Campaign Proposal

LUSH Fresh Handmade

Cosmetics

1738 Mount Lee Drive, Los Angeles, CA 90068

www.ecoglow-communications.org
ecoglowcomm@gmail.com
313-123-3313

Approved by:

Kaylee Lewis Joanna Costa

Bianca Gizzi Emily Yang

Table of Contents

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Letter of Introduction

LUSH Handmade Cosmetics Head Office

8680 Cambie St
Vancouver,BC,V6P 6M9
Canada

Ecoglow Communications
1738 Mount Lee Drive
Los Angeles, CA, 90068
USA

22 March 2017
Mr. Wolverton:

As Ecoglow Communications, we submit this campaign proposal for LUSH in the hopes of gaining your
business and helping you and your brand succeed.
This proposal includes a situation analysis with a brand overview, competition, target audience and
uncontrollable factors that affect LUSH as a brand. It also includes the combination of both primary and secondary
research which was analyzed in order to identify our recommended target audience, marketing goals, communications
goals, and creative/media strategies.
We are recommending these strategies in order to increase net revenue for LUSH by maintaining and
increasing in-store and digital advertising. We believe LUSHs main marketing problem would be that there is a lack of
awareness of the brands values, so our recommended communication goal is to increase cognition surrounding the
LUSH brand. In the following pages, we will address our compiled research, recommended target audience, and
recommended strategies.
We look forward to discussing this project with you in more detail in the future. Please contact us through
ecoglowcomm@gmail.com, or by phone at ( 313) 123-3313.

Sincerely,

Ecoglow Communications

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Executive Summary

As a brand that falls under the natural and organic personal care products category, LUSH Fresh Handmade
Cosmetics (referred to as LUSH from now on) is a brand that has focused on emphasizing their five core values from
the start. Their core values, (fighting animal testing ethical buying, 100% vegetarian, handmade, and naked packaging)
act as the driving force behind their products, and success of the brand, and thus far has resulted in generally
consistent growth. As the brand becomes more popular across the globe, and especially in the U.S., marketing,
advertising, and communication efforts could use development.
We, as Ecoglow Communications, have conducted both primary and secondary research to help further our
understanding behind LUSH and its current and prospective consumers. This research also gives insight into the
impression the average consumer has of LUSH. To start, we have learned that the public is generally aware of the
brand, but not what it has to offer. The primary research respondents see LUSH as a more expensive brand of
cosmetics, but are unaware of the brands values. Being that LUSH prides itself in its core values, it is evident that there
needs to be more attention towards increasing brand understanding.
It is obvious to us that LUSH has ample opportunity to increase their brand awareness being that there is a
solid brand identity to build on. LUSH is a socially responsible brand with specialized products made to increase the
quality of consumers lives.
In this proposal, we created a recommended strategic plan encompassing several aspects (marketing,
advertising, communications), in order to help LUSH take advantage of their opportunities. Through compiled research,
analysis, and application, we have suggested to increase advertising and marketing efforts to target women ages
18-35. We believe that this age range and gender hold the greatest opportunity for LUSH to flourish. They hold similar
values that LUSH has, they are frequent donors, and more importantly would pay a high price for worthy products.
Through proposed strategies, presented in the following pages, we hope to help LUSH continue to grow as the
international, special brand that it is.

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Introduction

LUSH is a vegetarian, all-natural, handmade, environmentally friendly, and cruelty-free cosmetics and skincare
brand. This brand offers a variety of products which includes, but is not limited to body soaps, skin-care products,
essential oils, hair care, beauty products, and deodorants. As stated, their products are handmade, and there is a
constant supply of new products, both in-store and online, for their consumers to enjoy.
In the following campaign proposal, we as Ecoglow will address LUSH as a brand, its strengths and
weaknesses, and the problems it is facing. Overall, LUSH is doing fairly well as a company. The main problem LUSH
faces is a lack of awareness when it comes to the brand and its core values. Because of this lack of awareness,, LUSH is
currently unable to maximizing the number of customers it brings in. Through careful primary and secondary research,
we believe that we have conceptualized a strong, plausible, and multifaceted campaign strategy for LUSH for the
upcoming year that will help solve this main problem and any other problems associated with it.

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Secondary Research:
Market Overview
As a category, LUSHs fresh handmade cosmetics fall under the natural and organic personal care consumer
market (NOPC). The types of products included in this category are for skincare, soap/bath, essential oils/body oils, hair
care, oral care, cosmetics/beauty products, and deodorants (Natural and Organic Personal Care Consumer, 2016).
LUSH directly competes with other organic personal care brands such as The Body Shop, Burts Bees, and Estee Lauders
brand, Origins, all of which will be discussed later. However, the company also competes with major non-organic
personal care brands such as Procter and Gamble and Johnson & Johnson due to product similarity. The December 2016
market report shows sales in natural and organic personal care have grown higher than mainstream personal care due
to safety and high quality reasons (Natural and Organic Personal Care Consumer, 2016). The NOPC market has
generated over $400 million in sales in 2016 (an 8.5% increase as compared to 2015) (Natural and Organic Personal
Care Consumer, 2016). Government regulations on advertising natural products are tightening, therefore mainstream
brands that market products as all natural will decrease and cause an increase in authentic NOPC product sales
(Natural and Organic Personal Care Consumer, 2016). The disinclination to use harmful chemicals in personal care
products along with the shift in many corporations emphasis on environmentally friendly and sustainable products
have helped to subsidize this industry (Organic Personal Care Market Size Industry Trends Report, 2016). With a rise
in overall health related issues comes more opportunity for consumers to demand all natural personal care products
with simple ingredients to highlight a healthier lifestyle (Natural and Organic Personal Care Consumer, 2016). Though
the demand for natural products has increased in recent years, consumers may still buy products based on convenience
and price, for organic beauty products tend to be more expensive and have a shorter shelf life. The benefits of natural
and organic personal care products outweigh those of mainstream products. Since this market is experiencing rapid
growth, awareness of NOPC and emphasis on health consciousness will be key in developing LUSHs market strategy.
The rise of advanced technology has also impacted the personal care market. According to our course
textbook, Advertising Campaign Strategy: A Guide to Marketing Communication Plans (5th ed.), the traditional way of
advertising has been largely redefined by the advent of social media (Parente & Strausbaugh-Hutchinson, 2014).
Consumers engage with companies social media platforms to keep in touch with trends, and to have their voices heard
by brands and manufacturers (Chan, n.d.; Parente & Strausbaugh-Hutchinson, 2014).

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Market Overview (continued)

According to Stephanie Chans executive report on digital marketing for beauty and personal care products,
consumers interested in beauty are searching for category and brand level, life/usage of product, equity and
associations, and reviews (n.d.). Other than these recommendations, they are scanning magazine advertisements, using
coupon offers, and watching YouTube video tutorials (Kline, 2015). These trends are the most important to consider in
marketing personal care products in the future.
When it comes to market share, in 2016 LUSH generated a turnover of about $800 million (Mohdin, 2016).
This is only a small share when compared to the overall cosmetics industry, which according to IBISWorld is a $22
billion industry nationwide (2017). However, according to Chief Operating Officer Andy McNevin, LUSH still has ample
opportunities for growth, and its market share is expected to continue to expand in following years (Fiorletta, 2015).

Brand Overview
LUSH Fresh Handmade Cosmetics was founded in 1994 by Mark and Mo Constantine and their business
partner, Liz Weir (Teather, 2007). However, the brand has ample history leading up to its creation. Mark Constantine
and Weir first worked together at their Herbal Hair and Beauty shop, which was the largest supplier for The Body Shop
(Teather, 2007). As time went on, The Body Shop became frustrated that their products and formulas were owned by a
different company, and therefore bought out Constantine and Weir for 6M (Teather, 2007).
With their money and newly gained investors, the pair created Cosmetics To Go, or CTG, in 1988 which was a mail
order business that eventually failed and led to the creation of the first LUSH Cosmetics shop (Teather, 2007).
According to LUSHs website (http://www.lushusa.com), the main five values within their products include
fighting animal testing, ethical buying, 100% vegetarian, handmade, and naked packaging. These values are displayed
on the company website, in retail stores, and on product packaging. Their brand values are expressed through both
material and symbolic gestures that help portray their brand image to consumers (Aronczyk, 2013). From the start,
they have worked to preserve these values, as they remain the foundation of the brand.
Also found on their website (http://www.lushusa.com), LUSH Cosmetics has become an international company
presiding in 47 countries, with the following products categories found on their website: bath, shower, hair, face, body,
perfume, and makeup. Also on their website, we found that they are a charitable brand that donates 100% of the
proceeds from their product Charity Pot to various organizations, totaling more than $15 million across the years. As
aforementioned, LUSH stays true to their values, including being all natural with 100% of their products being
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vegetarian, 81% vegan, and 70% of their products not containing any preservatives (Marati, 2015).
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Brand Overview (continued)

Also on their website (http://www.lushusa.com), the brand remains relevant with their social media accounts
including their own LUSH App, Facebook page, Twitter, Instagram, Snapchat, Youtube, Pinterest, and Tumblr. In
addition to social media, they communicate with consumers with their bi-annual catalogue, LUSH Times, which also
doubles as an activist pamphlet that discusses some of the current issues they are supporting (Aronczyk, 2013). With
this new technology, digital marketing creates cost efficient and speed to market alternatives for consumers by using
different resources specific to their target audience. Marketers in this industry take advantage of search engine
optimization and social platforms to sell more products.
LUSH is centered around their mission statement, found on their website, which includes fresh products,
partnering with ethical companies, producing original products, instilling happiness within their company and their
consumers, promoting serenity and confidence, pleasing their customers worldwide through more than just their
products, and delivering honestly fresh and organic products to their consumers (We Believe, n.d.).

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Competition
Listed below are a few primary competitors of LUSH. They distinguish themselves from secondary competitors
and non-competitors in that they are some of the most well-known companies in the market that produce natural or
organic beauty products.

The Body Shop

The Body Shop is a British cosmetics and skin care company founded in 1976 in Brighton, England that has
since expanded to the U.S. On their website (http://www.thebodyshop-usa.com), The Body Shop claims to produce both
nature-inspired and cruelty-free products. The Body Shop splits its product categories into: skin care, bath and body,
makeup, hair, fragrance, and mens, which are comparable to those of LUSH. Additionally, their products are typically
priced slightly higher than LUSHs. According to the Our Values section of their website
(http://www.thebodyshop-usa.com/values/index.aspx), The Body Shop, like LUSH, works with philanthropies and is
sourced through the Community Fair Trade program.
On the other hand, The Body Shop uses less creative and eco-friendly packaging than LUSH, which gives LUSH
an advantage in the eyes of both artsy and environmentally-conscious consumers. While they do have their own
individual stores, their products are also sold through larger companies such as Ulta. Moreover, according to LUSHs
Director of Brand Coordinations, Brandi Halls, people prefer LUSHs in-store experience over other beauty stores, as it is
more interactive and personal (Carr, 2017).

Origins Cosmetics
Origins Cosmetics is a higher-end cosmetics company owned by Estee Lauder and also sells similar organic
beauty and skincare products to those of LUSH. On their website (http://www.origins.com), Origins claims to use
earth-friendly practices when creating their products. In fact, according to their Our Commitment page on their
website, Origins is one of the most environmentally friendly companies out of our competitors, and they use this as a
main selling point (http://www.origins.com). In addition, similar to LUSH, Origins is involved with philanthropies such
as Plant-A-Tree and Breast Cancer Awareness.

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Origins (continued)
One difference from LUSH is that Origins is still not 100% cruelty-free when it comes to testing their products,
as can be observed on their website (https://www.origins.com/customer-service-faq). Also, as opposed to LUSH, Origins
sells their products through other vendors and not exclusively in their own stores. The company is well-known for its
anti-aging and skin repair products and therefore appeals to a primarily older audience (Gagnon, Greenberg, & Terrall,
2017). Overall, the main problems for Origins are lack of brand recognition and lack of an exciting in-store experience.

Burts Bees
Burts Bees began in 1984 by selling homemade candles made of beeswax at a crafts fair (Gagnon, Greenberg,
& Terrall, 2017). Today, they continue to create and sell natural products, the most popular being the products in their
lip care line (Gagnon, Greenberg, & Terrall, 2017). Burts Bees products can be found in various drugstores across the
nation and are often given large display spaces. Large display spaces allow for a large product selection and strong
brand recognition, which LUSH lacks. Also, being in the drugstore gives Burts Bees the convenience factor that LUSH
lacks. Lastly, according to their website (http://www.burtsbees.com), Burts Bees has lower and more affordable prices
than the other main competitors, including LUSH.
Similar to the other competitors, Burts Bees is a charitable company. According to the About Us page on
their website (http://www.burtsbees.com/content/about-us/), they created the philanthropy called The Greater Good
Foundation, a 501(c)(3) non-profit organization dedicated to sustaining charitable, grassroots initiatives that support
human and honeybee health, in 2007. Burts Bees was also named number one in an Image Power Green Brands Survey
in 2011 for sending zero waste to landfills by turning their waste byproducts into reusable resources (Gagnon,
Greenberg, & Terrall, 2017). Although Burts Bees products are completely cruelty-free and vegan, the company is
owned by Clorox, which does test on animals in some instances (These Companies Test on Animals, Never Buy
These Brands, 2017). The main weaknesses of Burts Bees compared to LUSH are its lack of a high-end feel,
creative packaging, and interactive in-store experience, which are areas in which LUSH thrives.

Secondary competitors:
According to IBISWorld (2017), other major players in the cosmetics industry include companies such as Sally
Beauty Holdings, Sephora, L. Brands, and Ulta. However, these companies are not 100% natural and should therefore
be considered as secondary competitors of LUSH. Other non-natural beauty brands (many owned by Procter and
Gamble and Johnson & Johnson), such as Olay, Dove, Aveeno, Neutrogena, and Clean and Clear would also be
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considered secondary competitors (Gagnon, Greenberg, & Terrall, 2017).
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Social Media
The following information denotes the current social media statistics for LUSH and its primary competitors:
Facebook
LUSH: 1,164,263 Likes
(https://www.facebook.com/lushcosmetics)
The Body Shop: 6,480,362 people like this and 6,464,497 people follow
(https://www.facebook.com/TheBodyShopUSA)
Origins: 1,767,758 Likes
(https://www.facebook.com/Origins)
Burts Bees: 3,029,721 Likes (https://www.facebook.com/burtsbees)
Twitter
LUSH: 323,757 followers
(https://twitter.com/lushcosmetics)
The Body Shop: 40,736 followers
(https://twitter.com/thebodyshopusa)
Origins: 32,025 followers
(https://twitter.com/Origins)
Burts Bees: 108,392 followers
(https://twitter.com/burtsbees)
Instagram
LUSH: 3,6366,554 followers
(https://www.instagram.com/lushcosmetics/)
The Body Shop: 840,540 followers
(https://www.instagram.com/thebodyshop/)
Origins: 92,006 followers
(https://www.instagram.com/origins/)
Burts Bees: 159, 784 followers
(https://www.instagram.com/burtsbeesus/)

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Target Audience
The current target audience for LUSH are young, professional women ages 20-35 who desire eco-friendly
products (Digital Strategy Lush- Your Daily Dirty Routine, 2014). Their customers are defined as SEGOR, which refers
to someone with sustainable, ethical, green, organic or responsible attributes (CASE STUDY - LUSH: Pure and Simple,
2006). They have an ethical stance, support animal rights, desire homemade products and are environment-friendly.
This target is concerned about harmful chemicals used in mainstream products, so they read the labels in their beauty
products and inquire about the way the products are manufactured. They cherish companies with ethical,
animal-friendly, all-natural values. Also, the target consumers value a positive in-store experience, and are more likely
to buy products if they can test them beforehand and receive advice about the products quality. They want their
shopping experience to be personalized toward their needs and expect products to have an added personal touch. It is
important for them to be a part of the creating and designing process of a product (Carr, 2017). Additionally, mothers
with children are a key target market for LUSH because these women tend to be more conscience of what goes on or
into their bodies in their childs best interest. A recent case study shows that 42% of expectant mothers deemed
consumption of organic goods to be of top importance (CASE STUDY - LUSH: Trends in the organic personal care
market, 2006). This target is technology savvy and are constantly up to date with multiple media channels (Digital
Strategy Lush- Your Daily Dirty Routine, 2014).
The information below is from Simmons: Most of them shop around a lot to take advantage of specials or
bargains and when in the store, they often buy an item on the spur of the moment. Also they like to change brands
often for the sake of variety and novelty. And they would like to buy things that their friends or neighbors would
approve of. They also would be prepared to pay more for environmentally-friendly products and look for special offers.
During last 3 months, the majority of them spend less than $50-$199 on skin, hair, and makeup products. Also, they
remember advertised products when they are shopping, and they expect advertising to be entertaining. Also, they think
companies should help consumers become more environmentally responsible. They also agree that eco-friendly
products are higher quality products (Figures 12 & 13).

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Uncontrollable Factors
Economy
The comprehensive economic status of a whole region like a state, or a country is out of the companys control,
and it can affect how a company operates. Factors including unemployment rates, inflation rates, labor costs, per capita
income, market size can all have an impact on the whole market.
We take consumers shopping habits into account when recommending our marketing plan, however, a sudden
drop in the stock market could occur that would affect LUSH. A drop in the stock market, or other economic crises,
would result in consumers either having less spending money, or a decreased interest in spending in general. It is
important to note that during times of economic turmoil, most consumers save their money to buy convenience goods.
Since LUSH is pitched as a high-end, luxurious product, during economic trouble, the brand would certainly take a hit.

Natural Disasters
When considering uncontrollable factors that can directly impact LUSH and its success as a brand, natural
disasters also play a crucial role. All of LUSHs products are natural products, meaning they are grown and harvested
from the earth. With that being said, it is obvious to name natural disasters as a factor that could potentially ruin
LUSH, and without a definitive time stamp. As indicated by Freshly Picked Ingredients, an article found on their
website (http://www.lushusa.com), LUSH generally gathers their ingredients from North America, specifically near the
headquarters in Canada. For instance, their blueberries come from Onninks Blueberry Farms, their wheatgrass from
Giddy Up and Grow, a small farm near Mission, B.C., and their seaweed is collected from Dixon Island, which is a mere
six miles away from their distributor, also in B.C. (n.d.). If there was a natural disaster that swept Canada, all of these
ingredients would certainly be affected, if not diminished, resulting in LUSH having to look for new sources of
ingredients. The potential of natural disasters could mean a temporary hold on LUSHs products or, depending on the
severity of the disaster, could affect LUSH in the long run.

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Societal Trends
While advertising undeniably has the power to influence society, it cannot always influence societal trends.
Certain lifestyle fads that we chose to look at, such as environmental consciousness or veganism, are largely out of the
control of advertisers. Currently, environmental consciousness and veganism are trending in our nation, but something
could happen tomorrow to these things no longer seem cool or hip. Therefore, instead of ignoring these societal
trends or assuming that they will remain, advertisements must be created in direct response to them.
Moreover, as technology continues to develop, more communication methods are merging. Nowadays, it is not
uncommon for people to use multiple gadgets on a daily basis, such as tablets, smartphones, and laptops. Using these
gadgets, they can access countless social media sites, making it difficult to determine which media to advertise through
(Parente & Strausbaugh-Hutchinson, 2014). This is why we find it important to observe the specific target audiences
media habits and choose the media platforms accordingly.

Pricing
LUSHs success as a brand can also be impacted by the price point of their products. For a 1.5 oz formula, the
price can be up to $72, which is significantly high (Why Are Products From Lush More Expensive?, 2015). The price of
natural and organic personal care products have the overall tendency to be more expensive than mainstream products.
This is because fresh foods and raw materials take many more precautionary manufacturing/labor steps in order to
become certified and usable (Seigenthal, 2016). Although the demand for these products is increasing, it is still not
high enough to directly compete with mainstream corporations manufacturing. LUSHs products use pure and essential
natural oils, but with the economic role and abundance of these oils ever changing, it can cause an increase and
decrease in price (Seigenthal, 2016). The cost of fresh food ingredients used in LUSH products have a shorter shelf life
and are harder to maintain, not to mention the cost of shipping, packaging and advertising. The core values of LUSH
center around raw, natural ingredients, and therefore to maintain the way their products are produced it must cost
more. There is nothing that the brand can do to avoid the multi-step process of growing, harvesting, and certifying
these foods and natural oils.

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Primary Research
Methods
In order to complete our primary research, we decided to conduct quantitative research via a phone survey
consisting of 27 questions (see A1). While the majority of the surveys questions were close-ended, two were
open-ended. Over a span of about three weeks, from February 23- March 14, our four team members each interviewed
around 13 female participants ranging from ages 20-61, receiving a total of 53 responses.
The questions were grouped into three main categories: consumer habits, personal values and opinions, and
demographics. In order to ensure a baseline of understanding, the term beauty products was defined as referring to
makeup, hair, and body products. In addition, within the survey, we summarized LUSH as a brand so that each
participant had at least a basic understanding of what LUSH is about. By doing this, we hoped to create an environment
in which each participant would be able to provide us with more clear and meaningful responses
We used both convenience sampling and and purposive sampling to gather the participants for our study. We
hoped that this would ensure that our respondents would be able to provide valuable information for our future
strategies, since they all are mostly part of the current target audience.

Results and Implications

For the results of our surveys, we chose to report only a select number in order to concisely address the main
issues the brand is trying to resolve. The following data include the variables we tested, the test associated with the
variables, the numerical values, and the results that explain the implications for both our recommended campaign
strategies and our recommended target audience.

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A. Effort into daily appearance vs. Annual income

Test: Crosstabulation

Values: See above charts

Result: As indicated by the above charts, our hypothesis that income and the amount of effort put into ones

daily appearance are positively correlated was incorrect. The following results were projected by these cross

tabulations: first, the two most highly-reported ratings of participants effort into daily appearance on a scale

of 1-5 were 3 and 4. 50% of responses in the 3 category fell into the <$20,000 range, while 44% of the 4

category fell into the <$20,000 range. Conversely, within both the 3 and 4 categories, 19% fell into the

>$100,000 range. This suggests that regardless of our recommended target audiences annual incomes, the

amount of effort they put forth into their their daily appearance is relatively equal.

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B. Likelihood to try a new beauty product vs. Whether participant has purchased from brand (LUSH) [Figure 5]

Test: Pearson Correlation

Values: (r=0.389, p=0.002)

Result: There is a positive correlation between the likelihood of consumers to try a new product and whether

or not the participant has purchased from LUSH. The more likely a participant is to try a new beauty product,

the more likely she is to purchase from LUSH. This strong correlation of (p=0.002) helps us to conclude that

the more likely they are to try a new beauty product, the more likely they are to buy from LUSH. The other

primary competitors listed in our questionnaire did not show any correlation between these variables (Figures

2,3,4), which supports our previous research findings that described LUSH as a more interactive and personal

brand. When considering our recommended target audience, the implication here is that with LUSHs

interactive and personal attributes, they have a greater influence on the target audience.

C. Number of donations to charity in the last year vs. Annual income [Figure 10]

Test: Pearson Correlation

Values: (r= 0.437, p=0.001)

Result: This test shows that there is a positive correlation between the two variables, which indicates that as

an individual's approximate annual income increases, so does their donating frequency. This gives insight into

identifying our recommended target audience, suggesting that people with higher incomes are more likely to

donate to charity and associate themselves with charitable actions (i.e. purchase from a charitable brand).

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D. Willingness to pay a higher price for a charitable product vs. Donations per year [Figure 11]

Test: T- test (2-tailed)

Values: No (x= 1.67), yes (x= 2.92), (p=0.044)

Result: Just as we predicted, this test indicates that people who donate to charity more times per year are

more willing to pay a higher price for products sold by charitable companies. This finding can help us specify

our recommended target audience to include those who have made donations to charity in the past year. By

considering these types of consumers in our analysis, we will maximize the amount of people we can target in

our campaign.

E. Whether participant is more likely to purchase from a luxury brand or a drugstore brand vs. Approximate annual

income [Figure 9]

Test: T- test (2-tailed)

Values: No (x= 2.6), yes (x= 2.77), (p=0.788)

Result: This test indicates that regardless of their approximate annual income, participants preference for

luxury and/or drugstore products is unidentifiable. Being that there is no significant difference (p=0.788), we

can say that just because a person has a low income, that doesnt mean they wouldnt be willing to purchase a

higher priced product. We want to keep this in mind when determining the recommended target audience,

because it does not limit which annual income range to focus on.

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F. Age vs. Rating of social media platform usage (Facebook, Twitter, & Instagram) [Figures 6,7,8]

Platform: Facebook

Test: T-test (2-tailed)

Values: 18-24/FB (x= 5.94) & 25-35/FB (x= 6.11), (p= 0.859)

Result: Since the p-value is less than 0.05, that means there is no difference in the rating of social

media platform usage between these two age groups (18-24 and 25-35), indicating that

advertisements and promotions disseminated on Facebook would be able to reach both age ranges of

our recommended target audience equally.

Platform: Twitter

Test: T-test (2-tailed)

Values: 18-24/T (x= 3.02) & 25-35/T (x= 2.50), (p= 0.428)

Result: There is also no difference in the rating of Twitter between the two age groups, indicating

that advertisements and promotions disseminated on Twitter would be able to reach both age ranges

of the target audience equally. However, when considering Twitter, it is important to note that the

overall usage is low (x= 3.02 and x=2.50) amongst our participants compared to the other platforms.

We feel that this platform should therefore hold less of a focus in our recommended strategic

approach than other social media platforms, but should continue to be maintained nonetheless.

Platform: Instagram

Test: T-test (2-tailed)

Values: 18-24/I (x=8.69 )& 25-35/I (x=7.33), (p=0.062)

Result: There is no difference in the rating of social media usage between these two age groups,

indicating that advertisements and promotions disseminated on Instagram would be able to reach

both age ranges of the recommended target audience equally. However, according to the higher

means of Instagram usage compared to the other platforms, both age groups rate their usage of this

Instagram the highest among all social media outlets. 19

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Other Implications

Overall, several implications for both our campaign and our strategic approach can be derived from our

primary and secondary research. First, since social media is becoming more and more influential in todays market,

LUSH should continue to use this as their primary advertising outlet. They are already doing this, but according to our

research, we hope that increasing LUSHs presence on Instagram specifically while maintaining their current presence

on other platforms will draw in the most potential customers.

Both primary and secondary research has also indicated that focusing on LUSHs core values would be

beneficial. As stated before, the studied respondents and target audience have claimed that they are willing to make

charitable donations, especially to organizations that would have a lasting impact. In our strategies, we recommend

focusing on LUSHs core values in our advertising in order to convince consumers that these products are worth their

time, effort, and money.

Lastly, the implications for our target audience can be found within the results of our primary research. To

briefly restate these ideas, we believe our target audience should include women ages 18-35 who can relate to LUSHs

core values.

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SWOT Analysis
Strengths
Handmade products add a personal element to the
LUSH experience
Produce natural, fresh, 100% vegetarian products
only
LUSH does not test on animals and never will
Cost efficient and environmentally friendly naked
packaging, 100% recycled materials
LUSH is a very charitable company and has been
known to donate to numerous philanthropies
The company only supports ethical buying
Positive, personal, and interactive in-store
experiences
Brand is well-liked by its current customers
Opportunities
Trending fads such as the vegan lifestyle and
environmental consciousness
Natural and organic cosmetic brands are rising in
popularity
Opening stores in new locations can bring in more
customers and intensify brand exposure (Wilson,
2015)
Weaknesses
Lack of overall brand recognition
Higher prices may deter those with a lower income
or those who prefer to save their money where they
can
Natural products lead to a shorter shelf life
Threats
Other natural, eco-friendly brands selling similar
products compete with LUSH
Conventional non-natural brands have a convenience
factor that LUSH lacks, which could lure away
customers
More affordable products are available on the
market, as LUSH is considered a higher-end brand
21
Marketing Problem

In order to identify what we believe to be the true marketing problem associated with LUSH, we looked to
both our primary and secondary research for the answer. Our research has suggested that people care about problems
that LUSH answers with its core values, specifically animal rights. We also know that regardless of their economic
status, consumers would consider paying for a higher priced item. Combining these two factors says that prospective
consumers care about values that LUSH has, and they would be willing to pay the reasonable to too expensive price of
LUSH products.
The marketing problem we have identified is that prospective consumers lack an understanding of LUSH as a
brand and all that it has to offer. Our primary research has indicated that 77.4% of our participants indicated that they
are familiar with the brand, and 52.8% have not purchased from LUSH whether familiar, or not (Figure 14). This shows
that even though most participants are familiar with the brand, up until this point, they have not been familiar enough
to actually purchase from it. This gap between familiarity and purchasing behavior could indicate that there is weak
cognition associated with LUSH. In our strategies that we will later discuss, our main goal is to educate prospective
consumers about LUSH and what it stands for. Once we have done this, we hope that their emotional ties to LUSH will
strengthen, and in turn so will their (purchasing) behavior.

22
Recommended Target Audience

After considering our research, we recommend to expand LUSHs target audience to be women between the
ages 18-35, who pursue a healthy lifestyle and are environmentally conscious. The ideal customers are those with
sustainable, ethical, green, organic or responsible values (CASE STUDY - LUSH: Pure and simple, 2006). They cherish
companies with ethical, animal-friendly, and all-natural values. Moreover, they believe that environmentally friendly
products are higher in quality and are prepared to pay more for them (Figure 13).
Members of our target audience are more concerned about the ingredients that are used in mainstream
products and the process in which they are manufactured. Among our target audience, testing a product before buying
it is important to them. This also matches LUSHs marketing strategy, which as previously mentioned relies heavily on
in-store experiences and in-store advertising. Also, the higher their annual income is, the more times they likely donate
per year. According to our research about social media platforms, there is no significant difference in the ratings of
Facebook, Twitter, and Instagram usage between two age groups in our target audience. However, their daily usages of
Instagram are slightly higher than the other two platforms. From Simmons Oneview, people among our recommended
target audience also strongly agree that whenever commercials come on television, they are likely to change channel
or mute the television. In addition, they tend to remember advertised product while they shopping (Figure 13). It
matches LUSHs marketing strategy that relies heavily on digital media advertising and non-traditional advertising.
They do not have a strong preference between online shopping and in store shopping. Although most of our primary
research suggests our target audience cares more about animal rights than other topics, our secondary research shows
that they also strongly care about the environment, so both factors are important to our target. They are more likely to
buy product that their friends or neighbors recommended and a product or service from a company that is environment
friendly. They understand that in todays society, companies are responsible to create sustainable products in an
environmentally conscience setting. In addition, according to Simmons, our target audience has eco-friendly values and
expect companies to help them achieve certain ethical conducts, which also follows our brands core values and goals
(Figure 13).

23
Campaign Goals

Marketing Goals
After considering our primary and secondary research, we have devised a few recommendations for future
marketing strategies. LUSH fresh handmade cosmetics has grossed over $75 million in revenue and has room to grow
as the natural and organic personal care product market gradually increases. Although these numbers show an
impressive amount of success, the first marketing goal that we recommend is to increase net revenue of the brand.
There is not enough advertising for the brand compared to its competitors. We recommend changing this problem by
maintaining and increasing in-store advertising, along with maintaining a strong digital presence. To keep up with
trending digital advertising, we recommend implementing a better pay-per-click strategy on certain websites that the
target audience would be using (according to our primary research, these platforms would be Facebook and Instagram).
We can also have several promotions of our products during holidays to drive up the purchase.

Communication Goals
By applying our proposed strategies over the course of those eight months, as stated, we hope to increase
cognition surrounding the LUSH brand and all of their associated benefits. Specifically, we want to increase cognition
around the LUSH values that the target audience values the most. Our primary research indicates that cruelty free
(77.2%) and all-natural (73.7%) values, at least a six on a scale from 1-10, hold the largest importance in their life
(Figures 16, 18). With our proposed strategies, we aim to frame those values through effective marketing of the brand.
According to a lecture given by Professor Susan Strohm at Penn State, this follows the Traditional Learning
Model of Audience Response, which states that once consumer cognition increases, so does their affect and behavior
towards the brand. Using this model as a guideline, we hope to also increase the target audiences affect surrounding
the brand, meaning that they not only learned about LUSH, but have also formed a relevant emotional bond with the
brand. Once the target audience knows about LUSH, and is emotionally involved with the brand, we can only hope that
they would be more inclined to buy from the brand. Our primary research indicated that 83% (Figure 19) stated that
they would be somewhat or very likely to buy from LUSH once knowing about the brands values. Through these
eight months of applying our strategies, we aim to educate our target audience so that the 83%, or more, will be
inclined to purchase from LUSH.

24
Campaign Goals

Campaign Timeline
Recommended Time Frame: May 2017- January 2018
May/June - start off by concentrating on new summer products
July/August - Increase spending on overall advertising to increase reach
September/October - Increase spending on overall advertising to increase reach
November/December - Christmas promotional strategies to advertise giving products as gifts

If the proposed strategies are developed into a future campaign, we recommend that LUSH begin their
campaign in May with a Spring/Summer promotion, advertising fresh and vibrant new products. From July to October,
we recommend that LUSH increases spending on their yearly overall advertising to spread further awareness of the
brand. From November to January, we recommend LUSH use the holiday months to their advantage by advertising the
personalization of their products, so consumers can purchase them as gifts.

25
Recommended Creative and Media Strategies

Creative Strategies

Considering all of our research, our recommended creative strategy for LUSH involves interpreting the mission
statement found on their website. In our campaign, we wish to encompass all of the brands core values (ethical buying,
fighting animal testing, 100% vegetarian, naked packaging, and handmade) in order to portray LUSH as a personable,
inviting, and innovative brand that is willing to work with its consumers directly to identify their needs. Moreover, we
want to make consumers feel special by catering our advertisements to the members of our specific target audience.
This means playing to their values, beliefs, and lifestyle habits that were mentioned previously.

Media Strategies

In order to make sure our marketing and communication goals, in combination with our recommended creative
strategy, we suggest implementing the following media strategies. It is important to note that, according to an article
on their website (https://uk.lush.com/article/more-marketing) LUSH relies heavily on word-of-mouth and in-store
advertising as well as social media, and does not like to spend money on expensive marketing. Our recommended
media outlets, as indicated through our research, would be Facebook, Instagram, along with magazine advertisements
(in magazines that relevant to the recommended target audience), and digital/banner advertisements. Moreover,
because our research indicates that many people are familiar with LUSH but are unfamiliar with its values, we believe
that increasing frequency is more important that increasing reach. Increasing reach would only ensure that more people
are exposed to an advertisement at least once, but increasing frequency will ensure multiple exposures (Parente &
Strausbaugh-Hutchinson, 2014). Multiple exposures will hopefully maximize retention of knowledge about the brand
and its values.

The following chart from Ad$pender depicts brand advertising expenses amongst LUSH and its competitors.
The given data indicates that brands within this realm only allocate their advertising budgets towards online
advertisements, or that there is no available data regarding other forms of media expenditure.

26
Summary

The recommendations we have made in this proposal have been based on primary and secondary research of
the overall natural and organic beauty market and LUSHs direct brand competitors. Ecoglow Communications is
suggesting LUSH generates a higher consumer base by creating a greater awareness about the brand by maintaining
in-store and digital marketing presence. Once consumers become more familiar with the brand, LUSH will be able to
expand its number of locations and generate higher revenue. If proposed strategies are approved, further campaign
tactics can be implemented.
After reviewing our recommendations, we are prepared for any issues LUSH may have with these proposed
tactical strategies. We are willing to negotiate any terms to fit the needs of the company and open to answer any
questions LUSH has for Ecoglow Communications.

27
References

Aronczyk, M. (2013, November 04). Marketing Activism: Lush Cosmetics, Ethical Oil, and the Self-Mediation of Protest. Retrieved
March 15, 2017, from https://journal.thesdj.org.uk/index.php/JOMEC/article/view/338/344

CASE STUDY - LUSH: Pure and simple. (2006). Brand Strategy, , 20. Retrieved March
16, 2017, from http://ezaccess.libraries.psu.edu/login?
url=http://search.proquest.com.ezaccess.libraries.psu.edu/docview/224157695?accountid=13158

CASE STUDY - LUSH: Trends in the organic personal care market. (2006). Brand
Strategy, , 22. Retrieved March 16, 2017, from
http://ezaccess.libraries.psu.edu/login?
url=http://search.proquest.com.ezaccess.libraries.psu.edu/docview/224180996?accountid=13158

Carr, T. (2017, February 02). Why Lushs Customers Prefer the Store Over Ecommerce. Retrieved March 16, 2017, from
http://totalaccess.emarketer.com/Interview.aspx?R=6002308&dsNav=Ntk%3Arelevance%7Clush%2Bcosmetics%7C1%7C
%2CRo%3A0%2CNr%3ANOT%28Type%3AComparative%2BEstimate%29

Chan, S. (n.d.). Digital Marketing for Beauty and Personal Care Products. Retrieved from
http://www.asean-sme-academy.org/wp-content/uploads/Session-2-Stephanie-Chan-PG2.pdf

Digital Strategy Lush - Your Daily Dirty Routine. (2014, November 16). Retrieved March
16, 2017, from http://newmediadl.cas.msu.edu/homework/1670/140648

Freshly Picked Ingredients. (n.d.). Retrieved March 15, 2017, from

http://www.lushusa.com/on/demandware.store/Sites-Lush-Site/en_US/Stories-Article?cid=article_fresh-picked-ingredient
s

Gagnon, L., Greenberg, E., & Terrall, G. (2017). Burt's Bees Marketing Plan. Retrieved March 16, 2017, from
https://maddified.files.wordpress.com/2015/11/burtsbeesmarketingplanfinal.pdf

Kline, R. M. (2015, March). Market Research: Everyone's Doing It: Personal Care Marketers Go Social. Retrieved March 21, 2017,
from http://www.klinegroup.com/reports/emailings/newsletters/consumer/january2012/timely_trends.asp

LUSH Cosmetics gets the word out using social media. (n.d.). Retrieved March 20, 2017, from
https://smbp.uwaterloo.ca/2012/02/lush-cosmetics-gets-the-word-out-using-social-media/

Marati, J. (2015, May 01). Behind the Label: Lush Handmade Cosmetics. Retrieved March 15, 2017, from
http://ecosalon.com/behind-the-label-lush-fresh-handmade-cosmetics/

Mohdin, A. (2016, March 16). Lush sells bath bombs and cosmetics. It also gives nearly 6 million a year to far-left groups.
Retrieved March 22, 2017, from https://qz.com/609641/lush-sells-bath-bombs-and-cosmetics/

28
References

Natural and Organic Personal Care Consumer [Executive Summary]. (2016, December). Retrieved March 16, 2017, from
http://store.mintel.com/natural-and-organic-personal-care-consumer-us-december-2016

Organic Personal Care Market Size Industry Trends Report, 2025. (2016, November). Retrieved March 16, 2017, from
http://www.grandviewresearch.com/industry-analysis/organic-personal-care-market

Parente, D. E., & Strausbaugh-Hutchinson, K. L. (2014). Advertising Campaign Strategy: A Guide to Marketing Communication
Plans (5th ed.). Boston, MA: Cengage Learning.

Seigenthal, D. (2016). Are Natural and Organic Skin Care Products Too Expensive? - An indepth look at the real cost of natural &
organic skin care products. Retrieved March 21, 2017, from
http://www.wildcraftedcottage.com.au/Articles/Natural_Organic_Skin_Care_Too_Expensive_090115.html

Simmons Market Research Bureau. (2007). Simmons OneView (Spring, 2008) [Computer software]. New York: Simmons Market
Research Bureau.

Teather, D. (2007, April 13). Interview: Mark and Mo Constantine, founders of Lush cosmetics. Retrieved March 10, 2017, from
https://www.theguardian.com/business/2007/apr/13/retail2

These Companies Test on Animals, Never Buy These Brands. PETA. PETA, 2017. Web. 14 Mar. 2017.

http://www.peta.org/living/beauty/companies-test-on-animals/

We Believe. (n.d.). Retrieved March 22, 2017, from

http://www.lushusa.com/on/demandware.store/Sites-Lush-Site/en_US/Stories-Article?cid=article_we-believe-s
tatement

Why Are Products From Lush More Expensive? (2015). Retrieved March 21, 2017, from
http://thebeautybrains.com/2010/03/why-are-products-from-lush-more-expensive/

Wilson, M. (2015, October 20). Lush on the Move: Cosmetics firm to relocate stores in U.S., Canada, to bigger spaces. Retrieved
March 19, 2017, from
http://www.chainstoreage.com/article/lush-move-cosmetics-firm-relocate-stores-us-canada-bigger-spaces

29
Appendix

A1: Survey

Participant: #_______
Questionnaire/Primary Research: LUSH

Informed consent statement: Hello, my name is _______ and I am conducting this survey about LUSH cosmetics and associated
factors for my COMM 424 class. If do decide to participate in this study, please know that all answers provided will remain
confidential.

Are you willing to participate in this 5-7 minute questionnaire? _______

Are you over 18 years of age? _______

Before starting this questionnaire, please know that the term beauty products refers to makeup, hair, and body products.

THIS FIRST PORTION IS IN REGARDS TO YOUR CONSUMER HABITS.

1. On a scale from 1-5 (5 being the most), how much effort do you put into your appearance on a daily basis?
1
2
3
4
5
2. How likely are you to try a new beauty product?
Very likely
Somewhat likely
Neutral
Somewhat unlikely
Very unlikely
3. Do you agree with the following statement?
I am more likely to purchase a luxury brand product over a drugstore product.
Yes
No
I dont know
4. In your opinion, how important is it to test/try out a beauty product before purchasing?
Very important
Somewhat important
Neutral
Somewhat unimportant
Very unimportant

30
Appendix

A1 (continued):
5. How often do you read the ingredients label on your beauty products before purchasing?
Very often
Often
Sometimes
Rarely
Never
6. Would you be willing to pay a higher price for a product if you knew that a portion or all of the proceeds would
benefit charities?
Yes
No
Maybe
7. How do you prefer to shop for beauty products?
Online
In store
No preference
8. On a scale of 1-10 (10 being highest), rate the following social media platforms based on how frequently you use
them.
___Facebook
___Twitter
___Instagram
THIS SECTION WILL FOCUS ON YOUR PERSONAL VALUES.

Please answer the following two (2) questions ranking your values on a scale from 1-10 with 10 being the highest.
9. How much do you care about the environment?
1
2
3
4
5
6
7
8
9
10

31
Appendix

A1 (continued)
10. How much do you care about animal rights?
1
2
3
4
5
6
7
8
9
10
11. How many times have you donated to charity in the past year?
0
1
2
3
4
5+
12. Please list the charities you have donated to: __________________________________________________________
13. Of the following terms, which do you most closely identify with?
Vegetarian
Vegan
Neither
14. If you classified yourself as a vegetarian or vegan, please explain your reasoning for choosing this lifestyle:
___________________________________

NEXT, I WILL ASK YOU A FEW QUESTIONS REGARDING ORGANIC BEAUTY BRANDS.
15. Please indicate whether or not you are familiar with the following brands:
Origins Yes No
The Body Shop Yes No
Burts Bees Yes No
Lush Yes No
16. Please indicate whether or not you have purchased from the following brands:
Origins Yes No
The Body Shop Yes No
Burts Bees Yes No
Lush Yes No
32
Appendix

A1 (continued):
The intent of our survey is to learn about consumer purchasing from the organic beauty brand LUSH. This charitable brand is
known for their all-natural, environmentally friendly, and cruelty free products.
17. Listed below are some of LUSHs core values. On a scale from 1-10, rate these four values based on their importance to you.
__ Charitable
__ All- natural
__ Environmentally friendly
__ Cruelty- free
18. Knowing these values, how likely are you to purchase from LUSH?
Very likely
Somewhat likely
Neutral
Somewhat unlikely
Very unlikely
19. If you have purchased from LUSH, where did you make your purchase?
Online
In-store
Both
Have not purchased
20. What do you think about the price range of LUSHs products?
Too expensive
Reasonable
Too inexpensive
I dont know
LASTLY, ID LIKE TO ASK YOU A FEW QUESTIONS ABOUT YOURSELF.
21. Gender
Male
Female
Other: __________
22. Age: ______
23. What is your ethnicity?
African American
Asian
Hispanic
Pacific Islander
White
Other: ____________ 33
Appendix

A1 (continued):

24. Marital status:

Married
Single
Divorced
Other: _____
25. Where is your permanent residence (City, State)? ___________________________________________________________
26. What is your highest level of education?
Less than high school
High School
Some College
Associates Degree
Bachelors Degree
Graduate or Professional Degree
Ph.D
27. What is your approximate annual income?
< $20,000
$20,000-$40,000
$40-001-$60,000
$60,001-$80,000
$80,001-$100,000
> $100,000

Closing statement: Thank you for participating in our study. If you have any questions or concerns, please contact my professor,
Susan Strohm, at (814) 863-0535.

34
Appendix

Figure 1: (Source: SPSS)

Figure 2: Willingness to try a new beauty product vs. Whether participant has purchased from Origins (Source: SPSS)

35
Appendix

Figure 3: Willingness to try a new beauty product vs. Whether participant has purchased from The Body Shop (Source: SPSS)

Figure 4: Willingness to try a new beauty product vs. Whether the participant has purchased from Burts Bees (Source: SPSS)

Figure 5: Willingness to try a new beauty product vs. Whether the participant has purchased from LUSH (Source: SPSS)

36
Appendix

Figure 6: Age vs. Rating Facebook (Source: SPSS)

Figure 7: Age vs. Rating Twitter (Source: SPSS)

37
Appendix

Figure 8: Age vs. Rating Instagram (Source: SPSS)

Figure 9: Approximate annual income vs. Whether they are more likely to purchase a luxury brand over a drugstore brand
(Source: SPSS)

38
Appendix

Figure 10: Approximate annual income vs. How many donations per year they made (Source: SPSS)

Figure 11: Donations per year vs. Willingness to pay a higher price for a charitable product (Source: SPSS)

39
Appendix

Figure 12 (Source: Simmons)

Figure 13 (Source: Simmons)

Figure 14 (Source: SPSS)

40
Appendix

Figure 15 (Source: SPSS)

Figure 16 (Source: SPSS)

Figure 17 (Source: SPSS)

41
Appendix

Figure 18 (Source: SPSS)

Figure 19 (Source: SPSS)

42