M.A.C. Cosmetics

M.A.C. Cosmetics

Tuesday, September 7, 2010

Week 2 - Strategic Planning

Strategic Planning:

M.A.C. has propelled to incredible heights since it’s founding in 1985. Even with a marketing strategy based solely on word-of-mouth, MAC has managed to rise as a global giant in the $160 Billion beauty industry. From sponsoring international fashion weeks to hosting slick celebrity powered parties, MAC has become synonymous with glamour and stardom. Every aspect of what makes MAC Cosmetics; "MAC" being its products, its location, its brand image, or its phenomenal price point is unique and goes against most typical marketing methods. As we all know product, price, promotion and place are the four fundamental variables that either make or break a company. There are currently 108 locations between Canada, the U.S., and Europe, with extreme success in London, England. MAC is present in 53 stores across UK, out of which 8 are MAC's flagship stores. In the future, M.A.C. plan on opening locations in Hong Kong, the Far East, and more in Europe. Now in a joint venture with the U.S.'s largest privately owned cosmetics firm Estee Lauder, M.A.C. will distribute products in overseas markets. With each and every goal M.A.C. is soon to be destined to hit the top. Mass market brand like L'Oreal or a premium brand like Clinique spend millions on advertising, a brand like MAC does it all by inspiring its stakeholders in non intrusive and subtle ways without spending a fortune on advertising.

M.A.C. Cosmetics follows a SWOT analysis. It has undertaken many strategies which resulted in the successfulness of the company. M.A.C. Cosmetics has never tried to target a certain group. Toskan planned to create every shade possible in order to offer a wide variety of shades for each individual. Over the last 10 years, 160 shades of lipsticks in 7 different finishes, 150 eye shadows, 60 blushes and hair care have been created for the public. Sales for M.A.C. are growing rapidly. MAC is currently the only Estee Lauder brand that is not only meeting; but exceeding its annual sales goals. Last year MAC surpassed its sales plan by 121 million dollars! Which is unheard of in this industry. Everyday, this company comes one step closer to its ultimate goal of providing the utmost value for its customers. M.A.C. works from an inverted pyramid - where the customers are always at the top. It is the customers who inspire Toskan and the company. M.A.C. Cosmetics reasons for all its plans are derived from the fact that it is the 90's. There are many serious issues and many different needs required today. Everyone is an individual, and this company sees that, and deliberately tries not to exclude anyone. Some trends are also created by the media exposure. The media has so much to do with what's in and what's out. But, ultimately it is up to the consumer who decides.

1 comment:

  1. M.A.C is expensive or branded product you describe it alot, its really useful for me.... thanks alot