Sephora Case Study

1. Assuming she receives the additional funding, how should Bornstein allocate her budget across the various digital categories? Given that the additional funding requested must be shifted from Sephora’s other marketing spending, where would you propose to cut? Why?

One of the key roles of social media from a marketing perspective is the development of a client based platform. It is becoming an increasingly important part of any business’s marketing. Businesses can utilize existing online platforms to build networks of current and potential clients. By being active online allows businesses to connect with their customers in innovative ways to become a trusted source of information and convey the passion they have for their industry.

Your site needs to perpetuate itself. The more supporters you have, the faster word spreads about your site. Social media marketing is an excellent way to get people to come into your site to take a look at what you have to offer. You will grow when there are a group of loyal visitors ready to always act upon what you have to offer.

For years, beauty gurus have been arguing over which makeup store could be the best: Ulta or Sephora. Comparing everything to the brands they sell, what they do not sell, their in-store experience , and reward system. Both Ulta and Sephora shine adequately through customer service, in store experience and both offer great selection.

Companies purpose is not simply creating good products, but also informing consumers about their benefits, as well as achieving a clear positioning of their products in the minds of consumers. The three main means of stimulating the mass market are advertising, sales promotion and public relations. Companies have to choose a system, elaborate actions, and set goals in order for advertisement to have good effect on the company. Therefore, this paper will discuss advertising strategies and marketing functions of Ulta and Sephora. To advertising could be expected good effect, companies must first select a system and elaborate action, set goals. Therefore, in this paper we consider the advertising strategy.

Sephora’s current target market are women who value quality products and associate with luxury brand names. Sephora also includes products for males such as fragrance, skincare, shaving, and other products. They are well known as a beauty store for females but do not have a reputation for selling men’s products.

Social media gives you the amazing potential of finding your target market and sell directly to them in a mutually satisfying relationship. Social media is also a great place to watch and learn from your competition and your industry.

• Social Ambassadors (70%): Utilizing online apps like Instagram, Twitter and Facebook will be essential to the growth of the company. Having popular figures like actors and athletes promote the brand will generate more sales, interest, and help spread information to more eyes around the world.

Ulta Beauty is a chain beauty store with over 19,000 employees and 974 locations all across America. Ulta carries 20,000 products and 460 brands that consist of, cosmetic, skincare, haircare, and fragrance products for men and women.  Majority of their inventory and sales come from cosmetic makeup brands. Ulta carries higher end makeup brands and well as lower end drug store brands. Their main target market and customers are women of all ages who use any type of beauty product. Their wide range of products can reach to all types of customers and they offer something that majority of people use. In 2013 Mary Dillon former chief of US cellular and chief executive of Mcdonald's became the new CEO. Since then Ulta sales have increased largely. At the end of 2015

Dominique Mandonnaud founded Sephora in France in 1969. Sephora was originally called Shop 8, but Dominique Mandonnaud re-named Shop 8. In 1993 Mandonnaud merged the Biblical name, Zipporah (Moses' wife), with the ancient Greek word "Sephos" which means pretty. Sephora stores specialize in selling cosmetic and beauty care products. Sephora was founded in 1969. That one store later expanded to

Mary Kay, Inc. was founded in 1963 by Mary Kay Ash as Beauty by Mary Kay. Mary Kay is a direct sale type of company, with “independent beauty consultants” that sell and market Mary Kay products (2012 Corporate Fact Sheet). Mary Kay Ash operated with the mindset of “God First, Family Second, and Career Third,” and always adhered to the golden rule, do to others as you’d want them to do to you (Kerin, Et. Al). Mary Kay, Inc. first entered the global market in 1971 with its expansion into Australia. Today, Mary Kay is represented in over 35 global markets (2012 Corporate Fact Sheet). Mary Kay is challenged to ensure brand consistency across the world, despite differences in cultures from market to market. As such, Mary Kay would be considered a transnational firm. They tie the similarities between each market together while celebrating the differences in each market. This strategy allows them to offer Mary Kay’s core product lines globally where they’re most desired. In China, one of their most successful markets, Mary Kay applied their existing corporate message of women empowerment to attract Chinese women that otherwise wouldn’t be able to start their own business. Where China differs from the United States market is in product need. Chinese women don’t typically wear a lot of makeup, so

Brock beauty, Inc. is a company located in Los Angeles, United states of America specializing in the innovation of natural hair and skin care. The headquarter of the company is found in Oak Harbor BLVD Slidell in Los Angeles, The company was found in 2004 committed in delivering safe natural ingredients and formulae that have been clinically tested and verified to treat inside out. The better business bureau (BBB) has confirmed that the company meets and complies with the BBB accreditation standards. In other words, the business has been doing well in accomplishing high quality products and ensure competency in all sectors of their services.

Propose fund allocation for digital marketing using funds from traditional marketing spend. Include both proposed spend and recommended cuts. Justify.

Skin treatment products are often sold next to the cosmetics, but in reality are not cosmetics themselves. Skin treatment products are created with the purpose to improve the natural condition of the skin rather than purely the aesthetic. Cleansers, astringents, toners, acne medications, sunscreen, and lotion all help the skin stay healthy and free from blemishes. In the past, it used to be that consumers

I consider Sephora as a platform. They have become more than a product now because they have hundreds of brands and thousands of different products, the variety is considerably large. Other reason is, their affectivity on social media and also their websites; the beauty talk policy in their website has become a platform that brings people together and it is really like a huge forum.