AVON品牌回顧(PPT68)(1)

1、Page 1/70PREPARED BY Leo Burnett - GUANGZHOUJuly 2002AVONBrand ReviewPage 2/70Table of ContentsI.Company BackgroundII.Operation OutlookI.StructureII.Avon ShopsIII.Product OffersIII.Media SpendIV.Communication MeansV.PR/Event ActivitiesVI.The Discovery Road of AvonVII.The Discovery Road of AmwayPage

2、3/70Company BackgroundPage 4/70A global beauty companyFounded in 1886 in New York, Avon was named by Mr. David McConnell who paid tribute to his favorite playwright, William Shakespeare (Avon is the name of a river in the hometown of Shakespeare). Since then, Avon has created career opportunities fo

3、r millions of women around the world. Today, Avon is a leader in beauty and a trusted name in direct selling. She has grown into a global corporation, a Fortune 500 company, with SR numbering three and a half million and products sold in 143 countries around the world.Page 5/70Operation Outlookin Ch

4、inaPage 6/70Operation Outlook in ChinaAmway has offered products and services since 1995Avon started to offer products and services to consumers in 1990Avons factory is located in Guangdong Chonghua Industrial Area, covering 80,000sq meters with annual production capacity of 120 million units of pro

5、ductsAmways factory is located in Guangzhou Economic Technological Development Zone, covering 91,000sq meters with annual production capacity of 3 billion units of products Page 7/7077 branches 5,000 outlets20,000 SRs Main outlets focus aroundcoastal areas. Over 100 outlets in every main cities ( BJ

6、, SH, GZ, CQ ) Franchise business to expandbusiness Operation Outlook in ChinaPage 8/70Outlets are mainly Avon direct selling as well as franchise shopsOutlets are all Amway direct selling stores 77 branches, over 5,000 outlets and 20,000 SRs 58 stores and 130,000 SRsMaintained network in the main c

7、ities, while expanding in 2nd and 3rd cities.Mainly in relatively developed citiesOperation Outlook in ChinaPage 9/70“Work along both lines” strategy (雙管齊雙管齊下）下）Definition- Beauty counter: Opened by Avon company. Unique area/counter inside the merchandise store or hypermarket- Chain store: Include A

8、von direct shop and franchise shop (1) normal : no need to sell all categories, but skin care and cosmetics are required (2) flagship: model shop with standard design for other shops-Concept store: Avon direct shop. Self-serving style, for consumers to enjoy free trial and to choose wide range of pr

9、oductsRetailSR+Beauty CounterConcept StoreChain StoreMarket penetration Market coverage roleFranchise “0” fee to encourage more people to devote into Avons business Operation Outlook in ChinaPage 10/70 Avon retail channel + SRs Amway shop + SRsKey role to build up business Supporting role To expand

10、market coverage To increase market penetrationMain roleSupporting role Stores operation in accordance with government policy Strengthen relationship with consumers and ensure personal serviceMarket sizeQuality serviceOperation Outlook in ChinaPage 11/70Avon ShopsPage 12/70Window display dressing cha

11、nges by monthly with different theme. w Average store space is no more than 40m2w Standard deco applied inevery shop.Avon Shops - OverviewOne of the shop entrance viewPage 13/70Avon Shops - OverviewGenerally all shops are located along row of shop lots with high residential traffic. Location is usua

12、lly at the ground floor with high visibility and easy accessibility.In GZ, there are more than 100 shops, however, the surrounding environment is beyond control which at times affect the Avon premium image which it tries to project.Page 14/70Avon Shops - Service Only 2-3 persons are in dutyper store

13、. Overall responsibilities includeSales, Cashier & Merchandising All salesperson are in uniform. Services include: Personal beauty consultant Offer (free/partial payment)Facial Care if purchase is accumulated to a certain amount. Offer special discounts toClub Members.Page 15/70Avon frequently holds

14、 booth promotion to interact with consumers and attract impulse purchase.Outdoor PromotionPage 16/70Product OffersPage 17/70Product Offers - GlobalCosmeticFragrance1 12 2Gifts3 3undergarments5 5Jewelry4 4Health supplementSkin Care linesSeries of products for women and people around them6 67 78 8Kids

15、 productMens productOthersPage 18/70CosmeticFragrance1 12 2Gifts3 3undergarments5 5Jewelry4 4Health supplementSeries of products mainly to fulfill womens needsSkin Care linesWith the worldwide famous partners. Avon is strategically expanding business into the health supplement fieldProduct Offers -

16、ChinaPage 19/70 Globally, offers over 450 with concentration on narrower target group and specific category i.e. healthcare, household and personal care products Globally, offers more than 20,000 products generally concentrate on wider product range and target group Target mainly women Offer wide ra

17、nge to createaffordability for different agegroup. Target to satisfy family needs Mainly offer to people who pursuefor high quality lifestyleProduct Offers - OverviewPage 20/70Operation OutlookImplicationPage 21/70Operation Outlook - ImplicationAvon Strategy : To occupy market place within the short

18、est time Hence, Avon has opened large number of stores to build up awareness, andreach target consumers effectively. Keep launching new categories tailor-made for China market, so as to satisfy various needs from women. Amway Strategy : To win market share by offering high quality products and servi

19、ces Amway values “person to person service”, which is believed critical tostrengthen relationship with consumers and to ensure high qualityservices High investment in research and product development, to ensure quality ofproducts and ultimate consumer satisfactionPage 22/70Media Spend w By Monthw By

20、 Mediumw By MarketPage 23/70Media Spend - By MonthSource: ACNlisenPeriod: Jan 01- May 02RMB000Yr 2002Year 2001 : Total Spend 58,404Jan-May 02: Total Spend 42,004Skincare media spend trend is heavy-up Bi-monthly Spending increased on Mar to May for launch of Cosmetic new product line “New Shine “Incr

21、eased spending on Corp in Mar 02Yr 2002020004000600080001000012000140001600018000JanFebMarAprMayJunJulAugSepOctNovDecJanFebMarAprMayavon corporateavon cosmeticsavon skin careavon perfumeavon othersPage 24/702%2%2%2%0%0%2%2%94%94%Avon CorporateAvon CosmeticAvon Skin CareAvon PerfumeAvon othersYear 20

22、019%9%87%87%0%0% 1%1%3%3%Spending on Cosmetic increased in Year 2002 whilst Perfume spend has decreased. Skin Care accounts for the highest spending of all categoriesMedia Spend - By CategoryYear 2002ImplicationSource: ACNlisenPeriod: Jan 01- May 02Page 25/70 Media exposure for Corporate mainly inve

23、sted on Newspaper Media exposure for Skin Care mainly invested on TV Media exposure for Cosmetic mainly invested on Magazines0%0%20%20%40%40%60%60%80%80%100%100%AvonCorporateAvonCosmeticAvon SkinCareAvonperfumeAvon OthersTVTVNPNPMGMG0%0%10%10%20%20%30%30%40%40%50%50%60%60%70%70%80%80%90%90%100%100%A

24、vonCorporateAvonCosmeticAvon SkinCareAvonPerfumeAvon OthersMedia Spend - By MediumYear 2001Year 2002ImplicationSource: ACNlisenPeriod: Jan 01- May 02Page 26/7011591876358574847444237GUANGZHOU BEIJING SHANGHAI TIANJIN CHENGDU WUHAN CHONGQING XIANHANGZHOU NANJING SHENZHEN Total Market : 31Comparativel

25、y with Year 2001, as to-date Avon has increased cities coverage in promoting its corporate image.RMB0004558133872147ZIBO KUNMING URUMQI LANZHOU SHIJIAZHUANG CHENGDU BEIJING WUHAN Media Spend - Avon CorporateImplicationYear 2001Total Market : 8Jan-May02Source: ACNlisenPeriod: Jan 01- May 02Page 27/70

26、Sustaining investment in GZ & SH for 2 consecutive yearsYear 2002 increased spending on National TV and extend to more cities. Year 200178090130176273424QINGDAOCHENGDUBEIJINGXIANNATIONALSHANGHAIGUANGZHOUTotal Market: 75778151717037147510791711HOHHOT SHIJIAZHUANG HAIKOU BEIJING SHANGHAINATIONALTotal

27、Market: 14Media Spend - Avon CosmeticRMB000ImplicationJan-May 02Source: ACNlisenPeriod: Jan 01- May 02Page 28/70RMB000Consistent spending throughout both years.20831927217022252446290830133935450950005862OthersXIANCHENGDUWUHANFUZHOUTIANJINHANGZHOUNATIONALGUANGZHOUSHANGHAIBEIJINGTotal Market : 656798

28、1889310401242134520372384435746975012WUHANFUZHOU TIANJIN CHONGQING CHENGDU HANGZHOUSHENZHEN GUANGZHOUNATIONAL SHANGHAI BEIJING Total Market : 85Media Spend - Avon SkinCareYear 2001Jan-May 02ImplicationSource: ACNlisenPeriod: Jan 01- May 02Page 29/70Comparatively with last year, market coverage has d

29、ecreased. Concentrating on GZ & BJ as of to-date29252627283797113174198212OthersHUIZHOUJIANGMENZHUHAITAISHANZHONGSHANNATIONALSHENZHENSHANGHAIGUANGZHOUBEIJINGTotal Market: 394880BEIJINGGUANGZHOUTotal Market: 2Media Spend - Avon PerfumeYear 2001Jan-May 02RMB000ImplicationSource: ACNlisenPeriod: Jan 01

30、- May 02Page 30/70Media SpendImplicationPage 31/70Significant increase of spending on Corporate Image ($ & city coverage) Strategically to achieve Avon awareness nationwide for further business expansionPeriodic media exposure of Avon products To promote key products Leverage other categories with A

31、von Corporate ImageMedia Spend - ImplicationPage 32/70Communication Means w TVC (Refer Appendix Reel)w Printsw Avon Internal Publicationw Web-sitePage 33/70Medium - TVCMedium : TVCCategory : SkinCarePeriod : Year 2002Medium : TVCCategory : Whitening SeriesPeriod : Year 2001Note : Refer to Appendix T

32、VC ReelPage 34/70Medium - PrintMedium : NewspaperCategory : SkinCarePeriod : Year 2002Medium : NewspaperCategory : SkinCarePeriod : Year 2001Page 35/70Medium - PrintMedium : MagazineCategory : SkinCarePeriod : March, 2002Page 36/70Leaflets Lets Talk Magazine w Lets Talk is soley internal newsletter

33、for Avon SRsw Leaflet circulation is for both internal and to the mass public.Medium - Internal PublicationPage 37/70Anew Avon Promotion Activity Essence of Beauty Service Net Lets talk Job Opportunity Entering Avon Tonality is fashionable, colorful, feminine. Offer on-line chat with women After bro

34、wsing the website Medium - WebsitePage 38/70PR Activitiesw TV Program Sponsorship - Chinaw Cause Related Program - Globalw Avon Breast Cancer Crusadew Avon Global Womens Healthw Events - Chinaw 1st Fragrance Festivalw Warm Heart NightPage 39/70An effective publicity approach for Avon to create inter

35、action with its SRs whilst obtain high awareness.Huan Le Zong Dong YuanHuan Le Zong Dong Yuan is a popular weekly program for its “mo fang” show produced by freelancers. Celebrities are invited to attend arouse excitement and fun.The program is broadcast in most of major cities and achieved high rat

36、ing viewing ship.TV Program SponsorshipPage 40/70The Avon Worldwide Fund for Womens Health is a global initiative of Avon Products, Inc., founded in 1992. Its mission is to improve the health of women internationally. The Fund encompasses Avon programs in 34 countries around the world that raise mon

37、ey through a variety of fundraising activities, increase public awareness, and connect women to lifesaving medical services. Together, these Avon programs have raised more than $190 million since 1992. Avons goal is to reach $250 million by the end of 2002. PR - Avon Breast Cancer CrusadePage 41/70A

38、vons Partnership Standard Private + non profit + public sector In USA, Avons partner arew YWCAw NABCO The National Alliance of Breast Cancer Organizationw NCI National Cancer InstituteIn China, Avons partner isGuangzhou Women Worker AssociationPR - Avon Breast Cancer CrusadePage 42/703 day Event Mec

39、hanicsThe beneficiary of the net proceeds of the Avon Breast Cancer 3-Day, which have averaged 60% since the program launched in 1998. Avon pink ribbon merchandise itemsKiss Goodbye to Breast Cancer Lipsticks,merchandise item T-shirts with logo available in Fashion Shops Other supports :Charity show

40、, Community Seminar, Brochure circulation door-to-door, internetPR - Avon Breast Cancer CrusadeMerchandise Items Page 43/70Avon was the leader in creating a platform for womens running in the late 1970s through the mid-1980s when the company sponsored the Avon International Running Circuit. These ra

41、ces enjoyed enormous popularity and were largely responsible for securing the womens marathon as an Olympic event. Joan Benoit Samuelson, Gold Medallist in the inaugural Womens Olympic Marathon (1984) and US record-holder, was one of the early Avon Running Circuits most prestigious participants. Avo

42、n Running Global Womens Circuit, an international series of women-only 10K runs (6.2 miles), 5K walks (3.1 miles) and beginner clinics (8-10 weeks) for all women.PR - Avon Global Womens HealthPage 44/70RYK, the only manufacturer of premier athletic shoes exclusively for women is the Official Footwea

43、r of the Avon Running Global Womens Circuit in the United States for 2001.(RRCA) Roads Scholar(tm) program benefits post-collegiate male and female runners who, while struggling financially, show promise and a willingness to compete and develop into accomplished, world-class athletesAvons Partnershi

44、p Standard Sport-related + Health caring + non-profit PR - Avon Global Womens HealthPage 45/70 Time: 2001 June Venue : GZ, SH ,BJ ,CQ ,WH (5 star hotels)Objective : promote Avon perfume product and perfume knowledge education Program Seminar DIY Perfume Lucky Draw Partner : Quest, one of the largest

45、 perfume company in the world Next Fragrance Seminar will be held in June, 2002 PR - Fragrance SeminarPage 46/70 Time : December 2000 Venue : Guangzhou Friendship Opera Objective : Raise fund for Guangzhou Children with health problems.Partner : Guangzhou Women Association PR - Warm Heart EveningPag

46、e 47/70PR ActivitiesImplicationPage 48/70Global long-term commitment China InitiativesProgram/Event sponsorship Initiate program with long term commitment to gain trust and global recognition. Built focus with single-minded objective and caring strategy on Womens Health. Build close tie with governm

47、ent bureau thatsupport issues in relate women. Focus to build corporate image and gain supportand participation from Government & Media.Organize outstanding events that is new news toChina Initiate programs/events with close association toAvon product category. Create excitement and fun for SRs part

48、icipationPR - ImplicationPage 49/70Overall Communication MeansImplicationPage 50/70Leverage on Global Programs Partnership with reputable Association Charity Programs & Yearly Event Essential approach to establish Avon brand image and reinforce confidence among consumers Create excitement for Avons

49、SRs Maintain good relationship with Government Advertise Avon products in 85 cities in China to:- Promote sales of key products Leverage on brand image& preference Leverage on key products with offer of other product categories.TVC PrintTV Program Sponsorship Terminal Internal publication Communicat

50、ion MeansImplicationLeaflets Web-sitePage 51/70AVONAMWAYCorporateMediumPropositionAdvertorial to enhance brand knowledgeTV, Print & Outdoor to build corporate brandimageProductFocusCategorySkin Care - Anew, WhiteningHealth Supplement NutriliteCosmetic/Skincare - ArtistryMediumPropositionTV, Print, O

51、utdoor, EventNutrilite TV, Print, EventArtistry Print, Event為您生活添色彩分享女人新主張Anew : 做個新活女人Whitening : 尋找美白天使Communication Medium ImplicationNutrilite : 有健康才有將來Artistry : 根據(jù)產(chǎn)品功能而定Page 52/70The Discovery Road of AvonPage 53/70the category.the company.the culture.the consumer.the idea.What is going on in

52、the category? How is it changing? What matters in it? How should it be?What cultural trends and shifts that our brand can tap into? What are the key things that the company owns or believes in? What is its DNA? What could it offer consumers? Who are we targeting and what human needs are we connectin

53、g our brand to? Use the believer matrix, if only qualitatively. On our way to the brand idea, we will make four stops, rigorously investigating these four components of a great brand. Enjoy the ride. The Discovery RoadPage 54/70the category.The 1st stop In general, per capita spending on skin care p

54、roducts rank the highest among beauty products Specialized & Natural ingredient is in trend. Less differentiation on product feature, whereas emotional value becomes more important to enhance brand image More beauty products to satisfy womenssophisticate needsAvon Discovery RoadPage 55/70the Company

55、.The 2nd stop Low brand image due to excessive discount offered to consumers Take initiative to extend its network, giving more opportunity to people to devote into women beauty business Dedicate to Staff Training Provide products to fulfil womens various needs, create a place for women to share wom

56、anhood, to better understand and care about themselvesAvon Discovery RoadPage 56/70the Culture.The 3rd stop Attitude towards beauty ( (對于美麗觀點(diǎn)）對于美麗觀點(diǎn)） Most women consider beauty products is a necessity, not luxury Most agreed external appearance is an important part to define a womans character, ther

57、efore, women tend to take additional efforts to make themselves look goodAttitude towards life（對于生活態(tài)度）（對于生活態(tài)度） Most have self-esteem, like to be financially independent, possess equal business opportunity with men, gaining great achievements Top 3 topics that interest women are : health, work and pl

58、aces of interest .Avon Discovery RoadPage 57/70the Consumer.The 4th stop Avon is the company for all women. Offer different product lines to different target groups with different needs. We can see classifications as below: Harmonious Happiness (家庭主婦型）家庭主婦型） Mature, married, prefer to save, family l

59、ife is the first priority Career Recognition （職業(yè)女性型）（職業(yè)女性型） Young career women, work hard and aspire for certain achievements Fashion/Expressive (時尚時尚/潮流追逐型）潮流追逐型） Young, white collars, colorful social activities, love to be trendy and modernAvon Discovery RoadPage 58/70Beauty category.the company f

60、or women.the culture.the consumer.Brand bond isFull line of products to fulfill every womens needsAvon brand bond A unique brand & consumer relationship：women community for sharing opinionsEmpower women with confidence, pride, career achievementsOptimistic, confident, looking for self-fulfillment, p