Sunday, September 5, 2010

Competitive Analysis



Sally Hansen's competitive brand is OPI Nail Lacquer. They are one of the first brands in the nail industry that started off selling to and through professional beauty or nail salons only. "From a contemporary perspective, one can easily see that there are many factors involved in why a consumer chooses one brand over another..." Advertising by design, Robin Landa pg. 4) Being known as a salon brand, OPI easily draw customers and clients. Customers tend to think that salon brand products are the better brands since they're used by industry professionals. They also have instructions for all the product they sell. Clever names are used for colors for each of their collection which draws attention.

OPI has foundations that donate to health-related charities and children's education. "One of the main strategies touted by the twentieth century ad pioneers was 'reason-why copy,' which essentially means that you provide a good, sensible argument." (Advertising by Design, Robert Landa pg.4) Some of their foundations are: Weiss-Fischmann, and Miriam Schaeffer, and the Schaeffer Family Foundation. They've also helped the American Red Cross after hurricane Katrina and fighting against diversion of professional beauty products. On top of that, OPI doesn't use animal testing.

Some of the complaints from consumers that have used OPI are: the high price even though the colors do chip, the colors are hard to get off your skin, has a strong odor, and some even say that the bottle shapes are a bit problematic. They also have issues of diversion, other companies “bootlegging” their products and copyright infringement.

OPI is very serious about diversion. They recently filed a lawsuit against TransDesign, a website that sold cosmetic prroducts, for illegally selling OPI nail products for a cheaper price than usual. They will file lawsuits for companies that they catch illegally selling their products.

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