Australia Skin Care Industry

This report analyzes the micro and macro environment of the Australian skin care industry, including the SWOT analysis. It explores the growth opportunities and challenges faced by the industry. The report also provides insights into the Australian Skin Clinics, a leading skin care service provider in Australia.

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EXECUTIVE SUMMARY
The aesthetic industry has had a huge development in the market and the technology
concerning the treatments of skin and hair related issues, because of which it has taken lead
in the comparison to other industries. In Australia, the industry has tapped the various
uncovered areas and introduced its range of services and goods considering the upper and
middle level class of the people.
The Australian skin clinic is one of the firms of the aesthetics industry and is leading skin
care service provider, in Australia. The mission is to give the client the best service for the
utmost satisfaction of the customer.
In this report, the analysis of the micro (internal) and macro (external) environment of the
aesthetic industry along with the identification of the SWOT of the industry to get an
overview of the growth opportunities of the business of this industry the study in basically
conducted to analyse the development criteria’s for the Australian skin clinic.

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Contents
Introduction...........................................................................................................................................2
Micro environment analysis of the Australian skin clinic......................................................................3
Macro environment analysis the Australian skin clinic.........................................................................4
SWOT analysis of the aesthetic industry...............................................................................................6
Conclusion.............................................................................................................................................8
References.............................................................................................................................................9

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Introduction
Australian Skin Clinics famously known for the services they provide regarding the several
skin treatments. It was established in 1996, the centre provides a range of treatments for
various skin related issues, it is a franchise and is recognised to be one of the leading
cosmetic services and aesthetic services. The services provided by the Australian skin clinic
include laser treatment for hair removal, cosmetic surgeries, skin rejuvenation, skin
tightening, and several other services related to the skin. The Australian Skin Clinics has also
set the benchmark in the aesthetic industry for the kinds of services provided. The laser
performing technicians hold a safety certificate to ensure the policies and training protocols
of the organisation. All the other cosmetic related treatments are provided by the medical
experts only to make sure everything is performed under the norms to avoid any kind of
disturbance issues to the customer (Jeffrey A. Cadeddu, 2012). The ultimate goal is ensure
that the client looks good and feels good about their looks after the delivered as the primary
concern is the client’s best interests because that is the only key to growth and success for
long term (Clinic, 2019). The analysis of the internal and external environment mainly
referred to as the micro and macro environment of the organisation. The micro factors
include the customers, competitors, suppliers, and distribution channel of the internal
organisations, and the macro factors include the PESTLE (political, economic, social,
technological, legal, ecology).

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Microenvironment analysis of the Australian skin clinic
The microenvironment is only affected by the internal environment of the organisation
includes the customers, competitors, suppliers and the people or the things related internally
to the business. These factors play an important role in the business the adverse on these
factors can question the growth of the business, which could also lead to a total loss
(Macdonald, 2018).
The following is the representation of how these factors affect the Australian skin clinic
related to aesthetic industry.
 Competitors - the primary competitors of the Australian skin clinic include the laser clinics,
and other several Australian dermatologists. The competition in the industry is tough because
the offerings of all the competitive firms are alike and the customers tend to shift to the
competitors product leading to the price differences among the competitors of the industry
(Quynh Trang Nguyen, 2013).
 Customers - the customers are the primary concern of the any business and their satisfaction
with the products or the services offered is of primary concern. The Australian skin clinic has
a good customer base and is ranked at top list of medi- spas services, by vogue in 2016.
 Suppliers - the suppliers of the Australian skin clinic are the machine providers that are
required for the performing the laser treatments. The suppliers are very important for any
business and should chose with due diligence and care, at times because of the behaviour of
the supplier the business tends to suffer a lot so it is important while considering the supplier
of the company (SeanHyun, 2015).
 Distribution channel - the products or the services offered by any business eventually is
available only because of the distribution channel as in the field of the aesthetic industry it

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certainly plays an important role for the delivering the products required for the cosmetic
treatment.
These are the considered as the micro factors affecting the business both, in positive and the
negative ways depending upon the atmosphere. There are several others surviving in the
microenvironment of any business such as- price, product, service etc. these also affect the
environment equally the proper study is also mandatory for the long term of the business. The
competitors, suppliers, distribution channel and most significantly the customers are
considered to contribute in the long-term success of the business because of the role they play
while scanning the microenvironment of the business (O.C. Ferrell, 2014).
Macro environment analysis the Australian skin clinic
The Australian skin clinic is not confined to only face treatments but there are several other
ranges which deliver the single motive that says the a better version of yourself. They focus
to provide the better products to make you look the best and while doing that they tend to
make you feel good about yourself (W. Chan Kim, 2015). The active factors of the macro
environment affect the working and the profitability of the organisations the consequences of
these are both positive and negative. The following are the macro factors or the external
environment factors generally known as in the form of pestle-
 Political environment- the political environment of Australia does not have much concern
with the aesthetic industry. The only political matters that the federal government of Australia
has imposed on the aesthetic industry is, not including certain ingredients which are
suspected to be harmful otherwise in general there is no such political barrier existing for the
aesthetic industry.
 Economic environment- the aesthetic industry does not get affected by the economic
conditions as the beauty industry is now more like under the categorisation of basic needs

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than the desired needs but surely the people get more conscious about what to choose but
they never stop choosing. As the products required for fulfilment of the basic needs are a
must requirement, which needs to be completed and thus the industry is always in demand.
The economic factors also affect the affordability of the population of the country because at
the time of recession the spending capacity of the public is reduced which consequently
affects the profitability of the business organisations. Considering the other beauty treatments
is only taken by the high-class society who can actually afford the same
(ChutinartYansritakul).
 Technological environment - the technology plays a significant role when it comes to the
aesthetic industry as certain treatments are now available for skin enhancement because of
the technology and the organisation has to be aware about the new technology as the
competitors could use that as a tool to attract the customers of the organisation. The new
technology should contain the quality assurance to retain the customers or clients for the
long-term duration (Gregory H. Branham, 2019). Obsolete technology can take away the
profits of the company along with the wear & tear of the old machines as the clients are
attracted to what is new in the market, which is the most important concern here regarding
the technology enhancement. Australian skin clinic should the fact that technology is one of
the significant factors affecting the business various levels (Parsons, 2015).
 Legal environment - the legal restrictions regarding the products or the services served under
the aesthetic industry is only the imposition of the duties regarding the import of the
cosmetics or the goods of the same industry in Australia. These restrictions are being
imposed because there are certain policies that are required to be followed in terms of the
quantity and the in respect with the ingredients of the product. Otherwise, the penalty will be
imposed considering the breach of the laws and regulations imposed by the government to be
followed. These are the issues involved regarding the legal matters of Australia.

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 Social environment - the social culture related to the aesthetic industry is quite developed as
people are now more open to the brands as there are plenty of brands available and people are
considering brands of their choice and believe. Their chosen brands can only be changed,
through the PR by any other acquaintance or friends or the relatives (Amanda Jane Clark,
2015). There are numerous of skin treatments available now for the skin and hair related
issues. People are aware about all of them to avail their benefits from time to time also due to
cultural development, which impacts, the social environment of the country. It is enhancing
the way of life and standards of living in the society and these have now became a part of
them already, which is considered as a development in the society also benefiting the
businesspersons, in the corporate world. Australian social culture is already considered to be
one of the most developed as various foreign companies tend to choose Australia as the
headquarter location for the company or the business which they want to incorporate in
Australia due to easy adjustment of the firms in Australia because of their culturally
development factor (Ben-Messahel, 2018).
 Environmental factor - the security of the environment is the prime factor to be considered
when it comes to aesthetic industry, as there is immense contribution of the resources of the
environment in developing the products of this industry. Various companies from the
industry are now focusing to go green because various chemicals are used from the
environment in various products like shampoo, soap, creams, etc. which is important to be
considered (W. Chan Kim, 2015). People are now aware of the same and being same the
reason for the companies for adopting various measures to control the same and fulfil their
social responsibility towards the environment (Sheppard, 2018).

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SWOT analysis of the aesthetic industry
 Strengths - the strengths of this Australian skin clinics includes the low operational costs as
the costs incurred by the firm in the day to day operations is comparatively low than the other
firms. As the goods of this industry are been categorised under the basic needs as mentioned
earlier these now have become a general need of the people rather than the desirable need of
the population (Vorster, 2018). The other strength of the Australian skin clinics includes the
strong distribution networks of the industry in both urban and the rural areas, which is used to
promote the growth of the industry across the world and providing a range of products to the
customers for their different needs (Ben-Messahel, 2018).
 Weakness- The weaknesses of the Australian skin clinics is the less scope of investing in
technology and realising the economies of scale because there are very few opportunities in
this industry to because there is no such huge technology involved in the business. There are
also low network of exports in this business as every country is selling their products
manufactured at their place, which is actually a type of hindrance for the industry and its
growth in the global market (Helen Croft, 2018).
 Threats- the basic threats that the Australian skin clinics face or could face is the fall in the
demand in the rural areas of the country because of the high prices and limited knowledge of
the products offerings, which can certainly be a reason for the decline in the sales. The
liberalisation of trade regarding certain products in the foreign market has created a threat for
the domestic industries (W. Chan Kim, 2015).
 Opportunities- the opportunities in the Australian skin clinics, include the uncovered rural
markets where the products are still not been introduced can be used to create a new customer
base for the client development of the industry which will help to grow the markets of the
industry and promote the development of the same. Also one of the other opportunities could
be the high spending society of the society spending on the consumer needs much more other

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than the other community of the same society spend on these types goods. In regard with the
same, certain new products could be introduced that targets the high spending society of the
community (Stevens, 2018)
Conclusion
The conclusion of the report says that the scanning of the aesthetic industry in the Australian
markets has provided various information regarding the internal and external environment
which is used to identify the SWOT of the industry ( strength, weakness, opportunities,
threats) as a result of which the further planning of the activities can be done. This
information is actually beneficial for the industry to grow and develop. The overall
assessment says that the industry has the desired strengths and opportunities to overcome the
threats and the weaknesses. The industry is benefitted with the developed social culture
which will help the industry to tap the untapped markets and introduce customers with
products offered by the industry.

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References
Amanda Jane Clark, A. M. (2015). Australian Spas and Retreats. Australia: Tuttle
Publishing.
Ben-Messahel, S. (2018). Globaletics and Radicant Aesthetics in Australian Fiction.
Cambridge Scholars Publishing.
ChutinartYansritakul. (n.d.). Journal of Retailing and Consumer Services. Exploring
purchase intention of green skincare products using the theory of planned behavior:
Testing the moderating effects of country of origin and price sensitivity.
Clinic, A. S. (2019, july 6). About us. Retrieved from australian skin clinic:
https://australianskinclinics.com.au/about/
Gregory H. Branham, J. S. (2019). Advances in Cosmetic Surgery, Ebook. Elsevier Health
Sciences.
Helen Croft, S. C. (2018). The Australian Carer: A Training Manual for Aged Care Workers.
australia: Cengage AU.
Jeffrey A. Cadeddu, M. M. (2012). Scar-Less Surgery: NOTES, Transumbilical, and Others.
australia: Springer Science & Business Media.

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Macdonald, S. (2018). High Technology Industry in Australia: A Matter of Policy. The
Development of High Technology Industries, 39.
O.C. Ferrell, O. N. (2014). Marketing Principles PDF. Australia: Cengage Learning
Australia.
Parsons, S. (2015). The Chemistry of Cosmetics. australia: Cengage Learning Australia.
Quynh Trang Nguyen. (2013). Cosmetic Market Study. skin care.
SeanHyun, S. (2015). aesthetic industry. Customer retention in the medical tourism industry:
Impact of quality, satisfaction, trust, and price reasonableness.
Sheppard, C. (2018). World Seas: An Environmental Evaluation. Academic Press.
Stevens, W. G. (2018). Aesthetic Surgery Journal. Why Should Young Aesthetic Plastic
Surgeons Care About Aesthetic Medicine?
Vorster, A. (2018). Pharmaceutical and Cosmetic Review. The effective compounding of
botanical and scientific ingredients - natural & organic.
W. Chan Kim, R. M. (2015). Blue Ocean Strategy, Expanded Edition: How to Create
Uncontested Market Space and Make the Competition Irrelevant. Harvard Business
Review Press.