Overview of Estee Lauder Essay
The beauty business is one of the most profitable markets in the world. The beauty industry experiences tremendous amounts of growth despite economic challenges faced throughout the globe. Annually, people in the United States spend eight billion dollars on cosmetics alone. (Matters of Scale- Spending Priorities, 1999) Estee Lauder is a pioneering company that is internationally known for its cosmetics.
The company has made major contributions to the cosmetics industry for the sixty-seven years that it has been in business. Estee Lauder was established in 1946 by a woman named Josephine Mentzer who had an interest in beauty and the beauty industry. (Inc., 2013) However, what makes the company stand out against the competition?
What? …show more content…
II. Market Segmentation
Estee Lauder has been a prominent company in the cosmetics business because they know how to market to their customer. As the company is evolving the company has been able to expand their target market by the change in culture. Estee Lauder has exuberated elegance throughout her products and legacy. The philosophy of the company is “Every woman can be beautiful.”
Knowing Your Market The ideal customer is mature in the age range of late twenties to beyond. Years ago, the target customer of Estee Lauder was in their mid to late thirties. However, with the changes in culture and technology the age range expanded. Since Estee Lauder is sold in many countries, the products could be marketed to a multitude of cultures and ethnicities. The products are versatile and make it easier to market. The customer is sophisticated and elegant just like the founder, Estee Lauder. (Singer, 2011)
The companies that Estee Lauder own and license have also had an impact on the age range of the target market of their company. Clinique and MAC are two cosmetic companies