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Oriflame Activity in Poland

anna.kuberacka

Created on March 30, 2021

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Transcript

Activity in Poland

Presentation from the quantitative study

© Oriflame Cosmetics AG,2018

Agenda

  1. Information about study and sample
  2. Placing orders in the catalogue
  3. Selling
  4. Prospecting
  5. Income
  6. Oriflame brand image and relation
  7. Competition
  8. COVID-10 Pandemics
  9. Summary & Discussion

© Oriflame Cosmetics AG,2018

Information About the Study & Sample

© Oriflame Cosmetics AG,2018

This Presentation Focuses On Pain Points

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

Placing Orders in the Catalogue

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

What Drives Builders & Sellers to Place Orders?

© Oriflame Cosmetics AG,2018

What Drives Microsellers & Endconsumers to Place Orders?

© Oriflame Cosmetics AG,2018

What Discourages Builders & Sellers From Placing Orders?

Top 3 pain points

Delivery costs

Hard to collect orders

Out of stock

© Oriflame Cosmetics AG,2018

What Discourages Microsellers & Endconsumers From Placing Orders?

Top 3 pain points

Delivery costs

Out of stock

High prices

© Oriflame Cosmetics AG,2018

Out of Stock and Delivery Cost Are Persistent Issues

© Oriflame Cosmetics AG,2018

Brand Partners Are Aware of the Price Level for Delivery in Other E-Commerces

© Oriflame Cosmetics AG,2018

Brand Partners Are Aware of the Price Level for Delivery in Other E-Commerces

© Oriflame Cosmetics AG,2018

Out of stock are a real nightmare and totally discouraging, especially if I collect a list of orders from people and suddenly it turns out that the catalogue begins and there are no promotional products in it ... how to explain it? (...) That's why I don’t „play” with selling Oriflame products any more and purchase them for my own usage or place orders for relatives and friends ... I would like to add that I always place orders on the 1st day of the catalogue in the morning ... Embarrassing :( (Seller)

Unfortunately, I'm starting to get discouraged by the fact that in spite of making 400 points I cannot collect the bonus reward that I just earned and it is simply not motivating.(Potential Builder)

Selling

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

How Brand Partners Sell Nowadays?

© Oriflame Cosmetics AG,2018

How Easy or Difficult is Selling Nowadays?

© Oriflame Cosmetics AG,2018

Factors Negatively Influencing Collecting Orders (1/3)

People don't have money / people try to save

Out of stock

Delivery costs

© Oriflame Cosmetics AG,2018

Factors Negatively Influencing Collecting Orders (2/3)

Oriflame products available elsewhere cheaper

People can buy products of similar quality cheaper

People prefer other brands

© Oriflame Cosmetics AG,2018

Factors Negatively Influencing Collecting Orders (3/3)

OOC and programs less attractive

Cost of running business in Oriflame

No direct contact with the customer (pandemics)

© Oriflame Cosmetics AG,2018

Prospecting

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

How Brand Partners Prospect Nowadays?

© Oriflame Cosmetics AG,2018

How Easy or Difficult is Prospecting Nowadays?

© Oriflame Cosmetics AG,2018

Factors Negatively Influencing Prospecting

PANDEMICS /LACK OF DIGITAL SKILLS

NEGATIVE ATTITUDE

EARNING OPPORTUNITIES / COMPETITION

© Oriflame Cosmetics AG,2018

Income at Oriflame

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

Getting Income at Oriflame

Except for some Regular Builders, current income isn't a strong motivator to be with Oriflame.

© Oriflame Cosmetics AG,2018

Oriflame Brand Image & Relation

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

Relation with Oriflame

© Oriflame Cosmetics AG,2018

Evaluation of the Oriflame Brand

Scale: from 1 (strongly disagree) to 5 (strongly agree)

© Oriflame Cosmetics AG,2018

Evaluation of the Relations with Oriflame and Community

Scale: from 1 (strongly disagree) to 5 (strongly agree)

© Oriflame Cosmetics AG,2018

Competittion

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

Using of Competition (To Purchase Cosmetics)

© Oriflame Cosmetics AG,2018

Competitor Used Last Time - Top 3

© Oriflame Cosmetics AG,2018

Top Reasons to Use Competition

Good prices

Assortment / want a specific product

Pressure on Oriflame business

Good promotions

No or lower delivery fee

© Oriflame Cosmetics AG,2018

Where Oriflame Does Not Deliver, Competition Steps In!

© Oriflame Cosmetics AG,2018

COVID-19 Pandemics

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

Pandemics: Some Took the Opportunity...

Online tutorials. I learned a lot during the broadcast. I could also invite potential prospects for broadcasts. (Potential Builder) I stepped out of my comfort zone, I entered the online world, I dared to present myself in the online world. (Regular Builder) I have more customers, some make larger orders to avoid shopping in brick-and-mortar stores. (Seller)

© Oriflame Cosmetics AG,2018

...But Many Suffered

Many people are unemployed and have no cash to buy products, despite trying to recommend the cheapest products, they are not interested, preferring to go to the drugstore to buy cheaper." (Seller) After my husband's illness and death in 2020 (my husband helped me a lot) I had to give up sponsoring, and I would gladly sponsor online, but I don't know how. There were years when Oribus was driving, I sponsored about 100 people at the seaside on one day. (Regular Builder) Limited contact with people is bad for me and my business. (Potential Builder)

© Oriflame Cosmetics AG,2018

Summary

© Oriflame Cosmetics AG,2018

© Oriflame Cosmetics AG,2018

First Things First

© Oriflame Cosmetics AG,2018

What Is Good?

Products quality

Relations with Sponsor

Catalogue design, "look & feel"

Communication from Oriflame

Delivery time

© Oriflame Cosmetics AG,2018

Challenges

Delivery costs

Out of stock

Earning opportunities

Price perception

Oriflame brand not strong enough

To some extent, knowledge about products

© Oriflame Cosmetics AG,2018

Thank you

anna.kuberacka@oriflame.com

© Oriflame Cosmetics AG,2018