Profit
Profit was on the table this week, with money and economy being the core of society, profitability of a company is essential. Marketing and brand management were heavily discussed in addition, how to mix art and creativity with business and profitability. In terms of the cosmetic industry, it brought in $100.5 billion worldwide for 2022(Killip, 2022). The market is also predicted to grow 6.85% per year from 2022-2026 (Killip, 2022).The various sectors of the cosmetic industry are Skincare/suncare products ,hair care,deodorants/fragrances, and makeup/color cosmetics(Rajput, 2021). In terms of their performance the biggest sector is skincare/suncare products (Rajput, 2021).Skincare reigns above the other sectors due personalized skincare trends, a wide variety of products, and active ingredients that have healed many people’s skin(Grand View Research, 2019). However, the haircare branch of cosmetics is estimated to grow, due to hair color change trending and hair and scalp issues rising (Grand View Research, 2019).Due to the giant market that is the cosmetic industry, many brands struggle with competition , in addition to uncertain economic times, focusing on strategy, content building, and understanding consumer behavior are recommended (Clausen, 2020). Other strategies like personalization , focus on trends , and localized production are also encouraged (Barnes , 2022).Function of Beauty is an example of a focus on personalization . Their brand is made to order hair care, based on the customer’s hair type and hair concerns(Function of Beauty, 2019).Another example is the brand Shiseido Japan, their focus was on localized production.This was accomplished through going online and opening up a flagship store. (Barnes , 2022).While making money is important to a brand, creativity is also essential. Creative directors bridge this gap, they manage the vision for the brand,align it to trends, and the current market (Mitterfellner, 2023). This job is important as keeping up with trends while still maintaining a brand image is key to success.Creative directors usually do multiple jobs in one, they are the brand ambassadors, the brand’s visionary and manager of multiple teams (Mitterfellner, 2023). In the world of fashion,Karl Lagerfield is a well known Creative dictator, he worked with Chanel and Fendi. Making their brands what they are today, from designing ionic logos like the “FF” for Fendi, or brand ambassador for channel( Mitterfellner, 2023).
Bibliography
Barnes , S. (2022). How Can Beauty Brands Prepare For An Economic Downturn? [online] Fashion Industry Data and a Point-of-View. Available at: https://stylesage.co/blog/beauty-brands-economic-downturn/[Accessed 21 Oct. 2023].
Clausen, E. (2020). Council Post: Marketing Rules To Follow During Uncertain Economic Times. [online] Forbes. Available at: https://www.forbes.com/sites/forbesagencycouncil/2020/04/03/marketing-rules-to-follow-during-uncertain-economic-times/ [Accessed 19 Oct. 2023].
Function of Beauty (2019). Hair Care | Individually Filled | Function of Beauty. [online] Function of Beauty. Available at: https://www.functionofbeauty.com/(accessed October 21 2023)
Grand View Research (2019). Cosmetics Market Size & Share | Global Industry Analysis Report, 2025. [online] Grandviewresearch.com. Available at: https://www.grandviewresearch.com/industry-analysis/cosmetics-market.(accessed 19 October 2023)
Killip, S. (2022). Beauty & Cosmetics Market Size: Growth and Industry Trends| Attest Blog. [online] Attest. Available at: https://www.askattest.com/blog/articles/beauty-cosmetics-market-size#:~:text=In%202022%2C%20worldwide%20revenue%20from. (accessed 16 October 2023)
Mitterfellner, O. (2023). Luxury Fashion Brand Management. Taylor & Francis.
Rajput, N. (2021). Cosmetics Market. [online] Allied Market Research. Available at: https://www.alliedmarketresearch.com/cosmetics-market (accessed 19 October 2023)