1.

0 Preliminary Analysis Screening

1.1 Company Character

1.1.1 Company Background/ History

Jill Lewis was born in New York on March 9, 1965 and later attended the studies of
fashion and art at the Parsons School of Design. While attending courses at the
Parsons, Stuart manages to get an opportunity to show her seven astonishing original
pieces at the graduation Show, and successfully caught the attention of the panel
judges of the show. After the show, Lewis immediately obtained a 2 years contract from
the Macy’s Department Stores. As this dramatically turn out to be the stepping stone of
her fashion dreams, designs to be advertised in New York Magazines.

During the late 1990s, Lewis started to establish as a global brand growing with huge
success, especially in the Asia Pacific countries. And today, Lewis’s collection is
featured into almost 180 boutiques all over the world. However, Lewis has never given
up her dream, to make every girl pretty in their way. Ever since her childhood, Jill Lewis
has had a great passion and enthusiasm for cosmetics and fragrance. She intend to
continues her princess dream just like any other small girls will do, and uses the idea
into the production concept. Therefore, Jill Lewis beauty is most well-known for its
feminine, dreamy, fantasy- alike while princess-style of cosmetic products.

1.1.1.2 Company Philosophy

“Creativity, openness, continual self-improvement and fun”

The company believes staff will only be motivated to produce good quality of work,
when they are given chances. Through openness of new ideas, creativity, continual
self-improvement and nevertheless, fun will best motivates the staff to perform at their
peak.

1.1.1.3 Vision
“To be the pioneer leader in cosmetic industry and bringing the best for everyone”

By stating the best, it means the best products, the best people and the best innovative
ideas. Jill Lewis Beauty Department is team up by 20 female employees, which aged
from 20s and 30s, just like the age of the targeted group. All of us use what we have
produced; we never mess with ladies appearance.

Ideas from all the basis activities such as research, package design, promotional
activities and even store design are carefully developed to incorporate with our global
perspective Jill Lewis brand.

1.1.1.4 Mission

“To encourage all the one who are feminine in their heart of the use of makeup, and the
fun and joy arises from it.”

Jill Lewis believes that every girl dreams to be like a princess, to be taken care and
pampered. Therefore, company’s products are developed into such a way that could
remind and delight their day by saying everyone should reach for the stars!

1.1.1.5 Slogan

“Dream comes true” – by Jill Lewis

Jill Lewis believes that every girl is motivated by their dreams. Through continuously
improvement of their inner and outer beauty, they could get closer and closer to their
dreams.

1.1.2 Products

“A crown jewel for every princess”

The company cosmetics products are developed into more than just a makeup tool but
also a trendy accessory. The packaging of the products is like “princess crowned jewel”
and uses both the modern and retro element in its design. The products uses a lot of
crystals, mirrors, flower prints, light and soft tone of colors. Besides, diamonds are
always women’s best friend, therefore, the design ideas are mostly generated from the
diamonds. In addition, most of the products are scented with assorted floral scents. The
combination of smell and packaging of the product are designed to delight the process
of makeup. The company believe that makeup is not just a must-procedure, meanwhile,
there are plenty of women who just makeup for the sake of makeup, they have long
forgotten the joy of makeup.

Another specialty in Jill Lewis beauty products will be the emphasizing of uses of cheek
color. Unlike the other cosmetic brands which are mostly emphasizing the eye and lips
make up. This has make Jill Lewis stands out from the other brands. A lot of girls have
ignore the importance of cheek color, however, Lewis has always think that a good
make up should be comprises from a good complexion.
1.1.3 Customer Profile

Segmentation Base Criteria

Geographical segmentation
• Region • Asia pacific
• US
• UK
Demographic segmentation
• Age • 20s to 30s
• Sex • Female
• Income • $25,000 and above per annum
• Occupation • Professional, White-collar,
Undergraduates
Psychological segmentation
• Need-motivation • Affection, sense of self-worth, indulgence
• Personality • Both intro and extroverts, low dogmatic,
• Perception love seeker, dreamers

• Attitudes • High risk brand perception

• Positive attitude
Psychographic segmentation
• Lifestyle • Trend watchers and status seeker
Use-Related segmentation
• Usage rate • Heavy users, medium users, light users
• Awareness status • Aware, enthusiastic and interested
Use-Situation segmentation
• Time • Work, leisure, morning and night
• Objective • Personal appearance, gift and fun
• Person • Self, family, friends and peers.
Benefit segmentation
• Sex appeal, self-confidence, social
acceptance, long-lasting, value for
 money and fun

1.1.4 Resources
 Labor Costs

Jill Lewis managed the labor cost which represents a huge portion of total cost and
made profit in 2008 by using the cost and benefit analysis model. The company used
the compressed workweeks to save labor cost without cutting down layoffs. The
company was very careful on selecting and hiring the right person that were highly
productive workers, not slackers, remaining on the payroll so that it can save the cost
on recruiting and training new staff. When the company faced the capital issue, it would
reduce the contributions to retirement and health care plans temperately. The company
has already cut overtime and travels, as well as purchases of office supplies and
equipment.

 Human Resources

The company did certain activities for human resources management. It provided the
free training for the best employees. The people who had good performance may get
opportunity to go abroad for training. The company was fully aware of the personnel
policies which conform to current regulations. Based on the Maslow’s Hierarchy needs
model, the company modified the employees’ needs well and conduct the activities to
make them highly motivated to increase the work efficiency.

 Raw Materials

To better control the quality of products, the company used the Just- in- time Supply
Chain Planning model to decrease the waste during the assembly processes. We
minimize the production line to reduce the waste of resources and cost. And we use the
simple management structure to reduce the complexity and form the transparency. By
using the Internet, we can build a better supply networks to improve the effective and
efficient production.

1.1.5 Management Style

Jill Lewis has built the free and harmony working environment for the staff to show the
ideas and opinions, almost like the US style. The higher authorities do not interference
in the subordinates’ affairs. All the subordinates can make their own decisions and
implement their power without considering too much. It was guided by the model of
leadership continuum (Tannebaum and Schmidt, 1973). The model is as follows:

 Increase managers’ performance

By using this model, managers can fully participate in running business. They can get
more motivation and perform better on the task. All of them should take high pressure
and have the high skill and knowledge to deal with any situation in a short time. More
rights offered, more work should be down.

 Increase employees’ performance

Jill Lewis uses the reward power from the five bases of social power of French Raven.
Every employee can get the reward based on the performance. It means that you work
harder and contribute more; the company will pay you more. But the bad performance
will be judged by the coercive power. It also offers the expert power for those people
with high education level and skill.

1.1.6 Organization

The employees in Jill Lewis are not just workaholic, but also working for the same
intention about the company under the management by objectives (Peter Drucker,
1954). It is based on the leadership continuum management style which improves the
integrated marketing communication of the company. It is useful to guide the
employees to the same goal so that it can specific objectives to each member and let
everyone involve the decision making process to build the concept about the company
objectives in their minds. No matter what they thinking and doing, all the things will stick
with the right direction. It improves the efficiency of business.

1.1.7 Financial Limitations

With the gloomy economic environment and devaluation of the American dollars, the
company still kept good increasing on the sales. The sales increased about 11.4% in
the second quarter of 2008, about $368,000,000. After adding the financial investment
from the foreign cosmetic company, our total profit increased 6.1%. The EBIT was
influenced by the cost of reorganization plan. It decreased from 10.5% to 10.1%. The
company got the total profit from the market share about $24,000,000. Compared with
last year, the company increased $18,000,000. We will increase the budget for the
development of products. Overall, the budget will be added about $450,000,000.

 Lack of capital

Jill Lewis may face the financial limitation on the increasing cost of raw materials. For
expanding market in Malaysia, there will be high cost and lead the company lack of
funds.

 Lack of financial support

The gloomy economic environment may influence the foreign company’s investment on
the product development which will affect the total sales. They may hold their money for
emergency on the economic changes. It will increase the pressure on the financial
support.

 Lower consumer purchasing power

The consumer may not want to purchase a lot. There will be fewer sales in the luxury
cosmetic products. The company has to do certain promotions to attract the sales.

1.1.8 Management and Marketing Skills

 The company is specialized in the product area

It mainly focuses on the product development and forms the brand image in the
cosmetic industry. The cosmetic products target on the young ladies who pay more
attention on the fashion area. The company try to build the special brand image by
added the unique, fantasize, eye-catching and floweriness and classic features on the
product. And R$D department may get the inspirations from different areas of arts in
the different period, for example, the vintage arts during the period of Renaissance, rock
and roll music style. Its main goal is to come out with the product which can help the
girls to make the beauty dream come true and let the ladies have their own special
charm.
1.2 Home Country Constraints

Social • Getting more youngster use of the cosmetics product is because

of the cosmetic product has become the necessity goods in daily.

• The men are getting to use of cosmetics product due to society

towards men using cosmetic product as an image and style for
the men.

Figure1: Market segmentation for cosmetics sector

(Source:http://www.smartcompany.com.us/Premium-
Articles/Industry-Trends/20080207-cosmetics-toiletries-
industrytrend.html)

• Due to the higher purchasing power fall into category of baby

boomers, therefore the cosmetic company did segment in this
market.

• Most of the women (45-55yrs old) income level disposable so

that cosmetic product has been segment for this category profile
with premium product.

Legal • The two important laws pertaining to cosmetics marketed in the

United States are the Federal Food, Drug, and Cosmetic Act
 (FD&C Act) and the Fair Packaging and Labeling Act (FPLA).

• FD&C Act is to check the product has meets the standard

requirement and protect consumers from health hazards and
deceptive practices.

• FPLA is to avoid misleading customer to purchase, therefore the

producer must make a labeling which is stated the contained and
date of manufactured.

Economic • In cosmetics industry has rapid growth in this few years, 2009
has growth 3.3 % it achieved to $ 1.9billion.

Figure 2: US Cosmetics industry performance

(Source:http://www.smartcompany.com.us/Premium-
Articles/Industry-Trends/20080207-cosmetics-toiletries-industry-
trend.html)

• The industry has grown at an average annual rate of 3.4% over

the five years to 2007 to 2008.

Figure 3: US household Income levels

 (Source http://www.census.gov/hhes/www/income/income.html)

• Household income level from year 2001 -2007 was increase due
to the economic recovery and growth.

Political • North American Free Trade Agreement between the United

States, Canada, and Mexico (NAFTA) entered into force and it
creates the largest free trade area.

• Government has set up United State Animal Welfare Act is to

against cosmetics producer test the cosmetic product with
animals.

• All animals used in biomedical research must be bought from

vendors licensed by the U.S. Department of Agriculture

Technology • US have the technology for cosmetics sector with reviews of

latest, Up-To-Date Safety Research to make the product reach a
standard requirement such as ISO 9001.

• Determinations of possible ingredient toxicology.

• The technology which able to evaluation & testing of human

health impacts to provide the safety of the using cosmetics
product.

• Testing and evaluation performed by scientists trained in product

safety.
1.3 Host Country Constrains

Economics  Malaysia health and beauty market is growing

rapidly.
 Increasing of purchasing power, standards of living,
level of demand and sophistication of consumers.
 According to trade source, the cosmetics and
toiletries industry recorded retail sales of $857 million
in 2006, while sales volume is forecast to hit $1.1
billion by 2010. Cosmetics products attributed more
than 20% of this.
1500

1000 Cosmetic

500 Cosmetis &

n(M
io
) S
le
a

Toiletries
0
2006 Year 2010

Estimate spends US$500 million annually on

cosmetics.
Political / Legal  All the cosmetics in Malaysia must be registered
under
o Category1: those products will be absorbed
through the skin.
o Category 2: others cosmetics product
With the Drug Control Authority, National
Pharmaceutical Control Bureau of the Ministry of
Health. (The Control of Drugs and Cosmetic
Regulations 1984 Act)
  Manufacturers, importers and wholesalers must be
licensed before import, manufacturer and sell the
cosmetics product. (The Control of Drugs and
Cosmetic Regulations 1984 Act)

 All registered product must be labeled according to

the stipulating labeling requirements. (The Control of
Drugs and Cosmetic Regulations 1984 Act)
Competitive  L’OREAL (M) Sdn Bhd
 Procter and Gamble
 Estee Lauder
 Shiseido Co. Ltd
Legal of Technology  HALAL certified cosmetic and toiletries product.
 Rice based cosmetic – natural based ingredients
rising in Malaysia cosmetic and toiletries market.
 NANO Technology.
Culture  HALAL Cosmetics – formulated without animal-
derived emulsifiers or gelatin and alcohol.
Structure of  Department Stores
Distribution o Metrojaya, Isetan, Jusco, Pakson.
o Premium Lifestyle Product such as Shiseido,
Kanebo, SK-II etc.
 Specialty Stores
 Main channel for premium lifestyle product such
as The Body Shop, Sasa, L’occitane etc.
Geography
 Whole Malaysia, major in Klang Valley, Johor
Bahru and Penang.
Competition
L’OREAL (M) Sdn Bhd
 Market Leader in cosmetic market since 2001.
 Strength financial power and invest in a
large scale into its research and
 development.
 25 international brands divided into 4 categories: - consumer products, active
cosmetics, luxury product and professional products.
Procter & Gamble
 Understanding consumer’s habit and needs.
 Invest heavily in research and development.
 Highest achievement in technology and
applying it to consumer products.
Estee Lauder
 World’s leading marketer of prestige beauty and cosmetics.
 Over 20 well-known prestige brand cosmetics
and toiletries product.
 Superior quality, continued innovation and
improved speed to market.
 The Best New Eye Treatment Beauty Award.
Shiseido Co. Ltd
 3 H – High quality, high service, and high image
 Effective customer relationship management.
 Strong distribution strategy.
2.0 Marketing Mix – 6P’s

2.1 Product

2.1.1 Product Positioning Strategy

The company’s products are positioned as a high-prestige brand and are sold through
the department store and specialty store. The brand has been enormously popular
among the target group of women in their 20s, and it is characterized by a unique image
of sweetness that incorporates both innocence and sexiness.

2.1.2 Product Life Cycle

Jill Lewis is on the early stages of the product life cycle, where the company’s product is
conceptualized and first brought into Malaysian market. Since Jill Lewis is not known to
the Malaysian public, the company seeks to build product awareness and develop a
market for the product.

Advertising is crucial during this stage, so the marketing budget for Jill Lewis is often
substantial. The company is using the rapid skimming to build awareness of its product
among the consumer. The rapid refers to the speed with which the company recovers
its development costs on the product – the strategy calls for the new product to be
launched at a high price and high promotion level. According to Philip Kotler, this is the
best work when the new product is unknown in the market.

Besides than marketing strategies, sales promotion is important when the product is in
the introductory phase. The company seeks to build product awareness and educate
customer about the product through sales promotion, examples like sampling, rebates
or coupons.

2.1.2 Product Design Strategy

The company products will be emphasizing in the uses of cheek color. Unlike the other
cosmetic brands which are mostly emphasizing the eye and lips make up. This has
make Jill Lewis stands out from the other brands. A lot of girls have ignore the
importance of cheek color, however, Lewis has always think that a good make up
should be comprises from a good complexion.

Another specialty in Jill Lewis beauty products will be the emphasizing of the packaging.
The package of the products is like “princess crowned jewel” and uses both the modern
and retro element in its design. The products uses a lot of crystals, mirrors, flower
prints, light and soft tone of colors. Besides, the design ideas are mostly generated from
the diamonds. In addition, most of the products are scented with assorted floral scents.
The combination of smell and packaging of the product are designed to delight the
process of makeup. The company believe that makeup is not just a must-procedure,
meanwhile, there are plenty of women who just makeup for the sake of makeup, they
have long forgotten the joy of makeup.

2.1.4 Product Quality Decision

The making use of the best ingredients and the latest trends in the world of beauty, the
company has established itself as a brand for a long time and is a safe and professional
choice to go with if consumers are looking for a great product and looking good for a
reasonable price. The company using active ingredients that do not only offer care for
the skin but also giving the best in colors and textures science and beauty help
customer to transform to be the best that they can be.
2.1.5 Product List
Product List
Product List
2.2 Pricing

Jill Lewis is positioned as a high prestige brand due to its unique value-added products
features.

2.2.1 Valued-based Pricing Strategy

Jill Lewis cosmetics are being priced based on consumer’s perception of the brand
value, in the other words; the company adopted the value-based pricing strategy. Big
monies have been paid out to advertise and promote through celebrities endorsements,
public relations and etc. As a result, the brand is highly exposed, generated high-
awareness and established a well-known and highly reputable brand identity among the
other brands.

2.2.2 Market-Skimming Pricing Strategy

Jill Lewis has endorsed a market-skimming pricing strategy in setting the new product’s
price. Jill Lewis is very confidence in their products quality and features, therefore the
new product price will be aligned with the other products, not to be reduced or set at a
lower price to attract consumers as this might affect the value perception of consumer
which is high price equals high quality. And, often results showed that consumer are
more than willing to pay high price for the new Jill Lewis products.

2.2.3 Product line pricing strategy

Jill Lewis has also practiced the product line pricing strategy whereas the price is based
on the different features of the products. For example, the price range for the base
make up products is between RM 200 to RM 300 and above. Meanwhile, the eye
makeup products are ranged between RM 100 to RM300 and above.

2.2.4 Discount and rebates pricing strategy

The company does not encourage the use of discounts or cash rebates, as these
promotional pricing will create a “deal-prone” customer base which will wait until the
brand go on sale before buying them and yet the constantly reduced prices will erode
the brand’s value in the eyes of consumer. Jill Lewis has less discounts on the products,
however, they offered a lot of value-buy promotion sets, where the price are being
lowered when the consumer purchases more.

2.2.5 Product Price List

Product Price

Basemake Moist Silk Powder Foundation (SPF15/PA++) RM 260

Color Control RM 220

Stick Concealer RM 210

Moist Silk Liquid Foundation (SPF18/PA++) RM300

Loose Powder RM330

Pure Lasting Makeup Base (SPF15/PA++) RM220

Pressed Powder RM260

Eyes Jelly Eye Color (10 Colors) RM160

Brilliance Eyes (4Shades x 6Variations) RM370

Eye Liner Pencil (2Shades) RM150

Illuminance Eyes (4Shades x 6Variations) RM370

Liquid Eyeliner (7Shades) RM185

Eyebrow Pencil (3Shades) RM150

Extra Curl Mascara RM 220

 Seductive Eyes (4Shades x 5Variations) RM370

Eye & Lip Makeup Remover RM 130

Cheeks Mix Blush Compact (4Shades x 9Variations) RM 330

Blush Powder RM 310

Lips Jelly Lip Gloss (12 Colors) RM 160

Lip Liner Pencil (6Shades) RM 150

Lipsticks (12Shades) RM 210

Lip Luster (20Shades) RM 210

Fragrance Eau de Toilette RM 280/RM

340
2.3 Promotion

Jill Lewis has adapted few of the strategies from the home country carry to the host
country. Jill Lewis has choosing the Malaysia as a host country and focus with the
strategies for promotion:

I. Advertising

II. Public relation

III. Online

IV. Sales promotion

Hence, a promotion strategy actually for Jill Lewis is not only promoting the product to
consumer but Jill Lewis wants to communicate with the host country consumer aware of
Jill Lewis product. Jill Lewis is a premium product therefore it would not do so much on
promotion is more on recognition and building relationship.

2.3.1 Advertising

Traditional Media

• Jill Lewis will use the mix media

(traditional media and electronic
media) to advertise the product in
host country.

• Jill Lewis more concern about to

communicate consumer in host
country by educate consumer about
the product and build relationship
with the consumer.

• Jill Lewis found out that in

 Malaysia most of the people have a
used to buy newspaper. Therefore
Jill Lewis will provide the advertising
in newspaper and give rebate
voucher to the newspaper reader as
a 1st introduction.

Magazine

• The magazine of InTrend and

female will only the one of Jill Lewis
appoint magazine because of this
magazine more on premium product
and reader are getting increasing
and this more suitable for the Jill
Lewis product image.

• A apart from that Jill Lewis has

chosen Taylor Swift as brand
ambassador due to Taylor Swift is a
loyal consumer of Jill Lewis and she
is a singer artist.

TV and Big Screen

• Jill Lewis also using the TV as a

media to reach out attract more
customer and make desire to the
TV watcher is also lead the people
from unawareness to awareness
stages or awareness to desirable.

• Jill Lewis using the latest

 technologies advertising in Malaysia
there will be out of home
advertising, this out of home
advertise more focus on big screen
TV and Jill Lewis has appointed Big
Tree company to proceed.

2.3.2 Public Relation

Advertorial

• Jill Lewis will have a series of

advertorial in newspaper to
introduce Jill Lewis cosmetics
product and benefit of the product
also the look up Jill Lewis product
never had in Malaysia market
before.

• Taylor Swift, Jill Lewis

ambassador will come to Malaysia
for the 1st store opening and she will
have an interview for after using the
Jill Lewis product.

Events and Celebration

 • Jill Lewis will organize event will
the shopping centre such as Mid
Valley Megamall. Jill Lewis will
hold an event for the model show
and carrier the product to the
people and makes them to
purchase.

• Beside this, Jill Lewis also will

hold a party of princess in
Zoukclub and will have a theme
day for the girls who want to be
princess.

Online

• Jill Lewis will have the online based

forum, for the consumer advice to
make up, enquiry for doubts, feedback
for the products and improvement or
innovate the new product.

• Jill Lewis also provides the basic

make up process video in the
webpage for consumers who have no
idea about make up to learn.

• Jill Lewis will updated the news and

events through the online however Jill
Lewis choose not selling the product
by online is to make sure customer
won’t get cons and get further details
 in Jill Lewis store.

• Jill Lewis will send the email to

consumer and new customer about
the promotion, other than that, Jill
Lewis has assign an online club in
Twitter to convenient members to join
the club also get the brand awareness.

2.3.3 Sales promotion

Discount

• For 1st time purchase we will

selling a small pack for the
consumer have a trial for the
product or we call as introduction kit
for Rm180 include ( mascara, eye
liner, foundation, and lip sticks)

• Jill Lewis will have the VIP card

for consumer. VIP members are
able to enjoy 30% discount for 30%
and receive a monthly catalogues
from Jill Lewis.
Rebates

• Jill Lewis will have the voucher

rebate for the newspaper reader.

• Jill Lewis will have the gift for the

consumer who has purchase more
than RM500 will get mystery gift by
Jill Lewis.

In addition, Jill Lewis will use AIDA model for the advertising because of the make target
audience pay more attention to Jill Lewis product from unawareness stage to aware of
Jill Lewis product in Malaysia. Beside this, Jill Lewis use ambassador Ms Taylor Swift to
create a reputable image therefore makes the target audience more interest with the Jill
Lewis product. Moreover, Jill Lewis has bring in a lot of variety series of cosmetics
product and the price are reasonable therefore lead target audience have desire to
having Jill Lewis product. Lastly, when target audience take action they will be enjoy of
VIP treat or the event which held by Jill Lewis.

2.4 Place
2.4.1 Channel Description

Jill Lewis’s cosmetics products are mainly focus on Klang Valley, Johor Bahru and
Penang. The products are distributed into the different department stores in Malaysia.
Our major department stores are set in Metrojaya, Isetan, Jusco, Pakson.
In order to create attractive brand values, Lewis is flexible in addressing diversities to
each channel. But the main channel level is that the product delivered directly from the
manufactures to the store and finally to the consumers. The cosmetics products are
distributed in Malaysia through exclusive distribution system, horizontal management
system.

Klang Valley Location Map

2.4.2 One of the Jill Lewis’s department store’s Floor Map in Mid Valley

L’OREAL
Anna Sui

Dior
Jill Stuart

Clinique

Contact details:

Mid Valley City, Lingkaran Syed Putra

59200 Kuala Lumpur, Malaysia

Information Counter :( 603)2938 8888

Website: www. jilllewis.com.my

2.4.3 Department stores:

2.5

People JAYA JUSCO

2.5.1 Types of recruitment: METROJAYA

In order to choose the right ROBINSON

PARKSONN
person at right position, Jill Lewis ISETAN
uses the external
sources
recruitment. The
company posts the
job requirements
on the
advertisements in
newspapers and
television to cover a wide area of market and the scattered applicants can get
information from advertisements. As to find the professional person to do the job, the
company also uses the employment agencies. It also set the Campus Recruitment to
encourage the fresh applicants, like the fresh graduates or postgraduates in the
educational institutes. For certain time, Jill Lewis will find the specialists people to
supply the manpower to the factory or manufacture plants. If the people have the
recommendations from certain company and have working experience, it is also
accepted by our company. The recruitment requirements as follows:
Types of person Requirements
 prior selling experience and supervisory experience
helpful in retail, cosmetics and management
 Proficient in computer business-related computer
software (Microsoft Word, Excel, Access, etc.)
Stores Manager  Excellent supervisory, analytical, reasoning and
communication skills
 effectively train, coach and develop new and
incumbent associates
 preferred degree
 Minimum High school diploma
 Familiarity with accounting policies, procedures, and
budget management, capital and business financial
processes desired.
 Beauty Experience- Cosmetic, Skin
Supervisor
Large volume or multi-store management experience
 Passion for fashion/cosmetics
 Excellent communication and leadership skills
Computer skills (Microsoft office)
 Ability to work evenings and week ends
 Diploma and 3 language speaking
 Sales experience preferred
 Customer service skill
Sales Assistant
 Cosmetic knowledge and make up skill
 Energetic and dependable
 Self-motivated
Storekeeper  A high school diploma
 one to two years of applicable experience working with
detailed inventory/stock
 Maintains records on same Issues stock upon
 authorization.
 Processes paperwork required to receive stock, issue
stock.
 Computer skill

2.5.2 Training

Training process
Jill Lewis has treated their employees as individual and provides the training and
education for them. The company is management by objectives so that the employees
are motivated by the fair treatment. The company enhances awareness and creates a
sense of career direction, and the necessary knowledge and skills. They will get the
reasonable promotion based on ability and training programs.

2.5.3 Remuneration of staff

Jill Lewis’s Rewards its employees with the following Benefits & Incentives:
 • Fun, Fashionable, Fresh retail sales environment

• Vacation & Holiday Pay (based on schedule & service)

• Health & Life Benefits (for eligible associates)

• Flexible Schedules

• Growth and Opportunity in the nation's largest department store

• Ongoing Training & Development

• Employee Discount

• Employee Appreciation Days

• Industry Competitive pay

2.5.4 Stores’ Uniform

Uniform for store sales representative

2.6 Packaging

2.6.1 Packaging strategy

Today, cosmetics are more than just a makeup tool, they are decorative. Researchers
have shown that there is a close relationship between the packaging design and the
female consumer behavior or attitude towards the cosmetic products. Jill Lewis is
highly-famous for its unique packaging. The successful use of the stunning decorative
style of packaging has brought Jill Lewis stand out from all the other brands, it has
attracted millions of female consumer from all over the world and thus built up a strong
brand identity as the most princess-alike makeup.

Jill Lewis has specially assigned designers for the packaging decorations. Jill Lewis
cosmetics product packaging strategy is proven to be very successful as it is designed
to meet the female consumers’ emotional needs, increases product value and favors
the positive purchasing attitude of the female consumer. The packaging of Jill Lewis
cosmetics are mostly inspired by floral elements, diamonds, soft colors such as cream
peach and soft pink shades, laces and etc.

The packaging style includes the surface texture, design pattern, color used, shapes
and fonts. One of the most feminine and vintage packaging designs will be the design
of Jill Lewis fragrances. All the fragrances are bottled into heavy glass bottles, the
bottles are design to be like a diamond, as it is sensuous and has a facet curved glass
shoulder and an adorable stopper.

The packaging of the cosmetic products are not just decorative but are all carefully
designed according to their product features.

Forms of packaging Illustration Description

Glass Bottle  The bottle form packagings are

mostly used for the liquid base
makeup and foundations and
 makeup remover.

 This form of packaging is very

suitable for liquid cosmetics. As it
will reduces the sensitivity of
temperature due to the heavy
glass and prevent it to be
deteriorate.

 The cost for this packaging

(including fragrance) will be the
highest among the other
packaging due to its material.

Glass Bottle Jar  This bottle jar form of packaging is

mostly used for the eye makeup
which is in creamy form.

 As it will ease the space of storage

and also prevent the cosmetics
from deteriorated due to the heavy
glass.

Plastic Tube  This tube form of packaging is

mostly used for the cosmetic which
comes in a smaller portion, such
as the mascaras, liquid eyeliners
and lip gloss.

 This form of packaging is very

suitable as most of these wakeups
are needed very often in a day; as
ladies also retouch-up their eye
and lips makeup, therefore this
 handy and light in weight features
enable the mobility of the cosmetic
products.

 This plastic tube packaging has a

lowest cost as compare to the
others due to its low-cost material.

Mirrored Compact  This form of packaging is mostly

cases used for the solid and powdered
cosmetics, such as the compact
foundation powder, eye shadows
and blushers.

 This form of packaging is very

suitable as it is very efficient in
storage and handy.

 The cases is provided with a glass

mirror, which is very useful in
applying the foundation, eye and
cheek makeup as compare to
applying a lip gloss where mirror is
an optional need.

As for the brand paper bags that been used in all the retail stores are all uniformed into
a rectangular soft pink color paper bag. The paper bag has a simple and elegant design
with brand name “Jill Lewis” printed in black font style. The stores have prepared 4
types of paper bags; extra small (4 inches X 3 inches), small (8 inches X 4 inches),
medium (10 inches X 5 inches) and large (12 inches X 6 inches). The sales person or
beauty advisor will choose the proper sizes of the paper bag according to the amount
and volume of purchases. Jill Lewis has also launched certain limited special edition of
paper bag due occasionally.
 Brilliance Eye Boxes

Foundation Power Pouch

Paper bag Medium/Large – 8x4 / 10x5

Paper Bag Extra Large- 12 inches X 6

inches Jelly Eye Color Boxes
3.0 Marketing Plan Development

3.1 Market Situation Analysis

The Malaysian cosmetic and toiletries market has registered a favorably rapid growth
over decades. As a result, the cosmetics and toiletries market has recorded retail sales
of RM 857 million in 2006; while the cosmetics product has attributes a total of 20% and
above to this.

The increase of consumer purchasing power and standard of living has encourages the
growth of cosmetic market’s demand. In addition, the market has once again being
stimulates through the increasing demand from the young consumer. The cosmetic
market has flourishes gradually as the teenagers are getting more aware of self
appearance and fashion trends.

Generally, Malaysian government does not intervene much in the import of cosmetic
and toiletries products; as no there is no import restrictions, licensing or quotas; except
an import duties of 20% to 30% on the powdered cosmetic and toiletries products and
hair preparations products.

However, Malaysia does have implement a strict governing on the safety issue of the
imported cosmetic and toiletries products. According to the control of drugs and
cosmetic regulations 1984 Act; all cosmetic products must be registered and inspected
by the Malaysia Drug Control Authority and National Pharmaceutical Control Bureau of
the Ministry of Health.

The Malaysia’s cosmetic industry has a merely saturated competition as there are more
new imported brands and well-established brands that appear in the market. The
industry leader will be the L’oreal (M) Sdn Bhd which owns famous brands e.g.
Biotherm, Lancome, Kiehls’ and Shu Eumura, the other competitors such as Anna Sui,
Shiseido and Estee Lauder. However, each brand has strived for succeed in their own
respective market, as the Anna Sui is targeted on younger consumer group; while Estee
Lauder targeted on middle age group consumer.
3.2 Objective and Goals

Quantitative  Establish an estimate of 50 cosmetic counters in the

following department stores such as Isetan, Robinson,
Marks and Spencer, Jusco and Metrojaya within a year.
 Aimed to achieve a 15% market size in local cosmetic
market.
Qualitative  To achieve and maintain high brand equity from the
Malaysia market through media such as fashion magazines
and company forum website. (http://forum.jilllewis.com)
 Ensure quality customer relationship management from
all the sales person and beauty consultants through
consistent product training courses.
Marketing  Increase advertising activities in TV, print media such as
beauty magazines, and internet (blog and websites
banners and pop-ups advertisements).
 Implementing discounts promotion strategy through
cash discounts, membership rewards, and seasonal
clearance in order to generate a higher sales volume,
brand awareness and customer loyalty.
 Set up marketing campaigns and involved beauty
contest sponsorship to increase brand awareness.
 Conducting consumer surveys to receive feedbacks in
order to get a better understanding of consumer needs.
Finance  To increase a 20% of net profit margin in the first quarter
of year.
 To achieve a steady growth in annual earnings.
 Estimate to attain RM 4.52 million of sales in Year 5.
3.3 Mode of Entry

3.3.1 Direct Exporting

Jill Lewis got the resources and supports from the company in US. After the company
does the market research about the cosmetic product industries, they choose the direct
exporting way to entry the Malaysia cosmetic market without using any international
marketing middlemen. The US supplier controls all the activities and promotions, and
collects all the feedback or drawback from the consumers. They also take direct
responsibilities for Jill Lewis cosmetic products sold in the Malaysian market.

3.3.2 Advantages of direct exporting:

Effective marketing strategy control • Offers the greater control over

the entire export transaction and
entitles Jill Lewis to greater benefits.
• Directly control the consumers’
market and do the R&D to improve
the quality of the product.
• Closer relationship with the
buyers and the marketplace in
Malaysian, the management of
whole process will be easily
conducted.
Systematic and comprehensive • When Jill Stuart start to plan to
information collecting entry the Malaysian market, they do
the market research about the
environment related with its own
strengthens and weakness.
• They choose the direct exporting so
that they can directly get the
performance of the products in

Wider and in-depth knowledge about
the Malaysia market
Malaysia market. When the new
products are issued, the company
may get the survey and analysis
report from the manufacture.
• If the product is not accepted by the
market, the company can adjust the
developing plan to solve the
solution and satisfy the market
needs well.
It is also good for the company to
allocate the competitors information.
Jill Lewis’s competitors L’Oreal do the
Christmas promotion in the shopping
mall. The company can get to know
the information and quickly react by
doing the similar or better promotion
strategy to gain the sales.
• Get to know well about any changes
happened in the supply chain and
toward to the end users.
• Increase the knowledge about the
market by do more and organize
more which help them to better
understanding the market needs.
• Consumers get to know the
company directly and feel more
secure in doing business with the
company.
• The business trips for Jill may be
much more efficient and effective
with wider and in-depth information
 about the market.
• The company will have greater
flexibility to improve or redirect to
marketing efforts.
Reduce the contractual conflicts • There will be fewer parties involved
in the process.
• The exporter directly controls the
market without too many doubts
from other partners.
• For the indirect exporting, there may
be the benefits between the
middleman and manufactures. The
middleman may get higher profit
from the channel, even the
manufacture get lower benefits.
There may be conflicts between
them. Direct exporting may not
have such problems. The company
has the same compliment so that
they can better achieve the
objectives without too much
arguments and work efficiency.

3.3.3 Disadvantages of Direct Exporting

Higher cost • There will be high cost involve in the

marketing, distribution and
administration.
• Since the exporter of US personally
handles every aspect of the
exporting process from market

Requires more manpower to build
customer base
research and planning to foreign
distribution and collections.
• The organizational structure has to
undergo sea changes to support the
complex operations included in
direct exporting.
• The company must shift its focus on
to developing a proper channel for
supplying the products.
• It may add the cost into the product.
It has to suit the Malaysia market
and spend many to penetrate.
• The Jill Lewis used the sales
representatives and agent in
Malaysia and choose the retailers
and suitable distributors those all
increase the cost of entry.
• The firm is further depended on the
fluctuation of transportation costs.
• High transportation costs can make
it uneconomical to get involved in
the import or export of the
cosmetics products.
• It is not so easy to cultivate the
customer base in Malaysian market.
• The company has to spend more
time and energy, even high cost to
do build the customer base.
• For example, they should hire more
professional local sales
representative especially who work

Difficult administer
3.4 Projected Profit and Loss
on a commission basis to handle
the customer complaints.
• But, those sales representatives
have no authority and risk or
responsibility of the products.
• There will be disagreement between
purchasers and served markets.
For both of the partners may have
different views on exported benefits.
• The exporter control and manage
whole thing so that there may lack
of some concerns about certain part
of the expanding plan.
• Servicing the business will demand
more responsibilities for every level
of organization.
• The exporter is held accountable for
whatever happens and less buffer
zone. In terms of distance and
unfamiliar environment, Jill Lewis
has to do more market effort to
administer the organization.
• Timing is critical. It is not easy for
Jill Lewis in Malaysia cosmetic
markets, even the market has been
already saturated by the high
foreign cosmetic companies.
The next graphs show Jill Louise’s projected annual revenues and annual net profit over
a three (3) year period.

ProjectedAnnual Income and Operating

Income
1,000,000
773,024
800,000

600,000 486,740 460,470

M
R

400,000 299,886
172,735
200,000 93,990

0
2010 2011 2012
Net Income Operation Income

Detailed profit and loss projections are presented in the Appendix.

3.5 Projected Balance Sheet

The company anticipates maintaining a strong balance sheet.

Complete projected balance sheet details are shown in the Appendix.

3.6 Action Plan
Gant Chart
4.0 Implementation, Evaluation and Controls

4.1 Performance Objectives

• To obtain a steady growth in sales profit and estimate to attain RM4.52

million sales in year 5.
• To increase brand awareness through advertising and promotion.
• Implementing customer relationship management to get a better
understanding of local consumer needs.
• To increase the market share by achieve and maintain high brand equity,
and ensure quality customer relationship management.

4.2 Standards

Standard Description Person In Charge

s
Product  The Control of Drugs and Qua Hong Zheng
Cosmetic Regulations. 1984 Act – Product Manager
product must be registered with
the Drug Control Authority.
 HALAL certified product -
formulated without animal-derived
emulsifiers or gelatin and alcohol.
Price  Price Control Act 1946 – Lai Zhong
enforce power as price controller Finance Manager
to fixed prices and charges.
Promotion  The Advertising Standard Evelyn On
Authority (ASA) 1977 Marketing Manager
 The main tasks are to enforce
and encourages high ethical
standards in advertisements.
Place  The Control of Drugs and Qua Hong Zheng
Cosmetic Regulations 1984 Act - Product Manager
 must be licensed before import,
manufacturer and sell the
cosmetics product.
People  Employment Act 1967 – provide Koh Hui Fen
benefits and incentives for Operation Manager
employees.
Packaging  The Control of Drugs and Evelyn On
Cosmetic Regulations 1984 Act – Marketing Manager
product labeled according to the
stipulating labeling requirements.

4.3 Measure Performance

Qualitative

 Check on the daily and weekly sales report based on every counter.

Quantitative

 Consistence product training courses.

 Maintain and achieve high brand equity through media such as ads campaign
fashion magazines, and company forum website.

Marketing

 Advertising activities such as blog/websites and pop-ups advertisement.

 Promotion strategy such as cash rebates, member rewards, seasonal clearance.

 Marketing campaign and beauty contest sponsorship.

 Conduct survey, feedback from consumer and customer profile.

Finance

 Annual profit and loss statement and balance sheet.

4.4 Correct for Errors

Error Solution
Price Jill Lewis has targeted consumer  Jill Lewis might giving
for young generation. Jill Lewis promotion and discount to attract
has set up at premium price for the more customer.
product. Not all our targeted  Other than that, Jill Lewis
consumer range between 20 years might consider selling trial kit for
old to 28 years old is affordable to consumer to make them
purchase Jill Lewis product. affordable and enjoy with full set
of Jill Lewis cosmetic product.
Product The product range of Jill Lewis is  Provide more variety of
too less, and product most of the products in terms of color,
time emphasis on summer session technology and etc. The wider
therefore bring in to Malaysia range of product will be selected
market. based on suitable for Malaysia
market. On the other hand, the
others season will bring into
Malaysia but will be selected and
new product will be launching
same as home country.
Place Currently Jill Lewis only locate  Jill Lewis can be locating
department store in Malaysia and it more store in Malaysia to
will cause difficult to getting Jill increase the penetration of
Lewis product easily. Jill Lewis whole Malaysia, it more
also focusing only certain location convenience for customer to get
therefore some product might not Jill Lewis product everywhere.
getting at the particular place.  Having specialty store
available for the Jill Lewis.
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