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Transcript of MAC cosmetics
"All ages,all races,all sexes"
• Professional make up products with simple packaging in black&white plastic or glass.
High-quality product – premium price
Price skimming strategy
• MAC has stores in 85 countries around the world.
• Shops are situated in shopping centers and department stores.
• Characteristics of product: eye-catching, chic, stylish, high quality, backstage make up.
Foundation $27 - $35
Eye shadow $16 - $45 (big pallets – up to $320)
Mascara $17 - $22
Eyeliner $16 - $20
• Target audience: women – 18-35 y.o.
• All MAC employees are professional makeup artists. All of them should wear work attire – black outfits.
• Average Salary of MAC Retail MakeUp Artist- $17/hr
How changes in the demographic and economic environments affect marketing decisions
MAC cosmetic's customer
MAC continues to be a testimonial brand
MAC does advertise only one product and that is Viva Glam Lipstick
MAC Cosmetics was revealed as the runaway leader, dominating the colour cosmetics sector due to the seamless integration between its social channels and brand website
Launching new colors, products, collections every 2-3 weeks
“Back to MAC”
- MAC depends very much from suppliers
- if raw material price rises price of cosmetics rises too
- suppliers are important business partners
- Stores, Resellers, Service and Advertising agencies , etc
- Help MAC to advertise, distribute and sell cosmetics to the customer
-Nars, Make up forever,L´Oreal, etc
- Financial institutions, Magazines, TV, Internet, Government
- Mainly women all over the world
Demografic forces :
- Statistics about population, age, gender, location, race
- Income of customers purchasing power
- Resources needed for production of cosmetics
- Pollution that affects natural resources
- Changes very fast
- Creates new opportunities and markets
- High competition in technological sector (new&cheaper ways of production)
- Restriction and laws
- Can forbid certain ingredients in cosmetics, like silicons, parabine, dimethicone
- Change of fashion, values, trends, preferences and behavior
- If birth rate decreases, MAC will have more older customers
- Analyze new customer groups and adapt cosmetics to their needs and wishes
- if customers get richer, MAC can set higher prices and improve their products by investing in research
- if purchasing power decreases:
1. low prices
2. save money in advertising
3. look for cheaper suppliers and resources
4. create new ways of distribution
2.Customer Purchased Patterns and Behavior:
Income of 25000 dollars
83% of customers
1st company-online conversation with make-up artist
3.Customer Selection and Purchase Criteria