Kiehls Brand Development

1692 words (7 pages) Essay in Marketing

26/05/17 Marketing Reference this

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Kiehls has a good reputation and brand image that it founded since 1851. So they can keep customers loyalty since they understood its customers needs. On the other hand, their products are in natural ingredients such as skin cares cleansers and etc that the products have more guarantees in quality. And they had strong word of mouth endorsements since there are good comments when the customers after used our product. They focus on excellence customer service and retail experience therefore they will help their customers to solve their problems.

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Weaknesses

Kiehls is a company which selling the product in natural. Natural is one of main ingredients of their product but it can easily copy by others. Since the customers have changed their behavior, they would concern more natural products nowadays. Every company would like to use the natural products to attract the customers. Although Kiehls has good quality of service and tailor made products but they have less advertising of their products that their target customers would not know what they are providing.

Opportunities

Since there is potential growth expansion in the young lady market and also the mens skin care market. Young ladies which in age of 16 to 20 are a good market for skin products because they all love beauty so that need skin care products to keep their skin health. Therefore it is an opportunity for Kiehls to target those young ladies market. On the other hand, mens skin care market is a good potential market for Kiehls because nowadays males are more concern their health and skin.

Threats

The Kiehls has strongly competition in the facial care industry such as The Body Shop, Skin Food and etc. since they provide similar products to their customers which are the skin care. Also, customers may not use their product because they have high substitutes such as Skin Food. Therefore the customers would like to compare the product with other competitors.

Brand development decisions

Kiehls is one of the successful company in cosmetics industry because they are doing well marketing mix and using good marketing strategy.

The Kiehls has strongly competition in the facial care industry such as The Body Shop, Skin Food and etc. since they provide similar products to their customers which are the skin care. Also, customers may not use their product because they have high substitutes such as Skin Food. Therefore the customers would like to compare the product with other competitors. Although Kiehls has a lot of competition they are very success in cosmetics industry because of their good strategy.

Customer-Based Brand Equity Model (CBBE)

Salience

Kiehls is a company which selling the product in natural. Natural is one of popular ingredients people would like. Since the customers have clear knowledge about the brand and products, they would concern more natural products nowadays. For nowadays, the natural products would be easy to attract customers, so some of the customers will consideration to purchases because Kiehls has good quality of service and tailor made products for their target customer, that can be easy to recall them.

Therefore, Kiehls provide high quality product to reach customer needs such as how to improve their skin. On the other hand, Kiehls has well customer services provide to the customers. Especially the word of mouth of Kiehls is well since there are good comments when the customers after used their product. So can build a strongly relationship with them in order to keep the loyalty of the customer that they would purchases again.

Performance

Kiehls expansion in the young lady market and also set up the mens skin care market. Young ladies which in age of 16 to 20 are a good market for skin products because they all love beauty so that need skin care products to keep their skin health. Therefore Kiehls to target those young ladies market continue to provide new products for them.

Kiehls product is reliability and serviceability because Kiehls have combination of beauty knowledge, pharmacy, herbal medicine and professional background, knowledge and experience. For that reason Kiehls developed a unique formula, and the latest technology, to create special care products, also does not focus on fancy packaging, because they are fully focused on product quality and effective for their customers.

On the other hand, mens skin care market is one of the new line on Kiehls because nowadays males are more concern their health and skin. Kiehls have understand the latest marketing needs to provide suitable products and price for target customers.

Imagery

Kiehls understanding the customers needs so that they set up online purchases system for their customers also can throughout this system to expand their marketing.

Judgement

In April 2000, LOreal was purchases Kiehls, it also a professional skin care company and they are support each other. It show that Kiehls is believable and professional.

Feelings and Resonace

Kiehls has a good reputation and brand image that it founded since 1851. So they can keep customers loyalty since they understood its customers needs. On the other hand, their products are in natural ingredients such as skin cares cleansers and etc that the products have more guarantees in quality. And they had strong word of mouth endorsements since there are good comments when the customers after used our product. They focus on excellence customer service and retail experience therefore they will help their customers to solve their problems.

Evaluation of the role of the marketing mix (4P)

Price

Most of Kiehls products remain at a middle range of price, around HKD100 to HKD300 or above. One of Kiehls price strategy is provide products sample when the customer purchases. Kiehls offers massive amounts of free product sampling in shops. (Andrea, Marco S & Esther 2010)

Place

Kiehls established online store and local stores throughout the world.

Kiehls try meet their customer needs for customers whose preferring online shopping can entry it website to purchases.

For the Kiehls stores, they are using laboratory design to attract people eyes-contact.

Promotion

Kiehls using a non-traditional marketing promo strategy. They provide free product samples and to rely on reliable word of mouth to promo themselves. Word of mouth is non-traditional marketing approach. “Today, more and more companies have begun to include word of mouth in their marketing mix.” (Eda 2009)

Kiehls also us online to do promotion, for example they would update all latest information and products on the website.

Product

Kiehls to now total have over 161 year, that mean it has long time history in skin care market so that their product is believable.

Kiehls using a simple logo written in dark font with a white background which make it very easy to read.

The design of the products are also simple to match with their logo. Also the using way and composition is show on the bottle make customer easy to understand the benefit on using time.

Kiehl;s have 5 range of product include face and skin care, body care, mens care, hair care and sunburn protection products. ((Andrea, Marco S & Esther 2010; Kiehls website)

Kiehls tries to use natural ingredients in their entire product because the brand also cares about the environment matter. ((Andrea, Marco S & Esther 2010; Kiehls website)

Also all product package done with recyclable materials, it can be show Kiehls is care about the environment at the same time.

Brand Identity and Positioning

Physique

Kiehls is natural skin care and hair care brand when they provide they will doing a long time research to ensure the product quality.

Kiehls the brand image and the product design is perfect match with their create image.

Kiehls all of the Kiehls shop the design same.

Kiehls marketing activities are also consistent with the brand value. They are less advertising, their main promotion method is using word of month to get success in the skin care market.

Personality

Kiehls the product package most of them is using recycle material it can be increase their image and attract more customer to purchases again.

Culture

Kiehls is a family owned company, created 160 years ago by a pharmacist. More than 160 years, and its success, because of the quality of products there is a long history of research and innovation. Their products are made of natural ingredients, without any chemical additives.

One of their philosophy is the respect: respect of the science, of the product quality and of the customers expectations. Its thanks to these 3 key words that Kiehls is long-lasting. (Kiehls Website)

Relationship

Kiehls is a brand that is close to its consumers. Kiehls try to service and provides to every customer, listen to the needs of consumers and to establish a long-term relationship of trust. Their slogans “Try before you buy it.” because they provide a lot of samples to customers. It also shows the confidence of their own products and own brand.

Customer Reflection

Today’s customers need more skin care products. Kiehls care about them, continue to provide new suitable skin care product. Also the will provide suitable advice or recommend for their customers.

Self-Image

Kiehls the logo is a very simple logo. It is dark font”kiehls” with a white background which make it very easy to read. Kiehls logo has been designed in a simple, professional and elegant way. Classic black and white two colors, it is a sign of a very clear, clean this flag resonate with their own skin care products, simple, efficientpurposes.

Kiehls do not have beautiful packaging they are using simple style to attract customer. Allows customers focus the ingredients listed on the packaging.

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