Avon’s Anew Competition

Avon Company’s Anew Product Competition As the world’s leading mass market anti-aging skin care brand, (Avon Products, Inc. , 2010), Anew offers breakthrough products infused with innovative technology at affordable prices. Avon revolutionized the skin care line in 1992, when it was the first company to launch an anti-aging product containing Alpha Hydroxy Acids, which was Anew Perfecting Complex for Face.The Anew brand boasts an assortment of skin care products that fight all stages of the aging process, whether you are in your 20s trying to keep your skin looking your, or in your 50s, trying to restore a more youthful skin texture.
The Anew product line is also well-known for pioneering products that serve as at-home alternatives to professional cosmetic treatments. Founded in 1886, Avon Products, Inc. (2010) is the world’s largest direct seller of beauty and beauty-related products. With $10. billion in annual revenues in 2008 (up 8% from 2007), Avon and its approximately 42,000 associates serve customers in more than 100 countries worldwide. Their primary distribution channel is direct selling by their more than 5. 8 million Avon Sales Representatives.
Together, these “Avon ladies,” as they are affectionately known, help reach millions of customers around the world and handle upwards of one billion transactions annually. By utilizing this market strategy, Avon is very successful in reaching both markets, the 20 somethings and the 50 somethings.They also use innovative advertising promotions, both online and television ads, in reaching these markets. Avon’s products face intense competition (2010), from companies like L’Oreal, Estee Lauder and Revlon, in all of its markets from both global and regional mid-end brand personal care products. To combat competition and improve brand recognition in US and global markets, Avon launched a Turn-around Plan in 2005 that included strategic initiatives to reduce costs, increased advertising spending, improve product quality, and improve sales profitability.The company expects an annualized savings of $430 million when the plan is completely implemented in 2011-2012 as well as improved market share and increased sales performance. While the majority of Avon’s competitors distribute their products to resellers such as department stores, drugstores, or cosmetic stores, Avon sells its products solely through its direct-selling channel of independently-contracted Active Sales Representatives and through its online website.

The media has a very powerful influence in the lives of all people (eHow, Inc. , 1999-2010).The beauty industry, including Avon, markets to women with difficult goals of trying to stay young and attaining a physical appearance that may never actually be met. The effects are far reaching and include the amount of money spent on the beauty industry. The beauty industry markets to women about being or becoming more beautiful. The industry benefits economically from women feeling less than whole, so they will purchase the products to become better. Women relate to their bodies through the thoughts they think and the behaviors that stem from those thoughts.
As a woman grows, her body image is developed through personality, family, society and media influences. The beauty industry influence on the body image of women contributes to the way a woman sees herself physically. The beauty industry is a business, and as long as consumers buy into the reasons for the business it will be profitable.REFERENCESAvon Products, Inc. , (2010). Retrieved from http://www. avoncompany.
com/brands/skincare. htmleHow, Inc. , (Copyright 1999-2010). Retrieved from http://www.
ehow. com/about_6693877_influence-beauty-industry-women. html

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