Objective of the Study

This project is based on user behavior towards Perfumes. Objectives of the study are: 1. The other objective is to know about the customer satisfaction associated with the product and the customer preference level.

2. To increase customer satisfaction and recapture the market share by fulfilling the customer needs.

3. T o s t u d y t h e f a c t o r s a f f e c t i n g t h e c o n s u m p t i o n p a t t e r n .

4. To Study the marketing Strategies & Plans of Oriflame company.

Executive Summary

Oriflame Perfume is the next evolution in how people express themselves through scent. By allowing customers to be directly involved in making their own custom perfume, Oriflame Perfume will be a unique and fun way to design perfume. Oriflame has Re-launched its Perfume Giordani Man & Woman. Oriflame offers the leading business opportunity for people who want to start making money from day one and work towards fulfilling their personal dreams and ambitions through its unique business concept - Make Money Today and Fulfil Your Dreams Tomorrow. The company has been ranked 8.5 out of 9 in the Palm Oil Buyers Scorecard which is compiled by the World Wide Fund and rates purchasers of palm oil on environmental sustainability. Perfume compositions are an important part of many industries ranging from the luxury goods sectors, food services industries, to manufacturers of various household chemicals. The purpose of using perfume or fragrance compositions in these industries is to affect customers through their sense of smell and entice them into purchasing the perfume or perfumed product. As such there is significant interest in producing a perfume formulation that people will find aesthetically pleasing.

Introduction of Oriflame

Founded in 1967 by two brothers and their friend, Oriflame is now an international beauty company selling direct in more than 60 countries worldwide. Its wide portfolio of Swedish, natural, innovative beauty products are marketed through a sales force of approximately 3.6 million independent consultants that are marketing our products around the globe. Oriflame offers the leading business opportunity for people who want to start making money from day one and work towards fulfilling their personal dreams and ambitions through its unique business concept - Make Money Today and Fulfil Your Dreams Tomorrow. Respect for people and nature underlie the companys operating principles and are reflected in its social and environmental policies. Oriflame supports numerous charities worldwide and is a Co-founder of the World Childhood Foundation. Oriflame Cosmetics is listed on the Nasdaq OMX Nordic Exchange. Oriflame Cosmetics is an international beauty company selling direct. The company began operations in 1967 in Sweden and has today a presence in over 60 countries worldwide. The company has over 3.5 million "consultants" worldwide with annual sales of 1.5 billion. Oriflame has been listed on NASDAQ OMX Stockholm since 2004. The brand got its name from the royal banner of medieval France which was unfurled only on the battlefield and accompanied by the war cry Montjoie Saint Denis. Oriflame gained its first UK consultant in 1970. Oriflame is involved in several programs for example the "World Childhood Foundation", SOS Children's Villages as well as in local small charities.[citation needed]

The company has been ranked 8.5 out of 9 in the Palm Oil Buyers Scorecard which is compiled by the World Wide Fund and rates purchasers of palm oil on environmental sustainability.

Brief facts

1.5 billion Euros in annual sales Approximately 3.6 million Consultants 7900 employees A product range of approximately 1000 products. Co-founder of World Childhood Foundation. Global R&D centre with more than 100 scientists 5 own production units in Sweden, Poland, China, Russia and India Listed on the Nasdaq OMX Exchange since March 2004 Operations in more than 60 countries of which 11 franchisees

Introduction Of Giordani Perfume

Giordani Gold is a fairly linear fragrance, however this upfront composition does not lessen its appeal. Oriflame is an affordable brand, so this fragrance would make a great gift for a special lady or even a worthy addition to one's wardrobe, especially if fruity white florals are their thing. Giordani Gold opens with a lot of fresh jasmine, sweet lily and mandarin orange. It's almost in the same style as Dior's J'adore. A golden, classy, fresh and slightly fruity jasmine scent. This opens with a burst citrus and aquatic notes. It smells familiar, like a few other things out there. It starts fresh...pleasant but VERY light. It's very watery. When it dries the pepper really comes forward and the betiver also, this makes the fragrance turn from fresh to dry and woodsy. Perfume is a mixture of fragrant essential oils or aroma compounds, fixatives and solvents used to give the human body, animals, food, objects, and living spaces "a pleasant scent. Perfumes have been known to exist in some of the earliest human civilizations, either through ancient texts or from archaeological digs. Modern perfumery began in the late 19th century with the commercial synthesis of aroma compounds such as vanillin or coumarin, which allowed for the composition of perfumes with smells previously unattainable solely from natural aromatics alone. Perfume compositions are an important part of many industries ranging from the luxury goods sectors, food services industries, to manufacturers of various household chemicals. The purpose of using perfume or fragrance compositions in these industries is to affect customers through their sense of smell and entice them into purchasing the perfume or perfumed product. As such there is significant interest in producing a perfume formulation that people will find aesthetically pleasing.

It's bright, sparkling, fresh, but also warming... Lovely in spring and fall season. It's not too loud, but it is present. I could smell it on myself for 7 hours. After 7 hours it still lingers close to the skin where I can't smell it anymore, but others still can. It's one of those pleasant and classy white florals.

Reviews by Users Those that call Giordani Gold 'old lady' don't know what they're talking about or even understand what the term implies. Probably what they mean to say is that they don't enjoy white florals, or those of a heavy nature. Please don't be put off by this scent believing that it's only for mature women. Giordani Gold has moderate sillage and reasonable longevity. I managed to obtain my sample through Ebay, from a European seller. This brand is hard to come by in Australia, but I often wish it were more readily available.

Opens with Neroli, like Acqua di Gi, Allure Sport and Versace PH, i discovered that i like very much this note. Mixed with bergamot, after, comes a sea vibe with a touch of pepper. At the base musk and sandalwood. Its a aquatic, floral wood scent. Longevity its nice, projection in the average of this aquatics aromatic scents. I'm afraid the dry stagesa re nothing to rave about, I've smelled this many times before. The lily of the valley is very undserstted and the whole thing is fading VERY fast on my skin...

Global responsibility

When formulating our products we strive to use natural ingredients that are in line with our strong environmental policies and are not harmful to the environment. We are one of the first companies to utilise plant extracts in skin care products and we have always tried to optimise the use of ingredients from renewable plant sources. Scientific reports on safety and environmental issues are continuously monitored to ensure that action can be taken to replace any ingredients that may have a negative impact on consumer health and the environment. In addition, Oriflames product packaging is recyclable and minimised to reduce waste. Oriflame has a strong ethical ethos which is evident through all facets of its operations. Oriflame products are formulated and manufactured in line with high industry standards and ethical guidelines. We currently operate five cosmetic manufacturing plants - in Poland, Sweden, India, China and Russia. All Oriflame manufacturing facilities and sub-contractors comply with the relevant local and national laws and regulations. Such laws include those relating to labour standards, environmental manufacturing and health and safety practices. Water conservation is a key priority in Oriflames environmental management plan. In line with our proactive approach towards responsible environmental management we apply design techniques at all of our manufacturing facilities, aimed at reducing water consumption and minimising pollution. Oriflame takes a strong stance on important social and ethical issues such as child labour, ethnic beliefs and culture. We are also committed to helping children at risk and to providing education for young women through our Social Cause Programs.

Oriflame Core values

Togetherness, Spirit and Passion

Togetherness, Spirit and Passion are the three fundamental values of Oriflame. Trusting these values we feel confident that we can succeed in a competitive business while at the same time help make the world a better place.

TogethernessPeople who work together and share the same goals achieve greater results. They motivate each other and know that pulling together is more rewarding than going it alone.

SpiritPeople with a can-do spirit have a winning attitude and never give up. They are committed to do what it takes to succeed.

PassionPassionate people have the power to change the world. They love what they do, they believe in it. They know deep down that they can make a difference.

Goal - Your Dreams:Our Inspiration

Oriflames brand promise Your Dreams Our Inspiration is deeply rooted in the history and heritage of our company. Throughout our 45-year history, we have always been committed to inspiring and offering people an opportunity to achieve their dreams through our unique business concept. Your Dreams Our Inspiration is a manifestation of our commitment to our customers and consultants; their dreams play a major part in inspiring new beauty products and programmes for developing your own business. We believe in dreams. A dream is individual and personal. Dreams and goals are beautiful and important. Oriflame is, and always has been about fulfilling dreams. This is what we do. Every day. For people all over the world. Are you a dreamer? Do you have goals? Welcome.

We believe in beauty. Your beauty is as personal as your dreams. Through our unique beauty products created in Sweden we have given millions of people the opportunity to change their lives for the better. When you look good, you feel good. And when you feel good, you are ready to reach for your dreams.

We believe in you. Our work starts with your dreams. They are our inspiration. We encourage individuals to dream, to set their own goals. And we are a partner along the way. Our culture is based on respect for and belief in others. We listen to you. Together we create a global network of beauty and making dreams come true. Do you want to fulfil your dreams? We do.

SWOT Analysis

SWOT Analysis

1. Easily available products in residential areas, at parlours and sold by people whom customers know and trust 2. Release catalogues frequently with offers on products 3. Customers get help from sponsors who help them as a consultant choose product according to their skin type, climate etc 4. Established brand name since 43 years 5.Provides natural beauty products through an independent sales Strength force of over 3 million people 1.Lack of promotional activities through mass media 2.Depends on the network of individual sponsors on most of its Weakness distribution and available in very few stores 1.Develop deeper distribution network 2.Expanding in rural areas Opportunity 3.Investing in R&D, launch of new products through innovation

1.Aggressive price competition from local and multinational players 2.Availability of cheap beauty products 3.Presence of many established brands at one place in the stores Threats thus giving customers variety

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Marketing Strategy

Target MarketsPrimary: 18 55 years old Female Has an income range of anywhere between $10,000 $100,000 per year Has a degree/diploma or has spent some time in a post-secondary institution Will spend anywhere for good quality of products in cosmetics & other wide range of products. She often buy products for themselves She Buys products every couple of years Enjoys every products that has a moderate potency. (Likes perfume that can only be smelled by her and people very close to her) She makes online purchases every couple of months

Secondary: Men 30-55 Shop fairly regularly online Are concerned about image and cleanliness Have girlfriends they buy gifts for

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Tertiary

We currently concentrating on customers who belongs to middle class family and high class too in mind because as a business we are solely focused on serving our primary customer first and then we will look at potential tertiary markets as they come. We also concentrate on serving our customers best Range of products & services.

LocationWhen considering a location for Oriflame Products, as an online store, we must address our online and physical locations of business. Our online location will have to address search engine optimization as a way to position ourselves in prime online real estate. Our physical location will have to meet our manufacturing and storage needs as well as daily operations; a warehouse with additional office space would meet our production and operational needs.

DistributionDistribution of Orilame products is through online and there are distribution channels through consultants which are spreaded thoughout across the globe.

Environmental Perfume is classified as many different types including but not limited to, eau de toilet, cologne, and musk. The actual odours of perfume are derived from naturally occurring scents and synthetic creations. Naturally occurring scents are a great deal more expensive and more difficult to achieve, however, deliver the most softer and complicated
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scents; whereas, synthetic scents are cheap but lacking in substance due to the fact that they are pure and made up of a single compound. Our society on the whole believes in the appropriate treatment of animals and therefore do not approve of animal testing. A product will be seen as more humane and many consumers do not mind spending more on a product if they can assure no animals were tested on before being put to market Being Green is a major trend many consumers are now demanding from the products they purchase; therefore, we have a responsibility to the environment and our customers to meet green objectives in manufacturing of the perfume, the delivery of the perfume, and even the containers the perfume is stored in. Being sustainable CAN make money. Another example of sustainability is naturally occurring substances like sandalwood are becoming extinct because of their use in many perfumes. Extracting scents from animals is where many perfumes began and we must look at other natural alternatives. Many individuals cannot wear or even be around manufactured perfumes for many different reasons including skin allergies, asthmatic reactions, and other respiratory conditions. We should be considerate of these people and try to find substances and scents that are friendlier to the needs of other people.

Technological Remember natural versus synthetic scents as discussed earlier. Perfume has been around for many years and many people prefer certain scents that they have known for a long time which still use traditional means of creating perfumes. We should seek out newer technologies as well as keeping to traditional means to determine what are the most effective and innovative ways to create perfume What we are trying to create is a very personal experience for each shopper and to do that we need the technology to meet the needs of customers in an online environment. By instituting well structured and fully integrated customer resource
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management (CRM) technologies, we will be able to know what customers want and how to improve on our product in all aspects of the business. Well generated digital storefront technology is required to make the shopping experience easy and comfortable for the customer and fully integrated with the business itself. Design is key.

Economical The current economic crisis has hurt business both locally and internationally. The downside is many people are spending less on personal luxury items like perfume; however, many people have looked to the internet for the best prices on items and present an opportunity to customers who still want quality products at more reasonable prices. Competitive pricing will be important to reach potential customers. Designer perfumes can cost upwards of $100; however, in many cases they are backed by strong ad campaigns and celebrity promoters. The goal will be not to compete with these companies, but create a more specialized product and shopping experience to customers.

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New SWOT Analysis

STRENGTHSOriflame has an experience in producing branded products since 1967.Giordani. has a strong luxury brand recognition worldwide ( became a classic brand). Oriflame has a strong global distribution channels for its Perfumes. Product price is easily competing with its competitors. Fairly wide range of Perfume products (Body Lotions, Shower Gels and etc) Ideal gift for different occasions: Christmas, Birthday, Valentines Day and etc Wide consumer target group. Products available on- line and through consultants spreaded across the globe.. Not testing on animals

WEAKNESSESNot strong enough campaign images Not enough expanded above-the- line and belowthe-line opportunities across the UK and other places. Not available in shops and malls. No company outlets. No Advertising Strategy.

OPPORTUNITIESIntroduce a new limited edition Perfume line Giordani by Oriflame to celebrate the moments of joy Giordani Gold Brand awareness across the UK and India consumer market.Get collaboration with Swarovski Crystals for limited edition Perfume packaging First time introduce the Perfume in Valentino Boutiques, Harrods and Duty Free world wide ONLY. Strong campaign images using celebrities. Choose the right marketing communications.Make seasonal offers such as limited edition, gift sets, summer perfume and etc

THREATSGrowing competition- too many brand launches.Short product lifecycle.Aggressive price discounting (Superdrug, The Perfume Shop). Weak sales outside Christmas period.
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New Marketing Strategy

FragrancesIs there anything more potent and evocative than a scent? A fragrance can trigger a smile, make you fall in love or set the mood. Your favorite scent can take you on an emotional journey and transport you to your most cherished memories. Many elements affect your choice of fragrance: mood, occasion or season so why not be spoilt for choice? The scope of our fragrances means youll never need to go without the right scent for the right occasion. Oriflames commitment to quality means that every fragrance is the creation of the worlds best and most respected perfumers, who use only the finest essences and essential oils. Discover a new you. Discover a world of fragrances with Oriflame.

Womens FragrancesNothing says more about a woman than the fragrance she chooses. Everywoman should have her own signature fragrances scents that embody everyaspect of her. Why settle for just one signature fragrance when you can have oneto suit your every facet? Flowery, fruity, spicy, fresh or oriental youll find your perfect signature scent in our family of feminine fragrances.

YouthTodays youth are more trend -conscious than ever. They know what they like but theyre open to experimenting with their personal style and appearance. With that in mind, we have developed several fragrance lines especially forthem. Taking cues from their brash, self-confident and free-spirited attitude, wehave come up with great fragrances for young women and men that reflect theessence of today's youth

Limited LifeOur Limited Life fragrances are only available for a short time as exclusive offers, collectors editions or seasonal products. Dont miss out on the great selection of Limited Life fragrances.
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Target MarketsPrimary: 22 60 years old Male & Female Has an income range of anywhere between $10,000 $100,000 per year Has a degree/diploma or has spent some time in a post-secondary institution Will spend anywhere from $20 - $80 on a single bottle of perfume She often gets perfume as gifts She buys perfume every couple of years Her favourite scents are vanilla, passion fruit, lilac, citrus, ocean breeze Enjoys a perfume that has a moderate potency. (Likes perfume that can only be smelled by her and people very close to her) She makes online purchases every couple of months

Secondary: Men 30-55 Shop fairly regularly online Are concerned about image and cleanliness Have girlfriends they buy gifts for

Tertiary

We currently do not have a tertiary customer in mind because as a start-up business we are solely focused on serving our primary customer first and then we will look at potential tertiary markets as they come.

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In talking with respondents of our survey we have also found out that these are the most important factors when they are making their decision to buy: 1. Price.The more expensive a perfume is the more likely it is our customer will buy it. This has to do with how the quality of the perfume is perceived. Our research shows that, of our respondents, those who bought perfume most frequently also paid a higher price for it.

2. ReputationAs an online business, nothing is more important than conveying a store that is safe to make purchases from. This means installing security features and maintaining a clean design to assure customers that our website is reputable and professional. People will not give their credit card information to a website that does assure them that it is safe to do so.

3. Advertising & PromotionThe perfume industry is an industry that is dominated by image. As an online business our best bet is word-of-mouth advertising which is, by our research, the most effective form of advertizing for online businesses. We will achieve this by first targeting our advertising on Facebook.

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Ana lysis Of Questio nnaire

1. Age group?

According to this graph 50% respondents were between age group1620, 44% respondents between 2125.

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2. Profession of people using perfume?

As you can see in the chart, 60% respondents were students, 20%employee. 12% businessman, and 8% others on which research was conducted.

3. Ratio of people using perfume?

From this pie chart we can see that 84% of the respondents use perfume and only 16% are those who don't use perfume. After this all the interpretation and findings are done on the basis of these 84% users.
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4. Frequency of purchasing perfume?

The frequency of purchasing perfume is higher on monthly basis comparing to weekly, quarterly and yearly.

5. Purpose of using perfume?

The reason for purchasing perfume is higher for the use of body spray which is around 45%, comparing to body odour regulator (23.8%),sensitive skin (21.42%), roll on (9.52%).
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6 . D o y o u w a n t t o b u y O r i f l a me p e r f u me ?

Do our respondants want to buy Oriflame perfume?

Yes No

We have found that overall, 68% of our respondents would like to buy Oriflame perfume.

7. How frequency you buy products from Online?

Frequency of Online Purchaces

Every week Every couple of weeks Once a month Once every few months Never

We found that most of our respondents make online purchases every month to two months. This is what led to the idea of having a subscription based model.
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8. How much money you spend on Perfumes?

Price Point
$1 - $9 $10 - $19 $20 - $29 $30 - $39 $40 - $49 $50 - $59 $60 - $69 $70 - $79

We found that the largest slice of our customers spend between $20 - $39 on perfume; However, we found that the respondents who most frequently bought perfume paid more per bottle, between $50 - $79.

9. Sales and Operating Revenues in India?

Sales and Operating Revenues in India between 1999-2007 for Cosmetics, Beauty Supplies and Perfume Stores.
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Conclusio n

The success of Oriflame is based on a strong and consistent company culture, promoting an entrepreneurial spirit and a clear set of values. Their mission and passion is to fulll dreams for people around the world, a dream often focused on building a better quality of life by belonging to the Oriame sales network. Thus the research group concludes that Oriflame will surely reach its height very soon in other parts of the world also.
While you keep on testing perfumes it is fine take a breakage after three or four varieties. There are a lot of shops which offers you coffee beans to sniff in among, this is because the coffee beans lets you neutralize the effects of these perfumes. But this system is not used at everything stores, so a effortless option is to walk for a minute away and then to come back to the similar counter. Now start selecting those which makes you go mad over those and guard aside those which did not convince your nose. For finding the wonderful smell, spray next on unusual parts of the body. For this purpose the pulse points are considered to be the ideal place for this. Let the perfumes blend along with your natural oils and chemicals for almost twenty minutes and next it makes it easy for you to choose the ideal smell for you.

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Recommendations & Suggestions

After doing the research onRelaunch of Giordani Perfume of Oriflame The following suggestions help in improvement of Oriflame. If these points are considered, then surely it will increase the sale If the price of the cosmetics is reduced it will surely attract more people than the present. More over not only high class but also the middle class people can also own Oriflame. They can introduce more flavors for youngsters and homemakers. More varieties can be introduced in Thoothukudi showroom. Many more discounts and offers can be provided to increase the customers satisfaction. Showroom display can be modified so that it may attract new customers. Media advertisement should be given so that other customers can beware of the product. The Oriflame are an extraordinary company of hard working individuals who are dedicated to creating scents that match they characters and themes of their passions and share them with like minded people. Their website is very well organized and beautifully crafted with amazing illustrations by local artists. Although a small company, they do not give off the image of being so. Although I enjoy the designs and ideas behind the perfumes and other products, I am aware that not all will be impressed with the craftsmanship, especially people with a more conservative perspective on things. The perfumes themselves seem a bit expensive for how much you receive, though it may be that you do not require as much with how strong they produce their perfumes. Overall I am impressed with this company and see them as being a tough competitor in perfume sales.

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