Estée Lauder Marketing Strategy & Marketing Mix (4Ps)

Published in Products category by MBA Skool Team

Marketing Strategy of Estée Lauder analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on Estée Lauder marketing mix, help the brand succeed in the market. Let us start the Estée Lauder Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:

Estée Lauder Product Strategy:

The product strategy and mix in Estée Lauder marketing strategy can be explained as follows:

Estée Lauder majorly deals in luxury products and the product lines are, Skin care, Hair care, Make up and fragrances. The marketing mix product strategy covers all the different types of offerings of the brand. The Skin care consists of products like BB creme, moisturizers, Bronzer, blush, foundation, Repair serum, Mask, cleanser, toner, contouring, Eye care, Anti-Blemish, Anti-wrinkle, skin brightening, Radiant health, Mascara, Eyeliner, Eye shadow, Brow Pencils, Lipstick, Lip liner, Lip gloss, compacts, concealers, brightening, Resilience lift. Its fragrances are sold by collections like white linen, modern muse, pleasures, beautiful, etc.

There are also product lines under the label Re-Nutriv with products like Ultimate Diamond, Ultimate lift, Intensive renewal. Estee Lauder also have exclusive occasion based packages such as Lips to Envy, Night Power.

Image: Wikimedia

Estée Lauder Price/Pricing Strategy:

Below is the pricing strategy in Estée Lauder marketing strategy:

Estee Lauder positions itself to be a brand that cherishes the women’s uniqueness and celebrate women beauty. Thus the pricing is premium and its products are priced higher than most of its competitors.

The pricing strategy in the marketing mix of Estee Lauder is for targeting the affluent class of women. The brand is thus perceived to be a luxury brand. Estee Lauder is bought by the classes and not the masses. The customers who are less sensitive to prices and are affluent buy the products of this brand. There is a sales mix that is created by pricing some of its products higher than the rest.

Estée Lauder Place & Distribution Strategy:

Following is the distribution strategy in the Estée Lauder marketing mix:

To position itself as luxury brand, Estee Lauder has limited distribution system. It sells its products on up-market departmental stores, and shopping malls. Due to its distribution system, it has limited customers targeted. The product portfolio is also not very long due to its choice to remain a premium brand. Competitors of the brand have wide range of products and distribution channels spread across many places.

Depending upon profitability and scope for profits, Estee Lauder has selectively expanded its distribution of some products.

Estée Lauder Promotion & Advertising Strategy:

The promotional and advertising strategy in the Estée Lauder marketing strategy is as follows:

The biggest reason and oldest reasons for the success of Estee Lauder is the free samples. The company has also launched promotional campaigns like Gift-for-purchase and purchase-for-purchase to retain its loyal customers as well as to gain new customers. In the Gift-for-purchase is a campaign wherein the customer is offered gifts for every purchase he makes. The Purchase for purchase is used to attract new customers who were not buying their products. Estee Lauder also gives discounts to certain number of customers to motivate them to buy the products. The attractive in-store displays also are used to grab the attention of the customers. Hence, this covers Estee Lauder marketing mix.

About Estée Lauder:

Estee Lauder is a company based in the United States of America which deals in diverse sectors of Haircare, Fragrance, makeup and Skincare under various labels. It was founded by Estee Lauder and her husband in the year 1946 and is headquartered at General Motors Building in New York. The brand was born due to the founder’s aspiration to be an actress but beauty business was something that the founder was made up of. Estee Lauder is a result of knowledge, dedication free samples and family commitment.

Lauder family owns majority stock in the company and they had made sales of more than $10.9 million by the end of 2014. The company is known for its luxury cosmetic products and fragrances.

This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.

Browse marketing strategy and 4Ps analysis of more brands similar to Estée Lauder. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.

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The names and other brand information used in the Marketing Strategy & Mix section are properties of their respective companies. The companies are not associated with MBA Skool in any way.

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