Why Freshly Cosmetics's Business Model is so successful?

Freshly Cosmetics is an innovative and eco-friendly company specializing in the production and distribution of natural and sustainable cosmetics. Founded in 2016, the company is headquartered in Reus, Spain, and has rapidly gained recognition for its commitment to creating high-quality, 100% natural, vegan, and cruelty-free products. Freshly Cosmetics focuses on skincare, haircare, and body care products, all of which are free from harmful chemicals and packed in environmentally friendly packaging. The company's mission is to revolutionize the beauty industry by offering a healthier, more sustainable alternative to traditional cosmetics, while maintaining high efficacy and indulgent textures. The business model of Freshly Cosmetics is centered around online direct-to-consumer sales, although they also have a physical flagship store in Barcelona. Their products are exclusively available on their website and in their store, allowing the company to maintain control over the quality, price, and customer experience. They heavily invest in research and development to create natural formulas that are not only safe for the skin but also beneficial. Freshly Cosmetics also places a strong emphasis on sustainability, using recyclable packaging and implementing environmentally friendly manufacturing processes. The revenue model of Freshly Cosmetics is based on the sale of their products. They offer a wide range of cosmetics, from facial creams and serums to hair masks and body oils, with prices ranging from affordable to premium. The company also offers a subscription service, where customers can receive regular deliveries of their favorite products at a discounted price. Additionally, Freshly Cosmetics generates revenue through collaborations with other brands and influencers, creating limited edition products. As an online-focused brand, they also leverage digital marketing strategies to drive traffic to their website and increase sales.

Social impact:

Life changing: affiliation/belonging

Emotional: design/aesthetics, wellness, attractiveness

Functional: quality, variety, sensory appeal, informs

Customer relationship:

Due to the high cost of client acquisition, acquiring a sizable wallet share, economies of scale are crucial. Customer relationship management (CRM) is a technique for dealing with a business's interactions with current and prospective customers that aims to analyze data about customers' interactions with a company to improve business relationships with customers, with a particular emphasis on retention, and ultimately to drive sales growth.

Customer loyalty:

Customer loyalty is a very successful business strategy. It entails giving consumers value that extends beyond the product or service itself. It is often provided through incentive-based programs such as member discounts, coupons, birthday discounts, and points. Today, most businesses have some kind of incentive-based programs, such as American Airlines, which rewards customers with points for each trip they take with them.

Digital transformation:

Digitalization is the systematic and accelerated transformation of company operations, processes, skills, and models to fully exploit the changes and possibilities brought about by digital technology and its effect on society. Digital transformation is a journey with many interconnected intermediate objectives, with the ultimate aim of continuous enhancement of processes, divisions, and the business ecosystem in a hyperconnected age. Therefore, establishing the appropriate bridges for the trip is critical to success.

Experience selling:

An experience in the sales model describes how a typical user perceives or comprehends a system's operation. A product or service's value is enhanced when an extra customer experience is included. Visual representations of experience models are abstract diagrams or metaphors derived from recognizable objects, actions, or systems. User interfaces use a range of experience models to help users rapidly comprehend what is occurring in the design, where they are, and what they may do next. For example, a software experience model may depict the connection between two applications and the relationship between an application and different navigation methods and other system or software components.

Membership club:

Belonging to a group, either individually or collectively. Certain memberships may charge a fee to join or participate, while others are free. Others have particular skill criteria that must be met before membership is granted. Members are entitled to specific benefits or advantages, but not all members may enjoy the same rights and privileges. Another method is taken by a members-only luxury lifestyle management business that offers concierge services such as vacation reservations, restaurant suggestions, and event access.

Social stakeholder:

Social responsibility will only be accurate if many managers embrace moral leadership rather than immoral leadership, organizational management, and business ethics that engage morals and values in corporate governance. In a nutshell, it addresses the concept of who or what really matters.

Sustainability-focused:

Companies that manufacture fast-moving consumer goods and services and are committed to sustainability do ecological impact assessments on their products and services. While research-based green marketing needs facts, green storytelling requires imagination and location. Employees responsible for the brand definition and green marketers collaborate with product and service designers, environmental groups, and government agencies.

eCommerce:

Electronic commerce, or e-commerce (alternatively spelled eCommerce), is a business model, or a subset of a larger business model, that allows a company or person to do business via an electronic network, usually the internet. As a result, customers gain from increased accessibility and convenience, while the business benefits from integrating sales and distribution with other internal operations. Electronic commerce is prevalent throughout all four main market segments: business to business, business to consumer, consumer to consumer, and consumer to business. Ecommerce may be used to sell almost any goods or service, from books and music to financial services and airline tickets.

Product innovation:

Product innovation is the process of developing and introducing a new or better version of an existing product or service. This is a broader definition of innovation than the generally recognized definition, which includes creating new goods that are considered innovative in this context. For example, Apple launched a succession of successful new products and services in 2001?the iPod, the iTunes online music service, and the iPhone?which catapulted the firm to the top of its industry.