Trend Analysis and Recommendations for Amorepacific

------------------------------------------------- ____________________________________________________________________________________ ------------------------------------------------- Memorandum To: Partners and Senior Consultants of Naib-Zoob Consulting From: Date: RE: Achieving Amorepacific’s growth objective by adding a product line in the U.S. and expanding to Brazil ______________________________________________________________________________ Since 2008, the economic downturn has slowed down the pace of the development in the cosmetic industry. Amorepacific Corporation, a Korean based cosmetics manufacturer, also earned much lower revenue than expected. I analyzed the changes in industrial trend and developed†¦show more content†¦Therefore, taking different distribution channels would be more effective. In my opinion, the company should distribute its new products through drug stores and online channels. * Recently, CVS and Walgreens focused more on their beauty departments and added more exclusive product lines (â€Å"Global Cosmetics† 44). * Many Americans are â€Å"nesting† at home and spending more time online (â€Å"Global Cosmetics† 46) * Promotion: Word-of-mouth marketing through electronic media Customers become better informed. Regarding to cosmeceutical products, consumers care more about functionality of product. The best way to assure product’s functionality is sharing experience. Therefore, word-of-mouth marketing strategy is effective. The company may use social media including beauty blogs, Facebook, and Twitter. * Mac has over 1.5 million fans on Facebook (â€Å"Beauty† 31). * Beauty blogs provides a more personal interaction for making purchase decision (â€Å"Beauty† 31). Mobile application is another strong method to interact with customers which drives sales online or in store. * The latest L Orà ©alParis app gives more information of the products when people scan the products (â€Å"Beauty† 32). 2. Expanding to Brazil The performance of various brands of Amorepacific Corp in the emerging market – China and several Southeast Asian countries – is noteworthy. The success in those markets is the reason that the company can sustain its growth in spite