Beauty 360

CVS executives have developed a concept store called Beauty 360 which they believe will rival stores like Sephora and Ulta. The store has already launched adjacent to CVS locations so far. The store will be a seller of high end beauty products with brands like Laura Geller and Paula Dorf. CVS execs believe this provides the one-stop shop that many of its customers have desired as all the locations will be placed adjacent to CVS pharmacies. The questions many doubters have is how does CVS plan to succeed in a failing economy. Many women are cutting back their expenses and downsizing their purchases to mass brands like Maybelline and Revlon. CVS believes that the beauty business is recession proof.

I believe this may be a little far fetched for CVS. Though many women are not going to stop wearing makeup though there is a recession and the beauty business will continue to thrive I don't think this is the appropriate time for this concept store. Buying beauty products is personal to many women. The girl who goes to a drug store to get makeup and the one who gets it a specialty store expect different service. Many times at the specialty store they see the same skin care specialist who knows their skin, may suggest new products, and already knows the products she has come to buy. CVS has not given a convincing reason for these woman to leave their comfort zone. The only value they are offering is that they are located adjacent to CVS. I think CVS should think of promotions to boost their mass branded beauty products and leave the high end products to the current specialty stores.