1

➢ FormedbyDavidMcConnelin1886astheCalifornia
PerfumeCompany.
➢ NamechangedtoAvonin1939.
➢ 100productsincludingperfumes,low-costhome
andbeautyproductsandpersonalcareitemslike toothbrushes.
➢ World’slargestselerofbeautyproducts.
➢ 5th largestbeautycompanyoveralwithannualsales of$5bilion.
➢ 2.8milionsalesrepsworldwideand.5milioninUS.

2
 Visio n & M ISSION
Vision
Tobethecompanythatbestunderstandsandsatisfies
theproduct,serviceandself-fulfilmentneedsof women-
GLOBAL Y
MISSION
The Global Beauty Leader
The Women's Choice for Buying
The Premier Direct Seller
The Largest Women's Foundation

3
 Avon products

➢ Make up
➢ Skincare
➢ Bath & body
➢ Hair care
➢ Jewelry
➢ fashion

4
Avon’s Global Ambassador
Reese Witherspoon
Avon’s Global Ambassador and Honorary Chairperson
of the Avon Foundation for Women

5
Avon as a Distribution Channel: The
Power of Direct Selling

6.5 million representatives

300 million customers

1 billion brochures annually

6
$1 Billion a Day

Avon isthe
largest
micro-lender
intheworld

7
 Sales force
Over $10 billion in sales
World’s largest direct seller
Fortune 300 company
Represented in over 100 countries rth CEE

erica $1.6B
China

90+% brand awareness in most major $2.2B 15%

$.2B
20%

markets WEMEA
2%
Asia Pacific

$1.5B $.8B

14% 7%

Listed among the top 100 brands in atin A

$4.6B
rica

BusinessWeek for almost a decade 42%

Sells four lipsticks every second

World leader in high-tech anti-aging
skin care.
More products carry the Avon name
than any other brand in the world.

8
 Selling Process
➢ Direct selling by women sales representative.
➢ The leadership program allowed a rep to earn additional
money by encouraging other women to become Avon
Sales representative.
➢ The Beauty Advisor Program
➢ Avon ran 26 two week selling campaigns
➢ Full color brochure featuring the products
available for sale.
➢ On an avg. each customer on a
representative’s list ordered $20 worth of
products per campaign
➢ Avon provided 100% satisfaction guarantee.

9
 Marketing Strategies
➢Mis ion ofthe company was to provide exciting
and lucrative careeropportunities forwomen
➢AvonWorldwideFundforWomen’shealth
➢AnnualAvonBreastCancer3-DayWalk
➢Spentverylitleontraditionaladvertising

➢Ac c o rd ing to a survey, 70 % c o nsum ers

b uy Avo n thro ug h a rep resentative.

10
 Other Strategies
➢ Product innovation : Rapid, due to intense competition and
product innovation
➢ Differentiated Products: Products are
differentiated through features, which tailored to specific
needs.
➢ Internet ( Online selling):
❖ One of the most important drivers of change is the use of
internet therefore the companies are focusing online selling
in order to success in the personal care industry.
❖ They are offering online samples and trials, tips, advisories
for beauty.
➢ Customer Preference:
❖ The consumer buying habit is changing due to which
the companies have to analyze the market constantly and
develop new products according to the culture and the needs of
specific customers.

11
 Avon’s Research and Development
Avonistheleaderinthenewestandmostefectiveproductsthroughour
commitmenttoresearchanddevelopment.
➢Here,thescienceofbeautyiscombinedwithsocialconscience:
➢Avon’sdedicationtothesafetyandefectivenes ofourproductsis legendary.
Our$100MilionGlobalResearchandDevelopmentCenterinSufern,NY
introducescuting-edgeproducts.
➢With300scientistsandtechnicians,itutilizesthehighesttechnologyof
anyresearchfacilityintheindustry.
Inlate201,asecondR&DfacilitywilopeninAvonShanghai.

12
 Key Success Factors
➢Quality
➢Price
➢DistributionChannels(Relations,various type)
➢BrandImageandloyalty
➢ProductInnovation(R&D)
➢MarketingStrategies(TargetSegments)
➢ProductsLines
➢Services

13
 Award Winning Products…

Cosmopolitan Beauty 2010 Fragrance of Allure Editors Choice Self Healthy Beauty Edison Innovation
Award Award Winner the Year: Award 2010: Award 2010: Award Winner 2011:
2010: •Patrick Dempsey 2 •ANEW Clinical Advanced •Smooth Minerals •Advance Techniques
•Advance Techniques Retexturizing Peel Lipstick Frizz Control Lotus Shield
Frizz Control Lotus Shield

Redbook SELF 2011 New Celebrity Self Healthy Beauty 2011 Fragrance of the Year
Award Winner 2011: Award Winner 2011: Fragrance of the Year Award 2011: Men’s Broad Appeal and
• ANEW Platinum Cleanser •Healthy Makeup Award Winner: •Healthy Makeup Liquid Best Packaging Men’s
Liquid Foundation •Outspoken by Fergie Foundation Broad Appeal:
•Herve Leger Homme

14
 …Consistently Featured in the Press
Glo b al Im p res io ns fro m 2 010 fo r Fodur
ucAvo
ts n Pro

1 4 b il io n im p r e s s io n s g lo b a l y a n d c o u n t in g …

15
 Improving the lives of Women Globally

The Avon Foundation for Women, the world’s largest corporate-affiliated philanthropy focused on issues that
matter most to women, was founded in 1955 to improve the lives of women. Through 2010, Avon global
philanthropy has raised and awarded more than $800 million in more than 50 countries for causes most
important to women.

Today, Avon philanthropy focuses its funding on:

➢The Avon Breast Cancer Crusade
➢Reducing domestic and gender violence through the Speak Out Against Domestic Violence program
➢Providing support for relief and recovery efforts in times of major natural disasters and emergencies

Boston M oscow Brazil San Francisco San Salvador Beijing

16
 Avon Hello Green Tomorrow
Avon Hello Green Tomorrow has two core missions: to be internally authentic with our environmental stewardship across the
business, and to engage our global network to drive green mobilization and behavior.
The Hello Green Tomorrow fundraising and mobilization program launched in 2010, with over 50 countries joining the effort to
help end deforestation. Nearly $3 million has been generated to date to help restore the critically endangered Atlantic Rain
Forest in South America and tropical forests of Indonesia.

There are two recent policies that address key areas of the Hello Green Tomorrow mission:
•As a significant user of paper, Avon is in a position to influence the supply and demand. The Avon Paper Promise set Avon
policies and goals in 2010 to protect forests and reduce demands. Avon’s goals include the commitment to purchase 100% of
its paper from certified and or post-consumer recycled content sources within ten years. Currently, 74% of Avon’s brochure
paper meets these commitments.
•The Avon Green Building Promise codifies Avon's commitment to green buildings. Under the formalized policy,
all significant new or retrofitted Avon buildings will be constructed to green standards, targeting at least a LEED "Green"
certification. To date, Avon green buildings include headquarters in the UK and US (New York), distribution centers in Brazil,
Colombia and Ohio, and the new R&D Center in Shanghai, China.

17
THANK YOU

Albert Costa
9686446570
18