Feasibility study: pure argan oil

Marketing Mix

Product:

Ø Pure Argan oil comes directly from Argan tree provided from Mother Nature. No chemicals ingredients, no preservatives, no silicones. Nothing artificial 100% pure and organic;

Ø Benefits for Face: Prevents Wrinkles, Minimizes Fine Lines, Protects and Moisturizes, Restores Elasticity & Texture, Reduces Redness & Irritation, Heals Imperfections, Neutralizes Free Radicals;

Ø Benefits for Hair: Repairs Split Ends, Moisturizes Dry Scalp, Restores Shine, Tames Frizz;

Ø Benefits for the Body: Rehydrates Dry Skin, Nourishes Brittle Nails, Minimizes Stretch Marks, Moisturizes Baby's Skin, Soothes Sunburn;

Price:

Ø The price for Pure Argan oil will be calculated using this simple formula,

Retail price= [(cost of the item)/ (100-markup percentage)] x100;

Ø For an example if the cost of an item of pure Argan oil ( 2 oz) is     $10, and the markup is 50%, the sale price will be [(10)/(100-50)]x100= $ 20;

Ø Also as a new product in the market, the price will be under thecompetitor's prices, therefore  we will play with the markup percentage or the margin;

Ø Will be different prices according to the size and according to the quantity of the product;  

Place:

Ø Pure Argan oil will be found in online marketplacelike Amazon, EBay, Facebook marketplace, Avito, Ali Papa, Marocannonces

Ø Pure Argan oil will be also on smart phone apps (offer up, 5 miles, letgo, craigslist...;

Ø Three channels of distribution: (USA channel specializes for sale in US and Canada. Italy channel specializes for sale in Europe. Moroccan channel specializes for sale in Africa);

Ø Social media websites also will be used for selling and advertising the product;

Promotion:

Ø Pure Argan oil audience will be reached by online advertising;

Ø  Using google ads;

Ø Advertise via the Pure Argan Oil Facebook page;

Ø Use most social media (twitter, Instagram, google+...) to promote the product;

Ø Advertise through Amazon and most websites where the product is available for sale.

Distribution & Sales Strategy

As I mentioned early, in the marketing mix section, our first Distribution & Sale strategy will be targeting the customers via the internet. All online users are a potential target for our product. Furthermore, Amazon will be our first and main distribution channel in USA. In order to understand, how Amazon works? I attended a seminary about How to make Money Selling on Amazon training in Peabody ma on October, 21 2016. (A copy of the invitation email is below)

Hi Bouchaib, 

Today is the day! 

Your seat is reserved at our «How to Make Money Selling on Amazon & the Internet» training event.

 
Just a reminder, registration starts 30 minutes prior to the start of the event. We recommend arriving early to secure yourself the best seat! 

Your reservation is for the location listed below: 

Date:  Friday, October 21st 
Time: 12:00pm 
Hotel: Holiday Inn Peabody 
           1 Newbury St. 
           Peabody, MA 01960  

We look forward to seeing you at the event!

Chris Bowser 
Co-Founder 
FBAStores.com

P.S. If you have any questions about your registration, please contact us at  1 [phone] or by [e-mail]

Amazon is one of the biggest distribution channels in the online marketplaces in the world. Users can directly buy their items from Amazon, third party or sell their products.

How Pure Argan oil will be sold in Amazon?

Ø Create an account on Amazon central seller under the name of Pure Argan Oil ;

Ø Choose the class of professional (+40 items per month) ;

Ø List the items we're selling on Amazon.  Whether they're already being sold on Amazon or are new products;

Ø When someone places an order for our stuff, Amazon will let us know.  We can work out the delivery details through Amazon, or make arrangements with a courier service on our own.

Ø Based on what we've sold, Amazon will make regular direct deposits to our bank account. 

In addition, Pure Argan Oil would be advertised in Amazon through two ways. The Amazon Marketplace (a cost per acquisition marketing program), Amazon Product Ads (a cost per click marketing program). Google ads, also will be used in advertising the product, and without ignoring the social media websites which provide an accurate and effective big opportunity to target a huge number of young people, in a short time (Facebook, Instagram, YouTube...).