Sunday, February 24, 2019

Oriflame Direct Marketing Strategy Essay

Oriflame is a cosmetics caller-out, founded in Sweden in the year of 1967 by two brothers Jonas af Jochnick and Robert af Jochnick. The companys main products are personal care, accessories and nutritionary products with over approximately 1000 cosmetics products. The products are wrongd in higher roll up and promise higher value to customers through a more customized and personalized approach for product and service offerings, distribution processes tailored to meet the ask of customers, and the opportunity to build customer loyalty. The logo of the company Oriflame Sweden gives a notion of expensive Swedish cosmetics.ORIFLAMES MARKETING STRATEGYThe marketplaceing scheme adopted by Oriflame is Direct marketing or Network Marketing. It is bingle of the largest companies to sell through direct marketing through an independent sales force of over 3.6 million sales consultants in more than 60 countries worldwide with annual sales exceeding some 1.5 billion. Network Marketing or Multi-Level Marketing (MLM) is a dodging which al mortifieds the parent multi-level company to market and distribute their products or/and service, directly to the consumer by direct selling in a non-permanent retail location and grow the network through race referrals. These sales are done through independent, unsalaried Sales Consultants (full prison term or part time) who represent the company and make commission ground on the volume of sales.The sales consultants often build their own organic law by recruiting a down-line of other independent distributors, who perform the same trouble and as a result the entire organisation expands. As a consultant they earn commission not only based on their own sales, but alike on the entire sales of the down-line group. This strategy has a very low distribution cost and also offers a leading business opportunity to people. This unique business concept mention Money Today and Fulfil Your Dreams Tomorrow goes with the brand promise of the company Your Dreams, Our InspirationOriflame implements this strategy with frequent regular catalogues along with frequent, short-term price promotions and cross-sell campaigns. The details of the strategy are as follows 1) Independent sales consultants group who directly get in touch with end consumers with hard feign of catalogue 2) Marketing through owners of beauty parlours to increase customer reaching 3) Face-to-face interaction with live demos nigh usage and benefits of the products 4) Samples at low prices or free samples with some purchase to try the product depression 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.A typical online catalogue is as below7) Promoting subsisting consultants to add more consultants and grow the sales network. This also helps Oriflame in increase loyal customer base as cons ultants buy Oriflame products for their personal persona and for their family. The process of becoming an Oriflame Consultant is an easy process. It includes following steps8) Oriflame also promotes its consultants to increase the sales by giving different incentives like international travel, gifts and other promotional tactics. For example, this years major attraction is cash Conference in London in 20159) Offline and online makeup tutorials and guidance about health and health & beauty care

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