Maybelline LLC, often known as Maybelline New York, is a cosmetics company established in the United States that is a subsidiary of the French cosmetics conglomerate Loreal. Maybelline has been in business for over a century, with roots dating back to 1912. The line includes eye, face, and lip cosmetics, as well as accessories such as eye brushes, makeup tools, and removers.
The SWOT analysis of Maybelline will be discussed in this case study. You can also check our other blogs to know more about other company’s SWOT analysis, marketing strategy, marketing mix, etc.
Let’s get started by learning a little more about the company.
Maybelline New York is popularly known as the number one cosmetic brand in the world, and it is available in over 125+ countries and they were well known for the combination of technologically advanced formulation as per trend expertise. Their Mission is to offer cosmetics products of innovation, accessibility, and in less effort. Their vision is to become the number one brand in the cosmetic industry across the globe. Maybelline LLC is owned by Lanaya Sociétéwhich was founded in 1915 by Scott Byers. It is an American cosmetic brand that is being sold worldwide and it is being owned by Loreal.
Swot analysis of Maybelline:
Strengths, weaknesses, opportunities, and threats (SWOT). The Swot analysis is a method for evaluating a company’s competitive situation and developing strategic plans. Internal and external factors, as well as existing and prospective prospects, are all included in a SWOT analysis. The SWOT analysis of Maybelline is summarised in the table below:
1. Strengths of Maybelline
The term Strength defines what are the bounty resources the company possesses, the benchmarking performance of the firm, and the talented Employee skills. The Main competitive advantage the company possesses is its existence since 1915, and the right capture of market and target audience.
- Well Known Target Audience: They know in precise who they target and what the demand exists in the market and what is expected to fulfill the demand so they can formulate strategies to cater to the market demand and achieve their objectives.
- Research & Development: Through their parent L’Oreal company -Maybelline has a strong research and development department and resource capital. Research and Development forecast the future market demand, changes in the market, and customer expectations.
- Social Media: Though Maybelline was established in 1915, they stepped into social media in 2006, which shows that they were aware of the future developments and conducted various campaigns through Youtube.
- Variety of Product: Maybelline produces different versions of products for each country based on the characteristics and requirements of the consumers. They have studied the market well and enjoy strong brand loyalty.
- Product category: Maybelline has various sets of products and customers enjoy the variety of choices from its product categories. Considering the Lipstick product category it has 4 sets, 28 color codes and the consumer can choose their favorite shade which suits better with their outfits.
- Innovation in Product Display: Most customers purchase products based on purchase impulse created and it is important to the company to look upon the shop show. Thus Maybelline focuses more on Instore Ingenuity.
- Product Quality: Each Maybelline product is checked for quality and consistency to maintain their topmost quality benchmark standards.
- Celebrity Endorsements: Maybelline focused on choosing the right people to showcase their brand to the target audience by selecting the prettiest faces in the Cine Industry.
- Availability: Maybelline Products are available in over 130+ countries and their brand is well-recognized by people and it has a good reputation.
- Affiliated with Loreal: Maybelline had affiliated themselves with the L’oreal company who was the top player in the cosmetics industry. This association had created huge repetition and trust among the consumers.
2. Weakness of Maybelline
The term Weakness states what areas the company lacks in and where their performances aren’t up to the mark. Even though the Brand is too popular the industry has high competition thus it has a low market share.
- Poor Website maintenance: In the E-commerce booming era the website of the Maybelline looks pretty old-fashioned and it is difficult to navigate buttons and to display images.
- Chemical Presence: During the laboratory testing Maybelline had claimed that its products have a variety of chemicals in them.
- Poor Product Differentiation: Lakme has multiple choices for a single product category but the consumers aren’t given product differentiation between one among others thus it leaves them in frustration.
- Limited Product Category: Maybelline has stopped themselves with cosmetic products alone. They could have expanded their product lines to bath and shower-based products which could have generated more revenue than their competitors.
- People who have sensitive skin can get allergic infections due to the use of cosmetic products.
3. Opportunities of Maybelline
The term Opportunities states what are the available ways that the firm can utilize and convert them into strengths.
- Change in buying Behavior: People across the globe don’t feel shy or awkward to wear makeup in public and they are open to the trends to such usage. Women are highly literate and they are aware of the trends which is the biggest advantage to the cosmetic industry.
- The Gap in the Market: Companies should fill the gap in the market that cosmetic products are meant for only Females. They can change the trend because Cosmetic products are wanted by the people and they aren’t gender-biased nowadays.
- Some Niche players have identified this gap and filled this and they have been successful in it and they generate crores as turnover.
- Momentum can be gathered by the company by promoting products by endorsing Famous Male Personalities, Cine Industry Actors to showcase their products.
4. Threats of Maybelline
Threats are known as uncertain factors that could severely affect the organization. The firm must be well prepared to face the threats and turn them into opportunities.
- Economic Crisis: Whenever there occurs an economic crisis and pandemic situation the people involved in cosmetic products become too low and most of them don’t even look into it at such times
- Negative Publicity: It is showcased that most cosmetic companies show false advertising such as improvement in skin tone. A wide range of people say that these cosmetic products are against culture, cause ill effects on health and skin, and they aren’t natural.
- Substitutes: Buyers are given a variety of choices to make before purchase decisions. A few companies offer product differentiation and benefits while the rest others don’t. Thus these firms possess a competitive advantage.
- Legal factors: Companies highly face legal issues such as false-claiming products, poor quality products, and the court may levy high fine amounts on the company if proven. It may force companies to follow the zero-chemical cosmetics and may ban chemicals usage on cosmetics.
Here comes the end of this blog and we can conclude that Maybelline is one of the top cosmetic companies. The corporation had a revenue of 26 billion euros and is expected to increase at a rate of 4.7 percent each year. The company distributes its items at retail stores and shopping malls all around the world. They sell on their website as well and have partnerships with major online merchants. SWOT analysis of Maybelline will help to view the firm at either the best or the worst side.
This allows the company to look into where they perform well and where they lack it. Thus Maybelline should look ahead to change the weakness to strengths and turn opportunities into benefits where it is highly critical in the highly volatile market. Thus this analysis will provide a framework for the company to formulate strategies and develop future insights.
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