youblisher.com-129676-imc plan for mac

8/11/2019 Youblisher.com-129676-IMC Plan for MAC

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FSH 385 Final Project

IMC Plan for MAC Cosmetics

Student Name:

Sarah Schaller


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Contents:

Executive Summary page 3

About MAC ... page 4

Target Market .page 5

Targeting Strategy ... page 10

Competitor Analysis ..page 11

Positioning and Competitive Advantage .... page 15

Current IMC Strategy and Execution ....page 17

Proposed IMC Strategy and Objectives ... page 19

Proposed Really Big Idea ... page 22

Sample Creative Executions .... page 23Evaluation and Measurement of Success ... page 34

Conclusion ... page 36

Sources ... page 37


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Executive Summary

For almost 27 years, MAC Cosmetics has delighted make-up artists and

cosmetics devotees alike with innovative and professional cosmetic products.

In order to sustain and communicate the brands trendsetting and fashion-

forward image, MACs IMC strategy has to reflect these core qualities to a

greater degree by means of exciting limited editions, the implementation of

new technologies, customer proximity, interactivity and social responsibility

With an improved IMC marketing plan MAC will remain as successful and

unique as it currently is.


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About MAC

The Canadian brand was founded in 1985 by make-up artist and fashion

photographer Frank Toskan and hair stylist Frank Angelo in Toronto.

Their goal was to develop a line of cosmetic products that would cater to the

needs and challenges of professional make-up artists.

Today, MAC (Make-up Art Cosmetics) is not only popular amongprofessionals, but also a go-to brand for customers around the world who

place value on quality and a wide range of colors.

Since 1998 MAC is part of The Estee Lauder Companies, Inc., one of the

worlds leading manufacturers and marketers of high-quality skin care,

decorative cosmetics, fragrances and hair care products.


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Target Market

Primary market segment: Make-Up Artists

MAC products were initially created for professional make-up

artists.

The brands special Pro line consists of more than 300 high-

performance products with high-quality formulations, a wide choiceof colors, rich pigmentation and various finishes to meet the

demands on-set and backstage.

Members enjoy Pro discounts and can attend master classes as well

as special events to meet other industry professionals.


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Secondary market segment: fashion-forward make-up amateurs

Most MAC consumers are female and fit into the 18-35 age category, thusbelong to the 71-million-strong Generation Y.

They are the biggest generation in U.S. history and ethnically diverse:

one-third of them have an African-American, Asian, Native American or

Hispanic background.

In terms of occupation, they are either college students of young

professionals with enough disposable income to invest in higher priced

cosmetics. There are likely to change employers frequently and expect great

workplace flexibility and a supportive working environment.

Gen Y prefers flat hierarchies and want to like the work they do.


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Born during the 1980s and 1990s technology has always been a part of their

lives. Thus, they are very tech-savvy, engaged in social networking and use

the Internet and smart-phones on a daily basis.

They are outgoing, open-minded, individualistic, and socially-conscious and

want to make a difference. Consequently, promotions that encourage social

action resonate highly with them.

They dont respond to traditional advertising but appreciate word-of-mouth

recommendations and online reviews to see whats best.

As fashion-conscious individuals they seek a unique look without

compromising on quality.


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A Day in the Life of MAC addict Mary


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The MAC AppealThe targeting strategy:

Individualistic Gen Yers turn to the brand because it encourages them todevelop creatively and express their individuality by means of their high-qualityand colorful products.MACs wide color choice also caters to the generations ethnic diversity.

According to market report commissioned by the U.S. Commercial Service, the

retail sales of color cosmetics in the UK are expected to increase in value byaround 4.3% and reach $1.93 billion in 2013.

By 2011, the ethnic population is forecast to reach 12% of the total population.Thus, the demand for medium-priced ethnic cosmetics is increasing and is a goodprospect for U.S. exporters. (www.export.gov)

Another reason is that the brand shows social responsibility (MAC Aids Fund, noanimal testing, Back to MAC program) and primarily relies on word-of-mouthmarketing.

Like their media-savvy customers MAC is engaged in social media activities likeFacebook, Twitter and YouTube to actively communicate with them.


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Urban Decay

History:

The American brand was founded in 1996 by

Sandy Lerner and Zomnir and David Soward

to provide women with colorful, high-quality

and cruelty-free make-up.

Key product lines:

Their Eyeshadow Primer Potion, colorful

Glide-On Eye Pencils and eye shadow palettes

are Urban Decays key product lines. They are

characterized by a rich pigmentation, staying

power, and a great color range.

Brand identity:

Bold, fun, glam rock

Pricing:

Foundation: 26 - 32

Lipstick: 19

Single eye shadow: 16

Distribution channels:

Own website (online shop), Sephora, online

stores (e.g. ASOS), brick and mortar stores

(e.g. JCPenney, Ulta, MACY'S)

Promotional strategy:

Website, events, billboards, magazines


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NARS

History:

Due to the success of his small collection oftwelve lipsticks, the French make-up artistsand photographer Francois Nars decided tolaunch a full line of cosmetics in 1994.

Key product lines:The most famous NARS product is a blushcalled Orgasm that creates a fresh and healthyglow on your face.

The Sheer Glow Foundations are also favoredbecause they clarify the overall skin tone andenhance the skins luminosity and radiance.

Pricing:

Foundation: 40 - 50

Lipstick: 25

Single eye shadow: 24

Brand identity:

cutting-edge, empowering, innovative

Distribution channels:

off-and online stand-alone NARS stores,Sephora, online shops

Promotional strategy:

Print campaigns, own website, Facebook,Twitter


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MAC S Positioning and Competitive Advantage

highly esteemed in

the fashion industry

Innovative formulas,

for example MACs

pigments

Regular and Pro assortment

Much sought-after limited

editions

Celebrity

endorsements for their

Viva Glam lipsticks

Back to MAC

Program and MAC

Aids Fund show

environmental and

social commitment


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Perceptual positioning map


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Audit of Current IMC Strategy and Execution

The Good:

MAC communicates one cohesive message that successfully reaches the targeted

customers, for example:

o They follow the show dont tell rule :

o The visuals always reflect the brands cutting-edge and artistic image, as well as

the concept and their website features video tutorials (Artists in Action) where

professional make-up artists show how to create different looks.

o By means of limited editions, they constantly set new trends and keep their

customers excited.

o Their website has interactive features (Shop Together )

o The catchy and straightforward phrases resonate with the target audience and

convey the theme of the collections well.


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The Bad and The Ugly:

o Launching too many limited editions in short intervals can oversaturate

people and shortens the time of anticipation.

o The (online) shopping experience could be even more interactive, fun and

customizable.

o The CSR and cause marketing options are not fully exhausted yet.


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Proposed IMC Strategy and Objectives

Objective:

M.A.Cs challenge is to live up to their trendsetter image and deliver a consistent

quality that both professional make-up artist and amateurs appreciate.

They should implement and enhance on- and offline strategies that reinforce the

following competencies :

Innovation and Creativity

Customer proximity and interactivity

Social and environmental commitment

By focusing on these areas, M.A.C can strengthen their market position and enhance

their competitive advantage.


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Innovation and Creativity:

I would recommend M.A.C to launch less but more unique limited editionsthat feature true must-have pieces with brand new colors, interesting

textures, exciting effects and appealing packaging.Making use of new technologies, for example 3D, flash animations and appsconvey the brands fashion-forward mentality.

Customer proximity and interactivity:

By means of social media platforms like Facebook and Twitter, the brand canbe perceived as more inviting and transparent.

o frequent postings

o behind the scenes coverage and pictures

o customizable online tools, animations and games

o seeking feedback and

o running contests

encourage customers to actively take part in their world.


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Social and environmental commitment

Since producing MAC products does not involve any animal testing, the cosmetics

brand could build a CSR campaign around their cruelty-free approach.

Catering mostly to women, they could also campaign for female empowerment and

raise funds for charities aiming to stop violence against women.

Media:

Website, Facebook page, Twitter, YouTube, blogs, newsletter, industry related

magazines, radio

Tone of Voice:

Artistic, cutting-edge, unique, one step ahead

Promotional tools:

Discounts, crowdsourcing, CSR (VIVA GLAM, Back 2 Mac), contests


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Proposed Really Big Idea

I would describe the big idea behind MACs products as professional cosmeticsin all colors for all colors.

It is make-up that helps people express their unique personalities and encourageseveryone to have fun with it.

Their Wonder Woman collection especially highlighted the fun, bold andempowering aspects of make-up.

If I had to draw on the WonderWoman girl power concept I would

use another iconic heroine for the next

summer or fall collectionLara Croft.

She embodies confidence,

determination and offers a nice color

palette of earthy tones and metallic

finishes. A new Tomb Raider game will

be released in September, so this

limited collection would also be quite

topical.


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Sample Creative Executions

Interactive and direct marketing

Concise descriptions and product swatches are good but online customerscant see how a foundation, lipstick, blush or eye shadow will suit their skintone and overall type.

Thus, I would love to see a model gallery comprising photos of women withvarious complexions and hair colors.

By clicking on a model with features similar to herself, the customer can usethe model as a virtual mirror. Since the database contains pictures of everymodel wearing each M.A.C lipstick, for example, you can see how the shadesyou are interested in look on an actual person.

Product recommendations based on the selected model are also providedand the colors that suit her best are highlighted.

This virtual type and purchase advice tool can also be translated into asmartphone or iPad app.


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For my Tomb Raider collection I would also love to see an interactive page

with sounds and animations.

I envision a Laras Diary or Logbook that acts like a virtual catalog with

handwritten product - or in this case - artifact descriptions and flippablepages.

This theme also lends itself to an on- and offline treasure hunt and online

game. For instance, there could be a new Tomb Raider drag-and-drop online

puzzle every day for about two weeks. The fastest person of the day will win a

20%-off gift certificate on the product featured in the puzzle.


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Advertising

Posters:In order to lure in potential customers, the shop windows will feature largeposters.

Crowdsourcing:

In order to engage customers, I would ask beauty junkies to design a make-upbag for the new collection.

The bag creation with the most votes on Facebook and the homepage, wherethe bag can be designed with interactive tools (similar to NIKEiD), will bebecome part of the Lara Croft limited edition.

Newsletter:

Subscribers will receive topical emails regarding new products, discounts, andany other interesting topics, for example sweepstakes and contests.


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PR Campaign

When Story Ideas Media Recommendation

One month

prior tocollection

launch

Recently several MAC stores have covered part of their

shop windows with opaque foil and the words Discoverthe new dimension of make-up soon to prepare the

launch of their latest collection. Reportedly, girl power is

the big theme, but no particulars have leaked yet.

blogs

beauty and fashion related

online magazine newspapers

radio

Twitter

15 day

before

collectionlaunch

Wondering what MACs upcoming collection is all about?

Sneak a peek at their store windows on 15 June to get

even more excited about their brand-new limited editionthat will be launched by the end of June.


(online) magazine

Blogs

Facebook Twitter

Newsletter

two weeks

after launch

MAC is looking for new talents. Create a look with the

new collection, upload a picture on our website and win a

one-day training session where you will learn professional

make-up techniques.


(online) magazine

Blogs

Facebook

Twitter

Newsletter

Four weeks

after launch

Lucky New Talent contest winner shares her

impressions and new skills she acquired during her one-

day training session at MAC on 5thAvenue in New York.


(online) magazine

Blogs

Facebook

Twitter


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Special YouTube Event:

Beauty gurus worldwide are invited to special preview events where they can examine, try and

buy products of the upcoming collection.

Potential partnerships and sponsorships:

Partnerships

UNICEF

PETA

Fashion/accessory designers(to create MAC merchandise or a certain products, e.g. a new lipstick color like Ruffian Red)

Sponsorships

Beauty schools/courses

MTV Video Music Awards

Runway shows

Fashion contests

Project Runway

Bread & Butter tradeshow

International Womens Day event

YouTube events


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Visual merchandising and experiential marketing

Film on a 3D TV screen:

An unusual but innovative method would be a 3D video sequence that could beviewed through special glasses embedded in a store window. The window would becovered with an opaque material and the words Discover the new MAC adventurewould draw attention to the (yet to be) launched collection.

Posters and stand-up :

My aim is to not just promote products, but to tell a story that captivates andentertains MACs customers. The posters would therefore feature Ms. Croft in actionwhile she is hunting a treasure consisting of precious lipsticks, eye-shadows etc. Tocreate more visual interest and because Lara is a 3D character, I would install(animated) 3D posters and a 3D Lara Croft stand-up inside the store

Decoration and store design:

I would install Tomb Raider themed interior, for example product displays that look liketreasure chests, exotic plants hanging from the ceiling and jungle sounds thatemphasize the adventurous atmosphere.


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Sales promotion and personal selling

Early bird special:

As an incentive for early birds, I would offer customized mystery gifts.Every product sold in a store or online comes with a certain code that can beredeemed only once. Customers who received such a code have to visitmaccosmetics.com and enter the code. They can then choose between threedifferent sample size products/gifts and customize the product by selecting theshade and the product and packaging design.

Customer service:When it comes to giving professional make-up advice, its crucial that MACsmake-up artists can match foundations quickly and know what colors work foreach individual skin type.

In order show potential customers products in a demonstrative way, theemployees provide thorough advice and create beautiful looks on the spot. Such

make-overs are a good opportunity for people to try new products andexperience professional make-up application.

To give customers another opportunity to thoroughly test the cosmetics at home,MAC should advise their make-up artists to hand out samples with everypurchase over $20 and also enclose samples with consignments.


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Ethics and cause marketing

Back to MAC:Loyal and environmentally conscious MAC customers are rewarded with a

free product. Everyone who brings in or sends six empty product containers

will receive either a lipstick, lipgloss or eye shadow for free.

In order to promote this program, I would suggest a little one-week discount

special for people who have less than six containers:

One empty product = 10% off

Two empty products = 20% off

Three empty products = 40% off

and so on


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Cruelty free make-up:

As MAC products are produced without any animal testing, the cosmetics brand could

build a CSR campaign around their cruelty-free approach.

I would recommend them to team up with PETA to campaign for the ethical treatment

of animals. MAC Make-up artists from around the world could be photographed for

an exclusive anti fur calendar, wearing nothing but beautiful and edgy body paint

creations.

Violence against women:Along with the Tomb Raider collection, which is based on the Wonder Woman girl

power attitude, I would raise funds for charities aiming to stop violence against women

like Womankind or Womens Aid, for example.

Over a certain period of time MAC could

donate 5-10% of every purchase (regular assortment) to a fund launch a special mini collection and donate 50+% of revenues

collaborate with a charity and organize a city marathon to raise funds and

awareness


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Apart from the online tools, MAC can compare sales of previous seasons and

collections with current figures and track how fast limited edition items are

sold out.

By frequently reading Facebook and Twitter comments, talking directly to

customers and asking for feedback (product ratings), the brand can also

measure the marketing success.

Reading relevant blogs and watching user reviews on YouTube is another way

to evaluate awareness and acceptancebefore, during and after the launch of

limited editions.

MAC knows that word-of-mouth is their most valuable means of promotion


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Conclusion

I feel confident that MAC can uphold its current success, if the brand keeps

launching much sought-after collections and makes use of advanced

communication channels to interact with their customers.

By means of entertaining and engaging marketing methods, MAC can create

an even more fun and exciting shopping experience for

All Ages, All Races, All Sexes.


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Sources:

www.maccosmetics.com

www.elcompanies.com

www.export.gov

www.facebook.com/home.php#!/MACcosmetics

www.narscosmetics.com

www.makeupforever.com

www.sephora.fr

www.myspace.com/itsallaboutnars/blog/335669337

www.marieclaire.co.uk/news/beauty/519335/world-s-first-unretouched-make-up-ad-released.html

www.moderncosmetics.com/how-was-mac-cosmetics-started-the-history-of-mac-cosmetics

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