Developing And Providing A Positioning Strategy

To be the company that best understands and satisfies the merchandise, service and self-fulfilment needs of women - globally.

Company Profile

Avon is the world's leading immediate retailer of beauty and related products, getting ladies in over 120 countries through 5. 8 million unbiased sales Associates.

2009 recognizes Avon observe its 50th Wedding anniversary in the UK. Avon UK has truly gone from durability to strength and now is one of the very best beauty brands in the country, providing its customers with innovative, stylish, and great value products.

Avon provides an extensive selection of products including make-up, skincare, perfume, jewellery, underwear, personal good care, accessories and products.

Avon is focused on empowering women and helping their causes. Since 1992, Avon (UK) has lifted nearly Ј15 million for breasts malignancy charities.

http://www. avon. uk. com/PRSuite/whoWeAreMain. page [Accessed 09 March 2010] (Avon UK, 2010)

Our Vision

To be the company that best understands and satisfies the merchandise, service and self-fulfilment needs of female globally. Our five ideals are Trust, Esteem, Belief, Humility and Integrity. We believe everything we do, everything we say, and everything we produce as an organization are infused with these values

http://www. avon. ie/PRSuite/whoweare_main. page [Accessed 09 March 2010] (Avon UK, 2010)

Literature Review

Business and marketing are changing itself from standard functions towards new hi-tech processes. It is changing radically because of this of major societal makes such as technological innovations, globalisation, and deregulation. These major pushes have created new behaviours and challenges.

Customers significantly expect top quality and service and some customisation. They understand fewer real product distinctions and show less brand loyalty. They are able to obtain extensive product information from the Internet and other resources, which permit them to shop more intelligently. They are really showing higher price level of sensitivity in their seek out value.

Brand manufacturers are facing extreme competition from local and international brands, which is resulting in rising campaign costs and shrinking profit margins. They are being further buffeted by powerful sellers who command limited shelf space and are adding out their own store brands in competition with nationwide brands.

Store based stores are battling; small vendors are succumbing to the growing power of giant retailers and 'category killers'. Store based merchants are facing growing competition from catalogue properties; direct mail firms; newspaper, journal, and Tv set direct to customer ads, home shopping Television and internet. As a result these are experiencing shrinking margins.

http://www. eauc. hk/show. asp?id=121 [Accessed 09 March 2010]

Developing and Providing a Positioning Strategy

All online marketing strategy is built on Segmentation, Targeting and Setting. Company discovers different needs and communities in the marketplace, targets those needs and organizations that is can gratify in a superior way, and then positions its offering so the marketplace recognises the organisation's distinctive offering and image. If the company does an unhealthy job of positioning, the market will be puzzled as to what to expect, whereas if a company does an outstanding job of setting, then it could work out the others of its marketing planning and differentiation from its placement strategy.

Positioning is actually the function of designing the company's offering and image to occupy a distinctive put in place your brain of the mark market. The outcome of placement is the successful creation of a person concentrated value proposition, a cogent reason the mark market should however the product.

To communicate a company or brand setting, a marketing plan should include a positioning declaration. Avon has an extremely clear cut setting statement which identifies their offerings, brand image and targeted sections, Avon says, 'The Company for women' this declaration builds a specific belief in the brains of aim for customers which helps organisations to handle and provide them effectively.


Branding is a major issue in product strategy. Possibly the most distinctive skill of professional marketers is their capability to produce, maintain, protect, and boost brands. Branding is the skill and cornerstone of marketing. 'Relating to American Marketing Association identifies a brandname as: a name, term, signal, sign, or design, or a mixture of them, intended to identify the goods or services of one seller or group of sellers and distinguish them from those of rivals' (Marketing Management Eleventh Edition by Philip Kotler)

Building Brand Identity

A brand is a sophisticated image that can communicate up to six levels of meaning,

Attributes: A brand brings to brain certain traits. Like Avon implies high quality, high performance, reasonable costing, and durable makeup products range.

Benefits: Characteristics must be translated into efficient and psychological benefits. The features such as 'durable' for Avon beauty products could be translated into the practical benefits. The attribute 'reasonable charges' results in the psychological benefits.

Values: The brand also says something about the producer's values. Avon brand means high class and high performance products.

Culture: The brand may stand for a certain ethnical values. Avon signifies United Sates fashion culture, how people look after themselves.

Personality: The brand can project a certain personality. Like Avon signifies classy personality.

User: The brand suggests the sort of consumer who buys or uses the merchandise. Avon attracts women and women with its offered products and today they are also focusing on men products too.

Building the brand id requires additional decisions on the brand's name, logo design, colorings, tagline and mark. These are marketing tools and techniques. A brand is actually a marketer's offer to deliver a selected group of features, benefits, and services regularly to the clients. The professional must establish a quest for the brand and a vision of the actual brand must be. The marketing consultancy must feel that he is supplying a contract to the client regarding how the brand will perform. He brand agreement must be honest.

Product Life Cycle

Most product life-cycle curves are portrayed as bell shaped. This curve is typically split into four stages; release, expansion, maturity and decrease.

Introduction: A period of slow-moving sales progress as the merchandise is introduced on the market. Revenue are nonexistent due to heavy expenditures incurred with product release.

Growth: An interval of quick market approval and substantial income improvement.

Maturity: An interval of the slowdown in sales expansion because the product has achieved acceptance by most audience. Profits stabilize or decline because of increased competition.

Decline: The period when sales show a downward drift and profits erode.

http://www. eauc. hk/show. asp?id=125 [Accessed 25 March 2010]

Market Modification

The company make an effort to expand or sustain its market when it experiences decline in their sales and market show. It can make an effort to expand the amount of brands users by way of a) converting nonusers b) coming into new market sections c) winning rivals customers.

Product Modification

Marketers also make an effort to induce sales by changing the product's characteristics through quality improvement, feature improvement, or style improvement.

Quality improvement aims at increasing the products functional performance. A maker can often overtake its competition by starting a 'new and increased' product.

Strategic Business Unit

Strategic planning demands action in three key areas: The foremost is managing the company's businesses as an investment profile. The second includes examining each business's durability by considering the market's expansion rate and the company's position and fit in that market. The 3rd is establishing a technique. For each business, the business must create a game plan for achieving its long-run objectives.

The marketing plan is the central tool for directing and coordinating the marketing work. Today, the marketing section does not placed the marketing plan alone. Plans are developed by clubs, with inputs and sign-offs out of every important function. These plans are then carried out at the appropriate degrees of the organisation. Results are watched, and corrective action is considered when necessary.

http://www. eauc. hk/show. asp?id=124 [Accessed 20 March 2010]

Avon Marketing Strategies


Avon adopts penetrating price strategy for its United Kingdom market, they would like to sell their products in mass amount so that each sole person could reach to their products. This costs strategy works perfectly for Avon, because customers can get high class products within the realistic price mounting brackets.


Avon follows immediate marketing and words of oral cavity online marketing strategy, Avon has established this organised tree framework marketing strategy in which they propagate their products through roads and every specific house through catalogue syndication. This distribution strategy takes on vey vital role in increasing Avon's sales.


Avon did not want to cannibalize Avon females who possessed close relations with customers. Fortunately, Avon's research exhibited little overlap between existing customers and potential web customers, so Avon gone forward. They differentiated themselves from others by introducing unique direct online marketing strategy which their opponents are not pursuing currently.

Product Range

Avon offers very wide selection of products, they were specialised in producing aesthetic products range for women and women, now also, they are getting into men range also they have varied their product range with the addition of electric products for men and undergarments installing outfits for ladies too.

Evolution of E-Marketing

E-business describes the use of digital means and websites to carry out a company's business. The introduction of the internet has greatly increased the power of companies to execute their business faster, more effectively, on the wider selection of time and space, at reduced cost, and with the ability to customise and personalise customer offerings.

E-commerce is more specific than e-business, this means that in addition to providing information to site visitors about the company, its history, procedures, products, and job opportunities, the company or site offers to transact or help in the selling of products and services online. E-commerce has given rise subsequently to e-purchasing and e-marketing. E-purchasing means companies make a decision to get goods, services, and information from various online suppliers.

Company purchasing agencies initially favoured moving their commodity buys to digital marketplaces that bring together many clients and sellers in a single place. However, they are unwilling to finalise online trades with companies they never heard of, have no idea well, or have not done business with in the past. They prefer to identify a promising retailer online and then get into offline negotiation rather than place an order online. Most purchasing categories prefer to create their own portal with extranet cable connections to favoured and respected suppliers.

Consumers are also finding it easier to talk to companies. Companies often encourage communication by inviting potential clients and customers to send in questions, recommendations, and even complaints via email. Some sites even include a call-me button, the customers clicks on it and his / her phone jewelry with a person representative ready to answer a question. Customer service associates can in concept respond quickly to these emails. Yet many online sellers are guilty of appreciable slow replies to consumer email. Smart online marketers will answer quickly, by sending out newsletter, special product or campaign offers predicated on purchase histories, reminders of service requirements or guarantee renewals, or announcements of special happenings.

http://www. blogcatalog. com/blogs/how-marketing-practices-are-changing-ebusiness-by-moses-isaac. html [Accessed 25 March 2010]

Customer Databases and Data source Marketing

A customer database can be an organised assortment of complete information about specific customers or potential customers that is current, accessible, and actionable for such marketing purposes as lead generation, lead qualification, sales of a product or service, or maintenance of customer romantic relationships. Data source marketing is the process of building, keeping, and using customer databases and other directories (products, suppliers, resellers) for the purpose of calling, transacting and building associations.

A customer data source ideally would contain the consumer's past acquisitions, demographics (age group, income, members of the family, birthdays), psychographics (activities, passions, and opinions), mediagraphics (preferred press) and other useful information.

Data Warehousing and Datamining

Through datamining, marketing statisticians can draw out useful information about individuals, tendencies, and sections from the mass of data. Datamining entails the use of sophisticated statistical and numerical techniques such as cluster research, automatic interaction recognition, predictive modelling, and neural networking. A corporation that wishes to learn the most from its database needs to indulge the services of a person or company skilled in datamining.


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