Ch. 12-Services and Nonprofit Organization Marketing

A service is the result of applying human or mechanical efforts to people of objects. Goods are produced, sold, and then consumed. In contrast, services are often sold, produced, and consumed at the same time. Shea Moisture provides consumers with goods, not services. You may compare the goods that Shea Moisture sells with that of McDonald's, whether you order a Big Mac in New York or San Francisco, you know exactly what you're going to get. You may say the same about Shea Moisture's various products, including their African Black Soap, which will always be the same regardless of where you purchase it from. Predictability is good in this case. Many people want their money's worth when purchasing different goods and services. When the quality of certain products meets the expectations of a customer time and time again, companies are able to build brand loyalty. Shea Moisture prides themselves on giving back.  Not only are they big on selling, but also on putting effort into helping those who help them create their great products. 

Throughout the semester I've been able to provide information regarding Shea Moisture and their marketing strategies. I've learned the importance of strategic planning, social media, environment, developing a global vision, consumer decision making, marketing channels and retailing, advertising, public relations, sales promotion, personal selling, sales management, product concepts, marketing communications, segmenting and targeting markets, and developing and managing products. These are all efforts that should be made by a marketer in order to execute the most effecting marketing plan and maximize the profits of the brand and products you are marketing. They're definitely strategies that should not be ignored, especially considering the ever-changing market. 

Ch. 11- Developing and Managing Products

Introducing new products is important to sustain growth, increase revenue and profits, replace obsolete items and attract new customers. SheaMoisture understands the importance of this, so it isn't a surprise that the company went from just selling soap, hair and skin preparations, and shea butter to selling hair styling products, hair dye, hair treatments, body butter, body wash, body polish, aftershave, cosmetics, body scrubs and more. The introduction of new product lines that the firm has not previously offered allow it to enter an established market. This helps companies like SheaMoisture to expand and increase profits. Considering that SheaMoisture sells beauty products, it may be a little more difficult to be innovative when creating things that are sold by thousands of different companies. This is why SheaMoisture stays true to their vision of making natural, cruelty-free beauty products, no matter what it is that they're selling- from soaps to hair dyes. Luckily for SheaMoisture, since their products are beauty related, it is easier for consumers to try the products, and the degree of difficulty involved in understanding and using the products is low.

 As a consumer and customer of SheaMoisture products, I can say that all of my experiences after purchasing when smoothly and surprise-free. I was able to try their soaps, body washes, lotions and more and have the needs that led me to buy those products satisfied. This goes to show that "trialability" is important to consider when marketing a product, especially when its a new one. 

Ch. 8 - Segmenting and Targeting Markets

SheaMoisture understands the importance of market segmentation. From the start, the company began with selling shea butter, African Black Soap, and homemade skin and hair preparations, meaning they produced more than one kind of beauty product. Since they began selling in Harlem, New York, their products were offered to a couple of different market segments based on diverse customer needs. SheaMoisture sells beauty products, but they're all different, and meant to satisfy different needs. An example of this is them having different hair product lines, all made with different ingredients, to help revitalize and maintain different hair textures whether it be straight, curly, kinky, or corse. They also sell bar soaps that help treat different skin types and most recently introduced a men's shaving line. Marketing segmentation plays a key role in the marketing strategy of all successful organizations and is a powerful marketing tool. SheaMoisture does a great job at including groups of people with different product needs and preferences. 

As mentioned in earlier blog posts,the CEO of SheaMoisture, Richelieu Dennis recognized the need to cater to women and men with skin and hair needs that most generic beauty companies tend to neglect. He once said in an interview, "today the buying power and influence of the emerging multicultural and ‘ethnic’ consumer is undeniable. We take a problem/solution approach to hair and skin care; ethnicity doesn’t play into our product development, but hair and skin care needs do. Ethnic consumers are starting to see themselves and their needs represented in all channels." This means that a lot of the products are ethnic segmented, because they're catering to the needs of diverse American people rather than being anglo-centric, as most companies were in the past. 
Dennis also understands how important inclusion is when marketing products. He once said, "SheaMoisture not only brings a loyal group of followers, but also it understands and identifies with the transcending consumer influences at play".

No matter what you look like, SheaMoisture wants to provide you with natural beauty products that may satisfy your individual needs. They market themselves as "a better way to beauty" to all that use their products. 

Ch. 15- Marketing Communications

Shea Moisture understands the importance of communicating information about the firm and its products to their target market and the public through different promotion strategies. Through the use of advertisements, the marketing team at Shea Moisture is able to send a given message, aiming to inform, persuade, and/or remind their target market to purchase the goods being promoted. In this day and age, marketing teams from many companies are aware of the more cost effective channels in which they can transmit their message to the public, which is why social media has become one of the most commonly used channel for many. Shea Moisture promotes most of their products with online advertisements. The use of videos to promote items has also been working out for them as well. A company may post a video onto YouTube, Twitter, Facebook to maximize the spread and sharing of that video meant to promote goods, events, or services. Not only is social media a good tool for promotion, but also for attaining feedback on the goods and services companies are selling. Shea Moisture does a fabulous job at interacting with customers on their twitter account, where they can monitor what people are saying about the company and its products with just a single search of their name. This is important because they can aim to fix what ever it is that a customer has complained about online.

Saving money is really important to many people, so people LOVE sales and promotions. But everyone has to love free things. Marketing activities such as sales promotion stimulate consumer purchasing and dealer effectiveness. An example of this is demonstrated in the advertisement above, used for Target stores, which communicates the message that there are products that can be won by a customer if they enter a sweepstake.

The goal of this is to actually sell this product. It is aimed at existing and new customers and is a very affective way of marketing a product, especially if its a new one. 

Ch. 10 - Product Concepts

The main premise of a business is to SELL. SheaMoisture is a company that thrives off of brand loyalty and maintaining relationships with existing customers who love the products and continue to buy specific products. Knowing this, SheaMositure's team made it so that certain products belong to certain lines, depending on the ingredients used, or the particular beauty needs the product works for.
For a long time, the needs of women with curly and kinky hair weren't being fulfilled by the majority of beauty brands. The neglect of these needs amongst generic beauty brands is something that the people at SheaMoisture took notice of. They understood that women came in all shapes and sizes, from different places and cultures, and also have unique responsibilities when it comes to caring for their hair. Taking all of this into account, they introduced a fraction of their haircare and products meant for maintaining beautiful kinky and curly hair.

SheaMoisture's Coconut & Hibiscus Curl Enhancing Smoothie is one of the company's most highly rated consumer products. It is part of the Coconut & Hibiscus product line, and caters to women who are looking to enhance or maintain healthy and beautiful curls while avoiding the damage other products that contain chemicals might create.

In this simple advertisement, SheaMoisture showcases the different hair types in which their products might be put to use on. Not only do they display kinky, curly, wavy, and straight hair but they also give the message that being natural is being yourself and promote some of the product lines they sell that can help women achieve that. 

Through the use of product lines, SheaMoisture is able to sell many items at once. A lot of consumers are willing to buy a whole line of products, especially if they've had a good experience with one specific product from that line. They've also been successful at creating new product lines, such as their Men's Shave line, which targeted a whole new set of consumers for the company. Through this, SheaMoisture is able to keep sales coming while catering to the needs of their demographically diverse customers.

Ch. 17 - Personal Selling and Sales Managemnet

Relationship selling is a multistage process that emphasizes personalization and empathy as key ingredients in identifying prospects and developing long-term, satisfied customers. SheaMoisture understands the value of customer relationship management. They strive to build long-term relationships by developing trust over time. Through its online store, sheamoisture.com, "everyone gets love" and can get the latest news, tips, and offers by subscribing for updates with their email address. SheaMoisture is able to make the most of these updates by implementing advertising and sales promotion as well. 

Building customer relationships is crucial for a business that sells standardized products with low value that are easy to understand and has many customers that are geographically dispersed. SheaMoisture is aware of this and, as mentioned in an earlier post, part of the company's success is its ability to build and retain customer loyalty by living up to its promise and also maintaining customer satisfaction. Some ways in which this is done is by interaction with customers on social media. SheaMoisture is big on responding to feedback and comments on social media platforms like Twitter. 

Other than selling from retailers and online, SheaMoisture has also used pop-up shops and launches in order to sell customer favorites or new products. Here, anyone who attends would be able to speak to representatives of the company in order to learn more about certain products, and the company in general. Interaction amongst customers and the company is important in order to maintain a relationship. 

Ch. 16 - Advertising, Public Relations and Sales Promotion

Advertising, public relations, and sales promotion are all tools that communicate a message to consumers that represent a particular brand. Through advertising, SheaMoisture is able to show what they are selling, why people should consider buying it, and where the product can be purchased. The beauty industry is constantly pushing products at consumers through the use of provocative advertisements, but SheaMoisture has a much simpler approach. Through the use of print ads, SheaMoisture is able to demonstrate their brand and promote their wonder products. However, like most cosmetic and beauty companies, SheaMoisture uses a health appeal. This attracts customers who are body conscious or who want to be healthy. This is also a reason they constantly promote their products as organic and natural. 

The advertisement above was made to promote SheaMoisture's new Color Cosmetics. The usage of color was used to make a straight forward, simple ad into one that can catch an eye. This ad, much like many other of SheaMoisture's, would most likely be featured on a magazine. 

Surprisingly, SheaMoisture has yet to release an advertisement of theirs on television. They do however, gain a lot of their promotion from lifestyle and beauty bloggers. 

A marketer must understand the importance of advertising, public relations, and sales promotion in order to perfectly communicate the brand's message and maximize profits. 

Ch. 14 - Marketing Channels and Retailing

Nowadays, it is important for businesses to gain name recognition and make their products available for sale from multiple channels. Therefore, creating partnerships with retailers may be crucial when a company's marketing efforts are meant to maximize profits. Companies like SheaMoisture understand the importance of having firms that sell directly to consumers as their primary function. This is why they've created partnerships with many retail chains. Select SheaMoisture products are sold at places like Bed Bath & Beyond, Christmas Tree Shops, CVS, drugstore.com, Duane Reade, Face Values, Giant, Kroger, Meijer, Rite Aid, Sally Beauty Supply, Shop Rite, Stop & Shop,  Target, Ulta Beauty, Walgreens, and even Walmart, the largest existing chains. 

African Black Soap, one of SheaMoisture's signature products, is sold at majority of the company's partnered retail stores. The products that are sold at these retail stores depends on the retailer's demographic. This demonstrates the need for some of SheaMoisture's products- considering it is sold at many major retailers. On average, African Black Soap is sold for $5 dollars a bar. In popular chains like Duane Reade, customers may be able to find the soap on promotion or pick up a second bar of soap for half off. 

Like many other companies, SheaMoisture has made it possible for fans-or new consumers- to access their products by shopping online. On SheaMoisture.Com, customers are able to access a wide variety of the products sold by SheaMoisture. 


Considering majority of a company's sales are made through their retail stores, it is important to understand how retailing works and why its so crucial for producers of products to be able to create relationships with other companies. 

Ch. 6 - Consumer Decision Making

In the beauty, cosmetics, and personal care industry, much like every other business, the customer's decision to buy is what allows a company to sink or swim. There are many factors consumers take into consideration when buying a product, and understanding how customers make decisions can help marketers execute a plan when releasing products into the market. 

SheaMoisture's growth was said to have started from word-of-mouth. This means that early buyers of the product believed in the company's African Black Soap, Shea Butter, and other natural remedies. When buying products, customers have expectations from those purchases. Many women of color, more specifically black women in Harlem, NY, have used SheaMoisture products since its inception. It was promised that SheaMoisture's products will help them maintain their natural hair without the added chemicals and just natural ingredients. Dennis has stated that "it's important to understand that consumers - regardless of skin color - require products that target specific skin and hair care solutions for their special needs, but they want flexibility and versatility in their looks and styles, especially in hair care to wear their hair natural, straight, etc." SheaMoisture was able to offer products for needs that were neglected by other beauty companies. Part of the company's success was its ability to build brand loyalty by living up to its promise but also maintaining customer satisfaction. 

A person's buying decisions are also influenced by personal characteristics that are unique to each individual, such as gender; age and life cycle stage; and personality, self-concept, and lifestyle. Although SheaMoisture's popularity is mostly amongst women, men are starting to use it as well, especially with the introduction of their mens care and shaving line. For those who are into personal care and cosmetics  but aren't fond of excessive chemicals and artificial ingredients, then products like those of SheaMoisture would fit their lifestyle.

As a marketer, it's important to understand how customers make buying decisions in order to best serve and compete in the market. 

Ch. 5 - Developing a Global Vision

Existing since 1912, Shea Moisture's standing today shows the long-term success that the company was able to obtain. Keeping a company going for more than 100 years isn't easy, but when quality products are created and marketing efforts are just as good, maintaining success isn't impossible. 

As discussed in previous posts, Shea Moisture was founded in Sierra Leone, Africa by Sofi Tucker. But it wasn't until 1991 when her grandson, Richelieu Dennis, began making and selling her products in the streets of Harlem, New York- and the rest was history. 

Shea Moisture prides itself on its use of fair-trade ingredients. They import most of their ingredients from villages in different parts of Africa. They continue to use the same production processes they've always used. Dennis once said that his sister, the maker of newer recipes, studies how different cultures use different ingredients to resolve an issue pertaining to beauty (hair, skin, etc.) As the company advances, they've started to include ingredients indigenous to Asia, Africa, the Middle East, and the Caribbean. This is important because fair prices are paid to the people in the communities that are providing these organic, raw ingredients. In a world where many companies exploit developing cities and countries to maximize profits, Shea Moisture continues to be ethical. 

Because of the company's involvement on social media, Shea Moisture is able to market globally. Through the use of social media, new customers are able to be targeted. Shea Moisture's retail partners allow accessibility of the products. Many of these retailers are available nationwide, and some even internationally. These partners include Target, Duene Reade, Ulta Beauty, Bed Bath and Beyond, Walmart, and more. The company's online store also makes the products accessible to anyone interested in buying. 

Ch. 4 - The Marketing Environment

Shea Moisture's marketing team understand that several basic demographic patterns are influencing marketing mixes. They're also aware that conscious consumers are looking to buy ethical, useful, but not too pricey. This is why Shea Moisture proudly produces fair-trade, natural products for reasonable prices- and market them to anyone and everyone. As mentioned in a previous post, Shea Moisture gained competitive advantage by staying true to their family brand of providing organic ingredients and making sure to keep to aim their products at multiple demographics.

 

Knowing the history of Shea Moisture, from being founded in Sierra Leone, to starting sales in Harlem, New York, one may agree that Shea Moisture's target market is adult black women, who'd like to maintain their natural hair with quality, rich ingredients and oils. But Shea Moisture makes it known that although they are proud to reach a specific demographic that many other brands tend to neglect, they're looking for a broader market. 

On twitter, the company shared:

"As a certified minority-owned business, we are so proud of our heritage, our community and how far we’ve come — from a village market in Sierra Leone, to the streets of Harlem, to retailers throughout the U.S. With your support, we’ve been able to bring change, diversity and variety to retail.

We hope you continue to join us in celebrating how the versatility of our products can help people everywhere.”

Shea Moisture sells beauty products for women with straight, curly, kinky, and even wavy hair. Through this, they are also able to reach a multi-cultural market by catering to women with all kinds of hair textures and needs. They also market products for men, and babies. They sell products like facial cleansers, bar soap, shampoo, shaving cream, moisturizers, and more- meeting people's diverse needs. 

Recently, Shea Moisture has been able to reach different demographics by having their products featured on different sites, blogs, and events- that each have their own target audience.  

Ch. 18- Social Media and Marketing

SheaMoisture understands the importance of interacting with their customers. Through the use of social media, SheaMoisture is able to listen to, build relationships with, and promote products to their customers. Fans of the brand are able to follow on Facebook, Twitter, Instagram, Pinterest, Google plus, and subscribe to SheaMoisture on YouTube. Consumers are even able to join an emailing list on SheaMoisture's website to get the latest news, tips, and offers. With an online presence, the company is able to keep their customers updated on all things SheaMoisture. 

All of the company's social media is accessible on their website!

Facebook: https://www.facebook.com/SheaMoisture
Twitter: https://twitter.com/sheamoisture
Instagram: https://instagram.com/sheamoisture4u/
Pinterest: https://www.pinterest.com/sheamoisture/
Google Plus: https://plus.google.com/+Sheamoisture/
YouTube: https://www.youtube.com/user/SheaMoisture4u

SheaMoisture realizes that facilitating conversations with customers is important, whether it be responding to a critique, or simply looking for feedback by "tweeting" and asking their followers to share their favorite products. 

They also share whenever their products are being used on the red carpet, fashion shows, and other events. By uploading photos of celebrities and models wearing SheaMoisture products on social media, they're able to promote their items while creating new content for their online platforms. 

On YouTube, SheaMoisture offers their followers video tutorials on how to apply and use their products. Not only does this offer customers tips on how to make best use of their favorite SheaMoisture products, but also helps with marketing these products as well. 

It's safe to say that online marketing is one of the most crucial components of a company's success. SheaMoisture does a fabulous job at staying connected with their loyal customers by engaging in conversation on twitter, updating frequently on Facebook, and even sharing tips through youtube and email. 

Ch. 2 - Strategic Planning for Competitive Advantage

Richelieu Dennis, CEO and Founder of SheaMoisture, has been an essential part of the company's marketing strategy. Dennis has mentioned that the company's marketing efforts have been focused on building and maintaining brand loyalty. This has been done by educating their consumers on the benefits of using natural and organic ingredients, and continuing to use them in all of their products. 


Not only has SheaMoisture gained competitive advantage by staying true to their family brand of providing organic ingredients but by making sure to market their products to different demographics. 


Richelieu Dennis recognized the need to cater to women and men with skin and hair needs that most generic beauty companies tend to neglect. He once said in an interview, "today the buying power and influence of the emerging multicultural and ‘ethnic’ consumer is undeniable. We take a problem/solution approach to hair and skin care; ethnicity doesn’t play into our product development, but hair and skin care needs do. Ethnic consumers are starting to see themselves and their needs represented in all channels."


Dennis also understands that excluding a large number of people in the company's marketing plan is detrimental. He mentions, "SheaMoisture not only brings a loyal group of followers, but also it understands and identifies with the transcending consumer influences at play". This is executed by making the product accessible. The company has partnerships with large retailers like Target, CVS, Bed Bath & Beyond, Walmart, Ulta, and more.

The company continues to gain name recognition by having its products featured in many magazines, a great example of market development. Recently, a handful of SheaMoisture's products were used in backstage at New York Fashion Week. SheaMoisture has also done a great job in the "diversification" of the company by launching "Men" and "Baby and Mommy" collections. 


One can say that Richelieu Dennis and the marketing team at SheaMoisture make it so that no consumer is out of reach and won't be able to enjoy the benefits of their great products. 

x

Ch. 1 - Overview of Marketing (Brief History and Mission Statement)

BRIEF HISTORY

Sofi Tucker started selling Shea Nuts at the village market in Bonthe, Sierra Leone in 1912. By age 19, the widowed mother of four made handmade shea butter, African black soap, and other natural remedies, selling them in local villages to support her family. Her salves and soaps were soon sought after across the countryside - and four generations later, in the hands of her grandson Richelieu Dennis, her recipes and wisdom form the heart of SheaMoisture. Today, every one of their formulas harness the healing power of Shea Butter and the best of Mother Nature to nourish every member of your family, body and soul. Sofi Tucker was their grandmother and Shea Moisture is her legacy. SheaMoisture’s inspiring story and amazing products continue to flourish - natural is the new norm, and they’re proud to be eco-friendly and organic since 1912. The media has noticed, too: they've won accolades and awards from Allure, Natural Health, Prevention, Parents, Esquire, Life & Style, Essence, All You, Ebony, Healing Lifestyles & Spas, RealBeauty.com and Shecky’s.

INCLUSIVELY EXCLUSIVE

The best in personal care and beauty should not belong to the few. Our accessibility comes compromise-free.

MODERN WISDOM

Recipes handed down from a healer make for potent 21st century cures.

SENSORY SOLUTIONS

Potent salves stimulate, soothe, surprise and speak to all the senses.

CULTURES CULTIVATED

The best ingredients gathered from around the world and picked to complement perfectly.

MISSION STATEMENT

At SheaMoisture, our mission is multi-cultivated: To make better-for-you beauty, hair and skin care products with certified organic and natural ingredients, always be eco-friendly, cruelty-free, fair-trade. We give back the goodness by supporting charitable organizations and women in under-served communities globally, across the United States and in our local community.