their products in terms of size and smell so as to associate with the customers easily. The main strategy behind the promotions is to reach out to large consumer market section. The company even incorporates many celebrity endorsements in its product advertisement. The major strength of its advertisement and promotional techniques is that it helps to trigger in the consumer mind the brand name; it helps to create a niche market in the industry and also strengthens its brand. The weakness of the strategies is that it focuses on premium segment of the market and loses behind the vast section of the middle income group of the market. The other weakness is that through its promotions and advertisements it cannot highlight the value added services that it offers to its consumers. Avon is a cosmetic manufacturing company that performs direct selling in personal care, beauty and household categories, and is an American manufacturing company. The company is considered to be the fifth largest company across the globe in the beauty industry. The company uses one of the best ways of advertising without investing to any kind of media platform that is it uses direct agents who reaches household to demonstrate the beauty products of the group. The major advertising strategy of the group is to understand the women and deliver the beauty products in a more of customized fashion as what is desired for by the women.1 The company has adopted one of the most convenient platforms to reach out to the mass customers and it mainly does through integrated social media platform, billboard and emails. It even involves some of the brand ambassadors so that the brand image can be made strong. The promotional strategy involves associating its products with organic element and of being eco friendly. The company even involves into event sponsorship and associates the brand with major factors of concern in the society such as breast cancer, etc. The main strength of these strategies is that it can deal on a one to one basis through its direct marketing strategy, and eco friendly aspect of such strategies enhances the brand name. The major weakness is that such strategies lack the innovative element and the position of the brand is not strong. The company through its strategies is unable to create high standards for its product line. Oriflame is an international company in the cosmetics industry that was founded in the year 1967 and has opted for various marketing channel so that it can reach out to a large consumer base. The main strategy of advertising that is incorporated by the company is to reach out to large market share and not to be involved in any form of mass media promotions. The company promotes its products through event sponsorship and even in some fashion related shows however the company has very less promotional campaigns in relation to other cosmetic companies.2 The major strength of its advertising and promotional strategy is that it is reaching to a large market share and satisfying the needs of customers through direct selling. The weakness being the brand position is not very strong and there is lack of awareness and in order to sustain in the market it needs to undertake mass media promotional techniques in the nearby future. Task 2 Assessment of promotional strategies of another cosmetic companies and recommendations for new advertisement campaign of fictitious company Bellissima’s The advertisement campaign that is undertaken by a cosmetic company should be such that it can relate to the maximum market share and even convey the essential elements that would be delivered through the products of the group. Bellissima is cosmetic company that offers some salt based cosmetic products to the market.3 The three other companies in the same industry that is L’Oreal, Avon and Oriflame has adopted different advertisement strategies such as targeting one specific consumer market or highlighting more on the ingredients that is used in the products or even reaching out to more number of people through trained personnel’s. The common drawback of each of these strategies is that there is no such description in which the products are being able to give an extra value to its customers.4 The problem is being identified through the advertisement techniques but as a cosmetic company it is very essential that a company highlights the personal experience of an individual after using such beauty products. This would help to give a real essence to the brand name and create a long lasting effect on the minds of the customers. Bellissima should firstly focus on which section of the market would help in generating higher revenues for the company and this target market should be addressed in the advertisement campaign. The company should not only highlight the current beauty related issues that an individual is facing in present scenario but also map the benefits of the beauty products to the issues highlighted so that the target market can closely relate to the brand.5 The company through its advertisement campaign should focus on maintaining a loyal customer base and even involve more number of customers in its advertisements so that it can communicate the message to its customers that their products are highly effective and have been able to resolve many beauty related issues. Task 3 Letter of complaint for Bellissima on the basis of the facts given by MD of Uroda May 26, 2014 Mr. John Taylor President Bellissima New York Dear Mr. Taylor: As the MD of Uroda I was not facing any such problems with your company from the last few months of our business operations but recently there are some issues that need to be sorted out on your end so that the brand reputation of my drugstore chain is not hampered. There are certain complaints from customer who purchase your brand products from my store that it’s too expensive and do not meet quality standards. The logistics manager of my company has also complained that the product delivery is not on time and the trucks of your company late and most of the time is out of schedule. The customers buying your products has high dissatisfaction level and complain that they do not like the smell and look of Bellissima products and often receive half filled jars. There are some serious issues in your production process and also in the packaging process of your company as a result of which I am receiving cracked jars of your products which is not an acceptable fact in highly expensive products of skincare. I would appreciate your effective coordination in this matter as there is a need to resolve this matter as fast as possible or else I would be bound to end our working terms with your company as it is affecting my brand image. Al Olsen Managing Director, Uroda Bibliography Brian Thomas & Matthew Housden, ‘Direct and Digital Marketing in Practice’. (A& C Black 2011). Isobel Doole & Robin Lowe, ‘International Marketing Strategy: Analysis, Development and Implementation’. (Cengage Learning EMEA 2008). William Pride, ‘Foundations of Marketing.’ (Cengage Learning 2014). Peter Cheverton, ‘Key Marketing Skills: Strategies, Tools and Techniques for Marketing Success’. (Kogan Page Publishers 2005). Sak Onkvisit, ‘International Marketing: Strategy and Theory’. (Routledge 2009). Read More