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PROJECT REPORT
ON
Marketing strategy
Of oriflame
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ACKNOWLEDGEMENT
It was a enriching and learning experience for me to do this project. I would like
I am obliged to the Anubha mam and Madhusoodanan sir for being extremely
patient, for guide me right from the inception till the successful completion of
the project. I sincerely acknowledge them for extending their guidance, support
for literature, critical reviews of project and the report and above all the moral
I would also like to thank to all the respondents who have helped me for
collection, of data for their honest participation in the research and helped me
directly or indirectly in successful completion of this study for their help and
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CERTIFICATE FROM THE GUIDE
matter embodied in this project work has not been submitted earlier for award of
Signature of guide
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CERTIFICATE
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DECLARATION
I hereby declare that this project entitled “On Consumer behavior” with special
school of management.
Studies and research Raipur (C.G) in the partial fulfillment of degree commerce
under the guidance of Miss Anubha Rani Reed is a benefited work and it
Signature of student
Surbhi Surana
ID No.MU11BCM192
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Table of Contents
CHAPTER CHAPTER Page no.
NO.
1 INTRODUCTION 7-10
12 COCLUSION 76-77
BIBLOGRAPHY 78-79
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CHAPTER 1
INTRODUCTION
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I N TR O DU C TI ON
Oriflame is an internationally successful company providing consumers
direct sales systems. In accordance with its vision, it started its operation in the largest
consumer market of world in India in July 1996 through a joint venture. Now, the
company has good reputation among Indian consumers, but its direct sal
es, s ys t e m .
M u l t i l e v e l m a r k e t i n g s y s t e m s h a s m a d e t h e a c a d e m i c s a n d practitio
thisc o n c e r n t h a t , f i n d i n g t h e i s s u e m o s t i n t e r e s t i n g l y; I s e l e c t e d t h i s t o p i
c a n d company for my final year project. The present study makes an attempt to
improvements in customer service system. For this study both the primary and secondary
methods of research methodology have been applied. Based on these a brief findings and
analysis follows. After the completion of whole study, plainly suitable suggestions
and recommendations h a v e b e e n m a d e , w h i c h w o u l d b e u s e f u l n o t o n l y f o r
concerned marketing s y s t e m , m a y l e a r n a l o t a n d i n t h i s w a y t h e u t i l i t y o f
t h i s s t u d y g o e s w i t h o u t saying.
Oriflame is a cosmetics company that sells high-quality natural. Skincare and cosmetics
get advice and inspiration from people theyknow and trust. Buying direct is reliable and
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community. Oriflame as a company is characterized by a can-do spirit, a decentralized
Oriflame set up a service center in Delhi to recruit the first level of distributors.
These were the people usually known to the officials of the company and were c a l l e d t h e
n a n d i s multiplied. Now, the distributors who are recruited by the company are
allowed only to sell to friends, relatives and acquaintances. Oriflame range of Skin-
Care and color cosmetics products are deliberately premium range of products is hardly
likely to be effective and runs the danger of degenerating into forced selling. In India, the
salesman is still looked upon with suspicion. As a result, the products he harks
look for a distributor profile, which is similar to the target customer. The
than 18years age and should be introduced by an existing distributor. Once the form isdeposit
ed with a registration fee of Rs. 800/- a starter kit is being provided. This is a unique sales
adisplay and demonstration tool to start the business. This kit also contains freeAF and distrib
The distributor once ready to enter the real market and approach the customers has to
goal should be to service 20 regular customers, and to call on them at least once a month. This
is way to give personalized service and establish business with a steady income. The
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sales start by taking orders right there on visits to the customers. This brings in
the income with the products being ordered by an order form at the Head Office.
The company provides a credit facility to all its distributors. It extent accredit limit
of Rs 5000/- where products worth of this amount can be picked up and sold to the
up 255 on all products purchased, at intensively trained not only about the product range but
Introducing Oriflame:
Oriflame is a cosmetics company that sells high-quality natural
Direct sales allow customers to get advice and inspiration from people they know and trust.
Buying direct is reliable and convenient. Being an Oriflame Sales Consultant means unlimited
income and career opportunities, personal development and a sense of belonging to a friendly
Oriflame cosmetic
Oriflame Cosmetics is one of the world‘s fastest-growing cosmetics companies, selling high-
quality natural skincare and cosmetics products through an independent sales force outside the
traditional retail environment. Oriflame Cosmetics has a presence in 59 countries and is one
of the market leaders in over30 countries. A direct sales force of 2.2 million independent sales
cosmetics.
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CHAPTER 2
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Statement about the problem:
Though such market is assumed to be in never lasting demand but there are certain problems
Most importatntly Very High Competition that induces heavy rate cuts to survive
Beauty is the essence of every human being. Many of us might not be aware of beauty
product,. Every beauty product differs accordingly to its brand. Oriflame is a latest brand
chosen and used by many consumers. We have chosen this project to analyze how far the
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CHAPTER 3
CHOOSEN
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I s e l e c t e d t h i s t o p i c a n d company for my final year project because present study
customer service system .For this study both the primary and secondary methods of research
methodology have been applied. Based on these a brief findings and analysis follows. After
sh a v e b e e n m a d e , w h i c h w o u l d b e u s e f u l n o t o n l y f o r t h e f u t u r e
marketing’ s s t e m , m a y l e a r n a l o t a n d i n t h i s w a y t h e u t i l i t y o f t h i s s t u d y
g o e s w i t h o u t saying.
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CHAPTER-4
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Objectives
To know the variety of products, discounts and offers in using theOriflame product.
Chhattisgarh. To know the mind set of people towardscosmetics. How oriflame has impact on
Importance of beliefs
healthy teeth, it is usually not feasible to make beliefs lessimportant--consumers are likely to
reason, why, then, would you botherbringing them up in the first place? However, it may be
possible tostrengthen beliefs that favor us--e.g., a vitamin supplement manufacturer may
menstruation. Most consumers already agree with this, but thebelief can be made stronger.
Add beliefs
Consumers are less likely to resist the addition of beliefsSo long as they do not conflict with
existing beliefs Thus, the beef industry has added beliefs that beef:-
(1) is convenient
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(2) Can be used to make a number of creative dishes.
Vitamin manufacturers attempt to add the belief that stress causes vitamin depletion, which
Change idea
It usually difficult, and very risky, to attempt to change ideals, and only few firms
succeed. For example, Hard Candy may have attempted to change the ideal away from
Benefits:
Trends:
Solid growth and a continuous move towards more premium productscontinued in 2008.
However, considering the current recession we will a stronger demand for low price concepts
in the years to come. Inparallel we are seeing a rising demand in the youth and male
segments. There isalso a continuous increase in the market for natural and organic
ingredients. Thisfollows the growing trend for a more holistic stance on beauty, health
andwellness. More and more cross-industry innovations are appearing on the market
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CHAPTER-5
MARKETING STRATEGY
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M A R K E T I N G S T A T E G Y
W H A T I S D I R E C T S E L L I N G ?
selling is an ultimate crucial step in offering value to the customer. “The companies say
that direct marketing identifies the unfulfilled needs of the ordinary customers. The
customer would rather be happy if he receives a product of his choice with proper service
a company bridges the last link in the genetic value-chain between the retailer and
the residence, and sells its products at the customer’s door steps itself, the process of direct
selling is complete. Few years back any companies, believed that direct selling will not work
in this country for them or for them or of the customer. In the post liberalization
area, with the dynamic market conditions the importance of direct selling is
being realized and more and more companies, are opting for
must transit to a customer-oriented one. “Smart companies” – do not just sell and demanding
It all started with a small group/community of people coming up with the idea
•A s o r t o f v e r b a l s a l e s p r o m o t i o n e n t i r e l y o n b a s i s o f f a i t h a n d p e r s o n a l
contacts.
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•E.g. – Reader’s digest launched through direct selling where the magazineswere available to
an extensive network was established in the entire world for the Reader’s Digest. Today it
this and one every popular coy came up with attractive results-Eureka
Forbes.Today, many companies have adopted the multilevel marketing model. Theseare
this and one every popular coy came up with attractive results-Eureka
Forbes.Today, many companies have adopted the multilevel marketing model. Theseare
After all, these companies have realized that, what could be more effective than aface
to face dialogue between a salesperson and a customer. In an environment where the latter
acomplete control and attention of the customer, which is very important tocomm
unicate (to him) the attributes of his product.Direct selling is a very important
to go out and clinch a deal. But at thesame time direct selling could result in the lifelong
loss of a potential buyer, if itdoes not maximize customer value. The whole sale has to be
carefully planned and thought over even before making the first call at
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a prospective customer, which is of course, not very easy always. Because, it
only takes a minute to clinch a sale but choosing the right minute to contact the
customer involves a day’s work for a direct marketer. This is all the more necessary
because the direct marketer is much like an uninvited guest and, therefore, must ensure that he
does not impost on the customer’s time. Thus, direct sellers can offer additional value by
placing a premium on the customer’s time. Times are changing and it is the ‘performance’,
which is being valued today and not just the product. So for companies like Eureka Forbes
which has to introduce and sell a concept not just the product direct selling was the best
alternative. For many cosmetic manufactures also. The direct contact between the
distributors ensures that the latter actually gets to experience how smoothly a lipstick can be
id direct Selling, therefore, is notabout crude sales calls but a carefully crafted performance w
equality true in case of INDAL, which sells its aluminum sheets directly. When
was unfit to the used as a roofing material sine it would get corroded by bird
dropping and would, therefore, lead to holes in the roof. A desperate INDAL, salesman
g e t c o r r o d e d . T h e b u s m a n u f a c t u r e r s s t a r t e d r e p l a c i n g s t e e l w i t h cheaper
through direct selling that needed flexibility can be mat”. Clearly, bfocusing our performance,
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and not first the product, the direct marketer can fully demonstrate the value proposition to
the customer. Direct marketing companies have an advantage over conventional selling is that
building even before a sale is made. The salesperson have the satisfaction of generating a
Thus the evident advantages that direct selling have over conventional selling can
be summarized as:
The direct selling works on the basis of a distribution channel, which relies
on personal touch. Direct selling has some specific advantages for the customers.
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CHAPTER 6
PRODUCT OF ORIFLAME
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PRODUCT OF ORIFLAME
Special Quotes from Brochures:
3. Good skin doesn’t come off the shelf-it needs special effort from,
special products.
Oriflame combines Scandinavian beauty secrets with the most modern research
Technology, which has led to the development of products, built on active natural
care products that will help users look & felt their best. In today’s increasingly
Laboratories before being produced under the strict micro biological and analytical
guidelines required as laid down by the European Union. The company has a
policy not totest any of the products on animals. Instead, they are tested on human
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of an internationally recognized professor of Dermatology. Legendary
s k i n care range.
9. Wild pansy.
All these chosen were the “pick of the crop” with a history and reputation for their
Oriflame has permission to use some special logos along with its products, which ensure the
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aboveprincipals. Oriflame products are so safe and pure that they can be used even
Oriflame has developed different skin care lines, to suit varying ages and skin
types. The purifying range is a basic skin care region for young skin and is
to help the customer identify the real skin type and then recommend the best skin care
of heright product only will yield those magical results which Oriflame aims at.
Is specially formulated to provide dry & mature skinswith the rich lubrication they
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Especially for teenagers, more active and prone to access, pimples and rashes.
and purifying the skin, which is susceptible to injury due to extensive pollution &sun. Now,
They include the sun protection and fairness creams. This range is expected to do
very well in India as the fair & glowing skin is always aspired byIndians. Oriflame
emphasizes that this skin care range should be used as a system in 3types:
Cleanness, Toners and Moisturizer. For extra care of skin care of skin theface
pacts and scrubs are available which are not be applied in small quantities. T h u s , t h e s k i n
c a r e r a n g e c o v e r s t h e o v e r a l l c o l l e c t i o n o f p r o d u c t s a s p e r required by
customers.
Oriflame color cosmetics allow your customers to choose the look they desire.
There is foundation to provide the prefect base for any make-up and a range of
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Color for eyes and tips to add the finishing touch, this range included some
absolutely new products for India. People have been purchasing these
u n i q u e items on their visits abroad, but now they are being available in India.
3. Toiletries
hair care, foot care & body care, suitable for whole family. There are special products.
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4 . F R A G N A N C E S
Oriflame take natural ingredients & oils and blends them together to create a range of exciting
fragrance far other men & women. They have deodorants, perfumes, after shaves and
concept. Every perfume resembles a triangle. Top Note- The first thing that is smelt, for few
minutes. Heart- The body note of heart, which gives character and richness. Base- The basis is
All products are very specific and unique in formulation. They are developed
keeping in mind special skin types and varying needs of humans. It is therefore very
important that their application and use is also done will care. The products are expected to
yield desired results only on proper applications as results only on proper application as per
instructions. For their purpose the distributors are given special training about products
and their application. The distributors help the customers to identify their skin type
and special requirement and only then after them the right products. This distribution help
the customer to identify their skin type and special requirement and only then after
them the right product. This ensures very effective and quick results of these products.
s c i e n t i s t i n Dublin.
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The maximum Treatment cream is a result of 7 years of research carried o u t t o
provide mature skin will all the possible care and treatment. All
t h e products are very effective so they are to be applied sparsely. Excessiveapplications won’
t yield results. The products are such they won’t cause anyharm as for allergies or
wrong skin types or more than required amounts they may cause problems in few
causes. For this reason Oriflame emphasis on proper care while selling of products only
by trained distributors . Though Oriflame is confident of its preparations provide they are
used for
correctpurpose, using directions as given. It says its products should not cause injury.But in
case of any allergy or harm to the users it assures to return back full value of product.
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CHAPTER 8
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FINANCIAL AND STRATEGIC ANALYSIS REVIEW:
Oriflame cosmetics S.A. (Oriflame) is a cosmetics company based in Luxembourg. Through
its subsidiaries, the company is engaged in offering natural skincare and cosmetic
products, including lipsticks, fragrances, toiletries, color cosmetics, and accessories. Oriflame
distributes its products through network of 2.3 million independent sales consultants in Latin
America, CIS and Baltic, central Europe and Mediterranean, Western Europe, Asia, and
Africa. Currently, operates five cosmetic manufacturing plants in Poland, Sweden, India,
china and Russia. That comprehensive SWOT profile of Oriflame cosmetics S.A. provides
you anon-
The profile has been compiled to bring to you a clear and a unbiased view of the company‘s
key strengths and weakness and the potential opportunities and threats.
SWOT Analysis
Strength:
1. Easily available products in residential areas, at parlors and sold by people whom
customers
3. Customers get help from sponsors who help them as a consultant choose product according
5. Provides natural beauty products through an independent sales force of over 3 million
people
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Weakness:
2.Depends on the network of individual sponsors on most of its distribution and available in
Opportunity:
Threats:
3. Presence of many established brands at one place in the stores thus giving customers
variety.
This comprehensive SWOT profile of Oriflame Cosmetics S.A. provides you an in-
The profile has been compiled by Global Data to bring to you a clear and an unbiased view of
the
Opportunities and threats. The profile helps you formulate strategies that augment your
business by enabling you to understand your partners, customers and competitors better.
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Oriflame Cosmetics S.A. (Oriflame) is a cosmetics company based in Luxembourg. Through
its subsidiaries, the company is engaged in offering natural skincare and cosmetic
products, including lipsticks, fragrances, toiletries, color cosmetics, and accessories. Oriflame
Distributes its products through ante work of 2.3 million independent sales consultants in
Latin America, CIS andBaltic, central Europe and Mediterranean, Western Europe, Asia, and
China and Russia.The company is also engaged in environmental and social activities
including co-founding the World Childhood Foundation and the LiveliestFoundation. The
(Euro) EUR 1,319.67 million during the fiscal year ended December 2008, an increase of
18.95% over 2007. The operating profit of the company was EUR 178.64 million during the
fiscal year 2008, an increase of 37.86% over 2007. The net profit of the company was EUR
124.39million during the fiscal year 2008, an increase of 35.24% over 2007.This company
Data‘s ‗Profile on Demand ‘service, covering over 50,000 of the world‘s leading companies.
comprehensively research and author a full financial and strategic analysis of Oriflame
Cosmetics S.A., including a detailed SWOT analysis, and deliver this direct to you in pdf
format within two business days. (Excluding weekends)Upon ordering, this SWOT profile
will be updated and delivered direct to your inbox within two working days.
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S T P of oriflame
Segment:
Target Group:
Women purchasing products on the suggestion of sponsors at the comfort of their homes or
trusted salons.
Positioning:
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CHAPTER9.
RESEARCH METHEDOLOGY
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RESEARCH METHODOLOGY
of h o s p i t a l i t y i n d u s t r y b y s t a t i n g v a r i o u s a r g u m e n t s o p i n i o n b a s
b j e c t t o verification throughout the dissertation. Hence, the conclusion drawn at last either
seeks to support or reject the Hypothesis. A careful study of numerous texts, articles
study gave a sound framework for this research. These relations were tested in the light of
proving this topic, these opinions were recorded and put down on comments.
Literature review was undertaken. The objective was to collect thoughts of experts on the
subject matter. All necessary theoretical information relating to the subject was
initiallyo b t a i n e d t h r o u g h v a r i o u s t e x t b o o k s & j o u r n a l s . T o s u p p l e
n i c a l a n d occasional were also consulted. I myself also visited number of libraries to collect
the information.
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5 . 3 D a t a C o l l e c t i o n
The method of structured interview was adopted in Data Collection. Here, questionnaires
were prepared and questions were presented in the same order and same wordings to all
interviewees of the
Customers.T h e i n t e r v i e w e r h a d f u l l c o m m a n d o n t h e q u e s t i o n n a i r e a l l a l o n
g t h e interview process. My aim throughout was to extract as much honest opinion and
information from these interviews as possible. Also, the objective was to achieve
set of questions, with utmost sincerity and sensitivity to make it sure that they veritably
measured up to the degree of efficacy and validity characterizing the essence of the present
study.
Though, I’m satisfied with what I have done for the final project, yet I can say that I had
performed much better than this if I would have more time to finish this project. Apart from
h e d customer took the interview lightly. It was really very tough to make them ready for
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5.5 Interview Questions formulation
Open-ended questions were chosen for the questionnaire. The classification of questions that
were chosen in the Questionnaire were ‘Open Type’. The author feels:
•The questions were easy to ask. It gave the respondents the opportunity to express their
•Allowed a great deal of freedom to probe various areas and to raise specific queries during
5.6Questionnaire Design
The author had a set of ideas and expected result based on those ideas from the questionnaire.
•Related to the research hypothesis. Besides, deciding what to ask, the author subsequently
•Q u e s t i o n s m u s t b e a r s i g n i f i c a n c e t o c o n c e r n e d a r e a o f research.
•Q u e s t i o n s m u s t s e e k i n f o r m a t i o n , u n a t t a i n a b l e f r o m o t h e r sources.
•They must be short as possible but comprehensive enough to allow the author to derive his
•Utmost care was taken to avoid ambiguity in the questions. The segment selected for the
interview process viz. Customer Level was reached out to receive more accurate and balanced
data.
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Chapter 8
MAIN REPORT
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MAIN REPORT
For the first time, a form of direct marketing will be used as an alternative channel of
distribution and sales in this country. The innovative marketers are imported this
unusual channel of multi-level marketing. Where the shelves in the country’s retail stores are
overflowing already this new technique is outright do some good to them. What MLM
supporters are counting on is that Indian housewives will jump at the opportunity to make
money in their spare time besides being able to win friends& influence people to use their
company’s products
distributors was built initially.when this concept was first launched by it in India
. It sales of over Rs 10 corers were incredible. It targets between 50,000 and 70,000
mind blowing figures is not very complex. It starts the very level of a simple India housewife,
who wants to do something new and exciting of her own. She is the target and
question needs elaborate answer. In the conventional channel the product moves
from the manufacturer. To the stockiest, wholesaler, retailer and finally to the
consumer in network selling the product is not available at any retail outlets.
intermediary between the company and the consumer, the “distributor”. This means thatOri
flame works with independent Distributors who deal directly with the end
customer and offer her/him a direct and personal service. Oriflame set up a service
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center in Delhi to recruit the first level
of distributor.These were the people usually known to the officials of the company and
were c a l l e d t h e c o r e g r o u p ” . T h e s e d i s t r i b u t o r s h a d t h e a u t h o r i t y t o
r e c r u i t m o r e distributors who are called the “down line”. So, the chain goes on and is
multiplied
selling premium cosmetic range to people who the distributor are comfortable with, so that
the exclusive and premium image of the product is maintained. The distributor once ready to
enter the real market and approach the customers has to proceed in a systematic manner. The
20 regular customers. This bring in the income with the products being ordered by an
order from at the Head office. The company provides a credit facility to all its
a t t h e distributor price, so there is an immediate profit of 25% on the very first sale.
The payments are to be cleared within the 1-month period for the products taken oncredit.The
wayt h a t t h e m o r e p r o d u c t s a d i s t r i b u t o r s e l l s , t h e h i g h e r h e r c o m m i s s i o n
All products are assigned 2 sets of numbers; Bonus Points and Business Volume.
BP Bonus Points-
w h i c h n o r m a l l y a r e p o i n t s a s s i g n e d t o e a c h p r o d u c t correspon
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ding to their vale of these points remain constant? These determine the performance
the BV equals the Distributor Price less sales Tax. This represents themonthly sales.
V o l u m e - T h e s e l l i n g o f p r o d u c t s w i t h a B P o f B a y, 1 0 p o i n t s c o u l d e a r n
a n additional commission the total BP of all the products one buys and sells during the
monthly performance discount, is base not only own business volume but also on the busines
group.T h e d i s c o u n t p a y m e n t a r e c a l c u l a t e d a n d p a i d o n t h e t o t a l b u s i n e s s
the performance discountschedule. The bonus points ensure that the effort required to reach
When a distributor group achieves a total of 10,000 BP per month for f three
specialrewards are presented they achieve the leadership, eligibility for seminars andhonours.
Oriflame has attractive rewards are recognition’s to extra ordinary performance. There are
wherethe leader or distributors who have achieved high sales. This acts as experiencesharing
recognition and praise for the star performance. Apart from this regular tips or princes area
b e l o n g i n g t o Oriflame family and is itself is a great motivator. They are also give recogniti
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ont h r o u g h monthly newsletters mentioning their names along
w i t h t h e i r photographs and levels reached by them. Thus the entry of Oriflame with its
multilevel direct selling system could change the very way the discipline is handled in
give relevant and genuine information on product features. In addition to offer skin analysis
their identification at the company. The distributor has to give his complete
3. All aspects of product offering are required to be accurate and completed. The
distributors are given tips & complete in for about products during the
1. Order forms: The distributor order forms are issued to the distributor whichare
O. Fromwhere the products are dispatched. The forms have all terms of the saless
2. Verbal Promises: The distributors are clearly told to make such claims before
the customers, which are genuine and realistic about product features &quality. At
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the training sessions they are specifically told not to mention any odd promises about
products. Once more reason for his is that the products are very specific and to
3.Cooling off and returns of Goods: A reasonable cooling off period must be provi
ded in order from and all payments or goods traded in must be returned
or thosecausing allergy to the users can be returned back within 4 weeks of deliveryor
& manual. It also mentions the details of after sale service as being offered by distributor
7.Respect for privacy: Distributors are guided to take prior appointment whenvisit
.8.Referral selling. This relies on some ensure future event in prohibited. This
section does not prohibit giving immediate and certain price reductions
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9.
The timeliness of delivery is required: The orders must be dispatched withina reas
onable the distributor’s reputation. For this Oriflame needs to deliver and process orders as so
People sent their problems the sale department regarding damages or inquires
about credit status etc. These are forwarded to the complaints department.
2. Customer services-
The customer cell gives the complaints received on phone, the department. This is
usually the case with specific queries. These fall beyond he preview of customer service cell.
3. Post-
4. Phone-
M a n y d i s t r i b u t o r s c a l l u p d i r e c t l y t h e c o m p l a i n t s d e p a r t m e n t regarding
their problems.
5. FAX-
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T h e f a x m e s s a g e s a r e a l s o r e c e i v e d o n a r o u n d t h e c l o c k b a s i s a t Oriflame
help.
All complaints from service centers are also received by the end of day.
7. Immediate service-
Distributors come personally at the Head office and tall their complaints at the immediate
service counter. They are again forwarded toOriflame help and a readmitted on priority
Immediate Service
This is the first and foremost counter which is customer interface with Oriflame the head
office. This is a state of the art facility provide immediate service oriflame distributors.
a n d r e c e i v e p a ym e n t s f r o m d i s t r i b u t o r s w h o v i s i t personally and
want to pick up orders by hand. This service is very quick and efficient with least time
directly in person. The immediate orders & other services are given the top priority atOrifla
me as the customer is present right there and is to be serviced in the best possible
manner
earlier also but, as the network started increasing with Oriflame going national, there was
a need felt for a full-fledged complaints cell. This started taking shape in May’97.I a s a
summer trainee was assigned the job of assisting in its designing and
functioning. This job was to be done in phases. The first phase was to start sorting out
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pending complaint and studying them. This w a s d o n e t o study the nature
o f c o m p l a i n t s r e c e i v e d f r o m t h e O r i f l a m e distributors.
Has launched thousands of products within Skincare, Color Cosmetics, Fragrances, Personal
& Hair Care, Accessories and Wellness; from the eternal favorite, Tender Care Protecting
Balm, to its new and most premium Diamond Cellular Anti-ageing Cream, from Visions V
Freaking
Have one thing in commonthey all convey the Oriflame product philosophy. The formulations
are developed using cutting edge technology and products are manufactured according to the
highest quality standards. The 2007 relocation of a number of Oriflame‘s key support
functions to Stockholm was a strategic step and an investment in Oriflame‘s brand image and
Oriflame cosmetics are a well-known Swedish company with naturalbeauty cosmetics. This
company has been around for a solid 43 years and stillgoing strong. They have over 3 million
distributors and have business in 62countries. This company ranks right up there with Mary
Kay and Avoncompanies. Although Oriflame does not have distributors in United States,
youcan find their wonderful natural Swedish products online.This company was started by
two brothers Jonas and Robert AF Jochnick along with a friend Bent Hell sten. Pulling all
together to have the best natural Swedish products, they built a successful natural cosmetics
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The Oriflame Company has a motto that MakeMoney Today and Fulfill
ADVANTAGES STRATEGY
YOURS
GIVING STAGES
UNDERSTAND PRODUCT
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ENLISTING DIRECT SALES AGENTS
DEAL IMMEDIATELY.
Cost is low with a norisk sign up policy. They offer the opportunity of being part of their
company tostrong will for Success Company. The Oriflame Company has also overcome the
global economy crisis going full steam ahead. Because of its reputation and line of natural
products this company is constantly growing. Oriflame has a system of strategies that works
well for their business. To start it has low entry fee with no overhead of stock.
It has appealing catalogues of the products with new upcoming items, and has simple business
ethic, they offer personal expansion and growth, an affordable kit of the natural cosmetics is
available, there is unlimited potential for income, and direct selling. Even with the global
economy crisis this company has shown that their system is working today better than it than
it did at the start of the company. Oriflame has attractive incentives and bonuses to help
motivate and excite the distributors to want to promote and expand their growth. With help
Now many companies are able to get the word out on the internet about their company and
products to expand and grow to their fullest potential. If you do your homework and research
different strategies of promoting your business there is no end to what you can accomplish.
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Whether it is this company or another that interests you to start your home based business,
you need a plan of strategies to develop and grow your business. Along with your plan you
will need patience, determination, and a will to succeed. You want a company that offers
Nothing can stop you if you have and use the tools for success that are available to you. With
the internet at your fingertips, the potential to attract leads and prospectus is unlimited.
Learn as much as you can always be educating yourself on new and upcoming strategies. It is
important to stay ahead of the game to develop your business to its fullpotential.
There is no stopping a distributor that has the excitement and desire to succeed! Only you
have the control to have the life you dream of! Because of the strong ethics Oriflame with its
Natural beauty Cosmetics with its Natural beauty cosmetics has, it built a strong and solid
foundation. Learn how to connect you to success with more strategies and opportunities that
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Consumer behavior
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involves the psychological processes thatconsumers go through in recognizing needs, finding
ways to solve these needs,making purchase decisions (e.g., whether or not to purchase a
product and, if so,which brand and where), interpret information, make plans, and
aproduct)
Attitudes:
Within the context of marketing, usually a brand, product category, or retail store. These
components are viewed together since they are highly interdependent and together represent
forces that influence how the consumer will react to the object
Analyzing survey data is an important and exciting step in the surveyprocess. It is the time
that you may reveal important facts about your customersuncover trends that you might not
otherwise have known existed, or provideirrefutable facts to support your ideas. By doing in-
depth data comparisons, youcan begin to identify relationships between various data that will
help youunderstand more about your respondents, and guide you towards betterdecisions
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This project gives us a brief about oriflame customers. Analysis is intended to provide a
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Age wise classification
20-30 years 31 62
30-35 years 9 18
Above 35 years 10 20
Total 50 100
The above data reveals that 62% of respondents belong to 20-30 years,18% of respondents
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Gender wise classification
male 2 4
female 48 96
total 50 100
male female
The above data reveals that 4% of respondents are male group and 96% of respondents are
female group.
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Usage of product
As per instruction 20 40
On friends advice 11 22
total 15 100
The above table reveals that 40% of respondents use Oriflame product asper instruction, 38%
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Price of oriflame product
Unsatisfied 3 6
Satisfied 40 80
More satisfied 7 14
total 50 100
The above table reveals that 6% of respondents are unsatisfied with theprice of Oriflame
product, 80% of respondents are satisfied with the price of Oriflame product and14% of
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Opinion about oriflame product
Good 29 58
Better 21 42
Bad 0 0
total 50 100
The above table reveals that 58% of respondents feel good about Oriflameproduct and 42%
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Usage of product
Lipstick 10 20
Nailpolish 18 36
Facecare 22 44
total 50 100
The above table reveals that 20% of respondents use lipstick in Oriflame, 36% of respondents
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Preference of other brands
Lakme 11 22
Oriflame 29 58
Amway 10 20
Total 50 100
20% 22%
lakme
oriflame
amway
58%
The above table shows that 22% of respondents prefer Lakme product, 58% of respondents
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Period of usage
0-2 years 26 52
2-4 years 15 30
Above 4 years 9 18
total 50 100
18%
52%
30%
The above table reveals that 52% of respondents are using the Oriflameproducts below 2
years, 30% of respondents of respondents are using theOriflame products between 2-4 years
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Customer care service
Excellent 14 28
Satisfactory 36 72
Unsatisfactory 0 0
Total 50 100
excellent
satisfactory
unsatisfactory
The above table reveals that 28% of respondents feel that customer care service in Oriflame
product is excellent and 72% of respondent’s feel that customer service is satisfactory in
Oriflame product.
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Category of people
High class 14 28
Middle class 14 28
Lower class 2 4
All above 20 40
Total 50 100
The above table shows that 56% of respondents are benefited with dealership of Oriflame
product and 44% of respondents are not benefited with dealership of Oriflame product.
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Do you know that Oriflame provides you its product th
r o u g h d i r e c t marketing?
Housewives 20 30 25
Workin women 40 10 75
total 60 40 100
yes no
The above mentioned table shows that out of 20 respondents are aware of the fact that
Oriflame sells its products to the customer through direct marketing; while the remaining 13
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Do you agree that O r i f l a me while
particulars yes No
Working Women 30 4
Housewives 10 6
Chart Title
35
30
25
20
15
10
0
working women house wife
yes no
t h a t O r i f l a m e w h i l e s e r v i n g i t s p r o d u c t s t o c u s t o m e r s a d o p t s t h e b e s t s ys
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DISPLAY OF PRODUCT IN SHOW ROOM
SATISFIED 33 66
EXCELLENT 15 30
UN SATISFIED 2 4
TOTAL 50 100
The above table shows that 66% of respondents are satisfied with the display of Oriflame
product in the show room, 30% of respondents feel excellent about the display of Oriflame
product in the show room and 4% of the respondents are not satisfied with the display of
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USAGE OF CHILD PRODUCT
YES 19 38
NO 31 62
TOTAL 50 100
YES NO
The above table reveals that 38% of respondents use Oriflame product for children and 62%
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CHAPTER 11
COMPARATIVE STUDY
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Comparative study:
Oriflame 40 80
Amway 10 20
total 50 100
oriflame amway
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Comparative study between oriflame and Amway
Reason is that Amway products are good but middle class n lower middle class people
can’t effort that. Because the prices are very high as compare to oriflame.
Amway have limited beauty product as his main focus is on health supplements
Oriflame have a wide range of beauty products his main focus is on beauty products
only
Oriflame used to sell their product such as skin care package, fragrance kit, personal care
Amway is the best one compare to Oriflame, both have different types of product to
sell for their consumer across. Amway mainly concentrate on health, herbal products,
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CHAPTER 12
FINDINGS
&
RECOMMENDATIONS
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FINDINGS & RECCOMENDATIONS
From the study it is understood that most of the respondents attracted toOriflame
Products than other type of cosmetics like Lipsticks, Mascara ,Face cream, Eye liners
etc.,
It is found by researcher that majority of the respondents who use Oriflame are
females.
The study reveals that the majority of the respondents like Customer Care Service.
The study shows that the opinion about Oriflame Products service for buying a
The brand name has to be built in the market people still compare
name has to be built with respect to this. They need to aggressively advertise its
If the price of the cosmetics is reduced it will surely attract more people than the
present. Moreover not only high class but also the middle class people can also
own Oriflame.
Many more discounts and offers can be provided to increase the customers
satisfaction.
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Media advertisement should be given so that other customers can be aware of the
product.
The quality of the customer service at Raipur can be increased in order to satisfy the
The study shows that they are satisfied with price of the product.
One strategy to compensate for the lack of choice which is the strong point
The products have to be given the right image in the customer’s mind. A studyo f
much value does thecustomer give to the natural skin care products? This is to
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CHAPTER 13
CONCLUSON
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COCLUSION
The success of Oriflame is based on a strong and consistent company culture, promoting an
entrepreneurial spirit and a clear set of values. Their mission and passion. Is to fulfill dreams
for people around the world, a dream often focused on building a better quality of life by
belonging to theOriflamesales network.Thus the research group concludes that Oriflame will
Overall, the women all liked the products and found the prices low. A problem was
that two of the women were rather allergic to general skin creams and bought
customized ones in the pharmacy. Makes them doubt about the company. However,
all of the
Women could imagine to buy products from Oriflame even though they would need
to test and try them before making a decision. The problem is that they all do not like
to buy by direct selling and thus would not be potential customers of Oriflame, only
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BIBLIOGRAPHY
Page 77
BIBLIOGRAPHY
MAGAZINES:
Women’s Era
Fashion World
Alive
Femina
Business World
Business Today
NEWSPAPERS:
Times of India
WEBSITES:
WWW.WIKIPEDIA.COM
WWW.ORIFLAME.CO.IN
WWW.ORIFLAME.COM
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SAMPLE QUESTION PAPER
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Survey for oriflame product
Name _______________
Gender_________ address____________
Male
Female
On friends advice
More satisfied
Better
Bad
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5) Which product you prefer most?
Lipstick
Nail polish
Skin care
Amway
Lakme
Oriflame
2-4 year
Above 4 year
Satisfied
Unsatisfied
Excellent
High-class
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Middle class
10) Do you know that oriflame provides you its product though direct
market?
Yes
No
11) Do you agree that oriflame while serving its products to customer
Yes
No
SATISFIED
Unsatisfied
Excellent
Yes
No
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