PRODUCT NAME

‘DOUBLE LIPSTICK’

NAME MATRIC NUMBER

NORASHIMA BINTI MOHAMED ALI 08DPM14F1087

NORMAISARAH BINTI ADNAN 08DPM14F1005

NUR SYAFIQAH BINTI MOHD RAZALI 08DPM14F1089

WAN NOR AIN FADZLIN BINTI 08DPM14F1077

MOHD SUPIAN

COMMERCE DEPARTMENT

DIPLOMA IN BUSINESS STUDIES

DECEMBER 2016

1

TABLE OF CONTENT

Descriptions Pages

1. Introduction of the Product 1

2. Product Life Cycle (Stage) of the Product 3

3. Redesigning 5

A) Illustration of New Design for the Future 5

B) Design Description 6

C) Product Competitiveness in Market 7

D) Process in Redesigning New Product 9

E) Survey of the Redesign Product 11

4. Comment 16

5. Recommendation 17

6. Conclusion 18

7. Reference/ Bibliography 19

8. Attachment 20

1

INTRODUCTION OF THE PRODUCT

HISTORY OF MAC COSMETICS

MAC Cosmetics, stylized as M·A·C, is a cosmetics manufacturer founded

in Toronto and now headquartered in New York City and part of the Estée Lauder Companies

MAC Cosmetics (MAC standing for Make-up Art Cosmetics) was founded

in Toronto, Ontario, Canada by Frank Toskan and Frank Angelo in 1984. The inspiration for

the venture came from Frank Toskan's work as a photographer makeup artist in which he

quickly realized the lack of suitable colours and textures needed to maximize performance and

result of makeup for these industries. Further, Toskan realized how limited conventional

products in the cosmetic industry were to responding to the needs of the modern woman. For

the first time ethnicity in makeup was addressed.

Today, MAC Cosmetics is one of the top three global makeup brands, with an annual

turnover of over $1 billion, and 500 independent stores, with over thirty stores in France. All

stores are run by professional makeup artists.

2

MAC PRODUCTS

Foundation

Lipstick

Mascara

Primer

Eye Shadow

Eyelashes

Powder

Blush

Concealer

Face Primer

Setting spray

Highlighter

Contour

Bronzer

Makeup Brushes

Brush Cleaner

Palettes

MAC AIDS FUND

The M·A·C AIDS Fund was established in 1994 to support men, women, and children

affected by HIV/AIDS globally by addressing the link between poverty and HIV/AIDS. It has

raised over $400 million through the sale of M·A·C's Viva Glam Lipsticks and Lip glosses,

donating 100% of the sale price to fight HIV/AIDS. The Viva Glam product line remains to be

an iconic, best-seller for the MAC Cosmetics brand.

MAC LIPSTICK

Lipstick is a cosmetic product containing pigments, oils, waxes, and emollients that

apply colour, texture, and protection to the lips. Many colours and types of lipstick exist. As

with most other types of makeup, lipstick is typically, but not exclusively, worn by women.

Some lipsticks are also lip balms, to add colour and hydration. MAC Lipstick consist of many

colours and variety choices for their customers.

3

PRODUCT LIFE CYCLE (STAGE) OF THE PRODUCT

LIFE CYCLE ANALYSIS OF A LIPSTICK

The product life cycle is an important concept in marketing. It describes the stages a

product goes through from when it was first though of until it finally is removed from the

market. Not all products reach this final stage. Some continue to grow and others rise and fall.

Marketers use life-cycle analysis to identify the material and energy consumption in the

manufacture process, and propose a new design that can reduce unnecessary material usage,

and the environmental impact in 3 weeks.

The MAC Lipstick has experienced long lasting growth in the past six years. Regardless

of volatile consumer sentiment and disposable income, consumer continued to demand new

4

lipstick. During the recession, consumers indulged themselves in smaller luxuries, such as

lipstick to lift their spirits. Then as the economy began to recover, they continued to buy new

products to keep up with fashion trends. This growth did require effort from the MAC

Company. Changing consumer preferences and fashion trends necessitated new product, and

companies had to continually innovate.

At the introduction stage market size and growth is slight. It is possible that substantial

research and development cost have been incurred in getting the product to this stage. In

addition, marketing cost may be high in order to test the market, undergo launch promotion

and set distribution channels.

The growth stage is characterizes by rapid growth in sales and profits. Profits arise due

to an increase in output (economies of sales) and possibly better prices. At this stage, it’s

cheaper for business to inset in increasing their market share as well as enjoying the overall

growth of the market. MAC Lipstick attracting customer through new and attractive website to

making it easy/convenient for them to make shopping decisions. In 2010 and 2011, lipstick

wearing become more fashionable. Nude and bold colour lipstick invaded runway beauty looks

and consumers quickly began to demand lipstick once again.

The maturity stage is perhaps the most common stage; it is in this stage that competition

is most intense as companies fight to maintain their market share. Here both marketing and

finance becomes key activities. Marketing spend has to be monitored carefully, since any

significant moves are likely to be copied by competitors. Mac Lipstick is in the mature phase

of its life cycle. Product innovation is a key component of MAC. MAC introduced,

development and continually innovate of varieties of lipstick such as long lasting colour and

healthier lip.

In the decline stage the market is shrinking, reducing the overall amount of profit that

can be shared among the remaining competitors. At this stage great care has to be taken to

manage the product carefully. This decline was not as drastic, however during the recession

many consumer indulged themselves in smaller luxuries, such as switched to cheaper lipstick

but switched back to previous product. MAC cosmetics is a world renowned cosmetic

company, it unaffected in decline stage. Because MAC cosmetic follow change of consumer

preferences and fashions trends necessitated new product and had to continually innovate.

5

REDESIGNING

A) ILLUSTRATION OF NEW DESIGN FOR THE FUTURE

The illustration above shows that from one single lipstick became a double lipstick.

Basically, MAC Lipstick are produced in one single lipstick with only one colour. Thus for the

new redesigning in future, we suggest to make a ‘Double Lipstick’ with variety of colours.

6

B) DESIGN DESCRIPTION

‘Double Lipstick’ is an innovation product for MAC Cosmetics (Lipstick). Before

innovation of the lipstick, the lipstick of MAC Cosmetics come in a single piece and one colour

only. The new design of the lipstick are in variety colours and choices for the customers to use.

The lipstick are combined with other colours of lipstick and attached using magnets. The new

innovation for redesigning the product is just simple and nice because it is less cost and easy

to make.

Nowadays, ladies love different colours of lipstick but difficult to bring along and

always lost their expensive and luxury lipstick. In that case, double lipstick is suitable for them

because it will not lost due to the strongest of the magnetic power. The design are also quite

simple and not difficult.

Material used for the new design are as below:

- Two different colours or same colours MAC lipstick

- Two same size magnet

- Strong glue

So, for the redesigning description, the magnets are glued at the bottom of the two

different colour lipsticks and attached together with the other one. When their customers would

like to bring along other colour to an occasion, they just need to switch the colour and attach

with the colour they wants.

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C) PRODUCT COMPETITIVENESS IN MARKET

A SWOT analysis is a simple but widely used tool that help in understanding the

strengths, weaknesses, opportunities and threats involves in a project or business activity. This

analysis is also suitable to know the competitiveness of product in market.

Firstly, strength of MAC Cosmetics is a world renowned cosmetic company. The

company is unique and well-known brand image which has created a strong celebrity

following. In addition, the brand receives a vast amount of word of mouth endorsement from

professional makeup artist.

MAC Cosmetics (Lipstick) prides itself in creating high quality, fashion forward

product that are cruelty free while providing consumers with the experience of being attended

to by highly trained makeup professional. Moreover, ‘Double Lipstick’ redesign new product

it easy to use with variety colour at same time.

• international expansion

• selling through retailer website

• competitor product price are more affordable

• too expensive • world reowned

• cruelty free

• high quality

• easy to use

Strengths Weakness

OpportunitiesThreats

8

Secondly, the weakness of Mac Cosmetics (Lipstick) is it does not have a large amount

of weaknesses. One weakness of the company is facing that the pricing of its product is

unaffordable. So for this reason MAC Cosmetics (Lipstick) product are largely available to the

professional and celebrities only. Only a very few common people can purchase it.

Thirdly, Mac Cosmetic has a few marketing opportunities available to them. It is to

create more freestanding stores store rather than having a small spot designated for the

company in larger department and for international expansion. In society today, consumers

love share something new, rare, fashionable and easy to use in social media. Through ‘Double

Lipstick’ will definitely get a great response, at same time it give opportunity selling through

retailer website.

Lastly, threats that MAC Cosmetics (Lipstick) is currently facing are mainly

competitors. In regards to competitive threats, the main threat is in their pricing. Because their

prices are very high. Their product are unable to reach to the common people unlike L’Oreal

and Revlon whose prices are more affordable and cheaper.

9

D) PROCESS IN REDESIGNING NEW PRODUCT

Materials:

Two pink MAC single lipsticks

Two same size magnets

Strong glue

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Process:

One pink MAC single lipstick One magnet

One pink MAC single lipstick combined with a magnet using strong glue

Two pink MAC single lipstick combined with magnets

Two pink MAC single lipstick combined together with strengthens of magnet and produces

‘Double Lipstick’

Strong glue

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E) SURVEY OF THE REDESIGN PRODUCT

A market survey is a tool used to gather information about the existing or customers

satisfaction in a certain market or population. We as surveyors select 30 students as our

respondent using simple random sampling method at Polytechnic of Sultan Salahuddin Abdul

Aziz Shah to run our survey about the redesign product ‘Double Lipstick’.

Table 1

Based on the result of our survey, Table 1 shows the highest gender are female with 29

respondents, because most of the male gender does not use cosmetics product. Thus, they are

not friendly to answer our survey.

Table 2

Gender

Female

Male

37%

47%

13%

3%

Age

17-19

20-22

23-25

26-28

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Table 2 shows the pie chart of age. According to the survey, the most respondent is

between 20-22 years old, while the least respondent is between 26-28 years old. This is because

most of Polytechnic Sultan Salahuddin Abdul Aziz Shah students are in 20-22 range of age.

Table 3

Based on table 3, shows the bar chart of total respondent using lipstick. Thus, most

respondent had agreed or selected yes as their answer that they use lipstick is 24 respondents.

Meanwhile, 6 of the respondent had selected no as answer.

Table 4

Based on pie chart in table 4, shows 27 respondents has selected MAC and as the

highest lipstick company they like. Meanwhile, the lowest like by the respondent is Lakme,

0

5

10

15

20

25

30

Yes No

Tota

l Res

po

nd

ent

Answers

Do you use lipstick?

Which company's lipstick do you like?

MAC

Lakme

L'Oreal

Colourbar

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L’Oréal and Colourbar, only has 1 respondent for each company. Thus, our group choose to

use MAC Lipstick as redesign new product.

Table 5

Table 5 shows the bar chart of on which occasion that respondent likes to use lipstick.

According to the survey, respondent frequency in using lipstick for daily is 17 respondents.

Furthermore, 7 respondents use it sometimes, 5 respondents for special event and only one

respondent for outdoor. This is because using lipstick make your look healthy, at same time

stylish.

Table 6

5

1

17

7

0

2

4

6

8

10

12

14

16

18

Special event Outdoor Daily Sometimes

Tota

l Res

po

nd

ent

Answers

On which occasion do you use lipsticks?

7

4

11

8

0

2

4

6

8

10

12

Red Pink Red and Pink Variety Colours

Tota

l Sam

ple

Answers

Which colour of lipstick do you like?

14

Based on bar chart in table 6, it shows that most of respondent like red and pink colour

at the same time which is 11 respondents and for variety colour is 8 respondents. It means that

the respondents would love to use 2 or more colour of lipstick for daily use. This results also

shows that lipstick’s colour really plays important role in having a nice lips.

Table 7

Based on bar chart, the survey result in table 7 shows numerous of respondent possess

more lipstick which is 15 respondents. Moreover, few of the respondent possess less than 3

lipstick which is 5 respondents for one lipstick, 7 respondent for two lipstick and 3 respondents

for three lipstick. Thus, it convenience to redesign a new lipstick that could have 2 colour at

the same time.

Table 8

5

7

3

15

0

2

4

6

8

10

12

14

16

One Two Three More>

Tota

l Res

po

nd

ent

Answers

How many lipsticks do you have?

Are you satisfied with our redesign new product'Double Lipstick'?

Yes

No

15

According to the survey about satisfaction of the redesign product ‘Double Lipstick’,

most of the respondent agreed that this product is suitable and easy to use. 29 over 30

respondents are satisfied with the innovative product.

Table 9

29 over 30 respondents stated in the survey that the new redesign product ‘Double

Lipstick’ are easy to use. The shape of this product is suitable for any situation. Thus, this

product should be produced in high performance to ensure the quality and the product is really

easy to use by the consumers.

Do you think our product is easy to use?

Yes No

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COMMENT

Why it's great: "Gone M.A.C. and not going back," declares one respondent. "It goes

on smoothly and you can't even feel it on," says another fan. Respondents also love M.A.C.'s

incredible pigmentation and huge shade range: "There are so many amazing colours and

finishes to choose from that it's almost impossible to only get one," writes one user of the

product. Also a respondent said that the redesign product is needed because it is rare and

unique. Other than that, some also said that this redesign product is portable and easy to use

anywhere and anytime.

Based on the opinion of the respondents, we found that our new redesign product

received by the cosmetics user wisely. This is because they love our idea to create a ‘Double

Lipstick’. They also suggest to make variety of colours to ensure the customer’s market demand

will be fulfilled.

Comments and feedback that we get as the surveyors are mostly positive and

respondents recommend us to redesign more products such as foundation powder and others in

future.

As a conclusion, any comments that are documented are good and interesting because

it can be widely used in making an analysis for the next redesign product. Thus, some of the

comments can generates idea for making innovation on future researcher’s product.

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RECOMMENDATION

MAC is an excellent example of a successful makeup with a brand known worldwide.

Due to this, there is not much improvement needed. However, for our redesign new product

have a few recommendation. First is to attract lot of consumer try our redesign new product.

We would recommend that include swatches of the lipstick with variety colour.

Sometimes consumer do not purchase product based on the design but on function, creativity,

development and continuously innovate the product. Although some consumer could just buy

but through swatches consumers will be happy to try and share the information to others about

the redesign new product.

In addition, put more effort into publishing the redesign product, especially on social

media. Through, social media they can incorporate a hashtag into campaigns introduce redesign

new product, for instance, can ask consumers to use the #MAC2L (MAC Double Lipstick)

whenever images, comment, information or feedback are posted in social media.

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CONCLUSION

In a nutshell, we as the surveyor and the designer of this MAC Cosmetics ‘Double

Lipstick’ has founded that cosmetics product such as lipstick is a must for females because they

tend to spend a large part of their income on it. They feels that lipstick will helps them to look

more attractive and more confident.

A majority of female’s user do not easily switch brands, but if the brand they buy is

unavailable, they do get a slight tendency to switch brands. So brand availability in the market

is crucial. For example, MAC Cosmetics Lipstick should always available in market to ensure

its life cycle are always in high expectation.

Other than that, females are not too concerned about the price and quantities of lipstick

they regularly buy, but they do check at the price of a new product they are buying to check if

the product is worth the content. That is one of the reason we make a ‘Double Lipstick’ to save

budget and costing of having variety lipstick in one time.

Lastly, the small percentage of females who do not have the proper knowledge about

makeup can be educated, thus increasing the usage of MAC Cosmetics product such as lipstick.

Females are the vocal of the cosmetics product they use. The more useful the product, the

higher the demand of the product. Same goes to MAC Cosmetics lipstick, the more innovative

and useful the redesign product such as ‘Double Lipstick’, the higher the demand for the

product in market of cosmetics product around the world.

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REFERENCE / BIBLIOGRAPHY

Products of MAC Cosmetics. (10 March 2017) http://www.maccosmetics.com.my/product/

Wikipedia. (12 March 2017) https://en.wikipedia.org/wiki/MAC_Cosmetics

The Best Lipsticks in the World. (22 September 2016)

http://www.totalbeauty.com/content/gallery/best-lipsticks/p217612/page7

Mac Cosmetics Slide. (3 January 2011) https://www.slideshare.net/mdmhneil/mac-cosmetics-

34098742?next_slideshow=1

Mac PowerPoint Slide. (13 December 2016) https://www.slideshare.net/fanninm/mac-

powerpoint?qid=4d829e7f-10f1-4eeb-8e71-c2b7b66fc810&v=&b=&from_search=3

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ATTACHMENT

1. Questionnaire for the survey of the new redesign product

Page 1

21

Page 2