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Natura’s Business Strategy Case Study

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Natura’s Company Overview


Natura Cosméticos S.A. or simply Natura is a Brazilian manufacturer and marketer of beauty products, household, and personal care, skin care, solar filters, cosmetics, perfume and hair care products the company that sells products through representatives in many countries across the world

www.natura.com.br

Country: Brazil

Foundations date: 1969

Type: Public

Sector: Consumer Goods

Categories: Beauty


Natura’s Customer Needs


Social impact:

Life changing: affiliation/belonging

Emotional: badge value

Functional: variety, sensory appeal, organizes, integrates, quality, avoids hassles, saves time


Natura’s Related Competitors


The Body Shop L’Oréal Mary Kay Glam Beauty Bar Confidente Birchbox

Natura’s Business Operations


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.

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.

Direct selling:

Direct selling refers to a situation in which a company's goods are immediately accessible from the manufacturer or service provider rather than via intermediate channels. The business avoids the retail margin and any extra expenses connected with the intermediaries in this manner. These savings may be passed on to the client, establishing a consistent sales experience. Furthermore, such intimate touch may help to strengthen client connections. Finally, direct selling benefits consumers by providing convenience and service, such as personal demonstrations and explanations of goods, home delivery, and substantial satisfaction guarantees.

Multi-level marketing:

MLM, also known as pyramid selling, network marketing, and referral marketing, is a type of multi-level marketing, is a contentious pyramid-shaped marketing technique that generates profit from two income sources. From a participating salesperson's sales force, which is paid based on the salesperson's direct sales as well as the sales of other salespeople whom the participating salesperson recruited and their recruiters down the line.

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.

Why Natura’s Business Model is so successful?

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