1

(Image 1)

PRINCIPLES OF FASHIONSITUATION ANALYSIS ASSIGNMENT

EMILY KEMP

2

I CONFIRM THAT THIS WORK HAS GAINED ETHICAL APPROVAL + THAT WE HAVE FAITH-FULLY OBSERVED THE TERMS OF APPROVAL IN THE CONDUCT OF THIS PRODUCT.

SIGNED

DATE

WORD COUNT: 1889

3

CONTENTS

INTRODUCTION

METHODOLOGY

MACRO ENVIRONMENT

MICRO TREND ANALYSIS

BRAND AUDIT

PESTLE ANALYSISKEY MACRO TRENDS

MARKET HEALTHCOMPETITIVE ENVIRONMENTREVLON’S MARKETING MIX

BRAND HISTORYBRAND OVERVIEWTARGET CONSUMERBRAND HEALTH CHECK

BRAND OPPURTUNITIES

LIST OF ILLUSTRATIONS

REFERENCES

BIBLIOGRAPHY

APPENDIX

SWOT ANALYSISANSOFF’S MATRIXKEY CONCLUSIONS + RECOMMENDATIONS

APPENDIX A - QUESTIONNAIREAPPENDIX B - ONLINEQUESTIONNAIRE RESULTS

4

5

679

12131417

2223242526

28293133

34

35

36

3737 38

4

INTRODUCTION

IN THIS REPORT I WILL LOOK INTO REVLON + ITS MARKETING ENVI-RONMENT TO UNDERSTAND ITS CURRENT POSITION + HOW IT HAS GOT TO WHERE IT STANDS TODAY LOOKING INTO BOTH WHERE IT HAS BEEN SUCCESSFUL + WHERE IT HAS STRUGGLED + COULD BE ROOM FOR IMPROVEMENT. FROM THIS I SHALL ALSO MAKE RECOMMENDATIONS FOR WHAT ACTIONS THEY SHOULD TAKE IN THE FUTURE IN ORDER TO MAXIMISE THEIR LEVEL OF SUC-CESS; IDENTIFYING OPPURTUNITIES, BASED ON CURRENT TRENDS, + THE ISSUES THAT SHOULD BE ADDRESSED.

(Image 2)

5

INTRODUCTIONMETHODOLOGY

QUESTIONNAIRE (APPENDIX A)• INCLUDED QUESTIONS WHICH WOULD COLLECT BOTH QUANTITATIVE + QUALITATIVE DATA• SAMPLE:

WOMEN AGED 18+ WHO HAVE AN INTEREST IN MAKEUP- REVLON DON’T HAVE A DISTINCTIVE AGE FOR THEIR TARGET CONSUMER THEREFORE I INCLUDED WOMEN OF ALL AGES IN MY SAMPLE + WOULD USE THE RESULTS TO IDENTIFY ANY DIFFERENCES IN OPINION BETWEEN AGE SEGMENTS ALLOWING ME TO SEE WHETHER REVLON SHOULD TARGET A MORE SPECIFIC AGE RANGE - HOWEVER A LARGER NUMBER OF YOUNGER RESPONDANTS WERE ASKED AS IT IS HERE WHERE THE INDUSTRY IS SEEING THE LARGEST AMOUNT OF GROWTH

• ONLINEQUESTIONNAIRE WAS POSTED ON SOCIAL MEDIA (FACEBOOK + TWITTER) ASKING ONLY FOR FEMALE RESPONDANTS OVER THE AGE OF 18 - AS WELL AS BEING POSTED BY MYSELF THIS WAS SHARED BY MY TEAM + SEVERAL FAMILY MEMBERS MEANING I COLLECTED RESPONSES FROM BOTH PEOPLE THAT DO + DO NOT KNOW MYSELF OR SPECIFICS ABOUT THE PROJECT MAKING THE RESPONSES LESS BIASEDRECIEVED 75 RESPONSES

• OFFLINE

PRIMARY RESEARCH

MY TEAM + I ALSO TOOK PRINTED COPIES OF THE QUESTIONNAIRE + ASKED PEOPLE IN LONDON TO COMPLETE THEM - HALF THE TEAM WHERE SITUATED OUTSIDE ‘BOOTS’ ON OXFORD STREET AS THERE WOULD BE MANY WOMEN HERE WITH AN INTEREST IN MAKEUP + THE OTHER HALF WENT AROUND SOHO AS THIS IS A POPULAR SHOPPING DESTINATION + INCLUDES SHOPS OF HIGHER END MAKEUP BRANDS SUCH AS MAC + ILLAMASQUA - HERE WE WOULD GET THE OPINION OF WOMEN WHO ARE USED TO POTENTIALLY PAYING MORE FOR THEIR MAKEUP PRODUCTS + COULD SEE HOW THEY BELIEVE REVLON COMPARES TO THEM E.G. IN TERMS OF QUALITY RECEIVED 50 RESPONSES

NO ONE UNDER THE AGE OF 18 WAS ASKED TO ANSWER THIS SURVEY

TO DEVELOP AN UNDERSTANDING OF PEOPLE’S CURRENT PERCEPTION OF REVLON + HOW IT COMPARES TO ITS COMPETI-TORSTO DISCOVER WHAT TRENDS APPLY TO REVLONS + THEIR CLIENTELE IN ORDER TO MAKE SUGGESTIONS FOR FUTURE AC-TIONS

AIM

RESULTS (APPENDIX B)

6

MACROENVIRONMENT

(Image 3)

7

PESTLE ANALYSIS

POLITICAL

ECONOMICAL

SOCIAL

UK UNEMPLOYMENT HAS BEEN DECREASING SINCE 2012 - AS OF MARCH 2015 IT WAS AT JUST 1.83M (7.1%)- WITH A HIGHER NUMBER OF PEOPLE IN WORK, THE AVERAGE DISPOSABLE INCOME HAS INCREASED MEAN-ING MORE ARE WILLING TO SPEND MONEY, PARTICULARLY ON LUXURY PRODUCTSINTEREST RATES HAVE ALSO BEEN MAINTAINED AT A RECORD LOW WITH THE BASE RATE AT JUST 0.5% - THIS IS ALSO A MOTIVATOR FACTOR TO MAKING PURCHASING DECISIONS AS BY SAVING MONEY PEOPLE WILL BE GETTING BACK LITTLE REWARD - ALSO CHEAPER TO BORROW MONEY - BOTH POINTS LEAD PEO-PLE TO BUYING MORE WITH THEIR MONEY RATHER THAN SAVING IT

PROPORTION OF PEOPLE WHO EXPECT TO ADD TO THEIR SAVINGS OVER THE NEXT 3 MONTHS FELL TO 31% IN AUGUST FROM 36% PRE-REFERENDUM - SUGGESTS NO PANICK ABOUT IMMINENT ECONOMIC COLLAPSE - PEOPLE BELIEVE THEY WILL STILL SPEND MORE DESPITE THE UNCERTAINTY FOR OUR ECONOMY DUE TO LEAVING THE EU - STILL PREPARED TO BUY LUXURY PRODUCTS SUCH AS MAKEUP

(Image 3)

INCREASINGLY BUSY LIFESTYLES - PEOPLE HAVE LESS TIME TO SPEND ON THINGS THAN THEY USED TO - MARKETING MUST OBTAIN ATTENTION QUICKLY TO MAKE AN IMPACTREVLON OFFERS RELIABLE PRODUCTS - AS A BRAND THEY’RE TRUSTED - MANY DONT HAVE THE TIME TO WASTE ON TRYING NEW PRODUCTS + SO SHALL STICK TO WHAT THEY KNOW WITH REVLON

8

ENVIRONMENTAL

LEGAL

TECHNOLOGICAL

STRICTER LAWS ON INGREDIENTS GRADUALLY TAKING PLACEEU CURRENTLY BANS 1300+ INGREDIENTS WHEREAS THE US ONLY BAN 11 - ACTIVIST GROUPS FIGHTING TO IMPROVE THIS - “US INGREDIENTS TOXICITY IS A PROBLEM” - ACTIVIST GROUP, BeautyCounter REVLON MUST BE WELL AWARE OF THIS AS THEY OPERATE IN A NUMBER OF COUNTRIES - EACH WITH DIF-FERENT LAWS + INGREDIENTS BANNED

EXPECTED STANDARDS FOR WORKER SAFETY + ANIMAL CRUELTYCORPORATE SOCIAL RESPONSIBILITY- CAN GREATLY AFFECT A BRANDS IMAGE BOTH POSITIVELY + NEGA-TIVELY2014 REVLON WAS TAKEN OFF OF PETAS LIST

RISE OF SOCIAL MEDIA USE - BRANDS THEMSELVES CAN USE + ADVERTISE ON THESE PLATFORMS, OBTAIN-ING A LARGE FOLLOWING COULD HELP INCREASE SALES IN THE FUTURE AS MORE PEOPLE WILL BE AWARE OF NEW PRODUCTS OR DEALS AVAILABLEBLOGGERS NOW ALSO HAVE A HUGE EFFECT WITHIN THE BEAUTY INDUSTRY - VIDEO TUTORIALS OR BEAU-TY HAULS AQUIRE GREAT ATTENTION + MANY (ESPECIALLY THE YOUNGER GENERATIONS) ARE OFTEN DRIVEN TO MAKE SIMILAR PURCHASES TO THOSE THAT THEY WATCH - THEY ASPIRE TO BE LIKE THEM

9

INDIVIDUALISM + EXPRESSION• 68% PEOPLE CHOSE PRODUCTS THAT MEET THEIR SPECIFIC NEEDS OVER OTHERS• CUSTOMISATION GIVES THE IMPRESSION OF PREMIUM - CHARGE A HIGHER PRICE• 86% EUROPEAN + US CONSUMERS FELT THAT ‘PRODUCTS + SERVICES DESIGNED FOR SPECIFIC

NEEDS’ WAS EITHER ‘IMPORTANT’ OR ‘VERY IMPORTANT’

KEY MACRO TRENDS

WOMEN WHO USE BRANDED COS-METICS SAY COLOURS NOT MATCH-ING THEIR SKIN TONE IS THEIR BIGGEST FRUSTRATION - REVLON COULD APPEAL TO THIS TREND BY OFFERING PRODUCTS BETTER SUITED TO PEOPLE’S INDIVIDUAL SKIN TYPES: NOT ONLY MATCH-ING THEIR SKIN COLOUR BUT ALSO PROVIDING BENEFITS TO THEIR SKIN TYPE- ALMOST ALL WOMEN WOULD AT LEAST BE INTERESTED IN SUCH PRODUCTS WITH THE VAST MA-JORITY AGREEING THEY’D BE MORE LIKELY TO BUY IT

10

HEALTH & WELLNESS• CONSUMERS HEALTH BEHAVIOURS

BECOMING MORE SOPHISTICATED - GROWING CONCERNS OVER ARTIFICIAL INGREDIENTS

• 90% EUROPEAN + US CONSUMERS REC-OGNISE IMPORTANCE OF IMPROVING/MAINTAINING GOOD HEALTH - RE-FLECTED BY RISING APPEARANCE CON-SCIOUSNESS

• 53% UK WOMEN USED PRODUCTS WITH NATURAL INGREDIENTS IN THE LAST YEAR

• PEOPLE ARE MORE DRAWN TO PROD-UCTS WHICH STATE THE INCLUSION OF NATURAL INGREDIENTS THAN THOSE STATING THEY’RE FREE FROM SOME-THING

• 59% PEOPLE SAY HEALTH + WELLNESS BENEFITS WERE INFLUENTIAL PUR-CHASE DRIVERS - 57% FOR PRODUCTS MADE WITH FRESH, NATURAL/ORGAN-IC INGREDIENTS

• 55% WOMEN CHECK LABELS BEFORE PURCHASE - 55% (62% MILLENNIALS) READ TO AVOID SPECIFIC INGREDIENTS

• 35% WOMEN INTEND TO BUY MORE ALL NATURAL BEAUTY PRODUCTS IN THE NEXT 2 YEARS THAN THEY CURRENTLY DO (73% MILLENNIALS, 59% 35-44)

70%< WOMEN AGREED THAT THE USE OF NATURAL INGREDIENTS +/OR BENEFICIAL INGREDIENTS WAS IMPORTANT TO THEM - COULD MAKE A DIFFERENCE TO THEIR PURCHASING DECISION: BEING DRAWN TO PRODUCTS THAT OFFER MORE BENEFICIAL/NATURAL INGREDIENTS THAN OR DISCOURAGING A PURCHASE IF THEY DON’T - REVLON SHOULD CONSIDER THIS IN THE FUTURE

11

SUSTAINABILITY + ETHICS• GROWING INTEREST + CONCERNS OVER

PRODUCTS MANUFACTURE + MARKETING• MORE BEGINNING TO BE PUT OFF FROM

PURCHASES IF THEY BRAND HAS BEEN DIS-COVERED TO BE UNETHICAL

• MANY ARE WILLING TO PAY HIGHER PRIC-ES FOR PRODUCTS WITH THE KNOWLEDGE THAT IT’D BEEN PRODUCED ETHICHALLY

• ACTIVISTS ARE SMASHING THROUGH NEW BARRIERS - CALLING FOR REGULATION + TRANSPARENCY ON INGREDIENTS, FOR SUS-TAINABILITY, FOR SOCIAL PROGRAMMES, + FOR MARKETING THAT EMPOWERS WOM-EN. + AS NEW + ESTABLISHED BRANDS SEE THAT AN ‘ACTIVIST’ APPROACH TO KEY IS-SUES MAKES BUSINESS SENSE, EXPECT THIS TREND TO GROW.” - (Wsgn.com, (2016), The Beauty Buzz – Activism: The New Frontier)

60% WOMEN CONSIDERED A BRANDS ETHICAL FOOTPRINT AS AN INFLUENTIAL FACTOR TO THEIR PURCHASING DE-CISION - COULD BE USED TO EITHER ENCOURAGE OR DETER SALES - REVLON SHOULD BE AWARE OF THIS ESPECIALLY DUE TO THEIR ELIMINATION FROM THE PETA LIST - CURRENT BRAND IMAGE ISN’T ONE THAT’S CONSIDERED ETHICAL - COULD LOSE SALES DUE TO THIS

12

MICRO TREND

ANALYSIS

(Image 4)

13

MARKET HEALTHVALUE SALES OF UK COLOUR COSMETICS

2014 2015 2016

£1.59bn £1.72bn £1.84bn8.2% 7%

UK COLOUR COSMETICS MARKET IS ALREADY HUGE YET IS CONTINUING TO GROW AT A FAIRLY STEADY RATE. IN RE-CENT YEARS A PARTICULAR DRIVER FOR THIS HAS BEEN THE BEAUTY BLOGGER PHENOMENON ‘INSPIRING WOMEN TO EXPERIMENT WITH NEW LOOKS + TRENDS + EXPAND THEIR PRODUCT REPETOIRES’ (Libby, Colour Cosmetics 2016)SOME OF THE MOST POPULAR INCLUDE: ZOELLA, TANYA BURR, + PIXIWOO

(Image 7)(Image 6)(Image 5)

14

COMPETITIVE ENVIRONMENTBEAUTY MARKET IS HIGHLY SATURATED + OVERCROWDED

WITH SO MANY WELL ESTABLISHED BRANDS IT CAN BE DIFFICULT TO BE CONSIDERED UNIQUE + STAND OUT AMOUNG THEM

REVLON IS A BRAND THAT’S HIGHLY TRUSTED ALTHOUGH NOT GREATLY DIF-FERENTIATED - THEY OFFER RELIABLE PRODUCTS RATHER THAN OUTGOING/HIGHLY INNOVATIVE ONES

REVLON IS PERCEIVED AS A BRAND THAT HITS A MEDIUM PRICE POINT - WITH THE BRANDS INCLUD-ED IN THIS SURVEY THIS IS FAIRLY ACCURATE

(Image 9)

(Image 8)

15

KEY COMPETITORS

THE MAJORITY OF PEOPLE CONSIDER L’OREAL, RIMMEL LONDON + MAYBELLINE AS REVLON’S MAIN COMPETI-TION

FROM MINTEL’S RESEARCH + SURVEYS AVON IS ALSO A BIG COMPETITOR

16

PRODUCT

PLACE/DISTRIBUTION

BRAND INSTAGRAM FOLLOWERS

TWITTER FOLLOWERS

FACEBOOK PAGE LIKES

SALES

1M <375 K 8.19 MREVLON

MAYBELLINE

RIMMEL LONDON

L’OREAL

AVON

2.9M

69.4K

367K

4.5MM

118K

156.1K

591.9K

413.5K

17.2M

530K(RIMMEL LONDON US)

3.8M(MAYBELLINE NEW

YORK INDIA)

>5M

$342.8M(3RD QUARTER 2016)

$1.3BN (1ST QUARTER 2016)

---

OWNED BY L’OREAL

€ 6.55BN (1ST QUARTER 2016)

COMPARING REVLON TO THEIR MAIN COMPETITORS THEY’RE HEAVILY LACKING IN TERMS OF SALES MAYBELLINE + L’OREAL ARE CURRENTLY MOST SUCCESSFUL IN TERMS OF SOCIAL MEDIA, HAVING THE LARGEST FOLLOWING - REVLON IS DOING WELL HERE BUT THERE’S STILL ROOM FOR IMPROVEMENT AS THEY DON’T POST AS OFTEN AS THEY COULD

17

REVLON’S MARKETING MIX

PRODUCT REVLON CURRENTLY OFFERS A WIDE RANGE OF PRODUCTS FROM MAKEUP + TOOLS TO NAIL POLISHES + HAIR DYE - BEST SELLING PRODUCTS BEING THEIR COLOURSTAY FOUNDATION + COLOURBURST BALMS

PLACE/DISTRIBUTION

• REVLON• SINFULOLOURS• PURE ICE

GLOBAL BRAND PORTFOLIO

COLOUR COSMETICS

HAIR COLOUR

BEAUTY TOOLS

FRAGRANCEANTI-PERSPIRANT/DEODRANTS

SKINCARE

• REVLON COLOURSILK

• REVLON

• CHARLIE• MITCHUM

• ULTIMA II• GATINEAU

AVAILABLE ATIN STORE

• Over 100 countries across 6 continents

ONLINE• www.revlon.com• www.almay.com• www.mitchim.com

BUY AT • www.boots.com• www.superdrug.com

REVLON OWNS SEVERAL BRANDS + SELLS AS AN OMNICHANNEL RETAILER (OPERATING IN STORE + ONLINE) TO OVER 100 COUNTRIES REACHING MANY PEOPLE

18

REVLON£12.99 (£43.30 per 100ml)

L’OREAL£9.99 (£33.30 per 100ml)

RIMMEL LONDON£7.99 (£26.63 per 100ml)

MAYBELLINE£7.99 (£26.63 per 100ml)

BOUJOIS£9.99 (£33.30 per 100ml)

No7£14.50 (£48.33 per 100ml)

SEVENTEEN£6.49 (£21.63 per 100ml)

NYX£6.00 (£20.00 per 100ml)

QUALITY

PRICE

MAX FACTOR£12.99 (£43.30 per 100ml)

PRICE + POSITIONING PRICES OF BRANDS BEST SELLING LIQUID FOUNDATIONS - PRICES TAKEN FROM BOOT.COM -

ACCESSED 16TH DECEMBER 2016COMPARING REVLON’S COLOURSTAY FOUNDATION - RETAILS FOR £12.992 RANGES AVAILABLE: NORMAL/DRY, COMBINATION/OILY

IN TERMS OF FOUNDATIONS REVLON IS POSITIONED AT THE HIGHER END OF THE HIGH STREET MARKET.• FOLLOWS THEIR MISSION STATEMENT - HIGH QUALITY PRODUCTS BUT REMAINS AFFORDABLE

(Image 10)

PRICE + POSITIONING

19

COMPARING REVLON’S LIP BUTTER - RETAILS FOR £7.99

PRICES OF BRANDS BEST SELLING LIP PRODUCTS ALSO TAKEN FROM BOOTS.COM - ACCESSED 16TH DECEMBER

QUALITY

PRICE

REVLON£7.99

L’OREAL£6.99

RIMMEL LONDON£5.49

MAYBELLINE£8.99

BOURJOIS£8.99

No7£9.95

SEVENTEEN£4.49

NYX£5.50

MAX FACTOR£7.99

BY COMPARING 2 OF REVLON’S BEST SELLING PRODUCTS WE SEE HOW THE COMPETITIVE FIELD VARIES WITH EACH - DIFFERENT BRANDS SPECIALISE IN DIFFERENT PRODUCTS + THIS IS SOMETHING REVLON MUST BE AWARE OF - THIS IS ONLY A SELECTION OF THEIR COMPETITORS + WITH EACH DIFFERENT PRODUCT REVLON SHALL RE-CEIVE GREATER COMPETITION WITH DIFFERENT BRANDS

(Image 11)

PRICE + POSITIONING

20

PROMOTION CURRENT CAMPAIGN: LOVE IS ON

• THREE WOMEN’S STORIES OF ROMANCE/FINDING ‘THE ONE’ - TAKE PLACE WHILST LOOKING THEIR BEST, WEARING REVLON - THEIR ‘ONE’ MAKEUP BRAND

• INCLUDES: OLIVIA WILDE, ALE-JANDRA ESPINOZA, HALLE BERRY - ASSOCIATES THE MODELS/AC-TRESSES, KNOWN FOR LOOKING BEAUTIFUL, WITH THE BRAND - GREATER BRAND AWARENESS + PERCEPTION - POSSIBLY OBTAIN NEW CUSTOMERS FROM FANS OF THE THREE WOMEN OR THOSE WHO ASPIRE TO LOOK AS THEY DO - AGED 29-50 APPEALS TO A WIDE AGE RANGE

• WOMEN EMPOWERMENT - TAKE CONTROL + LEED THEIR INDIVID-UAL SCENARIOS - APPEALING TO THEIR TARGET MARKET

• FOLLOWS THEIR MISSION STATE-MENT - WOMEN LOOK GLAM-OROUS + HAVE EXCITEMENT IN THEIR LIFE

• #CHOOSELOVE - USED TO SPREAD THE CAM-PAIGN ACROSS SOCIAL MEDIA - PARTICULAR-LY INSTAGRAM WITH THE IDEA OF POSTING A PICTURE - ALL PHOTOS CAN BE FOUND ON THEIR WEBSITE

(Image 13)

(Image 12)

PROMOTION

21

EMMA STONE

AGED 28 - AMERICAN AC-TRESS KNOWN FROM FILMS SUCH AS ‘EASY A’ (2010), ‘THE AMAZING SPIDER-MAN’ (2012) + ‘LA LA LAND’ (2016) - HELPS THE BRAND APPEAL TO A

YOUNGER AUDIENCE

AGED 29 - BRITISH ACTRESS - BEST KNOWN FOR STAR-ING IN ITV’S SOAP OPERA ‘CORONATION STREET’ 2008-2014 - CREATED A ‘MI-CHELLE KEEGAN EDIT’ - ALSO APPEAL TO YOUNGER AUDIENCE - HELPS PRO-MOTE SPECIFIC PRODUCTS

MICHELLE KEEGAN HALLE BERRY

AGED 50 - AMERICAN AC-TRESS, FILM PRODUCER + FORMER FASHION MODEL - SIGNED WITH REVLON IN 1996 - WELL KNOWN, REC-OGNISABLE FACE - OLDER TO OTHER AMBASSADORS - HELPS APPEAL TO A WIDER

AGE RANGE

CIARA

AGED 31 - AMERICAN SING-ER, SONGWRITER, RECORD PRODUCER + ACTRESS - REVLON’S LATEST AMBAS-SADOR - ‘My Name Came From One of Their Fragrances’

CELEBRITY ENDORSEMENT

(Image 17)(Image 16)(Image 15)(Image 14)

PROMOTION

22

BRAND AUDIT

(Image 18)

23

1932 FOUNDED BY CHARLES + JOSEPH REVSON + CHARLES LACHMAN DEVELOPED UNIQUE MANUFACTURING PROCESS USING PIGMENTS NOT DYES

BEGIN SELLING NAIL POLISHES IN DRUG + DEPARTMENT STORES

FIRST LIPSTICK LINE ADDEDMITCHUM & CO ESTABLISHED HAD 6 SEMI-AUTONOMOUS COSMETIC LINES - EACH WITH ITS OWN PRODUCTS + MANAGEMENT REVLON - LARGEST, MOST WELL KNOWN PRINCESS MARCELLA BORGHESE - UPSCALE/INTERNATIONAL ULTIMA II - PREMIUM NATURAL WONDER - JUNIORS MOON DROPS - DRY SKIN ETHEREA - HYPO-ALLERGENIC

CHARLIE FRAGRANCE LAUNCHED

REVLON BECAME FIRST COMPANY TO REPLACE ANIMAL TESTING WITH ALTERNATIVE METHODS

COLOURSTAY LINE CREATED

BOUGHT COLOMER GROUP

WITHDRAW OPERATIONS FROM CHINA AFTER PROFIT DECLINES IN 2011 + 2012

1937

19401970

1973

1983

1994

2012

2013

EARLY 70s

BRAND HISTORY

(Image 18)

24

BRAND OVERVIEW

BRAND MISSION

BRAND ESSENCE

BRAND POSITIONING STATEMENT

“REVLON’S VISION IS TO PROVIDE GLAMOUR, EXCITEMENT AND INNOVA-TION THROUGH QUALITY PRODUCTS AT AFFORDABLE PRICES”

GLAMOROUS, TRUSTWORTHY, CLASSIC

REVLON AIMS TO PROVIDE THE BUSY WORKING WOMEN WITH RELIA-BLE PRODUCTS WHICH ALLOW HER TO CREATE A CLASSIC LOOK + STYLE, NEEDED IN HER PROFESSIONAL LIFE, WITHOUT WASTING A LARGE PRO-PORTION OF HER VALUABLE TIME OR INCOME. THEY DO THIS BY MAIN-TAINING A HIGH LEVEL OF QUALITY, PROVIDING A RANGE OF PRODUCTS + COLOURS TO APPEAL TO ALL WOMENS UNIQUE FEATURES + TONES + ALL AT AFFORDABLE PRICES.

TARGETCONSUMER

25

TARGETCONSUMER

OVERALL REVLON’S TARGET CONSUMER IS A VERY WELL PUT TOGETHER WOMAN WHO TAKES CONTROL OF HER OWN LIFEDUE TO HER BUSY SCHEDULE SHE DOESN’T HAVE THE TIME TO CONSTANTLY TRY OUT NEW BRANDS + SO STICKS TO THE ONE SHE TRUSTS + KNOWS WELLSHE’S A VERY STYLISH WOMEN WHO ENJOYS KEEPING UP WITH THE LATEST FASHION TRENDS + ENJOYS REVLON’S RANGE OF COLOURS AS IT ALLOWS HER TO CONSTANTLY EVOLVE HER LOOK WITHIN BEAUTY TO MATCH HER FASHION CHOICES

26

BRAND HEALTH CHECK

FIGURES TAKEN FROM THE PREVIOUS 2 YEARS REVEAL THAT OVERALL REVLON HAS INCREASED ITS TOTAL SALES + PROFIT HOWEVER THIS IS ONLY WITH THE AQUISITION OF ELIZABETH ARDEN IN 2016. REVLON’S CONSUMER SALES IS BY FAR THE LARGEST SOURCE OF INCOME FOR THE BUSINESS + WHILE IT REMAINS AT A HIGH LEVEL SALES HAVE DECREASED FROM THE PREVIOUS YEAR. IT IS THIS SEGMENT REVLON SHOULD FOCUS THEIR EFFORTS ON IN THE FUTURE.

SALES

(Image 19)

27

55% GIRLS SAID THEY HAD USED REVLON AT SOME POINT - THIS WAS THE SEC-OND HIGHEST RESPONSE IN BRANDS INCLUDED IN THE SURVEY - HOWEVER ONLY 19% HAVE USED IT IN THE LAST YEAR SUGGESTING THE MAJORITY HAVE FOUND BRANDS THAT THEY PREFER - THIS IS SUPPORTED BY THE FACT THAT ONLY 6% AN-SWERED THAT REVLON IS THEIR FAVOURITE BRAND

USAGE

PERCEPTION 77% GIRLS WHO HAVE TRIED REVLON WOULD RECOMMEND IT - HIGH FIGURE SUG-GESTS THE AGREEMENT THAT REVLON PROVIDE PRODUCTS OF HIGH QUALITY - LOWER THAN COMPETITION BENEFIT, CLINIQUE + SMASHBOX, BETTER PRODUCTS REFLECTED BY HIGHER PRICES THAN REVLON

AWARENESS ALL RESPONDANTS USED IN MY PRIMARY RESEARCH + 93% PEOPLE IN A MINTEL SURVEY WERE ALREADY AWARE OF REVLON AS A BRAND

(Image 20)

28

BRANDOPPURTUNITIES

(Image 21)

29

SWOT ANALYSISSTRENGTHS

OPPURTUNITIES THREATS

WEAKNESSES

• QUALITY PRODUCTS• TRUSTWORTHY BRAND• HERITAGE• STRONG SALES• CELEBRITY ENDORSEMENT

• LACK OF INNOVATION• SLOW AT REACTING TO TRENDS• NO CLEAR TARGET MARKET

• RISE IN SOCIAL MEDIA USAGE - ADVERTISE NEW PRODUCTS OR CURRENT OFFERS HERE - WORK WITH BEAUTY BLOGGERS TO ATTRACT YOUNGER CLIEN-TELE

• GROWING INTEREST + IMPORTANCE OF THE USE OF NATURAL INGREDIENTS + OPERATING ETHICALLY - DO THIS EFFECTIVELY + MANY WILL BE WILLING TO PAY A HIGHER PRICE FOR THEIR PRODUCTS

• OFFERING PRODUCTS BETTER SUITED TO INDIVID-UALS - CUSTOMISATION GIVES THE IMPRESSION OF PREMIUM - CHARGE HIGHER PRICES

• COMPETITORS HIGHLY FOCUSED ON INNOVATION E.G. L’OREAL• COMPETITORS CURRENTLY APPEALING WELL TO MAJOR MAC-

RO TRENDS:

• LOWER PRICED ALTERNATIVES• BEAUTY MARKET IS HIGHLY SATURATED

• INDIVIDUALISM + EXPRESSION - No7 MATCH MADE SERVICE - IN STORE SERVICE WHERE CUSTOMERS SKIN IS DETECTED TO FIND THEIR PERFECT MATCH CONCEALER + FOUNDA-TIN COLOUR - STAFF CAN THEN ALSO GIVE RECOMMENDA-TIONS ON LIP COLOUR FROM THIS

• HEALTH + WELLNESS - SEELY - WELL ESTABLISHED BRAND WHO USE ALL NATURAL INGREDIENTS

• SUSTAINABILITY + ETHICS - BeautyCounter - WORKING TO IM-PROVE LAWS ON INGREDIENTS IN THE US - ALREADY SUC-CESSFUL IN AMERICA + HAVE PLANS TO EXPAND TO THE UK - REVLON SHOULD BE AWARE OF THIS AS THEY COULD BECOME A GREAT SOURCE OF COMPETITION FOR THEM IN THE FUTURE

(Image 21)

30

OVERALL REVLON HAS A STRONG BRAND IMAGE BEING PERCEIVED AS A BRAND OF TRUST + QUALITY THOUGH THEY’RE BIGGEST DOWNFALL IS NOT BEING INNOVATIVE ENOUGH, ESPESICALLY WHEN THIS IS PART OF THEIR MIS-SION STATEMENT. TO TACKLE THIS THEY SHOULD TAKE ADVANTAGE OF THE OPPURTUNITIES TO THEM, ALSO TACK-LING SOME OF THEIR THREATS, BY APPEALING TO THE CURRENT KEY MACRO TRENDS, CREATING NEW PRODUCTS SUITED SPECIFICALLY TO INDIVIDUALS SKIN OR BY MAKING PRODUCTS MORE NATURAL.

31

ANSOFF’S MATRIXPRODUCTS

NEWEXISTING

MARKET

NEW

EXISTING

• PRODUCING FOUNDATIONS NOT ONLY MATCHING SKIN COLOUR BUT OFFER-ING BENEFITS FOR SPECIFIC SKIN TYPES (APPEAL TO THE INDIVIDUALISM + EX-PRESSION TREND)

• CREATE MORE ‘ALL NATURAL’ PROD-UCTS - COULD POSSIBLY CHARGE A HIGHER PRICE FOR THESE, INCREASING PROFIT MARGINS (APPEAL TO HEALTH + WELLNESS TREND)

• CREATE A BETTER SUITED PRODUCT LINE TO RE-ENTER THE CHINESE MAR-KET + BETTER CULTURALLY AIMED MARKETING

• FOLLOW SOCIAL MEDIA TRENDS TO CREATE NEW PRODUCTS WHICH AP-PEAL TO DIFFERENT MARKETS - E.G. GROWING NUMBER OF MALES NOW WANTING TO WEAR MAKE UP + ARE OBTAINING A HIGH FOLLOWING ON SOCIAL MEDIA

• FURTHER CELEBRITY ENDORSE-MENT TO ENCOURAGE SALES GROWTH

• GREATER USE OF SOCIAL MEDIA TO PROMOTE - BUILD CONNECTIONS WITH BEAUTY BLOGGERS TO AP-PEAL MORE TO THE YOUNGER MAR-KET - ENCOURAGE THEIR AMBAS-SADORS TO POST MORE ABOUT THE BRAND

• RE-ENTER CHINESE MARKET

MARKET PENETRATION

DIVERSIFICATIONMARKET DEVELOPMENT

PRODUCT DEVELOPMENT

32

KEY CONCLUSIONS +RECOMMENDATIONS

IN THE SHORT TERM THE BEST ACTION FOR REVLON TO TAKE IS THE BETTER USAGE OF SOCIAL MEDIA AS THIS IS A FREE PLATFORM WHICH COULD BE USED TO INCREASE BRAND AWARENESS + SALES. IN THE LONG TERM IT WOULD BE BEST TO APPEAL TO THE KEY MACRO TRENDS THROUGH NEW PRODUCT DEVELOPMENT AS THIS IS LESS OF A RISK THAN RE-EN-TERING THE CHINESE MARKET AS THEY’VE ALREADY FAILED HERE, CLEARLY NOT FULLY UNDERSTANDING THE MARKET OR CULTURE DIFFERENCES. THE SUGGESTIONS MADE FOR NEW PRODUCTS ARE ALREADY PROVING TO BE SUCCESSFUL FOR OTHER BRANDS + THEREFORE IS SOMETHING REVLON SHOULD TAKE ADVANTAGE OF.

33

KEY CONCLUSIONS +RECOMMENDATIONS

STRATEGIC

PRICING

DISTRIBUTION

COMMUNICATION

INNOVATION

• TARGET A MORE SPECIFIC CONSUMER TO INCREASE SALES WITHIN A PARTICUALAR AGE DEMOGRAPHIC - ADJUSTING PRODUCTS, PACKING + MARKETING AROUND THIS

• CONTINUE TO AIM FOR MASS APPEAL - TARGET EMERGING MARKETS SUCH AS THE GROWING INTEREST AMOUNG MALES TO WEAR MAKEUP

• ADJUSTING PRODUCT RANGES TO SUIT DIFFERENT MARKETS • E.G. INTERNATIONALLY - OFFERING DIFFERENT TONED FOUNDATIONS

• CREATING NEW PRODUCTS/ADJUSTING CURRENT ONES TO FIT SPECIFIC MEGA TRENDS• HEALTH + WELLNESS - ‘ALL NATURAL’ RANGE• INDIVIDUALISM + EXPRESSION - PRODUCTS WHICH PROVIDE BENEFITS TO SPECIFIC SKIN TYPES

• BETTER USAGE OF SOCIAL MEDIA PLATFORMS - PROMOTING THEMSELVES DIRECTLY + THROUGH THE USE OF BEAUTY BLOGGERS

• MAINTAIN CURRENT PRICES AS THEYRE FOLLOWING THEIR MISSION STATEMENT TO PROVIDE QUALITY PRODUCTS AT AFFORDABLE PRICES - WOMEN AGREE WITH THIS AS PROVEN BY MY PRIMARY RESEARCH

• PRICES COULD BE INCREASED IF MORE CUSTOMISED OR NATURAL

• SELL DIRECTLY FROM THEIR WEBSITE - CURRENTLY ONLY ACCESSIBLE FROM BOOTS OR SUPERDRUG

34

LIST OF ILLUSTRATIONS• (Image 1) Revlon, (2016), Revlon logo [ONLINE]. Available at: http://d1ms.org/network/ [Accessed 13 January 2017].• (Image 2) Revlon, (2016), Emma Stone 2016 Revlon Campaign, [ONLINE]. Available at: http://www.stylist.co.uk/beauty/emma-stone-revlon-shanghai-campaign-pictures [Accessed

15 January 2017].• (Image 3) Denitslava Makeup, (2016), Eye Makeup Close Up from Youtube Tutorial[ONLINE]. Available at: https://www.youtube.com/watch?v=WZerlq1RYUQ [Accessed 13 January

2017].• (Image 4) Agent Dice, (2016), Eyeliner Application [ONLINE]. Available at: http://www.paperdam.com/10-simple-steps-for-flawless-makeup/ [Accessed 13 January 2017] .• (Image 5) Christopher Pledger, (2014), Zoella, Youtube Blogger [ONLINE]. Available at: http://www.telegraph.co.uk/women/womens-life/11259853/ Zoella-isnt-the-perfect-role-mod-

el-teen-girls-think-she-is.html [Accessed 13 January 2017].• (Image 6) Burr, T. (2015) Love, Tanya. Penguin Random House UK.• (Image 7) Pixiwoo Personal Website, (2016), Pixiwoo [ONLINE]. Available at: http://www.pixiwoo.com [Accessed 13 January 2017].• (Image 8+9) Mintel, Colour Cosmetics - UK - July 2016, (2016) Brand Positioning Graphs [ONLINE]. Available at: http://academic.mintel.com/display/776046/?highlight#hit1 [Ac-

cessed 15 January 2017].• (Image 10) Boots website, Revlon ColorStay™ Makeup For Combination/Oily Skin [ONLINE]. Available at: http://www.boots.com/en/Revlon-ColorStay--Makeup-For-Combination-

Oily-Skin_1823452/ [Accessed 11 January 2017].• (Image 11) Revlon website, REVLON COLORBURST™ LIP BUTTER [ONLINE]. Available at: http://www.revlon.co.uk/products/lips/lip-color/revlon-colorburst-lip-but-

ter#309978529323||0 [Accessed 22 December 2016].• (Image 12) Revlon, (2016), Revlon Love Is On Campaign[ONLINE]. Available at: http://www.revlon.co.za/loveison [Accessed 11 January 2017].• (Image 13) Revlon South Africa, Revlon #chooselove campaign [ONLINE]. Available at: http://www.revlon.co.za/loveison [Accessed 11 January 2017].• (Image 14) Rachel Goodwin blog, (2014), Emma Stone: Revlon [ONLINE]. Available at: http://www.rachelgoodwin.com/portfolio/emma-stone-revlon-2014-2/ [Accessed 11 January

2017].• (Image 15) Revlon, (2016), Michelle Keegan ad [ONLINE]. Available at: http://www.dailymail.co.uk/femail/article-3397805/Michelle-Keegan-snapped-Revlon-s-latest-ambassador.

html [Accessed 11 January 2017].• (Image 16) InStyle, (2013), Halle Berry - Revlon Makeup [ONLINE]. Available at: http://www.celebrityendorsementads.com/celebrity-endorsements/celebrities/halle-berry/revlon/

[Accessed 11 January 2017].• (Image 17) Jackie Fields, (2016), ciara- Courtesy Revlon [ONLINE]. Available at: http://people.com/style/ciara-is-revlons-new-ambassador-reveals-my-name-came-from-one-of-their-

fragrances/ [Accessed 11 January 2017].• (Image 18) Cosmo, (2016), Halle Berry - Revlon Love Is On [ONLINE]. Available at: http://www.celebrityendorsementads.com/celebrity-endorsements/celebrities/halle-berry/revlon/

[Accessed 11 January 2017].• (Image 19) Revlon Investor Relations, Revlon Reports Third Quarter 2016 Results, (2016), 3rd Quarter 2016 Sales + Profit Graph [ONLINE] Available at: http://phx.corporate-ir.net/

phoenix.zhtml?c=81595&p=irol-news&nyo=1 [Accessed 15 January 2017].• (Image 20) Mintel, Colour Cosmetics - UK - July 2016, (2016) Brand Awareness + Perceptions Table [ONLINE]. Available at: http://academic.mintel.com/display/776046/?high-

light#hit1 [Accessed 15 January 2017].• (Image 21) Walmart website, COVERGIRL Katy Kat Matte Lipstick Sphynx, .12 oz created by Katy Perry [ONLINE]. Available at: https://www.walmart.com/ip/COVERGIRL-Katy-

Kat-Matte-Lipstick-Sphynx-.12-oz-created-by-Katy-Perry/50275605 [Accessed 16 January 2017]

35

REFERENCES• Wsgn.com, (2016), The Beauty Buzz – Activism: The New Frontier [ONLINE]. Available at: https://www.wgsn.com/content/board_viewer/#/68486/

page/1 [Accessed 16 November 2016]• Libby, Charlotte, (2016), Colour Cosmetics, UK [ONLINE] Available at: http://academic.mintel.com/homepages/sector_overview/8/ [Accessed 13 January 2017].

36

BIBLIOGRAPHY• Libby, Charlotte, (2016), Colour Cosmetics, UK [ONLINE] Available at: http://academic.mintel.com/homepages/sector_overview/8/ [Accessed 13 January 2017].• Clichy, (2016) First Quarter Sales [ONLINE]. Available at: http://www.loreal-finance.com/eng/news/first-quarter-2016-sales-1059.htm [Accessed 16 January 2017].• Avon Products, Inc, (2016) [ONLINE]. Available at: http://media.avoncompany.com/2016-05-05-Avon-Reports-First-Quarter-Results [Accessed 16 January 2017].• BBC website, (2016), BBC Economy Tracker [ONLINE]. Available at: http://www.bbc.co.uk/news/10604117 [Accessed 26 January 2016].• Kim Johnson, (2014), ‘Revlon Is Hiding an Ugly Secret’ [ONLINE]. Available at: http://www.peta2.com/blog/revlon-china-animal-testing/ [Accessed 16 January 2017].• Wsgn.com, (2016), The Beauty Buzz – Activism: The New Frontier [ONLINE]. Available at: https://www.wgsn.com/content/board_viewer/#/68486/page/1 [Accessed 15

November 2016].• Mintel, (2016), AW16 Fashion Week: Instant beauty trends [ONLINE]. Available at: http://academic.mintel.com/display/767557/?highlight [Accessed 13 November 2016]. • Mintel, 2016. Colour Cosmetics [ONLINE]. Available at: http://academic.mintel.com/display/776046/?highlight#hit1 [Accessed 13 November 2016]. • Mintel, 2015. Mature Beauty [ONLINE]. Available at: http://academic.mintel.com/display/716195/ [Accessed 14 November 2016]. • GOLDING, A., 2009. Revlon. Marketing, , pp. 19. • INTERNATIONAL DIRECTORY OF COMPANY HISTORIES, 2004-last update, Revlon Inc. History [Homepage of St James Press], [ONLINE]. Available at: http://www.

fundinguniverse.com/company-histories/revlon-inc-history/ [Accessed 28 November 2016]. • MINTEL, July 2016-last update, Colour Cosmetics UK. Available: http://academic.mintel.com/display/776046/?highlight#hit1 [Accessed 24 November 2016]. • WALKER, R., (2014), Turbulence in Emerging Markets But Beauty Will Prevail. Global Cosmetic Industry, 182(4), pp. 30-32. Back to Nature, Emma Grace Bailey, 04/07/16,

[ONLINE]. Available at: https://www.wgsn.com/content/board_viewer/#/65109/page/10 [Accessed 30 November 2016]. • In-Cosmetics, (2016), Products & Ingredients, Emma Grace Bailey, 22/04/16, [ONLINE]. Available at: https://www.wgsn.com/content/board_viewer/#/65641/page/3 [Ac-

cessed 30 November 2016 ].• Mintel, (2016), More Than Half of Women Want ‘Green’ Beauty Products Now, 14/11/2016, [ONLINE]. Available at: http://academic.mintel.com/sinatra/oxygen_academic/

display/id=801327?highlight#hit1 [Accessed 30 November 2016]. • Marissa Gilbert, (2016), Clothing retailer launches Conscious Beauty line, Mintel, [ONLINE] Available at: http://academic.mintel.com/display/770437/?high-

light#hit1 [Accessed 10 November 2016].• BQF, Cati Chitrakorn, (2016), Is the Global Cosmetics Market Moving Towards a Cruelty-Free Future? Article [ONLINE]. Available at: https://www.busines-

soffashion.com/articles/intelligence/is-the-global-cosmetics-market-moving-towards-a-cruelty-free-future [Accesed 14 November 2016].• Cruelty Free KItty, (2016), Companies that Test on Animals [ONLINE]. Available at: http://www.crueltyfreekitty.com/companies-that-test-on-animals/ [Ac-

cessed 14 November 2016].

37

APPENDIXAPPENDIX AQUESTIONAIRE

38

APPENDIX BQUESTIONAIRE RESULTS

39

SELECTION OF RESPONSES

40

41

SELECTION OF RESPONSES

42

43

44