The Distribution Channels of Mary Kay Cosmetics

Ulta Beauty was found in 1990 and has become one of the largest retailer of beauty products throughout the United States. The continued focus on American- brand name products in local salons, department stores, and online has become a major feature of its massive growth through the 2000s and into the 2010s. The promotion of these multiple venues in the marketplace is based on the slogan: “All things beauty, All in one place.” This business model has provided a broad-spectrum marketing platform that utilizes multiple aspects of brick-and-mortar and online sales in the promotion of beauty products in the United States.

Distribution channels are organized in several ways: conventional, vertical, horizontal and multichannel (Kern R. 2013). Some of these organizational methods are more structured than others. When a distribution channel deals with more than one independent producer, such as wholesalers and retailers, the channel is known as a conventional distribution channel. (Kern R. 2013) These channels are not normally known to be strong and typically don’t give the customer the quality of product that they deserve. In a vertical marketing system, the retailers, wholesalers and producers, join forces to create a unified front, promoting an individual product (Kern R. 2013). Vertical distribution channels are stronger than the conventional distribution channels because all of the companies involved carry some of the load of power. (Kern R. 2013) In a horizontal distribution channel, companies join up and combine all of their finances and resources, in order to take on more than one company or product (Kern R. 2013). A multichannel distribution channel is where a large corporation uses two or more marketing channels to better target their desired customer segments (Kern R.

We will be promoting this product in lots of different ways. We are going to promote it nationally for woman all over the country to give is a try. It will be promoted mostly in woman’s magazines, this is because woman always want to try something new they see in magazines, mostly because they see that a celebrity has it or because it is advertised in the most popular and successful magazine so they automatically think it is a good product. We will also be advertising it on TV as product placement, product placement is a great way of advertising on TV because if we only opt for half time advertising the product might not get enough attention as we want it to because a lot of people skip through the adverts so they will not be able to see it. Product placement is good because the viewer cannot ignore the

Based on the SWOT analysis provided in the case, what are the two or three factors that Mistine should stress in its strategic planning as it looks to continue its growth and dominance in the Thai market? How can Mistine match its strengths with its market opportunities to create competitive advantage moving forward?

The second video discussed how leading brands are starting to sell directly to consumers. Direct selling is expected to grow 71% in the next year. The people selling through indnerect channels are travel and packaging services. For example, Hilton is direct selling to customers through its application that is simple and gives their customers a choice.

This selectivity will cause consumers to feel that the product is of a higher quality than its competitors. In order to maintain uniformity throughout the market, we will set a fixed price for Eventus. The selective distribution strategy will enable us to create a fixed price in a few selected outlets, which will allow us greater control of the pricing of our product. Since our target group is older men, we are assuming that most of them will fit a customer profile. Older, upper-middle class men are usually very busy, so they are more likely to remain loyal to our brand. We will also sell Eventus online, but we believe that brick and mortar store will contribute the largest share of profit. However, we cannot dismiss online shopping because elite products should always be available to their consumers throughout the country. Nonetheless, using an indirect marketing channel with only one intermediary will help the product to be distributed more easily and efficiently. This model of distribution will allow us to be very selective in choosing which stores carry our product, and it will allow us a lot of control over Eventus’ price. This model will also help us streamline distribution, which will

This has proved to be a very successful tactic for companies in marketing. Marketing channels are also used by companies to reach their consumers. They use three types of marketing channels which are communications, distribution and service channels. Communications is important to get the company's message out to the public and this could be in many forms such as the radio, television, the internet, posters and the like. They also need to distribute their products to the consumer and this means they will need a physical location like a store, or be a wholesaler and have others retail your products for you and also sell your products on the internet. Service channels are needed to effect transactions with the consumers and these could be banks for credit card purchases and transportation companies such as UPS to deliver the products to homes and businesses.

Options for new marketing techniques that could help lululemon would include advertising campaigns via Internet and cable outlets, as well as billboards in highly populated areas. Being able to hit areas outside the communities reach can help drive sales and give potential consumers an understanding of what the company has to offer. The draw back to doing all this marketing is the costs that comes with it. This will

Channels of distribution are important in term of getting to customer, warehouse management and distribution to

The more diverse distribution channels become the less bargaining power a single distributor will have, which positively affects Lululemon Athletica

While the distribution of the product fits the target market, it also harmonizes well with the marketing mix. The place where the product is distributed is highly important (Perner, n.d.; Place, n.d., Ramsey, 2012). Products gain a

Estée Lauder’s distribution network consists of salons, specialty stores and high-end department stores. This is potentially limiting its reach to customers. A limited distribution strategy tends to increase dependency on specific channels which could be disastrous. For instance, Macy’s is Estée Lauder’s biggest client, accounting for nine percent of total sales and nearly forty percent of sales in the United States (Terlep, 2016). Macy’s is also aggressively closing stores.

Following the development of a strong product, the second major marketing decision area that a company should consider is distribution. Decisions regarding distribution are geared towards establishing a system that enables customers to easily access and buy the firm's products. Nonetheless, marketers are usually faced with the challenge of getting the product to the point where consumers can obtain it because the process is complicated, expensive, and time consuming ("Distribution Decisions", n.d.). Since it a significant

There are a variety of distribution channels used in the marketing of cosmetic products which include examples such as product counters set up in department stores and product distribution through shelf display in supermarkets. These intermediaries make selling more efficient by minimizing the number of contacts a company has to make by handling all the individual contacts with customers and providing a range of goods to customers at one location. All

Distribution of the products or services is a vital thing of the sales of the organization. What is the customer want about distribution; how they want get their product or services by research all these things will help to get customers.