Marketing Introduction Paper: Estee Lauder
University of Phoenix
According to Lonnie Beaucheman, Director for the Central Division of Estee Lauder, Estee Lauder's brand Origins marketing plan plays a very important role in keeping Estee Lauder's many brands competitive (Beaucheman, 2006). Challenges
Three challenges that Estee Lauder faces is keeping current customers, reaching new customers, the teen market, and growing globally. Estee Lauder dominates the prestige product market. Other Estee Lauder brands include Clinique, Prescriptives, Origins, M.A.C., Bobbie Brown, Aveda, American Beauty, and Flirt. With all these brands Estee Lauder has to make sure it is being innovative with its products and marketing strategies to keep its brands from cannibalizing each other (Odell, 2004). Growth strategies include: keeping new products coming with advanced ingredients, reach more consumers with new concepts, grow their fragrance line, and expand globally. First, keeping new products coming is very important in keeping Estee Lauder at the top of the prestige market. New innovations in science and technology impacts Estee Lauder's ability to bring new skincare and makeup products with new technology to the forefront. Also, as generations change and the world changes, Estee Lauder strives to "keep up with the times" and keep a "one-up" on the competition (Odell, 2004). Second, Estee Lauder strives to reach more customers with new concepts. For example, Estee Lauder pioneered the "store-within-a-store concept for Origins Cosmetics, whose unique lifestyle appeal is showcased dramatically in this environment (Findarticles, 2003). Origins wasn't always successful in their marketing attempts. They tried several avenues that didn't work before settling on its current strategy. Catalog sales work best when there are at least three new products showcased in each issue. The problem was that...