Operating on Avon: CEO Outlines Turnaround Vision
Avon Products Inc. has a new turnaround plan. It includes setting up a more “open” culture, and opening up the company to more representatives, consumers and opportunities, according to chief executive officer Jan Zijderveld. It includes the launch of an e-rep program, which will allow the company’s salesforce to open online shops in addition to peddle beauty products via physical brochure. “If you think about our business today, it’s a very physical business,” Zijderveld said. “You’ve got a lady that uses the brochure, that goes physically to her consumers, takes the orders, gets the product and then delivers.…That’s great for a group of consumers, but it’s not appropriate for many more modern consumers.” Digital programs give Avon the opportunity to reach even more customers, Zijderveld said. He gave the example of South Africa, a country where Avon is considered trendy, where between 200,000 and 300,000 Avon reps are reaching about three million people of a population that’s approaching 60 million. “How do we equip our representatives to reach not two to three million people, but to reach 10 million people, 15 million people, 20 million people?” Zijderveld said. “That is a massive strategic leap for the business, to say, ‘we’re not going to restrict
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