Body Shop Company: Marketing Environment, Stakeholders, and Consumers

This report provides a comprehensive marketing analysis of The Body Shop, a multinational company specializing in eco-friendly beauty products. It begins with an introduction to the company, highlighting its history, product offerings, and commitment to ethical practices. The report then delves into the marketing environment, discussing macro-environmental factors through PESTLE analysis (political, economic, social, technological, legal, and environmental) and the strategic use of marketing to build customer loyalty. A SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) is presented to evaluate the company's internal and external factors. The report also includes a stakeholder analysis, identifying key groups and their roles. Consumer buyer behavior is examined, with a focus on factors influencing purchasing decisions and the benefits of understanding these behaviors. Finally, the report explores market segmentation, identifying The Body Shop's target market and its positioning within the competitive landscape, including competitors such as L’Oreal and Bath & Body Works. The report concludes by referencing academic sources used in the analysis.

Portfolio
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Contents
Introduction of Body Shop Company..........................................................................................3
Discuss about the marketing environment and Why Body shop use marketing environment....3
Application to body shop.............................................................................................................3
Stakeholder analysis....................................................................................................................5
Consumer buyer behaviour and benefits to body shop company................................................5
Market segmentation and identification of client target market..................................................5
REFERENCES................................................................................................................................7
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Introduction of Body Shop Company
The body shop is based on the multinational company which is mainly producing
ecological hair, skin products. The organization offers over 1200 naturally produced beauty item
especially target at women in global marketplace. Various products such as shampoos, soaps,
skin cream and also include the beauty related accessories. The first body shop store was opened
by Anita Rodrick in 1976. Afterwards, it was declared as public organization and created an
environmental project department (Ahmed, Sultana and Chhikara, 2019). In 2006, ongoing stop
violence occurs in home and also conducting the study on domestic activities against children’s.
Afterwards, body shop has created a partnership with other firm such as UNICEF. In order to
operate the business various countries.
Discuss about the marketing environment and Why Body shop use marketing environment.
It is a combination of both external as well as interface which always influence the overall
enterprise ability to establish relationship and serve its existing customers.
The body shop company is able to develop the strong base loyalty, trust among customer.
It only possible when they adapt the marketing environment for identifying preference, demand
of potential customers. In this way, it has identified that many customer want to purchase natural
ingredients item because people conscious about skin (Kampker and et.al., 2019). Furthermore,
the body shop uses environmental and social campaign to promote their brand across the world.
They mainly target the potential audience who will use various cosmetic item. So that marketing
concept will promote to build coordination among customer and management. In order to
identify their specific need and requirement. The body shop use marketing environment to
increase their productivity and profitability in global world.
Application to body shop
The macro environment factor which mainly used pestle analysis and become consider as
business strategic tool to understand and measure overall body shop growth.
Political and legal factor: The body shop company has been established the relationship with
community such as fair trade supplier which providing the better quality of raw materials in
different countries (Kuhn, 2019). Therefore, body shop follows the regulation through local
government in marketplace. Sometimes, the overall condition of body shop was unstable due to
political environment when it has occurred recession time in foreign market.
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Economic: The current market position of body shop firm is better in market due to
climate change. There are various unhealthy meals cause skin problem or issue. In order to
increase the price or cost on raw materials. Afterwards, it directly affect on the retail price while
increasing demand in marketplace (Nahan and Kristinae, 2019). Moreover, the purchasing power
of consumer always influence by disposable income of people. It may identify that body shop as
luxury brand in other countries.
Social: There are many consumers move towards other brand because they provide eco-
friendly items. In such case, the body shop failed to target the market such as kids, baby in term
of organic items.
Technology: it can be used the social media marketing such as Facebook which provide
the accurate information to the consumers. In order to promote the brand awareness among
people (Rautiainen and Pihkala, 2019).
Environmental: The global warming, climate change that will affect on the supplier chain
of raw materials. It emphasises on the eco-friendly policies to protect the environmental
condition.
Swot analysis
Strength
 The body shop has a huge franchisee
network over 2,500 stored in more than
70 countries (Rautiainen and Pihkala,
2019).
 The company is redesigned the store
layout, structure which not only create
ambience for guest attraction but also
establish the connection with
customers.
Weakness
 There is slower distribution because of
chemical legislation.
 The body shop uses little advertising of
particular good and service (Pillai and
Bayat, 2020).
Threat
 The competition level is high in
cosmetic industry. The body shop use
some exquisite raw material for product
Opportunities
 It has increased the awareness of eco-
friendly item so that many customer
attracts towards services.
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development.
Table: 1
Stakeholder analysis
It is based on the process of determining the people before the project starts. It is
grouping them according to the participation level of each person. The primary reason for body
shop existence is to expand its overall profitability. Assessing the performance which become
help for comparing level of product from other organization. In body shop, there are various
stakeholder that perform different operation and function (Rautiainen and Pihkala, 2019). It is
mainly involves employees, customers, franchisees, traders, supplier, community and
government. Each and every one focused on the business activities to improve their performance
and efficiency.
Consumer buyer behaviour and benefits to body shop company.
The consumer buying behaviour depend upon the different factors such as situational,
psychological, personal and social people who will shop for products.
Keep in mind however, each people have different purchasing decision. It might be
interested in the cosmetic item. Therefore, the body shop is only providing helps them reach
people most likely to purchase their item.
In some situation, existing customer should follow the decision making process to
purchase item from body shop company (Rautiainen and Pihkala, 2019). It can be divided into
different types: recognition, search information, product evaluation, choice to purchase item and
disposal of product. These are way to make decision and identify that which product suitable for
them.
The benefits of body shop that engage with more and more customers. In order to
develop brand awareness among people. it is beneficial for organization to increase production
and sales.
Market segmentation and identification of client target market
Market segmentation is a process that provide the idea about how select target markets.
The body shop is mainly targeted the customer at all age who use healthy and natural item. In
additional, existing consumers are awareness about the social issues and concern them testing
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items. Initially, body shop provide the natural beauty range including cosmetic for men and
women.
Client target the market: The body shop has wide range of customer from middle to upper
class. Organization main target audience is 20-30 years old women. It provide the various
product both categories and segment the item in proper manner (Rautiainen and Pihkala, 2019).
The body shop need to target the audience for improving overall business revenue. As
identified other potential competitors such as L’Oreal, bath & body works. These always tried to
give tough competition for body shop in marketplace.
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REFERENCES
Book and Journals
Ahmed, J.U., Sultana, H. and Chhikara, R., 2019. Natura Siberica: Challenging Entry in
OrganicCosmetics Business. Journal of Operations and Strategic Planning.
p.2516600X19886221.
Kampker, A. and et.al., 2019. Identifying and evaluating flexible approaches for automobile
body production areas. In E3S Web of Conferences (Vol. 95, p. 01007). EDP Sciences.
Kuhn, L.L., 2019. Character in cloth and concrete: a costume and scenic design portfolio.
Nahan, N. and Kristinae, V., 2019. Analisis Citra Merek Terhadap Minat Konsumen Produk The
Body Shop Palangka Raya. Jurnal REKOMEN (Riset Ekonomi Manajemen). 3(1). pp.70-
77.
Pillai, A. and Bayat, M.S., 2020. SUSTAINABLE GROWTH OF CLOVER'S PREMIUM
PRODUCT PORTFOLIO IN SOUTH AFRICA'S LOWER INCOME MARKET
SEGMENTS. Kuwait Chapter of the Arabian Journal of Business and Management
Review. 9(1). pp.28-39.
Rautiainen, M. and Pihkala, T., 2019. The Emergence of a Family Business Group: The Role of
Portfolio Entrepreneurship. In The Family Business Group Phenomenon (pp. 65-87).
Palgrave Macmillan, Cham.
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