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- 1. Shana WilliamsFinal ProjectSteve Norman & Ann ONale Product and Artist Management Due August 30th, 2009
- 2. B.K. Perfume By Beyonce Knowles
- 3. Business Concept & ProjectDenition Appropriateness of Beyonce and why Beyonce and her product is the best choice Beyonce Knowles reigns over the entertainment industry in many forms. She is a Singer, Actress, Model, and an Entrepreneur. Also one of her greatest qualities is being a Spokes Person for many different products. Beyonce Knowles started off as lead singer of the R&B girl group Destinys Child and than broke away from that to peruse a successful solo career upon which she has received 3 number one albums and (http://images.eonline.com/ eol_images/Proles/ 5 grammy awards for her efforts. (http://www.answers.com/topic/beyonc-knowles) With all of this 20060912/244.knowles.beyonce. success under her belt, along with movie roles in films like Dream Girls and 091906.jpg) Cadillac Records, one can clearly see why she is a house hold name. (http:// www.answers.com/topic/beyonc-knowles) Beyonce is admired by the generation of today, inspired to look like, sound like, and act like everything that embodies her. When you have a star like that pushing your product you cannot fail.
- 4. Business Concept & Project Denition Beyonce has represented a wide range of products from, L oreal products, Pepsi, Tommy Hilger, Verizon, Armani, and her own House of Deron line. (http:// www.answers.com/topic/beyonc-knowles) Mostly any product that can help a fan look like or live thestylish lifestyle of Beyonce is being endorsed by Beyonce. For example, lets say you want beautiful blonde hair and make up just like Beyonce, than of course you would use the products created by L oreal,which she says she uses. Or lets say you want a fragrance or something to drink but theres too many competitors to chose from, of course the product that Beyonce sells will help you make the choice. (http://www.answers.com/ topic/beyonc-knowles) ( http://www.youtube.com/ watch? v=LRf9Spt5toI)
- 5. Business Concept & ProjectDenition My choice of artist related products and the appropriateness of the perfume to Beyonce and the assignment (http://www.fashion.hr/img/ The perfume business is an excellent resourcerepository/2007/05/medium/ beyonce.jpg) to invest in. Since last year alone the business has gone up 2 percent in the United States. (Horyn,2005) Choosing a celebrity to represent your product is also a good idea because celebrity perfumes represent more than a quarter of the money made from perfume sales today.(Horyn,2005)
- 6. Size & Nature of the Market (http://www.doctorhit.ro/wp-content/uploads/ Target Market beyonceonline.com/content/ wallpaper/ Primary: Ages 16 to3Beyonce800x600.jpg) 28, are our main demographic and target market, they are also Beyonces ,main fan base and will be the first to buy our product. (http:// www.answers.com/topic/beyonc- knowles)Secondary: Ages 29 to 45, probably the generation which can afford the product the most, and while not their favorite artist, they are still Beyonces fans. and are the generation to buy perfume, more likely. (Horyn,2005)
- 7. Size & Nature Product Versioningof the Market The world of Perfumes and Colognes is big and has a design specically tailored to t the style of each type of customer. Most perfumes for women We are Global Marketscome in the scents of owers, fruits, and sweets, with unique packaging from the bottle to the box hoping to market that will t the brand which it belongs to. everywhere (www.nytimes.com/2005/06/30/fashion/from We do plan to go international with thisthursdaystyles/30PERFUME.html? commercial product especially if Beyonce goes on to the pagewanted=2&ei=5090&en=dd6d1b6d6cc0df7 tour and it is international. International packaging of b&ex=1277784000&partner=rssuserland&emc=r Beyonces sales are very big for the perfumess) albums and industry which is a good thing. Sales tour. from Eastern Europe and Latin America account for most of the revenue generated for companies like Chanel, Estee Lauder, and Dior. Marketing (www.thenational.ae/article/20080708/ program BUSINESS/ 301852227/1055&Profile=1055) This isPositioning because perfumes originate from The Positioning is counties like these not only being a part going to be High of their culture but their background.end, not just (www.thenational.ae/article/20080708/ because of the BUSINESSprice but because Beyonce is a brand 301852227/1055&Profile=1055) This is that can sell at any also a good idea to go internationaldollar amount because Beyonces fan base is big outside the United States. Beyonce has had number one hits in Norway,(http://www.rap-wallpapers.com/data/media/2/ Sweden, South Africa, Korea, Brazil, beyonce_wallpapers_23.jpg) and Denmark.(www.eurweb.com/story/ eur49317.cfm)
- 8. Competition Rihanna (http:// www.morgenutgaven.co m/innhold/A popular Artist who has always been as arihanna_umbrella_tega threat to Beyonces career has been Rihanna. nsara_lat.jpg) Growing up in the R&B and Pop industry, just as Beyonce did, lead the way for numerous deals with companies such as J.C. Pennys, Cover Girl, the fragrance Clinque Happy with Clinque, and a deal with Gucci as well(http:// www.answers.com/topicrihanna) CiaraProbably the most similar artist to Beyonce, (http:// stylistically out there today, anything Beyonceimages.starpulse.com/ can endorse, Ciara can to. It does not help Photos/Previews/Ciara-lf03.jpg) Beyonce that Ciara has just signed a contract with Wilemmena Modeling agency, the same agency which got the LOreal and Armani deals for Beyonce.(http://music.lovetoknow.com/ Ciara_Biography) Mariah Carey Mariah Carey is a still a bigger name than Beyonce, but just not a bigger brand. She just released her own perfume entitled M by Mariah Carey by Elizabeth Arden and also has (http:// a deal with Pepsi as well as motorola. Pepsi www.superphotospace.com/ images/ pitched the song Time of Your life during hermariah_carey242_471f270442aca. Adventures of Mimi tour.(http://www.musicsnews.com/jpg) articles/677/1/Mariah-Carey-to-develop-fragrance-line)
- 9. Some huge associated risk with celebrities are their celebrity status.If you get into an endorsement deal with a Risk(http://d.yimg.com/a/p/ap/20090825/ celebrity, the biggest thing is making sure that capt.f285c8a87c64471c93fc600104509d1b.people_chris_brown_cacp125.jpg? they keep up the image that represents the x=213&y=309&xc=1&yc=1&wc=282&hc=409&q=85&sig=6VX_ofQfurokSVMH0bu5 brand. Look at how bad Curious by Britney8A--) Spears did during her break down period or how quick Doublement Gum was to drop(http://fashaddix.com/wp- Chris Brown after his spat with Rihanna. (http:// content/uploads/2008/07/ www.mtv.com/news/articles/1604613/20090209/chris-brown-doubles-his-pleasure.jpg) A major risk is alway brown__chris__18_.jhtml) going to be that the celebrity can tarnish their status, thus tarnishing the reputation of your product.Another risk which keeps occurring is the target audiences of celebrities today do not match the target audience of those buying perfumes. These perfumes are marketed to the demographic of the artists fans which in this (http://www.digimetroonline.com/ case could be any where from age 8 to 38 butblog/wp-content/uploads/2007/02/ theres a huge focus on ages 16 to 28, which is britney-shaved-head-1.jpg) not the perfume generation. Are biggest task may being getting a generation stuck on electronics like Ipods, to buy fragrances. (http://(http:// www.justimported. com/shop/images/britneycara.jpg)
- 10. Sales & Marketing Strategy Marketing PlanLong-term objectives To use product which is the new fragrance called "B.K. Perfume By Beyonce". This will be the first in a series of fragrances to be released by the singer in the near future. Problems/opportunities Potential Problems could include anything from a problem with the pricing of the perfume coordinating with the celebrity and their demographic age groups standard income to celebrity actions in the media ruining the reputation of the product.Opportunities can include the chance to build the brand of Beyonce or the opportunity to capitalize off of her tour in order to spread the product throughout her fan base and the entire United States as well as other counties in the event of an international tour. Sales forecasts/goalsWe plan to sell the product at 75$ per bottle, though the average fragrance endorsed by a celebrity is always from 40 to 55 dollars. (Horyn,2005) But we are the brand of Beyonce so we want to be at the higher end, so we had to pull up the price to match the name. We are expecting to sell 240,000 bottles at the end of the year, which will amount to 18 million in-terms of sales, which seems reachable when you look at how Curious by Britney Spears Sold 36 million in its first 4 months. (Horyn,2005)(http://www.funonit.com/foto/gnocche/beyonce_knowles/beyonce_knowles_219.jpg)
- 11. Artist & Sales Management Team Key Team Members President- Shana Williams Senior VP- job is to make certain that B.K. by Beyonce not only constantly represents the brand name Beyonce but is consistent and trying to let young women everywhere know that this fragrance fits them.Business Unit Manager- To make sure that we a provided with a proper budget to launch the new products which will be our start in the U.S. as well as goals and plans which will help us stay in trend.Product Development- Taking feedback from surveys and target audiences and changing the product to better fit our main customer.Market Research- Comparing and Contrasting how our product did compared to other similar products, what were perfume sales like in total over the past year, Who improved, and what are they doing that we are not?Marketing and communications- Coming up with new marketing strategies or more effective ways to launch the product, making sure that those plans get carried out. Making sure concert and tour events which are for our perfume promotion run smoothly.Sales- Driving toward sales, showing the customer that your perfume is the one for them. Not giving up at letting them know that the price is totally worth it. Finding new ways and opportunities to sell to the customer.Operations- Operating customer support and getting feedback, taking complaints or suggestions.Corporate Relations- Coming up with new business strategies on how to better promote the product, as well as the artist. Always finding new ways to develop the product along with the artist music.Personnel- The product manger themselves, who knows everything about the product and the artist as well.Quality Assurance- testing the perfume quality and the safety of it, everything from the shape of the bottle to the formula of the perfume used.
- 12. The way that we ensure that the Growth & Milestonesproject is in on time and onbudget is by having the actual & Projections perfume ready within weeks ofstarting up and releasing theproduct and promotion accordingto tour date. What we have is apadded budget for the cost ofgoods, payroll, touring,promotion, advertising, anddistribution in case we go overthe plan. //graphics8.nytimes.com/images/blogs/themoment/posts/ For the rst 3 years we intend to0216moneyfan.jpg)make over 54 million dollars. Wewant to make 18 million the rstyear and 36 million the secondyear to keep everything steady.
- 13. We will be asking for 10 million dollars Graphwhich is 4 million fortouring and January February March April May June July August Septemb October Novembe Decembeerrr promotions and the B.K. 5000001000000 12500002500000 5000000 7500000 10000000 12500000 15000000 17500000 18000000 20000000 Perfume Net Salesother 4 million for the pay back10000000 point production of the product as well asInvestor return distributing it. The20000000other 2 million is for apad incase we go over15000000budget withadvertising and10000000 shooting the promosand videos.5000000We will give back the 10 million at the end0 JanuaryFebruaryMarchAprilMayJune July Augustof July of the rst year.September October November December B.K. Perfume Net Sales pay back point
- 14. Product & Prototype (http://p.dada.net/cspv/93-38-70-00-00- ImagePreview- JPEG200x200/ beyonc/beyonce-bee-logo.jpg) The product is going to be in an hourglass shaped bottle(http:// with a gold tint and the fragrance is going to have a gold thumbs.dreamstime.co m/ potion like tint, with sand at the bottom, which the spraythumb_4/1097610739S0 F2zR.jpg) bottle will not pick up. the handle is going to have a plastic Bee on it and inside the bottle with the sand as that is one of Beyonces signature trademarks. As a result of the Bee the scent will smell like honey and be called B.K.There will also be little Bs as in the letter B oating around in the sand.
- 15. statement To the female youth market, Beyonces B.K. is the fragrance that will keep anyone smelling beautiful and sexy because of its sweet honey scent and curvaceous design. (http://www.actumix.com/wp-content/uploads/ 2008/04/2Beyonce1024x768.jpg)
- 16. Pricing strategyDescription: We will be pricing the product at 75 dollars per bottle. If sales start of bad in the first quarter than we are prepared to go down to 65 dollars per bottle.Objective: We want to find out what does not work, the artist, the price or the perfume itself. We believe fans will by the product at any price but we are also thinking about the youth and the economy we live in and what is reasonable.Advertising strategyMessage and Media strategy: A music video and Commercial rolled into one which will be the launch of our advertising, The fragrance should coincide with the launch of her new album which should also be called B.K.Everyone can relate thorough song, so her new single will remind people of the perfume as well as promote it at the same time.We also would like to tour in order to promote the project, selling the perfume will on tour recuperating as much as 3 million in sales as promoting the perfume as tour merchandise.Cost: 45 thousand, we shoot outside in Louisiana using the swamp as a setting and product placing the perfume in the grass, as she dances and sings around it.Rationale: People would enjoy a music video that has our product in it no matter what country they are in, music is universal. We will run the same advertisement everywhere but the voice over talking about the product will be in the language of the country the commercial is being shown in. (http://www.rap-wallpapers.com/data/media/2/beyonce_wallpapers_14.jpg)
- 17. Financial (http://www.beyoncenow.com/picture/appearances/ Promotion strategy beyonce_wma_performance6.jpg) Description: Promotion along with the artist new album that is coming out. also a lot of big posters in shopping centers as well as commercials and of course the artist mentioning our product in movie or in songs. Contest for Beyonce tickets when a customer purchases the perfume, may work as a good strategy.Objective: to make the name Beyonce and B.K. go hand in hand so customers want the perfume as much as they want to be her. The eye catching promotion is something that they will not be able to escape.Field sales plan Description: Free samples and testing for all to try, maybe we send them out in the mail for free, maybe you get them in her album or if you go to a Beyonce event. Also we set up booths in certain malls or strips, just to get word out about the product.Distribution strategy Strategy: Start selling at department stores like Macys or J.C. Pennys. Selling at a place like this is the best option for getting the product to to young women customers, we should also sell the product at music stores like FYE where it can be promoted with the album. Also a good idea may be to distribute samples in the packaging of Beyonces albums and to distribute them while she is on her U.S. tour.Product support Description: product cannot be returned because of disapproval of scent but we are open to customer suggestions as we are trying to figure out what are the pros and cons of the product. We will however list ingredients inside the packaging incase of a customer allergy, for warning and safety purposes.
- 18. Closing Statement In the end I can say that this would be an incredibly smart investment to make. One last note to leave with is that Beyonce is the richest star under 30, how did she do it you may wonder? By making 20 million in deals such as these. ( http://www.aol.in/internationalmusic-story/How-Beyonce-Knowles-became-the-Richest-Star-under-30/441007) Ponder that thought as you make your discussion
- 19. Works Cited 1.) Beyonce Unveils Overseas Tour Schedule: Month-long trek to begin April in Zagreb. (December 12th, 2008) Retrieved on August 23rd 2009 from http://www.eurweb.com/story/eur49317.cfm2.) Beyonce Biography Retrieved on August 23rd 2009 from http://www.answers.com/topic/beyonc-knowles3.)Beyonce Pepsi Retrieved on August 23rd 2009 from http://www.youtube.com/watch?v=R2gkATAq_us4.)Ciara Biogrpahy Retrieved on August 23rd 2009 from http://music.lovetoknow.com/Ciara_Biography 5.) Grochels, Linda. The Project Managers HandBook third addition. 2006. McGraw-Hill. New York, New York. 6.) Horyn, Cathy. June 30th 2005.(The Sweet Smell of Celebrity) www.NewYorkTimes.com Retrieved on June 24th 20097.) Montgomery, James. Febuary 9th 2009. http://www.mtv.com/news/articles/1604613/20090209/brown__chris__18_.jhtml) Retrieved on June 24th 20098.)NEW! 2008 Feria Hair Color Commercial by L'OREAL (Solange & Beyonce) Retrieved on August 23rd 2009 from http://www.youtube.com/watch?v=LRf9Spt5toI 9.)Salama, Vivian Scents and Sensibility (July,8th 2008) Retrieved on August 23rd 2009 from http://www.thenational.ae/article/20080708/BUSINESS/ 301852227/1055&Profile=105510.)Rihanna Biography Retrieved on August 23rd 2009 from http://www.answers.com/topicrihanna11.)Tommy Hilfiger True Star - BeyoncAugust 23rd 2009 from http://www.youtube.com/watch?v=8xHtAUD027A&feature=PlayList&p=9BC002F2BB5D0D68&playnext=1&playnext_from=PL&index=2812.) Tsaqarakis, Giannis Mairah Carey to Develop Fragrance Line (April 8th 2006) Retrieved on August 23rd 2009 from http://www.musicsnews.com/articles/677/1/Mariah-Carey- to-develop-fragrance-line
- 20. 13.) Retrieved on August 23rd 2009 from http://images.eonline.com/eol_images/Profiles/20060912/244.knowles.beyonce.091906.jpg14.) Retrieved on August 23rd 2009 from http://www.fashion.hr/img/repository/2007/05/medium/beyonce.jpg15.)Retrieved on August 23rd 2009 from http://www.doctorhit.ro/wp-content/uploads/beyonceonline.com/content/wallpaper/3Beyonce800x600.jpg 16.) Retrieved on August 23rd 2009 fromhttp://www.rap-wallpapers.com/data/media/2/beyonce_wallpapers_23.jpg 17.) Retrieved on August 23rd 2009 from http://www.morgenutgaven.com/innhold/rihanna_umbrella_tegansara_lat.jpg 18.) Retrieved on August 23rd 2009 from http://images.starpulse.com/Photos/Previews/Ciara-lf03.jpg19.) Retrieved on August 23rd 2009 from http://www.superphotospace.com/images/mariah_carey242_471f270442aca.jpg20.) Retrieved on August 23rd 2009 from http://d.yimg.com/a/p/ap/20090825/capt.f285c8a87c64471c93fc600104509d1b.people_chris_brown_cacp125.jpg? x=213&y=309&xc=1&yc=1&wc=282&hc=409&q=85&sig=6VX_ofQfurokSVMH0bu58A--21.) Retrieved on August 23rd 2009 from http://fashaddix.com/wp-content/uploads/2008/07/chris-brown-doubles-his-pleasure.jpg 22.) Retrieved on August 23rd 2009 from http://www.digimetroonline.com/blog/wp-content/uploads/2007/02/britney-shaved-head-1.jpg23.) Retrieved on August 23rd 2009 from http://www.justimported.com/shop/images/britneycara.jpg24.) Retrieved on August 23rd 2009 from http://www.funonit.com/foto/gnocche/beyonce_knowles/beyonce_knowles_219.jpg 25.) Retrieved on August 23rd 2009 from http://graphics8.nytimes.com/images/blogs/themoment/posts/0216moneyfan.jpg26.) Retrieved on August 23rd 2009 from http://p.dada.net/cspv/93-38-70-00-00-ImagePreview-JPEG200x200/beyonc/beyonce-bee-logo.jpg 27.) Retrieved on August 23rd 2009 from http://thumbs.dreamstime.com/thumb_4/1097610739S0F2zR.jpg 28.) Retrieved on August 23rd 2009 from http://www.actumix.com/wp-content/uploads/2008/04/2Beyonce1024x768.jpg 29.) Retrieved on August 23rd 2009 from http://www.rap-wallpapers.com/data/media/2/beyonce_wallpapers_14.jpg30.) Retrieved on August 23rd 2009 from http://www.beyoncenow.com/picture/appearances/beyonce_wma_performance6.jpg31.) How Beyonce Became The richest star under 30 Retrieved on August 23rd from http://www.aol.in/internationalmusic-story/How-Beyonce-Knowles-became-the-Richest-Star-under-30/441007