The beauty industry has been a multi-billion dollar industry over the past few decades. Despite the current economic state the industry has averaged a growth rate of 5%. The industry of “green” beauty products began over 30 years ago. People started seeing what the harmful chemicals in products were doing harm not only to their skin and hair but the environment they lived in. As environmental awareness grows so will the demand for organic and environmentally friendly products.
The Body Shop’s mission is to operate our business with a strong commitment to the well being of our fellow humans and the preservation of the planet. Our company will be entering a market that is well educated on environmental issues as well as one with a desire for organic products. Customers will be looking for two major components, quality products and service. As long as the quality of products remains consistent and the pricing is fair, The Body Shop will retain customers. In order to make purchasing products convenient The Body Shop will not only have brick and mortar locations but will also utilize e-commerce.
The goals of The Body Shop are to raise awareness of environmental issues through partnering with various organizations such as Green Peace and to be the best, most breathlessly exciting company – one that changes the way business is carried out. The Body Shop’s mission statement “we will operate our business with a strong commitment to the well being of our fellow humans and the preservation of the planet” shows their deep dedication to not only their customers but the environment in which they live in.
They stay on top of the latest developments in order to provide the highest quality of product possible. The Body Shop has locations In Europe, Australia, the US, and Canada and has become a multi-billion dollar company. It had seen a decline in profits over the past couple of years but then again, so had most retailers. Economic hardships cause consumers to reprioritize and those who were purchasing products in the price range of the Body Shop now turn to generic products they can find at CVS just as those who were buying higher end products then find cheaper alternatives.
Which leads to the marketing strategy in which they “offer cheaper alternatives to Clinique, Elizabeth Arden, and Este Lauder-a strategy referred to as ‘masstige” or in between mass and prestige positioning. ” (mad. co. uk) Finding a position and perceived value is a key in which The Body Shop has done well with in order to stay in competition above its competitors such as Bath and Body Works and Aveda. Advances in technology have made it possible to use ingredients such as renewable resources instead of those which harm the environment.
Using renewable resources helps to ensure that the company will not have to come up with another type of product when a specific ingredient runs out. Usage of the “internet and computer technology has helped eliminate landfill waste by keeping papers and empty ink cartridges out of the trash. ” (greenprof. com) Utilizing recycled shipping products continues the green theme of the company. Environmental awareness causes growth in the market. Culturally The Body Shop has benefited greatly by the “green” movement. The foundation of the company is built on that concept and without it the products would not be as successful.
As consumers become more aware of the damage they are doing to not only themselves but the environment they lean towards buying products that are environmentally friendly. The publics that represent particular opportunities for the company are those such as Greenpeace in their Save the Whale campaign and community trade which created jobs in third world countries. The Body Shop has two distribution channels the internet and retail stores. As the products become more popular and convenient the trade channels will grow accordingly.
The marketing firms that are used are successful in providing the information about not only the products but ways to help out in environmental and social causes. Speed affects every aspect of a company’s success. The rate of innovation is crucial to most industries especially beauty, fashion and technology. To stay ahead of the competition The Body Shop needs to make sure they have the latest and greatest hair and skin products but before they can be sold on the shelves the rate of invention, manufacturing and distribution needs to be as fast and efficient as possible. Without a rapid turnover rate the ompany will fail miserably.
The Body Shop differs from its competitors because of the values the company holds. “The way we do business, the way we make products, the way we source ingredients, and the way we use our voice;” our values to protect our planet, activate self-esteem, ban animal testing, and support community trade set us apart from the rest. Our marketing objective is to promote awareness of The Body Shop core brand and specific men’s grooming product offerings through targeted channels such that at least 35% of the target demographic is aware of the products and the unique values of The Body Shop.
As well as build loyalty to brand products so that at least 10% of the target demographic become repeat buyers. (scrib. com) The “Green” movement has broadened the market for organic beauty products making this the perfect opportunity for The Body Shop to enter the market. Forming strong relationships with our customers as well as promoting product loyalty is critical to our success. Sales in the beauty industry continue to increase and the current state of the economy does not seem to have a major effect on product usage.
This industry has potential for an unlimited amount of growth and The Body Shop plans to take advantage of this by providing superior products and not compromising quality or service. We will use only the highest quality ingredients in our products, provide a stress free shopping environment, and maintain our deep commitment to social and environmental issues as our main differential advantages.