As a result, producers of ordinary beauty products items can achieve economies of scale, which helps them increase their profit margins even if they sell their produce at lower prices. However, since beauty products items produced using organic methods of production give their natural yield their output is less and therefore they are slightly more costly then the ordinary beauty products items.
Considering the economic constraints it will be difficult for Natural Way Products to price its products lower than ordinary beauty products items. However, there is one plus point that the company enjoys. All other major brands that deal in herbal beauty products such as the Body Shop are very high priced not only because of being organic but also due to its high brand image (Kapferer, 2008). Natural Way can price its products higher than ordinary beauty products but lower than competitor's price, thus still making a profit. This will attract consumers who do not use herbal products despite of their willingness to do so because of lack of affordability.
Place
Natural Way products must be stocked at all major beauty shops. The product can also be sold at major spas and beauty salons (Kotler, & Keller, 2008). This will be a good idea to increase the sales as one's personal beautician stocking a product might make a customer trust the product.
Promotion
Natural Way Products will be using a combination of promotion strategies including both above the line and below the line methods. Local television channels and newspapers will be used to promote the shop. Direct Mail will also be used.
As the primary marketing objective of Natural Way Products is to promote healthy skin care practices informative promotion strategies will be used to create awareness (Keller, 2003). Public Service Messages will be made part of Natural Way's advertisements that will be aimed to spread the awareness about health hazards of promoting conventional beauty products. This will be done with assistance of local dermatologists and medical experts. This will not only increase the revenues for the shop,...
The shop's tagline, "Think Organic. Eat Organic" will also promote the idea that it is essential to consume natural beauty products in order to have a healthy lifestyle. Natural Way Products will promote the idea that it is better to spend a bit more amount of money on grocery to buy a healthy lifestyle. If health is compromise in order to save on pockets than one might end up incurring larger expenditures in the form of hospital bills.
Conclusion and Recommendation
Natural way although is dealing in product which has a limited number of competitors, the product however faces tough competition from few a couple of established firms such as the Body Shop. The Body Shop has used its name, packaging and all other promotional strategies that gives the brand a 'natural' image. With a name such as Zaras, Natural Way severely lacks that image and therefore will have to change its brand name. However, in order to save itself from the loss of identity, the new brand name must be associated with the parent brand name Nature Way. The advertisements can be used to suggest that the change in brand name and packaging is because of the product's new and much more improved formula. This will trigger more sales.
The men's line must be launched using the same marketing strategy and brand name as the women's line. This is because a new brand name would mean a complete re-launch of the company thus resulting in extra marketing costs (Toole & Donaldson, 2002). Moreover, using an already established brand name would help to easily convince the customers.
References
Kotler, P. & Keller, K. (2008). Marketing Management. USA: Prentice Hall
Toole, T. & Donaldson, B, (2002). Strategic market relationship. New York: John Wiley and Sons Ltd..
Doyle, P. & Bridgewater, S (1998), Innovation in Marketing, United Kingdom: Oxford.
Kapferer, J. (2008). The New Strategic Brand Management. USA: Kogan Page.
Keller, K. (2003). Strategic Brand Management. USA: Prentice Hall.
