Avon

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the company for women.
Marketing Plan
November 14, 2014

Avon Products, Inc. 2
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TABLE OF CONTENTS
Executive Summary
Situational Analysis
Internal Analysis
Company Analysis
Strengths and Weaknesses
External Analysis
Economic Environment
Technological Environment
Cultural and Social Environment
Competitor Analysis
Customer Analysis
Opportunities and Threats
Marketing Plan Objectives
Potential Opportunities for Growth
Marketing Strategy
Recommendation
Segmentation Scheme
Target Market
Marketing Mix

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Marketing Information Requirements
Implementation and Control Plan
Appendices and Exhibits
Bibliography
EXECUTIVE SUMMARY
For decades, Avon Products Inc. has been identified as “the company for women”. Avon, a
world leader in the cosmetic industry, has brought beauty and confidence into the lives of women
for more than 125 years. The company was founded on principles of trust, respect, and integrity
alongside a mission to empower women. These values will continue to lie at the heart of all
future company endeavors.
In the objective of increasing revenue and promoting brand loyalty, Avon plans to launch a new
online consulting feature to their website. This feature will further penetrate the cosmetic market
through satisfying the needs of novice makeup wearers seeking instructional advice. The
company plans to expand their customer base while upholding its mission to empower women
worldwide. This promotional strategy will succeed because it highlights Avon’s strengths as a
company who values personalized customer service and innovative technology.
SITUATION ANALYSIS
INTERNAL ENVIRONMENT
Company Analysis
“There are no ordinary women, only beautiful women.” This is a slogan that represents Avon, a
direct selling company in beauty, household, and personal care departments. Avon was founded
by David H. McConnell in 1886 on the basis of offering women a means to be financially
independent when such a chance was a rarity. Women were given the opportunity to work as
sales representatives: an opportunity to financially support themselves and their families. Avon
prides themselves on their outstanding customer service, employee recognition, corporate
citizenship, and maintaining and cherishing a friendly atmosphere. According to Avon’s 2013
Annual Report, the mission of the company is to “best understand and satisfy the product,
service and self-fulfillment needs of women globally. The company aims to help women become
financially independent, self-reliant, and ultimately realize their dreams. Avon’s vision today is
“to restore the company to its rightful place as an iconic beauty brand with products that

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consumers love and demand, and to reinforce our global leadership in direct selling, all while
continuing to fulfill our mission to empower women” ("2013 Annual Report").
Strengths and Weaknesses
Strengths
● Mission to empower women
● Direct selling strategy through sales
representatives
● Personalized customer service
● Customer loyalty
● Affordable prices
● “Portfolio of strong, award-winning
brands” (“Avon Products, Inc.”)
● First-to-market skin care technologies
● “Diverse geographic presence”
(“Avon Products, Inc.”)
Weaknesses
● Not available in stores
● Takes time for sales representatives to
coordinate with stores
● Largest markets in Brazil and Russia
● Low demand for long-term career as
sales representative
● Declining sales force and high sales
representative turnover
● Inability to test products
● Prices too low
● “Dependence on third party suppliers
for raw materials” (“Avon Products,
Inc.”)
EXTERNAL ENVIRONMENT
Economic Environment
According to S&P Capital IQ Industry Surveys of House Nondurables, even though the economy
is slowly recovering the housing market crash of 2008, “As of August 2014, Standard & Poor’s
Economics (which operates separately from S&P Capital IQ) forecast that real personal
consumer spending would slip to 2.3% in 2014 from 2.4% in 2013,” (Agnese). It is important to
consider how this decrease in personal spending will impact consumer makeup purchases.
Although makeup may be viewed as a necessity to some, the decreased spending might apply to
the makeup market as consumers choose cheaper makeup or decide to purchase less makeup.
The Industry Survey suggests that the best place for growth is in international, developing
markets. Another trend in the market environment is the weak performance of the personal
products market. According to a MarketLine Industry Profile report, “The US personal products

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market saw a weak rate of market growth through the period 2009-2013. Through the forecast
period 2013-2018 this growth is expected to slow slightly, while still being assessed as weak
overall” ("Personal Products in the United States"). The report also notes that supermarkets are
the leading distributor of personal products in the US, with a market share of 52%, whereas
department stores are valued at 12.9%. Additionally, according to the Direct Selling Association
(DSA), total direct retail sales in the U.S. amounted to $32.7 billion in 2013, a 3.3% increase
over 2012. Companies must consider these economic factors when searching for growth
opportunities.
Technological Environment
New, technological discoveries allow companies like Avon to create new brands and products to
better cater to consumer needs and expand product offering. The younger demographic in the
market are also more active on social media and the Internet and are therefore more responsive to
online marketing. Increased online technologies have allowed for programs to be developed that
enable users to connect more easily with sales representatives and products. Mary Kay’s
website, for example, allows you to find a sales representative based on location. Similarly,
Avon currently has an online Virtual Makeover feature where products can be virtually tested.
This growing trend of digital marketing and promotion is especially important to reach the
younger demographic in the market.
Cultural/Social Environment
Avon was founded in a time where women traditionally did not have financial independence.
Their mission was to empower women and provide them with a means of personal income.
However, the environment has shifted over the past 50 years and more women are employed and
have a means of financial stability and independence. The article “Women in the Workforce:
What Changes Have We Made?” notes that “women's presence in the labor force has increased
dramatically, from 30.3 million in 1970 to 72.7 million during 2006-2010” (Baig). Although
these strides have been made and many women are financially independent, women’s rights are
still widely discussed today and feminism continues to be an important social movement.
Competitor Analysis
Key competitors include general and drug-store makeup brands (i.e. CVS, Walmart, Target), as
well as similar door-to-door companies like Mary Kay and Arbonne. Arbonne’s strengths
include its green and organic approach to skincare whereas Mary Kay is committed to
philanthropic aid for women and children. However, their major weakness, similar to Avon, is
that they are not sold in stores, which makes their products inconvenient to obtain. Specialized
personal products stores such as Sephora and Ulta are also big competitors, offering convenience
by providing a variety of products within a retail store. However, they do not offer the personal
and customized sale of makeup that Avon and other door-to-door companies provide.
Companies that offer brands that can be commonly found in departments stores, such as Proctor
and Gamble and L’Oreal, with market shares in 2013 of 22.2% and 8.5%, respectively, are some
of Avon’s biggest competitors, considering the placement of these brands are strongest in the
most popular sales distribution channels (“Personal Products in the United States”).

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Customer Analysis
According to Marianne McCoy, a 5-year Avon sales representative, her clientele ranges from
ages 25-65. Currently, Avon is geared more towards older women (ages 45-65), who lived in a
time where there were not as many opportunities for women to be financially independent. They
were attracted to Avon’s mission of female empowerment. Furthermore, parties held by Avon
sales representatives were a good way for these women to socialize. However, the needs and
patterns of the younger market differ greatly from those of the older market. The younger
demographic is more active and reliant on social media and may not be as willing to attend Avon
selling parties. They are also less dependent on companies such as Avon for social and career
opportunities and Avon’s strategy should be refocused to target and draw in these younger
women.
Opportunities
One of Avon’s potential opportunities is to sell its products in stores to increase recognition and
accessibility. Partnerships with other companies can be pursued where samples can be provided
to increase awareness. Avon also has the opportunity to create a mineral makeup product line in
order to appeal to a younger target market. If the target market is shifted to appeal to younger
women, the marketing strategy needs to be revamped as well. Avon needs to increase its
presence on social media and not rely on door-to-door sales for the younger demographic,
because their socials needs differ from those of older customers. Avon currently has a Virtual
Makeover feature, where consumers can upload photos and try on different products, but more
can be done to appeal to the social environment of the younger demographic. There is an
opportunity to create an online consulting service where consumers can video chat with a sales
representative and receive personalized and immediate feedback and advice. This service will
allow Avon to set itself apart from in-store competitors by offering personalized consultations at
the convenience of the customer. In terms of branding, Avon has the opportunity to capitalize on
its founding mission to empower women, which would make the company stand out amongst its
competitors who were founded simply for profit.
Threats
Some threats include makeup retail stores such as Ulta and Sephora, as well as other similar
door-to-door companies such as Mary Kay and Arbonne. Common supermarket brands such as
P&G and L’Oreal are a big threat to Avon because of their prominence in the market, as well as
their convenience in terms of product placement. Another threat to consider is the substitution of
DIY (do-it-yourself) personal products for those sold in stores, made at home using simple
ingredients. However, “Although using traditional alternatives to manufacture personal products
avoids exposure to many chemicals, the relative inconvenience and ineffectiveness of DIY
alternatives renders them unlikely substitutes” (“Personal Products in the United States”). An
additional threat involves the increased job opportunities now available to stay-at-home mothers
to gain some extra money. Therefore, selling Avon may not be seen as the most attractive option
if more lucrative opportunities exist.

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Summary of Opportunities and Threats
Opportunities
● Stronger advertising and social media
presence
● Partnerships
● Sampling
● Charity brand
● Mineral make up
● Celebrity spokesperson
● Growing male market
● Increased use of technology and
internet
● Sell products in stores
Threats
● Physical stores that sell makeup and
skincare products (e.g. Ulta, Sephora,
Bareminerals)
● Other door-to-door and online
companies (e.g. Mary Kay, Arbonne)
● L’Oréal
● P&G
● Drugstore brands/makeup
● Job options for stay at home moms
● “Increasing labor wages and
healthcare costs” (“Avon Products,
Inc.”)
MARKETING PLAN OBJECTIVES
1. Focus the target market to younger women and novice makeup wearers
2. Stronger and more effective use of social media
3. Re-segment the sales force
4. Capitalize on Avon’s strength of personalized customer service
5. Mission: “To restore the company to its rightful place as an iconic beauty brand with
products that consumers love and demand, and to reinforce our global leadership in direct
selling, all while continuing to fulfill our mission to empower women” (“2013 Annual
Report”).
POTENTIAL OPPORTUNITIES
Option 1: Partnerships and Sampling

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Market Penetration
In order for Avon to be successful, the company needs to focus on their core mission of female
empowerment. A potential opportunity is partnering with companies and foundations in order to
distribute samples and ultimately show that we are committed to helping women in today’s
society. This could be implemented through market development; keeping the same products
while expanding partnerships and sampling to target consumers of different ages. According to
an Avon sales representative, younger generations do not use our products because they do not
have the time or patience to go through a sales representative, nor do they know much about
Avon. Partnering with companies that younger women tend to shop at would help these potential
customers test out our products and would help us get our name out to people who don’t know
much about us.
Avon should host events that prove they are committed to empowering women. Avon has a
foundation called the “Avon Foundation for Women.” Their website offers donations towards
causes such as breast cancer and domestic violence. Avon should hold more charitable events,
such as walks, runs, and luncheons, to spread the message of female empowerment. If people
attend these events and see that Avon is more than just a makeup company, then it will be able to
form emotional and personal relationships with potential customers. This will make women more
inclined to buy Avon products. Avon should distribute more samples to increase brand
awareness. This will allow potential customers to test products before a purchase. Partnerships
and sampling related to the mission statement of empowering women are key to the success of
Avon.
Option 2: Online Consulting and Virtual Makeover
Market Development
This opportunity involves updating Avon’s sales method. Physical sales representatives do not
satisfy the new target market. While door-to-door representatives meet the needs of older
customers, it does not meet the demands of the younger generations. Younger women are
constantly looking to connect with people through the Web when it is convenient and
comfortable for them. According to Exhibit 5, the second and third most helpful resource to
provide beauty recommendations to female customers are the store website and social media,
with percentages of 46% and 33%, respectively (“Cosmetics Industry”). Everything can now be
done virtually and online. When Avon was founded, the idea of female sales representatives
empowered women by providing job opportunities, enabling them to support themselves
financially. This online consulting center will continue to satisfy that mission. They will video
chat or instant message with customers in a convenient setting. This new strategy will meet the
needs of Avon’s new target market – younger women, ages 18-25, and novice makeup wearers.
Avon currently has an easy-to-use virtual makeover center where you can upload a picture to test
various products on yourself (https://www.avon.com/virtualmakeover). This feature will be used
in conjunction with the online consulting technology. Both the customer and consultant will have
access to the virtual makeover through the use of a shared screen, and the consultant will make
changes to the picture based on the needs of the customer. The combined use of both
technologies will help customers who are having trouble deciding on products and application
methods that will best complement their features. Pairing these two technologies together and

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advertising them on social media will allow Avon to reach an untouched target market. Lastly,
this will help Avon stay true to their mission of empowering women while adapting to the most
recent changes in the social environment.
Option 3: Charity Product Line
Product Development
Avon can start a charity product line and promise to donate one dollar for every item sold to help
women with breast cancer. The charitable campaign will enable Avon to establish a positive
corporate image by indicating that Avon is willing to take social responsibility. Rooted in the
self-definition as “the company for women,” Avon chooses the victims of breast cancer as its
beneficiaries. Avon also has the opportunity to empathize with women suffering from breast
cancer through a celebrity spokesperson. The altruistic behavior hidden behind the purchase of
Avon products provides customers with pleasure derived from the idea of helping others. The
charity product line fulfills the need for sisterhood, a belief that women are always ready to help
each other. This is consistent with Avon’s original mission to empower women by helping them
be financially independent. Also, it is important to note that the implementation cost will be low
because Avon can pick an existing product line such as the skincare line. A charity product line
can help Avon by boosting customer loyalty and philanthropic support.
Option 4: Mineral Makeup
Product Development
One opportunity Avon could explore is adding a mineral makeup line. Avon does not currently
have any mineral makeup products, only pressed powders. Mineral makeup accounts for a large
part of the industry and is expanding rapidly. Mineral makeup was introduced in the 1970s by
Bare Escentuals as an alternative to traditional foundation makeup. Many advantages of mineral
makeup are that it has a long shelf life, is long-lasting, and is more versatile than most other
makeup. Mineral makeup binds to oil and not water and is therefore naturally resistant to the
earth’s elements and good for your skin. Mineral makeup is perfect for all skin types; it is talc
free and is great for younger people. Mineral makeup complements other makeup products Avon
has to offer, such as eyeshadow and lipstick. This new product would fit in the generic market
because it meets a broad need: the need for easy-to-use, long-lasting makeup that is free of harsh
irritants. Mineral makeup would reach the younger target market as it is easy-to-use and better
for sensitive skin. BareMinerals currently has the largest share of the mineral makeup market,
however, they do not tend to target younger consumers and their products can be costly.
Sheercover is another competitor, using TV infomercials to attract customers. Even though
many makeup brands currently offer mineral products, a mineral makeup line would benefit
Avon because it would attract a younger customer base.
MARKETING STRATEGY
Recommended Strategy
Based on the analysis above, we believe enhancing web sales and services is the best strategy for
Avon. The website will offer online consulting synchronized with a virtual makeup screen shared
by the professional consultant and the customer. The strategy should be able to incorporate

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Avon’s strengths of building an interactive relationship with its customers and producing diverse
high quality products. Furthermore, Avon should be able to attract younger demographics by
simplifying the shopping experience and shortening the distribution time.
As one of the oldest cosmetic companies in the U.S. and an expert in direct sales, Avon has
developed strong brand recognition and a wide customer network. Avon owns a variety of top-
ranking, award-winning brands that target different groups of customers. In addition, the
company currently employs more than six million representatives all over the world who provide
personalized customer services (“Avon Products, Inc.”). However, as the digital generation
becomes the primary customer base, direct selling no longer meets the customer’s preferred
shopping method. Avon is trying to transform its distribution channel from direct selling to
online sales. The first transformation effort was launched in 2010 with the Mark brand, which
targeted women ages 18-24 (Agnese). Sales representatives used social media rather than the
traditional door-to-door selling method. Although the trial was not systematic and sales were
constrained to Mark products, the trial’s success indicates the rising trend of web sales within the
younger demographic. Investing in online consulting will allow Avon’s representatives to
provide real-time, personalized, high-quality customer service at their convenience. Integrating
online consulting with the virtual makeover simulator will overcome Avon’s weaknesses in
delayed sampling and testing.
Segmentation Scheme
According to Marianne McCoy, Avon’s current primary source of revenue comes from women
ages 25-65. Avon has a competitive advantage due to their customer loyalty established through
the use of direct selling. However, women ages 18-25 compose a large share of the beauty
market and have high purchasing power and influence in the market. Due to the fact that Avon is
not currently targeting these women, there exists an opportunity to attract them and increase
revenue.
Based on our research, we have identified three segments of customers that are profitable to
target. The first are “novices”: women who are new to makeup wearing or looking to experiment
with makeup. This segment includes younger women and women transitioning into the
workforce, who are looking to enhance their natural beauty. The data in Exhibit 4 suggests that
of women ages 16-24 in the United Kingdom, over 40% prefer a natural makeup look, compared
to approximately 34% who prefer a color enhanced look (Institute of Practitioners in
Advertising). Novices need guidance with makeup education and product selection. For this
reason, Avon’s online consulting service will best satisfy the needs of this segment.
The second segment is “intermediates”: women who currently wear makeup and are looking to
sample new products. These customers are regularly purchasing makeup products and are
constant players in the market.
The third segment is the “experts”: women who have been wearing makeup for a long time and
are set in their ways. These women tend to be loyal to the brand they use and are reluctant to
change their makeup application habits.
Target Market

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For Avon’s new target market, the promotional emphasis will be placed on younger females as
well as novice makeup wearers. Avon is looking to attract this new target market by increasing
their online presence and relying less on door-to-door representatives.
The social environment has changed enormously since Avon’s founding in 1886. People of all
ages, and more specifically the younger generations, are spending a lot of time on the Internet
(Pew Research Center). Exhibit 3 notes that 97% of Internet users in the US are between the
ages of 18-29. They have become accustomed to doing everything online. Furthermore, this
market segment is more technologically advanced and is looking for convenience and comfort in
their shopping experience. Avon’s new plan for online consulting will satisfy these needs.
Meeting these unique needs will draw younger women to Avon. Unlike many of their
competitors, Avon, as a company, is more than just makeup and beauty. They care about shared
values, which is evident in the “Avon foundation for women” as well as the “Avon Breast
Cancer Crusade” and the Avon campaign to “Speak Out Against Domestic Violence.” If Avon
wants younger females to understand these messages and ultimately use their products, they need
to make their services more desirable to them.
For women of all ages, Avon stands for beauty, innovation, optimism, and above all, for
women’s empowerment. Avon is a company that brings beauty to doors, but also opens them, as
we support over 6 million representatives in over 100 countries. Avon truly cares about women
and wants this target market to think of them as a company willing to go above and beyond for
their customers. Avon has the ability to be a company that caters to the needs of their customers,
and the new promotional plan to add online consultants will prove that Avon is willing to do
exactly that.
MARKETING MIX
Product
The younger demographic may only feel the need to wear makeup when they go out to formal or
professional events and they are looking for a simple, natural look. The best way to target and
interact with this younger demographic is by offering an online service to further appeal to and
reach the target market. By setting up online video-chat and instant-message consultations with
qualified Avon representatives, consumers have the ability to receive personalized
recommendations based on their needs and wants and they also have the ability to physically see
the range of makeup products. This service can also be used in conjunction with the already
existing Virtual Makeover feature on Avon’s website. Customers can “try on” the products
using the Virtual Makeover and, through a shared screen, the representative can provide
feedback and further recommendations. With the online consulting service, Avon is remaining
true to its values of personalized customer service, but just through a different medium to fit the
new target market’s needs. The younger demographic is unlikely to go to an Avon sales party but
they are more active on the Internet and social media than the older demographic. By providing
consumers with the option to choose either a video consultation or an instant-messaging
consultation, there is more flexibility for individual preference and convenience. Consultants

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would be available from 8:00 a.m. to 11:00 p.m. but there would be an option to email a
consultant to set up an appointment, if desired.
Placement
To make the new consulting service easy to access, there will be a tab on the main page of
Avon’s website to link to the webpage with the online consulting service. This webpage will
also contain the existing Virtual Makeover feature so that it can be used during the consultation,
allowing shared access between the consumer and the representative. When the new feature is
first launched, it will be advertised at the top of Avon’s main webpage (similar to how a new
product would be advertised). Placing it at the forefront of the company’s website will make it
easy to spot and access.
Price
The online consulting service will be free of charge in order to better reach the target market and
their needs. Especially for the younger demographic in college or entering the workforce, paying
for a consulting service would not be the most attractive option. The goal is to set Avon apart
from its competitors by offering a personalized, complementary service. Offering the
complementary service would also help boost Avon’s brand recognition and lead to future sales.
With a strong sales force of “more than 6 million representatives” (Coleman-Lochner) some
door-to-door sales representatives can switch to online consulting, such as those who favor the
convenience of working at home. Those working for the online consulting service would receive
an hourly wage based off of hours of consulting. They would also receive commission, but
slightly less than those of the door-to-door sales representatives (because they are receiving this
hourly wage). Other prices considerations include the costs of developing the new virtual
technology. The technology is projected to be developed in 2015, and according to the Profit
and Loss Statement (Exhibit 1 in Appendix), total expenses are projected to increase by over two
million from 2013 to 2015, rising to 6.19 billion dollars in 2015.
Promotion
The online consulting service will be advertised through the aggressive use of social media. Due
to the fact that the target market relies heavily on social media for news and general information,
Avon needs to increase its online presence to advertise the new service. Twitter and Instagram
accounts for Avon already exist, but they are not updated often and there is room to increase
interaction with customers. Avon can utilize Web mining to advertise to the target market and
advertise the new service on websites that the target market visits. TV and magazine advertising
should also be pursued because the target market uses these channels. Avon can advertise a
product and, at the end of the commercial, mention and highlight the new, free service.
According to the Profit and Loss Statement, Avon plans to increase advertising by about ten
million dollars from 2013 to 2016. Avon CEO Sherilyn McCoy has focused on increasing
mobile advertising and technologies, by “embracing technology with mobile applications and

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putting brochures online, while adding more profitable home and fashion products to boost
earnings” (Coleman-Lochner). According to a 2012 study on attitudes toward mobile
advertising, individuals aged 18-34 have the most favorable attitudes when it comes to
advertising on mobile devices, with a favorable attitude toward mobile display ads of 24%
compared to 10% of those aged 35-49 and 2% of those aged 50+ (Brown). Avon can also
partner with popular makeup and skincare accounts on YouTube that do makeup tutorials to get
the word out about the new online consulting feature, as well promote the brand name in general.
MARKETING INFORMATION REQUIREMENTS
For Avon, recognizing and satisfying the beauty needs of women worldwide has always been a
priority. Through executing market research, Avon hopes to learn how to best meet the needs of
younger women and ensure the success of our online consulting feature. In order to reduce risk,
an online survey will be conducted regarding the demand for online access to makeup advice.
This survey will be advertised on social media, such as Facebook and Twitter, to receive as many
responses from our target market (women ages 18-25 and novice makeup wearers) as possible.
Avon market research personnel will extensively analyze the survey results and determine ways
to incorporate them into our promotional strategy.
After updating our website with the new online consulting technology, Avon will organize a
focus group including women who are “novice makeup wearers”; consumers in our target market
who will demand this new feature. It is imperative to receive feedback from our target market
about the design of our web page in order to best satisfy their needs.
Avon will then launch a test run of the online consulting center in order to further reduce risk and
maximize our likelihood of success. This test run will be available to United States consumers,
during certain times of the day, for about one month. Then, we will survey the users of this new
feature to receive feedback and possible improvements that can be made. If users respond
positively, then we will fully launch our online consulting program worldwide with around-the-
clock availability of sales representatives offering video chat and instant message makeup
advice. If responses are negative and consumers are dissatisfied, Avon will consider
improvements of this feature or brainstorm alternatives for reaching this target market.
Lastly, it is critical that market research be conducted on a regular basis to ensure that Avon is
meeting consumer needs in the best way possible in the midst of an evolving market. We want to
make certain that a young female demographic is still demanding this type of technology.
IMPLEMENTATION AND CONTROL PLAN
Avon Market Development Implementation
Avon’s new online consulting platform will be implemented worldwide through a detailed three
stage process promoting technological development, a re-designation of the current sales force,
and a new advertising campaign.
STAGE ONE: Update Technology
January-July 2015

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In order to implement the new platform, the first step Avon must take is updating the technology.
The company must design a new tab on the Avon web page that gives customers the option to
video chat or instant message with a consultant. This new tab will be titled “online consulting.”
When the customer clicks on the tab, they will see a short biography on the sales
representative(s) who are available. They will have the option to email or instant message the
representative or sign on for a video chat. The video chat feature will be a shared screen so the
customer is able to talk to the representative as well as use the virtual makeup application. The
last technological implementation would include investment in company laptops to provide to
the sales representatives serving as online consultants. These company computers will make sure
the consultants have the technology required to successfully consult with their customers.
STAGE TWO: Designate Task Force
May-December 2015
The second step that Avon must take is designating and training their task force. It is important
that Avon surveys their current sales representatives to see who is interested in working as an
online consultant. Based on these results, Avon may need to hire more representatives. The
online consultants will be trained on how to use the new technology as well as incorporate their
direct selling skills online. Newly hired workers will also go through company training to make
sure she is applying Avon’s core values in her everyday work life. Once the representatives are
hired and trained, Avon will need to determine the schedule for on-call. The beauty of being an
Avon worker is its convenience and ability to create your own schedule. However, it is essential
to plan ahead to ensure at least one representative is available for immediate consulting at all
times.
STAGE THREE: Launch Advertisements and New Website
January 2016
Stage three of the implementation plan is arguably the most important. If this new promotion is
going to be successful, the advertising must reach our target market. The best way to reach the
younger generations is through social media, such as Facebook, Twitter, YouTube, and
Instagram. According to the Profit and Loss Statement, Avon has the necessary funding to
advertise on these websites, while still being able to maintain a high profit in the long-run, with
projected profit of 193.6 million dollars in 2017. Next, advertisements should also be included in
popular magazines and on television. This advertising campaign will highlight the new online
consulting feature on Avon’s website as well as the company’s high level of personalized
customer service. It is imperative that the advertisements are linked to the company’s objectives
to expand their customer base.
Potential Risks
In order to maximize the success of the online consulting center, it is essential that Avon is aware
that this implementation plan comes with potential risks. For example, there may be a lack of
sales representatives that are willing to serve as online consultants. Some women may want to
remain as door-to-door sales representatives and may find it difficult to work with new
technology. Moreover, Avon expects a high demand for online consultants after this plan is
implemented and risks having more customers seeking advice than available consultants. Avon

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plans to have at least a few sales representatives available at all times. However, due to
unanticipated scheduling conflicts, there may not always be a consultant available at the specific
time requested by the customer. Furthermore, there are always malfunction risks with innovative
technology, including Internet crashes and connectivity issues. These risks must be taken into
consideration when implementing this plan.

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APPENDIX
Exhibit 1: Profit & Loss Statement
Exhibit 2: Projected Financials
Exhibit 3: Share of Internet Users in the United States, by age group
Exhibit 4: Preferred Makeup Look for Females in the UK
Exhibit 5: Most Helpful Sources for Beauty Advice
Exhibit 6: United States Personal Products Market Share
Exhibit 7: Brand Value of Leading 15 Cosmetic Brands
Exhibit 8: Annual Key Financial Items

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EXHIBIT 1

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Bibliography
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Brown, Millard. "How would you characterize your attitude to each of the following formats of
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14 November 2014. <http://www.statista.com/statistics/247850/attitudes-towards-mobile-
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Coleman-Lochner, Lauren. "Avon CEO McCoy Embraces Technology to Reverse Profit
Slump." Bloomberg. N.p., 22 Feb. 2013. Web. <http://www.bloomberg.com/
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"Cosmetics Industry." Statista. Statista Dossier, 2013. Web.
"Financial Reports: Avon Products, Inc." Thomas One. N.p., n.d. Web.
<https://www.thomsonone.com/Workspace/Main.aspx?View=Action%3dOpen&=www.t
homsonone.com&IsSsoLogin=True>.

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Institute of Practitioners in Advertising. "Preferred make-up 'look' for females in the United
Kingdom (UK) as of January 2014, by age*." Statista - The Statistics Portal. January
2014. Statista. 14 November 2014. <http://www.statista.com/statistics/287925/preferred-
make-up-look-in-the-united-kingdom-by-age/>
McCoy, Marianne. E-mail interview. 20 Oct. 2014.
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