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So the beauty supply change is constantly evolving just to keep up with demand. With one Instagram post, reality star Kylie Jenner’s lip kits sold out in 10 minutes. Trends can change in minutes with a celebrity photo or video. This drive is forcing faster production and fulfillment. Product development is completely driven by consumer demand and the quickly changing trends. By having the in-demand products available to purchase, the beauty company creates a competitive advantage. This is also important as managing the supply chain plays a pivotal role in driving customer satisfaction. It requires dependable transportation, stockpiling, and appropriation. It requires reliable transportation, storage, and distribution.
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The process for handling products through to the final sale is critical. Once demand is created, they need to ensure those items are accessible for sale. We see companies drive this consumer behavior by promoting the latest trends, and often using celebrities to endorse their products. Let’s Look At Supply Chain Fundamentalsīecause of the nature of the business, customers are persuaded by demanding items that are hot today, that may go out of style tomorrow. For the beauty supply chain to operate more efficiently and effectively, it is crucial to gain a competitive advantage.To do so they must employ a multi-step logistics function to manage retailer requirements which will help overcome the challenges caused by supply and demand inherent in the industry. What it doesn’t mention is the challenges faced in today’s competitive and agile environment. The beauty supply chain industry rakes in about $445 billion dollars a year, according to Forbes.