Marketing Audit Oriflame

MARKETING AUDIT for Oriflame Belarus

Word count:

4635 words in main text, excluding headings, index

1. INTRODUCTION

Oriflame Cosmetics LLC is a trade branch of global Oriflame Group, company operating mainly in cosmetics market in more than 60 countries with headquarters in Sweeden. Oriflame Belarus started operations in 2005 and pursued Oriflame marketing strategy for the last 5 years: to be number one beauty company selling direct in a market. This marketing audit is the first systemized review and appraisal of the environment and the companies’ operation for 5 years. The purpose of audit is to clearly understand the where it us now and to work out strategical view for the period of 2 years (2010-2011) to improve declining sales.

Oriflame Belarus started operations in 2005. The company grew extremely rapidly through providing existing network of distributors with a range of cosmetic products mainly of mass-market segment.

The last two years are characterized with slowing of sales grows of the company (Table 1). To understand current situation we should analyze macro and micro environment, as well as internal situation inside the company.

2. MACRO ANALYSIS

For Macro analysis of environment in which company operates we use PESTEL model and here are described the most important for company activity factors:

|Group |Factor |Influence on company’s activity |

|Political |Negative governmental attitude to foreign companies which |Spoils the company’s Brand in consumers perception |

| |have no production facilities in Belarus | |

| |Frequent changes in consumer taxation (VAT, Sales tax) |Very difficult to pursue the strategy of consistent prices|

| |Inconsequent...