Escolar Documentos
Profissional Documentos
Cultura Documentos
Index
I. Market Analysis
a. Overview
b. Brands
c. Distribution
d. Price
e. Positioning
f. Distribution
g. Communication
II. Methods of selling and building innovation
III. Current consumer behaviour for this category
a. Segmentation and Targeting
b. Purchase Process
IV. Market opportunity based on research
a. Need Gap Mapping
b. Questionnare
V. Plan
a. Product Mix
b. Price
c. Packaging
d. Positioning
e. Place (including. Methods of Sale)
f. Promotion & Communication
VI. Brand Name
VII. Brand Personality
Overview
India, with a population of nearly a billion people, is a country of contrasts. India's
urban population is the main engine that fuels the demand for various cosmetic
products. Although Indians are strongly attached and committed to their traditions,
and culture, the advent of television and the awareness of the western world is
changing the tastes and customs of India. The ‘morphing’ of India is subtle and the
changes are not visible for the first time visitor. However, the market liberalization
process that began in 1991, along with the crowning of three Indians as Miss World
and Miss Universe during the preceding four years, have made Indian women
conscious of their appearance. Consequently, the cosmetic consumption patterns of
Indian women have changed, and this trend is fuelling growth in the cosmetic sector.
The Indian cosmetics and toiletries market grew by 8.7% in current value terms in
2001, with value sales amounting to Rs126 billion. In 1999 the Indian cosmetics and
toiletries market grew 8% over 1998. Total value since 1995 was 54% in current
terms, equating to 25% in constant terms.
Most multinationals that entered the market have however revised their estimates of
the number of consumers able to buy their products. Optimism has been tempered by
a gradual dawning of the fact that middle-class India is not as big or as active as many
marketers had believed.
Spending on Cosmetics and Toiletries Slowed at the End of the 1990s (Fig 1.1)
The size of India's colour cosmetics market is Rs 250 crore. That of fragrances is Rs
85 crore while the skincare market size is larger at Rs 400 crore. While lipsticks
account for nearly a third of the colour cosmetics market at Rs 90-100 crore, the
market for nail enamels is estimated at around Rs 110 crore. The remainder consists
of products such as mascara, eye-liners etc.
The market for cosmetics and toiletries in India is characterized by high volume sales
of low-end toiletry products, while at the same time the legendary emerging middle-
class has generally been fuelling demand for cosmetics and upper-mass toiletries.
Products that are too specialized have yet to be successful on the Indian market.
Examples include toners, hand care and other value-added skin care products, bath &
shower products and aftershave balm. Only the richest consumers can afford these;
indeed, the average consumer may be unaware of their purpose or even existence.
This also explains the relatively poor showing of perfumes, especially the premium
variety.
Most major cosmetic companies profess the need to tap the upper market segment and
create exclusive products, but market studies reveal that most cosmetic users are
unwilling to cough up more to buy these exclusive products. Only 40 per cent of
Lakme's customers expressed their willingness to pay more in anticipation of superior
quality.
When the domestic players have looked at the premium segment they have adopted a
very cautious approach. For instance Lakme has now introduced its export range
`Wild Orchid' into the domestic market and also recently launched `ultra premium'
range. But these are limited product ranges mainly in the perfumes and colour
cosmetics segment.
Indeed a more recent feature across all sectors, whether basic toiletries or more luxury
products, such as colour cosmetics, has been for manufacturers to concentrate on the
mass market. For toiletries, this is a result of many consumers trading down, forcing
manufacturers to respond. In skin care and colour cosmetics, it is more a result of
trying to increase demand in the growing market for mass products, especially among
teenagers.
Mass-Market Products are the Norm for Cosmetics and Toiletries Products in
India (Fig1.2)
Mass-Market Products are the Norm for Cosmetics and Toiletries Products in
India (Fig1.2)
Brand image and high degree of consumer acceptability need to be established in the
personal products sector, and call for heavy promotional investments in awareness
building, besides tie-ups with good FMCG companies to leverage their distribution
strengths. The growth of direct marketing as an alternative channel without incurring
high promotional and developmental costs needs to be evaluated by new entrants in
the sector, in order to formulate the most appropriate market development strategy for
their products.
The Brands
Since market liberalization, several multinational companies, such as Revlon, Coty,
Oriflame, Chambor, Avon, Yardley, Nina Ricci, Garnier Laboratories, and L'oreal,
have entered the Indian market. These companies initially cashed in on their
international brand image; however, repeat purchases were not forthcoming because
the products were not priced competitively. Consequently, these companies became
price-sensitive and most of the international brands are now priced competitively in
the Indian market.
The colour cosmetic segment which has Indian players such as Lakme Lever, Tips &
Toes and Shenaz Hussain and multinational company players such as J. L. Morrison,
Ponds, Unilever and Colgate Palmolive, offers the highest competition. Domestic
players like Lakme, Tips & Toes and My Fair Lady, mainly dominate this market.
Revlon has a market share of 80% in the premium market. Lakme is the overall
market leader in the colour cosmetic segment (lip care and nail enamel) with a wide
range of products and prices, both. The organised colour cosmetics market is
estimated at Rs 340 crore currently. Revlon's sales account for Rs 60 crore of that.
Lakme leads the market with sales of Rs 100 crore. Lakme, has recently joined forces
with Hindustan Lever Limited (HLL) and calls itself Lakme-Lever.
Other international brands in the sector include L'Oreal, Revlon, Maybelline,
Benckiser and Avon with a major part of the rest, some of them engaged in the multi-
level-marketing model for their products.
The most important global players are already in India (except perhaps Estee Lauder,
Mary Ann Kay, Kao and Body Shop) and are in an advanced stage of market
development. They are already exploiting prospects based on imports of active
ingredients, packaging and completely built products. In that regard, new entrants
have to contend with serious competition in India from local as well as global players.
Maybelline competes with Revlon and Lakme in the colour cosmetics market in India.
Revlon too has grown 65 per cent to strengthen its share to 13 per cent during the
period. As per the data, Lakme's share stands at 34 per cent, and that of Elle 18 is 25
per cent - both of which have suffered a de-growth over the previous period. The lip
and nail colour market, at Rs 107 crore, has registered a growth of 11 per cent.
Mass market products account for a major share, around 70 per cent, while the
premium segment accounts only for a mere 9 per cent in lipsticks and 5 per cent in
nail enamels.
Price
‘The mass market for lipsticks (price range between Rs 30 to Rs 100) forms 43 per
cent of the total lipsticks market. The price range below Rs 30 forms roughly 48 per
cent of the market. The mass premium segment (price range Rs 100 plus) is just nine
per cent of the total lipsticks market, where Revlon has a market share of 80 per cent,
according to ORG, with the balance held by Chambor and Lakme's Orchid.’
Lakme’s product range consists of the Elle range (priced at around Rs 30) and the
medium-priced Ultra range (at around Rs 60) to the premium Orchid range of colour
cosmetics priced in the range of Rs 120 to Rs 187.
French multinational L'Oreal India prices range from Rs.300 to Rs 1,500. By the end
of 2001, it expects nearly 50 cities to be selling the products.
‘The nail enamel market, one of the fastest growing segments in the cosmetic
industry, is segmented into three: the mass premium segment priced above Rs 75, and
dominated by brands such as Chambor, Orchids, and Revlon; the mass market
segment priced between Rs 30 and Rs 75, with brands such as Lakme and
Maybelline; and the lower segment, priced below Rs 30. Accounting for 75 per cent
of the total market, the popular segment consists of Elle 18, Tips & Toes and other
regional brands.’
The prices of the more popular products of the key players in the category are
enclosed herein.
LAKME
1. LIPSTICKS 85/-
2. NAIL ENAMEL 48/-
3. LIQUID LIP COLORS 145/-
4. LIP LINERS 32/-
5. COMPACT 51 & 155/-
6. FOUNDATIONS 52,55,59/-
7. REMOVER 27.50/-
8. EYELINERS 39/-
9. MASCARA 95/-
10. FACE POWDER 22/-
11. KAJAL 24/-
12. EYE PENCIL 12/-
13. BLUSHERS 95/-
14. EYE SHADOWS 95/-
MAYBELLINE
REVLON
1. COLORSTAY LIPSTICKS 219/-
2. COLORSTAY LIQUID LIPSTICKS 229/-
3. COLORSTAY CONCEALER 219/-
4. COLORSTAY FOUNDATION 299/-
5. COLORSTAY LIQUID EYELINER 259/-
6. COLORSTAY SELF-SHAPENING EYELINER 175/-
7. COLORSTAY LIPLINER 175/-
8. MOON DROP LIPSTICKS 195/-
9. MINI LIPSTICKS 90/-
10. TOP SPEED NAIL ENAMEL 75,79/-
11. MINI NAIL ENAMEL (8 ML) 55/-
12. NAIL ENAMEL (15 ML) 85,95/-
13. MOISTURISING FOUNDATION 69/-
14. MOISTURISING COMPACT POWDER 145/-
15. BLUSH-ON 200/-
16. EYE SHADOWS 225/-
17. NAIL ENAMEL REMOVER 50,60/-
CHAMBOR
Positioning
The first challenge that the colour cosmetics industry had to face was to undo the
negative connotations attached with "Being fashionable". Further they also had to
dispel the fears that colour cosmetics are harmful for the skin. They had to help the
people to learn to adopt cosmetics as an essential part of daily grooming.
In the premium segment Lakme has introduced another player, Aviance, which has
been position as "customized beauty solutions". The distribution is handled by
network marketing, which consists of a number of beauty consultants, mainly
belonging to the upper-middle class, who have been well trained and are well
groomed to spread the Aviance beauty gospel.
Distribution
There are three categories of channels of distribution -
Prestige - Department stores, specialty stores and chain department stores, such as
Macy's, Neiman-Marcus and J.C. Penney (internationally) and Shoppers’ Stop,
VAMA, Westside, Bombay Stores etc (nationally).
Broad - Drug stores, food stores, cosmetic discounters, warehouse clubs, and mass
merchandisers. Examples are Eckerd, Pathmark, Cosmetic Center, Sam's Price Club
and Wal-Mart (internationally) and Satyam, Haiko, Sahkari Bhandar etc. (nationally)
o Direct Sales
o Direct Mail/TV/Print
o Free Standing Stores
o Health Food Stores
o Salons
Communication
Print is the main form of communication in the category. Sample advertisements are
enclosed herein.(samples in hard copy)
· The biggest performance development in colour cosmetics has been the creation of
“stay-on” products.
· Consumers have also been attracted by products that are easier to apply and
convenient to use, such as pen lipsticks and fast-drying nail polishes
· Women buy the majority of their cosmetics from mass, drug or food stores where
selecting products yourself is the norm.
· Estee Lauder’s research in the U.S. market showed that sales doubled when self-
service was offered. Giving people the choice attracted new customers.
· Greater product penetration in suburban and rural areas, frequent product launches
and greater interest in personal grooming, especially among the younger population,
drove growth. Higher levels of disposable income and lower product prices through
smaller packaging sizes made cosmetic and toiletries affordable to more consumers.
· SKUs – Selling Kit Unit sizes and packaging can be effectively used to generate trial
and initiate demand for a product, without compromising on price. Maybelline New
York, for instance, globally has 900 SKUs in colour cosmetics.
CONSUMER BEHAVIOUR –
Segmentation and Targeting
Over the last decade, women have become more confident and the negatives attached
to a well-dressed woman are on the wane. People have accepted colour cosmetics as
an essential part of daily grooming.
Segmentation
The colour cosmetics market con be broadly divided into two segments:
* Organised sector dominating 36%of the market.
* Unorganised sector catering to 64% of the market
Targeting
* Age
Ø Youth segment (15 - 24yrs): Elle – 18
Ø Core target (24+): Lakme Radiance
* Purchasing power
Ø Affluent segment: Aviance, Orchids
Ø Middle segment: Lakme Radiance
Ø Lower segment: Lakme does not exactly cater to the lower segment but the Elle-
18 range it offers is low-priced and hence can satisfy this end of the market also.
1. Generation of Alternatives
2. Evaluation of Alternatives
3. Purchase Decision
§ Transforming a purchase intention into a purchase decision could be influenced by
attitudes of others – cosmetics used are seen as a reflection of the kind of person one
is
4. Implementation
5. Post-purchase Behaviour
Research(a) – IIM (A) case study material on colour cosmetics, November 2002.
1. Green area: It may be seen that no brand with a low price (say below Rs.30 for nail
enamel) was available only in exclusive markets (as it is prudent to mass market such
brands).
2. Green area (2): It may be seen that no brand with a premium price (say above
Rs.75 for nail enamel) was available mass market in non-metro areas (as these fall
under the premium category and costs of mass marketing do not adequately
compensate revenues).
3. Orange Area: It may be seen that no brand with a premium price was targeted at
the below 20 or teen audience (this may be due to the perception that purchasing
power of this segment is not high)
4. Purple Area: It may be seen that no brand targeted at the below 20 age group was
available exclusively in select outlets (this may be connected to the above perception
as we can also see from the chart that brands available in select outlets are only of the
high and premium price categories).
We then conducted quantitative research to test and confirm the hypotheses we had
arrived at above. On the basis of this quantitative research, we were able to ascertain
that -
a) On the basis of the research findings and subsequent project reports prepared
by us, filling the first 2 need gaps were ascertained not to be profit yielding.
b) Need gaps 3 & 4 were connected as can be seen that it follows from the fact
that no premium price brands are targeted at teens that there are
correspondingly no brands targeted to this segment which are available only in
select outlets. Though the hypotheses that the below 20 age group lacked
purchasing power was true earlier, it no longer holds true as this segment is fast-
moving towards the trend in US and Europe where this segment is extremely
fashion conscious and a large consumer of the premium end segment as well.
We therefore decided to target the age 15-25 audiences with our premium price
brands, choosing to stock only in the metros and in some select outlets, thus allowing
flexibility in spite of overlapping the age 20-25 segments and stocking in non-
exclusive shops a well, as this leaves adequate scope in terms of the need gaps,
without a high degree of risk from over-exclusivity.
(Questionnare enclosed in hard copy)
Stila has seasonal brands, which are limited life as once a trend hits big time, the
consumers do not want it anymore because that’s what people are expecting. The
target audience is very conscious of fads. We hire top trend setting and predicting
cosmetics professionals in the country on a consultancy basis for this purpose.
Our product line consists of the following products that will suit the Indian skin tone
and can be divided into 4 categories –
1. Lips
2. Eyes
3. Face
4. Nails
LIPS
Lipsticks
Barely-there, super shiny and oh-so-sheer formula that gives lips a wash of sheer
colour. Packed with natural botanicals of juniper, aloe, nettle and elderflower to keep
lips moisturized and impeccable. Full-size lipstick in a perfectly portable mini case.
Usage: Swivel up and glide on.
Moisturizing lip color feels great on lips and is loaded with natural extracts; juniper,
aloe, nettle and elder flower. Creamy, rich matte and pearlized shades give you
something to smile about. Unique flip top case is easy and fun to use.
Usage: Pop the top and smooth over lips
Full colour lipstick-great shine, flavoured. Extra smooth formula that comes in matte
or pearl shades.
Usage: Twist up and apply. Mix and match to create your own flavour
Incredible formula that combines all the benefits of a lip balm and full-color lipstick
in one. Contains lip conditioners like Vitamins C & E, Shea Butter & a hint of Mint
for fresh breath. Super creamy lip color withStaying Power! What more could a girl
want from her lipstick!
Usage: Swivel up and apply to lips
Long-lasting and plumping color all in one! Now get the pout with color that stays!
Apply the super long-lasting color to lips with wand and wait at least two minutes for
it to dry. Then slick on the plumping top coat: one coat for long wear, and keep on
slicking for higher shine.
Liquid Foundation
Ever found a lipstick color you loved but once on your lips, the color looked totally
different? There's a simple explanation: the color of your lips can change the color of
your lipstick. Never fear, there is a way of getting around such a surprise. Simply
blend your Stila liquid foundation (Stay Calm or Oil Free Liquid Foundation) onto
your lips and the original lipstick color will appear.
Lip Gloss
Super shine, sheer color lip gloss in a pearlized, creamy formula. Delivers high gloss
with a taste of vanilla that leaves lips ready for smooching. Pick from 6 great shades.
Usage: Sweep across lips with fingertips or brush.
The most stylish mouths in town are super shiny. Turn Fabulizer's base (2-3 Clicks
gets the flow going), ultra smooth applicator delivers juicy shine every time.
Usage :Apply directly to lips!
Lip Liners
Creamy, smooth formula glides on without feathering or bleeding so you can line
your lips with precision. 8 great shades you can partner up with a favourite Stila
lipstick. Ready to use anytime with automatic built in self-sharpener.
Usage: Swivel up and outline lips. Fill in entire mouth for a more intense effect.
Quick Stix
Creamy lip color in an easy to use, portable pencil. Six wearable shades that defines
your mouth without drying it out. Contains Jane's natural botanicals; juniper, aloe,
nettle and elder flower.
Usage: Line lips and then fill them in.
EYES
Eye Shadow
Highlight and contour eye shadow shades give you the ultra-cool look you want.
Collect them and link up as many pans as you want... Change them as often as you
like! Create your own kit to go!
Usage: Apply the darker shade in the crease, and highlight lid and brow bone with the
lighter shade. Start at inner corner of eye for and extend out in windshield wiper
fashion.
The coolest way to apply eye shadow is with a pen - so easy and portable. Turn
Fabulizer's base (2-3 clicks gets the flow going). Soft-tipped applicator applies
shimmery colour to eyelids and stays put.
Usage: Apply directly to eyelids and flirt away!
See-through eye color loaded with glitter. For a star-struck look, Sheer Colour
Glimmeratzi eye Gloss across your lids is a must!
Usage: Apply with fingertip or jane Sponge Tip Applicator.
Highly pearlized loose powder that can be used all over - - anywhere you want to
have super shimmer and glimmer. Long-wearing, lightweight formula won't crease of
flake-off. Comes in 6 dazzling shades.
Usage: Dip applicator into pot, tap loose powder off, then dust all-over. For a chrome
look, wet sponge tip applicator and apply.
Eye Liners
Soft, smoky kohl pencils do it all: shadow, smudge, line and define. No skipping,
tugging or dragging. Once it's on, it just won't budge. Added benefit: they're extra
long so they're easy to control. Available in your favorite shades and fresh flashes of
unexpected color.
Usage: Sharpen and line your eye lids.
Talk about eye opening! This velvet cream formula makes these sticks a dream come
true! No dragging, tugging, creasing or fading. Each shade is jam packed with finely
milled pearl for an incredible foil-like payoff. Smooth formula is perfect for shadow
play while the pencil shape draws the perfect line.
Washable, glossy formula rich in vitamins and botanicals like Lavendar and
Vitamin E. Gently curls lashes and won't make them brittle. Patented brush
separates lashes and gives even, perfect colour application. Safe for contact lens
wearers.
Usage: Place brush at base of lashes and gently sweep upward to tip. Removes easily
with soap and water.
FACE
Longwearing, oil free formula gives you a matte finish that never looks dried out or
cakey. Natural, soft finish that does double duty to make eye makeup and lipstick last.
Contains talc and other extracts: juniper, aloe, nettle and elder flower.
Usage: Pat puff lightly on compact, then swirl over face.
Matte Finish
To further cut down on oil, use a makeup sponge - not your fingers - to apply
foundation. The natural oils on your hands can make foundation change color. Sponge
application also gives you a chance to build color in certain areas.
Light, translucent loose powder for a finishing touch that can be worn alone or over
foundation. Provides a soft, natural look. Oil-free formula eliminates shine. Contains
talc and other extracts: juniper, aloe, nettle and elder flower. Dermatologist-tested.
Comes in a sifter container for an easy, no mess application.
Usage: Shake a small amount of powder through sifter and apply to face with puff or
Stila’s Super Brush.
Lightweight, loose powder disguises shine and sets makeup to a sheer, natural finish.
Contains talc and botanicals: juniper, aloe, nettle and elderflower. Wear it over your
favorite Stila foundation for a flawless look. Comes in a sifter container for an easy,
no mess application.
Usage: Shake a small amount of powder through sifter and apply to face with puff or
Super Brush.
Squeezable glitter gels loaded with pearls and fragrance available in 4 dazzling
shades. Jazz up your body and hair or wherever you want to sparkle and shine. Gel
goes on smooth, not sticky.
Usage: Apply with fingertips or sponge
The latest look for skin is dewy and fresh. For the Goddess in you, glide across lids,
cheeks, shoulders, or anywhere you want a Stila glow! For a goddess worthy look,
apply Glow Goddess in “Moonglow” to apples of cheeks, and across forehead. Make
sure to blend, blend, blend in circular motion.
Usage: Apply then blend with fingertips.
Highly pearlized loose powder that can be used all over - - anywhere you want to
have super shimmer and glimmer. Long-wearing, lightweight formula won't crease of
flake-off. Comes in 6 dazzling shades.
Usage: Dip applicator into pot, tap loose powder off, then dust all-over. For a chrome
look, wet sponge tip applicator and apply. Wow! want to have super shimmer and
glimmer. Long-wearing, lightweight formula won’t crease or flake-off. Comes in 6
dazzling shades
Oil-free formula gives skin natural coverage with a smooth, flawless and natural
finish. Conditions with Panthenol and Vitamin E. Don’t forget, dermatologist tested.
Usage: Pick the shade that best matches your skin tone. Shake well. Apply to face
with cosmetic sponge or fingertips.
Highly advanced, oil free, liquid talc formula with SPF 8 and Vitamins C & E. Zen
blend botanicals help destress skin keeping it blemish-free. Lavendar and chamomile
help reduce puffiness around eyes and soothe skin. Choose from 6 shades.
Usage: Shake well ! Apply to face with cosmetic sponge or fingertips. Blend -
especially at jawline.
Blusher
Remarkable powdered blush formula that is streak-proof and fade-proof. Soft colors
give skin a natural flush. Sweep on naturally and blend easily to skin for a look that’s
true to you.
Usage: Sweep with a cosmetic brush along cheekbones, forehead, nose and chin.
Yipes. Stripes.
When applied properly you should barely notice blush. To create a really natural
effect a.k.a. light touch with blush: first run your Big Blush brush over your Oil Free
Finishing Powder then pick up some blusher on bristles. Then blend along
cheekbones. When you see yourself looking better, STOP! Once you see the blush,
you've put on too much.
NAILS
Color rich, long lasting nail color that dries quickly and looks super shiny. Choose
from a selection of neutral to vibrant shades with finishes of cream,pearl and glitter.
Show the world how pretty your nails are!
Usage: Apply one coat, let dry. Apply another coat
If you are on the go, this is the nail polish for you! Rich, full coverage on nails in one
coat. Choose from a selection of fun shades! Try more than one shade at a time for a
totally customized look.
Usage: Apply single coat and let dry
Nail Shimmer
Shimmery shades of light-reflective polish last long and look glamorous day and
night. Apply one coat for a soft, transparent look or layer for a more dramatic, opaque
look.
Research(a) has shown that consumers use well-defined prioritised criteria in their
choice of brand – e.g. Quality first – price second. The price ranges for our products
introduced during the launch period are given herein.
Packaging
Industry –
Research(a) shows that one can significantly differentiate the product on visual appeal
– colour and shape of the bottle attract attention and package size should be
determined by consumer usage – providing an optimal SKU differentiates a brand due
to better pricing.
Packaging should feature many clear caps and lids that show off the bright shades of
lipstick and eyeshadow within, as transparent packaging plays a major role in brands
where colour is a key selling point. Always having new formulas in fresh packaging
keeps customers coming back for more.
Target Audience –
The Geppetto Group, a research and consulting firm, says the three essentials for
appealing to teens and tweens (who comprise a part of our target consumers) are: a
product should be new, different and just for them. Packaging can communicate all
three essentials.
The colors of the product, the logo design, the shape of the package can all say ‘cool’.
There are practical aspects to package design for this market as well. Such as the fact
that tweens have smaller hands so products should be scaled for them to hold
packages comfortably. They are never home so they need products that they can take
with them. This age group is very savvy about products and not easily forgiving.
Brand Stila -
Stila is known and recognized for its distinctive packaging - a signature packaging
style that is environmentally safe. It is modern, chic packaging made out of recycled
paper, aluminium and glass that is durable as well as distinctive.
Stila has seasonal brands, as mentioned, because of which we have the paperboard
packaging. The board is an environmentally friendly option and it gives the company
room to grow as we can change the paper seasonally, and no new tooling is required.
On the inside of each eye shadow lid is a message of a notable woman, such as
George Eliot's "A difference of taste in jokes is a great strain on the affections," or
Susan B. Anthony's "Those who are really in earnest must be willing to be anything or
nothing in the world's estimation."
Positioning
Research(a) Findings–
Target Audience
DEMOGRAPHICS
Region: Mumbai and Delhi, India
Occupation: Students and Professionals
Income: 600,000 p.a. +
Education: Gradutaes, Post-graduates, professionals
Sex: Female
Religion: Insignificant
Social class: Upper
Family life cycle: Young, single
PSYCHOGRAPHICS
Lifestyle:
She’s the new age generation, fashion conscious and takes care of her image.
Cosmetics are a feel good factor for her, which she showcases. She’s keeps up with
the trends and has her hand on the pulse of the what’s en vogue. She’s a conformist
looking for a unique twist, with a subtle narcissism about her.
BEHAVORIAL
Product
Brand
PLAN – Place
Stila Cosmetics will be launched initially in New Delhi and Mumbai. The products
will be available at Stila counters in select outlets. The entire range of Stila Colour
Cosmetics will be available at all the counters.
Apart from these counters we will also have 3 customised saloons manned by our
staff, which will be situated in the Greater Kailash market in New Delhi and in Breach
Candy and Bandra in Mumbai. These will offer customised service to our customers.
The facilities available here will include –
Free testing – Consumers can have their skin texture analysed to check if it is dry,
normal or oily. Based on the results our staff will recommend the most suitable
products.
Makeovers - Our highly competent staff will do makeovers for the customers
depending on the look that they would like to create for themselves. E.g.- For college,
office, party etc.
Customisation - Each of our saloons will have a computerised machine where we can
change the colour of an existing shade as per the customer’s requirement and
show them a sample of the new shade. The improvised product will be delivered to
them within 3 days.
Creating a positive buying environment sets the stage for the sale. The buying
environment affects the customer’s experience in your business. Our outlets will have
an environment where customers are not intimidated. It will be a ‘fun’, friendly place
that makes customers want to hang out.
The buying environment will be deliberate and consistent. The customer’s experience
will be much the same from visit to visit. A customer can visit multiple locations and
have largely the same experience.
Growing competition also led to greater emphasis on advertising. The government has
also liberalized the advertising market and it is now a key part of marketing
campaigns to increase awareness among potential consumers. The majority of
consumers in India are only aware of the most basic cosmetics and toiletries products.
Advertising provides a way of generating demand for the more advanced products,
such as specialized skin care and perfumes.
All our counters will have the Stila theme of colours in pinks. The saloons will be
done in the same colours. Our salespeople too shall be dressed in uniforms with a
visible touch of the Stila pink. They shall of course be wearing the products as it helps
to demonstrate the effect the cosmetics can have and validates the cosmetics in the
customer’s eyes. For this purpose, we shall also present the other sales staff at our
non-exclusive outlets like Shoppers’ Stop with out products as this will generate an
enthusiasm within them and also encourage them to promote our brand.
We keep a record of what we have done with every client and usually they will end up
buying our makeup. Our sales effort will be based on a more personalised approach.
In this case, the client may not have made a commitment to buying makeup the first
visit, but having makeup applied professionally often turns a prospect into a client.
We use suggestive selling without being pushy, helping our clients with what they are
looking for.
At Stila, we take care of all those little things that go into making a completely
enriching and enjoyable consumer experience, like having enough mirrors in our
outlets.
For the final sales close, we have identified three techniques that are widely used: the
assumptive close, the choice close and the consultant close. The assumptive close
assumes you are making a purchase, "Would you like your cosmetics wrapped or
would you like to put them right in your makeup bag? The choice close asks the client
to make a choice, "Which eye shadow do you think would work best with your
wardrobe?" The consultant close, "Based on what you have told me I think you will
be happy with a custom blend foundation and lipstick to start with."
If our staff is not able to close the sale, they inform the prospect of our sampling
program that allows the client to sample the products at home before making their
purchase.
We also ensure that we maintain a comprehensive database of our clients and contact
them every now and then with follow-ups and information regarding any product
innovations or introductions.
The promotion has to initially highlight Stila as an Estee Lauder brand, which is
established in India and has a reputed image. This will generate brand equity and trust
in the products, which will serve to initiate trial. Brand recall should be instant when
the consumer sees the brand at the outlet. The communication will focus on the
positioning of Stila as an aspirational brand.
Stila products are very popular with the stars abroad. Celebrities such as Victoria
Beckham, Gwyneth Paltrow, Neve Campbell, Kirsten Dunst, Natalie Portman and
Katie Holmes love Stila products. We will attempt to bring about the same endorsee-
type status in India through promotional channels, which we will decide upon in
consultation with a branding agency. We are currently thinking along the lines of
activities like product placement, make-up shows on television or columns in print.
Pre launch PR will start a month prior to the launch. We will have articles and press
releases educating the consumers about Estee Lauder Companies as well as Stila. We
will also give them an introduction to the services that we are offering.
We shall send direct mailers to our potential clients and regular consumers.
We will also have a launch party where Stila creator, Jeanine Lobell will officially
launch the brand in Bombay. Invitees will include a host of people from the fashion
industry, the entertainment industry as well as the press. The event itself will be
covered apart from fashion magazines in newspapers such as the Bombay Times. This
will help in associating the brand with the celebrities that come for the launch.
Prospecting for customers will occur outside of the business as well. Fashion shows
and beauty events are venues where we will showcase our makeup and attract
potential clients.
The three customised outlets will have frequent events in keeping with Stila’s
activities abroad. These will include events such as the Stila U.S.A ‘double duty
beauty events’ where Stila artists will talk about and teach the tricks for perfect round-
the-clock makeup, such as ‘Turn 8 a.m. chic into 8 p.m. sexy in the wink of an eye’.
Leading stylists and make-up artists will talk about using the Stila product and give
signature makeovers to invitees at the events.
Point of Purchase
Our sales force is going to consist of freshly graduated smart young girls keeping in
mind our brand image. They will go through a rigorous training program. They will
be taught firstly how to groom themselves and then how to groom others. We feel that
this is one area where not enough attention is paid.
As mentioned above we are going to have free testing for our clients and give free
makeovers.
We will have a trained staff make house calls and other direct marketing strategies.
We will also have a team specialised in doing bridal make up.
While we subscribe to the philosophy that ‘salespeople put products on the shelves
and advertising takes them off’, we lay strong emphasis to an effectively trained sales
force, as elaborated in the place (distribution) mix. Advertising, in the initial period
especially, should generate a ‘pull’, but due to fierce competition in the category and
the nature of the purchase process, it is essential that there is a positive sales-force
‘push’. By maintaining a top-notch sales force and placing our employees at point of
purchase venues, we also hope to –
Revlon, for instance, spends most of its promotional money on advertising, while
Avon relies more on personal selling. Since our promotion objective is not
comprehension but buyer conviction, personal selling is seen as a more effective
means of promotion. During the launch period however, heavy advertising will be
undertaken to generate brand awareness and familiarity.
Many of the lipsticks are named after famous women, such as 'Billie' (Holliday) or
(Clare Boothe) 'Luce'. The ‘Natalie’ nail polish is named after Miss Portman.
We will be consulting a brand management firm and may consider the same using
Indian iconic figures of our target audience such as sub-branding the ‘Stila Barely lips
lipstick’ – ‘Ash’.
We will be consulting a brand management firm and may consider the same using
Indian iconic figures of our target audience such as sub-branding the ‘Stila Barely lips
lipstick’ – ‘Ash’.
PERSONALITY
Stila is a generation X girl. She knows what she wants and how to get there. She’s the
sweetheart of the gang, an Indian Julia Roberts. Stila is the first friend you think of
when you want to go window-shopping or just to hang out. She’s your fashion guru
and you know what’s in when you see her wearing it.