Executive Summary The following paper is about a company that is at the top level of their industry in selling their products and services. The background of this company describes about what kind of company this is and the types of products and services it provides to their customers. This section also includes the recent performance of this company and the varying aspects of what their target customers and whose is the competition. This beauty retail store SWOT Analysis includes several strengths and weakness that it has currently developed in its structure. However, there are a few opportunities that this company should take advantage to seize the moment and there are a few threats in which they should find new ways to overcome …show more content…
This framework helps managers to think strategically and needs to be considered when performing an industry analysis. Strength The strength of Ulta involves several aspects that give this organization the upper-hand in their industry market. The ability of Ulta opening multiple stores in a short period of time shows that the barrier of entry into the cosmetics industry is low for this company. Ulta has been able to establish brand loyalty with their customers, which is contributed from the numerous exclusive products that they offer in their stores. Their stylists have achieved excellent customer responsiveness from the services they provided at their full service saloons. An important factor about their financial structure is that Ulta have a very low debt percentage; this is a key strength that this company has over their competitors. Weakness Just like any other company, Ulta has displayed several weaknesses in their organization in which they are trying to overcome these obstacles. Being a young company, there has been many costly mistakes from the executive level that have contributed to their operations. The replacement of their CEO Lynn Kirby has been a weakness to the organization in these recent periods. Their human resource department seems to lack the resources it needs for operations, they need to be effective and efficient in dealing
The definition of true beauty continues to evolve as generations pass and new ones emerge. Ulta Beauty, a popular cosmetic store, sells products with the aim to make women feel confident in their skin. Their use of advertisements helps spread the word about new, improved product lines and reach out to potential buyers. Selling makeup is the obvious goal of a cosmetic store, but the kind of consumers they attract and how varies between different franchises. When a company displays their products in one shot instead of in a commercial, the task of conveying the message becomes harder. Ulta Beauty persuades women to purchase their products by pointing out buyers’ insecurities while still appearing to promote empowering feminist values.
Macy Inc. (M) has a cost structure that can best be viewed using SWOT analysis, which is a way of evaluating the strengths, weaknesses, opportunities, and threats to the corporation. Macy’s strengths include customer loyalty, a recognizable store name, use of technology, a substantial supply chain, its comprehensive size, and the locations of its stores. In total, these strengths enable Macy Inc. to provide a unique service that offers a characteristic their competitors do not have: merchandise tailored to the customer by store and climate zone. Macy’s main weakness is its cost structure: costs are high compared to their competitors due to a complete operational transformation that includes localizing merchandise by
The weaknesses of Ulta are based on a limited international scope of business operations, which place restrictions on sales outside of the U.S. The lack of international brand name affiliations is a continual problem for the company, since it has not expanded sufficiently into larger markets. In this manner, Ulta has not expanded its market share, which places it at risk for losing an international market base.
Beauty is the quality of undeniable attractiveness possessed by a confident individual. Beauty is culturally valued because of its effect to make someone feel confident, creative, and unique. The beauty industry is expanding faster than ever because of the constant publicity it is receiving, whether it through social media, articles, or blogs. There are stores that are dedicated solely to all things beauty. One store in particular is Ulta Beauty. It is a beauty emporium where makeup gurus, or any ordinary person, could really get creative. Ulta’s popularity continues to grow because of its fun, colorful, and persuasive ads. An example would be an ad which contains a subtle, white, sparkly background, with vivid hues of purples, pinks, golds, and blues clustered together on the right side, with the words “All things beauty. All in one place. Go ahead, lose yourself,” and the large “Ulta Beauty” logo in the center of it all. The ad uses color, text, and gender appeal to connect to the value of beauty and to persuade women of all walks of life to shop there.
Before ULTA entered the beauty market in 1990, a woman would have to go to multiple stores to find cosmetic, fragrance, and salon products. ULTA has become a woman’s one-stop-beauty department store, they house everything from brands such as Revlon to Estée Lauder, products such as nail polish to specialty shampoos, and they even offer makeup and hair services. In this industry of beauty there are many competitors and companies must stay ahead of their competition, ULTA has done this and more. At the same time they have to foresee any future problems while they continue to grow and find ways to overcome the barriers. Being a lover of cosmetics investing in a company such as ULTA would seem a
The beauty industry is very large and continues to grow; according to Euromonitor International and IBIS World Inc., the industry represents about $127 million in sales from beauty products and salon services, as stated in Ulta’s 2015 annual report (Ulta Beauty, 2016 p. 5). Ulta Beauty currently competes with highly regarded department stores, salons, and even Amazon. Despite this, Ulta Beauty has maintained its place among leaders within the beauty industry, according to Elaine Low for Investors.com (Low, 2016).
The main function of the business to create a safe and natural company that the public is able to recognise as a brand that looks after the consumer. As a brand, we want to return the quality to the customer if they are trusting us to look after their bodies and needs. The statistics are alarming for all the nasty products placed in current beauty products: one in five of all beauty products contain chemicals linked to cancer, 80% contain ingredients that
On the other hand, Ulta Beauty have four teams to establishing marketing strategies in the store:
There are several ways Ulta Beauty has worked to create a positive notion associated with their name. One of their longest running partnerships is with the
I have worked for Ulta Beauty for about two years now, and during my employment with the company I have noticed a few areas they could improve on. I work as a cashier and retail sales associate and I often encounter customers who are from other countries. These customers often inform me that they do not have any store similar to Ulta where they live. Currently, Ulta has over 1000 retail stores, however they are only within the United States. Unlike their competitor, Sephora, Ulta has yet to expand their retail locations outside of the U.S. It was just this past year that Ulta finally started to offer shipping to Canada. It is because of these reasons, I feel that Ulta Beauty would benefit from implementing a globalization strategy.
Presents an analysis of performance and position in different dimensions, for example territory, products, etc.
Ulta Beauty is a chain beauty store with over 19,000 employees and 974 locations all across America. Ulta carries 20,000 products and 460 brands that consist of, cosmetic, skincare, haircare, and fragrance products for men and women. Majority of their inventory and sales come from cosmetic makeup brands. Ulta carries higher end makeup brands and well as lower end drug store brands. Their main target market and customers are women of all ages who use any type of beauty product. Their wide range of products can reach to all types of customers and they offer something that majority of people use. In 2013 Mary Dillon former chief of US cellular and chief executive of Mcdonald's became the new CEO. Since then Ulta sales have increased largely. At the end of 2015
Currently, the business has not ventured in the cosmetic market of London and Canada. Canada and London provide an opportunity for the company to expand its market through its international entry strategy of retailing and B2C framework. The SWOT analysis of the company shows a wide range of strengths and opportunities for the company’s future success such as market gap (London and Canada), Globalization, technology and good customer relation (BBB accreditation). The company demonstrates high capability of sustenance and survival through retailing, personal selling, E-commerce, E-marketing, Fashion Collaboration and other B2B platforms.
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Many cosmetic brands are popping up recently, perhaps, due to the increasing consumers of products that beautify and enhance the physical appearance of a person. Even though the market is already full of the said cosmetic brands, the company L’Oreal Groups could still be considered as the leading supplier of cosmetics and hair-color. This study is a brief overview of the marketing concepts and strategy of the said company. The company profile will be presented to be able to give a clear view of the market to which the company belongs to. An internal and external (SWOT) analysis of the company will also be provided in this paper. Another area will be specifically devoted to