omg just had email from Dermalogica

[pure]

I can understand that it is probably very difficult to control online, unauthorised outlets.

But Dermalogica sell themelves to trained therapists as being a brand who will not tolerate unauthoried sales. Yet this is not the case.

When I was looking into taking on Dermalogica last year I questioned the rep about this, and on the one hand I was assured that they have an entire team dedicated to stopping these sales, yet on the other hand she claimed that they knew nothing about the Jersey based business which probably sells more of their products than everyone else combined!! how can they possibly not know about it - everyone else does!

They have always stated that the public will not be able to purchase retail products without a therapist recommendation.

All I'm saying is that they ought to stop saying one thing and doing another.

And one big difference between them and CND - you're not supplying Boots and by-passing the very people you are meant to support, are you? :lol:

 

[jo-from-moorspa]

Personally I think this is a business decision from Dermalogica.

My understanding is that to sell into Boots products have to be registered with UDEX PDQ online system. This means going though each product putting in all the details (cost price, rrp, barcode, size, weight, pack size etc), this doesn't happen be accident.

 

[SusanEvian]

Dermalogica - Boots


Boots and Dermalogica both no what is going on, I am sure Boots would only go direct. Not good for salons.

Su x

 

[daisyl]

Dermalogica - Boots


Boots and Dermalogica both no what is going on, I am sure Boots would only go direct. Not good for salons.

Su x

absolutely - a company the size of Boots - of course they do!

 

[essentia]

Please look at rhe link where Boots had a dispute with Paul Mitchell Hair products - this may be the case with Dermalogica. I thought afterwards what Bombini said about the display if it were genuine.

Brand owners and retailers battle over 'grey market' goods - Marketing news - Marketing magazine

 

[jo-from-moorspa]

Please look at rhe link where Boots had a dispute with Paul Mitchell Hair products - this may be the case with Dermalogica. I thought afterwards what Bombini said about the display if it were genuine.

Brand owners and retailers battle over 'grey market' goods - Marketing news - Marketing magazine

Wow free advertising that the brand is there, very clever.

 

[geeg]

I can understand that it is probably very difficult to control online, unauthorised outlets.

But Dermalogica sell themelves to trained therapists as being a brand who will not tolerate unauthoried sales. Yet this is not the case.

When I was looking into taking on Dermalogica last year I questioned the rep about this, and on the one hand I was assured that they have an entire team dedicated to stopping these sales, yet on the other hand she claimed that they knew nothing about the Jersey based business which probably sells more of their products than everyone else combined!! how can they possibly not know about it - everyone else does!

They have always stated that the public will not be able to purchase retail products without a therapist recommendation.

All I'm saying is that they ought to stop saying one thing and doing another.

And one big difference between them and CND - you're not supplying Boots and by-passing the very people you are meant to support, are you? :lol:

I do understand what you are saying. But companies don't know unless they are informed and the people bying diverted produscts aren't going to tell them and often the true peofessionals don't know of these sites .. they're too damned busy working hard to be chasing all over the internet to save a few pennies buying illegal goods.

No CND do stick to their policy to support professionals and we don't sell over the headsof our professionals on QVC either!! ... I wish some of the professionals did the same and did not support the diverters by giving them business that is basically illegal.. I wish the pros made their voice heard by not buying form companies that do not support their professionals .... yada yada yada .... and on it goes.

 

[Martigirl]

I am officially confused now:!:

:!:Kiatworcs please accept my apologies I have reread your 1st post and I did not read it correctly:hug:

• Regarding the thread posted months ago it is clear that Teebster's information was correct and Boots are indeed advertising and selling Dermalogica.
• The person claiming to represent Dermalogica on that thread was wrong Boots do have Dermalogica supplies.
• The person claiming to represent Dermalogica may be correct that Dermalogica have no intention of supplying Boots (hence the email to stockists from Dermalogica which started this original thread)
• If it is proven that Boots have admitted to buying Redken from the "grey goods" market then I am shocked.

I am completely confused so will just read and learn from now on.

 

[The Geek]

This eventually happens to every single large in demand professional brand. The degree is only down to the measures the brand puts into place to prevent it (i.e. lot tracking which is mega expensive to manage).

You think Boots is alone in this? Head over to the US and waltz into the local Target or Wallmart beauty section to see it fully stocked with professional hair care brands that spend millions trying to prevent the these companies from selling it.

So how do these companies get their hands on the product? Is it some Illuminatiesque conspiracy? Is Boots buying from the back of a van or dealing direct in secret meetings past midnight with the owners of Dermalogica?

These are ridiculous thoughts and show a lack of understanding about distribution as a whole.




Lets give an example.

BrandX is a great professional product range and very popular. Eventually growing into one of the largest and most sought after in its sector. To meet demand, BrandX appoints official distributors to distribute and promote the brand in different Countries and Regions throughout the world.

These Distributors have purchase and sales targets to ensure that they are doing their best to promote and manage the brand to the best of their ability. The distributor employs Sales Representatives to help it achieve the goal and of course, these Sales Reps have targets designed to ensure that they are doing their best to promote and manage the brand to the best of their ability.

One day while struggling to hit her sales target due to the struggling local economy, Jane Doe is contacted by Earl at Greys Imports. He wants to buy a wide variety of BrandX and in bulk (and thus wants a great discount). The sale would mean Jane hits (or smashes her target) and it means the same for the Distribution company she works for. Jane isn't totally comfortable with the deal, but technically speaking, there is nothing wrong with it and hey... its her freaking paycheck!

So a deal is done.

Earl then calls up another sales rep in another area and does a similar deal.

And again. And again. And again.

Sure Earl gets turned down a lot. But all they need is enough 'lines' in the water to ensure they will have a constant enough supply of bulk goods at a good enough discount. Regardless, his business isn't about the margin, its about the volume.

Earl then approaches Boots, Wallmart, Target, etc... and strikes up a deal. Wallmart, Boots, Target, et. al now have a business they can legitimately buy goods from.

...

For every professional that has bought supplies from an unofficial source, you are doing the exact same thing Boots is now and making the problem significantly harder to stop.

Personally, I think that the letter that Dermalogica sent out took balls and I applaud them for it.

 

[Bagpuss]

This eventually happens to every single large in demand professional brand. The degree is only down to the measures the brand puts into place to prevent it (i.e. lot tracking which is mega expensive to manage).

You think Boots is alone in this? Head over to the US and waltz into the local Target or Wallmart beauty section to see it fully stocked with professional hair care brands that spend millions trying to prevent the these companies from selling it.

So how do these companies get their hands on the product? Is it some Illuminatiesque conspiracy? Is Boots buying from the back of a van or dealing direct in secret meetings past midnight with the owners of Dermalogica?

These are ridiculous thoughts and show a lack of understanding about distribution as a whole.




Lets give an example.

BrandX is a great professional product range and very popular. Eventually growing into one of the largest and most sought after in its sector. To meet demand, BrandX appoints official distributors to distribute and promote the brand in different Countries and Regions throughout the world.

These Distributors have purchase and sales targets to ensure that they are doing their best to promote and manage the brand to the best of their ability. The distributor employs Sales Representatives to help it achieve the goal and of course, these Sales Reps have targets designed to ensure that they are doing their best to promote and manage the brand to the best of their ability.

One day while struggling to hit her sales target due to the struggling local economy, Jane Doe is contacted by Earl at Greys Imports. He wants to buy a wide variety of BrandX and in bulk (and thus wants a great discount). The sale would mean Jane hits (or smashes her target) and it means the same for the Distribution company she works for. Jane isn't totally comfortable with the deal, but technically speaking, there is nothing wrong with it and hey... its her freaking paycheck!

So a deal is done.

Earl then calls up another sales rep in another area and does a similar deal.

And again. And again. And again.

Sure Earl gets turned down a lot. But all they need is enough 'lines' in the water to ensure they will have a constant enough supply of bulk goods at a good enough discount. Regardless, his business isn't about the margin, its about the volume.

Earl then approaches Boots, Wallmart, Target, etc... and strikes up a deal. Wallmart, Boots, Target, et. al now have a business they can legitimately buy goods from.

...

For every professional that has bought supplies from an unofficial source, you are doing the exact same thing Boots is now and making the problem significantly harder to stop.

Personally, I think that the letter that Dermalogica sent out took balls and I applaud them for it.

Shouldn't there be some sort of contract drawn up that states that companies who supply to distributors are legally bound to only supply to professional sources....that way wouldn't these reps also be legally bound....???

 

[bexi]

I have fowarded this link to my rep at dermalogica so hopefully someone will be on.

xbx

 

[geeg]

Shouldn't there be some sort of contract drawn up that states that companies who supply to distributors are legally bound to only supply to professional sources....that way wouldn't these reps also be legally bound....???

The legit distributors do have contracts like that ... it isn't the distributors who are doing the dirty it's the folks that they sell to .... Samuel explained above.

Should S2 have a contract with every nail customer/technician that says they can't resell the product elsewhere?? I wish but there are unscrupulous people in this world not to mention greedy people that is why you find CND on ebay for instance and then our customers want to know why WE are letting it happen???
Nightmare!

 

[The Geek]

Shouldn't there be some sort of contract drawn up that states that companies who supply to distributors are legally bound to only supply to professional sources....that way wouldn't these reps also be legally bound....???

Sure. And many do have this in them. However when up against 'making ends meet' or 'smashing targets' how many would 'turn a blind eye'? 1%? That is MORE than enough to lead to this kind of situation. Distribution channels can become so complex and muddled that most may not even know they are selling to a grey market distributer.

The only real answer is lot tracking, but as I mentioned before... this can be VERY expensive to implement, track and manage. Furthermore, if a distributor is selling unknowingly to a grey market diverter what do you do? What do you do as BrandX when it turns out 1 of your top customers (distributors) have been found to have sold (knowingly or not) to a diverter?

These are very very challenging and complex matters and most companies that have had to face diversion (especially at this level) have been constantly wrestling and constantly working to resolve. So give them your support. Boycott Boots and only make purchases through legit outlets.

 

[Bagpuss]

I hear you....so as for what can WE do to help stop this.....the same as I and I would hope all of us already do....Only buy from authorised and legal distributors !!

If they have no customers they make no money and if they make no money they wouldnt bother doing the deal...and then this wouldnt happen.

Its no good moaning about this and then buying your stock from somewhere else to try and save a few quid.

 

[The Guild]

We have contacted Dermalogica for an official statement, as we have had some similar questions on our Forum. You can read a copy of the original email issued by Dermalogica, plus a further statement at Beauty Guild : Beautyguild Forum - Beauty Guild.

 

[The Guild]

Dermalogica now have a statement from Boots, which you can read here.

 

[Bagpuss]

Dermalogica now have a statement from Boots, which you can read here.

so basically we will do what we want with or without you....i hope that Dermalogica never give in and do business with them.

Why do businesses have to always out do each other....get greedy and stab others in the back....why cant everyone just stick to their own thing and leave others alone. I know i am asking for a perfect world

 

[Emily9]

Dermalogica now have a statement from Boots, which you can read here.

I am lost for words

 

[Vetty]

so basically we will do what we want with or without you....i hope that Dermalogica never give in and do business with them.

Why do businesses have to always out do each other....get greedy and stab others in the back....why cant everyone just stick to their own thing and leave others alone. I know i am asking for a perfect world

It all comes down to money Angie, some people/companies will do anything to make money out of other people/companies. It makes me sick.

I know business is business and all that, but whatever happened to trading ethically and treating others as you wish to be treated?

 

[Martin Duffy]

If Dermalogica are opposed to this, could they not take action like Environ has?