Free marketing plan sample of a French cosmetic retailer targeting men, Sephora (LVMH), by www.marketingPlanNOW.com

www.marketingPlanMODE.com
www.marketingPlanMODE.comMarketing Specialist, Consultant & Lecturer à www.marketingPlanMODE.com
1
Marketing Plan 2010
Barbara Denoy
Pascale Duong
Steven Van Der Lugt




                                2
3
• More   than 750 stores in 21 countries

• Founded    in France in 1969

• Carries   over 250 brands

• Launched    online shop in 1999 available in 9

countries




                                                   4
The most important issue for Sephora is
the economic issue because they need to
focus on their profits due to the crisis.

Sephora’s market is the cosmetic and
perfume market (22% share of market) :

    • United States
    • China
    • Europe




                                            5
Direct competitors   Indirect competitors     Future competitors

                       • Supermarkets       • Pharmacy (an increase of
                                               5% since 10 years)

                                               • Murale
                                                      (Canada,
                                                 Pharmaprix)




                                                                         6
Sephora's target market is very big:
- women of almost all ages
- wealthy
- budget conscious.

The sales staff are low-key, no-pressure, people who are only there
when you need them.

They want to create an environment without pressure and believe that
customers will come back because they found what they needed.




                                                                       7
Brand ( Product )

The priorities for Sephora are to invest in the
brand and to communicate to the target
audiences in order to increase loyalty levels.    Advertising ( Promotion )


Product : Sephora has their own products
                                                        Distribution
with their own name.
                                                         channels
Promotion : Sephora uses direct marketing
with their free loyalty card. They also use
mailings and stands in shop.                              Pricing




                                                                              8
Strengths                            Weaknesses

             •Advertising              • Difficulties of adaptation in foreign
        • Brand’s reputation              countries (for example : Japan)
          • Product quality          • Self service does not comply with the
              • Suppliers                           luxury image
• Own products with their own name    • Sephora does not have a strategy to
       • Internationalization                  avoid the competitors.
                USP

   • Sales points: well-be, beauty
               ESP
        Opportunities                              Threats

            • New trends                       • Lots of competition
          • New products                          • Economic crisis
         • “ Niche brand ”                       • Real estate crisis
                                          • Particular lifestyle, habits…
                                     • Entry barriers on the perfume market:
                                              we need lots of money




                                                                                 9
A= Sephora
B= Marionaud
C= Beauty succes
D= Douglass




                   10
11
In 2010 Sephora will focus on
market development strategy:
selling the same product to a new
group.

Sephora would like to increase
the demand by promoting their
existing offer to new segment.




                                    12
In 2010 Sephora’s marketing mix will be
focused on the advertising with a big
campaign. Sephora should create a new
atmosphere in their shop: new
decoration (more masculine) and
salesmen.




                                          13
Their market share consists of mostly women
and they would like to increase market share
for male products :

• Men of 20 until 30
• A dynamic and attractive target group
• Need to take care of themselves
• Sociological influence
• New conception of the beauty
• It is no longer only for women.
• It is not only a trend but a real need.




                                               14
Strengths       Weaknesses

                Own products
Opportunities   with their own         Price
                    name
                                                    A= Sephora
                                    Self service    B= Marionaud
                Internationaliza
                                   different from   C= Beauty succes
   Threats            tion
                                     the luxury     D= Douglass
                   Suppliers
                                       image




                                                                       15
Transaction       Panier     Transaction
                            Age                                                   Open days
                                         / hours         moyen         / Day


                            Men


                                             1           40 euros        8            6


                           20 to 30




Transaction per day: 8
Transaction per week: 48 (8x6)
Transaction per month: 192 (48x4)
Contribution for the next year: 12 x 192 x 40 = 92 160
92 160€ is an estimate revenue of the project.




                                                                                          16
17
We decide to collaborate, in first, with Lacoste
because we think that it can complete our offer.

But we can also have a partnership with Azzaro
(perfume market), or Raph Lauren (clothes market)
and GQ magazine (press market).

We advise to continue its system of loyalty card
because we notice that it is a pertinent (good) way
for secure the fidelity of clients. Moreover, this is in
relation with our challenge.




                                                           18
Even if we decided to develop a new market,
we will create a new product with Lacoste to
promote our new segmentation (men, age 20
to 30).

Product :
- Toilet bag which can contain one perfume,
lotions and creams.
- Sales places : only on the Sephora’s shop
and Lacoste’s shop.
- Price : about 20€ more than perfume’price.




                                               19
Objective : promote our new product to men between 20 to 30 years old.

For that we decide to promote by 2 ways :
First : Advertising : Media : hoarding (billboard) in street with men
                      When : before the Christmas period
                      Message : that men can take care of themselves also,
                      without being seen as effeminate.

Secondly : Public Relation : organize open day with presents (toilet bag),
specimen and presence of football star. Press release and press conference.
Sponsoring for sports events and invitation to cocktail.

For increase the sales of men products, we decide to make the shop’s atmosphere
more masculine with more salesmen.




                                                                                  20
What is the             From          To         How      Comments
              Who?
 activity?              when?        when?       much?

                       December,   January the
Advertising   Noemie                             15000€
                          1st         4th.


                                                          Open Day,
  Public                                                  Conference,
               Paul    December     January      13000€
 Relation                                                 Sponsoring
                                                              …

Marketing
                                                 28000€
 budget




                                                                        21
We used 40% of
assumption budget of
2.6 : 36.864€.




                       22
23
- Meeting on Tuesday every 2 weeks
- Control budget and check
expenditures
- Campaign is the most important
- Consultant, accountant and loyal
customer.

- Survey
- Well-selected loyal customers
- External firm to set up the survey




                                       24
|----------------------|--------------------*---|-----------------------|-------------------*---*---|
Jan.                 April                     July                    Oct.                       Dec.

Important dates for our new market are :
• Fathers day ( Mostly third Sunday of June )
• Christmas period ( 18 – 26 dec )
• National festivities where people give presents ( e.g “Sinterklaas in
Holland, 5th of December )

                                                                       Market leader
                                                       Check on spending and budget
                                     “Where can I buy male beauty products?” Sephora




                                                                                                         25
Free marketing plan sample of a French cosmetic retailer targeting men, Sephora (LVMH), by www.marketingPlanNOW.com
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Free marketing plan sample of a French cosmetic retailer targeting men, Sephora (LVMH), by www.marketingPlanNOW.com

  • 1. 1
  • 2. Marketing Plan 2010 Barbara Denoy Pascale Duong Steven Van Der Lugt 2
  • 3. 3
  • 4. • More than 750 stores in 21 countries • Founded in France in 1969 • Carries over 250 brands • Launched online shop in 1999 available in 9 countries 4
  • 5. The most important issue for Sephora is the economic issue because they need to focus on their profits due to the crisis. Sephora’s market is the cosmetic and perfume market (22% share of market) : • United States • China • Europe 5
  • 6. Direct competitors Indirect competitors Future competitors • Supermarkets • Pharmacy (an increase of 5% since 10 years) • Murale (Canada, Pharmaprix) 6
  • 7. Sephora's target market is very big: - women of almost all ages - wealthy - budget conscious. The sales staff are low-key, no-pressure, people who are only there when you need them. They want to create an environment without pressure and believe that customers will come back because they found what they needed. 7
  • 8. Brand ( Product ) The priorities for Sephora are to invest in the brand and to communicate to the target audiences in order to increase loyalty levels. Advertising ( Promotion ) Product : Sephora has their own products Distribution with their own name. channels Promotion : Sephora uses direct marketing with their free loyalty card. They also use mailings and stands in shop. Pricing 8
  • 9. Strengths Weaknesses •Advertising • Difficulties of adaptation in foreign • Brand’s reputation countries (for example : Japan) • Product quality • Self service does not comply with the • Suppliers luxury image • Own products with their own name • Sephora does not have a strategy to • Internationalization avoid the competitors.  USP • Sales points: well-be, beauty  ESP Opportunities Threats • New trends • Lots of competition • New products • Economic crisis • “ Niche brand ” • Real estate crisis • Particular lifestyle, habits… • Entry barriers on the perfume market: we need lots of money 9
  • 10. A= Sephora B= Marionaud C= Beauty succes D= Douglass 10
  • 11. 11
  • 12. In 2010 Sephora will focus on market development strategy: selling the same product to a new group. Sephora would like to increase the demand by promoting their existing offer to new segment. 12
  • 13. In 2010 Sephora’s marketing mix will be focused on the advertising with a big campaign. Sephora should create a new atmosphere in their shop: new decoration (more masculine) and salesmen. 13
  • 14. Their market share consists of mostly women and they would like to increase market share for male products : • Men of 20 until 30 • A dynamic and attractive target group • Need to take care of themselves • Sociological influence • New conception of the beauty • It is no longer only for women. • It is not only a trend but a real need. 14
  • 15. Strengths Weaknesses Own products Opportunities with their own Price name A= Sephora Self service B= Marionaud Internationaliza different from C= Beauty succes Threats tion the luxury D= Douglass Suppliers image 15
  • 16. Transaction Panier Transaction Age Open days / hours moyen / Day Men 1 40 euros 8 6 20 to 30 Transaction per day: 8 Transaction per week: 48 (8x6) Transaction per month: 192 (48x4) Contribution for the next year: 12 x 192 x 40 = 92 160 92 160€ is an estimate revenue of the project. 16
  • 17. 17
  • 18. We decide to collaborate, in first, with Lacoste because we think that it can complete our offer. But we can also have a partnership with Azzaro (perfume market), or Raph Lauren (clothes market) and GQ magazine (press market). We advise to continue its system of loyalty card because we notice that it is a pertinent (good) way for secure the fidelity of clients. Moreover, this is in relation with our challenge. 18
  • 19. Even if we decided to develop a new market, we will create a new product with Lacoste to promote our new segmentation (men, age 20 to 30). Product : - Toilet bag which can contain one perfume, lotions and creams. - Sales places : only on the Sephora’s shop and Lacoste’s shop. - Price : about 20€ more than perfume’price. 19
  • 20. Objective : promote our new product to men between 20 to 30 years old. For that we decide to promote by 2 ways : First : Advertising : Media : hoarding (billboard) in street with men When : before the Christmas period Message : that men can take care of themselves also, without being seen as effeminate. Secondly : Public Relation : organize open day with presents (toilet bag), specimen and presence of football star. Press release and press conference. Sponsoring for sports events and invitation to cocktail. For increase the sales of men products, we decide to make the shop’s atmosphere more masculine with more salesmen. 20
  • 21. What is the From To How Comments Who? activity? when? when? much? December, January the Advertising Noemie 15000€ 1st 4th. Open Day, Public Conference, Paul December January 13000€ Relation Sponsoring … Marketing 28000€ budget 21
  • 22. We used 40% of assumption budget of 2.6 : 36.864€. 22
  • 23. 23
  • 24. - Meeting on Tuesday every 2 weeks - Control budget and check expenditures - Campaign is the most important - Consultant, accountant and loyal customer. - Survey - Well-selected loyal customers - External firm to set up the survey 24
  • 25. |----------------------|--------------------*---|-----------------------|-------------------*---*---| Jan. April July Oct. Dec. Important dates for our new market are : • Fathers day ( Mostly third Sunday of June ) • Christmas period ( 18 – 26 dec ) • National festivities where people give presents ( e.g “Sinterklaas in Holland, 5th of December ) Market leader Check on spending and budget “Where can I buy male beauty products?” Sephora 25