Description
This week you continue your strategic marketing plan for your selected business. The data analysis part of the plan is about analyzing the marketing data that’s available, including internal, secondary, primary, and customer relationship management (CRM) data. You will also need to identify sources for each type of data.Access the Strategic Marketing Plan Template that you submitted in Week 2 that contains your completed information for Part A.Review the feedback you received from your faculty member on your Wk 2 – Apply: Summative Assessment: Part A: Strategic Marketing Plan assignment and incorporate the feedback into the next part of your strategic marketing plan.Complete Part B: Marketing Data Analysis of the Strategic Marketing Plan Template in the same document that contains your completed Part A. You will complete Part C later in this course.
Unformatted Attachment Preview
Ashley Marrero
MKT 574
Wk 2 – Apply: Summative Assessment: Part A: Strategic Marketing Plan
Business Description: Ulta Beauty is a beauty retailer that offers a wide range of beauty products and
services. Our mission is to provide our customers with the ultimate beauty experience by offering a
diverse selection of high-quality beauty products, expert advice, and exceptional customer service. Our
vision is to be the top destination for beauty enthusiasts, where they can discover, explore, and express
their individual beauty.
Environmental Analysis: Competitive Forces: Ulta Beauty faces competition from other beauty retailers
such as Sephora, MAC Cosmetics, and CVS Beauty. To assess our position in the market, we can use a
BCG matrix or attribute checklist to compare our business against our competitors. Recently, our
competitors have made strategic moves by expanding their online presence and offering personalized
beauty recommendations. Our estimated market share is 20%. Our key competitive advantages include
a wide product selection, a loyalty program, and a seamless omnichannel shopping experience.
Economic Forces: The economic environment can impact our business in terms of consumer spending
power and purchasing behavior. We need to consider differences within the beauty industry, such as the
impact of economic downturns on luxury beauty brands versus affordable beauty brands. Additionally,
economic factors can affect our suppliers, such as fluctuations in raw material costs or changes in trade
policies.
Political Forces: Relevant political forces that may affect Ulta Beauty include regulations on plastic
waste or environmental sustainability. For example, a law to reduce or eliminate plastic waste in a
county could require our business to find alternative packaging solutions. Additionally, political changes,
such as an election year, may impact consumer confidence and spending patterns.
Legal, Regulatory, and Ethical Issues: Ulta Beauty needs to analyze legal, regulatory, and ethical issues
that may affect our business operations. This includes local laws such as bans on the use of plastic bags,
restrictions on posting billboards, or potential increased regulations on direct mail marketing. We must
ensure compliance with these laws and consider the ethical implications of our business practices.
Technological Forces: Emerging technologies and trends in the hardware and software industries can
impact Ulta Beauty’s operations and customer experience. We need to stay updated on advancements
in e-commerce platforms, augmented reality for virtual try-on, and personalized beauty technology.
Integrating these technologies can enhance our online and in-store shopping experiences.
Social Forces: Social trends can affect Ulta Beauty’s business, such as demographic shifts or changing
social values. We need to consider how demographic trends, like the aging population or increasing
diversity, may impact our target market. Additionally, we should be aware of growing preferences in the
way things are done, such as the shift towards clean beauty or sustainability, and adapt our product
offerings accordingly.
Current Target Markets: Ulta Beauty’s current target markets include beauty enthusiasts aged 18-35,
primarily located in urban and suburban areas. These individuals have a high interest in beauty products,
follow beauty influencers, and are willing to invest in high-quality beauty brands. They are tech-savvy
and actively engage with social media platforms for beauty inspiration and product recommendations.
Current Marketing Tactics: Our current marketing tactics include a combination of digital and traditional
channels. Customers find out about our products through our website, social media platforms,
influencer collaborations, and word-of-mouth. They get information about the product or service
through product descriptions, customer reviews, and tutorials. The buying process typically involves
researching products online, visiting our stores for swatching and testing, and making a purchase. Ulta
Beauty allocates a significant budget for marketing activities, including advertising campaigns, social
media promotions, and loyalty program incentives.
SWOT Analysis
Strengths:
– Wide product selection and variety of beauty brands
– Strong brand reputation and customer loyalty
– Well-established online and offline presence
– Expert beauty advice
Weaknesses:
– Limited international presence compared to competitors
– Reliance on third-party suppliers for certain products – Limited customization options for beauty
products
– Limited sustainability initiatives
Opportunities:
– Increasing demand for clean and sustainable beauty products
– Growing online beauty community and influencer marketing
– Expansion into international markets
– Integration of technology for personalized beauty experiences
Threats:
– Intense competition from other beauty retailers
– Economic downturns impacting consumer spending on beauty products
– Changing consumer preferences and trends
– Potential regulatory changes affecting packaging and ingredient standards
Converting Weaknesses and Threats to Strengths & Converting Strengths to Opportunities:
To address the weaknesses and threats, Ulta Beauty can:
– Strengthen supplier relationships to ensure a consistent and reliable supply chain.
– Invest in research and development to offer more customization options for beauty products.
– Implement sustainability initiatives to meet the increasing demand for clean and sustainable beauty
products.
– Expand our international presence and adapt marketing strategies to target specific markets.
To leverage strengths and convert them into opportunities, Ulta Beauty can:
– Collaborate with beauty influencers and engage in influencer marketing to further enhance brand
reputation and reach a wider audience.
– Embrace technology and integrate it into the shopping experience, such as virtual try-on or
personalized beauty recommendations.
– Explore partnerships with eco-friendly and sustainable beauty brands to cater to the growing demand
for clean beauty products.
– Continuously innovate and introduce new product lines to stay ahead of changing consumer
preferences and trends.
Marketing Objectives:
1. Increase brand awareness and reach by partnering with influential beauty influencers and
expanding social media presence. Measure success by tracking the growth in social media
followers, engagement, and brand mentions. Target completion date: 6 months.
2. Enhance the online shopping experience by implementing virtual try-on technology and
personalized beauty recommendations. Measure success by monitoring the increase in online
sales and customer satisfaction ratings. Target completion date: 1 year.
3. Expand into international markets by conducting market research, establishing strategic
partnerships, and adapting marketing strategies to target specific regions. Measure success by
tracking sales growth in international markets. Target completion date: 2 years.
4. Develop and promote a sustainable beauty initiative by partnering with eco-friendly beauty
brands, implementing sustainable packaging practices, and educating customers on the importance
of clean beauty. Measure success by monitoring customer feedback and sales of sustainable beauty
products.
Target completion date: Ongoing. By aligning these marketing objectives with corporate objectives
and utilizing the strengths while addressing weaknesses and threats, Ulta Beauty can strengthen its
position in the market and capitalize on opportunities for growth and success.
Works Cited
“Decoding Ulta Beauty Inc (ULTA): A Strategic SWOT Insight.” Yahoo Finance, 1 Dec. 2023,
finance.yahoo.com/news/decoding-ulta-beauty-inc-ulta-055002954.html. Accessed 18 Dec.
2023.
Gatchell, Madelynne. Ulta Beauty: Strategic and Industry Comparison Ulta Beauty: Strategic and
Industry Comparison. 2022.
Kohan, Shelley E. “America Loves Ulta Beauty, Sales Increase 18% Aided by New Store Design.”
Forbes, www.forbes.com/sites/shelleykohan/2023/03/14/america-loves-ulta-beauty-salesincrease-18-aided-by-new-store-design/.
The4. “Marketing Mix Analysis of Ulta Beauty, Inc. (ULTA).” Dcf-Fm, dcf.fm/blogs/blog/ultamarketing-mix.
Ulta. “Cosmetics, Fragrance, Skincare and Beauty Gifts | Ulta Beauty.” Ulta.com, 2019, www.ulta.com/.
Purchase answer to see full
attachment
