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AVON Case Study
Avon Inc., a 115-year-old company, which manufactures and markets beauty and beauty related products, is known to have built its success globally through direct sales. In fact, Avon's strength has always been the "Avon lady," a nation wide force of women sales representatives trained in the art of customer relationship building. Recently, however, Avon's sales have seen a dramatic drop that has largely been attributed to the company's failure to keep pace with the Internet revolution. Indeed, the realization that the World Wide Web has redefined direct selling has led the company into formulating plans to harness the power of the Internet to improve its sales, customer relationships, and operational efficiencies.
It is widely recognized that the Internet has the power to substantially increase a company's market reach and supply chain efficiencies. In fact, in a day and age when online services and shopping are proving a boon to working women, it appears that Avon's continued dependence on its...
As such, the facts indicate that the company has missed the Internet revolution and is now attempting to catch-up. Indeed, this is evident in its plans to bring in the Internet as a support sales channel, and develop a worldwide intranet and extranet. The challenge that Avon faces, though, is to develop an Internet strategy that does not undermine the strength of the "Avon lady" as the ultimate channel for personalized customer attention and relationship building.
Avon's need is to ensure that it maintains the support of its 3 million strong sales force globally, while motivating them into harnessing the potential of the Internet to drive sales and customer relationships. This means that Avon's Internet strategy must work in tandem with the efforts of its sales representatives. Therefore, Avon's offer to assist sales representatives in creating their own Web sites to showcase Avon's offerings and generate sales makes imminent sense. Further, Avon's own…
AVON Products Case Study AVON PRODUCT CASE STUDY Avon Products Inc. is a global company specialize in the production of women consumer products. Founded by David H. McConnell 122-year ago, Avon Product started with the distribution of sample perfume, and based on the success David H. McConnell realized from the sales of perfume, David H. McConnell concentrated on the sales of diverse women consumer products. Presently, the company has grown to become
AVON Product Case Study Analysis Avon Products Case Study Analysis Avon Products was founded in 1886 by David H. McConnell, a door-to-door book salesman who had a knack for making perfume. As the company grew, it took on a regional approach to business and was one of the first pyramid-styled businesses, allowing agents the ability to maximize their success within the company. Up until 2005, the company was growing and very healthy.
Andrea Jung's Makeover Of Avon Products Business CASE STUDY ANDREA JUNG'S MAKEOVER OF AVON PRODUCTS, INC. Avon is a well-known and well-established company that has struggled to maintain financial health over the past decade. Under new leadership, a turn-around has begun. An in-depth industry analysis identifies several internal and external considerations for the company, such as the effects of globalization, the benefits of technology, the strength of the existing direct-sales model, brand recognition
This strategy of investing face-time has continued to scale extremely well in the U.S., yet has faced many challenges in other nations that value data, hard numbers and strong methodologies to validate the claims of products. One nations' buyers of cosmetics in particular, the Japanese, are more focused on the specifics of the how a product is produced and want to know in great detail what the ingredients are
The ability to create a makeup palate that is suited to the consumer's specific beauty needs, to create a unique image of beauty that is healthy and an enhancement of one's natural beauty should be the focus of a redesigned Avon site. Conclusion Avon is a classic product in the United States -- someone in 'your' family may have sold Avon, long ago. Although door-to-door sales is no longer lucrative, and
As a result of the implementation of this pricing strategy, whenever a modification is incurred in the price of the commodities used in the process, this modification is reflected in the products' retail prices. In other words, when the costs of manufacturing and distributing the AVON cosmetics increase, the retail price of the products will also increase. Vice versa, as the costs decrease, the retail price would decrease. The second