Essay Avon : The Largest Beauty Product Seller

1041 Words Mar 2nd, 2016 5 Pages
Avon was the largest beauty product seller and enjoyed success from their direct selling model as well as their close customer approach. As the market has changed, Avon must now decide how to act in the technologically advancing world. Avon.com was to be launched in September and the company had to make a decision on the following: products to be sold online, promotion of the site, and the best method to leverage their 500,000 sales representatives. Through the introduction of e-commerce, Avon wanted to remain its identity and maintain the balance between keeping direct relationships with customers while enhancing online sales.

Furthermore, Avon had to choose whether to build a commerce only site (Eve.com) or an appealing one (iVillage.com). Avon began to collect data, asking for experts’’ opinions, hiring an e-commerce consulting firm, and held focus groups with sale representatives on how Avon should use the web platform for either the B2B (Avon to sales representative) and/or the B2C (Avon to customers) avenue.

As the leader in direct selling, Avon’s decision should ultimately not hinder their strong identity in the industry yet still allow the company to capitalize on the unlimited potential the web can reach. To remain as a top competitor, Avon needs to decide how best to successfully transition from one distribution channel to another.

SWOT Analysis

Strengths Opportunities
• Personal selling
• Flexibility for sale representatives
• Strong reputation for products…

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