Table of Contents
- Evaluation of the industry
- Trends in the organic skin care and foods markets
- PEST Analysis
- SWOT Analysis
- Revamping marketing strategy
- Ansoff Matrix – Growth strategy evaluation
- Staffing and the legal status of the business
- Altering distribution strategy
- Mid-term strategic opportunities
- Long-term strategic opportunities
Evaluation of the Industry
Profitability has been gained by the sustainable food and skin care sectors when customers are hungry for goods that will offer them enriched and safer lifestyles. As such items are being correlated with expectations of consistency relative to non-organic ones, natural/organic products are becoming more appealing to several different customer demographics. The common assumption is that additives found in non-organic goods are counterproductive to upholding high health and wellness levels (EI 2014). In organic skin care products and foods, certain beliefs from many customer demographics underpin development. This is one of the most fundamental advantages of supplying customers with organic goods and skincare items: in several various customer sectors, there is a pre-existing collection of perceptions and expectations that they are less toxic than non-organic products.
Leonard (2011) indicates that the organic makeup sector has moved from just a small product range to being sold in large retail stores and even hypermarkets on more conventional platforms. This has been a result of years of changes to marketing delivery and brand promotions. With more and more buyers connecting quality with sustainable personal care goods and more flexibility by being accessible on various platforms, enterprises are now seeing greater profitability potential. The response of several businesses selling organic goods illustrates that there are substantial long-term prospects to capture large target segments.
The overall demand for organic skin care in 2012 was worth $7.6 billion USD (Patterson 2015). By 2018, the whole sector is projected to hit a growth rate of 9.6 per cent (Pitman 2013). The UK rates as the eighth largest market for sustainable cosmetics and personal care goods, though a smaller market than Asia. Falk and Benson (2008) claim that the UK government has been instrumental in encouraging many customer sectors to consider the discrepancies between personal care goods dependent on chemicals and organic products that produce higher levels of demand for these items (and improved expectations of value). Therefore, all signs are that the UK’s organic skin care and personal care commodity market is optimal for development and profitability where there is observable desire and confidence in the nature of these goods. As a whole, Europe constitutes the second largest demand for organic skin care goods in the world.
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