Marketing of Sephora in Taiwan

RUNNING HEAD: Marketing 0
Sephora
Marketing

Marketing 1
Contents
Introduction...........................................................................................................................................2
Swot analysis.........................................................................................................................................2
Pestle analysis.......................................................................................................................................3
Market entry recommendations.............................................................................................................5
Marketing strategy recommendations....................................................................................................6
Marketing mix.......................................................................................................................................7
Conclusion.............................................................................................................................................9
References...........................................................................................................................................10

Marketing 2
Introduction
The international business incorporates the viable activities which take place in
promoting transfer of goods, resources, people, technology, ideas across the home
boundaries. The activities conducted across the national borders are undertaken as
international business. It has role in extending particular business activities. It gives license to
produce products in the host country. It leads to conducting operations on the large scale.
This report comprises the international marketing of Sephora. The company has planned to
enter in the market of Taiwan. The report comprises the interpretation of the market
appraisal. The swot analysis has helped to offer more insights into the Sephora. The pestle
analysis has evaluated the target market. It represents all the possible conditions of the
Taiwan. The report also includes the market entry recommendations such as franchising,
direct exporting and joint ventures. The marketing strategy recommendations are also given
regarding the expansion of the Sephora in Taiwan. Finally, the marketing mix is also
discussed as assessment of the company.
Swot analysis
Strength
Sephora has cohesive brand image across all the channels. The marketing channels of the
company comprise online and social media. Sephora has stores and websites there are studios
where looks can be designed by using tutorials.
Corporeal experience: Sephora offers a complete corporeal experience to the customers. The
experience is backed by light music and the store is designed in their signature gold and black
colors (Ahmed, 2017). The customers can try the make-up products and they are assisted by
the expert staff. The staff of the Sephora is trained on the different dos and don’ts.
Easy accessibility: Sephora offers easy accessibility to the customers regarding makeup. The
company provides customers with the fragrance testers, color identifier handheld device
known as Color IQ. It helps customers to identify their color likings. It facilitates to define
looks of the customers by using simple tutorials (van Hoorn & Maseland, 2016).

Marketing 3
Extensive product folio: Sephora has an extensive product portfolio comprised of private
labels sold under Sephora and leading brands like MAC, Kalvin Clein, Estee Lauder and
Loreal. The company is also an elite retailer of the top cosmetic brands.
Weaknesses
Luxurious: Sephora is a significant performer in the beauty industry and is extremely
fragmented. Therefore the number of players and the range of pricing differ significantly. The
company is a player of the luxury segment and is immensely priced (Alleppa, 2018). So, the
products of the company are unaffordable by most of the people.
Over-attention on the experience: The company spends a lot of wealth on creating an
effective experience for the customers. The similar experiences are created by assimilating
across channels. It causes challenging to execute.
Channel dilution: Sephora is an exclusive retailer for various exclusive cosmetics and makes
up which are competitors which are direct competitors to the company. It has weakened the
parent brand and affecting sales as well as an image of the company.
Opportunities
Growth possibilities for cosmetics: The cosmetics industry is in the highest growth mode
currently and the women have also become conscious about their looks. The customers
understand the requirement of the makeup for various types of skins (Stahl & Tung, 2015).
Expansion in the emerging countries: Sephora can enter into the emerging countries by
suiting as per the requirements. The consumers are also ready to pay higher prices of such
countries.
Threats
Competition: The major competitors of Sephora are MAC, Estee Lauder, Versace, Clarins,
Calvin Klein and Parfuma Lubin.
Maintaining low cost: Maintaining low cost has also become a major concern for the Sephora
because of the high cost of the raw material. Along with this, the company suffers from
maintaining high brand quality and service (Sharma & Kurien, 2016).