Less Pretentious - More Authentic: Brand Innovation and Business Development in the Organic Cosmetic Industry

Abstract

Consumer awareness results in an increase of attention to organic cosmetic brands as a substitute for conventional harmful chemicals. The aim of this thesis is to find out which innovative processes are behind organic cosmetic brands and how they contribute to their brand value.
The cosmetic industry and the customer trend development towards green positioned cosmetics is explained in the introduction to provide a common understanding of the current challenges niche actors face. The theoretical framework presents the relevant literature for sustainable entrepreneurship and branding innovation with a clear delimitation to small companies and further discusses how communities and culture enable a strong brand positioning. The importance of a well-developed branding strategy in the competitive environment of the cosmetics industry is elucidated as detailed as current literature allows to form a theoretical framework for the investigated brand Less is More (abbreviated as LiM).
In the case study, experts from the brand have been interviewed to identify the current strategy of the niche brand and its future goals. Additionally, secondary data has been collected through the observation of communication strategies of competitive brands on social media. The practical knowledge gained in the interviews has been analysed and compared to the secondary data to draw conclusions how brand innovation strengthens brand value in different business models.
Elements of the key findings presented in the theoretical framework and in the data collection are stated as strengthening the brand value of organic cosmetic brands. Under the consideration that the cultural context has a significant impact, those were identified to be authenticity and value co-creation.