teenagers in the UK

Topics: Cosmetics, Organic food, Marketing Pages: 34 (6482 words) Published: February 23, 2014
Lush
“Happy people making happy soap”

EXECUTIVE SUMMARY

Lush Marketing Plan

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I.

Situation Analysis

Lush Products and Services:
Creators of Lush have been working together to craft their handmade cosmetics since the 1970’s, but not under the name Lush. Luckily in 1994 the company was able to recreate itself and reopened its doors as Lush Inc. Their headquarters are in Poole, England where they really changed the bathing world by introducing the public to new bath products such as Bath Bombs, Shampoo Bars and Massage Bars. Lush offers organic hair care, shower care, skin care and body fragrances. 1 The company was an instant success in England and now they have over 600 stores in 43 different countries. Lush believes in “happy people making happy soap.”

Industry Analysis:
Lush Inc. is a privately held company based in Poole, England. The company manufactures and has a market of personal health care products and gifts. There is no industry yet for organic cosmetics, which Lush ultimately falls into, however, Lush advertises itself as a cosmetic company. Thus Lush falls into the industry of cosmetic, perfume, or beauty supply stores that primarily engage in retailing cosmetics, perfumes, toiletries, and personal grooming products. 2 In 2002, there were 10,786 cosmetic, beauty supplies and perfume stores in the United States.3 Also in 2002, the cosmetic industry

1

Marketline, “Lush Limited,” Marketline, http://0www.marketlineinfo.com.library.simmons.edu/library/iProduct_product.aspx?R=245B70 E6-7273-4999-B1D9-20D8B0C6BC2A&s=IDA0MYO (accessed October 13, 2010) 2

U.S. Census Bureau, “NAICS 44612: Cosmetics, Beauty Supplies, and Perfume Stores,” U.S. Census Bureau. http://www.census.gov/epcd/ec97/def/44612.HTM (accessed October 13, 2010)
3
Bobby E. Russell, “Health and Personal Care Stores: 2002” U.S. Census Bureau http://www.census.gov/prod/ec02/ec0244i06.pdf (accessed October 13, 2010)

Lush Marketing Plan

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made about $6,700,460 in sales.4 Since 1997, the industry has grown by at least one thousand establishments and over 2 million units in sales. The industry will likely continue to grow at the same kind of rate or steady out in the near future. There are many trends emerging in the health care product world. In 2009, there was a 3% increase in bath and shower products in the United States. 5 Unfortunately, it seems as if the demand for bar soaps is decreasing while gel and liquid soaps are gaining popularity in the industry. In addition, other bath products that you add to your bath such as bubble soaps have begun to decline. However, male bath products have become popular within the last couple of years and have started to emerge in the industry with strong potential.

There are many parts of Lush that make it a unique company and help it stand out from the rest of the cosmetic world. Lush is one of the few companies that use completely organic materials to make their products. In addition, Lush makes all their products by hand instead of mass production to ensure all their products are always fresh. Lush wants their products to be made personally by their employees instead of having production lines and large factories full of machines. Organic Cosmetics is an up and coming idea. Lush seems to be way ahead of the rest of the industry, not just in their actual products they are producing, but also in the way they package. The entire company is green from their stores, factories, and offices to the products they sell.

4

Bobby E. Russell, “Health and Personal Care Stores: 2002” U.S. Census Bureau http://www.census.gov/prod/ec02/ec0244i06.pdf (accessed October 13, 2010) 5
http://0-www.portal.euromonitor.com.library.simmons.edu/Portal/ResultsList.aspx

Lush Marketing Plan

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This is the perfect time for Lush to re-launch themselves into the public eye. Going green and using organic products are one of the most significant issues today. Lush is one of the few...
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