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Marketing Research M.A.C. Cosmetics Research Purpose The purpose of this research is to raise awareness about the following CSR they are involved in: Viva Glam, MACAidsFund.org, and Back to Mac through a social media. Preparer Amelia Rising Marketing Research A222 Week 6 Assignment 2 Date 2/15/2012

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LETTER OF TRANSMITTAL Ms. Jance Low Social Media Specialist M.A.C. Cosmetics New York Subject: Research report on M.A.C. Cosmetics organizations Dear MAC Cosmetics associates, I am currently conducting a research project on how to increase your social media appearance with a concentration on your corporate social responsibilities dealing specifically with the following: Viva Glam, MACAidsFund.org, and Back to Mac. Attached to this is a document of a survey and focus group that will be conducted dealing with your social media sites. I am hopeful that this survey will be of value to you. Sincerely, Amelia Rising 3800 Butler Street Pittsburgh, PA 15201 amelia@ameliarising.com (724) 549-3903 Marketing Research Analyst

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LETTER OF AUTHORIZATION Amelia Rising 3800 Butler Street Pittsburgh, PA 15201 amelia@ameliarising.com (724) 549-3903 Marketing Research Analyst

Subject: Authorization for research Dear Ms. Amelia Rising: I, Jance Low, hereby authorize MAC Cosmetics to release any information pertaining to the marketing research regarding MAC Cosmetics. Sincerely, Jance Low Social Media Specialist M.A.C. Cosmetics New York

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TABLE OF CONTENT

EXECUTIVE SUMMARY ............................................................................. 5 INTRODUCTION ......................................................................................... 6 Research Objectives ................................................................................ 6 Target Audience ....................................................................................... 8 Demographics .................................................................................. 8 Psychographics ................................................................................ 8 METHODOLOGY ........................................................................................ 9 Survey ...................................................................................................... 9 Focus Group ............................................................................................ 10 Survey Design .................................................................................. 11 Focus Group Design ......................................................................... 13 Results ......................................................................................................... 14 RESULTS OVERVIEW ................................................................................ 22 CONCLUSIONS & RECOMMENDATIONS ................................................. 23 APPENDED ITEMS ..................................................................................... 25 Surveys ..................................................................................................... 25 Focus Group ............................................................................................. 25 Results ...................................................................................................... 25 BIBLIOGRAPHY ........................................................................................... 26

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EXECUTIVE SUMMARY Through research, conducting surveys and focus group it has come to my attention that there are specific areas that M.A.C. Cosmetics can improve on when it comes to their social media program. The research has shown that many are unaware of staying current with the companies product and their organizations theyre involved in. While researching the company it is known that this company does not believe in advertising themselves. Instead of running random campaigns, they will reach out to get spokesmen to discuss their product and become a brand ambassador. Some of those past ambassadors include Lady Gaga, Nicki Manji, and Ricky Martin. Some of the key results found throughout the surveys were centered around social media and how people obtain their information. Nearly half of those that participated we in the age range of 21-29 representing 63% of the group as a whole. Although that specific age range was the largest, the age range did not make a difference when it came to the use of Facebook. 100% of those that participated all had selected that they used Facebook as one of their social media outlets. Another key result was the fact that 50% of those surveyed expressed that they first heard about M.A.C. Cosmetic through a friend. This should not be much of a surprise considering the fact that they do not rely on advertising, but rather word of mouth. Falling shortly behind was magazine with a 31%. While one of the biggest push should be towards their organizations only 50% of those surveyed had never heard of any of the organizations that M.A.C. Cosmetics is involved in. Those that had heard of Viva Glam had only heard of this due to the fact that Lady Gaga was the ambassador during that timeframe. This would almost be an obvious due to the fact that Lady Gaga has a huge social following. Shes one of the largest entertainers found on social media. Also, a key result was how people would like to stay updated with products and the organizations as a whole. Out of those that were surveyed 81% had expressed that they

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would like to be updated via social media sites. Following behind that with 40% was phone alerts.

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INTRODUCTION M.A.C. develops special products to support the face and skincare categories for all ethnicities, allowing more opportunities for consumers. Make-up artists who can assist customers in choice and applications are a hand's reach away either through online or at a department store such as MACY's. Currently M.A.C. does not advertise because they rely more on their loyal consumers and the quality of their product. By doing this research project I plan to show how big of an impact social media can make on a company. The research objectives are listed below:

RESEARCH OBJECTIVES Identify the most used social media platform Identify which are the most well known organizations that M.A.C. Cosmetics have to offer Determine the best way to keep a consumer up to date Identify the next celebrity ambassador that would spark an interest to the followers Identify where consumers have heard about the company

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TARGET AUDIENCE Fashion forward and conscious women Demographics: Age range: 18-34 Gender: Female Ethnicity- Any Education: College degree + Marital status: Single or Married Area: U.S.A. Income: Middle class and up Family size: No children or with children Psychographics Personality: A smart, well-informed, and practical individual Behavior: Active within fashion and cosmetics Lifestyle: Prestigious, Fashion, eco-friendly, creative, trendy Rate of Use: Daily- depending on the consumer Values: Skin complexion, health Repetition of need: At least once per day Benefits Sought: Purchasing the cosmetics for personal use, while giving back to organizations. Loyalty: The consumer purchasing MAC Cosmetics believes in the quality of product considering these cosmetics can be pricey.

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METHODOLOGY SURVEY Surveys were distributed via Facebook. Originally called for 10 participants but had 16 in total that were interested in taking the survey. The survey consisted of 10 questions that were either circle all that apply or fill in the blank. Identify the most used social media platform (Facebook, Twitter, Pinterest, etc.) Identify which are the most well known organizations that M.A.C. Cosmetics have to offer Determine the best way to keep a consumer up to date

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FOCUS GROUP The participants that I had gathered to conduct this group were those that had already participated in survey. I choose those that I knew had an interest within either the M.A.C. Cosmetics, their organizations, or overall social media opinions. The following questions were conducted over about an hour long process. Information that is provided here are notable questions and gestures that had occurred during the process. Note: Not everyone wish to speak about specific questions and would just simply shake their heads yes or no.

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Survey Design M.A.C. Cosmetics- Questionnaire 1. Which age group would you put yourself in? a) 17 and younger b) 18- 20 c) 21-29 d) 30-39 e) 40-49 f) 50-59 g) 60 or older 2. How did you first hear about M.A.C. cosmetics? a) Magazine b) Online c) From a Friend d) Other: ___________________ 3. What social media sites do you check on a daily basis? Please circle (or fill in) all that apply. a) Facebook b) Twitter c) Tumblr d) Pinterest e) Other: ____________ 4. Have you heard of any of the following? Please circle all that apply. a) Viva Glam b) MACaidsfund.org c) Back to M.A.C. d) None of the above 5. Whats the best way for us to keep you updated with our products and organizations? a) Email alerts b) Phone alerts c) Social Media sites 6. Which of the following electronics do you currently own? Please circle all that apply. a) Smart Phone b) Computer c) iPad d) KindleFire

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7. When you purchase a M.A.C. product, where do you purchase it from the most? a) Department store b) Online 8. What attracted you most to M.A.C. Cosmetics? ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ ______________________________________________________________________ 9. If there was one celebrity that you would like to see represent M.A.C. Cosmetics, who would it be? __________________________ 10. How often do you check MAC social media sites? __________________________

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Focus Group Design

Question 1: What kinds of things do you see going on in social media? Question 2: What do you like the most about our product or our organizations? Why do you buy our products again and again? Question 3: Please explain what you think our organizations are about. Question 4: Tell me about where, when, and how you use social media? Question 5: If you could add any additional thoughts or opinions to our products/ services, what would it be?

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RESULTS- SURVEY 1) Which category below includes your age? 17 or younger 60 or older 18-20 21-29 30-39 40-49 50-59

6% 6%

6% 6% 13%

63%
2) How did you first hear about M.A.C. Cosmetics? Magazine Online From a friend Other

13% 31%

50%

6%

Other- Macys

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3) What social media sites do you check on a daily basis? Facebook Twitter Tumblr Pinterest Other

15% 13%

3% 41%

28%
Other- Reddit 4) Have you heard of any of the following organizations? Viva Glam MACaidsfund.org Back to M.A.C. None of the above

36%

27%

14% 23%

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5) Whats the best way for us to keep you updated with our products and organizations? Use the least 15 13.5 12 10.5 9 7.5 6 4.5 3 1.5 0 Email alerts Neutral Use the most

Phone Alerts

Social Media Sites

6) Which of the following electronics do you currently own? Smart Phone Computer iPad KindleFire

7% 40% 53%

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7) When you purchase a M.A.C. product, where do you purchase it from the most? Online Department Store

50%

50%

8) What attracted you to use M.A.C. cosmetics? a) n/a b) the product reviews c) I dont use them d) n/a e) Don't know f) the pigments g) I feel pretty h) The variety. i) It has many products in a wide range of colors for any mood. j) youtube k) My friends have been bugging me to use it so I gave in and love it. l) Their products are very unique. m)Amazing quality and color. n) I loved the colors, plus I used to work for them. The only down fall for me recently is that I learned about the animal testing they do. So now I try to buy cosmetics from Urban Decay or other vegan cosmetic lines. o) I loved the colors, plus I used to work for them. The only down fall for me recently is that I learned about the animal testing they do. So now I try to buy cosmetics from Urban Decay or other vegan cosmetic lines. p) Bright colors

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9. If there was one celebrity that you would like to see represent M.A.C. Cosmetics, who would it be? a) not sure b) Jennifer Aniston c) Rihanna d) jennifer aniston e) Don't know f) emily blunt! g) Jude Law h) Jessica Alba. i) Katy perry j) rachel mcadams! k) Natalie Portman. l) Taylor Swift m) Gwen Stefani n) Lady Gaga - even though she already did a Viva-Glam campaign and has a signature lipstick. o) Lady Gaga p) Lady GaGa! 10. How often do you check M.A.C. social media sites? a) every morning b) at night time- i subscribe to RSS feeds and blog support so that I'm not constantly on a bajillion sites c) once a day d) ummm.... if i'm not on my phone checking thing, my computer is at my side e) whenever i'm bored f) depends on the day g) 3x / day h) once i) weekends j) CONSTANTLY!!! k) whenever i hear something good is going on l) usually whenever i'm at school m)morning and night to see if anything happened n) 3-5 times a day o) n/a p) night

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RESULTS- FOCUS GROUP

Question 1: What kinds of things do you see going on in social media? Participant 1: My newest addiction has become Pinterest. I love going on and just pinning away. Gesture- excitement Participant 2: Too much is going on for me right now! Its hard for me to keep up with everything because theres so many sites. I never know which site to go to because they all have different information. Gesture- confusion Participant 3: Id like to add to the previous comment, something that might be beneficial for you is to look into an RSS feed or simply subscribe to some type of thing, like I subscribe to Bloglovin where I get a daily email sent about any blogs I follow. Im sure theres a way with other sites to stay up on. If it isnt for me subscribing in different places I would understand your pain. Gesture- gentle, wanted to explain herself more Participant 4: I dont know, Im never really on. I dont like creepers. Gesture- closed off about the current topic. Participant 5: I just agree with Pinterest Gesture- also felt closed off Question 2: What do you like the most about our product? Why do you buy our products again and again? Participant 1: Honestly, I just like the product because I always see it in the magazines and celebrities always talk about it too. It just seems like a trend kind of makeup where theyre always up to date on the latest and greatest. I mean, who doesnt love Lady Gaga or Nicki being spokesman for them! Gesture- wanted to pull up the latest campaign on her phone to show Nicki Participant 4: I dont use it enough to talk about it. I do love the bright colors though! I just wish it wasnt as expensive.

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Gesture- straight face, but had disappointment when discussing price Participant 5: I can agree with the cost. I have to save up parts of my paychecks when it comes time for new makeup, but for me since Im in the makeup industry Im sometimes put off about them because of how they test products on animals. I might not be vegetarian or anything of the sort, but I feel bad for those that have to be tested. Gesture- concerned when speaking about animal testing Note- Participants 2 & 3 did not want to comment Question 3: Please explain what you think our organizations are about. Participant 1: I absolutely love them! I just wish they would talk about them more. I never knew about them until Gaga was talking about Viva Glam. Gesture- excitement, thrilled to talk about Gaga Participant 2: Never knew they had organizations? Gesture- confusion Participant 3: Also never knew they had organizations Gesture- confusion Participant 4: Since my brother is gay I found it especially important when they support the aids fund. Its already hard enough for people to be who they want to be without being judged and the aids issue seems to never go away. People either love it or hate it, but I dont understand why you wouldnt want a person to live. Gesture- got very emotional when talking about sibling Participant 5: I think its fantastic how theyre always looking for ways to give back. Thats one of the reasons why I purchase so much of this product is because I know that proceeds from their products go to different organizations. The issue though is that theyre never discussed and I also do not understand why. I know they like the whole grassroots feel, but theres a time and place for that stuff. Gesture- confusion and wanting details Question 4: Tell me about where, when, and how you use social media? Participant 1: I use it on an everyday occasion. When Im not on my laptop, Im on my smartphone. Im pretty sure that if I had an iPad or some other type of tablet I

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would be on that more than the others because its easier to carry around compared to a computer. I just know that with each piece of technology, not every company has updated their sites to work with specific items. Gesture- enthusiastic and couldnt hold back excitement Participant 2: Like I said earlier, because I feel overwhelmed with everything going on I check my Facebook in the morning and thats pretty much it. Unless I see a company come up in my newsfeed, I wont pay attention. I wish they would educate us more on how to follow them better because they just get shuffled into the rest of the mix and it stinks because I feel like I miss out on opportunities. Gesture- concerned Participant 5: I just watch whatever comes onto my phone. More than anything I follow twitter because responses seem to always be the quickest way of communication. Gesture- pulls out phone to prove it and even tries to convince others to follow her since she stays up to date Note- Participants 3 & 4 did not want to comment Question 5: If you could add any additional thoughts or opinions to our products/ services, what would it be? Participant 1: More social media on Facebook! I dont follow Twitter enough and sometimes its days before they post on Facebook compared to twitter. Participant 2: I want more contests and opportunities for events. Participant 3: Like I said before, aids is a big thing for me and my family- I would greatly appreciate this being talked about more! Participant 4: Maybe educating people on how to follow their services and products more. A blog or tutorial could be cool every once in awhile. Participant 5: Some kind of application for a phone, Im not sure if they have that because it hasnt shown up on my phone.

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RESULTS OVERVIEW One of my main objectives for this specific project was to showcase more of their organizations that the company is involved in. As shown by the chart, not many people are aware of what the company does besides the products. A good majority of participants said they learned about M.A.C. through online and magazine. That means there can be a possibility of working better with the marketing through both of those outlets where one could lead into the other. Across the board its noted that major of those that are using the social media sites are found to be in the age range of 21-29. Soon to follow behind consist of the age group 18-20. Looking at the specific social media site, all the participants use Facebook, which is a good direction as to where the company should be paying more attention to. Following behind was Twitter. After conducting the focus group it also showed how people really can get frustrated when it comes to social media. It is important for an administrator to find that line between too little and too much information. Consumers also want to stay educated and up to date, which can make it tricky when it comes to figuring out the right platform to showcase specific information on.

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CONCLUSIONS & RECOMMENDATIONS When looking at their Twitter account it is notable that they update this site more than they do their Facebook page. This is understandable since Twitter must always be fast pace or people will not follow. However, they need to set up a posting system on Facebook to at least keep the attention of those that do not have a Twitter account. Below is an example of a posting schedule that could be used. Monday- Feel Good Monday- A day to highlight one of their organizations and the impact that is it making on the community. Every week they can feature one of the different organizations that they are running. This will help to keep things fresh, but remind the consumers about their corporate social responsibility that they are working on. Tuesday- Tutorial Tuesday- Here is where they can highlight one of their recent products and show the consumers how to apply it properly or new techniques to try out. Wednesday- Winner Wednesday- Contests or trivia could conducted giving viewers an opportunity to receive either a prize or some type of special offer. After doing this after some time viewers will know to always check on this page every Wednesday. This can be be key for when an important announcement needs to be made because the viewer number will already be up. Thursday- Through my experience and working with several companies, I like having one flex day during the week in case there would be something that comes up. Some random ideas could be an office photo, video, quote, etc.

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Friday- Feature Friday- This could be a segment for a past event, ambassador, or even someone in the general community being recognized for something good they did. Having this will end the week on positive note, just like it had started on Monday. As you can see I do not include Saturday and Sunday because many people do not want to be sitting around on the weekend. Many companies instead put more effort into their Twitter pages during the weekend since there are more events and parties happening during that time.

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APPENDED SURVEYS FOCUS GROUP RESULTS

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BIBLIOGRAPHY "MAC Cosmetics North America, New York, NY, Employee Directory, Company Information & Locations." Jigsaw Business Contact Directory of Business Contacts and Company Information. Web. 10 Feb. 2012. <http://www.jigsaw.com/id235377/ mac_cosmetics_north_america_company.xhtml>. "MAC Cosmetics". www.easysample.com 13 March 2009 <http://www.easysample.com/essay/001537.html>.