L’Oréal Brandstorm 2012 “CREATE for a Beautiful World” CONTEXT
The original, natural and ethical beauty brand It was in 1976 that Dame Anita Roddick began to write the fabulous history of The Body Shop from a small boutique in Brighton, UK, starting out with a simple but totally new idea: ‘companies have the power to change the world’. Today, with sales of more than £1bn, The Body Shop brings innovative products and ground breaking values campaigns to customers all around the world. The Body Shop Values The five core Values of The Body Shop are as relevant today as they were when Anita Roddick first set them out: the brand is always looking for new ways to bring them to life. The Body Shop teams believe that these Values are at the heart of the brand’s commercial success and that they are the key to growing the business. As going forward, more creativity is always needed to bring this message to consumers in search for brands with principles that they can trust. A retail business model With more than 2,600 stores in 65 countries and territories, The Body Shop is a worldwide player in the single-brand retail based sector of the beauty industry. The store is the single biggest point of contact with the brand today and provides a great opportunity to experience the brand, engage customers and build support with the Love Your Body customer loyalty programme. The Body Shop focuses on offering friendly and personal services around storytelling, while creating a stronger sense of theatre to give customers a consistently memorable experience. For several years now, The Body Shop has opened the majority of its new stores in new markets and has ambitious plans to expand further. Reaching out to customers In addition to its large store network, The Body Shop reaches out to customers through increasingly exciting and innovative ways. The brand has e-commerce sites in a number of markets and this is expanding rapidly. The creation of temporary retail outlets, along with blogging events around the world, attract many new fans to the brand. It also increased its presence in Global Travel Retail outlets, particularly at international airports, which pushes the boundaries of the brand’s visibility.
From top to toe The Body Shop offers customers more than 1 200 products in the following categories: Skin Care, Body Care, Make Up, Gifting, Fragrance, Men’s Products, Hair Care, Body Hygiene, Accessories and Home Fragrance. The Body Shop has a number of iconic products including the best loved Vitamin E day cream which sells 1 every 18 seconds, the world’s first award winning Body Butter, Hemp Hand Protector, and the world’s first cruelty free musk, White Musk Fragrance range.
PRE-CASE STUDY I- THE MARKET
Analyse the current offering of beauty products that are sold in the retail distribution channel.
1/ Define the market Current market situation and evolution; fundamental characteristics which define the global and local markets; growth opportunities and threats; distribution characteristics. 2/ Identify the competition Who are the main competitors? Define their positioning and targets. 3/ Understand the consumer; identify the trends Who are the consumers that buy beauty products in the retail distribution? Who buys what? What are their habits (frequency, preferences, rituals)? What are their expectations? Are they satisfied with the current offer? Are there any new consumer trends? Define the main trends for this type of consumer.
II- THE BRAND
Analyse the status of The Body Shop and any other two brands of your choice (select brands from the retail distribution channel). Based on what you have just found out, do a SWOT analysis of the The Body Shop brand when it comes to a new iconic product (or product range). Find out where would the opportunities for The Body Shop be by analysing: Business performance Products (packaging design, range composition) Market share Positioning and image Mix (price, promotions, etc.) Consumers The communication strategy focused on public awareness
