Marketing Analysis Paper: Different Levels of Skincare

Marketing Analysis Paper: Different levels of Skincare

1. How are they different from each other?

Neutrogena:

Neutrogena is a skincare brand of the Johnson & Johnson Family Consumer Companies that is headquartered in Los Angeles, California. Neutrogena has a variety of products under its brand aimed at both men and women by specializing affordable and good-quality products for problems like acne, sun-rays and aging. Geographically, they have focused their sales and promotion by distributing across various segments, such as drug stores and supermarkets. The U.S drugstores industry includes Walgreen, CVS Caremark and Rite Aid, and the major supermarkets includes Walmart and Target. The demographic of Neutrogena consumer targets men and women, anywhere from their early teens all the way to their mid 40’s. Neutrogena focuses consumers that have low-income, and the products range from $5 - $20 depending on the product. Acne most commonly affects teens, so they will be attracted by acne control products which can give them better appearance. Besides, the important taglines of Neutrogena are “Just healthy beautiful skin” and #1 Dermatologist Recommended. The people that buy products of Neutrogena are looking for skincare products that are the most inexpensive but offer the results they want. These consumers are highly sensitive to price changes because they are on the lower-classes of the income social class, and they rely on the lower price offered by Neutrogena.

Lancôme:

Lancôme is a part of the L’Oréal luxury products division, and offering innovative skin care products, perfumes and makeup at higher-end prices. Lancôme represents selective distribution because it is available in only a few select locations including cosmetic retail markets, department stores and on dedicated e-commerce websites. By using selective distribution, the product available enough for customers to purchase and obtain the consistent results in accord with the product image. Lancôme mainly focuses on older women from mid-thirties to mid-forties, and some baby boomers. The price of product range from $40 - $150 depending on the product and what it is intended for. Because of high prices, Lancôme are catering to the middle and upper classes. The psychographics of these consumers are concerning with health and appearance, wanting a healthy lifestyle but does not have much time, and find fulfillment in her career and family. Also, Lancôme have top celebrities who are their brand ambassador, such as Emma Watson and the 20-year old model Taylor Hill who has a strong media following. Lancôme believe that women seek the benefits of intensive skin products because older and younger women are becoming increasingly interested in anti-aging products.

Although lacking of price sensitivity, Lancôme focuses on loyalty consumers and reputation as well as holding high expectations of the products.

La Mer:

La Mer joined the Estee Lauder Companies’ family brands in 1995. Along with the original recipe for its supreme luxury product, La Mer would be one of the priciest skincare in the world. Geographically, they sells products mainly through the limited sales channels in order to maintain the prestige of the brand as La Mer is transformative and high-performance skincare. These channels include department stores, upscale shops, airport duty free shops and e-commercial website. La Mer targets women between 20 to 50 with high salary. High income consumers appeal to high quality products rather than the prices. Based on a combination of occupation, education and wealth, these consumers are in upper-class, and they are more likely to be salaries executives or self-employed professionals with at least an undergraduate degree. The company invests large amount of money, time and effort, so the price of the product range from $95 - $600. The psychographics of these consumers are most women between 31 and 41 pursue beauty and youth, tend to favor quality over economy and find fulfillment in their career and family. Also, La Mer inspires the consumers by the origin story when Dr. Max Huber unable to find relief from burns suffered in a lab accident. He looked to the sea for healing, and the iconic Crème de la Mer was born after twelve years and 6,000 experiments. The people that buy products of La Mer are looking for supreme luxury skincare with well designing and high-performance.

Company Geographic Demographic Psychographic Benefit

Neutrogena

Lancôme

La Mer

2. Marketing Mix (4 P’s)

Neutrogena:

Neutrogena carries a wide range of products for hair and skin (face and body), including specific product lines for acne control, sun protection and anti-aging. Currently, Neutrogena products are available at supermarkets (Walmart and Target), convenience stores, malls, and drugstores (CVS, Walgreen and Rite Aid). Consumers can also purchase the products through Neutrogena.com and online retailers. Neutrogena has targeted youths and teenagers as its targets consumers because they want acne control products that give them better appearance, and Neutrogena has positioned itself as a brand that is safe due to the fact that it has been recommended by the dermatologist. The company has created ad campaigns that are shown via magazines, television channels and radio. Besides, Neutrogena has used social media tools as part of promotional activities, such Facebook page, Twitter account and YouTube. Neutrogena has adopted competitive pricing in