The Brand Identify of Mary Kay Products - Essay Example

MARY KAY AFFILIATION: Mary Kay Company Introduction As a private organization, Mary Kay focuses of the production and distribution of beauty products including skin care and cosmetic products. Founded by one of the world’s most successful and inspiring female entrepreneurs, Mary Kay sells in 35 countries via its well-trained sales force team of over 2 million (Kay). Consumer behavior and preferences have a high impact on how companies indulge in their marketing, promotional and sales efforts. Consumer’s opinions of good and bad and especially the way they define and appreciate beauty can mean the difference between the success and failure of the same product across different cultures (Edgar & Michelle, 2008). In order to respond to this issue, Mary Kay has representatives and consultants all around the world who are not only involved in research and development of new products but in the marketing and sales of the same. Brand Identity and Value Proposition The brand identify of Mary Kay products has put it as a luxury brand that is known for standard and quality. The company’s own efforts are such that they try to brand each product as an individual brand that has to be taken care of with its own separate stream of marketing strategies. Benefits and Features Like every cosmetic product, the motivation to use and buy is more psychological than material. People have the need to feel loved and appreciated and they like to adapt in a way that’s acceptable. The benefit of self-esteem with prestige is what Mary Kay sells. Of course, a brand will only sell on that basis when the message can be reflected in their product quality as well (Viverios & Negus, April 2009). SWOT Analysis Strengths | Vast Reach Mary Kay enjoys exposure to a large customer base through its diversified brand and products range. It has a total of about 200 premium products that have been divided under 6 classes or categories, targets both men and women, is vertically well integrated and has a range of skin and hair care products sold as drugs and ailments too (Datamonitor, 2008). In 2008, Mary Kay was present in about 35 countries across the globe. Mary Kay exploits this advantage by having employed millions of independent beauty consultants around the world and having built a separate manufacturing plant in China to meet the needs of Asian customers (Bhattacharya & Prinyanka, 2008). Weaknesses | Comparative Operative Capacity As compared to its biggest competitor Avon and other competitors such as L’Oreal, companies that operate in a multinational and dynamic platform, Mary Kay lacks the ability to operate at such massive scales. While these companies have the ability to reach out customers in the farthest regions and have their products known there, Mary Kay’s brand resonance is limited to a certain region (Datamonitor, 2008). Opportunities The biggest opportunity for companies like Mary Kay is to explore the emerging markets of the world like China. Not only is the average disposable income of these nations on the rise but also, the aggregate demand for quality cosmetics and increasing need for skin and hair care are all factors that are collectively responsible for posing an enormous potential for the company. Threats Consumers all over the world are getting more health conscious. They are increasingly depending more on natural ways of beautifying. This has resulted in an incline in the herbal product industry and consequently a decline in consumer spending on luxury beauty products. This, along with the overwhelming competition prevailing in the industry of cosmetics, poses serious threats to Mary Kay (Datamonitor, 2008). Target Market Mary Kay brands are taken to be luxury premium products and are therefore targeted at the high end socio economic class. The company has targeted lower economic sections too, but in doing so, it has been very careful about sticking to its brand image of prestige, quality and high value. This is why its low-end products are also positioned to be carrying the highest value for money by providing the best quality in the most affordable pricing. The company segments its products on a variety of levels: Geographic: Mary Kay tries to customize its products to the needs and wants of the people in a particular geographic region Demographic: Gender is one of the bases of segmentation from Mary Kay’s demographic segmentation. Similarly, income is another base for segmentation. Psychographic and Lifestyle segmentation also exists as is dictated by the beauty consultants all over the world. People’s way of life, their social lives and most importantly their attitude towards beauty is what generates demand and guide the company’s efforts. Marketing Mix Mary Kay offers a wide variety of products in its 6 categories of premium products with tangible benefits such as a warranty period of 3 years, that exchanges or refunds for damaged or faulty products and intangible benefits of social acceptance and appreciation (Mei-Liang, chieh, & Jui-Yen, February 2008). Mary Kay products, although branded as being premium, but offer a variety of discount offers and are competitive enough to stand and stay in the market (Mei-Liang, chieh, & Jui-Yen, February 2008). Mary Kay’s placement channels are very definite and narrow. Direct sales is out and about the only strategy that the company employees. There aren’t any retail outlets or wholesale transactions as such. A customer almost always has to get in touch with a consultant in order to purchase a product (Mei-Liang, chieh, & Jui-Yen, February 2008). CSR is the most powerful tool used in the promotion of Mary Kay Products. Not only was the company based on the motto of providing women empowerment but also, it supports several charities for the older, the children and the poor. Moreover, it launches its annual enterprise book and has created a nice alluring website with its social media plug-in and healthy presence on these Medias (Mei-Liang, chieh, & Jui-Yen, February 2008). Conclusion Mary Kay’s strategy of direct selling helps it gain excessive knowledge of its customers as they interact on a one on one basis with the beauty consultants. However, successful marketing and long term sustainability lies in the plan and development of an integrated marketing communication plan. There is much room for improvement for the company when it comes to sales channels and marketing and promotional media. The company can exploit those if it looks at a larger success and market share in the future. References Bhattacharya, & Prinyanka. (2008). Mary Kay to Invest $20 Million in India. Global Cosmetic Industry, 29-31. Datamonitor. (2008). Mary Kay Inc. Company Profile. Datamonitor PLC, 5. Edgar, & Michelle. (2008). MARY KAY ADDS MORE COLOR TO THE COMPACT. WWD: Womens Wear Daily, 8-8. Kay, M. (n.d.). Company: Mary Kay Around the World. Retrieved April 14, 2012, from Mary Kay: http://www.marykay.com/company/aroundtheworld/default.aspx Mei-Liang, C., chieh, C. Y., & Jui-Yen. (February 2008). The Study of Direct Selling Management Strategies:. Journal of International Management Studies, 217-219. Viverios, & Negus, B. (April 2009). Beauty Secrets. Marketing News, 42 - 42. Read More