[School Project: Entrepreneurship]

1. LUSH
FRESH HANDMADE COSMETICS
MARKETING STRATEGY AND PLAN
SUBJECT: BUSINESS MANAGMENT
NAME:
1. KU AINA EZANIE BINTI KU BADLI (11701028)
2. AFEERA BINTI MUSA (11701005)

2. CONTENTS
NO CONTENT
1 BACKGROUND OF THE COMPANY
2 MARKETING LOCATION: MALAYSIA
3 MACROANALYSIS:
 Political and Legal
 Economic
 Social
 Technological
 Environment
 Cultural, Customer, Competitor.
4 RECOMMENDATION

3. BACKGROUND OF THE COMPANY
 Is created by Mark and Mo Constantine in Poole,
Dorset, United Kingdom under the name of
Cosmetic House Limited in 1994.
 It was in 1995 that they adopted Lush as
company’s name due to the competition ran in the
fieldgling company’s first handmade newsletter and
catalogue.
 Nowadays, Lush company has almost over 820
stores in 50 countries.
The original Lush store, located in Poole, Dorset, UK. The store also
houses a Lush Spa, accessed via the door on the left.

4. MARKETING LOCATION MALAYSIA
Located within Asia Pacific and ASEAN.
Malaysia with recent ranking being the top 6th
country in the world as the most easiest and
friendliness in doing business.
Here’s why we choose Malaysia:
o Malaysian businesses benefit from massive
consumer demand in local and foreign Asian
markets. A resident Malaysian business faces
low start-up costs compared to Singapore. A
resident firm benefits from country’s 68 double
taxation treaties which minimize with holding tax
on find transfers abroad. There is no
withholding tax leveled on dividends made
abroad by Malaysia businesses.
o English is Malaysia’s second language, and is
spoken by 70% of the population.
o The demographics are represented by the
multiple ethnic groups that exist in this country.
Malaysia map

5. POLITICAL AND
LEGAL
 Lush has stated that they believe in complying with the
law in each country that they operate in apart from any
laws that require them to carry out tests on animals.
 Lush has involved in many
campaigns such as anti-fracking
campaign, anti-hunt campaign
and campaign against shark
finning.
 Lush has been strict on their
products and where do they get
the raw materials. Lush does not
buy from companies that carry
out, fund, or commission any
animal testing - Instead, they
carry out test of their products on
human volunteers before being
sold to the publics.
MACROANALYSIS: PESTLE ANALYSIS

6. ECONOMIC
 Lush has made their product prices as fixed.
Fixed price allows customers or clients to have
assurance before purchasing Lush products.
 Lush took initiative to make sure Lush products
are at the best of quality they can provide. Their
goal is to provide quality cosmetic products yet
affordable especially in difficult economic
climates.
 Lush has taken steps to increase production rate
by offering jobs to the unemployed at their
factories in Poole, UK; Toronto, Vancouver and
Düsseldorf in Germany.
Lush products are 100% vegetarian, and often contain
fruits and vegetables were provided by local suppliers
to ensure the freshness of the raw materials. However,
the rising price of raw materials could affect the profit
margins as their product prices were fixed.

7. SOCIAL
Organic based cosmetics goods have been an increased
interest for over the past few years. Organic cosmetics are
created from ingredients which have been certified organic by
one of the numerous certifying institutions that operate
worldwide.
Lush products which are organic based
cosmetic goods are high in demand as
it offers more benefits. One of the
benefits the product offers is personal
hygiene and health of the consumers
which is Lush’ priority. Lush stores do
not typically sell products older than four
or five months and most products have
a shelf life of approximately 14 months,
depending on the particular item. This is
due to absence of preservatives which
involves usage of chemicals.
 Can be used on all type of skins
without causing any allergic reaction
or irritation
“LUSH is about passion and iconoclasm:
passionate for natural products, fresh
handmade cosmetics, seductive perfumes,
growth and profit - and iconoclastic about
everything else. “ – Angus Jenkinson

8. TECHNOLOGICAL
 Lush has come up with an interactive technology
called TouchCode.
 TouchCode is an invisible electronic code printed
on paper, cardboard or labels. By using
TouchCode, customers will be given interactivity
on products such as; reviews on Lush products
and tutorials on how to use them.
 An alternative as if customers were
communicating with a Lush salesperson.
Most of Lush products were sold online. Customers
have been demanding Lush to refurbish their current
Lush’s app- Therefore, Lush has re-furbish its app to
meet with customer’s expectation, making it more
user friendly by enhancing in-store experience in one
app.
This technology makes the customer more
informed about the products and increases their
will to buy them.

9. ENVIRONMENTAL
Lush are aware of how the products they manufacture and sell
interact with the environment - always used creative solutions to
make a positive impact on the planet, like the invention of the first-
ever solid shampoo bar.
 They use as little packaging in the shops as possible and give
customers the choice to go completely without packaging at all
- saved nearly 6 million plastic bottles globally from selling
shampoo bars alone.
 Lush are working to reduce the amount of energy used to
produce, transport and sell the products to customers by
making their processes more energy efficient, getting staff to
switch off, replacing less efficient equipment, generating some
of their own energy on-site and increasing insulation.
Lush prefer to use ingredients that are
produced in a sustainable way and
avoid those that are not. Palm oil, for
into Lush’s blacklist and was replaced
by more earth-friendly oils in their
soap base. They are now working to
remove it from all products, as well as
encouraging other companies to do
the same. They will keep on putting
masses of natural ingredients in their
products, dreaming up self-preserving
cosmetics, worrying

10. CULTURAL,
CUSTOMER,
COMPETITOR.
COMPETITION
Main competitors of Lush include The Body Shop, and
Origins Natural Resources, Inc. These companies produce
organic personal care goods that extend out to
differentiated consumer needs. Non-organic cosmetic
manufactures pose a threat to the organic cosmetic
industry since they are able to reduce the quality of their
products and henceforth the overall cost of the products.
CUSTOMER
Lush ensures customer satisfaction by employing
passionate people to look after them. These employees are
trained to understand customer needs, and to advise on the
best products to suit their requirements, and not simply to
hit sales targets.
Target customers:
1. The Confident Connected
2. Indie Dreamers
3. The Youthful Pursuits
4. The Creatures of Comfort
CULTURAL
Lush supports key cultural values that
focuses on the importance of testing
ingredients, the quality of materials and
the origins in which they come from.

11. RECOMMENDATION
1. The company could globalize their company by starting a campaign to grow by international expansion by
preparing an international business plan, conduct foreign market research and identify international
markets and also needs to tap government and private sources of financing and figure out ways to make
sure the company is getting paid.

12. QUESTION
AND
ANSWER