This next piece of research I undertook was revolving around the makeup brand KIKO. Now I really wanted to include this as key part of my research because their brand is expanding everyday, however they aren't quite a high street brand, yet not high end either, so thereby exploring them and their statistics it allows me to see how they've achieved their success and apply some of their advertising to my own brand and products.
So KIKO is adopting the principles that already have achieved great success, going by "fast fashion" like the clothing chains Zara and H&M where they are constantly changing the line up of products to encourage customers to regularly visit the branch. They respond quickly to the latest trends and also keep prices low, by achieving such success they inspire other brands in the same industry to "rethink their distribution model".
Worldwide the cosmetics market -including skin creams/cleansers- grew by 3.6% to £181 billion in 2014 and is expected to double over the next 10-15 years. The makeup and cosmetic industry has been divided into two categories, as briefly spoken about in my FMP Presentation. The more expensive high end products tend to be sold in specialist beauty store chains / department stores where shoppers can try them and also gain beauty tips before buying. Then on the other hand the cheaper brands are sold in chemists' and supermarkets with little customer service. KIKO's chain of own label stores offers the two combined, cheaper prices plus makeup advice.
This screen shot from KIKO's website shows the price varieties they offer in store and online. £1 for a concealer with a wand is extremely cheap, then two left of that product we see that there is a 'Universal Stick Concealer' retailing at £6.90 which is something I would expect to find in Superdrug among the 'cheaper brands'. Then the most expensive thing is the 'Colour Correct Concealer Palette' for £13.90 which could be considered slightly above price ranges for a high street brand. I searched there sight for foundation and eye shadow palettes too, to compare and contrast prices and they are all the same as the picture above. Some ranging form only £5 then jumping up to £18.90 for a foundation. KIKO's growth is having a 'domino' effect on other firms within the cosmetic industry, such as Benefit (which was rated number 1 for the top 10 beauty brands in the UK as seen here) as the higher end brands are putting more emphasis on their own outlets and less selling through retailers.
So far the majority if KIKO's customers are women, however "men who moisturise are becoming less rare" and as male grooming continues to evolve, it would be "no problem for these stores to add in a few discreet lines of cosmetics for males"
From this internet article I was able to absorb the fact that this cosmetic and skincare brand, neither high end or high street, are able to have their own individual stores that offer these products, price ranging from cheap - affordable - higher scale, so successfully that is is having a knock one effect with the number one most popular cosmetic brand in the UK last year. To use this for my FMP means that I can look at the physical products they sell, does the simplicity of packaging effect the retail price? Does selling a large variety of one item, such as concealers, mean you can vary the price, labelling one cheaper than the other? and I can also look into the store itself, with one individual chain being in Southgate I can go and 'investigate ' this brand for myself, what is the service like? What advertisements are within the shops? (posters, videos...) and also what the packaging looks like, or is it all plain glossy black with the brand name front and centre.
I think when it comes to inspirations for my FMP KIKO isn't a brand I physically think it 'pretty' or 'aesthetically pleasing', it isn't one of the brands that springs to mind for outstanding packaging or advertisement, but by undertaking this research I have seen the more theoretical side to branding and advertising within the cosmetic industry, where they are inspiring high end brands to change their ways.
SOURCES
1. https://www.economist.com/news/business/21679458-kiko-applying-fast-fashion-principles-cosmetics-business-shake-up-make-up
2. https://www.kikocosmetics.com/en-gb/
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