Estee Lauder Inc.
Question :
In todays developed world Marketing is one of the significant and important role in each and every business. From the introduction of product to the final stage of the product marketing play huge role to make the product successful. This report will look The Estée Lauder Companies history and their products and level and techniques they use when segmenting each product to its target audience.
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Estee Lauder Companies Background and History
The company was founded in early 1946 which is owned by Mrs. Estee Lauder and her husband, Joseph Lauder. Although the major brand started with Estee Lauder the company progressed to a great deal more. Estee Lauder, was launched with four products: Super Rich All Purpose Creme, Creme Pack, Cleansing Oil, and Skin Lotion. The Estee Lauder Companies is one of the world's leading manufacturers and marketers of quality skin care, makeup, fragrance and, recently, hair care products. The Company's products are vended in over 150 countries and regions under well-recognized brand names, counting Estee Lauder, Aramis, Clinique, Prescriptives, Origins, MAC, La Mer, Bobbi Brown, Tommy Hilfiger, jane, Donna Karan, A veda, Stila, Jo Malone and Bumble and bumble.
you can identify the Segmentation part
Answer :
Company Background
Estee Lauder Company is a cosmetic company founded in the year 1946 which has an unrivalled portfolio of cosmetic brands in more than 150 countries. Mrs Estee Lauder and her husband Joseph Lauder are the co-owners of the company. Some of the popular cosmetic products sold by this company are hair skin products, perfume and fragrances, makeup kits etc. Some top brands that fall under this company are Smashbox, Aerin Beauty, Bobbi Brown, Flirt, Clinique, M.A.C. and Perspectives (Referenceforbusiness, 2019). These are popular brands of cosmetic products in the global market. The company focuses on its brand quality and has committed to bringing in the best products among all. They use certain well funded and polished market strategies to launch their products in the market for the specific requirements of the customers.
Marketing Segmentation and Strategies
The Estee Lauder Company works on a marketing philosophy that includes the promotion of high-quality products towards their loyal customer bases. They focus on market segmentation strategies for selling their products all over the world. Segmentation strategies are used for reaching the customers in an efficient way. Generally the company makes use of demographic and geographic market segmentations (Digital Vidya, 2019). The organization has also partnered with Brick-and-Mortar which is online retail to improve their supplies in various areas. Signature Packaging is one of the key strategies that have been used by Estee Lauder Inc. They focus on giving a standard and unique design for their product packages (Kyun, 2016). This helps them to create a unique identity among several other brands of cosmetics. New female teenagers are specially attracted by certain design and layout of the new beauty products. Hence it is a very important strategy that the EL focuses on.
The collaboration of the company with several other retail brands has given it a chance to flourish its product in all areas of the market. This is a type of geographic market segmentation that the organization has been performing pro-actively within the cosmetic market for years. Many popular brand products come under this particular organization. Above all is the quality of the products that the customers buy and use from this trusted brand of cosmetic goods. Way back from its foundation the company has manufactured goods and items of superior quality. This can be referred to as a psychographic market segmentation strategy. Use of digital marketing has also helped in fulfilling the business objectives of the Estee Lauder in an effective manner (Digital Vidya, 2019). Certain online tutorials for giving perfect makeup tips using their range of products have helped them to increase their number of customers. They have various channels on youtube, facebook and other social media networks so that they can reach to every audience. Advertising their products with new and popular celebrities has also helped in brand promotion of the company name.
Overall the company has been able to reach the level of adorable and unrivalled business. The main reason behind the organization's success was its collaborating strategy with small partners. Various other methods and techniques are being used and tested inside the organization for better and fruitful outcomes of the company. According to recent surveys, presently the organization has been witnessing about 84% of the profit of the actual costing it bears. This figure is relevant enough to confirm that the Estee Lauder's value in the cosmetic market remains to be high.
References
Digital Vidya. (2019). How Estee Lauder Companies used Digital Marketing to makeup the face of cosmetic industry. Retrieved 19 November 2019, from https://www.digitalvidya.com/blog/estee-lauder-companies-digital-marketing-case-study/
Kyun, K. (2016). A Study on Plasticity Make-up Design of Estée Lauder Cosmetics Brand Advertisement. A Journal Of Brand Design Association Of Korea, 14(3), 137-150. doi: 10.18852/bdak.2016.14.3.137
Digital Vidya. (2019). How Estee Lauder Companies used Digital Marketing to makeup the face of cosmetic industry. Retrieved 19 November 2019, from https://www.digitalvidya.com/blog/estee-lauder-companies-digital-marketing-case-study/
Referenceforbusiness. (2019). The Estée Lauder Companies Inc. - Company Profile, Information, Business Description, History, Background Information on The Estée Lauder Companies Inc. Retrieved 19 November 2019, from http://www.referenceforbusiness.com/history2/92/The-Est-e-Lauder-Companies-Inc.html
