mkt304 group assignment lemonade lipstick imc campaign

Customer TrendLemonade’s cosmetic products are specially targeted at Vietnamese young females,according to Quach Anh, founder of Lemonade.. This group is usually known with somefollowing

Course code: MKT304

-MKT304 GROUP ASSIGNMENT

Lemonade Lipstick IMC Campaign

Lecturer: Ph m Th Th y Tri uạịủềClass: MKT1502

Table of Contents

I Introduction 1

II Executive Summary 1

III Situation Analysis 2

3.2 “SUPERNATURAL” Campaign Analysis 11

IV Campaign Objectives 12

V Content 12

VI Media Plan 13

VII.References 13

Around 90% of Vietnam cosmetic market share is dominated by multinational brandsincluding those from South Korea, Europe, Japan, Thailand and the US (Statista, 2020) Alongwith that is the existence of domestic brands, although they only account for a small part of thatpotential market, they are gradually trying to define their positions Among those brands,Lemonade Lipstick has been considered to be one of the promising domestic brands with supportfrom young people Our report will analyze the current marketing strategy and focus on aspecific product - the Perfect Couple Lip - to design a campaign for promoting that product

II.Executive Summary

This report will analyze a famous Vietnamese cosmetic brand - Lemonade Lemonade is afamous cosmetic company, one of the few Vietnamese cosmetics brands that are trendy at thistime Lemonade has been successful in developing the target market and pursuing their audience.However, Lemonade still has difficulties in the market, both externally and internally of theorganization Lemonade has a very stable strategy, all of their strategies are meant to emphasizethe message of women's beauty This is shown a lot through each of their campaigns, and themost impressive is the campaign "Supernatural" with positive connotations Promoted byLemonade's original strategy, this report will develop a new campaign for Lemonade that can betargeted by the company.

III.Situation Analysis

1 External Environment1.1 Industry Landscape

With the increasing demand from customers, Vietnam’s import of cosmetics has risen morethan doubled from about 355 million U.S dollars in 2010 to over 790 million U.S dollars in 2018.Typical products include perfumes, make-up and skin care products

According to ANT Consulting Co (2019), Vietnam has more than 400 cosmetics businesses,with 90% of them are foreign brands reported by The Society of Cosmetics The market share ofcosmetics are listed as follows, the three countries that have the largest proportion are Korea -30%, EU - 23% and Japan - 17% Korean products are often known as “brand of youth”,“affordable price” and “being fashionable”, USA products are considered as “expensive”, “goodquality” and “brands for adults” while Japanese’s are “good quality” and “good value formoney” Domestic products just account for only 10% of the cosmetics market share

Customer behavior is different between ages Over a half of women over 23 years old usuallywear makeup when they go outside As reported, women over 30 years old have the highestdemand in wearing makeup, after that is women from 23-29 years old

The most frequent reason for people who do not wear makeup is that they do not know howto wear makeup or which one is suitable for them, or because of their laziness In terms ofsources for finding information about cosmetics, friends and websites are the most popularsources There are several factors that lead to the buying decision Nearly 50% of consumersconcentrate on the popularity and also the origin of the brands, and they spend 35% onconsidering the prices, 32% for the evaluation

products in their life Online shopping websites such as Shopee, Tiki and Lazada are nowbecoming more familiar to consumers since they can consider different prices from differentonline stores and they can also read feedback from other customers for evaluating the products.In overall, lipsticks and facial cleansers (including make-up removers) are the most frequently-bought products Lipsticks account for over 93% of the most popular makeup items, followed byeyebrows, mascara and foundation

The average monthly spending on makeup products in 2020 is 432,000 VND, compared to300,000 VND in 2019 Furthermore, the spending amount of money also depends on the salary.People with income less than 10 million VND tend to spend around 238,000 VND per monthwhile those who earn more than 20 million VND can spend an average of nearly 600,000 VNDfor cosmetics per month (Marketing AI, 2019).

After two years since the foundation, Lemonade has sold out more than 1 million lipsticks.Supernatural Matte Lipcream cost 249,000 VND, Want It Got It Lipcream cost 189,000 VN,Perfect Couple Love cost 299,000 VND, same price as Matte Addict Collection The price perone lipstick varies from nearly 200,000 VND to 300,000 VND Therefore, it can be concludedthat customers who buy Lemonade products may have income between 10 to 20 million VNDper month

Based on the price level, the lipstick industry can be divided into 4 segments:

150,000 - 300,000VND300,000 - 500,000VND500,000 - 1,000,000 VND

It can be easily recognized that Lemonade lipsticks focus mainly on the 150,000 - 300,000VND segment, which is the most attractive to customers, especially young customers Lemonadelipsticks provide a wide range of colors, with high quality such as cream matte lipsticks or tintlipsticks that cost a very low price

Other Vietnamese lipstick brands include Ty Cosmetics, Miin99, Ofélia by Changmakeup,M.O.I by Ho Ngoc Ha, Pearl and Vavachi Lipstick by Trang Pilla

1.2 Customer Trend

Lemonade’s cosmetic products are specially targeted at Vietnamese young females,according to Quach Anh, founder of Lemonade This group is usually known with somefollowing characteristics.

First of all, the target segment – Vietnamese young females – are people who pay a greatvolume of attention to cosmetic products, especially lipsticks According to a statistic by AsiaPlus in 1/2020, more than 50% of Vietnamese females from 23 years old make up whenever theygo out for school, for work or hanging with friends And lipstick is the product that is consumedmost regularly, at 88%.

Secondly, customers in this segment are extremely sensitive with hot new trends Most ofthem have references from Facebook, websites, Youtube, beauty bloggers, or their friends As aresult, marketing on Facebook, websites and word-of-mouth marketing become more and moreimportant to help brands to reach their customers.

products, such as the origin, components and safety; while youngsters from 16 to 22 pay moreattention to safety and price.

Finally, it is reckoned that 73% of consumers purchase cosmetic products through onlineshopping, with the average frequency of once per 1-2 months It is due to the fact that shoppingonline provides a wider range of items with better price and convenience However, there arealso some drawbacks, which are the low level of assurance and authority.

2 Internal Environment2.1 SWOT

Lemonade was first established in the year 2018 by a beautician Quach Anh The makeupartists till then were struggling to find an alternative for makeup which could hold against thetropical weather of Vietnam which causes smudged makeup, oily skin and large pores exposing Lemonade Cosmetics is a cosmetic brand for Vietnamese women This brand is considered,researched and summarized based on the experience of more than 10 years in the makeup field ofthe founder, Quach Anh She offers optimal beauty solutions which are advantages, effectivenessand most suitable for all Vietnamese women.

2.1.1 Strengths

Strengths are defined as what each business does best in its gamut of operations which cangive it an upper hand over its competitors The following are the strengths of LemonadeCosmetics:

Association with the fashion business/ fashion show: The cosmetics major Lemonade wasinitially made for professional models and their programs where they could withstand

customers who are models, stylists, professional makeup artists, photographersintroduced the brand to key influencers of the fashion world like designers and editors ofpopular fashion magazines Those people become KOLs and influence cosmeholics.

Employees: The employees of makeup are selected with a lot of attention to detail Theemployees are primarily makeup artists or professionals who have had the direct orindirect connection and experience in the makeup industry Which makes them not justexperts in the domain but also prospective customers or influencers.

The wide range of Products: Lemonade Cosmetics offer a wide range of lipsticks such asmatte, cream, gloss, They also have mineral-based makeup in each of these categoriesand most of their makeup is available in lotion as well as powder forms, which is suitablefor a variety of skin types such as oily skin and dry skin

Unique Lipsticks: Lemonade cosmetics are well known for their lipsticks which havebeen characteristically designed exclusively for the brand Some of the unique featuresinclude the lemon symbols and texture The packaging of all Lemonade cosmetics insignature yellow cases is also a characteristic feature of the brand.

Suitable for Asian skin tones: Lemonade Cosmetics are based on research done on notonly Vietnamese but also Asian The cosmetics are completely suitable for all tones,particularly yellow skin

Makeup for multiple segments: In terms of lipstick, Lemonade has launched don linessuitable for many types of lips (Thin Lips, Wide Lips, Small Lips) Though Lemonadewas meant for women, the vibrant colors and bright hues made the brand appealing to ayounger audience Lemonade does research on all its products to ensure that they are

even men.

Ability to adapt to new demands: The Lemonade Cosmetics are finding it adaptable tochanging market demands The cosmetics sector is filled with a large number of playersand the market is highly fragmented The ability to match up to changing demands ispositively affecting the market position of this brand.

Physical store: Currently the brand only provides online sales channels such as Tiki andShopee, there is no official store, which makes it difficult for buyers to test lipstick beforebuying.

Compared with the cosmetics brands in the world in general and in Vietnam in particular,Lemonade was born quite late Therefore, many buyers are familiar with foreign cosmeticbrands that were born earlier (MAC, Blackrouge, 3CE) or in Vietnam (LipIce SheerColor, Ofelia).

Opportunities refer to those avenues in the environment that surrounds the business onwhich it can capitalize to increase its returns Some of the opportunities include:

who use makeup on a regular basis has increased With the growth of online shoppingpeople are willing to experiment with new looks and invest heavily in branded cosmetics.This is a huge opportunity for beauty companies.

Regional orientation: In many of the emerging economies like India or China the makeupis related to traditional occasions which means that the regional orientation is crucial IfLemonade can think in terms of each region the opportunities will scale up for thebusiness.

Organic makeup: More and more customers are concerned about the health risks in theusage of makeup with chemicals in them This is affecting the sale of cosmetics brands ingeneral.

2.2 Goals

The founder of Lemonade is Quach Anh, who is known as the Vietnam Witch of Makeup Shehas always had a dream of bringing true beauty to Vietnamese women She hopes womenbecome more confident and empowered Therefore, Lemonade's lipstick is a testament to QuachAnh’s effort and desire to make up Son Lemonade is built on more than ten years of experience

This brainchild has affirmed its position and became a hit in the Vietnamese cosmetics market

In particular, her goals are clear through each message of the product lines When all arestraight to the beauty of women like "Beauty is a superpower and anyone can own” through the "Super Natural" line, is Quach Anh's desire: Create positive energy and evoke the inherentconfidence of women

Recently, however, with a propensity for LGBT, Lemonade also openly supported andofficially added the LGBT community to the brand's target audience Lemonade is the firstVietnamese brand to support this community Perhaps, this is the humanistic goal that Lemonadewants to aim for.

Quach Anh also shared: "Lemonade is like a dream that Anh has cherished after ten years asa makeup artist to bring the best quality products to young people from students to office girls tohave "value for money" products at "affordable prices"? " She hopes Lemonade can reach manywomen of many ages, bringing beauty to them no matter what.

Lemonade's goal now is to become the number one choice in Vietnam Quach Anh is activelydoing that when cooperating with showbiz queen Dong Nhi to expand product coverage anddevelop brands.

Lemonade has a strong cornerstone and is a genuine brand of Vietnamese women's apparel.However, a lot of effort is still needed when Ofélia and M.O.I are formidable opponents forLemonade to lead the Vietnamese lipstick market.

3.1 Overview

Objective: Established by a famous makeup artist Quach Anh, Lemonade Cosmetics aim to

bring true beauty to all Vietnamese women.

Segment: Lemonade focuses mainly on young female customers, who can be students or office

girls

Positioning: The brand has positioned itself by lifestyle as it is supposed to be one of the

Vietnamese cosmetics target to middle-class customers Lemonade is also the first Vietnamesebrand to support LGBT community.

PERFECT COUPLE LIP: Lemonade's first collection, PePePerfrfrfecececttttt Couple Couple Li CoupleLiLippppp, was officiallylaunched at 11:59 p.m on September 5, 2018, stirring up the Vietnamese beautycommunity, bringing a new breeze and resonating in the Vietnamese lipstick market Themessage of this campaign is to encourage Vietnamese women to be positive andconfident.

PERFECT COUPLE LIP LOVE EDITION: titled 𝗣𝗲𝗿𝗳𝗲𝗰� 𝗖𝗼𝘂𝗽𝗹𝗲 𝗟𝗶𝗽 𝗟𝗼𝘃𝗲 𝗘𝗱𝗶�𝗶𝗼�with 5 lip colors chosen by singer Dong Nhi inspired by his 10-year love journey,together with LIP_FILLER to help fill lip grooves, light lip balm gentle and helps thelipstick to be extremely standard.

WANT IT GOT IT: Collection 𝐖𝐀𝐍� 𝐈� 𝐆𝐎� 𝐈� 𝐋𝐢𝐩𝐜𝐫𝐞𝐚� & 𝐃𝐮𝐚� 𝐄𝐲𝐞𝐛𝐫𝐨� with thecriterion - "LIKELY LIKE, WANT TO BUY" includes 7 colors of ultra-light lip gloss andtwo-headed double eyebrow mascara Dual Eyebrow with a very chestnut price for socksEveryone, so that everyone can own themselves a quality lipstick / eyebrow withouthesitating on price.

SUPERNATURAL: The newest collection of Lemonade Cosmetics with the slogan“When being beautiful is also a superpower” brings customers 5 lipsticks related to 5superpowers that all the women always wished.

3.2 “SUPERNATURAL” Campaign Analysis Big idea

Build 5 lip colors corresponding to the superpowers that women always wish to have such asMind Control, Forever Young, Angel Wings, Super Strong and Hot As Fire This campaign aimsto help women find their inner superpower to become even more beautiful.

Strategy