CH 8 Segmenting and Target Market

CH 8 Segmenting and Target Market.

Market Segment a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs.
Sephora's market segment is very clear. The main target group are women age of 20-50 years. The main segmentation bases to charcuteries are women that like to pun on make up, taking care of their skin, put a nice parfume on. But it is not the only one target group there are also many men started to go to Sephora and find their products like parfume, after shaving creams, body wash and other skin care products.
Geographic segmentation for Sephora is very delicate question because Sephora has stores around the world. Depends up on the region demand changes.  And one product might be more popular at one store at Sephora then at the other. For example, Sephora store that is located in Miami will have greater demand on the sunscreen products then the store in New York (September though May). Also different geographic location, different nationalities, cultures. As I mentioned in the previous blog about Asian market, that Asian women like to buy more skin care product then cosmetics. That is why Sephora store in Honk Kong for instance will have more skin- care products then the store in Italy.
 Psychographic segmentation of the Sephora's customers is younger urban people, who is in to fashion, likes to take care themselves and to stand out.
Benefit segmentation is also exist at Sephora's, for example, skin-care product like anti-wrinkle lotion that helps women to keep their skin younger and better looking for longer time.
Sephora has a stable position, where customers trust the products and become loyal everyday more an more though out the whole globe.
  

CH 16 INtegrated Marketing . Communication

CH 16 Integrated Marketing . Communication

Today I will talk about blogs on blog.

Sephora has both corporative and noncorporative blogs.
Well me personally one of the examples of noncorporate blog. I talk about Sephora and in  a way promote this company I have about 700 viewers of my blog for 2.5 months.
Here is another example of noncorporate blogs :

http://www.insiderpages.com/b/3710955441/sephora-anaheim

This is couple of customers feedbacks:"If I had a million dollars, I would spend a large chunk of it here. I always ask for Sephora gift cards for my birthday, and keep them until I really need someting. They have a great selection of hair products, and carry my favorite hair bands, that cost a fortune, but don't snag your hair. I use Clinique cosmetics, and if i don't feel like walking all the way to Rob-May, or macy's, I can usually find just what I need there, and the staff is very helpful."
February 09, 2005
 "I love sephora and you can ask anyone. They have everything involving make up that you could imagine. A little pricey but totally worth every cent. Very helpful staff."
April 23, 2005  Corporate blogs. They are like outlets for company employees or spokespeople to share information with the public. Although blogs are used to further a company’s communication goals, they are very different than company Web sites. Blogs do provide much of the same information distributed in company press releases or on company Web sites, but the discerning factors are the tone in which the information is presented and the fact that blogs encourage two-way dialogue. Check out Sephora’s “Beauty and the Blog” to see all of this in action: Sephora’s blog. 
This company blog directed at “beauty junkies”-women who are constantly testing out the newest products and who are in touch with the variety of beauty products on the market today. 
The style and tone of the blog make it seem like a girl talking to her friend. The blog provides a lot of information on the products sold at Sephora. Some posts inform readers of new product launches and provide links to the official Sephora's Web site for purchase information. Other posts inform about various Sephora's products and writers detail their experiences with the products-pictures of staff wearing the items typically accompany. The blog is topped off by guest entries and accounts of staff meetings with makeup artists.
Although it looks interesting, corporate blogging has its negative sides. One problem is that people could be very aware that the blog is a tool used for public relations. Although blogs appear a little more real their main purpose is to promote. Going through Sephora’s blog is fun-I’m one of many who enjoy checking out the latest fashion and makeup trends. However, I realize that what I'm reading is focused on pursuing me to go and get their products.

CH 10 Product concepts

CH 10 Product Concepts.


Welcome to Sephora's products and branding. I would like to mansion that Sephora's stores caring about 250 brands most of those are global brands as well as manufacturer's brand, private brands, captive brands.
Global brand a brand that obtains at list a third of earnings from outside its own country, is recognizable outside its home base of customers, and has publicly available marketing and financial data.

 Sephora caries Dolce Gabbanna, Chanel, Dior, YSL, Este Lauder, Juicy Couture, Armani etc.

Manufacturer's brand the brand name of the manufactures
Sephora has its own brand

"COLLECTION is designed for you to experiment, express, and explore"

  by Sephora.

Sephora collection has 80 eye shadows, 90 lipsticks, 100 eyeliners, 75 make up brushes.
And its only a part of what they are manufacturing and bringing to live family branding.
Packaging. Sephora's marketers and designers developed an original black and white packaging the same is the store interia. Which is very simple but unique its very easy to recognize Sephora's packaging, which makes it promote itself. ( Persuasive labeling)

Captive brands a brand manufactured by a third party for an exclusive retailer,
without evidence of that retailers affiliation.
Like Sastuma body butter that manufactured in UK and exclusively intoduced by Sephora in the US.

CH 18 Sales Promotion and Personal Selling.

Sephora has created a huge variety of promotions and sales to get all type of buyers
- Loyal customers those type of people who buys Sephora's product most of all of the time
SEphora has a loyalry program cards VIB cards that collect the points that you can get every time you shop at the Sephora relative to amount you spent for purchase , after that Premium comes into play and you can get some cosmetics/ parfume as a gift, but it will cost such and such amount of points.
- Competitor's customers Sephora itself build-up as a competitive brand, because as soon as you walk in you can try any product that you want without asking anybody, which is unique in this business( no other cosmetic store allows you to test their products unless sales person will offer you t try and it will be selected items)
- Brand Switchers. For those who likes to try new things and experiment with cosmetic/parfumes from different brand and different cost Sephora got a huge selection of good brands. This way many curious customers can find something for them. Sephora's stores has variety of different sales promo, promo packagees, where you can get number of products of the same brand for less price; as well as packages that consist of the specific kind of product but different brands especially popular with parfumes.
-Price buyers can shop at Sephora during holidays or while they promote those special packages as I mensioned above. Although most of brands at Sephora's stores are not the cheapest ones, Sephora launched their own "Sephora" brand cosmetics that has ennormous variety and lower cost compering to the brands as Dior, Chanel, YSL etc.

 It seems like a pretty good marketing package that Sephora manage to obtain and does it sucsessfully.

CH17 Advertisement and Publications

Kate Moss one of the most high payed models in the world. She has been doing compaigns with the most famous Italian, French, British and American designers like Dolce& Gabbanna, Cucci, Chanel, Dior,etc.  Sephora choosing the best to attract future customers and convert recent one's to regular. Sephora developed national cause marketing campaign, that covers 39 states to benefit a children's medical charity. Strategy centered around new product development and launch of Sephora.com with 58 million media impressions generated within the first 10 months. Over the past 5 years, since the Operation Smile promotion began, over $1 million has been raised and the lives of over 4,000 children around the world have been changed. A charity operates on children's facial deformities. They link this to mission- the business of beauty. They created a "cause marketing" compaign where they launched a new product, a lip balm. And with every sale of that product , thousands of children get help around the world.

CH 15. Sephora women's beauty retailer

                                                                       Retailing CH 15


When it comes to making purchases people do it in two ways :
1)purchasing something urgent like: toilet paper, bread, salt, advil etc.
2)and doing shopping.

In the first case people will go to convenience store, drugstore, supermarket. And the most important for customer will be the easynest to find curtain product, decent price and quick purchase process. Presentation of the store , atmosphere, odors is moving on the second shelf of priorities in this case.
Although in the second case when people going shopping they already counted amount of time and money they willing to spend.So things like interesting presentation,friendly knowledgeable assistance,nice and neat merchandise,fresh odor, pleasant music all this counts.Because shopping became like a part of entertaining process.
Sephora is a chain store but combine both type of purchases in itself.
Customers do go to Sephora just because they run out of their favorite parfume. Also Sephora stores part of the shopping process.
The presentation of the store is quite noticeble and simple. The mix of white and black colors zebra looking defiantly catches an eye.
When you walking inside one of the assistants will great you in a very friendly manner offering you a purchase bag. Personally I like customer service at the Sephora. When you need assistance they will help you out, but they will not bother you every two min. That what I cannot stand some stores have very annoying sales representatives.
Because its is also a parfume store odor is always nice at Sephora.
Merchandise is located by the company name so it is easy to find what you are looking for. If some lady walking into the store and does not know what she would like to get Sephora's assistants will give her a free make yup session, shoeing what type of make up is better( also a promotion part).
Sephora does e-tailoring big time as well as mobile and IPad purchasing. As I mencioned in my previous blogs huge part of revenue comes from e-tailoring and mobile, IPad devices.

CH6 Consumer Decision Making


Sephora is a huge cosmetic retailer. How hard is it to make all those customers to come back and spend more and more money when there are so many competitors around? Seems like Sephora's marketing team is questioning  this on the regular basis. As soon as you walk in to the store you see tons of different cosmetics all kinds of brands, which is a huge chance for a potential customer to feel their need in some product ( Need Recognition).
 Before you realize that you are "on the hook". Next thing you know some pretty looking girl/guy with cool make up will greet you with a lovely smile and offer you a shopping bag. Even if you weren't sure you are going to buy something now your conscious  mind is getting the signal : Go feel this bag up! Now all excited and enthusiastic you are going to hunt.It is not hard to find what you need because every product line is named with pretty big letters and promotions. In case you cannot find the brand or particular product you are searching for be sure you going to have one of the Sephora's agents asking you if you need any help (Information Search). This agent will inform you about particular product or about some new promotions that is "Incredible & Limited". I really like this limited edition thing very easy and clever trick, it makes potential customer feel very special almost mystic like you know a secret, now you are the part of these secret society. I would say about myself, that caught me so many times. Then they tell you  the "secret" and in general it would be like " if you purchase X your lashes, lips, skin...etc will look 10 times more amazing, beautiful, healthy etc; it will last longer never disappointing etc; ingredients are amazing less "bad"  chemicals, more natural etc.. (Evaluation of Alternatives)

1. 

Now all happy and excited about your future transformation to a beautiful, amazing, charming, healthy looking creature you are moving toward the cashier thinking that you got everything you needed and more. But here while you waiting in line you notice these little things on promotion $5-20 only a bunch of little baskets filled with little color full tubes, nail polish, lip-sticks etc. So while you waiting for you turn you make yourself busy with looking what are those thing. Most likely you will find something you probably don't need and  will never use, but you would get it anyway.


After you complete your purchase the cashier will tell you how many points you have on your membership card and you will be eligible for some gift like little face lotion, lip-stick, etc. And everything will be packed in a black with white stripes bag  full of 'beautiful future"(Purchase)

 Sephora has been doing a great job among other cosmetic retailers and looks like the key to success. Sephora found  a good marketing strategy.