Avon Calls on Foreign Markets
Avon, started its journey in the early 1886 is now the oldest and the largest marketers and manufactures of the beauty products. The advertisements from “Ding dong, Avon Calling” to “Hello Tomorrow” and from “You never looked so good” to the latest one “The Company For Women”, always helped Avon to improve its image and enhance the marketing strategies to serve the purpose. One of the amazing facts about Avon includes that it’s headquarter is situated in USA but major portion of its sales comes from outside North America. Avon has captured a huge market all over the world and its distributing the beauty solutions to almost all parts of the world. With Avon being a part of 112 countries, the company has approximately 6 million independent sales representatives. These representatives go door-to-door for selling these products. Fig 1 shows Avon business worldwide.
Fig1. Avon Business Distribution Worldwide
Amongst some of the important question regarding Avon, one must have this one triggering question in mind. Why is Avon so much more dependent on its foreign operations than on its home (U.S.) operations? The answer to this question isn’t that difficult either. Avon could forecast that the USA market was saturated for fragrances, cosmetics and toiletries. Avon knew that starting; here would mean a real tough competition. Avon decided that the market outside USA would be easy to rule, and then they can come back home to convince and gain customers. According to their yearly report regarding US market they said, “growth to be in line with that of the overall beauty market” ("Avon Products Inc.," 2010). USA has less than 5% of the world population, so focusing on the untouched USA market would have been difficult. Next the Avon selling system with regards to the distribution schemes has to be kept within focus. Avon has a...