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How Estee Lauder Companies used Digital Marketing to makeup the face of cosmetic industry

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Pot of gold

About Estee Lauder Companies:

Headquartered in Midtown Manhattan, New York City, Estee Lauder is a high-end beauty brand comprising of several labels which are famous brand names for millennials.   Sold in over 150 countries under four different sections of beauty products consisting of haircare, make-up, skincare and fragrance, Estee Lauder Inc. was built with passion by Estee Lauder and husband Joseph Lauder in the year 1946.  Estee Lauder used strategies like a “gift with every purchase”,  distributing free samples to every customer in store to familiarize her brand in big stores like Saks Fifth Avenue.  The enthusiast never missed a chance to open every franchise herself.  She allocated time and attention to detail to everything that went into her store.  An elegant spa like counter was present at all stores to welcome customers who were treated like a guest.  This tradition which continues to this day at all Estee Lauder stores.  Clinique, Coach, Michael Kors, Tory Burch, M-A-C, Bobbi Brown, AVEDA, Origins, Aramis, Tom Ford, Tommy Hillfiger are among the 30 prestigious brands that the company owns.

Business Objectives of Estee Lauder Companies:

The company took off from a salon where the founder started selling face-creams to customers.  The brand never followed the other’s footsteps but created something extraordinary and revolutionary.  Their mission statement that reads

“Bringing the Best to Everyone We Touch and Being the Best in Everything We Do”

brings out the summary of what the company has been best at doing.  Enhancing on quality of products and innovation, they deliver value to customers and bring return for investment for the company without harnessing their image and reputation.  The founder’s message that every woman can be beautiful motivates the company to deliver par excellence.

  • Estee Lauder believed that to impress and attract a customer you have to touch your customer and that created the company’s High-Touch service.
  • Aiming at the young and rich and now catering to all classes, the company was developed with a vision to enhance every community served and pamper the customer like a queen with the finest quality products and ingredients.  The company provides a customized shopping experience to every customer.
  • Skincare products which acquire the most sales for the company are unique and luxurious.  The company strives to this date to provide innovation to customers who like to spend on lavish skincare and beauty products.
  • Offering something for everyone in any part of the world is their forte.  Their geographical exposure is seen in the Americas, Europe, Middle-East Asia, South-East Asia and in the Africa region.
  • Their main focus is on the millennial buyers who like to pamper themselves with luxury products, it is a difficult approach for the company to ensure they reach the developing economies.
  • Hence, the online approach has paved them a way to reach out to millions of customers without spending a penny on traditional marketing.

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Company’s approach to digitizing their brand and results obtained

Estee Lauder continues to spark profits using the digital approach to marketing.  They take overall support of the digital marketing strategy through

  • online advertising,
  • email advertising,
  • social media campaigns,
  • mobile-commerce in increasing sales and providing direct access to consumers to cosmetics which is no more a touch and feel thing.

Online tutorials for getting the perfect make-up look, advertising products through You-Tube channel gurus all have brought light to the company’s growth.  Estee Lauder maintains a Facebook page with over 1.9 million likes and provides daily updates on the latest beauty trends.  Simple photographs that are candid, catchy and speak directly to the audience attract more traffic into their e-commerce websites.  Clinique, the world’s first dermatologically-created beauty brand is now marketed online for China, where the largest beauty market online is withheld.

M-A-C performed an online only sale for its make-up products using only online communication, email advertising, social media campaigns and other digital marketing strategies to sell out their products within a few hours of hosting an online sale.  Their digital approach is well defined and the company is increasing their margin for digital marketing.  Many countries and continents are being easily approached with the click of a button, thanks to digital marketing feels the company.

Some of the online make-up websites from Estee Lauder companies also provide live online chat from expert make-up gurus like in http://www.maccosmetics.com/.

At M-A-C, artists take make up classes and upload it on Social Media and YouTube drawing more consumers.  Clinique brand has a mobile app which suggests skincare tips and tricks based on the current weather forecast.  Not only in the beauty market Estee Lauder hosts many campaigns in light of charity, and their Breast Cancer Awareness Campaign is worldwide popular making it accessible to a variety of audience.

Learnings

Bringing new celebrity faces as brand ambassadors for their products is also an effective strategy that has worked wonders for the Estee Lauder companies. Their profits surged to 84% according to a recent survey, contributing mostly to the digital transformation of the company.  As long as there is a direct relationship with the consumer and you are able to attract them with quality and creativity, there will always be scope for an extensive market online.

Image Credits: Estee Lauder companies

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