Gary's Blog

GARY'S BLOG: THE BEST OF 2013

SPECIAL LIMITED EDITION...YOU DON'T WANT TO MISS THIS!

Did that catch your attention?  I thought so.

We see and hear the phrase, “Limited Edition”, more and more in today’s world of consumer marketing.  What was originally developed as a strategy of the publishing industry has become not only main-stream in not only marketing products in today’s market, but also in building a brand, protecting brand integrity and building brand value.

When you hear the phrase, “Limited Edition” or “Limited Time Offer”, etc. your “consumer mind” immediately translates this to be:

• Exclusive
• In demand
• Collectible
• Prestigious
• Most of all…Special

These are all the things any prestige business strives for.  When I say “business”, that refers to both BeautiControl “The Company” and your BeautiControl business.  To each and every client that you have, YOU are their BeautiControl.

So why am I telling you all this?  I have the opportunity to answer a lot of emails on a daily basis and I hear a lot of feedback as it relates to most every area of the company.  I often hear many of our Consultants and Directors say that they didn’t buy into certain products simply because they were marketed as “Limited”.  Not only does this limit your opportunity to increase your sales, but it also can limit the cycle of the business by not introducing enough impulse purchasing options for your clients to buy…especially around the Holidays when EVERYONE is spending money.

Let me give you a very real example of the power of “limited edition”.  Ok, I am a loyal consumer.  When I find something I like, I stick with it…I’ll try different things within that brand, but when I find a brand I like and trust, I am loyal to the core.  It was this loyalty to my favorite coffee brand that pulled me into the Starbucks store one autumn afternoon a few years ago for a quick afternoon pick-me-up.  I noticed an unusual clamor of energy and excitement and was quick to learn that the Pumpkin Spice Latte had become available on that very day.  People we coming and going and placing order after order for their Pumpkin Spice Latte.  I, of course, ordered mine as well and became an immediate fan and one who anticipates the day that it becomes available each year.  Last year, if you are a fellow fan, you will remember that there was a shortage of Pumpkin Spice Latte and the availability was extremely limited in many areas.  This year, I changed my driving route to allow me to drive by a Starbucks more frequently so I never had to face the disappointment of it not being available.  Now…here’s the funny part of this…every time I go into Starbucks, I always end up spending more than I intended by purchasing other things…mugs, music, bulk coffee for the house, the office, etc.  Then comes the terrible day each year when I stop in for my daily fix and Pumpkin Spice Latte is retired until the following year.

Am I disappointed?  Yes.

Am I frustrated?  Yes.

Am I going to stop drinking Starbucks because I can’t get my Pumpkin Spice Latte?  No…in fact, I became a more loyal consumer in the process.  I can rely on the fact that there will always be something new for me to try until my Pumpkin Spice Latte returns.

You see…that is the magic formula for sales.  They made drive to the store, park the car and stand in line for a cup of coffee which #1 created a sale (activity).   While I was waiting, I purchased more than I intended, which #2 increased the amount of my order (productivity).  I knew that there was a limited availability, so I better enjoy it while I could (frequency of ordering) and because I had enjoyed so many products from Starbucks, I trust just about anything they come out with (loyal brand advocate).

You may be saying, “Gary…that’s coffee, not cosmetics…it’s not the same!”.  Ok…I was ready for that one.  Below is quite possibly one of the most classic examples of a limited life product in the beauty industry.  Flash back to 1994:

In 1994, Chanel launched a one-run limited nail color shade called “Vamp”,  a deep blackened hue.  It was originally developed for the Fall/Winter Fashion Show; however, after receiving rave reviews by the press as a shade never-before seen as a nail color shade.  Upon launch to the public, it flew off retail shelves, prompting wait lists and competitors to imitate the shade (sincerest form of flattery).  The shade was reintroduced in the early 2000’s under the name “Rouge Noir” to their permanent collection and inspired the development of a matching lip color, shadow collections and extensions of the shade in various hues and textures…from matte, to crème to highly metallic.  Rouge Noir continues to be a bestseller to this day and still one of the best examples of a limited product with unlimited opportunities and changed the image of Chanel from a niche brand only attainable for the established and affluent to a more modern force as a trend-setter for high fashion cosmetics.

Note:  One nail polish from Chanel is $27 retail.

So, how does that apply to our business?   Each year, Chanel introduces limited edition nail lacquers, and people wait for them to be announced, pre-order the shades and most times at least a few of the shades are sold out almost immediately, or you have to search multiple stores to find the one you want.  They can create a cult-like status and when you see someone wearing the color you didn’t get, you can become jealous of that person for getting it.  Again, creates exclusivity and urgency for your Clients to purchase limited items from you the moment they come out, but also creates a way for your take preorders when you know a limited edition collection is coming out.  A good example would be the sneak peek of the Marble Eye Shadows at  October Super Saturday meetings.  Savvy Consultants most likely contacted all Clients who purchase color products, as well as cross-marketed to skin care and bath & body Clients, to offer them a sneak peek and an option to pre-order.  Genius!

All businesses in today’s marketplace use this strategy to stimulate sales activity, but there are many other reasons that companies use this method of launching products that you may not always take into consideration before deciding whether or not to “buy-in” to products that have a limited availability:

• Brand Rejuvenation
• Reason for YOU to contact Clients
• Reason for Clients to contact YOU
• Reason to place an order – increase activity
• Build the size of the order – increase productivity
• Sustain consumer interest in your brand (brand loyalty)
• Motivate a purchase without discounting (brand value)
• Test market a new product concept

From the previous examples, it is easy to see how new and limited products can help support movement and contact in a business, and if every limited product were introduced and kept around permanently, can you imagine how difficult it would be for you to manage your inventory?

Another extremely important reason for introducing limited collections or limited-life products is keeping the line current with the latest trends.  Trends are only as relevant as our Consultants and Clients will allow them to be, so introducing products as “limited” allows us to test market the trend to see if there is any interest by the sales force.  When a product is received well, and the uptake of the product appears to have a sustainable following, the product is often brought back into the line as a permanent line item.  Where would we be without some of those limited-life products that found an audience and became key products in your product portfolio?

Iconic products such as Instant Manicure, Brown Sugar Cologne, Tri-Colored Bronzers and most recently, BC Color Lighted Lip Gloss were launched as limited collections to test their appeal and acceptance by you, our BeautiControl sales force.  Can you imagine how differently the landscape of our business would be if everyone chose not to show these to their Clients because they were limited? 

Rather than resisting products or seasonal collections that are introduced to trigger activity in your business, embrace them and utilize them as the tools they are intended to be.  Cosmetic purchases are emotional purchases.  If you are not contacting your Clients with new, seasonal products, I can assure you that another company is...and your Clients are buying.   Rather than seeing limited items as a liability to you, view them as a SERVICE that you are offering your clients.  When you tell them up-front that an item is limited, it sets the expectation and builds excitement and a sense of urgency to order.  There are some incredible tools available on BeautiNet for you to use to share new product news with your clients, such as ePostcards, eNewsletter, Beauti book, Ad Slicks and Product Profiles, etc.  But don't limit yourself to only these tools.  Imagine if you created a personalized email or letter like the one I posted on the right (double click on the image to enlarge it for viewing)?  How would it make you feel to get a personalized note with a special opportunity as part of a Client Loyalty Program?  I try to live by the Golden Rule of Customer Service and ask myself  every day, "How would I like to be treated if I were the Client"?  "Would I be proud to be a Client of mine?  It is not the BIG sales and discounts that drive a person to be a client and a loyal consumer.  It is the little touches that you offer as part of your Customer Service that makes and keeps a Client.

Hopefully this has provided you with a little different perspective on the "HOW" and "WHY" limited-life products are introduced and how to better leverage them to stimulate and grow your business, as well as enhance your Customer Service.  Limited Collections are not only a smart Marketing tool to help provide energy and contact, but also important in providing you with the products you want and the products you want to sell.  They help you generate business and help us guide the direction of our product portfolio to ensure you remain relevant and competitive in this highly saturated marketplace.  We are your business partner and while you may work for yourself, you are certainly not working by yourself. We are here to provide you with the products, tools and training to make your business as easy and profitable as possible.

Make it a great week!

 

BeautiCoach: Holiday Glam - All About The Eyes