Customer Orientation in Lush Cosmetics

This report discusses the customer-oriented approaches adopted by Lush Cosmetics to support and assist customers in choosing the best product. It covers topics such as the retail mix, consumer buying behavior, strength of in-store retailing, and design elements of the retail store. The report also provides insights into the communication mix techniques and integrated marketing communication used by Lush Cosmetics.

Running head: CUSTOMER ORIENTATION
Lush Cosmetics
Retail Customer Orientation
5/14/2019

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Table of Contents
Introduction................................................................................................................................2
Q1 Retail mix.........................................................................................................................2
Retail Mix of Lush Cosmetics............................................................................................2
Changes in the Retail Mix of Lush Cosmetics for New Zealand.......................................3
Q2 Consumer Buying Behaviour...........................................................................................3
Step 1 – Problem Identification..........................................................................................4
Step 2 – Information Search...............................................................................................4
Step 3 – Evaluation of Alternatives...................................................................................4
Step 4 – Purchase...............................................................................................................5
Step 5 – Post Purchase Behaviour......................................................................................5
Q3 Strength of In-Store Retailing..........................................................................................5
Q4 Design Elements of Retail Store......................................................................................6
Lighting..............................................................................................................................6
Strategy for Lush Cosmetics..............................................................................................7
Products without packaging or naked products.................................................................8
Strategy for Lush Cosmetics..............................................................................................8
Q5...........................................................................................................................................9
a. Communication Mix Techniques.......................................................................................9
b. Integrated Marketing Communication...............................................................................9
Conclusion................................................................................................................................10
References................................................................................................................................12

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Introduction
The organizations that are customer oriented gives major priority to the satisfaction of
the customer at every business decision. Customer orientation is determined as the approach
to customer relations and sales under which company's employees are majorly focused on
supporting the consumer in meeting their wants and needs. Here, employees as well as
management line up their team and individual goals around nourishing and recollecting
consumers. The opposite strategy that is sometimes followed by the business is sales
orientation, under which the wants and desires of the employee or business are given major
priorities. The intent of this report is to discuss different customer-oriented approaches
adopted by Lush Cosmetics in order to support and assist customers in choosing the best
product.
Q1 Retail mix
A retail mix is determined as the marketing plan which is used to key aspects of the
business like location, personnel, goods, price, and services. It is also known as “6Ps”. A well
planned retail mix offers the retailer with a position in mix and support in distinguishing
themselves from the rivals (Azeem & Sharma, 2015).. Lush also focus on bio-degradable re-
cycled products and re-used bottles. The customer receives an incentive for returning back
the bottles of the company after use. The major strategy of the company is to regularly
involve innovation in order to entice new customers (Steen, 2017).
Retail Mix of Lush Cosmetics
Product – Lush Cosmetics is known in the market for offering natural handmade
body products. Lush produces products of cosmetic like shower gel, body wash, hair gel,
fragrances, and bath bombs, etc. as the key part of its retail mix. All these products of the

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company are considered as natural vegetarian handmade items which are popular in the
market as the unique quality (MBA Skool, 2019).
Promotion – There is a number of ways through which lush Cosmetics does its
promotion. Maximum of the promotion of the company is initiated through word of mouth by
its consumers that are why the company gives major importance to building strong
relationships with the customers. In addition to this, the company has also adopted offline and
online means of advertisement (MBA Skool, 2019). Moreover, the message strategy of the
company has been proved as one of the most successful promotional strategies through which
the company plans to target almost every potential customer.
Changes in the Retail Mix of Lush Cosmetics for New Zealand
Price – Lush cosmetics has adopted the strategy of premium pricing in order to sell its
unique products. All the products of the company are handmade and organic because of
which it charges high prices (MBA Skool, 2019). The company plans to maintain the quality
of its products due to which the price of the products increases. However, in the market of
New Zealand is already covered by some huge brands along with customer loyalty, which
leads to raising competitive boundaries in front of Lush Cosmetics. In order to deal with this,
the company must plan to change its pricing strategy and must offers products at prices that
could be affordable for the customers. This will also help in giving strong competition to
other operations.
Product – It is known that Lush Cosmetics is presenting targeting women due to
which it is not so popular in men's. In order to increase the share in the market and customer
satisfaction, it is recommended that Lush Cosmetics must get involving offering products for
men.

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Q2 Consumer Buying Behaviour
A customer takes the purchase decision depending on different criteria. Though,
activates of consumer acquisitions takes place before the actual purchasing of the product.
This is the stage where there is major role is performed by marketing (Hjort, Lantz, Ericsson
& Gattorna, 2013). Advertisement and marketing of the product change the buying behavior
and decision of the customers.
Step 1 – Problem Identification
It is the stage when a customer identifies the problem, for example, tanning due to
summer weather. The advertisement support businesses in enticing the customer to identify
the problem. Here, Lush Cosmetics can increase the intensity of the advertisement for its sun
care lotion over the internet, newspaper, through slogans and pop-ups on social media sites.
Step 2 – Information Search
At this stage the customer search for the information to protect their skin from sun
rays. Here, the customer tries to identify the formula through which they can reduce their
tanning. For this, they consult from their friends, relatives, internet, etc. Lush Cosmetic can
advertise the best possible ingredients that are required to reduce tanning and protecting skin
from sun rays and the same ingredients used in the manufacturing of the sun care lotion.
Step 3 – Evaluation of Alternatives
At this stage, the customer identifies which type of product will work such as skin
whitening cream, anti-sun rays lotion, tanning removing the cream, and sun care lotion. The
customer has identified that the major problem is skin tanning for which it requires a sun care
lotion. The customer will search for different best brands alternative present that is accessible
and feasible for the company. Here, Lush Cosmetic needs to promote its sun car lotion in

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different fashion magazines, kitchen magazines, and social media sites, etc., which will
support the company in increasing the interest of the customers.
Step 4 – Purchase
This is the stage, where the customer finally selects the Lush Cosmetic's Skin Care
lotion and purchases it for the protection of her skin. The major responsibility of the company
is to satisfy the customer by offering the best customer services.
Step 5 – Post Purchase Behaviour
There is a number of businesses in the market that take a proactive step for satisfying
the customer and making them loyal towards the brand (Sharma, 2014). In order to maintain
good relations with the customer and offer after-sales services, the company can send
different emails and messages to the customer for different offers and discounts offered by
the company and inviting customers for trying newly launched products.
Q3 Strength of In-Store Retailing
Arrangement and Infrastructure – The major strength of the retail store is its
infrastructure and arrangement of different types of product at different shelves with the
proper tag, which provide convenience to the customer while shopping. In addition to this,
another strength of the retail store is customer service through face to face interaction with
the customer. Lush Cosmetics is involved in the offline as well as online business operations
and try to satisfy the customers through both the means. However, the strength of in-store
retailing of Lush Cosmetics is to have a well-organized store with clear messages for the
customers regarding all the details, name and prices of the products (Gilliland, 2018). Along
with this, being a customer oriented company, Lush Cosmetics offer best customer service to
its customers which could not be forgotten by anyone.

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Environment and ambiance – Strength of the in-store retailing is its environment
and ambiance it offers to the customers where customer enjoys and feel shopping a fun. The
environment and ambiance of the store encourage the customer to spend time and purchase
more. In addition to this, good environment ensures customer about the quality and service of
the brand which results in encouraging them to spend more to have the best product. Lush
Cosmetics is one of the well-known brands in the market which offer handmade and organic
cosmetic products to the customers. In order to attract the customer's the company has
planned to spread a constant fragrance into it's all the stores around the world where it
operates its business. According to one of the customers, company romances the olfactory
nerve in the nose of the customer with its perfumed products. Many times customers have
visited the store after 10 years and get triggered by the past memory when they visited the
store for the very first time (Gilliland, 2018). The Lush Cosmetic’s shop secret of powerful
scent is its choice of environment that it offers to its customers.
Q4 Design Elements of Retail Store
Lighting
Lush Cosmetic has earned the popularity in the market not just by offering quality
products like bath bombs, face masks, and soaps to the customers. Lush has successfully
created the brand that has been linked by the patrons with progressive politics, social
liberalism, and environmentalism (Bobby, 2018). It is being reflected from the company’s
social media presence, designing of the store, and publications. Lush does not promote
glamourize store design. In its place, it is more approachable and fun to shop at the store.

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Source [(Bobby, 2018)]
Strategy for Lush Cosmetics
Visual Merchandising
Decreasing the level of marketing displays on the retail store does not mean removing
all the design and colors of the store (Sahyog, 2018). Lush stores have adopted the simple
decor of the store, but it is not enough for attracting customer to purchase the product (Lush,
2019). In order to attract customer and increase the sales one of the major element that must
be added and enhanced into the store is the lighting. Correct lighting at the retail store is the
most significant consideration in the designing of the store. At one point in past time, the role
of the lighting was to show the direction to the customer in the store. But in today's era,
lighting has become the key medium for displaying products. It is one of the major parts of
the interior and exterior designing of the retail store. Lighting must be matched with the
mood that the retailer is trying to create with the overall store décor and must complement, in
place of reducing the impact of other designing elements (Spence, Puccinelli, Grewal &
Roggeveen, 2014).

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Products without packaging or naked products
Lush prefer to avoid the packaging of the product whenever possible in order to save
the environment and reduce cost. Around 35% of the products of the company are sold
“naked” or without any type of packaging (Bobby, 2018).
Source [(Bobby, 2018)]
Strategy for Lush Cosmetics
Streamlining
In order to reach to the customer media make use of television, Internet, print, and
radio. As the internet is accessible by cellular connections and Wi-Fi, people could get the
product information at anytime and anywhere (Bond, A., Pope, J., Morrison-Saunders, Retief
& Gunn, 2014). Lush Cosmetics must make use of a streamlined approach for its products
that are gaining major highlights in the market like naked products.

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Q5
a. Communication Mix Techniques
Communication mix is defined as the mixture of promotional techniques chosen by
the marketers to assist the company in attaining its objectives. It has been recognized as a
subset of the marketing mix (David & Martina, 2011).
Advertisement – It is one of the most essential elements of the communication mix.
Generally, advertising and marketing are mostly misinterpreted as the same thing.
Advertisement comprises all the messages for which the company pays for tits delivering
through a different medium in order to influence the target market (Rafique & Zafar, 2012).
Lush Cosmetics majorly make use of print advertisement in which it frames message which is
transferred to entice customers through different mediums such as television, radio, etc.
Direct Marketing – It is one of the channels that enable businesses as well as non-
profit businesses to directly interact with the customer, with different techniques like mobile
messaging, consumer website, fliers, e-mail, promotional letters, etc. (Brinson & Rountree,
2011). Lush Cosmetics make use of this technique of communication mix for the promotion
of its handmade cosmetics products.
Public Relations and Corporate Image – Another communication mix technique
that is utilized by Lush Cosmetics is the public relation by getting involved in different
campaigns against the unethical activities taking place in the industry. Examples – Fighting
against animal testing, promoting ethical buying, supporting permaculture, supporting
grassroots charities, etc.
b. Integrated Marketing Communication
Integrated marketing communication is the procedure of organizing every activity
across diverse communication method. Operative marketing communication is directed

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towards a goal, and it is allied with the marketing strategy of the company (Thorson &
Moore, 2013). It is focused on delivering a specific message to the entire target market and
changing the opinions as well as behavior. The integrated market mix helps in coordinating
the product f the company that is offered at a specific price and place with the help of
different promotional or communication mix technique.
The presented communication mix strategies of Lush Cosmetics is to communicate,
compete and convince the customers to purchase the offering of the business by framing
promotional message and delivering it to the customer through different techniques of the
communication mix. The Lush Cosmetic handmade products are offered in the market at a
certain price through online and offline mediums. In order to attract customers online and
offline the adopted communication mix strategies by the company that is an advertisement,
public relation, and direct marketing. The entire promotional mix medium adopted by the
company help it in attracting the customer online and offline.
Conclusion
The above paper has discussed different marketing strategies adopted by Lush
Cosmetics in the New Zealand market for attracting customers. From the above analysis, it
has been identified that company is being involved in different social causes such as
supporting in stopping animal testing in the market, supporting in charities, offering work to
farmers, etc. In addition to this, the company is following effective retail mix elements but for
the future perspective, it is important for the company to make changes in its elements like
product and price in order to increase business in New Zealand market. Besides this, the
paper has highlighted the strength of in-store retailing and key designing elements of the store
which results in increasing the sales. From the observation of the Lush Cosmetic store, it can
be suggested that company must make effective use of lighting in order to entice customer at

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different shelves of the product and increasing the attention of media on naked products or
products within the packaging. In the end, the paper has discussed the three communication
mix techniques used by Lush Cosmetics and highlighted the criteria of integrated marketing
communication.

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