1. MARKETING n by ALISA MARIE bEyER
MATTERS
The Hit List
The top five crucial initial steps for launching a new beauty business.
L
aunching a beauty business, let alone
a successful one, is a delicate dance of
elements: market research, product
before you can even think about
development and, let’s not forget, good old-
fashioned ingenuity. In fact, launching a
launching a new beauty business,
beauty business requires keeping so many
plates up in the air, it’s easy for new brands
you have to know the marketplace
entering this ring to become overwhelmed
with the details before they’ve even hit the
inside and out.
product development stage. But it doesn’t
need to be this way.
The Benchmarking Company (TBC) attention to your idea in-market? Why might what intelligence will be most beneficial
has worked with large and small brands, she not pay attention? Take time and flesh out to your new beauty business and tailor all
established brands and newbies, and has this idea, and perhaps even consider vetting research efforts in support of this goal.
clearly established that, regardless of the stage it out with a consumer test or study before
of development of your company or product, you start writing checks to the development
houses and PR firms, and you will be way
Step #3: Point Out the Difference
for the best chance of success in the market,
a game plan and a blueprint needs to be in ahead of the pack. Having a point of difference is important
place before too many plates are up in the from a product standpoint, but what about
air. These established plans will guide all the from a business standpoint? How will your
developmental aspects of a new business and Step #2: Know Your Audience/ beauty business be different from the Estées,
new brand. Although the following five steps Know Your Market Almays and Cover Girls of the world? When
are not all the steps that must be taken, they it comes to points of difference, how and
are key building blocks that will help you kick- Before you can even think about launching a where you decide to stake your claim will
off your new venture with a solid foundation new beauty business, you have to first know have a direct impact on every aspect of your
so you can hit the ground running. the marketplace inside and out. Who are business: profits, innovation, development,
the leaders? Who’s entering the arena and growth, creativity and even success. Think
who’s leaving? What products do consumer both creatively and strategically about how
Step #1: Have an Idea, But Not publication beauty editors love—and, more you will both craft this difference and how you
importantly, what products are consumers will share it with your consumer—for which
Just Any Idea buying and what keeps them clamoring for you have more options than ever: packaging
In order for your beauty business to succeed, more? Nearly as important as having a great copy, editorials and most notably, your online
you have to have a truly unique and different idea, have a thorough understanding of the presence. Twitter, Facebook and YouTube are
idea on which to lay the foundation of your competitive market where your new beauty great vehicles to help carve out this difference
entire operation. Have a new beauty business business will ultimately be living and breathing. and maintain it with an incredibly diverse and
idea, but not just any idea. Are you fascinated What are the leaders in your category saying ever-expanding audience. Without a clearly
with runway looks and want to bring them to and doing? What’s the latest innovation or hot defined point of difference, your new beauty
women everywhere? Well, you’d better have new ingredient? How are brands interacting business will never make the splash it needs to
a bigger idea than that because too many with their consumers online? What claims and capture market share and to keep it.
established brands already own that space. results is your competition promising and can
Let your ingenuity and entrepreneurial spirit you match or exceed them?
help guide this step: What’s new, unique or Getting a handle on this vast pool of
Step #4: De-code Your DNA
passionate about your plan? Why will women, information may seem daunting or even To know your business’s point of difference is
and maybe even men, everywhere love and impossible, but by starting with a clear and to capture the very essence and DNA of your
have to have it? Why should a consumer pay focused idea, you will be able to target exactly company. If you stand for technologically
24 Marketing Matters GCI May 2011

2. advanced beauty, then own that category and While creating these branding documents,
own it like no other brand taking up shelf remember the other steps of the process:
space at Sephora or Ulta. Tailor all messaging, your audience and your market; your point
product development and packaging to of difference, and your DNA are key elements
reflect this aesthetic so that when consumers in the creation of brand name, tagline,
see anything connected to your brand, they positioning statements and brand stories. Ask
instantly know it is you. Importantly, once you yourself, “What does my brand stand for?
establish your point of difference and enter What does the name and tagline say both
the market, you must maintain it. about my brand and to the consumer? How
Establish and leverage your point of will my final product fit into the marketplace
difference to foster a positive association and will it have the personality and pizzazz
with this difference and your brand. A great it must in order to capture both interest and
example is Bare Escentuals’ “Swirl, Tap, loyalty?” Are product and brand development
Buff ” point of difference. It could not be efforts synergistic or are they at odds? Keep
co-opted because it is so well established the innovation flowing and your brand
that consumers will think of Bare Escentuals will always be relevant, viable and, more
regardless of another company using a similar importantly, fresh in consumers’ minds.
point of difference.
Also, there exists the very real potential
that you will lose consumers if you are not So, What Else Should a Start-up
true and continually change what you stand Beauty Entrepreneur Do?
for in-market. The target consumers for your
technologically advanced beauty brand, for Exhaustive due diligence. Before one dollar
example, will likely not find or connect to your is spent on packaging, marketing or social
brand if you don’t fully establish or veer from media campaigns, thoroughly vet out your
a technology point of difference and, instead, idea—both internally and with consumers.
tout 100% green, sustainable, vegan beauty. If But not just any consumer—the loyal beauty
you stray into messaging that doesn’t support brand consumer you want, and need, to dazzle.
why you are different in the marketplace, and Test your business and product concepts, run
why they should both believe in and be loyal to consumer focus and trial groups, and really
your brand, they won’t be. listen to what they have to say before you even
think about gondola space or shelf talkers.
Consumer approval is the key to success
Step #5: Innovate and Innovate in the beauty industry. But, for instance, with
more than 158 million women living in the
Some More United States, how do you know if your new
The truth is, product and brand development beauty business will capture the attention
don’t always happen concurrently, yet it’s and dollars of so many? Don’t miss your
the most successful brands that tackle these mark—or give your market share to anyone
two steps in tandem. When developing else—established brand or not. Instead, set
your products, be choosy. Choose the most your business up for immediate success
interesting, advanced ingredients you can by following these simple steps for proven
afford; choose a lab that shares your vision launch success. n GCI
and dedication; choose an SKU lineup that
gives consumers both what they know and For additional information on consumer
don’t know they need; and make them want testing, read Alisa Marie Beyer’s “Testing,
it all. Choose products that stand high above Testing ... 1, 2, 3” contribution in the
the competition, and bring your A-game. March 2011 print edition of GCI or online at
These days, new brands are flooding the www.GCImagazine.com.
market and consumers have more choices
than ever before, which means you’ve got to
ALISA MArIE BEYEr is the founder
enter the fray with the best you’ve got in order and creative director of The Benchmarking
to even be granted the chance to introduce Company (TBC), a global beauty consulting
your next great idea to the market. firm offering business, strategy, consumer
At the same time, while you are busy with intelligence and branding. Serving its clients
at every stage of development (from startups
all of this innovative development, begin
to 13 of the top 15 global beauty companies), TBC intimately
creating the fun, strategic brand identity understand the industry, the consumer and the market, and
materials you will need to fit the emerging becomes an integral part of each client or project team.
personality of your products. E-mail: alisa@benchmarkingco.com; www.benchmarkingco.com
www.GCImagazine.com Marketing Matters 25