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Tuesday, December 25, 2018

'Oriflame Direct Marketing Strategy Essay\r'

'Oriflame is a cosmetics confederacy, founded in Sweden in the year of 1967 by two brothers Jonas af Jochnick and Robert af Jochnick. The political party’s main crossways are avow(prenominal) care, accessories and nutritional products with all over approximately gramme cosmetics products. The products are priced in higher seethe and promise higher value to customers by dint of a more customized and personalized begin for product and service offerings, distribution processes shipshape to meet the needs of customers, and the fortune to pulp customer loyalty. The logo of the community ‘Oriflame Sweden’ gives a feel of expensive Swedish cosmetics.\r\nORIFLAME’S MARKETING STRATEGY\r\nThe marketing system adopted by Oriflame is Direct merchandising or Network selling. It is one of the largest companies to transmit by guide on marketing by an independent gross gross revenue force of over 3.6 million sales consultants in more than 60 countrie s worldwide with annual sales exceeding some €1.5 billion. Network Marketing or Multi-Level Marketing (MLM) is a dodge which allows the parent multi-level company to market and divvy up their products or/and service, directly to the consumer by direct selling in a non-permanent sell location and grow the network through relationship referrals. These sales are through with(p) through independent, unsalaried Sales Consultants (full prison term or part time) who represent the company and make commission bowd on the volume of sales.\r\nThe sales consultants often build up their own organisation by recruiting a down-line of other independent distributors, who perform the resembling job; and as a extend the inviolate organisation expands. As a consultant they earn commission non only based on their own sales, but too on the entire sales of the down-line group. This schema has a truly low distribution cost and also offers a leading business opportunity to people. This un ique business concept †‘ instal Money Today and Fulfil Your Dreams tomorrow’ goes with the brand promise of the company ‘Your Dreams, Our devotion’\r\nOriflame implements this strategy with frequent regular inventorys on with frequent, short-term price promotions and cross-sell campaigns. The details of the strategy are as follows 1) Independent sales consultants team who directly get in touch with end consumers with hard facsimile of catalogue 2) Marketing through owners of smasher parlours to emergence customer reach 3) face to face interaction with live demos virtually economic consumption and benefits of the products 4) Samples at low prices or bare samples with some purchase to try the product first and then purchase as buying expensive cosmetic products is a high involvement decision. 5) Direct mails to consumers which includes catalogues, offers 6) Online catalogue and offer details on company website.\r\nA typical online catalogue is as below\r\n7) Promoting existing consultants to add more consultants and grow the sales network. This also helps Oriflame in increasing loyal customer base as consultants buy Oriflame products for their personal accustom and for their family. The process of becoming an Oriflame Consultant is an simple process. It includes following steps\r\n8) Oriflame also promotes its consultants to increase the sales by giving several(predicate) incentives like international travel, gifts and other promotional tactics. For example, this year’s major attracter is Gold Conference in capital of the United Kingdom in 2015\r\n9) Offline and online makeup tutorials and guidance about health and health & debaucher care\r\n'

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