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Q: E-strategy in Cosmetics & Toiletries ( Answered 4 out of 5 stars,   2 Comments )
Question  
Subject: E-strategy in Cosmetics & Toiletries
Category: Business and Money > eCommerce
Asked by: mailman-ga
List Price: $25.00
Posted: 26 Jun 2003 03:24 PDT
Expires: 26 Jul 2003 03:24 PDT
Question ID: 221896
I need this answer within one week of the posting date.

I am looking to formulate a brief for implementing an e-commerce site
for a global C & T company. Are there any examples (such as briefs or
implementation plans) of this online? How do these companies deal with
local markets? Who are considered to be 'best in class'? How much
money are cosmetic retailers taking online? I would like the answers
to have a UK flavour. Thanks
Answer  
Subject: Re: E-strategy in Cosmetics & Toiletries
Answered By: belindalevez-ga on 26 Jun 2003 08:07 PDT
Rated:4 out of 5 stars
 
<There is a brief detailing the implementation of a web site for the
Body Shop. It discusses the online market, competition, the benefits
of e-commerce, why the decision was taken to whether to outsource the
site, payment, security, fraud, privacy, tracking, customer service,
returns, shipping, marketing and promotion, and costs.

It also includes the following information: A survey by International
Data Corportation found that more women than men are expected to go
online. By 2005 women will account for 60% of users and spend annually
$3.5 billion online. This is likely to result in growth in the market
for online health and beauty products.
http://216.239.51.100/search?q=cache:8w4QBxshoYMJ:www.ehrlichorg.com/s99ibm/b0505-08.doc+%22online+sales%22+%22cosmetics+and+toiletries+%22+uk+billion&hl=en&start=6&ie=UTF-8

The UK market for cosmetics and toiletries is worth over $14 billion.
The market breakdowns into the following sectors:
Toiletries – 31 percent
Haircare – 26 percent
Skin care – 17 percent
Cosmetics – 15 percent
Perfumes – 11 percent.
http://216.239.51.100/search?q=cache:LPB6PpaACOkJ:www.austrade.gov.au/ci_display/0,1257,ContentGroup%25253Dcountryindust%252526ContentType%25253Dcountryindust%252526ContentSection%25253Dtrends%252526MetaRID%25253DPWB174630,00.html+online+%22cosmetics+and+toiletries+%22+market+uk+billion&hl=en&start=5&ie=UTF-8

According to Jupiter Communications the total health and personal-card
market online will be worth $3 billion in 2003. The major players are
well known offline brands like Estee Lauder, Bobbi Brown, Clinique and
Avon.http://www.cosmeticindex.com/ci/dci/gci-archive-nov00.html

Delivery of goods.
The issues surrounding the delivery of small packages are detailed at
http://www.wmin.ac.uk/transport/download/dti_final_report.pdf The best
time for goods to be delivered is between 6pm and 8pm. Failed
deliveries can be as great as 60%. Any delivery system also needs to
take account of damaged or returned goods.

Legal issues
Under UK law customers may cancel orders within a seven day period
from the day that the goods are received. UK law also stipulates that
goods must be supplied within 30 days of the day after the order was
made unless the customer agrees otherwise. In addition the goods must
be as described, alternative goods may only be provided with the
customer’s consent.

The site also gives details about the major delivery companies. 

Dealing with local markets is discussed at
http://www.rab.co.uk/publications/pdf/RAB_Csmtc(ad.generic).pdf The
site recommends using radio as a means of advertising as the media is
less cluttered with cosmetics advertising and a high proportion of
cosmetics users listen to radio.

L’Oreal has responded to local markets by including American, Asian
and Latin American brand names into its range of products. They have
found that the ‘made in France’ label is not a selling point for all
customers. They report that the American market is the most difficult
to penetrate due to its maturity and large number of manufacturers.
http://www.loreal.com/us/news/full_article.asp?id_Art=2417&id_sousrubrique=1

Avon has found that spending $100 million on advertising has the
benefit that 4-6% of visitors buy compared to 1-2% on other sites.
http://www.businessweek.com/2000/00_38/b3699006.htm

Avon, present in 137 countries, tailors its products to local markets.
http://www.bargainshopping.org/avon.htm

Avon has successfully adapted to local markets but has recently
switched to global branding.
http://www.businessweek.com:/2000/00_38/b3699007.htm?scriptFramed>


<Additional links:>

<Make-up use in Britain – 73% of women use make up.>
<http://www.mrons.com/drno/news1562.htm>

<Colour cosmetics market in the U.K.>
<http://worldofinformation.safeshopper.com/24/1333.htm?160>

<U.S. online sales>
<http://www.beauty-on-line.com/ebn/newsletter.asp?eid=31>



<Search strategy:>

<"online sales" "cosmetics and toiletries " uk billion>
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&q=%22online+sales%22+%22cosmetics+and+toiletries+%22+uk+billion>

<"online cosmetics and toiletries " market>
<://www.google.com/search?hl=en&lr=&ie=ISO-8859-1&q=%22online+cosmetics+and+toiletries+%22+market>

<"uk" cosmetics market  online  million>
<://www.google.com/search?q=%22uk%22+cosmetics+market++online++million&hl=en&lr=&ie=UTF-8&start=10&sa=N>



<Hope this helps.>

Request for Answer Clarification by mailman-ga on 26 Jun 2003 08:35 PDT
I need to write  a brief proposing how to implement a global
e-commerce website. Therefore, I need to focus on aspects such as
resourcing and fulfimment. Do you have any ideas?

Clarification of Answer by belindalevez-ga on 28 Jun 2003 00:41 PDT
Clarification request appears to be in response to the comment.
mailman-ga rated this answer:4 out of 5 stars
excellent and so thorough

Comments  
Subject: Re: E-strategy in Cosmetics & Toiletries
From: josefthewizard-ga on 26 Jun 2003 05:14 PDT
 
You need just a brief or a E-Commerce Solution for this company?
Subject: Re: E-strategy in Cosmetics & Toiletries
From: mailman-ga on 26 Jun 2003 08:35 PDT
 
I need to write  a brief proposing how to implement a global
e-commerce website. Therefore, I need to focus on aspects such as
resourcing and fulfimment. Do you have any ideas?

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