Marketing and communication plan for Revlon

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AYSE KAHRAMAN N0506544 Word Count: 5,498

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Contents Page Introduction......................................................................................................................Page 2 Metholodgy........................................................................................................................Page 4 History of Revlon..............................................................................................................Page 6 Brand Portfolio...................................................................................................................Page 8 Mission, vision & Objectives............................................................................................Page 10 Consumer Segments..........................................................................................................Page 11 Pen Portrait.........................................................................................................................Page 12 Brand Positioning Map......................................................................................................Page 14 Competitor Analysis..........................................................................................................Page 16 Revlon Financials...............................................................................................................Page 18 Marketing............................................................................................................................Page 19 Brand Ambassadors...........................................................................................................Page 20 Social Media........................................................................................................................Page 22 Revlon Cares.......................................................................................................................Page 24 Brand Re-launch.................................................................................................................Page 26 Brand awareness and perception......................................................................................Page 28 Key insights of primary research......................................................................................Page 30 Cosmetic market.................................................................................................................Page 31 Gaps in the cosmetic market.............................................................................................Page 33 Macro Trends......................................................................................................................Page 34 Pest Analysis........................................................................................................................Page 35 Ansoff Matrix Analysis.......................................................................................................Page 36 How Revlon is going to get there?.....................................................................................Page 38 Recommendations...............................................................................................................Page 40 Three year marketing strategy............................................................................................Page 42 One year communication plan...........................................................................................Page 44 Timeline and budget............................................................................................................Page 50 SMART objectives................................................................................................................Page 51 Conclusion.............................................................................................................................Page52 References..............................................................................................................................Page 53 Bibliography...........................................................................................................................Page 56 Appendix................................................................................................................................Page 58 Illustrations.............................................................................................................................Page 70

Introduction The aim of this report is to evaluate Revlon current brand and marketing strategy.

The report will explore the challenges Revlon has faced and are still facing today but will explore new opportunities for the company.

An analysis of where the brand should go will be incorporated, which will contribute towards a three year marketing plan for Revlon, as well as a one year tactical communication plan.

These plans will contribute to enabling Revlon to be as competitive as they possibly can be in the Beauty and Cosmetic industry, ensuring that the Revlon’s fortunes are turned around.

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Methodology primary research In store research Focus group Including 6 women with a mix of ages from 18-30.

Consumer survey - Conducted a questionnaire to be filled out on the street and online.

- Research conducted in London, Cambridge and Nottingham.

-Sample: 100 Women, aged between 18- 50.

Secondary Research Websites Databases e.g Mintel reports

Articles and Blogs

Books and Journals Company Reports

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History of Revlon

Revlon was founded in 1932 by Charles and Joseph Revlon along with chemist Charles Lachman.

Starting with a single product, nail enamel, the founders developed a unique manufacturing process. Revlon is a global cosmetics and beauty care company and is one of the strongest consumer brand franchises in the world. Revlon’s products are sold in over 100 countries across six continents. They provide products for both women and men, however, they focus more on the female consumer.

Timeline of Revlon key events 1930

Launched opaque long lasting nail enamel to beauty salons as well as selling Revlon products through department stores and drugstores.

1940

Revlon contributed to the war effort by manufacturing first aid kits and dye markers for the navy.

1950 1960 1970

In 1955 Revlon offered stock to public and was listed on the New York stock exchange.

Increased international presence by bringing the “American look� to the world through advertising.

Introduced the Charlie Fragrance which became the Number One fragrance in the world.

1980

In 1985 Revlon sold to a subsidiary of Mac Andrews and Forbes Holding.

1990

Introduced the first transfer resistant lip colour. Revlon became the Number one brand in mass colour cosmetics.

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Revlon Brand Portfolio Revlon has a wide global brand portfolio and due to the acquistion of “The Colomer Group” in October 2013, Revlon’s global portfolio grew. Revlon brand portfolio includes the following brands: - Revlon color cosmetics, - Almay color cosmetics, - Revlon Colorsilk hair color, - Revlon beauty tools, - Charlie fragrances, - Mitchum anti-perspirant / deodorants, - Ultima II, - Gatineau skincare, - SinfulColors cosmetics, - Pure Ice color cosmetics, - Ultima II, - Gatineau skincare, - Revlon Professional, - Natural Wonder Cosmetics - Orofluido, - UniqOne hair care, - CND, CND Shellac and CND Vinylux nail polishes, - American Crew men’s hair care.

The addition of Colomer helps Revlon expand sales in the more-profitable salon sector, an aim shared by competitors such as Procter & Gamble Co. and Unilever.

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In Revlon’s 2012 annual report these brands in Figure 4 were outlined to be their strongest and most powerful brands in their portfolio. In 2012 Revlon focused on building these strong brands. They had a high emphasis on Innovation, high-quality products, Effective brand communication, appropriate levels of advertising and promotion.

In figure 5 it shows the two different channels that Revlon sell their products through, they include, the consumer and professional channel. Revlon is sold through the consumer channel, which has seen a decrease in sales compared to the professional channel, which is seeing higher sales growth.

Fig 5

Consumer Channel

Professional Channel

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Revlon VISION: Glamour, excitement and Innovation through high-quality products at affordable prices MISSION: Establish Revlon as the quintessential and most innovative beauty company in the world.

BRAND ESSENCE: Create innovative, quality beauty products for women BRAND PERSONALITY: Revlons passion and enthuastic approach towards supporting women and providing innovative, high quality products at affordable prices.

BRAND POSITIONING STATEMENT: We invite women, who want innovative, glamour, high quality, affordable beauty products that make you feel attractive and beautiful.

REVLON VALUES/ OBJECTIVES: ACHIEVEMENT: We are here to win. Achievement is the passionate desire to win in the marketplace and to grow the business.

INNOVATION: We are innovators. Innovation is the creation of new and better solutions to build our competitive advantage.

DRIVE: We drive to success. To drive is about having a team that is personally committed to implementing the Company’s decisions to achieve results with velocity and excellence.

These values express the objectives that Revlon want to achieve.

It is important these are kept at the forefront of the strategy for Revlon, to ensure the strategy advocates what they want to achieve and does not loose touch with who Revlon is.

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Consumer Segments Revlon produces a diverse range of products that appeal to a wide demographic of women from ages between 20 to Over 50 years old depending on the product category. As Revlon has a wide brand portfolio that cater to a range of consumer.

Revlon make up category targets women aged 20 to 30. This demographic is beginning to establish their cosmetic brand loyalty and stay committed to the brand.

Revlon’s hair colour targets women aged 20 to 40, who are looking for quality products at affordable prices compared to a salon.

Revlon’s skincare targets women aged between 35 to 50 as the products are age defying focused.

The consumer has average levels of income and is hard working, middle class, professional women. They have an energetic, healthy and busy lifestyle. The consumer is committed to purchasing from brands that support and celebrate women as well as being ethical.

Revlon is a global company with products that can be found worldwide and are easily accessible through being stocked at supermarkets, drug stores and online.

Pen Portrait

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This is a likely Revlon consumer. A women who is generation Y aged 30 years old. She is a professional women, who has a busy lifestyle juggling her career and her family life. She likes to socialize with her girlfriends, be pampered and enjoys the little things in life. She takes care of her body, as she wants to age in style and naturally. She uses beauty and cosmetic products daily to give her a youthful look.

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Brand Positioning Map UK Compeitive perceptual map

high price

high quality

low quality

low price

The competitive brand positioning map compares Revlon competitors within the UK cosmetic market sector. All these brands have many similarities with Revlon.

Revlon has been placed between high price and high quality. The company provides affordable beauty products that range in price. Revlon invests heavily in research and development of products ensuring the best quality as possible, as the brand essence focuses on quality.

Revlon beauty target market is women aged between 20 to 50 . Rimmel and N0.7 are indirect competition for Revlon as they appeal to this similar age target market. Rimmel is aimed at the younger 20’s consumer, where was N0.7 aims themselves to the older mid 20’s to over 30 consumer. They cater their products more specifically to these target markets, which is something Revlon is lacking. Revlon not clear on who their target consumer is. Due to the fact that they have used a wide range of Collaborations with designers such as, Sophie Webster and marchesa. They have also collaborated with Celebrities such as emma stone, Hallie Barry etc. All of these are targeting a different types of target market, from young to old, a fashionable fun girl, a older sophisticated women to a graceful ageing women.

Nars, MAC, Clinique, Benefit and Max Factor provide high quality and high price products for the more professional cosmetic consumer, who may occasionally purchase Revlon products. These brands can be found worldwide and provide consultants to interact with consumers, which is something Revlon does not provide in the UK. The top competitors for Revlon include Estee Lauder, L’Oreal, AVON and maybelline.

These brands offer similar cosmetic products as well as aiming them at a similar target market. These are global brands that are well known and some more than others are performing well in the cosmetic industry and have high levels of brand awareness and loyalty, which Revlon is struggling with.

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Competitor Analysis L’Oreal, AVON and Estee Lauder. In Appendix 1 it shows the key comparisons between these brands.

L’Oreal is Revlon’s top competitors globally. “L’Oreal, the world’s largest cosmetics company with high net sales of €3.875 billion.” (1) L’Oreal spend billions on research and development and continue to be as competitive as they can be by keeping up to date with consumer needs, this is shown through “L’Oreal contributing to 19% of the global market share in the cosmetics market.”(2) L’Oreal target market is aged between 20’s-50 this is the same as Revlon’s. They also use brand ambassadors as the face of their cosmetic products, such as, Blake Lively and the new face of L’Oreal make up Twiggy, to entice consumer into the brand. “L’Oreal mission is to captivate and inspire women of all ages, backgrounds, and ethnicities.”(3) “In 2014 L’Oreal Broadens Into the Multicultural Market.”(4) This will enable them to reach a more diverse customer base. In order for Revlon to be competitive with L’Oreal they need to ensure they are targeting their consumer fully and effectively. The multi-cultural market is something that Revlon could potential launch into to make them more competitive.Revlon current market share is 3.2% which is something that could be improved on. The brand ambassadors are not enough for Revlon; the products need to sell the brand.

“Estee lauder have high market share of 8.1%.(5). The company has been strategic and has capitalized on the rise of the emerging markets.

“Mass-market brands such as Avon and Revlon have struggled to maintain sales momentum, particularly in the Asia-Pacific region, with Revlon announcing its exit from the large Chinese cosmetics market in January 2014. The low advertising budgets and limited R&D spend has restricted Revlon and Avon to launch new and trendy products and refresh their product cycles regularly.”(6) As Estee Lauder is a prestige beauty brand, they have faced limited competition from either domestic or international mass-market brands, adding to its appeal to the emerging market consumer. This is something that Revlon should take into account, emerging markets development could be a great way for Revlon to be more competitive as they could potentially gain high levels of loyalty as they have done in the US market.

The images on the right are adverts of Revlon’s competitors.

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Revlon Financials “

“Revlon net profit for 2014 was $472.3 million, this is a $139.2 million increase from 2013.”(7), which is positive for Revlon considering the economic conditions around the world. In appendix 2 it shows that Revlon revenue has been on the increase over the last 5 years and it has dramatically increased since 2014.

“Revlon has seen a decrease in the consumer segment net sales of 0.9% in the third quarter of 2014”(8), shown in Appendix 3. However, “The proffessional segment net sales increased by 1.2% in the third quarter of 2014”(9) shown in Appendix 3. “The proffesional segment It has also seen an $1.5 million increase from 2013.”(10) Revlon revenue has been on the increase over the last 5 years and it has dramatically increased since 2014. This shows that Revlon should focus on the consumer segment of the brand to ensure they are connecting with customers, fulfilling their needs which can lead to gaining customer loyalty, which is important for Revlon as they are in a competitive market.

“In 2014 Revlon net sales in the United states was $234.8 million this is an increase of 3.8% from 2013.”(11) The United States is the biggest market for Revlon, and due to being an American biased brand, they have high levels of brand awareness and loyalty, which has lead to them being successful in the United states. However, “Revlon internationally has seen a decrease of 10.6 million dollars of net sales compared to 2013, this is a -4.4% decrease.”(12).

Despite a global presence, about “55% of Revlon's net sales come from the US, with Europe contributing 12% and Asia-Pacific and Latin America contributing the remaining 17% and 15%, respectively.”(13) There is much potential for Revlon to develop further in the international market, especially in “Europe as there is a steady growth in the European personal care market, with sales for 2014 of €72 billion, representing a 0.8 % year on year growth (14).”

“The total company results for operating income was down by 13.8% from 2013.”(15). However, this was primarily due to higher advertising expenses to support the company’s consumer brands.

“Revlon's market share expanded from 2.9% in 2012 to 3.2% in 2013. Revlon commands over 20% share of the US market in color cosmetics.”(16) This shows positive signs for Revlon as their market share has been growing at a steadily rate. Revlon however is in serious debt, Its recent acquisition of “The Colomer Group added about $700 million in debt onto Revlon's balance sheet and inflated its total outstanding debt to $1.9 billion.”(17) This means that Revlon will have to reduce spending in order to pay back the debt. This could make the company less competitive in the future as they may lack the funding to drive innovation allowing them to stand out in the cosmetic industry. “Revlon was unable to gain scale and relevance in the important Chinese beauty market (18).’ Revlon need to ensure that this does not happen with the international markets.

In appendix 4 it shows Revlons stock prices are decreasing,”Revlon stock price is currently $32.39 which is a change of -0.74% (19).”

Appendix 5 shows Revlon stock price has been on the decline since 1998.

This shows that Revlon are less in demand and less people are wanting to buy stocks. This could be due to the high debt levels of Revlon and the lack of investment in Revlon research and development to ensure they are being innovative and trendy.

Overall, Revlon’s financial situation is satisfactory as they have seen an increase in net sales but, due to the high levels of debt and expenses, the operating income has decreased and so has stock prices. The main focus for Revlon should be on the consumer segments as this is where the company has been declining. As Revlon is doing so well in the US but not as well internationally this should be another key focus.

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Marketing “Revlon reported advertising expenses, including TV, print, and digital ads, and instore promotional displays, of $264.9 million in 2012, up from an average of $255.7 million during the past three years (20).”

“Revlon uses print, television and outdoor advertising, digital marketing and public relations, as well as point-of-sale merchandising, including displays and samples, coupons and other trial incentives (21).”

Revlon’s marketing emphasizes a uniform global image for its portfolio of core brands. Advertising campaigns are coordinated with in-store promotional and other marketing activities. Revlon has its own website which feature products, promotional information and are up to date with new product launches and other advertising and promotional campaigns. There are separate websites for each of Revlon’s brand portfolio.

Revlon’s newest marketing to consumers is to encourage trail and purchase in store, with pop up nail bars. “This marketing method has shown great results for Revlon with an average sales uplift of 187% (22).” “In boots stores nationwide saw 50,000 consumer interactions in store and 5,000 live demonstrations per year (23).”

This form of marketing allows Revlon to interact with the consumer, which can lead to developing an emotional connection with the consumer.

Revlon collaborating with designers is a great way to market the brand further.

Revlon’s collaborations include fashion brands Sophia Webster and Marchesa.

These collaborations have created lots of buzz around the brand as you can see article features from Vogue, Elle and many more. These collaborations also allow Revlon to attract new consumers. Revlon was the make up artist at New York Fashion Week in 2013, which is another great way of showcasing the brand as there is high coverage and buzz around this event.

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Brand Ambassadors Revlon has 3 brand ambassadors shown in the image below, they include, Halle Berry since 1996, Olivia Wilde since 2011 and Emma stone since 2011. These Celebrities embody the corporate identity in appearance, demeanor, values and ethics.These Ambassadors are successful women Celebrities and are known worldwide for these attributes, using them as ambassadors for Revlon can create a huge buzz around the brand online and word of mouth. However, they can emotionally engage with the company and its customers as they advocate the brand value Revlon promise to deliver to the customer, which for Revlon is women feeling Glamorous and attractive.

Customers can connect with the brand through the ambassadors and this can make them more appealing than other cosmetic brands.

“Consumers are looking harder for a reason to believe and a reason to bond with — and buy — one brand versus myriad, ‘me-too’ products (24).”

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Social media Revlon is very active amongst the social media channels with a high volume amount of likes and followers throughout.

Revlon’s YouTube Channel has 16,147 followers with over 12,896,398 views.

Facebook has 349,000 followers on the UK page.

Instagram Revlon has 12,700 followers in the UK with 292,000 worldwide.

Twitter Revlon has 217,000 followers worldwide.

Pinterest has 578 followers in the UK. Revlon social media presence is very consistent throughout, successful and a very inexpensive marketing method that is allowing them to engage and communicate with existing and new consumers. The LOVE IS ON campaign has been a great representation of how social media can create high levels of awareness and engage with the consumer. Revlon has 1.3 million likes on the new campaign LOVE IS ON Facebook page.The LOVE IS ON video on YouTube has received over 7,559,299 views in just one month. Social media was at the forefront of the new campaign launch which saw competitions that involved using the hash tag #LOVEISON.

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Revlon Cares Revlon is passionate and supportive of women, which they show through not only creating products for women but by devoting financial and employee resources in support of medical research programs, physician training, clinical care, as well as education and awareness initiatives.

“Since 1990, Revlon has helped raise over $75 million towards programs for women (25).” The page on the right shows Revlon’s partnerships:

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The Revlon/UCLA Women’s Cancer Research Program: “Discovery leading the development of Herceptin, the first gene-based treatment for a specific subtype of breast cancer (26).” Fig 22 The Entertainment Industry Foundation (EIF) “A leading charitable organization addressing critical health, education and social issues (27).”

Fig 23 Look Good Feel Better “An inspiring program helping cancer patients cope with the appearance related side effects of cancer treatment (28).”

Fig 24

National Breast Cancer Coalition “Revlon has been a massive supporter since 1993 (29).”

Fig 25 REX Healthcare “The mobile unit has screened more than 22,000 women (30).”

Fig 26 Jenesse Center, Inc.

“Domestic violence intervention program. Jenesse Center was introduced to Revlon through Brand Ambassador Halle Berry (31).”

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Brand Re-launch Revlon is on “A New Mission of Inspiring Love Around the World (32).” This campaign comes as Revlon has been struggling to regain its momentum in the competitive beauty industry, which is dominated by giants Estee Lauder and L’Oreal.

“REVLON LOVE IS ON, the re-launch of the brand and its first global tag line in over a decade. More than a marketing campaign, the Revlon brand is dedicating itself to inspiring love and connecting with people around the world on an emotional level.

This brand cause will be seeded through all channels and across all markets (33).”

Revlon has introducing an interactive billboard in New York City’s Times Square that will allow people to share love from around the world, to the world, 24-7.

Consumers can show their love via social media using the hashtag #LOVEISON. As the financials show that Revlon Consumer segment net sales have been decreasing, this campaign is sending out a positive image with an emotional connection, to attract the end consumer into connecting with Revlon as a brand.

As consumers are more than ever seeking emotional link to a brand and “Consumers associate with brands they feel reflect their identity and when a close emotional link to a brand is formed emotions can run high (34).”

This marketing campaign is a great way to connect with women. This can help Revlon be more competitive, as well as gain brand loyalty.

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Brand Awareness and Perception AWARENESS: Revlon has high amounts of marketing from traditional forms, such as, TV ads and Magazine adverts to non traditional forms, including social media. This high amount of marketing has contributed to Revlon having high amounts of brand awareness within the UK as only 14% of survey repsondents said they are not familiar with Revlon shown in Appendix 6.

Revlon’s marketing strategy should continue to focus on their social media presence as well as magazine adverts. As in Appendix 7 63% said magazines and social media are where the consumer is likely to capture the attention of cosmetic brands.

Blogs accounted for 50%, as there has been a rise in blogging, Revlon could use this an advantage to get consumer to test and share their reviews of Revlon’s products.

In appendix 8 it shows consumers said they usually purchase/ look for cosmetic and beauty products at Drugstores 80% , Brands own stores 40 % and Online 37%.

Revlon principal customers include large mass volume retailers and chain drug stores, so this shows they are targeting their consumers in the right channel. As Revlon’s consumers purchase products in store, Revlon could use this to their advantage to focus on enhancing their store presence and displays in order to be more competitive and stand out amongst other brands. They can also use ways in store to connect with the consumer. As consumers like to purchase from brands own stores, Revlon could potentially launch pop up stores in shopping centers.

However, Revlon is missing out at 37% said they purchase online. Revlon does not have an online website which you can purchase from. In the UK you can purchase Revlon products on the Boots website, however, they only have a limited number of products online. An online website provides ease of convenience for the consumer, as well as enabling Revlon to target a new type of consumer.

BRAND PERCEPTION: Revlon has mixed reviews of its brand perception. In the focus group, when consumers were asked “What is your impression of Revlon�, most said its bland and not exciting.

However, they did agree that Revlon does seem to be good quality, but there is nothing that re-assures them of this. Revlon does not have a significant Unique Selling point, but, their products are very affordable.

Revlon uses three brand ambassadors to showcase the brand. Consumers said that the advertising of these ambassadors is sophisticated and gives a positive perception to the brand.

Revlon is well praised for their engaging attitude with the consumer and the development to improve the brands image e.g. Love is on Campaign. On social media they are constantly active with consumers, replying back to their messages, shown in the image below. Revlon has a good perception within the UK market. The only thing stopping them from being as competitive as they can be, is making the brand more exciting to the consumer and more of an experience. They need to ensure that consumers are aware they are a quality brand as well as a brand that has a great emphasis on supporting and celebrating women. In the focus group, everyone said that brands with a high emphasis on supporting and celebrating women are more appealing as it makes the brand more credible and personal.

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Key insights of Primary Research Primary research including qualitative and quantitative data was conducted in order to gain a deeper insight of the following: - To see who is Revlon’s target audience - To find out Revlon’s brand awareness levels - To find out the publics representation of Revlon - To see how Revlon could become more competitive - To find out how effective Revlon’s marketing methods are.

In Appendix 9 and 10 are the Focus group interview questions and the Online and Street Questionnaire. Appendix 11 is the consent form in which Street survery participants were given before conducting the questionnaire.

key insights 1. Revlon has high brand awareness levels.

2. Quality is a key perception of Revlon but, the brand lacks excitement compared to other cosmetic/beauty brands.

3. Consumers felt that Revlon have a limited range of products which could be expanded e.g.

Foundation line only has a few colours which don’t cater to all skin types. Many consumers are going to expensive brands to purchase these products, as they are not being catered for by the mass market/ high-street brands.

4. Online shopping is an increasingly popular way to purchase cosmetic products, which many retailers have expanded onto this platform, but this is something Revlon is lacking.

In order for Revlon to turn their fortunes around they must listen to their consumers and cater to their needs, as these are the ones purchasing the products.

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Cosmetic Market Global key market drives

Appendix 12 shows the annual growth rate of the global cosmetics market from 2004 to 2013. “In 2013, the global cosmetics market grew by an estimated 3.8 percent compared to the previous sales year(35).”

“The global beauty market is also approximately one half the size of the Global Soft drinks market (36)” shown in Appendix 13.

Revlon is in a industry that is showing positive growth rates, which shows the positive revenue increase Revlon has continued to have. Revlon is in a large market that has potential for them to gain higher levels of market share and become more competitive.

Future global outlook “The global cosmetic market is currently predicted to reach $265 billion by 2017 (37).” Due to this of Revlon could face new and high levels of competition. They need to ensure that they continue to strive to be innovative, staying modernized as well as catering for consumer needs globally. This is an advantage for Revlon also as there is potential to gain higher levels of customers, increasing brand loyalty leading to an increase in sales.

In Appendix 14 its shows emerging markets have increased from 38% of the global beauty sales to 44% in 2014. “Emerging markets are expected to represent one half of total beauty sales globally by 2017( (38).” It is important Revlon take this into account as there is much potential for Revlon to increase their international sales as well as gain higher market share levels in these emerging markets. They are an affordable, high quality brand which they can use as against competitors.

UK Key market drives

“The UK cosmetics market was worth £8,438 million in 2013 (at retail sales price), one of the top five largest markets in the EU (39).”

“93% of UK women using colour cosmetics, total sales grew to £1.5 billion in 2013, an impressive 6% increase on 2012 (40) .”

“Nail colour cosmetic segment continues to grow from strength to strength.

Whilst this marked a 6.6% increase for nail polish sales, total sales grew to £284 million in 2014 (41).”

“Seven in ten (69%) British women now use nail polish (42).”

There was high amounts of growth for UK cosmetic market, which is a positive sign for Revlon as their international sales, especially in Europe are the lowest contributing market to the total Revlon revenue.

Future UK outlook “The UK cosmetics market is forecast to grow 16 per cent by 2016 (43).”

There is much potential for Revlon to gain higher sales and market share within the UK as the market is set to grow further. Revlon have a high net sales in the US and the UK could be another market which they could achieve high net sales. The UK is still currently in a recession and affordability and quality are the key factors which can make Revlon be successful.

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Gaps in the Cosmetic Market “Men, multicultural, and older consumers are all relatively untapped demographic groups in the cosmetic and beauty industry, and represent growth opportunities for the category (44) .”

Revlon sub-brand’ American Crew provide beauty products to the male consumer and are doing extremely well. Revlon other sub- brands ultimaii and Gatineau provide high quality skincare products to the older consumer and are also doing very well. Revlon cosmetic product range also includes make up products for the older consumer. Due to this Revlon could potentially try to target the multicultural consumer, as this is a gap in the market which they are not in and it will enable Revlon to reach a more diverse customer base.

“The multicultural beauty products market continues to outpace the growth of the overall U.S. market for cosmetics and toiletries, posting a 3.7% increase in 2014 (45).”

“The proportion of women members of the so-called “ethnic minorities” such as African Americans, Asians, Hispanics, and mixed-race people increasingly important in the United States and they are expected to become the majority around 2040 (46).”

This shows great potential for the multi cultural beauty market if Revlon was to enter it. As Revlon’s biggest market is the US, if ethnic minorities become the majority of the US population and Revlon is not in this market, they could see potential decline in consumers, sales and market share. Revlon need to stay as competitive as they can be as L’Oreal is already in the multi cultural beauty market.

Macro Trends FEMALE EMPOWERMENT: “Women mimicking traditional masculine power relations to get ahead in a 'man's world' - we are now witnessing the emergence of the new woman. Many women are now better educated than their male counterparts. Already, there are more female than male entrepreneurs and these female icons inspire others around the globe and have influence across culture and class (47).”

Revlon is a brand that has a strong emphasis on female empowerment, through funding women charity organizations and creating products to make women feel and look beautiful and glamorous. The brand ambassadors for Revlon are successful women that can help inspire others around the globe. Revlon can use its strong Female brand to entice this type of female consumer.

A MORE CONNECTED WORLD: “Consumers more connected to the world, Over 90 million people use a smartphone (48).”

“The internet is increasingly being accessed via smartphones and tablets, as consumers seek convenience and mobility (49).”

“In 2016, it is estimated that there will be around 2.13 billion social network users around the globe, up from 1.4 billion in 2012 (50).”

Revlon is on all the social media platforms, which allows them to interact with their consumer as well as a cheap marketing method. Revlon should continue to have a strong social media presence as well as possibly creating an app or an online website.

FROM FACTS TO FEELINGS: “Consumers are looking for emotional connection and empowerment in all areas of life. we are entering the ‘Emotional Decade’.” Companies/ organisations focusing on empowering and engaging with their audience. Consumers value Empathy and empowered brands (51).”

Revlon new branch re-launch Love is on has a strong emphasis on the emotional connection to the end consumer. Revlon should keep using emotion within their marketing to target this emotional consumer, as a way to increase brand loyalty and awarness levels, making them more competitive.

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Pest Analysis In Appendix 15 shows the pest analysis of Revlon.

Revlon products are sold in more than 150 countries, across six contents; due to this it is important that Revlon take into consideration political factors such as, Federal trade commissions, as well as trade regulations.

Changes in the economy, such as, higher interest rates, will result in Revlon having to pay more interest on their debts as well as potentially seeing a decline in consumer spending as income as there will be an Increased incentive to save rather than spend.The negative economic condition, such as, recession, can also lead to lower spending, high employability levels etc.

However, as Revlon is an affordable brand they will not be as effected.

Changes in consumers purchasing habits, such as by buying more cosmetics and beauty care products in channels in which Revlon does not currently compete such as, prestige and department stores, television shopping, the Internet, and other distribution outlets. This could impact sales of the Company’s products, which could reduce the Company’s net sales and which could have a negative effect on Revlon’s business, financial condition and operations.

Increase in interactive technology in retail is a potential way for Revlon to provide customers with a exciting and fun experience as well as enabling them to be more competitive. The growing online shopping users can be beneficial, as Revlon is current not selling via E-commerce. Due to this they are missing out on a wider consumer base.

Ansoff Matrix Analysis Ansoff matrix in appendix 16, shows that Revlon is in a mass retail market with many competitors, by Revlon offering deals on the products this could increase sales and make them more competitive. Revlon needs to strengthen their relationship with consumers, they can do this so by introducing loyalty schemes, which can give exclusiveness as well as extras to the consumer.

There is potential for Revlon to develop new products in new markets as shown in appendix. The men’s cosmetic market is predicted to see growth opportunities. The skincare market, in particular anti-ageing could also be a possibility for Revlon. However, due to having sub- brands in these markets it may not be a great strategy for Revlon.

“The luxury cosmetic market has seen a growth (52).” This would be very risky for Revlon as they would have change consumer perception as well as funding this strategy, which is something they would not be able to afford to not do well in, due to their current debt situation.

Revlon entering a new market with existing products e.g. E-commerce they could reach new and existing consumers.

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Fig 35

How Revlon is going to get there?

Fig 36

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Recommendations Appendix 17 shows the Strengths, weaknesses, opportunities and threats of Revlon.

Firstly, the research shown in this report has outlined that Revlon is a strong global brand, in over 100 countries, and producing net sales of $472.3 million in 2014, which is an increase of $139.3 million from 2013. Primary research has also shown that Revlon has high brand awareness with consumers as in the UK only 14% of the survey participants said they are not familiar with the brand. Revlon uses a variety of marketing medias and in particular their social media presence is high.This needs to continue to ensure that Revlon are connecting with their consumer.

The key issues facing Revlon conclude: Revlon mission is to be established as the quintessential and most innovative beauty company in the world but, due to the high debt levels of $1.9 billion, this is making them less competitive and innovative, this is due to Revlon not being able to spend more on research and development as well as advertising compared to its competitors, such as, L’Oreal. This is holding Revlon back from being able to stand out in the market.

Revlon is lacking in certain areas such as, limited range of product choices, they do not have an online website and brand perception of being bland and not as exciting as other cosmetic brands is something they really need to improve on in order to gain and increase their consumer base.

The brand ambassadors and affordable, quality products is something Revlon offers consumers which is working, but, they need to offer more fun and excitement around the brand and its products as the consumer segment channel has been declining for Revlon. The new brand re-launch for Revlon is a positive step for the brand as they are creating the emotional connection with the consumer. The strategy proposed must fit with Revlon brand re-launch otherwise it could confuse consumers and have a negative impact.

Revlon Declining international sales of $10.6 million and declining stock price is a key issue. The brand has reasonble market share and increase sales in the US but they need to take advantage of the emerging markets and the rising sales that are predicted for the international markets in order to be a leading global cosmetic brand.

Key strategic challenges for Revlon: Challenge to ensure Revlon remain profitable during the high amount of debt levels they have in these forever changing economic conditions. Challenge of gaining higher levels of market share in order to be more competitive in the cosmetic market. Challenge to fulfil consumer needs as well as connecting with them effectively through marketing platforms and commerce, in order for Revlon to increase their sales and competitiveness.

All the research above and the Ansoff matrix and SWOT analysis has lead to the following recommendations for Revlon, in order to their fortunes around.

Reccomendations For Revlon 1. To extend Revlon’s product range of Foundation, Concealer and Foundation powder, which will then be accessible worldwide.

2. To launch online website in which consumers can purchase products.

The objectives of the marketing strategy: - Increase Global sales - Increase Competitiveness - Increase Consumer segment sales - Increase international market sales.

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Three year marketing strategy Reccomendation 1: Extend Revlon’s product range of Foundation, Concealer, Foundation powder and BB cream, which will then be accessible worldwide.

As Revlon has seen a decrease in the consumer segment channel, it is essential that they are catering to the consumer needs in order to improve. As secondary research of the cosmetic industry has shown that multicultural demographic groups is a relatively untapped demographic group and represent growth opportunities for this category. As well as primary research also showing one of the reasons that consumers do not shop at Revlon because they have limited colours of foundation, concealer and foundation powder products.

Revlon mission is to establish themselves as the quintessential and most innovative beauty company in the world. However, in order to achieve this they need to cater to consumer needs and to a wide number of consumers. Revlon is loosing out on reaching a wider audience of consumers due to not providing products to cater for the ethnic minority consumer.

Revlon’s competitors such as, L’Oreal and Estee Lauder are already one step ahead and have extended certain make up lines in order to cater to many skin types.

However, Estee lauder has high price points, a foundation could cost up to £30. Many consumers have to go to Luxury cosmetic brands, such as, Nars and Mac in order to find face products to match their skin tone, which can be very expensive.

As Emerging markets are expected to represent one half of total beauty sales globally by 2017, there is much potential for Revlon to target these ethnic minority consumers,which can increasing sales and Revlon’s market share within these markets, as well as improve Revlon international market sales which have seen a -4.4% decrease in international markets.

The extension of Revlons product range will include Foundation, Concealer, foundation powder and BB cream. These have been chosen due to: “76% of women wear Foundation and Face powder (53).”

“In 2013, an estimated 14,977million women used foundation and foundation powder in the Uk (54) .” “ BB cream making $36 million in 2012 compared with $2 million in 2011(55) .”

Revlon current foundation colours.

Example of new foundation colours.

Revlon currently provide 8 foundation colours for a few of their foundation products. The colour range only consists of light to medium Revlon should implement a medium to deep colour range for the ethnic minorties.Due to this 8 new colours will be added to the foundation line. The image shows examples of the colours which Revlon will add to the best selling foundations.

Revlon Concealer, foundation powder and BB cream currently consist of 3 or less colours.

Revlon should add another 3 of these collections. These colours will be accessible worldwide and will be sold in the same market and to the same target market Revlon currently operate.

The new foundation colours will not require the packaging of the foundation to be changed, as this will be to costly for Revlon.

These products will also continue to remain at the same price point that they are originally.

Revlon can use their afforable pricing and high quality of the foundation to make them more competitive.

Fig 37

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Three year marketing strategy Reccomendation 2: To launch online website in which consumers can purchase products.

As Revlon need to improve their global presence, in order for them to improve financially and improve competitiveness, Revlon should sell through E-commerce.

The pest analysis above specifically, technological factors, show there is a growth in Online shopping users. As well as the primary research has shown that Revlon’s target market are purchasing cosmetic and beauty products online, as 37% said they purchase online. The E-commerce market is showing potential as: “In 2012, the value of e-commerce sales of pharmaceuticals and beauty aids was $14.68 billion. dollars, up from almost $10.8 billion dollars in 2010 (56) .” “ In 2014, 1.12 billion people worldwide brought goods and services online (57).”

“Worldwide Ecommerce Sales Increase to Nearly 20% in 2014 (58).”

“The Global B2C Ecommerce Sales to Hit $1.5 Trillion in 2015 (59).”

E-commerce has shown strong sales results, which are continued to show strong growth in the future. This is a posititve sign for Revlon as this is another market they can potentially see financial results.

“The internet is increasingly being accessed via smartphones and tablets, as consumers seek convenience and mobility (60).” The online market will allow Revlon to be accessible globally to all consumers at all times.

“A poll found that 57 percent of adults considered product reviews to be an incentive to shop electronically rather than at a brick-and-mortar store (61).”

Through Revlon selling products online they can appeal to not only their exisitng consumer as well as gain potential new consumers. Revlon can be purchase online through selected drugstores and supermarket, however, they have a limited range of Revlon’s products and may not always be the best deal for the consumer.

Revlon’s current online website will be adapted so consumers can purchase products.

The website will include all of their products and will ensure that consumer can purchase products that may not be available/ in stock in stores.Revlon’s pricing of products will be the same as its sold in store, as well as more offers, this is due to consumers looking for the best deals online.“57% of beauty users shop for deals online (62) .”

The website will continue to target the female consumer of all ages, and will be worldwide including all the countries Revlon currently operates in. The website will be available through mobile devices as over 90 million people use a smartphone, as well as on any other technological devices.

The online website will continue to include, what’s new, find your shade and how to videos linking to the YouTube channel. An added section of offers will be added and online website will include deals to increase the consumer purchases and sales, ensuring that consumer loyalty will be gained, due to consistent offers. Once consumers purchase online they will be sent emails updating them on new products and offers.

Below is an example of what the online website will look like. A shopping basket feature has been added, as well as offer sub-heading. The “Where to buy” feature on the existing website will be improve so that consumers can type in their postcode to find the closest stores that sell Revlon products. Revlon will ensure that they provide the best shipping deals for consumers to make the products more enticing.

Website URL http://www.revlon.co.uk

Fig 38

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One year communication plan

Objectives for the communication plan: - Increase Customer Experience - Build loyalty with the retail consumer by engaging them.

- Promote new product extension of Foundation, Concealer, foundation powder and BB cream.

- Promote the new launch of Revlon E-commerce selling.

Social Media Social media has become the fatest and msot effective way for brands to reach their target audience. “72% of all internet users are now active on social media( 63).�

The social media sites , such as, Facebook has over 1.15 billion users.

Revlon are continuously active on Social media sights and have high amount of following and likes. The communication strategy will include Revlon using social media to create buzz around the launch of the online website as well as the new product extension.

The Revlon E-commerce will launch in March 2016. Two weeks before the website becomes available social media will create buzz. Twitter, Facebook and Instagram will provide a chance for consumers to get involved, creating a connection with the consumer.

Consumers will be asked to share/ Upload their Revlon products onto social media and they must use tag #MYREVLON in order to be in with a chance to recieve exclusive special offers which they can use online e.g. Online gift voucher, Free shipping and many more. The image below shows an example of a revlon product and the use of the hash tag. Everday a certain number of people will recieve a special offer. Revlon will share the winners photos through social media. After the launch of the website, social media will continue to create Buzz around the brand, due to, every month for the entire year, social media will feature a new code which will unlock a new offer.

Fig 39

Fig 40

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Pop- up stores “Pop- up retailing produced £2.1 billion in turnover in the past year- Equivalent to 0.6% of total UK retail turn-over (64) .”

Revlon’s launched pop up nail bars, which showed great results for Revlon with an average sales uplift of 187%. Revlon had over 50,000 consumer interactions in store.

“In today’s beauty environment, consumers are demanding a higher level of in-store services (65).”

“The time has passed when consumers were intrigued by brand alone (66).”

As Revlon needs to connect to the consumer and create an experience as well as an emotional connection in order to increase consumer levels as well as be competitive as they can be. Pop up stores are a great way to interact with the consumer and create this connection.Pop up stores are exciting and is a great way to target new consumers as well as continue to ensure existing consumers stay loyal. As the launch of the new colours for Revlon’s existing foundation, foundation powder, concealer and BB cream will be at the beginning of spring/ summer 2016, this is when the pop up stores will begin.

The pop up stores will be global, the locations that have high population rates as well as high female demographics, will be where Revlon choose to pop up.

Revlon pop up store will start in the UK, it will then make its way round Europe, heading to the US and then to Asia pacific. The pop up stores will start at the begining of summer and will last for 4 months.

The pop up stores will allow consumers to match face beauty products to their skin, using the new colour range. Revlon staff will be on hand to provide make up consultations as well as giving away free samples and vouchers.

An example on the right of the page shows a Revlon pop up container. This would be a great to use as the Revlon team can pop up anywhere, such as, beaches and shopping centres. The Revlon pop up store/ container will include Whats your shade slogan as it will be to introduce consumers to the new extended colour range. Revlon pop up store can be expanded by having counters depending in which location they are in. Exclusisve products will be avaliable at the pop up store, such as, Sophie webster lipstick collection.

In certain locations, the brand ambassadors will show up at the Revlon pop up stores, this allows them to engage with the consumer as well as create a Wow factor.

Fig 41

Fig 42

Fig 43

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Timeline and budget The marketing strategies which include Online website (E-commerce) and Extending the product range will spread over 3 years. From January to August 2015 the development of the online website will be taking place. In September to December 2015 the online website will be tested and any changes that need to take place will be finalised in this time frame, before the finished website and launch in March 2016.

The development of the new ranges of colours for the extended foundation, concealer, foundation powder and BB cream will be taking place from January 2015 to January 2016. Individual testing of the new colours on the target market will take place from September 2015 to April 2016.

The finalising of the colour range will be during January to April 2016. The new range will be finished and available in stores and online from May 2016.

My communication plan will start in 2016 to 2017. This is due to communication plan incorporating the launch of the new marketing strategies, which will take time to develop before being available to the consumer.Social media will create a before Buzz of the new online website starting from February 2016. The launch of the online website will be in March 2016, so after this social media will continue to create buzz around the website until the end of April 2016. Social media will be a consistent part of the communication plan over the year, as they will continue to be active. Pop up stores will run from June to September 2016, due to the new products being ready by May 2016.

Fig 44

Fig 45

The cost for the new marketing strategy will include up to $10,000 for the new website to designed as well as tested. The new product extension of the foundation, concealer, foundation powder and BB cream will cost up to $5.4 million. This is due to the foundation range adding 8 new colours as well as the concealer, foundation powder and BB cream adding another 2/3 colours. Research , development and testing will be included within the $5.4 million. “Revlon spend $264.9 million in 2012 on marketing, up from an average of $255.7 million during the past three years (67).�

As Revlon use high amount of advertising, which they will keep in place during the 3 year strategy and due to the new brand re-launch which has been expensive for the brand, I want to be as cost effective as I can use. I will use up to 2% of their current marketing budget which is $5.298 million.

The total cost for social media will be $40,00 as they will be running competitions and giving away many offers throughout the year, as well as posting on all social media platforms daily.

The pop up stores are going to be launched globally and will cost up to $5 million as Revlon have to pay for staff, cosmetic products, free samples as well as the Revlon pop up container.

In total this shall cost around an estimated $5,040,000.

Fig 46

Fig 47

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Smart Objectives 1. To increase net sales of the consumer channels globally by 3% in 2016.

2. To have at least 250,000 views globally of the online website by 2016.

3. To strive to receiving 1,000 views of the online website a week in the US and UK alone by 2017.

Conclusion To conclude, Revlon has been struggling as they have seen declines in net sales, particularly internationally and through consumer segments as well as stock prices. The brand is falling behind its competitors, such as, L’Oreal as primary and secondary research has shown this.

As the cosmetic industry is showing positive growth signs for the future, it is important that Revlon act now to ensure they don’t fail but, instead are as competitive as they can be and preform well financially.

The marketing strategy proposals for Revlon to launch online as well as extend their current colours of the product lines including foundation, concealer, foundation powder and BB cream, aims to turn Revlon’s fortunes around.

The online website will enable them to be easily accessible to the consumers globally as well as being able to target new consumers. The extension of colours for the face range will emphasise to consumers that Revlon is a brand for every kind of women, as well as being a brand that wants to fulfil the consumers needs.

If the products are successful for Revlon, they can consider extending the range further in the future.

The communication plan allows Revlon to engage with consumers, as they need to ensure they are connecting with their target audience in order to ensure customer loyalty for Revlon rather than its competitors.

The new brand re- launch and the high debt levels of the brand was something that had to be taken into consideration when developing a marketing strategy.

Cost effective strategies is important in order to ensure Revlon does not put themselves in more debt as further debts could result in closure of Revlon.

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Additional Sources- Websites : 14. Revlon financials, Available at: http://www.trefis.com/stock/REV/model/trefis?freeAccessToken=PROVIDER_78596d18bcd1aaf3111405ce24959babd4299913 ( Accessed 15.12.2014) 15. Global beauty industry trends in the 21st Century, Available at: http://www.toknowpress.net/ISBN/978-961-6914-02-4/papers/ML13-365.pdf (Accessed 16.12.2014) 16. UK supermarkets beauty sales, Available at: http://www.cosmeticsbusiness.com/news/article_page/UK_supermarkets_face_grim_beauty_2015_sales/104538 (Accessed 16.12.2014) 17. Cosmetics statements, Available at: https://www.cosmeticseurope.eu/news-a-events/statements.html ( Accessed 16.12.2014) 18. Stock price effects of changes, Available at: http://www.investopedia.com/university/stocks/stocks4.asp (Accessed 18.12.2014) 19. Revlon advertising, Available at: http://www.adbrands.net/us/revlon_us.htm (Accessed 18.12.2014) 20. Cosmetic industry, Available at; http://www.cosmeticsbusiness.com/Category/Finance (Accessed 18.12.2014) 21. Sophia Webster and Revlon collaboration, Available at: http://www.wonderlandmagazine.com/2013/05/brand-buzz-sophia-webster-and-revlon-colorstay-lipstick-collaboration/ (Accessed 18.12.2014) 22. Revlon story telling strategy, Available at: http://www.marketingmagazine.co.uk/article/1122972/revlon-prepares-new-storytelling-ad-strategy (Accessed 20.12.2014) 23.Key facts of the cosmetic industry, Available at: http://www.ctpa.org.uk/content.aspx?pageid=295 (Accessed 20.12.2014) 24. Global beauty industry, Available at: https://doc.research-and-analytics.csfb.com/docView?language=ENG&source=emfromsendlink&format=PDF&document_id=1025509521&extdocid=1025509521_1_eng_pdf&serialid=xabsnH6scTqef2MQXcNkDTl3SzvdjdwD2yrK%2fWThr4E%3d (Accessed 20.12.2014) 25. What is emotional branding, Available at: http://www.smartinsights.com/online-brand-strategy/emotional-branding-means-customers-stay-loyal-for-the-long-haul/ (Accessed 20.12.2014) 26. Annual growth rate of cosmetic market, Available at: http://www.statista.com/statistics/297070/growth-rate-of-the-global-cosmetics-market/ (Accessed 30.12.2014) 27. Macro trends of the future, Available at: http://kmhassociates.ca/resources/6/MACRO%20TRENDS%202015+.pdf (Accessed 30.12.2014) 28. The beauty company, facts and figures, Available at: http://www.thebeautycompany.co/downloads/Beyer_BeautyNumbers.pdf (Accessed 30.12.2014) 30. Revlon website, Available at: http://www.revlon.co.uk (Accessed 01.12.2014)

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Biblography Additional Sources- Websites : 31. Estee lauder emerging markets, Available at URL: http://www.forbes.com/sites/greatspeculations/2014/06/10/heres-what-estee-lauder-has-done-to-boost-its-share-in-emergingmarkets/ (Accessed 01.01.2015) 32. Revlon corporate, Available at URL: http://www.revlon.co.uk/Revlon-Home/Revlon-Corporate/Corporate.aspx ( Accessed 01.01.2015) 33. Revlon investor Relations, Available at URL : http://phx.corporate-ir.net/phoenix.zhtml?c=81595&p=irol-irhome ( Accessed 01.01.2015) 34. Revlon annual reports, Available at URL: http://phx.corporate-ir.net/phoenix.zhtml?c=81595&p=irol-reportsannual (Accessed 01.01.2015) 35. Retail trumps online, Available at URL: http://www.cosmeticsdesign-europe.com/Market-Trends/Retail-trumps-online-in-UK-as-25-still-purchase-their-cosmetics-instore (Accessed 02.01.2015) 36. Ten Macro trends, Available at URL: http://www.futurestech.com/economics/ten-macro-trends/ (Accessed 02.01.2015) 37. Trends in the cosmetic market, Available at URL: http://www.mintel.com/new-trends-in-the-consumer-market (Accessed 02.01.2015) 38. Revlon market share, Available at URL: http://www.trefis.com/stock/REV/model/trefis?freeAccessToken=PROVIDER_78596d18bcd1aaf3111405ce24959babd4299913 (Accessed 02.01.2015) 39.Revlon exists the Chinese market, Available at URL: http://www.bloomberg.com/news/2013-12-31/revlon-to-exit-operations-in-china-cutting-940-beauty-advisers.html (Accessed 03.01.2015)

Appendix Appendix 1

Net sales 2013

Price per share 2014

Market Target share of the market cosmetics market

Product price range

Global presence (Countries)

L’Oreal

€3.875 billion +4.8%

£149.80 - 0.33%

19%

20’s – 50’s

£4-£20

130

Estee Lauder

€2.41 billion +5%

£74.17 +5%

8.1%

25 – 50’s

£10- £50

150

£7.56 -0.04%

20’s – 50’s

£1-£15

100

Avon

$219 million -10% $1,494.7 million +7.0%

$32.39 -0.74%

20’s- 50’s

£2- £18

100

Revlon

3.2 % 3.2%

Appendix 2

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Appendix 3

Appendix 4

Appendix 5

Appendix 6

Appendix 7

Appendix 8

60

Appendix 9

Appendix 10

62

Appendix 11

Appendix 12

Appendix 13

64

Appendix 14

Appendix 15

Political; Regulation by the Federal Trade Commission, the Food and Drug Administration in the U.S., as well as various other federal, state, local and foreign regulatory authorities, including those in the European Union, Canada and other countries in which the Company operates.

Trade regulations need to be taken into account before enterING any market and also need to be kept up to date where they are currently operating.

Economical Interest Rates: Changes in interest rates, will make companys more in the event of adverse economic conditions, increases in prevailing interest rates could lead to downturn in the Company’s business as they will have to pay back more on their borrowing from the bank.

ECONOMIC CONDITIONS: Economic conditions, in the U.S. and other countries where companys operates, have contributed and may continue to contribute to high unemployment levels, lower consumer spending and reduced credit availability, and have impacted and could in the future impact business and consumer confidence.

Negative economic conditions have an impact on consumer purchases and/or customer purchases of the Company’s products, for example, The UK recession impacted on consumer purchases as “During the recession, the big winner was nail polish because it was at an accessible price-point, throwaway beauty in a way.”

Social ; Changes in consumer purchasing: A change in consumers purchasing habits, such as buying less or buying more products in a different channel, could impact sales of the Company’s products, which could reduce the Company’s net sales and which could have a material adverse effect on the Company’s business, financial condition and/or results of operations. Social media should be a forefront of brands strategies to appeal to their consumers.

Rise of social networking: “Facebook reached 1.23 billion users in 2013.” “500 million tweets per day on twitter.”

The rise of technology, Internet and globalization resulted in a huge increase of people interacting using social networking sites e.g. Facebook, twitter, and Instagram etc. Fashion businesses are using social media to establish an online community and as a marketing method e.g. uploading pictures regularly and posting promotions.

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Technological Increase in interactive technology in retail; The use of interactive digital displays are helping to provide customers with an immersive experience that engages multiple senses, something that’s impossible to replicate on the web.

As consumers want more of a brand experience, this could be a great way for Revlon to differentiate from its competitors. “2014 is the year which stores said goodbye to boring, antiquated layouts, as companies are Changing the way we shop through using technology.”

Growing rates of Internet shopping users; This allows consumers to compare and research products they want and have the ability to shop at any time.

“In 2012,global B2C ecommerce sales grew 21.1% and Global B2C Ecommerce Sales are to Hit $1.5 Trillion in 2015.” “In 2012, the value of e-commerce sales of pharmaceuticals and beauty aids was 14.68 billion U.S. dollars, up from almost 10.8 billion U.S.” “Online sales represent 18.6% and keeps continuing to grow.”

“Online shopping allows brands to offer exclusive offers and products, allowing them to be more competitive in the market as they can gain more of a consumer base.”

Advanced Mobile Technology; “Smartphone Users Worldwide Total to 1.75 Billion in 2014.”

“7 in 10 People in the UK Now Own a Smartphone.”

Mobiles are a key part of peoples daily life. As people are constantly on the move, fashion mobile apps allows consumer to shop on the go.

650 million reported users of twitter daily; 135,000 new people signing up every day .

“The number of smartphones, tablets, laptops and internet-capable phones have exceed the number of humans.”

Positive for brands as they can be constantly connected to their consumers by an app or online website.

Revlon needs to keep up to date and with competitors, or they could become less competitive and loose market share and consumers.

Appendix 16

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Appendix 17

Illustrations Fig 1 - Emma stone ad, Revlon, Available at URL: http://40.media.tumblr.com/f2eaf9297ffc1b687d4650e8dcafe398/tumblr_nfnhczXy3H1s8ccbto1_r1_500.png (Accessed 01.01.2015) Fig 2- Emma stone ad, Revlon, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332914./10152063837327748/?type=3&theater (Accessed 01.01.2015) Fig 3- Make up products, Available at URL: http://www.pinterest.com/pin/341921796684442069/ (Accessed 01.01.2015) Fig 4- Revlon iconic brand, Available at URL : http://phx.corporate-ir.net/phoenix.zhtml?c=81595&p=irol-irhome (Accessed 02.01.2015) Fig 5- Revlon product channels, Availabale at URL : http://www.sec.gov/Archives/edgar/data/887921/000115752313004067/a50689830ex99_1.htm (Accessed 02.01.2015) Fig 6- Lady at Spa, Available at URL: http://healthylivingonline.co/wp-content/uploads/2013/01/lady_relaxing_in_a_span_hot_rock_massage.jpg (Accessed 02.01.2015) Fig 7- Sex and the City, Available at URL: http://cityinchic.com/wp-content/uploads/2014/03/sex-and-the-city-quotes.jpg ( Accessed 02.01.2015) Fig 8- Working woman, Available at URL; http://i.huffpost.com/gen/1174299/thumbs/o-WORKING-WOMEN-facebook.jpg (Accessed 02.01.2015) Fig 9- Preganant woman, Available at URL: http://images.medicaldaily.com/sites/medicaldaily.com/files/2014/05/23/shutterstock115408348.jpg (Accessed 02.01.2015) Fig 10- Older Lady, Available at URL: http://blog.une.edu.au/sexualityandageing/files/2013/01/getty_rm_photo_of_older_woman1.jpg (Accessed 02.01.2015) Fig 11- Estee Lauder Ad, Available at URL: http://www.thebandfrom.com/wp-content/uploads/Estee-Lauder-Pure-Color-Tom-Pecheux-blue-dahlia-520x346.jpg (Accessed 03.01.2015) Fig 12- L’Oreal Paris Ad. Available at URL: http://www.lorealparisusa.com/~/media/Images/LOP/Home/Brands/Makeup/Infallible/Infallible_additional.jpg (Accessed 03.01.2015) Fig 13- Avon Ad, Available at URL: http://avonbybev.com/wp-content/themes/Discovery/thumb.php?src=http://avonbybev.com/wp-content/uploads/2012/07/Makeup2. jpg&h=390&w=980&zc=1&q=90 (Accessed 03.01.2015) Fig 14- Sophia Webster collaboration with Revlon, Available at URL: http://s3.r29static.com/bin/entry/09a/x/1044071/suedebysophia-o.jpg (Accessed 03.01.2015) Fig 15- Revlon nail pop up store, Available at URL: http://www.idagency.com/media/261574/middle_slider_revlon_1.jpg (Accessed 03.01.2015)

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Illustrations Fig 16- Revlon Brand Ambassadors, Available at URL: http://images.revlon.com/~/media/images/revlon2/behind-the-color/ambassadors_viewall.ashx (Accessed 03.01.2015) Fig 17- Revlon facebook page, Available at URL: https://www.facebook.com/revlon (Accessed 05.01.2015) Fig 18- Revlon pinterest page, Available at URL: http://www.pinterest.com/revlon/ (Accessed 05.01.2015) Fig 19- Revlon Youtube page, Available at URL: https://www.youtube.com/user/revlon (Accessed 05.01.2015) Fig 20- Revlon Twitter page, Available at URL: https://twitter.com/revlon (Accessed 05.01.2015) Fig 21- Revlon Cares Ad, Revlon, Available at URL: http://images.revloncares.com/~/media/Images/Homepage%20Images/home_quote_picture.ashx (Accessed 06.01.2015) Fig 22- UCKA health system logo, Available at URL: http://logo-kid.com/ucla-health-logo.htm (Accessed 06.01.2015) Fig 23- Revlon EIF foundation logo, Available at URL: http://rightactionforwomen.org/wp-content/uploads/2014/03/raw1news.jpg (Accessed 06.01.2015) Fig 24- Look good, feel good Ad, Available at URL: http://lookgoodfeelbetter.org/sites/default/files/images/jpg-%20LGFB%202nd%20Gen%20PSA%20%232.jpg (Accessed 06.01.2015) Fig 25- National breast Cancer Ad, Available at URL: http://s3.amazonaws.com/nbcf-production-assets/attachments/000/000/385/standard_ hires/57e514ad84f3780932dff41d5c63ee2c (Accessed 06.01.2015) Fig 26- Rex Healthcare Ad, Available at URL: http://mombaby.org/IMAGES/REX_UNChealth_care_berkley_542.jpg (Accessed 06.01.2015) Fig 28- Revlon Love is on website, Available at URL: http://www.revlon.co.uk/#/1 (Accessed 07.01.2015) Fig 29- Revlon competiton on social media, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332879./10152852062827748/?type=3&theater (Accessed 07.01.2015) Fig 30- Love is on photo, Available at UR: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332879./10152851818062748/?type=3&theater (Accessed 07.01.2015) Fig 31- Revlon New York Billboard, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332874./10152987627147748/?type=3&theater (Accessed 07.01.2015)

Fig 32- Love is on consumer pic, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332874./10153004515802748/?type=3&theater(Accessed 07.01.2015) Fig 33- Social media comments, Revlon, Available at URL: https://www.facebook.com/revlon (Accessed 07.01.2015) Fig 34- Revlon lipstick, Revlon, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422332874./10152995532782748/?type=3&theater (Accessed 08.01.2015) Fig 35- Revlon lipstick, Available at URL: http://www.pinterest.com/pin/341921796684426407/ (Accessed 08.01.2015) Fig 36- Red lips, Available at URL: http://www.pinterest.com/pin/341921796684426407/ (Accessed 08.01.2015) Fig 37- Revlon face make up products, Available at URL: https://www.facebook.com/revlon/photos/pb.330971922747.-2207520000.1422337345./10152829447472748/?type=3&theater ( Accessed 08.01.2015) Fig 38- Revlon website, Available at URL: http://www.revlon.co.uk ( Accessed 08.01.2015) Fig 39- Instagraman example post, Ayse kahraman, (Created 09.01.2015) Fig 40- Social media, Available at: http://cdn2.hubspot.net/hub/167521/file-2245677518-jpg/blog/Social_Blogs/HiRes.jpg (Accessed 08.01.2015) Fig 41- Revlon pop up store example, Ayse Kahraman.(Created 09.01.2015) Fig 42- Revlon make up artist, Available at: http://www.odt.co.nz/files/story/2013/03/aliana_mcdaniel_preparing_a_model_for_last_ year_s__513668efd0.jpg (Accessed 08.01.2015) Fig 43-Revlon products, Available at URL: http://upload.wikimedia.org/wikipedia/en/0/02/Revlon_Farmers_Dunedin_2013.jpg ( Accessed 08.01.2015) Fig 44- Strategy Timeline, Ayse Kahraman (Created 10.01.2015) Fig 45- Communication Timeline, Ayse Kahraman (Created 10.01.2015) Fig 46- Communication Budget table , Ayse Kahraman (Created 10.01.2015) Fig 47- Strategy Budget table, Ayse Kahraman (Created 10.01.2015)

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Disclaimer that all references can be found in Revlon Report. I confirm that this work has gained ethical approval and that I have faithfully observed the terms of approval in the conduct of this project.

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