IMC Gp1
IMC Gp1
Beauty Products
Group 01
Harshpreet Singh Sibbal (2021MBA029) | Utsav Khemka (2021MBA040) | Yukta (2021MBA066) |
Saloni Gupta(2021MBA077) |Meera Choudhary (2021MBA080) | Ayon Bhattacharjee (2021MBA087) |
Kshitij Kaushal (2021MBA104)| Deepak Kshirsagar (2021MBA105)
Introduction
Amorepacific Corporation is a South Korean beauty and cosmetics chaebol, operating more than 30
beauty, personal care, and health brands including Sulwhasoo, Laneige, Mamonde, Etude,
AMOREPACIFIC and innisfree.Their concept is traditional beauty with a rich Asian Heritage aiming to help
women to achieve health and beautiful lifestyle. They covered segment ranging from entry-level through
premium and luxury.
APHK is built on four competences - customer engagement, brand aspiration, team loyalty, and operational
efficiency
● 1945 Founded ● 1971 Initiated Korea's ● 1991 Refocus on Beauty ● 2002 Launched Laneige
● 1954 Korea's first first makeup campaign & Health business in Hong Kong
cosmetics R&D center ● 1973 Company goes ● 1992 Declared ● 2004 Announced Global
● 1964 Adopted door to- public Management Philosophy Vision 2015
door sales method ● 1990 Opened office in ● 1993 Declared Total ● 2006 Holding company
Paris, France Commitment initiatives restructuring
Problem Identification
● To set the media mix and budget for APHK's four makeup and skin care brands: ETUDE
HOUSE, LANEIGE, Sulwhasoo, and AMOREPACIFIC.
● As, tourists shopping in Hong Kong from mainland China comprised over half of the company's
sales. However, in the face of a declining number of tourists and the shrinking of luxury goods
spending, the managing director had to consider the marketing tools in the customer decision
journey; competitive positioning; and the distribution of the marketing budget between
traditional and digital channels in the upcoming bi-monthly campaigns.
● She need to strike an appropriate balance between recruiting new customers and retaining
existing customers within APHK's overall strategy for Greater China.
Portfolio of 4 Products company launched in Korea
Paid Media
Owned Media
● Campaign for APHK of
highly successful TV
● Press release, website
Commercials to promote
to transmit information
their product
about its brand
● Used traditional media
● Online social platform to
especially for luxury
update consumer about
brands
Earned Media its brand
● Use of Facebook to
show relevant brand-ads
● Once they pooled entire
budget to publish a 10-
page ad in Hong-Kong
beauty magazine to
educate consumers
Core competency of APHK -
LIKINGS
AWARENESS COMPREHENSION
Content & buzz
TV commercials, Mainly print ads,
marketing ,
print ads, outdoor online social platforms,
Earned media
billboards press releases
exposure
ACTION
Point of purchase HABIT
marketing, providing Digital media
most direct channels
eg. in-store experience
Different forms of traditional and digital marketing communication tools were used for five
AP brands marketed in Hong kong with respect to different stages of consumer decision
journey
Budget Allocation -
● APHK allot their budget on advertising campaign basis ( each year company run six campaign
roughly)
● With changing media environment and consumer media consumption , APHK always check
through which channel consumers are getting their information
Recommendation -
● APHK should keep checking the current market trend of consumer media consumption pattern
and accordingly decide on platforms to promote their products
● Company should spend more on Acquisitions or should focus more on Partnering with niche
companies. Also, it will reduce the R&D costs
● Company should focus on the rural areas in terms of establishing brand name loyalty,
awareness, and equity, such can be done by producing a specific brand name allowance
strategy through trade marketing techniques, that draw clear distinction in between
Amorepacific Hong Kong Marketing Korean Beauty Products products and other rival items
● Upscaling the offerings in other classifications such as nutrition & more healthier products.