Case Study On Cosmetic Industry Essay


Discuss about a Case Study on Cosmetic Industry?



Customer satisfaction is the primary and the most preferred object of every company in the world. The companies on the other hand adopt various promotional activities to attract the customers to make a purchase decision. In case of cosmetics industry, it has been seen that majority of the customers prefer the companies that undertakes better advertising activities and ensure product quality. Then price of the product usually comes into play, as people always prefer to purchase a product that is less costly and is easily available in the market.


It has been seen that at present that at present majority of the companies are selling and bringing up products by carefully highlighting the consumer preference and their behaviour regarding consumption of products. The economic effect also comes into play along with three other factors such as sociology, psychology and anthropology (Chernev, 2014). Along with these factors, the other factors that were witnessed that influenced purchasing pattern are influence of people like friends, family members and society.

The specific industry is considered to be one of the fastest growing and economically stable industries that presently operate around the globe. Demand of products have been increasing with every passing day as these products are either for luxury uses as well as daily use products like toothpaste, perfumes and deodorants, shaving cream and others (Foxall, 2014). . Even in case of some of the products, the standard and the specification of the products have been upgraded to the level of pharmaceutical products.

Sokhatska and Lahotska, (2013) opined that cosmetic industry in India is crowded with female customers and at present consists of products that are traditional as well as modern. However, the companies are providing a major attention on the packaging and branding process along with making expenses in attractive advertisement process. The prime target of these cosmetics manufacturing, selling companies is to make the product attractive from the outer context, and several researches have proved that people, especially in case of cosmetics, generally prefer products that are attractive in nature (Urde, Baumgarth & Merrilees, 2013). Promotional activities are also a major factor behind the success of a product (cosmetic) and with better promotional techniques and activities; the companies are able to make a brand value thus gaining advantage of consumer preference. Hence, it is equally important for the companies to make better promotional activity by using suitable advertising channel to create a focus about the products easily in the minds of the consumers.

As per different researches carried out on women regarding preference and consumption of cosmetics, the following information is highlighted that majority of the women purchase cosmetics frequently and are equally influenced about a particular product that is broadcasted through television advertisement (Wilson & Gilligan, 2012). The purchasing factor of the cosmetics is also influenced by the latest trends among the people and has a tendency to follow the ongoing trends of the fashion industry. Renowned fashion brands are concerned about engaging famous people like celebrities and people belonging to the glamour world to endorse their product. Even it has been observed that customers have a tendency to purchase products that are endorsed by famous people and these products are even believed to be good in quality (Foxall, 2014). The reason behind their thinking is that when a company is making more expenses regarding endorsement of a product the quality is most likely to be superior.

As per the views of Chernev, (2014) researches have shown that people have a tendency to recommend a cosmetic product if they are attracted by the advertisement and even word of mouth plays an important role in advertising a product through recommendation. The research also presented the finding that in order to achieve success, the cosmetics manufacturing and selling companies should rely on better promotional activities to attain business success.


After carrying out the detailed study, it is concluded that better and effective promotional activities are much needed to derive or attain success. Promotional factors play an important role to provide a detailed idea about the purchase decision-making process in the upcoming days. Celebrity endorsement is another important marketing strategy undertaken by the global companies to ensure consumer preference and facilitate sales of products. However, the word of mouth policy continues to be the most important success factors for the cosmetics companies.


Chernev, A., (2014). Strategic marketing management. Cerebellum Press.

Foxall, G. (2014). Strategic Marketing Management (RLE Marketing) (Vol. 3). Routledge.

Mullins, J., Walker, O. C., & Boyd Jr, H. W. (2012). Marketing management: A strategic decision-making approach. McGraw-Hill Higher Education.

Sokhatska, O., & Lahotska, N. (2013). Strategic marketing management.Journal of european economy, (12,?„– 1), 117-120.

Urde, M., Baumgarth, C., & Merrilees, B. (2013). Brand orientation and market orientation—From alternatives to synergy. Journal of Business Research, 66(1), 13-20.

Wilson, R. M., & Gilligan, C. (2012). Strategic marketing management. Routledge.

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