INTRODUCTION BRIEF OVERVIEW OF STUDY
This report is on the company Lakme. It is the global leader in cosmetics, with 25 brands. They have 4 key areas of expertise hair care, skincare, make!"p and fragrances. There is a h"ge motive behind the st"dy of Lakme. The st"dy will help "s to "nderstand the operations which are carried carried o"t by L#$real. The operations s"ch as, b"siness b"siness marketing strategies , business plans o !ompan" at a glance, b"siness str"ct"re, management and operating str"ct"res, competitors
position as per this company, b"siness development, disc"ssion of b"siness strategies, %&$T analysis to "nderstand the different pros and cons of the company, so as to report properly to operat operatee effecti effectively vely and deal smartl smartly y. This This st"dy st"dy offers offers a compre comprehen hensiv sivee analys analysis is of the organi'ation, its b"siness segments, and competitors. It analy'es the b"siness and marketing strategies strategies adopted by the company, to gain a competitive competitive edge in the ind"stry ind"stry.. The profile profile also eval"ates the strengths of the company and the opport"nities present in the market. This st"dy presents the key ke y facts ( fig"res, b"siness description, prod"cts prod"c ts ( services offered and corporate timeline of the company. It involves analysis of the company at three levels ) segments, organi'ational str"ct"re and ownership composition. *oth b"siness and geographic segments are analy'ed along with their recent financial performance. It f"rther disc"sses the ma+or s"bsidiaries of the the compan company y and and the the rece recent nt merg merger er ( ac"i ac"isi siti tions ons.. It also also exam examin ines es the the signi signifi fica cant nt developments and milestone that have taken place in the company. It is a form of news analysis where the most critical company news is disc"ssed. -lso the factor inancial /erformance incl"ded in this st"dy. It disc"sses the most recent financials of the company and also compares the historical sales ( income fig"res with the c"rrent and pro+ected fig"res. The ob+ective is to eval"ate the financial health of the company. The analyst opinion and stock performance help anyone in eval"ating the performance p erformance of the company from an investor#s viewpoint.
OB#ECTIVES$
%
The main ob+ective behind the st"dy of this pro+ect is to eval"ate the distrib"tion channel
% % % %
for Lakme 0ompany. To st"dy the marketing strategies of Lakme cosmetics. co smetics. To st"dy the 4ps of marketing. To st"dy st"dy Lakme market shares in cosmetic ind"stry in comparison to other brands. To analy'e the reason for Lakme#s initial strategy in India.
%
To know and analy'e the level of satisfaction of c"stomers with regard to Lakme as one of the ma+or players in 0osmetic ind"stry
•
To "nderstand the relationship between c"stomers 1who demand the prod"ct and the
•
s"ppliers or man"fact"rers 1who prod"ce the prod"ct. or "nderstanding the company#s str"ct"re and f"nctioning among vario"s departments like finance, acco"nts, 3, etc better.
SCO&E OF T'E STUDY$
This This st"dy st"dy "ncover "ncoverss the impact impact,, "tilit "tility y and effect effectivene iveness ss ( effici efficiency ency of market marketing ing strategies of Lakme on the s"ccess of cosmetic ind"stry. - special emphasis is laid down on Lakme cosmetics. The pro+ect begins with detailed information abo"t marketing strategies and the impact of meas"ring c"stomer satisfaction in cosmetic ind"stry. "rther, it covers topics as data collection tools and research methodology "sed for the pro+ect. Then it gives a complete analysis of the data collected and it is then "sed to reach to a concl"sion. The st"dy took nearly a week to complete. The st"dy is "sef"l for the better "nderstanding of marketing strategies towards the Lakme cosmetic ind"stry. -s this st"dy is confined to Lakme, it covers an analysis analysis of cons"mer cons"mer behavior, attit"de, attit"de, perceptions, marketing strategies and satisfaction with respect to Lakme as a *-6 in cosmetic ind"stry. ind"stry. The st"dy takes into acco"nt the c"stomers of Lakme in 7"mbai
(I)IT*TIONS$
•
8eographical scope of the st"dy was limited to a small area, which may not represent the whole sector of India. %i'e of the sample is 9::, which is, of co"rse small in comparison to entire pop"lation.
•
6"e to limitation of time only few people were selected for the st"dy. %o the sample of cons"mer was not eno"gh to generali'e gen erali'e the finding of the st"dy.
•
There can be many interpretations and explanation to the data collected. This is empirical st"dy and the research and the research provides the explanation as "nderstood by the researcher only.
•
The so"rce of data for the st"dy was primary and secondary data with the help of self! admini administe stered red "esti "estionna onnair iree and resear research ch on intern internet. et. 3ence, 3ence, the chance chancess of "nb "nbias iased ed information are less.
RESE*RC' )ET'ODO(O+Y esearch 7ethodology is a way to systematically solve the research problem. The esearch 7eth 7ethodo odolo logy gy incl incl"d "des es the the vari vario" o"ss meth methods ods and and tech techni ni" "es es for for cond" cond"ct ctin ing g a ese esear arch ch.. ;7arketing esearch is the systematic design, collection, analysis and reporting of data and finding relevant sol"tion to a specific marketing sit"ation or problem<. 6. %lesinger and 7. %tephenson in the encyclopedia of %ocial %ciences define esearch as ;the manip"lation of thin things gs,, conce concept ptss or symb symbol olss for for the the p"rp p"rpos osee of gener general ali' i'in ing g to exte extend nd,, corr correct ect or veri verify fy knowledge, whether that knowledge aids in constr"ction of theory or in the practice p ractice of an art<. esearch is, th"s, an original contrib"tion to the existing stock of knowledge making for its advancement. The p"rpose of esearch is to discover answers to the ="estions thro"gh the application of scientific proced"res. $"r pro+ect has a specified framework for collecting data in an effect effective ive manner manner.. %"ch %"ch framew framework ork is called called ;esea ;esearch rch 6esign 6esign<. <. The resear research ch proces processs followed by "s consists of following steps>
,-. Resear!/ Resear!/ Design$0
4.9.9
Conclusion Oriented Research: 0 The research was concl"sion oriented beca"se this
research aimed at identifying the characteristics of a s"ccessf"l entreprene"r. In other words it is a research when we give o"r own views abo"t the research.
,-.-1 Descriptive Descriptive Research: 0 Research: 0 The research was a descriptive research as it was concerned with
specific predictions, with narration of facts and characteristics concerning individ"als specia specially lly entrep entrepren rene"r e"rs. s. In other other words words descri descripti ptive ve resear research ch is a researc research h where where in researcher has no control over variable. 3e +"st presents the pict"re which has already st"died. 4.2 Sample Design$ 0 - sampling design is a definite plan for obtaining a sample from a given pop"lation. It refers to the techni"e or the proced"re the researcher adopts in selecting items items for the sample. The following following factors need to be decided within the scope of sample design> ,-1-.
Universe of the Study: 0 The "niverse of the st"dy incl"ded respondents specially
entreprene"rs in g"rgaon g "rgaon city.
Sample Size: - %ample si'e is the n"mber of elements to be incl"ded in a st"dy.
,-1-1
?eeping in mind all the constraints 9:: respondents was selected.. ,-1-2 Sampling Te Techniques: chniques: 0 The sampling techni"es "sed are convenience sampling
techni"e and simple random sampling techni"e.
UNIVERSE
-ll items items in any field field of en"iry en"iry consti constit"t t"tee a @Anive @Aniverse rse## or @/op"l @/op"lati ation# on#.. - complete complete en"meration of all items in the pop"lation is known as a cens"s en"iry.
S*)&(E SI3E *ND S*)&(IN+ TEC'NI4UE
The n"mber of items selected from the "niverse to represent the "niverse is called si'e of the sample. The sample si'e of 9:: served the p"rpose of the st"dy. The sampling method "sed is non!probability convenience sampling. D*T* CO((ECTION )ET'OD
The task of data collection begins after a research problem has been defined and research design plan checked o"t. &hile deciding abo"t the method of collection of data to be "sed for the st"dy two types of data sho"ld be kept in mind vie, primary and secondary. or the st"dy, both primar" 5ata and se!on5ar" 5ata were collected.
or primar" 5ata, this is those, which are collected afresh and for the first Time, and th"s happen to be original in character. There are many ways of data collection of primary data like observation method, interview method, thro"gh sched"les, pantry eports, distrib"tors a"dit, cons"mer panel etc. The Team 7anagers and employees of both the 6epartment were cons"lted to get information abo"t proced"re of both the online and off line share trading. *"t the method "sed by "s for the primary data collection was thro"gh "estionnaires. or se!on5ar" 5ata , these are those data, which are not collected afresh and are "sed earlier also
and
th"s
they
cannot be considered as original in character. There are
many ways of data collection of secondary data like p"blications of the state and central govern ment, reports prepared byresearchers, reports of vario"s associations connected with b"siness, Ind"stries, banks etc. -nd the method, which was "sed by "s, was with the help of reports of the company. The data has been presented by way of pie charts and graphs. These have been specifically "sed to present the data collected from respondents thro"gh internet and "estionnaire.
FINDIN+S B*SED ON 4UESTIONN*IRE 4UESTIONN*IRE RES&ONSES
Do "ou use !osmeti!6 omen omen Use cosmetics %es )o
!ercent age age "#$ &'( '(
Women Use cosmetics 17% 17 %
yes ye s no 83% 83 %
W/en 5o "ou use !osmeti!s6 omen use cosmetics *t parties + occasions occasions *l.ays hen / .ant to Outside home
!ercentage ,# '# &(# 0(#
Women use u se cosmetics At parties & occassions
23%
Always When I want to 10% 13%
53%
Outside home
'o7 mu!/ 5o "ou spen5 on !osmeti!s in a mont/6 1oney spent spent in a month month on cosmetic cosmetic 2ess than ' ' 3et.een '-4 '-4 1ore than than 46 less than than , 1ore than than ,
!ercentage !ercentage "#$ (# 5# 0# &#
Money spent on cosmetics in a month !0% !0% 0% 0 % 20% 20 % 0%
*re "ou a (akme !ustomer6 2a7me customer customer %es )o
!ercentage &# 0#
Lakme customer 100%
"a#me customer
50% 0% yes
W/i!/ o t/e ollo7ing pro5u!ts o (akme /a8e "ou been using6 !roducts using using 1ascara a;al Compact Shampoo
!ercentage !ercentage "#$ 19 ,9 9: 2:
Lakme Products used by women #a$al
shampoo
mascara
30%
35%
25%
compact
10%
*re "ou satisie5 7it/ t/e (akme pro5u!ts6 Satisfied Satisfied .ith 2a7me products products Satisfied Satisfied 8ery satisfied )either satisfied satisfied nor dissatisf dissatisfied ied Dissatisfied Dissatisfied 8ery dissatisfied
!ercentage !ercentage "#$ ( ,( 9 ( 0
satisfed with lakme products 100% 80% !0% 0% 20% 0%
satised with la#me products
W/at 7ere t/e reasons or "ou to !/oose (akme pro5u!ts B Reasons for for choosing 2a7me Cheap price 3rand name name
!ercentage !ercentage "#$ :C 4D E5 2C :E 2
Reasons for choosing lakme 70 !0 50 0 30 20 10 0
easons 'or choosin( la#me
From 7/i!/ sour!e 5i5 "ou get to kno7 about (akme pro5u!ts6
Source to to 7no. a?out a?out 2a7me products products )e.spaper Television Direct sale e@ecutive e@ecutive /nternet Others
!ercentage !ercentage "#$ 9CF EGF D4F 22F HF
Sources to know about lakme products !% 2% 30% 12% 12%
)ewspaper )ewspap er
*ele+ision
,irect -ales ./ecuti+e
Internet
Others 50%
*re "ou satisie5 7it/ t/e promotional oers o (akme6 Satisfied .ith .ith promotional promotional offers offers %es )o Can=t say
!ercentage !ercentage "#$ &5 '( &>
Satisfed Satisf ed with promotional oers ant say 13% )O 17% .- .- 71% 71%
W/at impro8ements 5o "ou suggest to (akme or its pro5u!ts6 /mprovements /mprovements
!ercentage "#$
C5 DD 2C 94
Reduction in in price Aasily availa?le availa?le /mprove promotional promotional activities activities others
mpro!ements reduction in price
easily a+ailale
impro+e pr promo omotional tional acti+ities
others
4% 18% 18 % 50% 22% 22 %
INDUSTRY OVERVIEW &*ST; &*ST; &RESENT < FUTURE TRENDS IN )*=EU& Cosmeti!s 1collo"ially known as makeup or make0up are care s"bstances "sed to enhance
the appearance or odor of the h"man body. They are generally mixt"res of chemical compo"nds, some being derived from nat"ral so"rces, many being synthetic. In the A.%., the ood and 6r"g -dministration 16- which reg"lates cosmetics, defines cosmetics as intended to be applied to the h"man body for cleansing, bea"tifying, promoting attractiveness, or altering the appearance witho"t affecting the bodyJs str"ct"re or f"nctions. This This broad broad defini definitio tion n incl"d incl"des, es, as well, well, any material material intended intended for "se as a component component of of a cosmetic prod"ct. The 6- specifically excl"des soap from this category.
The word cosmetics derives from the 8reek KMNOPQKR KMNOPQKR PSUO 1kosmetikē tekhnē , , meaning techn techni" i"ee of dress dress and orname ornament nt,, from from KMNO KMNOPQK PQKVW VW 1kosmētikos, skil skilled led in orderi ordering ng or arranging and that from KVMNW 1kosmos, meaning amongst others order and ornament -rch -rcheol eologi ogica call evid eviden ence ce of cosme cosmeti tics cs date datess at leas leastt from from ancie ancient nt Xgypt Xgypt and and 8reece 8reece.. -ccording to one so"rce, early ma+or developments incl"de>
0astor oil by oil by ancient Xgypt as a protective balm protective balm..
%kin creams made creams made of beeswax of beeswax,, olive oil, oil, and rosewater described described by omans.
Yaseline and Yaseline and lanolin lanolin in in the nineteenth cent"ry.
ivea 0reme in 0reme in 9G99. The -ncient 8reeks also 8reeks also "sed cosmetics. 0osmetics are mentioned in the $ld Testament Z2 Z2
?ings G>D: where [e'ebel [e'ebel painted painted her eyelidsZapproximately H4: *0Zand the book of Xsther of Xsther describes vario"s bea"ty treatments as well. 0osmetic "se was frowned "pon at many points in &estern history. or example, in the 9Gth cent"ry, ="een Yi Yictoria ctoria p"blicly p"blicly declared make"p improper, v"lgar , and acceptable only for "se by actors $f the ma+or cosmetics firms, the largest is L-?7X, r"n by Anilever and owned by 0X$
/"shkara+ %henai. *ea"ty prod"cts are now widely available from dedicated internet!only retailers, who have more recently been +oined online by established o"tlets, incl"ding the ma+or department stores and traditional bricks and mortar bea"ty retailers. -ltho"gh modern make!"p has been "sed mainly by women traditionally, grad"ally an increasing n"mber of males are "sing cosmetics "s"ally associated to wo men to enhance or cover co ver their own facial feat"res.
&RESENT < FUTURE TRENDS IN )*=EU&
Yal"es in client#s personal lives have changed and that leads to a change in how they cons"me. /eople are spending more time with friends and family, and are foc"sing on what they consider to be the more important things in life. 0ons"ming for the sake of cons"mption is no longer a way of life. 0osmetic cons"mers are demanding more "ality prod"cts with m"ltiple benefits, and what is inside the package will soon become more important than the package itself. -ltho"gh packaging and presentation will always be very important, it will not be eno"gh to hold a client, and it will not be the fo"ndation "pon which to b"ild a b"siness. To predict how and where mineral make"p will grow in the f"t"re, it is important to revisit its history and evol"tion. Traditional make"p was initially "sed to add color accents to the face, and after a while, it was "sed to cover "p imperfections. 7ineral make"p bro"ght the evol"tion to not only color and cover, b"t also to protect and enhance. 7ineral make"p today is almost as m"ch abo"t skin care benefits as it is abo"t the color and coverage. That is not to say that mineral make"p is intended to replace skin care\ it is meant to enhance it. The mineral make"p category m"st contin"e to offer innovative and exciting form"lations in order to lead the cosmetic ind"stry. 0"rrently, most mineral form"las are cosmetic!grade only, b"t the f"t"re co"ld bring dr"g form"las right into color form"las. The bea"ty of this is that the cons"mer is more likely to "se color more consistently than skin care. The more a person "ses prod"cts with beneficial ingredients, the better the res"lts will will be. ollowing are the coming trends for mineral make"p. Bace color formulations orm"lations for the face will do more than +"st correct "neven
skin tone\ they will address text"re iss"es, s"ch as large pores, scars and pitted skin. The coverage will camo"flage witho"t a heavy heav y look or feel. Look for prod"cts that will address iss"es s"ch as discoloration\ not +"st covering it, b"t also reversing its symptoms, whether red 1rosacea and and acne acne, , bl"e bl"e 1dar 1dark k circ circle le and and br"i br"isi sing ng, , brow brown n 1hyp 1hyper er pigm pigment entat atio ion n or whit whitee 1hypo 1hypo pigmentation.
Aye color formulations orm"lations for the eyes will still help make the eyes look larger
and brighter, b"t will also address iss"es s"ch as wrinkles, dark circles, sagging, and thinning
eyelashes and eyebrows. Look for concealers and eye shadows that have powerf"l ingredients incl"ded directly in the color form"la. ew pharmace"tical skin care form"lations are offering sol"tions for longer and darker eyelashes. This will create res"rgence in the sale of mascara and eye liner, as well as other eye color prod"cts in general. In partic"lar, the category of t"b"lar mascara will skyrocket. T"b"lar mascara form"las "se a flexible copolymer instead of traditional oils and waxes and can literally be b"ilt on top of the lashes to add even more length. T"b"lar mascara offers a water!resistant form"la witho"t compromising the lashes\ it is easily removed with +"st warm water and press"re. &omen pay approximately s. 5,::: to C,::: per month for the "pkeep of longer, darker lashes, and they will demand a mascara form"la that will not break them down. $ne weakness of the t"b"lar mascara is that it does not offer the thickening power of traditional oil and wax form"las. Look for a prod"ct that does both in one application. %o far, most options re"ire a two!step process to en+oy both of these benefits. orm"lations for the lips have already already addressed addressed long!weari long!wearing, ng, 2ip color formulati formulations ons orm"lations pl"mping and moist"ri'ing iss"es. The one o ne area that needs to be serio"sly examined is the long! term damage that high!shine lip glosses are doing to the lips. Lip melanomas have increased dramatically d"ring the past few years, and wearing high!shine lip gloss is like wearing a magnifying glass over the lips. To co"nteract this danger of s"n damage, f"t"re form"las sho"ld incl"de protective ingredients, s"ch as 'inc and titani"m dioxide. 0hemical s"nscreens on the lips will raise the heat factor on the lips and exacerbate conditions, s"ch as canker sores. Sun care formulations formulations orm"lations for s"n care will contin"e to improve, and the category
of powder s"nscreen has bro"ght s"n care form"las form"las to a new level. level. The heat factor of chemical s"nscreens is important beca"se heat can exacerbate skin conditions, especially acne and hyper pigmentation.
0lients are more ingredient!savvy than ever and are aware of which ingredients work. They have raised their standards and now m"st have real res"lts from their cosmetic prod"cts. They expect a prod"ct to offer m"ltiple benefits. The cons"mer is still spending money on cosmetic
prod"cts, b"t is looking for val"e\ it is not so m"ch abo"t abo" t price as it is abo"t val"e. If a prod"ct delivers real res"lts and can do do"ble!d"ty, it will be s"ccessf"l. That is why a"thentic mineral make"p form"las will still lead the cosmetic ind"stry as a ma+or force.
)*#OR &(*YERS < T'EIR )*R=ET S'*RE REV(ON
evlon was fo"nded in the midst of the 8reat 6epression, 6epression, 9GD2, by 0harles 0harles evson and his brother [oseph, along with a chemist, 0harles Lachman, who contrib"ted the L in the evlon name. %tartin %tarting g with a single single prod"ct Z a new type of nail enamel Z the three fo"nders fo"nders pooled their reso"rces and developed a "ni"e man"fact"ring process. Asing pigments instead of dyes, evlon developed a variety of new shades of opa"e nail enamel. In 9GDC, evlon started selling the the polis polishe hess in depar departm tment ent stor stores es and and dr"g dr"g stor stores es.. In six six year years, s, the the compa company ny becam becamee a m"ltim m"ltimill illion ion dollar dollar organi organi'at 'ation ion.. *y 9G4:, 9G4:, evlon evlon offere offered d an entire entire manic" manic"re re line, line, and added added lipsti lipstick ck to the collect collection ion.. 6"ring 6"ring &orld &ar II, evlon evlon create created d make"p make"p and relate related d prod"cts for the A.%. -rmy, -rmy, which was honored in 9G44 with the -rmy!avy X -ward for Xxcellence. *y the end of the war, evlon was listed as one of -mericaJs top five cosmetic ho"ses. Xxpanding its capabilities, the company bo"ght Graef & Schmidt , a c"tlery man"fact"rer sei'ed by the government in 9G4D beca"se of 8erman b"siness ties. This ac"isition made it possible for evlon to prod"ce its own manic"re and pedic"re instr"ments, instead of b"ying them from o"tside s"pply so"rces.
*VON
/rod"ctt is a m"lti! m"lti!lev level el marketi marketing ng company company.. The company companyJs Js 0X$ is %heril %herilyn yn %. *8on /rod"c 7c0oy, who was appointed to that position in -pril 2:92.The former 0X$, -ndrea ["ng, became the exec"tive chairman of the board. ["ng was the longest ten"red female 0X$ among ort"ne 5:: companies. ecently, -von has str"ggled with the global sales falling for 5 straight years and orth -merican reven"es falling 9HF in 2:94 -von -von "ses both door!to!door sales people 1-von ladies, primarily and a growing n"mber of men and broch"res to advertise its prod"cts. In addition to its corporate p"rs"its, the -von corporation is involved in philanthropic ca"ses. The *8on Foun5 p"bli licc chari charity ty,, is the the larg larges estt corp corpor orat ate! e!af affi fili liat ated ed Foun5ati ation on or Women, p"b philanthropy for women in the world. -von -von fo"nded the -von o"ndation for &omen with its first grant, a ]4:: scholarship, in 9G55. -von was committed to helping women achieve their highest potential of economic opport"nity and self!f"lfillment by empowering them thro"gh schol scholar arsh ship ipss and and s"pp s"ppor ortt for for othe otherr form formss of ed"ca ed"cati tiona onall and and occ"p occ"pat atio ional nal trai traini ning ng and and advancement. advancement. &omenJs &omenJs empowerment empowerment contin"ed to be the foc"s thro"gh thro"gh the early 9GG:s when -von von began began to increa increase se its its philant philanthro hropy py with with a new emphas emphasis is on breast breast cancer\ cancer\ the -von -von o"ndation still awards scholarships for -von %ales epresentatives and their fa milies, as well as for the children of -von associates. The -von o"ndation is c"rrently foc"sed on two key ca"ses> breast cancer and domestic violence. The o"ndation approved ]DH million in grants in 2:99. In 2:92, -von la"nched its first global f"ndraising scheme. The symbol of this f"ndraising action is the &omenJs &omenJs Xmpowerment *racelet.
V(CC
The g"iding image of YL00 is @Transforming Lives#, which refers to the transforming self, transforming f"t"re and spreading happiness. These are the three pillars, which are YL00#s hallmarks which were established in 9GHG by 7rs. Yandana L"thra. $ne of the above mentioned hallmarks, the fo"ndation has contin"ed to grow as a leading bea"ty brand. YL00, a re!defining wellness b"siness has revol"tioni'ed the bea"ty ind"stry as well as ac"ired the position of largest bea"ty brand and heath in India. YL00 today is the solitary mammoth competitor in the ind"stry with a /an India presence of aro"nd 225 o"tlets in approximately C5 cities, 9 o"tlet in ?atmand", $men, *ahrain and H o"tlets in A-X. The YL00 is a @%"per brand# serving as a s"nshade for its other prod"cts s"ch as YL00 3ealth 3ealth 0are, /ersonal 0are and Instit"te Instit"te of 3ealth, 3ealth, 7anagement 7anagement and *ea"ty. *ea"ty. Its services services offer offer holistic wellness, traditional therapies and marrying a scientific research. 3aving served more than millions of cons"mers since its beginning, YL00, at present, has achieved a start stat"s all over the world. It is India#s most preferred and largest %limming, 3ealth and *ea"ty brand. V(CC > Vision
To provide better "ality life to everyone, by p"rs"ing and adopting socially and ethically significant b"siness practices, which are aimed at shaping "p the confidence of people and making *ea"ty 0are, 3ealth and itness available to each and every ev ery section of the society.
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Thee Lakm Th akme 8ro" 8ro"p p is the wor worldJs ldJs largest owned d largest !osmeti !osmeti!s !s an5 Beaut" Beaut" Compan Compan" " , owne by 3ind"stan Anilever and r"n by 0X$ /"shkara+ %henai. Lakme started as a 9::F s"bsidiary of Tata $il 7ills 1Tomco, 7ills 1Tomco, part of the Tata 8ro"p\ it was named after the rench opera Lakme, which itself is the rench form of Lakshmi, the goddess of wealth, also renowned for her bea"ty. India dian
cosm osmetic
Lakm kmee
was
started
in
9G52, 52,
famo"sly "sly beca"se
t he
then
/rime
7inister 7inister,, [awaharl [awaharlal al ehr", was concerned concerned that Indian women were spending spending precio"s precio"s foreign foreign exchang exchangee on bea"ty bea"ty prod"ct prod"cts, s, and person personall ally y re"es re"ested ted [6 Tata ata to man"fa man"fact" ct"re re them them in India. %imone Tata +oined the company as director, and went on to become its chairman. In 9GGE Tata sold off their stakes in Lakme Lever to 3LL, for s 2:: 0rore 145 million A%], and went on to create Trent and &estside. Xven today, when most m"ltinational bea"ty prod"cts are available in India, Lakme still occ"pies a special place in the hearts of Indian women. Lakme also started its new b"siness in the bea"ty ind"stry by setting "p Lakme *ea"ty %alons all over India. ow 3AL 13ind"stan Anilever Limited has abo"t 99: salons all over India providing bea"ty services. In 2:94 LakmeJ has been ranked as DEth most tr"sted brand in Indi Indiaa by Th Thee *r *ran and d Tr Tr"s "stt e epo port rt.. Th Thee comp company any is the the titl titlee spon sponso sorr for for Lakm Lakmee as ashio hion n &eek 1L& 1L& a bi!ann"al fashion event which takes place in 7"mbai.
)akeup t"pes
0osmetics 0osmetics toe nai naill
incl"de incl"de skin!care skin!care creams creams,, lotions lotions,, powder, perf"mes powder, perf"mes,, lipsticks lipsticks,,
polis pol ish h, eye and
lenses,, hair colors, lenses colors, ha hair ir
facial
make"p,
towelettes,, towelettes
perm perman anen entt
spra sp ray ys and gels gels,, deodorants deodorants,, han hand d
sani sa niti ti'e 'er r ,
fing finger erna naiil
wave waves, s, co colo lore red d baby
and and
cont co ntac actt
prod"c d"cts,
bat bath
oils, b"bble oils, b"bble baths baths,, bath salts salts,, b"tters b"tters and and many other types of prod"cts. - s"bset of cosmetics is called called make! make!"p, "p, which which refers refers prima primarily rily to colore colored d prod"c prod"cts ts intende intended d to alter alter the "ser#s "ser#s appearance. 7any man"fact"rers disting"ish between decorative cosmetics and care cosmetics. 7ost cosmetics are disting"ished by the area of the body intended for application. ^
ace /rim /rimer, er, 0ome 0ome in vario" vario"ss form"la form"lass to s"it indi individ" vid"al al skin skin concerns concerns.. 7ost are are meant to to red"ce the appearance of pore si'e, prolong the wear of make"p, and allow for a smoother application of make"p. -pplied before fo"ndation.
^
Xye /rime /rimer, r, Ased Ased to prolo prolong ng the wear wear of eye shadow shadowss on the eye as well well as inten intensif sify y color color payoff from shadows.
^
Lip gloss gloss,, is a sheer form of lipstick that is in a li"id form.
^
Lipstick , lip glo gloss ss,, li lip p lin liner er , lip pl" pl"mpe mper r , li lip p bal balm m, lip lip condi conditi tione oner, r, lip lip prim primer er,, and and lip lip boosters. Lip stains have a water or gel base and may contain alcohol to help the prod"ct stay on the lips. The idea behind lip stains is to temporarily sat"rate the lips with a dye, rather than covering them with a colored wax. As"ally designed to be waterproof, the prod"ct may come with an applicator br"sh or be applied with a finger.
^
0oncealer , make"p "sed to cover any imperfecti imperfections ons of the skin. 0oncealer is often "sed for any extra coverage needed to cover blemishes, or any other marks. 0oncealer is often thicker and more solid than fo"ndation, and provides longer lasting, and more detailed coverage. %ome form"lations are meant only for the eye e ye or only for the face.
^
o"ndation,, "sed to smooth o"t the face and cover spots or "neven skin coloration. As"ally a o"ndation li"id, cream, or powder, as well as most recently, a light and fl"ffy mo"sse, which provides excelle excellent nt coverag coveragee as well. well. o"ndat o"ndation ion primer can be applie applied d before before or after after to get a smoot sm oothe herr fini finish sh.. %ome %ome prim primer erss come come in powd powder er or li"i li"id d form form to be appli applied ed befo before re
fo"ndation as a base, while other primers come as a spray to be applied after yo" are finished to help make!"p last longer. ^
ace powder , "sed to set the fo"ndation, giving a matte matte finish, finish, and also to conceal small flaws or blemishes.
^
o"ge, bl"sh or bl"sher , cheek coloring "sed to bring o"t the color in the cheeks cheeks and and make the cheekbones cheekbones appear appear more defined. This comes in powder, cream, and li"id forms.
^
0ont 0onto" o"rr powder powder_c _cre ream ams, s, "sed "sed to defin definee the face. face. It can can be "sed "sed to give give the ill"s ill"sio ion n of a slimmer face or to even modify a person#s face shape as desired. As"ally a few shades darker than one#s own skin tone and matte in finish to create the ill"sion of depth. - darker toned fo"ndation_concealer can be "sed instead to conto"r to create a more nat"ral look.
^
3ighli 3ighlight ght,, "sed to to draw atte attenti ntion on to the the high point pointss of the face face as well well as to to add glow glow to the face. It comes in li"id, cream, and powder form. $ften contains shimmer, b"t sometimes does not. - lighter toned fo"ndation_concealer can be "sed instead to highlight create a more nat"ral look.
^
*ron'er , "sed to give skin a bit of color by adding a golden or bron'e glow. 0an come in either matte, semi matte_satin, matte_satin, or shimmer shimmer finishes. 7ascara is 7ascara is "sed to darken, lengthen, and thicken the eyelashes eyelashes.. It is available in nat"ral
colors s"ch as brown and black, b"t also comes in bolder colors s"ch as bl"e, pink, or p"rple. There are many different form"las, incl"ding waterproof waterproof for for those prone to allergies allergies or or s"dden tears. $ften "sed after an eyelash c"rler and and mascara primer. There are now also many mascaras with certain components components to help lashes lashes to grow longer and thicker. thicker. There There are specific minerals minerals and proteins that are combined with the mascara that can benefit, as well as bea"tify. )ISSION$
BEAUTY FOR ALL
or more than a cent"ry, Lakme has devoted itself solely to one b"siness bea"ty. It is a b"siness rich in meaning as it enables all individ"als to express their personality gain self! confidence itself and open "p to others. Beauty is a an!ua!e"
Lakme has set itself the mission of offering men ( women worldwide the best cosmetics innovation in terms of "ality\ efficacy ( safety. It p"rses this goal by infinite diversity of bea"ty needs and desires all over the world. Beauty is uni#ersa"
%ince its creation by a researcher, the gro"p has p"shing back the frontiers of knowledge. Its "ni"e research arms it to contin"ally explore new territories ( invent the prod"cts of the f"t"re, while drawing inspiration from bea"ty rit"als the world over. Beauty is science"
*y drawing on the diversity on its teams, ( the richness ( the complementarily of its brand portfolio, Lakme has made the "niversalisation of bea"ty its pro+ect for the the years to come. Lakme offerin! $eauty for a"
OR+*NIS*TION*( OR+*NIS*TION*( STRUCTURE
&RODUCTS *ND SERVICES OFFERED >
Lakme is world renown and great cosmetic company. - wonderf"l gift hamper for today#s women. C*TE+ORIES
9. Lakm Lakmee lips lipsti tick ck 2. Lakm Lakmee eyel eyelin iner er D. Lakme ka+al 4. Lakme Lakme strawb strawberr erries ies face face wash wash 5. Lakm Lakmee radi radian antt rose rose pow powder der E. Lakm Lakmee nail nail enam enamel el rem remov over er C. Lakm Lakmee sha sham mpoo poo H. Lakme Lakme deep pore pore clea cleansi nsing ng milk milk
)arketing Strateg" or Customer Satisa!tion$ &romotional strategies
/romotional posters. La"nch of bea"ty maga'ines. -dvertisement thro"gh film 0ommercials. •
$pen spa to promote the *rand.
•
%electing rep"ted brand ambassador.
•
%ponsoring and %ocial esponsibility.
•
%tart campaign for safe cosmetics which will be started in ebr"ary 2:9D.
&ositioning strategies$
7ost innovative. 3igh ="ality, -dvanced -dvanced prod"cts prod"c ts ( affordable price. •
$nly cosmetic brand in world that has prod"cts in all the segments 0ons"mer, L"x"ry, /rofessional ( /harmace"ticals.
Distribution strategies$ •
&iden iden distr distrib"t ib"tion ion networ network k by giving giving vario" vario"ss incent incentive ivess to distri distrib"t b"tors ors,, retail retailers ers,, stockiest etc in order, not to lose self space /rod"ct 7odification
•
*y modifying the prod"ct by adding ad ding %/, so that lips can be protected from harmf"l.
FUTURE &(*NS$ •
The company plans to open 99: cosmetics shops o"tlets across the globe next year, the share of Indian market to Lakme t"rnover of e"ro 95.H billion small, b"t is growing.
&ith other emerging economies India#s contrib"tion to global cosmetics amo"nts to E:F. •
Lakme t"rns to cheap prod"cts to sp"r f"t"re growth.
•
Lakme is foc"sing on so"th market ( is planning to open 9: stores in 0hennai ( 3yderabad.
•
The company has drawn "p a fresh strategy, incl"ding aggressive disco"nts ( opening "p of new stores.
•
-t present the company is operating 25 stores in H Indian cities "nder a franchise agreement with retail ma+or "t"re gro"p.
T'EORETIC*( &ERS&ECTIVE
7arketing 7ix refers to the ingredients or the tools or the variable which the marketer mixes
in order to interact with a partic"lar market ;7arketing 7ix is a set of marketing tools that the firm "ses to p"rs"e its marketing
ob+ectives in the target market< 7arketing mix is a term "sed to describe the combination o the fo"r inp"ts which constit"te the core of a company#s marketing system> the prod"ct\ the price str"ct"re\ the promotional activities, and the distrib"tion system.
7arketing mix represents the total marketing programmed of a firm. It involves decisions with regard to prod"ct, price, place and promotion. 7arketing mix is a blending of decisions in the @4 /s#.
Four ma?or ingre5ients o marketing mi@ are$
&ro5u!t
- prod"ct is any good or service that cons"mers want. It is a b"ndle of "tilities or a cl"ster of tangible and intangible attrib"tes. /rod"ct component of the marketing mix involves planning, developing and prod"cing the right type of prod"cts and services. It deals with the dimensions of prod"ct line, d"rability and other "alities. /rod"ct policy of a firm also deals with proper branding, right packaging, appropriate color and other prod"ct feat"res. The total prod"ct sho"ld be s"ch that it really satisfies the needs of the target market. In short, prod"ct mix re"ires decisions with regard to •
%i'e and weight of the prod"ct.
•
="ality of the prod"ct.
•
6esign of the prod"ct.
•
Yol"me of o"tp"t.
•
*rand name.
•
/ackaging. /rod"ct range.
&ri!e-
/rice is an important factor affecting the s"ccess of a firm. /ricing decisions and policies have a direct infl"ence on sales vol"me and profits of b"siness. /rice is, therefore, an important element in the marketing mix. In practice, it is very diffic"lt to fix the right price. ight price can be determined thro"gh pricing research and test marketing. 6emand, cost, competition, govt. reg"lation, etc. are the vital factors that m"st be taken into consideration in the determination of the price. /rice mix involves decisions regarding base price, disco"nts, allowances, fright payment, credit, etc.
&romotion-
/romotion component o the marketing mix is concerned with bringing prod"cts to the knowledge of c"stomers and pers"ading them to b"y. It is the f"nction of informing and infl"encing the c"stomer. /romotion mix involves decisions with respect to advertising, personal selling and sales promotion. -ll these techni"es help to promote the sale of prod"cts and to fight the competition in the market. o single method of promotion is effective alone and, therefore, a promotional campaign "s"ally involves a combination of two or more promotional methods. 8rowing competition and widening market have made sim"ltaneo"s "se of more than one promotional method all the more necessary. 0ombination of two or more methods in a single promotional campaign re"ires an effective blending of promotional inp"ts so as to optimi'e the expendit"re on each.
&la!e ADistribution
This element of marketing mix involves a choice of the place where the prod"cts are to be displayed and made available to the c"stomers. It is concerned with decisions relating to the wholesale and retail o"tlets or channels of distrib"tion. The ob+ective of selecting and managing trade channels is to provide the prod"cts to the right c"stomer at the right time and place on a contin"ing basis. In deciding where and thro"gh whom to sell, management sho"ld consider where the c"stomer wants the goods to be available. - man"fact"rer may distrib"te his goods thro"gh his own o"tlets or he may employ employ wholesa wholesaler lerss and retail retailers ers for this this p"rpos p"rpose. e. Irresp Irrespect ective ive of the channel channel "sed "sed managem management ent m"s m"stt contin contin"o"s "o"sly ly eval"at eval"atee channel channel perfor performan mance ce and make changes changes whenever performance falls short of expected targets. In addition, management m"st develop a physical distrib"tion system for handling and transporting the prod"cts thro"gh the selected channels. In the determination of distrib"tion mix or marketing logistics, a firm has to make decision with regard to the mode of transporting of goods to middle! men, "se of company vehicles or both.
FINDIN+S < *N*(YSIS *N*(YSIS +ENER*( FINDIN+S$
Lakme is the global leader in cosmetics, with 25 global brands. It has five key areas of expertise! hair care, skincare, make!"p and fragrances. This company has over ED,D5H employees workin working g c"rren c"rrently tly.. -nd -nd it sells sells its prod"c prod"cts ts aro"nd aro"nd in 9D:co"n 9D:co"ntri tries es all over over the world. world. Its consolidated sales are recorded in over 9C,:ED in millionaires .The company man"fact"re well above 4.C billion "nits ann"ally. It also has investments above 5E: million e"ro s in (6 investments$n the analysis and interpretat interpretation ion of research research cond"cted. cond"cted. It was fo"nd that certain certain findings findings are very critical and are directly or indirectly affecting the Lakme prod"cts.
There is a good awareness of o f Lakme cosmetics prod"cts among the cons"mers.
The "ality of Lakme is very ver y satisfactory viewed by the ma+ority of c"stomers.
There is a neck to neck competition between L#$real, L#$real, $riflame, YL00, evlon etc
C5F of the c"stomers are f"lly satisfied with existing "ality &hile 25F are partly satisfied. 7a+ority of women are "sing Lakme prod"cts. prod"c ts. 0ons"mers prefer the Lakme prod"cts beca"se it provides goo5 ualit"; goo5 results , goo5 ser8i!es; et! an5 it all ulills t/eir nee5s-
CONC(USION The competition is fierce in the m"lti!channel retailing environment. en vironment. - b"siness that hopes to grow grow and prospe prosperr re"ir re"ires es a compreh comprehens ensive ive logist logistics ics and transp transport ortati ation on strate strategy gy,, exec"te exec"ted d flawlessly. The dilemma for management lies in trying to meet cons"mers# growing expectations while keeping costs in check. In response to these iss"es of m"lti!channel growth, more and more carriers are branching o"t to offer logistics services. Those b"sinesses that work to b"ild s"ccessf"l relationships with logistics and transportation vendors will find that their efforts lead to improved c"stomer service and profitability. It#s not an easy task, b"t it is certainly one that#s achievable with the tools and technology available today.
Lakme has been fo"nd to be the most preferred brand it meet the promise made to the c"stom c"stomer er.. 0ons"m 0ons"mer er relies relies on the Lakme prod"c prod"cts ts beca"se beca"se it provid provides es goo5 ualit"; goo5 results; goo5 ser8i!es; et!- So t/at !ustomer ma" preer (akme pro5u!ts-
&hile cond"cting s"rvey I fo"nd that the c"stomer may like the showrooms of the Lakme prod"cts. They still likes the easily availability of vario"s prod"cts. %o the Lakme prod"cts c"stomers are f"lly satisfied to "se the prod"cts.
SU++ESTIONS
The s"pply m"st be properly f"lfilled so the need n eed of the c"stomer satisfies.
Target Target selling for the dealer _ agent can increase the sales of company.
The company m"st concern to the satisfaction of c"stomer demand.
The company and dealer sho"ld develop its marketing information system "p to date information of competitorJs policy, price and prod"ct, target market, so the company can know its strengths and weaknesses.
*rand preference st"dies reveal that comparatively there is more preference for Lakme among among cons"m cons"mers ers so in order order to attrac attractt and mainta maintain in his cons"m cons"mers ers.. -dver -dvertis tising ing programs sho"ld be intensified.
/erception of the cons"mer is changing rapidly. They seek new benefits and val"es in their preferred brand. 7oreover, cons"mer likes to have brand at low rate. %o Lakme sho"ld insert it so as to meet the changing preference of the cons"mer.
Lakme is the market leader in make!"p prod"cts. 7ost of the cons"mers are brand loyal. They sho"ld be treated as intangible in tangible assets. Lakme sho"ld ever strive to satisfy them.
"lfill the cons"mer needs.
REFERENCES
www.google.com 7ake in India> 9: Indian brands at par with foreign brands. brands . India Today. 2: ebr"ary 2:95. etrieved 95 ["ly 2:95. %imone Tata. Tata. The %"nday Indian. etrieved 95 ["ly 2:95. IndiaJs 7ost Tr"sted *rands 2:94. 2:94. Tr"st esearch -dvisory.
ashion ashi on b"sine b"siness ss poise poised d for dramatic growth> 60I. 60I. Times of India. India. 2 -"g"st 2::2. etrieved 9 -pril 2:92. www.economictimes.com
BIB(IO+R*&'Y
?otler /hilip , ?eller Lane ?evin marketing , prentice hall of India , 2::5
%./ 8"pta , *"siness %tatistics, 94th edition , 2::5
*"siness %tatistics , [. ? %harma , edition 2::5
Tata 7c graw!3ill Xdtion , *"siness research methods , 6onald .0ooper , /amela %. %chindler.
