Cosmetic industry

Good Essays
Findings
– Each of these cosmetic companies is unique. They each offer something different to the industry; selling method, marketing strategy, product line, and distribution channel.

Practical implications
– The industry trends indicate that the future of cosmetics may move towards more joint ventures between drug companies, cosmetic companies and nutritional/food companies as cosmetic companies look for new ways to be innovative.

Originality/value
– The research provides an in‐depth business analyses of cosmetic industry using SWOT, Porter's value chain and five forces and financial with results obtained that are generalizable to the entire cosmetic industry. Projections on the future of cosmetic industry are also presented.

Reference : Comparative innovative business strategies of major players in cosmetic industry

Revlon sells through department stores, drug stores, etc. They do not rely heavily on independent sale representatives like Avon and Mary Kay

Revlon
The company markets extensive consumer product lines at a range of retail prices primarily through the mass‐market distribution channel. For outside the USA, the company markets select premium lines through demonstrator‐assisted channels. The company's goal for its marketing strategy is to create a uniform global image for all of its product portfolios, particularly for the core brands (Revlon Annual Report, 2002).
The company also distributes unique marketing materials such as the “Revlon Report”, which highlights the seasonal fashion and color trends that link to the company's products associated with those trends. The report also includes coupons, rebate offers, and other promotional material to encourage consumers to try the company's products. Other marketing materials designed to introduce the company's newest products are: the point‐of‐sale testers on the company's wall; magazine inserts; and “shade samplers”, collections of trial‐size products in different shades.
In addition to these

You May Also Find These Documents Helpful

  • Powerful Essays

    The Indian cosmetics industry has witnessed rapid growth over the last couple of decades. With every passing year, the range of cosmetic and beauty products in India has widened tremendously. Beauty product manufacturers in India have mostly been catering to the great demand for cosmetics and toiletries that fall into the low- or medium-priced categories as the greatest demand in India always revolves around economically priced products.…

    • 2064 Words
    • 9 Pages
    Powerful Essays
  • Powerful Essays

    Revlon for Men

    • 2184 Words
    • 9 Pages

    One of the ways that Revlon can continue to be a leader is to expand its offerings to the male population. There are three reasons males want to look good. First, they feel that their career will be enhanced and having the appearance of being attractive, appearing fit, and being energetic will enhance their career. Second, they want to be attractive for women. Especially middled-aged men who have gone through a divorce, these men tend to invest in "beauty enhancements". The final reason is that there is a combination of ego and competitiveness. Some men are more competitive than others and they compete to look good. Also looking good and being told they look good can be gratifying to the male ego (Hawkins & Mothersbaugh, 2010, p.460).…

    • 2184 Words
    • 9 Pages
    Powerful Essays
  • Powerful Essays

    Our case was titled “Cosmetic Giants Segment the Global Cosmetics Market.” It discussed how the world’s best known cosmetics companies, including L’Oreal, Procter & Gamble, Shiseido and Estee Lauder are setting their sights on a new market segment, the emerging middle classes in countries such as Brazil, India and China. The case talked about the companies marketing strategies in each different country, with a focus on L’Oreal. L’Oreal is a world famous French company that engages in the production and marketing of a range of beauty products sold under well-known brands. Their brands are generally categorised by their target markers, such as the mass, professional, luxury and active cosmetics markets, and just some of their famous brands include L’Oreal Paris, Garnier and Maybeline.…

    • 2765 Words
    • 12 Pages
    Powerful Essays
  • Satisfactory Essays

    The success of L'Oreal is a result of tactical choice of markets, targeting them wisely, thorough research and development and smart acquisitions. It is one of the leading cosmetic companies in the global market. Over the years it has created a successful brand value and expertise in the field of cosmetic and beauty products. Targeting the market was one of the factors that play pivotal role in L'Oreal success, the company targeted the audience with products as per their requirements, like, in Japan they marketed mascaras specially designed and volume as per the requirement of Japanese women. Acquisition of local beauty companies like Soft Sheen Products and Carson Products helped them to eliminate competition and also gain huge profits in U.S. and African Markets. L'Oreal spends 3% of its annual sales in research and development with 14 research centers around the world. Clear concepts about the different skin and hair and their different needs around the world helped them to design diverse products for all.…

    • 414 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    In May 2003, a survey of ‘Global Mega Brand Franchises’ revealed that the Nivea Cosmetics brand had presence in the maximum number of product categories and countries. The survey, conducted by US-based ACNielsen, aimed at identifying those brands that had ‘successfully evolved beyond their original product categories’. A key parameter was the presence of these brands in multiple product categories as well as countries.…

    • 2341 Words
    • 10 Pages
    Good Essays
  • Good Essays

    The astounding world of cosmetics has taken a turn and has changed the way it has been seen since it first created. Now it is seen as a form of artwork that people practice as seen on runways and world known magazines. It is also seen as a hobby or career that both men and women can both pursue as a living. Marketing is their main source when it comes to the promotion and sales of products. Big name companies are unavoidable due to their appearance in television commercials, magazine pages, and especially through social media. Well known celebrities also take an enormous role when trying to market not only a specific product but a specific brand. In these advertisements, companies only present what is most beneficial for the consumer which…

    • 977 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Final Version Of Max Factor

    • 6831 Words
    • 22 Pages

    In addition, as there are a lot of brands for customers to choose from, so that this is difficult to keep them loyal and it makes customers easily to dilute the brand. So there is a need to stronger the brand image from the cosmetics market.…

    • 6831 Words
    • 22 Pages
    Powerful Essays
  • Satisfactory Essays

    Revlon

    • 473 Words
    • 2 Pages

    Revlon is a universal company that sells products for skin care, cosmetics, personal care, fragrance and professional products. It was founded in 1932 and began in the nail polish market, soon after expanding into lipstick. Over the past six years, Revlon has consistently lost revenue and struggled with debt. Even though they have eliminated executive positions, reduced staffing and consolidated sales and marketing functions to save an approximate $33 million, the company is still in serious trouble.…

    • 473 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    This report refers to an evaluation and recommendations on the current market situation of L’Oreal Paris. A brief introduction of the background of L’Oreal Paris and the product category which L’Oreal Paris exists will be also explained in this report. It includes the general idea of cosmetic industry. Furthermore, this report also indicates the macro and micro environment and major competitors. The most significant factors in macro environment are economic, cultural and demographic forces. In this case, it will be also providing the reason and some evidence that explain how these factors are affecting L’Oreal Paris. Otherwise, for, micro environment, this report only discuss between customer and competitors. Next, there is a significant evaluation of the product analyse with reference to the type of products, the three level of products, the branding strategies, and what types of packing and labelling that L’Oreal Paris provided. In addition, a complete analysis of target segment and how current product influence buyer behaviour and meet difference needs and wants. Later on, L’Oreal Paris needs to consider and build the marketing mix to attract more consumers. It includes a brief evaluation of the price, place, promotion and products. Some recommendations associated with several aspects are also provided at the end of this report. The sources of information were collected from academic journals and text book as secondary data.…

    • 4310 Words
    • 18 Pages
    Best Essays
  • Powerful Essays

    Case Study Revlon

    • 1200 Words
    • 5 Pages

    Revlon is a company leader in the cosmetic and personal products industry. The company produces goods under Revlon, Almay, and Ultima brand names. Product categories are skin care, cosmetic and personal products. Revlon has implemented an aggressive R&D investment. This has resulted in positive aspects for the company such us brand recognition and increase in sales. It focuses on global expansion. Therefore, the firm is successful in markets like Africa and Latin America. However, the competition is intense. The company 's top competitors are Procter & Gamble, L 'Oreal, Estee Lauder, and Avon. These competitors represent a major threat for Revlon. They sell their products in international markets and have aggressive strategies to increase revenues. Revlon have struggled with debt in recent years. Its net sales decreased by $1332 billion to $1331billion. The company is not financially stable. The net income has been negative for the last eight years. Its growth rates are below the industry rates. The strategic analysis shows that the company has some internal and external issues. The company has low competitive…

    • 1200 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Kumar, S. (2005). “Exploratory Analysis of Global Cosmetic Industry: major players, technology and market trends”. Technovation 25.…

    • 4860 Words
    • 20 Pages
    Powerful Essays
  • Powerful Essays

    Cosmetics Industry

    • 9868 Words
    • 40 Pages

    The Cosmetics Industry involves providing the consumer a product that will give them the ability to improve the appearance or scent of the human body. In general we usually just thing of cosmetics as “make-up” but in reality the term is used to describe a large and diverse group of products and “make-up” is just one of them. Cosmetic products include any kind of skin-care items, body and facial lotions, deodorant’s, perfumes, colognes, and even colored contact lenses. These products can be broken down into two categories called decorative cosmetics and care cosmetics. Decorative cosmetics are used to enhance ones look while the purpose of care cosmetics is to help take care of your body. Products like these are used and needed for everyday life so it is easy to see why companies such as L'Oreal, Avon, and Johnson and Johnson have become very profitable. In times of economic distress, cosmetics and other non-essential products considered a luxury will experience financial weakness.…

    • 9868 Words
    • 40 Pages
    Powerful Essays
  • Satisfactory Essays

    John

    • 4776 Words
    • 74 Pages

    Today, Revlon is the global company which offering the products over 100 countries and products focus on…

    • 4776 Words
    • 74 Pages
    Satisfactory Essays
  • Good Essays

    Cosmetics makers put a new face on competitive pricing strategies. Today's consumers want more out of the products they buy, and cosmetics are no exception. To help meet that demand, value and budget cosmetics manufacturers are ramping up efforts with more upscale packaging, enhanced formulas and improved merchandising units. Such efforts are not just aimed at better serving current buyers of value and budget cosmetics, but, perhaps more important, also at attracting new consumers. Manufacturers are hoping that the moves will further bolster sales of cosmetics, a category that, according to some industry observers, has lacked innovation and excitement.…

    • 682 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Xue Jane

    • 2398 Words
    • 10 Pages

    As news report indicated the premium cosmetics sector would grow by 6% worldwide in 2011. (Data sourced from Reuters; additional content by Warc, 2011) Besides, the industry is growth in the past five years. In particular, the overall mature nature of the industry, which is characterized by numerous competing lines, has restrained growth. At the downstream retail level, there has been a flood of parallel imports, encouraged by the strong Australian dollar and increased consumer confidence in online retailers. (Lev, 2013)…

    • 2398 Words
    • 10 Pages
    Powerful Essays

Related Topics