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”​ I think Rare Beauty can be

more than a beauty brand—it


International Marketing can make an impact. I want us
Dr. La Foresta all to stop comparing ourselves
Spring Semester 2022
to each other and just start
Avinash Pal embracing our own
Eftychia Lampridou
Shayan Karimzadeh uniqueness.”
Agenda
1. Rare Beauty
2. Rare Beauty’s Current
Marketing Strategy
3. 4 Ps of Marketing
4. Macro-Environment in
Marketing
5. PESTEL Grid
6. SWOT Analysis
7. Micro-Environment in
Marketing
Founded: September 2020 Founder: Selena Gomez

Rare Beauty
Country of Origin: Southern
Industry: Cosmetics Californian, USA (incorporated in
DELAWARE)

Vision: Create a safe, welcoming


Mission: Help everyone celebrate
space in beauty—and beyond—
their individuality by redefining
that supports mental well-being
what beautiful means and
across age, gender identity, sexual
promote self-acceptance and give
orientation, race, cultural
people the tools they need to feel
background, physical or mental
less alone in the world. ​
ability, and perspective.
Rare Beauty
Products
• Cosmetic Products such as
make-up, mascara, blush, eye-
liner, primers, etc.
• Cruelty Free
• Vegan
• Collaboration with Sephora
Website  rarebeauty.com

Current Shops  Sephora Shops (globally) &


Marketing SpaceNK (UK)

Strategy TikTok  @rarebeauty & @selenagomez

Instagram  @rarebeauty &


@selenagomez, make-up influencers

YouTube  Rare Beauty, make-up


influencers
Current Marketing Strategy – Website
Current
Marketing
Strategy –
Sephora
Current Marketing Strategy – TikTok
Current Marketing Strategy –
Instagram
Promotion: on social media (Instagram, TikTok,
LinkedIn, etc.), Google Ads, Facebook Ads, Make-Up
Influencers, Sephora Website, Website, etc. SG
promotes Rare Beauty by posting about the brand on
her social media accounts and is featured in a lot of
posts for Rare Beauty’s social media accounts.

4 Ps of Product: makeup products for the face, lips, and eyes


(make-up, eye-liner, eye shadows, blush, brushes, bronzer,
concealer)

Marketing
The four Ps of marketing are the
Price: Prices for Rare Beauty’s makeup products range
key factors that are involved in from $14-$29. They are more expensive compared to
the marketing of a good or drugstore makeup brands but cheaper than luxury brands.
service. They are in line with their celebrity competitors.

Place: A Worldwide Brand, available on Rare Beauty’s


and Sephora’s e-commerce website, and the physical
Sephora Store
Demographic forces

Economic factors

Natural/Physical forces

Technological factors

Macro- Political and Legal forces


Environment
Social and Cultural forces
PESTEL Grid • A PESTEL analysis is a
framework or tool used by
marketers to analyze and monitor
the macro-environmental (external
marketing environment) factors
that have an impact on an
organization, company, or
industry.
• It examines the Political,
Economic, Social, Technological,
Environmental, and Legal
factors in the external
environment.
• A PESTEL analysis is used to
identify threats and weaknesses
which are used in a SWOT
(Strength, Weakness, Opportunity,
and Threat) analysis.
Political
These are all about how and to what
degree a government intervenes in the
economy. This can include – government
policy, political stability or instability in
overseas markets, foreign trade policy,
tax policy, labour law, environmental
law, trade restrictions and so on.

United States–Mexico–Canada
Agreement (Free Trade Agreement)
All cosmetic products exported by U.S.
companies to the EU must comply with
the EU Cosmetics Regulation.
Economic
Economic factors have a significant
impact on how an organisation does
business and also how profitable they
are. Factors include – economic growth,
interest rates, exchange rates, inflation,
disposable income of consumers and
businesses and so on.

Currency Volatility
Differential pricing according to
different geography
Social
Also known as socio-cultural factors, are the
areas that involve the shared belief and attitudes
of the population. These factors include –
population growth, age distribution, health
consciousness, career attitudes and so on. These
factors are of particular interest as they have a
direct effect on how marketers understand
customers and what drives them.

pledged 100 million dollars over the next


10 years to to mental health services
1 percent of annual Rare Beauty sales will
go right to the Rare Impact Fund.
Technological

We all know how fast the technological landscape changes and how this
impacts the way we market our products. Technological factors affect
marketing and the management thereof in three distinct ways:
- New ways of producing goods and services
- New ways of distributing goods and services
- New ways of communicating with target markets

Deal with Sephora


Influencer Marketing - When Rare Beauty launched, the first people
to try it out were talking about how great it was, which influenced
others to buy and try out the products themselves.
Instagram & TikTok presence
Legal
Legal factors include - health and safety, equal opportunities,
advertising standards, consumer rights and laws, product labelling
and product safety. It is clear that companies need to know what is
and what is not legal in order to trade successfully. If an
organisation trades globally this becomes a very tricky area to get
right as each country has its own set of rules and regulations.

 Personal Care Product Safety Act


 EU Regulation (EC) N° 1223/2009 key European legislation
governing finished cosmetics products in the EU
 Rare Beauty files lawsuit following threats from similarly
named brand
Environmental

These factors have only really come to the


forefront in the last fifteen years or so. They have
become important due to the increasing scarcity of
raw materials, pollution targets, doing business as
an ethical and sustainable company, carbon
footprint targets set by governments (this is a good
example where one factor could be classed as
political and environmental at the same time).
These are just some of the issues marketers are
facing within this factor. More and more consumers
are demanding that the products they buy are
sourced ethically, and if possible, from a
sustainable source.
“We’ve made a conscious effort to limit waste wherever
possible, but we know we have a long way to go. We’re
working hard to do better, and plan to gradually
introduce post- consumer recycled materials into our
packaging beginning in late 2021.”
• Outer Packaging 100% recyclable boxes are made from responsibly sourced,
FSC-certified materials, and printed with water-based ink.
• Shipper box  Made from recycled fiber, is FSC (Forest Stewardship Council)
certified, and 100% recyclable
• Welcome card  Made from recycled fiber, is FSC certified, and 100%
recyclable
• Tissue  Made from recycled fiber and is 100% recyclable
• Tape 100% recyclable
• Foam A unique, natural, environmentally friendly packaging material made
from corn that dissolves with water. It is also compostable and should dissolve in
60 days or less in a moist soil environment.
• Reuse  Give that protective drawstring pouch a new life! Made of durable cotton
canvas, it’s perfect for taking your Rare Beauty favorites with you on the go.
• Cruelty Free  no testing on animals
SWOT Analysis • SWOT (strengths,
weaknesses, opportunities,
and threats) analysis is a
framework used to evaluate
a company's competitive
position and to develop
strategic planning.
• A SWOT analysis is
designed to facilitate a
realistic, fact-based, data-
driven look at the strengths
and weaknesses of an
organization, initiatives, or
within its industry.
Strength:
Brand name (association with
Selena Gomez)
Cruelty-free and animal-friendly Weakness:
products Price (even though it is on par with
Great marketing strategies: (strong other celebrity make-up lines, there
online presence) are still more affordable
Packaging (sustainable and high- alternatives)
quality) Focus on US and European beauty
Inclusive (many shades for all types standards and make-up trends
of skin)

SWOT Sephora Partnership (available at all


Sephora locations)

Analysis
Threat:
Strong Competition from Big
Opportunity: brands like Kylie Cosmetics, Fenty
Use of other celebrities (potential Beauty, Estee Lauder, L'Oréal and
collaboration with other celebrities) others
Expand to new products Competition from drug store brands
New product launches at big events Change in tastes of consumers
Substitute products
Micro-Environment

SUPPLIERS RESELLERS CUSTOMERS THE THE GENERAL


COMPETITION PUBLIC
Made in South Rare Beauty had Age: 15+ Celebrity Make- Satisfied and
Korea partnered with Gender: 70% Up lines: e.g. supporting the
Made in Italy Sephora Women, 30% Male Fenty Beauty, brand
Target Geography:
(globally), and Kylie Cosmetics,
50% USA, 50%
SpaceNK (UK) Global R.E.M. beauty,
etc.
Traditional
Brands: Estee
Lauder, L'Oréal
Drug Store
brands
1. https://www.professionalacademy.com/blogs/marketing-theor
ies-pestel-analysis/
References 2. https://www.rarebeauty.com/pages/about
3. https://stylecaster.com/beauty/selena-gomez-rare-beauty-revie
w/
4. https://440industries.com/rare-beauty-their-marketing-strategi
es/#:~:text=Rare%20Beauty%20is%20Selena%20Gomez's,16
%2D35%20years%20of%20age

5.
https://blog.oxfordcollegeofmarketing.com/2014/11/04/the-i
mpact-of-micro-and-macro-environment-factors-on-marketin
g/
6. https://www.iedunote.com/marketing-environment#:~:text=T
he%20micro%2Denvironment%20refers%20to,%2C%20com
petitors%2C%20and%20the%20public
7. https://www.investopedia.com/terms/s/swot.asp

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