EOS has emerged in a short period as a major player in the lip balm market. How they were able to do so was recently highlighted in an article in Fast Company.
The success of EOS is at least partially based on the co-founders of the company spotting an industry that provided a significant opportunity, and then designing a product that appealed to customer’s tastes.
The opportunity in the lip balm market was a result of the existing companies in the industry resting on their laurels and not designing a better product that appealed to the tastes of the typical consumer today. Customers increasingly were looking for more varied in their lip balms and were trying to obtain lip balm blends that had flavors that were more enjoyable to use than the standard flavors such as cherry and medicinal that were issued by the existing competitors in the market such as Chapstick, Blistex, and Carmax. EOS created fun and unique blends such as Vanilla Mint and Blackberry nectar which captured the tastes and preferences of the feme shoppers who primarily bought lip balm. They used all-natural and organic ingredients which removed the artificial taste of existing lip balms and provided better protection for customers.
To create a product that stood up to possible competitive pressure, EOS had their production machinery custom designed to make it harder for their competition to copy their products. EOS created an orb shaped application case that provided for a sanitary application of lip balm in a thick application that proved that EOS’ full name, the Evolution of Smooth, is no misnomer.
Finally, EOS concentrated on developing their distribution network and forged relationships with many large retailers and online stores to distribute their product such as eBay, Walgreens, Amazon, Target, and Walmart. This strategy paid off and EOS has emerged as one of the major players in the lip balm market.No Comments on How EOS Succeeded in a Crowded Market