Sephora in Ireland

transcript

SEPHORA in Ireland

MK 699Global Marketing

MA Marketing

• Audrey JASPART

• Your Description Goes Here

Mission statement

To implant a company in a country…

We choose Sephora in Ireland

Overview

1. BACKGROUND2. RESEARCH ON THE MARKET

• Internal environment PRIMEFACT• ICEDRIPS ICEDRIPS• SWOT analysis

4. ENTRY MODE5. MARKETING STRATEGIES ABROAD

• Positioning• Marketing MIX

6. Recommendation & Conclusion

Background Irish Market

Very competitive with the presence of established brands (Clarins, Nuxe, Chanel, L'Oreal ...)

Opportunities for brands offering innovative products and sectors still few exploited

Growth of 15% by 2015

€ 497 million in 2010

According to Datamonitor

Background SEPHORA

• Sephora is a visionary beauty-retail concept founded in

France by Dominique Mandonnaud in 1970

• Owned by Louis Vuitton Moet

Hennessy (LVMH)

Background SEPHORA

More than 250 brands and 16 000 references

Sephora counts more than 600 stores in Europe and develops its networks in the whole world such as in China, in the USA…

1,300 stores in 27 countries worldwide

Sephora AdGreece 2011

2. Research on the market

Internal Environment

PRIMEFACT

PP E O P L E •“Science of Sephora” skilled employees• Policy of diversity

I N T E L L E C T U A L P R O P E R T Y

• Protected brand

PF I N A N C E• Come from group Louis Vuitton Moet

Hennessey• 1300 stores in 27 countries The constant company growth shows evidence of the company’s profitability

PRIMEFACT

PR E P U TAT I O N • Return policy Trustfull brand • « The VIB Insider program » Loyalty program

RPE T H O S• Freedom to choose• Providing personal advices• Friendly & interactive

RPC O L L A B O R ATO R S • Not direct collaborators but helped by Louis Vuitton Moet Hennessey

PRIMEFACT

• Testing new ways to reach clients through direct mail/in-store campaigns• Improve the link between physical stores and e-store

-Target women/men 20-40-Product wide assortment of brands, vendors exclusives-Closing stores in Germany and Japan in 2001/2002

PM A R K E T I N F O R M AT I O N

MPA G I L I T Y

• Japanese experienceBut a lot of products choice Attract people• Capable of taking opportunities

AMPTA L E N T S

External Environment

ICEDRIPS

ITAMPI N N O VAT I O N

ITAMPS O C I A L T R E N D S

3 markets full of future promises

- Men cosmetics- Bio cosmetics- Ethno cosmetics

Organic, male, ethno and fair certified cosmetics E-commerce Nanotechnology

ICEDRIPS

IMain target

• Women 15 to 34

• Sensitive to different media, modes and innovations•“Hyper-connected” generation

• Like to test new products (80%) but loyal to their fragrances (55%)• Influence their family (82%) and are purchasing advisors beauty for men (61%)

• Always need advice/information from experts

• Live in town

DITAMPD E M O G R A P H I C

ICEDRIPS

I- Big shops- Pharmacies -Specialized stores -Supermarkets- Internet

• More than 3 million users of Internet/ 65,8% of the population• Poor broadband infrastructures• Few Smartphone users

DITAMPC O M P E T I TO R S

CDITAMPI N F R A S T R U C U R E

ICEDRIPS

I-Economic crisis -In 2015, the Irish make-up market is forecast to have a value of $126.2 million, an increase of the 11.8% since 2010

CDITAMPR E G U L ATO RY

RCDITAMPE C O N O M I C

• Regulation No 1223/2009 : Guaranteeing a high level of protection for consumers

SWOT Strengths

Weaknesses

Sephora just close their shop in England

Low brand recognition

High prices

Strengths

People : skilled employees giving good advices

Reputation : trustful brand

Original concept : unique

Wide choice of products and prices

Sell exclusive brand

SWOT Opportunities

Threats

Opportunities

No other brand in Ireland has the concept of Sephora

A lot of potential customers

Trends like : men, bio and ethno cosmetics.

Internet is a new tool to communicate and sell

COO effects is good

Treaths

A lot of competitors

Economic issues

Small market

3. Entry mode

in Ireland

Entry Mode

• Sephora doesn’t offer to develop its business franchises.

• we want to coordinate the marketing strategy in the European market which enhances centralization.

HIERARCHICAL MODE

Entry Mode

4. Marketing strategies abroad

Positioning

It’s more than

a shop, it’s a

Community

Positioning

Experience Freedom

Guarantee

Positioning

Experience … Really invited shopping environment

New world without pressure Live a sensorial experience Store events Community

Positioning

Freedom …

Lot of brands and own brand Customers are invited to test all products Help is offered only on request Provide services according to customers’ needs

Positioning

Guarantee … Products can be return

Place you can trust Lot of advantages and services proposed VIP program and gift card

Marketing MIX : 7P

PROMOTION

PHYSICAL

EVIDENCE

PEOPLE

PROCESS

PRODUCT

Marketing MIX

PRODUCT

Sephora will sell 200 different brands in addition to its own brand

• The range of product sell include: - Makeup- Skincare- Fragrance- Bath/Body- Hair care- Tools/Accessories- Men

• Sephora’s product offering is able to meet the needs of a diverse set of customers

• Exclusivity with cosmetic brands in Ireland

Marketing MIX

Sephora will offer a differentiated pricing model from middle to upper range

• Example: a customer who are looking for a lipstick with different budget

• the wide range of prices gives consumers different purchasing options

RANGE BRANDPRODUC

TPRICE

Biggin range the Tarte Vitamin 8€

Middle range LORAC 19€

Upper range Lancôme 35€

Marketing MIX

PROMOTION

Sephora will use various promotional means to influence customers to buy or to be aware of our offer

Non-Medias Means

Sales promotion/ Animation

Organization of express action towards the customers as the tries of products, the distribution of sample or occasional offers as purchase voucher

Loyalty cardSephora has 3 types of loyalty card (white, black, gold) which are free and provide offers coupons, discount…at different level

Marketing MIX

PROMOTION

Medias Means

BillboardsSets up very creative poster campaigns to seduce at most our target.

Magazines Like « Cosmopolitan » to put in front of the flagship products.

Cinema the most effective media to touch all the population.

TVThe essential media to promote Sephora’s products in channels like: E4…

Website Launch the www.sephora.ie website to sale and promote the offer.

E-mail/NewletterAbout new product, in-store event, exclusive feedback based on customers past purchase, age, skin type…

Social NetworkEncourage user interaction with fans and followers, to give feedback, or to play with them with giveaways.

Iphone/Ipad appNew tools to make purchases on line and be in touch with all the news about Sephora’s brands.

Marketing MIX

• Store in Grafton street

• iPhone and iPad applications

SEPHORA

• Brick and Mortar Stores: Dublin, Cork and

Limerick

@: www.sephora.ie • Online beauty

website

Marketing MIX

PEOPLE

• Staffs at Sephora create a relaxed and friendly environment

• Experienced Staff by advising customers but also by applying the product to enhance customer desire for the product

• The company constantly seeks to hire a diversity of staff

Marketing MIX

PHYSICAL

EVIDENCE

Sephora will propose various physical evidence toward customers

• Testing the perfume before buying it

• Testing the makeup

• Trying on samples of lipstick, eye shadow… before purchasing them

• Have samples

• Get makeup done by a professional makeup artist

Marketing MIX

PROCESS

We propose to develop the concept “Science of Sephora” in Ireland

• One of the other process is the welcoming of customers is the key of succeed in Sephora.

Welcoming the customers with a real smile

Advising them by offering them personalized service

A positive state of mind

Skills and a good relational

6. Conclusion &

Recommendations

A different and new concept for the cosmetic Irish market

Concept similar in the European Market

We are thinking of entering the UK market

Thanks for your attentio

References

http://www.d.parrish.dial.pipex.com/primefact.htmlhttp://www.d.parrish.dial.pipex.com/icedrips.htmlhttp://journaldesgrandesecoles.com/sephora-une-entreprise-qui-a-bonne-mine/http://www.irishtimes.com/newspaper/finance/2012/0409/1224314544016.htmlMake-Up Industry Profile: Ireland. (2011). Make-Up Industry Profile: Ireland, 1-44.http://www.responsemagazine.com/editorial/beauty-personal-care/beautys-inside-sephora-1358 http://www.slideshare.net/marketingplan/free-marketing-plan-sample-by-wwwmarketingplannow-cosmetic-retailer-sephora-lvmhhttp://www.marketingplannow.com/userfiles/marketing/Retail%20cosmetics%20Sephora%20for%20men%20marketing%20plan.pdfhttp://www.sephora.gr/About-Us/n.117.1.htmlhttp://sephoragirlnyc.blogspot.ie/2011/04/intergrated-marketing-communications.htmlhttp://www.slideshare.net/marketingplan/free-marketing-plan-sample-by-wwwmarketingplannow-cosmetic-retailer-sephora-lvmhhttp://www.marketingplannow.com/userfiles/marketing/Retail%20cosmetics%20Sephora%20for%20men%20marketing%20plan.pdfhttp://www.sap.com/romania/industries/retail/midsize/pdf/CS_Sephora.pdfhttp://www.marketingplannow.com/userfiles/marketing/Retail%20cosmetics%20Sephora%20for%20men%20marketing%20plan.pdfhttp://www.sephora.com/contentStore/mediaContentTemplate.jsp?mediaId=10800116

Sephora in Ireland

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