Lush Market Segmentation: Targeting Young Females for Eco-Friendly Products

This presentation discusses Lush's market segmentation strategy, specifically targeting young females who have a focus on eco-friendly products and a positive attitude. The company aims to fulfill the needs of these customers by boosting values and providing personalized services. The presentation also explores the elements of demographic segmentation, such as gender and income level, and highlights the importance of quality in the competitive market. Lush's place in the marketing mix, including its global presence and online platform, is also discussed. Additionally, the presentation covers the pricing strategy of Lush, which includes premium pricing based on the organic and handmade nature of their products. The role of people, processes, and physical evidence in Lush's marketing strategy is examined, emphasizing the company's focus on customer experience and environmental awareness. Overall, the presentation showcases Lush's successful marketing approach and its impact on local and national levels.

a.) Geographic:
Global organization with 500 locations in
38 countries
Stores in metropolitan markets
Asia, Europe, Oceania, North, United
Kingdom and South America.
Demographic segmentation
Gender: mainly female
Income level: Middle income to higher
income (Venter, Wright and Dibb, 2015).
.
b.) It has been observed that it
will be assist the marketers in
attaining high turnover by
enhancing the value of the
products. The marketers can
differentiate the products in an
effective manner (Cross, Belich
and Rudelius, 2015).
Poster 1 : Lush Market Segmentation C.) The customers can be
considered as typical person. It
has been examined that they
will emphasize on the quality
of the products offered in the
market. The female’s are more
conscious about the quality of
the products offered in the
competitive market (Ernst and
Dolnicar,2018).D.) Key target audience
The company target on the young
female’s of the age 25 to 35. The
company has the aim to select those
female’s who have the focus towards
the eco friendly concept and also who
are have positive attitude. Lush aim is
to boosting the values and personalized
services, so that the needs of the
customers can be fulfilled. Now days,
the customers are more conscious
about the harmful chemicals which
could impact the health of the
customers (Piercy, 2016).
Stakeholders
The workers have 10% of the
shares of the company and also
they focus on choosing the best
raw materials so that their values
can be met easily. Lush focuses on
local and national government,
tourism duties and also on the
customers.

a.) Place in marketing mix ?
The method of moving the products
from the producers to the customers is
known as place. It also outline that
where the company will place the
products to boost its sales in the
competitive market. Elements are :
location, products offered in the
market, distribution channels and
outlets (Larimo et al., 2018).
.
b.) Place important element in marketing
mix?
Place has an essential role in the
process of marketing mix. It is an
essential aspect that helps to maintain
the process of delivering the products
to the customers. It is important for the
companies to determine the better place
so that it could be easy to boost the
sales of the company (Evans,2015).
Poster 2: Lush ( Place element of marketing ) C.) Lush place elements?
Lush manages its activities in many
countries and the headquarter is in
POOLE, UK. The company also
provide the products through online
platform such as Amazon. The
issue which is faced is related with
keeping the product fresh (Fan,
Lau and Zhao, 2015). So, the
focuses on purchasing the products
locally.
D.) Marketing towards lush products?
The element related to place helps to
manage the activities of the company.
It helps in boosting the shares in the
competitive market by offering the
products to the customers on time.
Also, to market the product the
company connected with the retailers
by partnering, so that it could be easy
to provide the products on different
stores (Mišič and Podnar, 2017).
E.) Ways that impact lush in UK?
Internet orders are taken by the
company which impact the sales of
the company in the highly
competitive market. The distribution
channel also impact the lush in UK.
Lush products in the stores of the
company.

a.) Key element of “ Price”
and “ Value”?
Elements of price are:
variable cost for the
company and also the cost
incurred in designing of the
products. In relation to value,
the elements are loyalty of the
customers and revenue
growth (Billige and Smith,
2016).
.
b.)Methods and strategies
used to set price?
There are various
methods that are used to
set the prices and also
there are various types of
pricing such as economy
pricing, price skimming,
bundle pricing and
psychology pricing
(Steenkamp, 2017).
Poster 3 : Price element of marketing ( Lush ) C.) Pricing in Lush retail ltd.
Lush considered premium
pricing strategy so that it could
be easy to sell the products in
the market. The products sold
by the company are organic
and handmade and this is the
major reason of the high cost.
The products of the company
are priced according to the
weight of the products (Baker,
Collier and Jayaraman, 2017 ).
D.)Value “exchange” in lush?
The target customer of the company is female’s of upper and
middle class. This customer base is selected by the company
because they value the quality of the cost rather than cost of
the product. The exchange take place in the outlets or the
stores of the company. It is one of the best strategy that is
considered by the company which helps to boost the sales
(Nagle and Müller, 2017).

A.) People in LUSH RETAIL LTD?
The company focuses on appointing those
people who have the skilled related to
marketing of the products. The employees
of lush are friendly with customers. They
wear a simple uniform and have in-depth
knowledge of the overall process or the
products which are sold by the company.
The emphasize on boosting the
experience of the customers. There are
1237 employees who are working in the
company (Aronczyk, 2016 ).
.
b.) Processes of the lush company?
In relation to the processes of the company, it has
been examined that company focuses on
considering good feedback from the customers.
For company the customers are always a right
policy. Lush offers the knowledge to the customers
in relation to recycling and environmental
awareness. The company caters the products from
the vegetarians, which maximize the satisfaction
level of the customers towards the products
(Kłeczek, 2018).
Poster 4: Three extra P’s in service
marketing..
C.) Physical evidence is important
in marketing?
In relation to the lush company, it
has been observed that company
create distinct scent that helps to
boost the experience of the
customers. The stores are kept
clean and tidy, through which the
customers give first preference to
visit the outlet of the company. the
outlets of the company are also
recognizable (Loo and Leung,
2018).
D.) Successful on local and national
level?
It can be said that the employees of the
company focuses on maximizing the
customer experience, which helps the
company to attract more customers towards
the services and products. Also, the process
is designed in such a manner that helps to
know the needs of the customers. The last
factor is physical evidence which plays a
great role. In relation to this the company
has clean outlets. These factors helps to
attain success (Jacksonand Ahuja, 2016).

References
• Piercy, N.F., 2016. Market-led strategic change: Transforming the process of going to market. Routledge.
•Ernst, D. and Dolnicar, S., 2018. How to avoid random market segmentation solutions. Journal of Travel
Research, 57(1), pp.69-82.
•Cross, J.C., Belich, T.J. and Rudelius, W., 2015. How marketing managers use market segmentation: An exploratory
study. In Proceedings of the 1990 Academy of Marketing Science (AMS) Annual Conference (pp. 531-536).
Springer, Cham.
•Venter, P., Wright, A. and Dibb, S., 2015. Performing market segmentation: a performative perspective. Journal of
Marketing Management, 31(1-2), pp.62-83.
•Mišič, K.U. and Podnar, K., 2017. Steps toward a city marketing mix and its perception measurement. In Strategic
place branding methodologies and theory for tourist attraction(pp. 67-86). IGI Global.
•Baker, M.J., 2016. What is marketing?. In The Marketing Book(pp. 25-42). Routledge.
•Larimo, J., Zucchella, A., Kontkanen, M. and Hagen, B., 2018. Patterns of SME’s marketing mix combinations and
their characteristics in export markets. In Advances in Global Marketing (pp. 333-364). Springer, Cham.
•Evans, G., 2015. Rethinking place branding and place making through creative and cultural quarters.
In Rethinking place branding (pp. 135-158). Springer, Cham.

References
• Fan, S., Lau, R.Y. and Zhao, J.L., 2015. Demystifying big data analytics for business intelligence through the lens of marketing mix. Big
Data Research, 2(1), pp.28-32.
• Steenkamp, J.B., 2017. Global Marketing Mix Decisions: Global Integration, Not Standardization. In Global Brand Strategy (pp. 75-109).
Palgrave Macmillan, London.
• Billige, M. and Smith, D., 2016. 14 Pricing. The Marketing Book, p.337.
• Nagle, T.T. and Müller, G., 2017. The strategy and tactics of pricing: A guide to growing more profitably. Routledge.
• Baker, T., Collier, D. and Jayaraman, V., 2017. A new pricing strategy evaluation model. International Journal of Operational Research, 29(3),
pp.295-316..
• Aronczyk, M., 2016. Market (ing) activism: Lush Cosmetics, Ethical Oil, and the self-mediation of protest. JOMEC Journal, (4), pp.45.
• Kłeczek, R., 2018. Company Actions and Value Drivers: Manager Reports from Polish Firms. Journal of Management and Business
Administration. Central Europe, 26(1), pp.13-26.
• Jackson, G. and Ahuja, V., 2016. Dawn of the digital age and the evolution of the marketing mix. Journal of Direct, Data and Digital Marketing
Practice, 17(3), pp.170-186.
• Loo, P.T. and Leung, R., 2018. A service failure framework of hotels in Taiwan: Adaptation of 7Ps marketing mix elements. Journal of Vacation
Marketing, 24(1), pp.79-100.