Estee Lauder is a public company of American origins that is associated with cosmetics industry. It was established in the year 1946 by its founders Joseph Lauder and his wife Estee Lauder. The company deals in marketing and manufacturing of products related to hair, skin and make-up. It uses advanced technology and innovative concepts to create products that personify superior quality, ultimate luxury and quite an elegance. Some of its rival companies are as follows-
- Procter & Gamble
Product in the Marketing Mix of Estee Lauder :
Estee Lauder started its product portfolio with only four items Crème Pack, Super-Rich All Purpose Crème, Skin Lotion and Cleansing Oil. Currently, it has a diverse product range that guarantees qualitative products that are both effective and gentle on skin. Portfolio includes-
- Skincare includes products like cleanser, face oil, toner, mask, BB crème, moisturiser, anti-blemish, anti-wrinkle, eye-care and repair serum
- Fragrances include Sensuous, Pleasures and Beautiful for women and Intuition and Lauder for men
- Makeup products include powder, blush, concealer for face, mascara, eyeliner, eyeshadow for eyes, lipstick, lip pencil for lips, nail lacquer and accessories like refills and brushes
- Re-Nutriv includes eye cream, face oil, mask for skin care and concealer and foundation for make-up
Place in the Marketing Mix of Estee Lauder :
Estee Lauder is an international company with its network spreading over various parts of the world like Brazil, China, Japan, United Kingdom and Italy. It has its headquarters base in Midtown Manhattan in the United States. The brand started its journey from New York City and for next fifteen years, they expanded their operating network in several parts of United States.
In the year 1960, Harrods in London was chosen as its first international destination and next year was the turn for Hong Kong office. Currently, Estee Lauder has been selling its products across the world in nearly one hundred and thirty-five countries through department stores and a chain of retail outlets. Its products are also available at its online stores. Its distribution network is dependent on its efficient supplier chain and capable employees.
Price in the Marketing Mix of Estee Lauder :
Estee Lauder has projected itself as a super-premium brand with high-quality products which are in great demand in the market. The company has targeted upper and a upper-middle class section of society for whom beauty is always at the forefront. A woman will never hesitate to spend a few extra bucks if she thinks will prove beneficial and provide good results.
Estee Lauder has adopted a premium pricing policy for its products because it recognises that it is offering value-added products which will get dividends in terms of great revenues. To compete with its rival companies it offers several incentives like gift coupons, discount on first purchase and discount on online shopping. It brings down the high prices to a reasonable level and helps in retaining customer loyalty.
Promotion in the Marketing Mix of Estee Lauder :
Estee Lauder is a recognised brand in the consumer market and it has undertaken several policies to promote its products and increase brand awareness. New customers receive 15% off on first purchase through brand’s online stores. It has launched a scheme of offering free gift coupons on meeting some of the set criteria of the brand. This is emailed directly to address of recipient within a short time period. It has been successful in creating a new consumer base and has also served as a reward for loyal customers. As part of providing transparency, information is published on its packaging like net contents, usage directions, ingredients, country of origin and name of the manufacturer.
Estee Lauder promotes its brand and products through several tools like photo displays at strategic points, editorial coverage and direct mail. Sales and marketing executives are encouraged to spend time with customers and offer best possible help. Popular faces for brand Estee Lauder include Shaun Casey, Elizabeth Hurley, Willow Bay, Anja Rubik, Carolyn Murphy and Gwyneth Paltrow. Other supermodels to be associated with this popular brand are Hillary Rhoda in the year 2008 and later Joan Smalls and Liu Wen.