MARKETING PLAN FOR COSMETIC GIANT (COSMOLINE)

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Table of Contents
1. Business Summary
o Company Name
o Marketing Leadership Team
o Headquarters, Office Locations
o Mission Statement
o SWOT Analysis

2. Target Market
o Industry Name
o Target Audience
o Competitive Analysis

3. Market Strategy
o Product
o Price
o Promotion
o Physical Evidence
o Channels

4. Budget
Business Summary
Our Company
Cosmoline is a leading personal care products provider offering 700+ luxury, natural/organic,
hand-crafted personal care products all made in Belgium. Cosmoline develops, manufactures and
markets its products worldwide. All products from the ingredients to the packaging are inspired
by nature. Cosmoline uses only natural ingredients in its products, does not test cosmetics on
animals and ensures all products are safe for the environment. The Company was founded in
2011 by Mohamad Abd El Azeem and has quickly achieved great success. Cosmoline currently
has six franchises with another 14 planned. The Company’s long-term objective is to open 25
franchises per year. The Company’s latest innovation is the newly developed, Revivor de Serum.
For the introduction of this special product Cosmoline plans to establish a separate Limited
Liability Corporation. This newly formed company will be given exclusive rights from
Cosmoline to distribute Revivor de Serum worldwide. The new company will carry all costs
associated with manufacturing, marketing and distribution as well as record all revenue and
profits associated with Revivor de.

Brand Essence

Just like our cosmetics, the essence of our brand consists of many special elements which
together form the magical experience Cosmoline promises all our customers. Cosmoline is
delivering Natural, Handmade personal care products brought from the heart of Europe that
provide comfort, relaxation, elegant and luxury appeal all inspired by natural … and still
AFFORDABLE!
Situation Analysis

Market Description
The skin care cosmetics market consists of many different types of products. Varieties of cosmetics
include chemical based, mineral based, nature based – contains 95% of natural ingredients and
organic – 100% natural.
Most consumers have different perceptions about different brands. They are drawn to specific
product features and benefits provided by different brands. For example, consumers perceive that
organic products are beneficial for the skin. Some may look for cosmetics as a utility product while
others may find it a luxury. Product selection could be based on brand, ingredients, fragrance, or
utility. The cosmetics industry as a whole has positioned products into various categories like
skincare, hair care, make-up, perfumes, oral care, and hygiene products.
Cosmetic brands also distinguish themselves by size and type of product. Cosmoline market consists
of consumers looking for travel size and regular size natural products. “Natural” in this context
means no artificial fragrance or colour. This market includes traditional cosmetic users who are
conscious about product composition. Specific segments that Cosmoline will target include, the skin
heath conscious, the socially responsible, teen girls, and adult women. Cosmoline has established a
strong base of customers, primarily among skin health conscious individuals. Below is how
Cosmoline addresses the need of targeted consumer segments.

SWOT Analysis
As Cosmoline’s marketing team, we want to help the brand lean into what it does well, improve
what it doesn’t, capitalize on what it can do, and defend against what could challenge it. With
that in mind, here is our SWOT analysis for 2020.

Strengths Weaknesses Opportunities Threats

- Competitive price - Not much online - Engage more with - Wide range of
- Concentration presence compared to target market substitute brands
- Innovation competitors - Increase online - Large number of
- Exclusive product - Weak brand image presence - A growing competitors in the
rights - High advertising trend in the industry market - Rising costs
costs of commodities
Target Market
Industry
India’s cosmetics and cosmeceutical market is expected to register annual growth of 25 per cent
touching USD 20 billion by 2025, according to industry experts here.

"The Indian cosmeceutical and cosmetics industry has an overall market standing of USD 6.5
billion from a global market of USD 274 billion. It is expected to grow to USD 20 billion by
2015 at a compounded rate of 25 per cent," UBM India managing director Yogesh Mudras told
reporters here.

The rising awareness of beauty products, increasing premium on personal grooming, changes in
consumption patterns and lifestyles and improved purchasing power among women are expected
to boost the industry.

The market will maintain healthy growth due to rising preference for specialized cosmetic
products such as organic, herbal and ayurvedic products. Principal areas that are expected to
grow include color cosmetics, fragrances, specialized skin care and make-up cosmetics, he said.

The Indian industry is growing rapidly at a rate of 13-18 percent, more than that of US or
European markets.

Target Market
Modern consumers want cosmetics with natural ingredients that are safe for them and safe for
the environment. At the same time, beauty products have to be designed to bring pleasure to all
the senses, they should look good on the shelf in the bathroom; they should give the feeling of
uniqueness to their users. They need to feel special.

Portrait:

- Middle aged married woman or

- Senior executive (corporate)

- Lives in the suburbs

- Belongs to the middle class

- Concerned for her image

- “doesn’t have enough time”

 Young women between 18-25 who are students or recent graduates. They are energetic
like going out with friends, follow movies theaters as well as concerts.
 Women with successful career. They make up almost everyday when going to work, they
are single or newly married. They are open minded and pay attention to self-
development.
 Women who need professional make-up to cover flaws on their body. They are from
medium, upper medium income group and their make-up share of valet is greater than the
other segments.

Competitive Analysis
Cosmoline, is a famous cosmetic brand. It produces a wide range of products which inspires
every woman to express the unique beauty thereby making them realize the strength of their
beauty.

It innovates continuously on various products to offer huge world-class cosmetics, beauty salons,
and skin care products. It combines international cosmetic technology with a deep understanding
of the needs of an Indian woman.

It also provides the consumers complete beauty products that suit many Indian skin tones.
Cosmoline has created its visibility in the market through high-end beauty parlors or salons, and
through various fashion events’ sponsor.

The beauty industry is highly competitive and, at times, subject to rapidly changing consumer
preferences and industry trends. A wide range of skincare cosmetics products are offered by
various brands like Avon, Bobbi Brown, Chanel, Clarins, Clinique, Estée Lauder, L’Oréal,
Lancôme, M.A.C., Maybelline, Neutrogena, Shiseido and Smash box.
Pricing for organic cosmetics is higher than traditional chemical-based cosmetics. Cosmetics
sold in specialty locations cost more than those sold in retail stores. Key competitors to
Cosmoline include the following:

1. M.A.C: - MAC (Make-up Art Cosmetics) is a leading cosmetic manufacturer,

headquartered in New York, United States. It was established in the year 1985. It is
considered as a leading professional makeup specialist in the world. They produce
products that cater to people of all ages.
2. L’Oréal: - L’Oreal is a well-known and leading company in the personal care and
cosmetic industry. Founded in the year 1909, L’Oreal is headquartered in France. Their
annual sale of various products is estimated at about $27.2 billion dollars. Their famous
products are color cosmetics, hair care, sun care, skin care and fragrances.
3. Maybelline: - Maybelline is one of the top global cosmetics company in the United
States. It helps women to discover new looks and exhibit their own creativity and
 individuality. Maybelline provides scientifically-advanced formulas, radical textures, and
trendsetting shades to enhance the beauty of women. Maybelline produces various
products for eyes, faces, and lips.
4. Covergirl: - An American cosmetic brand, Covergirl is headquartered in Maryland,
United States. It was owned by Noxzema Chemical Company which was later acquired
by Procter & Gamble. CoverGirl provides their products for individual customer
service and offers a wide range of beauty products at reasonable prices. It deals in a wide
range of cosmetics like foundations, concealers, blushes, and lotions for face makeup,
eyeshadows, eyeliners, kohl pencils, and mascara for eye makeup and lipsticks, lip
glosses and lip liners.
5. Colorbar: - Colorbar is one of India’s leading beauty brands that is launched in the year
2005. Their innovative and best in class products of Colorbar make every woman feel
beautiful. The products manufactured by Colorbar meet the international standards.

Market Strategy
Product
Cosmoline products will be sold will all features described in Product Analysis section. As
awareness takes hold and retail availability increases, more product lines will be introduced. Hair
care products will be added to the product line. All aspects of the marketing mix will be
consistent with the brand.

Price
There is a lot of price variation between products offered by luxury brands and other brands.
Cosmoline will follow customer value-based pricing strategy. Given that Cosmoline claims
superior quality, it must be careful not to position itself as a lower cost alternative. The pricing of
the products will vary depending on the place. The products may be marked at a little lower price
in discounted-retail stores while they will be sold at a higher cost in salons. They will be priced
higher that traditional chemical-based cosmetics but lower than luxury brand cosmetics.

Promotion
Based on the information presented in the Distribution Network section, Cosmoline will employ
a selective distribution strategy with well-known retail stores, health and natural departmental
stores and pharmaceutical stores. This distribution strategy will be executed through a network of
independent distributors, as there are no other major brands of organic cosmetics manufacturers
following this strategy. Cosmoline will also partner with local beauty salons to use, showcase
and sell its products. Later the brand will employee direct marketing through franchise retail
stores and e-commerce outlets.
Cosmoline will leverage various social media platforms to create awareness. It will conduct free
skincare consulting campaigns and distribute free samples to advertise and build brand loyalty. It
will promote its products through customer testimonials.

Positioning
Cosmoline will be positioned on an “Organic Beauty Product” value proposition. This will allow
for differentiating the brand based on product features (all organic ingredients)
with no artificial color or fragrance), desirable benefits (expect healthier more Beauty skin), and
values (do more for a social cause). Marketing will focus on conveying that Cosmoline is more
than just a cosmetic brand: It gives customers much more for their money in a variety of ways.

Physical Evidence

Channels
We see that competitive products are sold through a variety of channels and will follow a similar
strategy to maximize its reach with a focus on channels best suited to mid to high price products.
A multi-channel approach that includes online via sites such as Sephora.com, DermStore.com
and Amazon.com, through med spas, day spas, dermatology clinics, estheticians and higher end
retail outlets should be included to gain maximum exposure among the target audience.

Budget
Over the course of 2020, given the cash allotted to the Marketing team, we expect to invest in
the following items to ensure we meet the objectives outlined in this marketing plan: