Market Insight In Brief
This article was originally published in The Rose Sheet
Executive Summary
Kline study: To compensate for sluggish economy, U.S. department store retailers and brands in the U.S. are engaging customers by "marketing directly to [them] with online enticements like bonus gifts and free shipping with purchase," a study by Kline & Company finds. Market research firm identifies Lancome, Estee Lauder and Clarins as three beauty brands that have "stepped up" their marketing. Efforts to appeal directly to customers also include novel technological approaches such as interactive try-before-you-buy applications for the PC and iPhone and sampling programs with vending-machine-like mall kiosks. Kline notes that beauty marketers are under pressure to develop market-specific strategies in order to stay competitive on a global scale. For example, in Brazil, customers are drawn by direct consumer sales, while "fickle" shoppers in more mature beauty markets like the U.S. are lured in by exclusive offers and discounts
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Marketing In Brief
ModiFace launches forecasting tool: Toronto-based virtual makeover firm introduces ShadeCast, a makeup sampling and forecasting tool based on behavioral tracking. ShadeCast is used in conjunction with iPhone application MakeUp, which allows consumers to virtually try on makeup in hundreds of shades from brands including Revlon, Cover Girl, Lancome and Clinique. ShadeCast offers 1,000 cosmetic shades from 40 brands and assigns a ShadeScore "to approximately position the [app's] hottest and most sampled color." ModiFace exec Nikkie Gatto likens the app to radio music playlists, helping consumers "looking to capture the current look, but also provide vital market intelligence to our retail channel partners," she says in Nov. 3 release. "The value of data to demonstrate the aggregate behavior will help the industry predict the latest trends and help cosmetic manufacturers better understand the color and products which most resonate with online and iPhone virtual makeover users," the company says