Flare Fragrance Inc Essay

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Executive Summary This marketing plan isprepared for the case study of Flare Fragrance Inc which operates in the U.S women fragrance market, currently its growth to maturity stage.External analysis has identified political, economical, social, technological and naturalfactors affecting the fragrance market. Most significant being declining U.S fragrance market and trend of tradingof luxury brands to mass alternative, post 2008 financial crisis.Industry analysis identified the U.S fragrance industryto be low in attractiveness. Critical success factors includes originality and innovation, prestige image, meaningful consumer experience, good distribution network and, relationship with retailers. Flare’s portfolio consist of fragrances…show more content…
Thus, not observed as a trend in the life cycle. It can be concluded that market is at the growth-maturity stage. 3.0. Situation Analysis 4.1. External Environment (External Analysis) 4.2.1. Macro environment (PESTN analysis) POLITICAL AND LEGAL | * To avoid replication or counterfeit, fragrance formulas remain known only to the creators and are protected under the intellectual property laws (IFRA, n.d.). | ECONOMIC | * Economic crisis resulting in overall decline of sales in the fragrances market. * Slow economic growth rate and reduced purchasing power of consumers. * Due to economic pressure, consumers seem to be trading down from luxury brands to mass alternatives. * Exchange rates and fluctuations (declining US dollar), making it more risky and expensive to expand to the overseas market. | SOCIAL AND CULTURE | * Increasing preference for lower-priced scented products (body washes, sprays) or skin care products as to fragrances. * Rising popularity and trend of celebrity and designer fragrances. * Increasing consumers seeking for environmentally safer or ‘green’ products. | TECHNOLOGY | * Improving technical knowledge on identification, purification, and chemical synthesis of scent, allows natural aromas to be re-created. Advantage of synthetic materials is that purity can be strictly controlled and contaminants-free (IFRA, n.d.). | NATURAL | * Some fragrances today still use

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