Ready to Beauty & Go

Transcription

1 Ready to Beauty & Go Eller Consultants Jon Ferng Jason Marie-a James Rein Ricky Triana

2 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

3 Main Challenges Which global markets and channels should Feed Your Skin choose for Beauty & Go? How to best market and promote in those markets?

4 Current Situations SITUATIONS Global nutricosme?cs market expected to be $7.4 B USD by 2020 CHALLENGES How to leverage first- mover advantage? 11.2% CAGR in US nutricosme?cs market How to exploit growth? Organic growth of Beauty & Go in Asia Failure of Tesco launch in UK How to accelerate growth? How to ensure profitability in UK?

5 Recommendations Expansion into US, UK, and Asia Posi?oning Beauty & Go as luxury, beauty, and/or health Build loyal consumer base via strong value proposiaon communicaaon.

6 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

7 Analysis JOINT VENTURE Strengths PR communica+on Luxury brand Wide access to distribu+on channels First mover advantage & patent protec+on Unlimited capacity Research and development Food retail (AMC), Healthy & beauty retail (NB and Danku) Online exper?se Global market for nutricosme?cs expected to grow to $7.4 billion by Lack of brand iden?ty in markets Lack of experience selling product in America and underrepresented market New brand No direct compe?tors; possible entrance of compe?tors Dilu?on of brand image in different loca?ons Weaknesses Opportuni?es Core competencies are innovaaon and easy access to global markets. Threats

8 Who is the target customer? Women Mid to high class Urban Health-conscious PotenAal to target other consumers

9 Product Positioning What were the past successes? What were the past failures? Spain Glitzy launch in luxury casino Top model as brand ambassador Temporary exclusive sales channel Tesc o Suburban loca?ons in non- central loca?ons Posi?oned next to juices No glitzy PR UK Exclusive luxury shop placement Top nutri?onist as brand ambassador Luxury and urban placements were most successful.

10 Product Positioning How should Beauty & Go be posi4oned? Luxury vs. Value Health vs. Beauty vs. Food

11 Product Positioning How should Beauty & Go be posi4oned? Luxury vs. Value Health vs. Beauty vs. Food

12 Key Criteria Consistent with Brand Image Growth poten?al Profitability Feasibility Risk

13 Alternatives Analysis GEOGRAPHIC Brand consistency Growth poten+al Profitability Feasibility Risk United States Asia Europe S. America Africa Russia Australia

14 Alternatives Analysis CHANNEL Brand consistency Growth poten+al Profitability Feasibility Risk Health & beauty retailers Spa, gym, hotel, beauty salons Large retail stores Food stores Premium food stores Flagship stores Internet

15 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

16 B&G Beauty Lifestyle Luxury Premium Product Advanced technology Health Concentrated Nutri?on Proprietary Recipes Beauty Cosme?c Compe?tor

17 Place Europe Austria London Health/ Luxury/ Beauty Asia America S. Korea Vietnam Los Angeles Miami Luxury/ Beauty Health/ Luxury/ Beauty

18 Placement and Channel- Europe

19 Placement and Channel- Asia Korea Vietnam Seoul Ho Chi- Minh - K- Pop Group - Singing Comp Sponsor - Celebrity Users - Beauty Products Aisle - Fashion Shows under NutriCosme?cs

20 Placement and Channels- America L.A Miami Health resorts Hair Salons Hi- End Lounges Luxury Hotels - LGBT Pride Events Sponsors - Fitness Trainers and Yoga Studios - Health Lifestyle Ambassadors - Doctor s and Nutri?onists

21 Communication Strategy Language Barriers BG Transla?on Services for Foreign Markets Cultural Capital low, Brand Ambassadors needed Beauty Bloggers, YouTube Stars, Celebrity Endorsers Product Posi?on Beauty Product Health Product Luxury Offering s

22 Promotion Strategy Europe Tradi?onal Line, Limited Edi?on Boots, Douglas, Ici Paris and H&B retailers Aker Reevalua?on of Tesco posi?oning Taste of Beauty Experience with B&G Asia Take advantage market for skin care by growing Nur?Cosme?cs Category America Test Area for Upgraded Products and Shots, and High Margin Posi?ons Product placement in salons and yoga studios Promo?onal Events Consider LGBT pride celebra?ons as poten?al event

23 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

24 Implementation TimeLine Event Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Europe Asia America Launching in New Sites Building Brand Equity via Marke+ng Campaign TESCO Re- Posi+on Strategy Establishing NutriCosme+cs Segment Test Market for Posi+on into Lifestyle Brand Placement in 50 Salons/ Yoga Studios Social Media Campaign to build up Promo+onal Events Host Promo+onal Events In Select Ci+es

25 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

26 Financial Impact Utilize existing budget of $3.2 million to execute recommendations $700,000 PR $1.8 million promotion and events

27 Overview Analysis Recommenda?ons Implementa?on Financials Looking Ahead

28 Key Criteria Revenue Profit Net promoter score Sales volume Customer loyalty

29 Risk Mitigation Plan RISKS Tesco fallout from pulling product Limited growth from luxury posi?oning Missed internet sales opportunity MITIGATIONS Work through posi?oning op?ons prior to pulling product Evaluate high- end retailers such as Whole Foods Review performance in 2016 and consider online in 2017