Published by MBA Skool Team, Last Updated: December 06, 2016
Marketing Strategy of Avon analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Avon marketing mix, help the brand succeed.
Avon marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Avon Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
Avon Product Strategy:
The product strategy and mix in Avon marketing strategy can be explained as follows:
Avon is a leading cosmetic company offering beauty products for women. Though the focus of the company is towards cosmetics, main product categories of Avon also include Perfumes, Toys and Clothing. The products in the marketing mix of Avon can be understood by studying its product range. Its product range includes make up colour for lips, eyes, nails, face. Skincare products involve brightening, line collectors, fairness and nourishing creams, cleansing lotions. In the category of fragrances, it provides great product depth in women fragrance, body spray and mist, men fragrance, perfume essentials etc. Though demographically their market is form women, Avon has a great product offering for men in terms of fairness creams and fragrances. Since Avon sells modern and complex range of products to its loyal customers, it main follows diversification strategy in terms of horizontal assortment.
Image: company website
Avon Price/Pricing Strategy:
Below is the pricing strategy in Avon marketing strategy:
Avon products are mostly priced on the basis of competitors.
The pricing policies vary greatly depending upon the target market and the category of the product the company is selling. It adopts modern pricing policy for it premium market. In Romania it adopts medium pricing for the cosmetics being manufactured and sold there. In India it sets affordable prices to its consumers which are comparable to its competitors like L’oreal, Natures, Sunsilk etc. Avon set its prices such that its image in market is an affordable and medium priced brand catering to the mass market. Thus, this gives an overview on the pricing strategy in the marketing mix of Avon.
Avon Marketing Strategy comprises of not only its Marketing Mix, but also segmentation, targeting, positoning, competition and analysis like SWOT. Also read Avon SWOT Analysis, STP & Competitors
Avon Place & Distribution Strategy:
Following is the distribution strategy in the Avon marketing mix:
Since Avon adopts the policy of direct sales, its distribution strategies include size of distribution, dimension of distribution channel and degree of company’s participation. It uses direct distribution and also has a smartphone mobile application. It also offers wide range of products through ecommerce websites such as Flipkart, Snapdeal etc.
In India it has divided the distribution across north, west, south, central and east & north wherein each representative controls the sale and distribution of Avon Products across the territory.
Avon Promotion & Advertising Strategy:
The promotional and advertising strategy in the Avon marketing strategy is as follows:
A typical promotion medium opted by Avon is catalogue. It associates various personalities on the cover page of these catalogues. It launches special release of the catalogues at the time of festivals. Having a tie up with the ecommerce website, it offers lucrative discounts and offers and various times in the year. Avon also publishes an online downloadable brochure on its website to conveying its latest offerings. One of the most famous campaign undertaken by Avon was on Breast Cancer in the year 2002. In every catalogue was labelled with a pink ribbon and the funds raised through this campaign were donated for purchasing the medical equipment for and mainly for women education. It also promotes its brand and products greatly from social media mainly through facebook page, twitter handle and Instagram account. This concludes the Avon marketing mix.
Found in 1886, Avon is one of the well-known and largest cosmetic companies in the world. With the revenue of 9 billion USD, Avon is one of the largest direct sellers in the world. It has serves its valued customers across 100 different countries. Not only in cosmetics but it also has its presence in fashion, fragrance and also in home products. Being fifth largest company in the world and 6.4 million representatives widespread across the globe, Avon always poses great challenge to its competitors.
Since its market is falling continuously in US it is now moving its operation outside America. It will move its headquarter to United Kingdom as a part its three-year plan.
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