BROWN GIRL LIPS: Market Research and Target Segmentation Analysis

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Case Study
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This case study examines the market dynamics and strategic considerations for BROWN GIRL LIPS, a lipstick manufacturing firm. It begins with an overview of the importance of market research and segmentation, particularly in the context of the e-commerce landscape. The study analyzes market trends, consumer behavior, and the competitive environment, highlighting the advantages of online shopping for the company. It provides a detailed market analysis, including a comparison of key competitors like Lakme, Elle, and Covergirl. The case study emphasizes the importance of stakeholder relationships and then defines target segments based on geographic location, access to technology, gender, age, and income level, focusing on brown girls in the MEA and Asia-Pacific regions. The analysis underscores the opportunities for BROWN GIRL LIPS in the global lipstick market, emphasizing the potential for growth and the importance of understanding consumer preferences. The study concludes by summarizing the key findings and implications for BROWN GIRL LIPS' marketing strategy, emphasizing the need for effective market research and segmentation to achieve business objectives.
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Case Study
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TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MARKET RESEARCH...................................................................................................................3
RELATIONSHIP.............................................................................................................................4
TARGET SEGMENTS....................................................................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7
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INTRODUCTION
Market research and segmentation both are essential activities for every business. In regard
to have sustainable development of business the management need to have concerned regarding
market conditions. On the basis of analysis the decisions regarding segmentation are being taken
into account. In order to have better understanding about the subject, BROWN GIRL LIPS
lipstick manufacturing firm has been taken into account.
MARKET RESEARCH
Web based shopping has been most helpful for individuals in late time. It has been seen that
shopping inclinations change contingent upon a man's circumstance. Numerous individuals are
beginning to lean toward web based shopping more than in-store shopping. Web based shopping
is most advantageous for people that don't have sufficient energy to go to the store. On the off
chance that individual is occupied with an online activity or online classes then internet shopping
can now and again be more helpful. It's additionally helpful since individual don't need to drive,
get the transport, hold up in a long queue, or manage not having the capacity to discover a thing.
In-store shopping can be most helpful for the individuals who are once in a while at home and
don't have room schedule-wise to analyse costs. It's particularly helpful for the individuals who
work outside of home and understudies on grounds. In-store shopping can likewise be a ton
faster since you don't need to stress over transportation. It indicates that for company the
consideration of online shopping store is more convenient as it will assist in improving the
performance.
In addition to this, it can be said that using online shopping the overall market share of
company can be advanced in critical manner. It assist customers to have easy access to the
products and services so that their needs can be accomplished. Business can also attain rapid
growth so that long term opportunities can be attained. It also save time and cost which need to
be referred by management in appropriate manner. However, disadvantage of online shopping is
delay in delivery. It might affect the customer perception towards online shopping. It means the
supply chain of company must be advanced so that goals and objectives can be accomplished.
Factors Lakme Elle Covergirl Strands BROWN
GIRL LIPS
Product quality High Moderate Low Low High
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Price High Moderate Low Low Moderate
Suggestive selling Low High High Moderate Low
Website features Moderate Low High Moderate
Design of website Low Moderate Low High Moderate
Ease of website
use
Moderate Low Moderate Low High
Closing of the
sale
High High Low Moderate Low
On the basis of detailed analysis, it can be said that there are number of lipstick product
providers in world who operate their business on e-commerce platform. By having an effective
development of key measures the issues can be overcome in desired manner. It has been noticed
that Lakme was the first major beauty brand in India with a legacy of over 60 year. Company is
having total revenue of $49.9M. It indicates that overall development and opportunities for
company is highly impressive. In addition to this, it can be said that product quality of Lakme is
high which might affect the business of BROWN GIRL LIPS (Betz, 2011). It means startup
business firm need to ensure that they are offering products to brown girls in moderate or low
pricing. It will create a better opportunities. Lipstick market has great opportunity at global level.
It means BROWN GIRL LIPS can have better expansion in the market. Worldwide Lipstick
anticipated to develop at a CAGR of around 4%, in esteem terms, amid 2017-2022. Expanding
number of working ladies, expanding per capita use on excellence items, expanded utilization of
restorative items, expanding youthful populace in the creating nations and expanding party
culture and mold articulation is required to drive interest for lipstick throughout the following
five years.
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Figure 1Market Trend
(Source: Lipstick Market. 2015.)
Moreover, the market analysis of lipstick industry indicates that Asia-Pacific and MEA has
high scale of opportunity. It has been witnessed that using diverse factors the overall business
opportunities can be advanced in critical manner. Key reason behind increase in demand of
product is to have increase in number of working women’s. Brown girls are also high motivated
to have participation in working. In MEA and America number of brown girls are focused
towards working environment which also attracts them to have purchase of lipstick.
RELATIONSHIP
In order to have effective promotion of business opportunities, it is necessary for members to
string relationship with stakeholders. It is necessary to have effective evolution of key needs of
diverse stakeholders so that goals and objectives can be accomplished (Bowhill, 2008). For a
client driven organization, no partner relationship is more basic than that between the business
and its clients. Treating clients decently and giving solid item and administration arrangements
enable organization to collect long haul client dependability (Dibb and Simkin, 2008). The
relationship of business with its workers impacts the organization culture and, thusly, the way
your representatives cooperate with your clients. Acknowledgment of the significance of the
worker relationship has developed altogether in the mid-21st century.
TARGET SEGMENTS
Segmentation Bases Characteristics of Consumers Shopping Online
Geographic Company will provide product to brown girls who
belongs to MEA and Asia-Pacific reasons. It will provide
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better opportunity to business and allow to accomplish
objectives.
Access to technology Technological support will also be provided to the
customers so that they can have easy access to the e-
commerce services. It will allow to have improvement in
sales and ensure about key opportunities (Evans, Jamal
and Foxall, 2009).
Gender Females will be target market for the BROWN GIRL
LIPS company because company will provide lipstick as
a product which is mainly used by women’s.
Age Age group of target customers will be 18-40. It is
because working women are mainly belongs to such age
group which provides a support to overall development
(Gilmore, A., 2013).
Household Income Middle class income level customers will be target
customers of company in order to attract more customers
and ensure about opportunities.
Segmentation is that piece of the promoting plan, where target showcase is separated into
various sections based on kinds of administrations which are furnished by business association
alongside its inclination. In current situation, it can be proposed to the administration BROWN
GIRL LIPS that they should partition its product offering based on statistic factors. Thus, they
would need to mull over the perspectives like age, salary, gaining limit, and so on. In this, Aisa-
Pacific market and MEA market will be major concern of the company (Hooley, Saunders and
Piercy, 2009). It will allow to attract more customers and ensure that goals and objectives are
being accomplished. Experts at BROWN GIRL LIPS can look towards target individuals of the
youthful age falling in age gathering of 18-40 years as they are the person who have enthusiasm
towards utilization of Lipstick. In addition to the segmentation, it can be said that company will
target customers who are attracted towards online shopping for cosmetic and beauty products.
By having an effective consideration of such measures the issues can be resolved in desired
manner. With an application of online segmentation as per needs of business allow to attract
more customers. In this, company can target girls to have shopping with time saving. It will
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attract more customers towards business. Also, company can also on girls or women who are
having working culture and need to visit various business conference in a day (Goi, 2009).
Alongside this, individuals who have stable gaining examples can likewise be included into it.
Thus, the specialists will be required to recognize those individuals who acquire a decent
measure of cash and afterward tries to draw in them towards organization. In this specific
situation, people having a place in centre with high wage gathering can be considered. It has
been noticed that company will focus on customers who have low income level so that Brown
Girls can easily access the product. It will advance the opportunities and ensure that business is
having impressive level of success (Hormozi and et. al., 2012). In addition to this, it can be said
that customers can access the information in respect to product over online shopping website.
Also, information will also be available on the official web portal as well. It will provide easiness
to the customers and ensure that better shopping experience has been provided.
CONCLUSION
According to above study, it can be inferred that Lipstick showcase has awesome open door
at worldwide level. It implies BROWN GIRL LIPS can have better development in the market. It
implies new company firm need to guarantee that they are putting forth items to dark young
ladies in direct or low evaluating. In this, Aisa-Pacific market and MEA market will be
significant worry of the organization. It will permit to draw in more clients and guarantee that
objectives and targets are being expert.
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REFERENCES
Betz, F., 2011. Managing Technological Innovation: Competitive Advantage from Change. 3rd
ed. John Wiley & Sons.
Bowhill, B., 2008. Business Planning and Control: Integrating Accounting, Strategy, and
People. John Wiley and Sons.
Dibb, S. and Simkin, L., 2008. Marketing Planning: A Workbook for Marketing Managers.
Cengage Learning EMEA.
Evans, M, Jamal, A, and Foxall, G., 2009. Consumer Behavior. 2nd ed. Wiley.
Gilmore, A., 2013. Services Marketing and Management. SAGE.
Goi, C. L., 2009. A review of marketing mix: 4Ps or more?. International Journal of Marketing
Studies. 1(1).pp. 2.
Hooley, G, Saunders, J and Piercy, N., 2009. Marketing Startaegy and Competitive Positioning.
Prentice Hall International.
Hormozi, A. and et. al., 2012. Business plans for new or small businesses: paving the way to
success. Management Decision. 40(8). pp. 755-763.
Ivy, J., 2008. A new higher education marketing mix: the 7Ps for MBA marketing. International
Journal of Educational Management. 22 (4). pp. 288–299.
Lipstick Market. 2015. [Online]. Available through<
https://www.techsciresearch.com/report/global-lipstick-market/1268.html>.
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