Strategy to enter Chinese Market
Origins, a naturalist brand whose name means “origin,” is a division of the Estée Lauder Group. Its mission is to develop products using only the purest botanicals found in nature. The Origins Global Plant Medicine Team and William Lauder, Chairman of the Board of Directors of Estee Lauder, collaborated to do research on natural cosmetics made with components derived from plants in 1983. For this reason, the company was founded as a natural and effective skincare brand with the tagline “Powered by Nature, Proven by Science.” The range’s organic products are all prepared without the use of artificial preservatives and are carefully chosen from the best USDA-approved ingredients, which is stunning. Ebenezer has been able to draw customers from all around the world thanks to its well-established technology, experience, and superior natural ingredients.
The company has been dedicated to a number of international environmental efforts since its beginning in order to achieve the 3Rs of reduce, recycle, and reuse. The “Love the Earth Forest Recycling Campaign” and the “Bottle Recycling Campaign” are two significant public welfare initiatives Ebenezer is now implementing in China as part of its CSR operations. According to a Joywood study, planting one tree can lower indoor temperatures by more than 20 degrees, saving an average of $175 annually on the power used by air conditioners and producing the equivalent of 118 kilograms of air annually. Since 2009, Ebenezer has supported tree planting worldwide by launching its “Love Land Forest Restoration Campaign” in recognition of the value of doing so. Echinacea has partnered with the China Greening Foundation to advance environmental initiatives since it entered the Chinese market in 2010. With the planting of almost 160,000 sea buckthorn trees as of 2015, China’s ecological environment has improved. Another one of Echinacea’s charitable endeavors is the “Empty Bottle Recycling Campaign,” in which consumers can receive free merchandise of any brand if they bring in empty bottles and make purchases in exchange for freebies. Ebony Source prepared a campaign to lessen the amount of buried empty bottles. In acknowledgment of the multiple environmental initiatives that Ebenezer is leading by example with, the US Environmental Protection Agency (EPA) has chosen Ebenezer as one of 30 firms to be a Green Energy Partner. The marketing effort also improves consumer perceptions of the brand by increasing brand awareness.
- Localized marketing approach
To successfully enter the Chinese market, it was essential to thoroughly comprehend the Chinese market before developing a marketing and sales strategy. Although the idea is the same, because consumers get information in a familiar setting and take into account cultural and knowledge aspects, their level of awareness and understanding of the product varies from consumer to consumer. The concept of “natural and science-based,” which appealed to Chinese customers, was the secret to the brand’s success in the Chinese market rather than adhering to the current marketing plan. The brand put laboratory hoses, other scientific equipment, and natural ingredients on display in each store to emphasize the superiority of natural products and technology. Chinese customers, however, associated the labware with “chemical components,” notwithstanding the opposite. The full process of creating the products from elements obtained from plants was depicted in a video to clear up this confusion and to communicate the accurate brand concept to customers. “It is not what you do, it is how you do it,” counseled the managing director of Woody Noir at the American Express Luxury Summit in 2013 regarding the approach to taking on China’s largest cosmetics industry. As a result, even though the product is the same, marketing strategy is crucial. The best-selling product on the market, Dr. Andrew Weil serum, primarily promotes self-healing and produces healthy, radiant skin. The “restore” aspect of de-tanning is highlighted in the product’s US marketing. Although Chinese consumers are more interested in the low-irritation “maintenance” and “repair” features than the “restore” function, it is sold in China with a focus on the “brighten” function. Additionally, repair has purposes beyond returning skin function. Chinese consumers prefer a segmented approach to skin care, therefore Yummy’s often promotes a variety of items rather than just one or two. In conclusion, Origin investigated and created a marketing plan that is best suited for the Chinese market instead of adhering to the conventional marketing method, and has been successful in winning over Chinese consumers.
- Vigorous web marketing promotion
One of Origin primary marketing techniques is the active development of online marketing because 55% of the company’s total sales take place in locations without storefronts. Origin regularly advertises its marketing initiatives on Weibo and WeChat and sells its goods on both its official website and the Tmall Mall. It also maintains an active Weibo account, and as of December 6, 2016, at 13:00, it had posted 10,244 tweets and gained 233,190 followers. Its Weibo posts include information on new products as well as normal offline business activities including promoting eco-friendly and healthy lifestyles and other encouraging feedback from followers. This demonstrates how Origin is keeping up with the times of interpersonal communication, maximizing the word-of-mouth diffusion impact, and converting customers who use the items into brand advocates. Local cosmetic companies have been ignoring this market, but Origin has grasped the chance to implement an effective internet marketing campaign.
Reflections：
Origin, all of its product lines, as well as its development and expertise in marketing campaigns in China, are all about the environment-friendly strategies. As such, it is a brand that practices the environmental philosophy of giving back to nature and the planet. With the goal of achieving the 3Rs of Reuse, Reduce and Recycle, it has launched a number of green initiatives around the world, thus leading the entire beauty industry to take a step towards environmental protection.