LaBelleza’que’se’bebe … · beauty&go ’ labelleza’que’se’bebe egadeconsultinggroup...
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BEAUTY & GO La Belleza que se bebe EGADE CONSULTING GROUP MARLENE KELLENBERGER DANIEL VALENZUELA FEDERICO SALAZAR ALEX SANCHEZ
Transcript of LaBelleza’que’se’bebe … · beauty&go ’ labelleza’que’se’bebe egadeconsultinggroup...
BEAUTY & GO La Belleza que se bebe
EGADE CONSULTING GROUP
MARLENE KELLENBERGER
DANIEL VALENZUELA
FEDERICO SALAZAR
ALEX SANCHEZ
Agenda q Problem Statement
q Analysis
q Recommenda4on: q Priori4za4on q Implementa4on
q Financials
q Q&A
Problem Statement
q How we should priori4ze markets and distribu4on channels to maximize the poten4al of the product and the JV.
q What product, pricing and marke4ng/communica4ons strategies would be op4mal for each of the markets/channels you think we should pursue?
Analysis-‐ Forces of Porter Power of Buyer-‐MID • New Market • Big Poten4al Market Globally
Power of Supplier-‐Low • Ver4cal Integra4on
Barriers of Entry-‐ Mid • Patent • Big Established Big Player
Threats of Subs4tutes-‐Mid • Beauty Products • Vitamins, Nutri4onal supplement
Rivalry
Analysis-‐ SWOT Strengths • First mover • Patent of MacroAn4oxidants • Dynamic segment • Strong and complementary JV partners • Cold press method
Opportuni/es • Up and coming market • High demand for similar offerings • Not too many compe4tors
Weaknesses • Sales channels not clearly iden4fied • Low margins in retail
Threats • Compe4tors-‐ strong poten4al second movers • Economic fluctua4ons
Customer Archetype JENNIFER
q They live in ci4es
q They are young q Informed – skep4c, connected (online)
q Trendy
q Fashionable q Willing to try new products
q Project good lifestyle q Wants to look good, health conscience
Market PrioriSzaSon
1. Hemisferio Norte
• Asia • North America
• Europe
2. Emergentes
• Middle East • La4n America
JusSficaSon – Hemisferio Norte
q Take advantage of first movers
q Biggest customer base
q High purchasing power
Asia
• Health and beauty oriented
• Successful launch in Vietnam
• Poten4al MALE segment in Japan
• Aspira4onal
North America
• Purchasing role model in Americas
• High number of poten4al buyers
Europe
• Faster response to market
• Company brand recogni4on
• Healthy lifestyle
JusSficaSon – Emergentes
Middle East
• High purchasing power (Dubai, Emirates, Qatar, Oman)
La4n America
• Image seekers
• North America followers
ImplementaSon – Global Strategy q Build trust: Make informa4on about claims available § QR code (in point of sale and packaging) § Strong social media campaigns
q “Free” Social Media market § Samples to viral marke4ng
q Double down on R&D about the benefits of the products
ImplementaSon – Hemisferio Norte -‐ ASIA
Product
• Tradi4onal
Channel
• High end supermarkets and stores (brand recogni4on)
• Push for online sales (Alibaba)
• Beauty / cosme4c stores
• spas
Pricing and marke4ng
• European image • Aspira4onal • Healthy • Not gender oriented
ImplementaSon – Hemisferio Norte – North America
Product
• Tradi4onal
Channel
• High end supermarkets and stores (Trader joes, whole foods)
• Partner with Starbucks
• Health clubs (gyms, spas)
• Online (Amazon)
Pricing and marke4ng
• Offer subscrip4on model
• Healthy • Middle to high class
ImplementaSon – Hemisferio Norte – Europe
Product
• Tradi4onal
Channel
• Replicate model of Corte Ingles (like Galerie Lafayede)
• Pharmacies
Pricing and marke4ng
• Offer subscrip4on model
• Healthy • Middle class to high
ImplementaSon – Emerging– Middle East
Product
• Tradi4onal • Upgraded (Test)
Channel
• High end shopping malls
• Spas • Beauty centers
Pricing and marke4ng
• Willing to pay more
• Quality/Luxury
ImplementaSon – Emerging– LaSn American
Product
• Tradi4onal
Channel
• High end supermarket
• Spas • Beauty centers • Gyms • Country clubs
Pricing and marke4ng
• Aspira4onal • Follower of NA
ImplementaSon Timeline
Short Mid LongYear 1 Year 2-‐4 Year 5-‐After
AsiaNorth AmericaEuropeMiddle EastLatin America
Financial ProjecSons
0%5%
10%15%20%25%30%35%40%45%
2016 2017 2018 2019 2020
% of Sales by Category
Retail Health and Beauty International Dist
On Line Linear (Retail) Linear (On Line)
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40%
2016 2017 2018 2019 2020
% Margin by Category
Retail Health and Beauty International Dist
On Line Linear (Retail) Linear (On Line)
0%
10%
20%
30%
40%
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60%
2016 2017 2018 2019 2020
% of Cost of good sold by Category
Retail Health and Beauty International Dist
On Line Linear (Retail) Linear (On Line)
Accelerate On Line Sales!!
Financial ProjecSons
0%
5%
10%
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25%
2016 2017 2018 2019 2020
Net Income as % of Sales
7.9%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
1 2 3 4 5
Online Sales vs Budget Allocated
Web Page & Other Budget Growth of Online Sales
0%
10%
20%
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1 2 3 4 5
Retail Sales vs Budget Allocated
PR & Promotion and Events Growth of Retail Sales
Divert Budget from PR to Online Marke4ng
Warnings Skin Products Pyramid model i.e. Nerium op/mera ◦ Trending business model ◦ Loyal customers for a period of 4me ◦ Looked as a 2nd income ◦ Big scale ◦ Although not “Beauty from within” directly, grabs a share of the market
Pepsico ◦ If proven successful will probably regret not entering the JV ◦ Shared know how for several months with Natura Bisse ◦ Has the size and connec4ons to approach a Skin Product company itself ◦ Distribu4on Channels already established ◦ Presence on several points of sale
Followers will show up soon
Recommend Daiku to Invest
q Macro An4oxidants patents owned by the JV
q Know how on both, Cold Press Juices and Skin Care
q AMC and Natura Bisse are very Solid and Successful companies
q Have Global Presence already
q Distribu4on Channels for current products already established
q Nina Storms connec4ons on Internet world can compliment and explode On Line business model for Beauty & Go
Q&A
