Ch. 7 Business Marketing

Business Marketing is defined as "the marketing of goods and services to individuals and organizations for purposes other than personal consumption" (Lamb/Hair/McDaniel 108). Although Maybelline products are made for the personal use of consumers and not businesses, there are many functions involved in the process of getting Maybelline products from production to the hands of the ultimate consumer. Therefore Maybelline is involved in strategic alliances with other businesses such as its suppliers, retailers, and logistics/delivery companies, in order to carry out its necessary operations, and achieve its objectives efficiently. Since Maybelline was founded, it has manufactured its own products. In order to manufacture its products, Maybelline must build and maintain close relationships as well as strategic alliances with its suppliers. Maybelline must purchase raw materials from suppliers, that become the ingredients of its products. Suppliers also provide office supplies and materials necessary to carry out the everyday functions performed in the manufacturing plant as well as Maybelline's office headquarters. The necessary supplies include fixtures, equipment, machinery, furniture (offices), and everyday office supplies. 

Maybelline must also maintain a close relationship with its retailers which include drugstores CVS, RiteAid, Duane Reade, Walgreens, and discount retailers Walmart, Kmart, and Target. Online retailers Amazon.com and Ulta.com are also authorized to sell Maybelline products on their websites. There are sales representatives who are involved in the important personal selling component of Maybelline's marketing objectives. Sales representatives must make frequent visits to their retailers, bringing new products and taking orders, but also making sure that the products are being sold in a way that is favorable and profitable to the manufacturer. For example, a sales representative must go to RiteAid and visit the Maybelline section, to make sure that Point of Purchase displays are in place and used appropriately, that the display of the products is in order, and most importantly, that the placement of the Maybelline section within the store is strategically attracting enough customers. While Maybelline may use their own means of transporting their products to retailers, they also outsource some of their logistics and delivery services to other companies which may include FedEx or UPS. They especially need such companies when it comes to transporting and delivering their products to retailers countries other than the United States. 

Another way in which Maybelline is involved with other businesses/organizations is its official sponsorship of Mercedes-Benz Fashion Week. Sponsoring this event which takes place in September and February, is a major marketing strategy for Maybelline. Being the official sponsor of the events, means that Maybelline not only provides monetary-support but mainly all the makeup products, which all the models display in the shows. This is a powerful marketing strategy because Mercedes-Benz Fashion Week attracts a large audience, including Maybelline's target market. Being the sponsor of such a prestigious and popular event enhances Maybelline's image by association. This strategy has the power to influence consumer buying attitudes towards the brand. This is also an effective way to boost sales. 

The video below was taken backstage of the Marissa Webb Fall/Winter 2013 show at Mercedes-Benz Fashion Week. Maybelline makeup artist Charlotte Willer demonstrates how Maybelline products were used to create one of the beauty looks for the show. 

PERSONAL NOTE: 

This is the final post to conclude the semester-long blog assignment for my Marketing class. This blog was a great way for me to truly understand and apply the marketing concepts which I've learned about. Maybelline is a very successful company, and writing about it has provided me with a great insight as to how they have attained their multitudinous and outstanding success. I want to give a special thanks to Professor Joel Evans for a great semester in which I have been inspired, and from which I have taken away life and career lessons that will help me reach my goals in the future. Professor Evans is one of the best professors I have ever had the pleasure of meeting, and I truly appreciate his unique ways of teaching. 

Thank You Professor Evans! 

Ch.8 Segmenting and Targeting Markets

 Within Maybelline's target market, women ages 16-25, there are specific segments/groups of people sharing certain characteristics and product needs. Market Segmentation, involves dividing the defined target market into strategically meaningful and identifiable segments; this allows a successful company like Maybelline to create a marketing mix (product, place, promotion, and price), that is tailored to satisfy the specific needs of each segment or group they choose to focus on.

Market segmentation is especially important to Maybelline because they are a cosmetic brand serving a great variety of individual women, all with different skin-tones and different makeup preferences, therefore seeking different benefits. There are many factors/criteria that a company can use to define segments in their target market, benefit segmentation being one of the most important for Maybelline. Maybelline has successfully created a product mix that has something for everyone, depending on the benefit they seek in their cosmetic product choice. Maybelline's product mix can be classified into 26 different benefits, including Anti-shine, Shine, Moisturizing, Intense color, Classic color, Volume (lashes), Length (lashes), Illuminating, Healthy Minerals, Care, Skin Perfecting, Long-Wearing, etc. They have also created product lines  targeted towards a specific market segment such as FIT Me, which is a line dedicated to women seeking a natural, flawless, and breathable look, along with an easily blended formula, and "perfect" skin-matching. This concept of market segmentation is also exhibited in Maybelline's different Eye-Shadows. Eye Studio's Color Tattoo Pure Pigments Loose Powder Shadow, creates a powerful color intensity, while Expertwear's Eyeshadows come in classic colors, which are much softer and less intense than those offered by the Color Tattoo shadows. 

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Age segmentation, although not such a big factor for dividing Maybelline's already age-based target market, did play a part in the creation of a specific product line. The product line Age-Rewind was created as Maybelline's objective to increase market share by targeting women ages 35+. Age-Rewind has a total of eight different products, aimed at the market segment of women seeking Anti-Aging benefits. Christy Turlington is the face of Age-Rewind, being 44 years old and still having young-looking and flawless skin. 

Income segmentation is very important for Maybelline, as well as any other successful company. What makes income segmentation so important is consumer buying power. Maybelline's products are mainly targeted towards women ages 16-25, who don't have as much purchasing power as older age groups with higher incomes. Therefore, Maybelline products are sold at affordable prices, a met provision of their mission statement. Low prices allow Maybelline to sell their products in drugstores such as RiteAid and Duane Reade, instead of stores like Sephora that carry high-end brands such as Givenchy, Chanel, and Urban Decay.