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Marketing report for Princessa Beauty Products by David Jeong

David Jeong

on 28 March 2016

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Transcript of Marketing

The new BLACK MAGIC image
Our Consumers
Current Market
Potential Male Segment
Potential Boomer Segment
"Know it alls"

High Breadth
Low Breadth
High Depth
Low Depth
Beauty Palace
Jean Coutu
Black Magic
Princessa Beauty Products Marketing Analysis
Group 2: Bill Li, Brett Sun, Caroline Kang, David Jeong
Poor financial performance in the year 2007
Increased competition
Increasing costs, 15% projected
Untapped growing markets (men's care and anti-aging)
Potential to make advertisement campaigns more effective
Untrained sales staff with potential to sell more goods per customer
Loyal customer base
Beauty Product Retailers
Department Stores
Direct competitors
Many new to the industry
High assortment, low variety (high specialty)
Weak in promotional activities
Self service beauty counters
Designer/high quality brands
Higher sales figures and bigger customer base
Limited Offerings
Targets more general audience, but starting to focus same target market
Profits and Pricing
Decision Criteria
Increase customer base
Increase share of wallet per customer
Customer satisfaction/retention
Financial feasibility
Risk factor
Foster long term growth and sustainability
Projected and Historical Profits/Sales
Pricing Strategy
Price penetration
Everyday Low Pricing (EVLP) retailer
Discounted product bundles
Leader pricing
Sales Breakdown
Costs Breakdown
Administrative: 17%
New COGS: 28%
Old COGS: 55%
2008 Forecast Breakdown
Cost Breakdown
Sales Breakdown
New Sales: 25%
Old Sales: 75%

Loyalty Program
1. Re-brand to Black Magic
2. Reposition as a discount retailer
Increase product breadth
Create convenient shopping experience
3. Focus on informative advertising
Promotional Strategies
Informative advertising
Advertise the new positioning
Geographically focused
Newspapers, radio advertisements, flyers, billboards, posters
Geared towards the new target markets
Loyalty program
Referral and Trade-in-wig program discounts
Customer retention
Customer lifetime value
The New Black Magic Store
Product Line-up
Re-balance products carried
More breadth, less depth
Male, anti-aging products
Replace underselling items with new products
Maintain customer-service level
Place of Purchase
Replace existing Princessa signage
Maintain organized and professional atmosphere
Intuitive layout for all shoppers
Self-contained sections for differentiated segments
Point of purchase displays
Thank you for your attention
We are now opening the floor
to any questions
Advertising Budget Breakdown
Full transcript