The General Information About “Healthy Glow Beauty Clinic”

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Executive Summary

This report will concentrate on the general information about the business of “Healthy Glow Beauty Clinic,” and analyze mission statement and value proposition; in addition, it will focus on the strategies, objectives, cost control, business accounting system, and some steps to achieve three objectives of the company.

General Information about the Business

The Healthy Glow Beauty Clinic is composed of modern technologies and excellent skin-care, facial treatment, and body-treatment facilities; moreover, Adriana (the proprietor of the business), has a diploma in beauty therapy and she is greatly experienced in facials, waxing, massaging, cosmetic-application and in services that customers expect from a beauty salon which has established a benchmark within the industry (HGBC, 2012).

Additionally, it is notable that the business offers various services such as laser treatment, spray-tan, massage, hand and feet care, sumptuous packages, waxing, make-up, eyelash-treatment, nail-sculpture, eyelash-coloring, perm, and manicure, and pedicure with the highest level of care that assures preeminent treatment quality; on the other hand, the treatments provide an extremely relaxing experience by using the best products available

In 2005, Adriana Fricc initiated her Healthy Glow Beauty Clinic as a business that ran from her home because she was extremely fervent about beauty care; later on, her business gained superb success and so, a year later, she became interested regarding what the business would be like on a larger-scale; therefore, she decided to enlarge the beauty clinic. In March 2006, she opened a new store in Lynbrook; although the business was moderately sluggish for the first year, from the second year, she started to experience steady growth; as a result, she has added new services to her clinic, for example, laser-hair-removal, spray-tans, and injection like Botox, and now, she has built an amazing circle of customers.

Mission Statement and Value Proposition

Notably, the mission statement of the Healthy Glow Beauty Clinic is to provide a friendly, relaxing, and personalized service in a gracious and pleasurable atmosphere tailor-made by a team of extremely experienced and creative professionals combining knowledge, expertise, and the power of touch to serve customers in a way so that each visit makes them replenished and revitalized. The business believes that it has integrated the values stated in the mission statement and has been successful in creating a value proposition.


  • Promotional strategy: The company would be undertaking various promotional strategies to generate awareness (as suggested) to achieve the second objective
  • Brand Expansion Strategy: The beauty clinic would consider the strategy of taking a loan to adopt a new location to expand its business operation in a new place to increase its profit
  • Diversification: Introduction of new products and services: To achieve the third objective, the business will focus on the strategy to concentrate on R&D and develop new products and services


  1. HGBC will expand its business operation in a new place to increase its profit margin from this new branch from $9,909.21 to $28,155 by December 2015;
  2. It will increase the budget by 20% for promotional activities (including IMC Campaign) to develop brand image along with aware 50% of its target customer by 2014 and increase 20% loyal customer base by 2013;
  3. It has an explicit aim to attain 25% augmentation of total sales by developing its products and services in the existing markets;

Each objective has been designed considering the financial and management capabilities of HGBC, and fixed the period to achieve the aim; furthermore, these objectives will fit with an overall strategic plan while current position of the clinic, total budget of the implementation process, critical path, and budgetary control system and loophole of the operating systems have observed as well.

Some Steps to Achieve First Objective

At first, the management of this clinic will try to arrange funds (either individual investors or banks) for the brand expansion project, prepare a business proposal, and then select an easily accessible location for the customers, design the center and create an outstanding environment to provide professional service and develop brand awareness. However, the marketer’s research on the target market to assess the market risks and other related issues, such as the impact of the financial crisis on the customers’ purchasing power, perception of customers, market demand, numbers of competitors, rental costs, technological barriers, etc.

Some Steps to Achieve Second Objective

To achieve the objective of raising budget by twenty percent for promotional activities and IMC-program for developing brand image and alerting fifty percent of its target customers by 2014 and boosting twenty percent loyal customer base by 2013, the business needs to focus on the methods of conducting the campaign and on the budgetary requirements. It is necessary for the company to campaign through print media, radio, TV, newsletters, postcards, promotional tools, billboards, and public relations; however, it should also focus on social networking websites, which are splendid for constructing consumer relationships and improving brand image; so there should be a call for action. The business will be able to inform a large number of people about the products at the same time by advertising through Google +, Foursquare, Twitter, Myspace, or Hi5; this is because today, people of almost every country use these social networks to connect with the outer world notwithstanding the geography, age, gender, marital status, education, or cultures. The Healthy Glow Beauty Clinic would require a total promotional and integrated marketing campaign budget of $26,000; the distribution of the budget in each of the segments is given in the following table:

Promotional activities and integrated communication budget for Healthy Glow Beauty Clinic
Chosen campaigning media Cost of Each Media
Print media The Daily Telegraph $5000.0
Sydney Morning Herald $5000.0
Total print media costs = $ 8626.50
Radio and TV advertising Content for the radio advertisement $522.0
Content for the TV advertisement $5277.0
Total cost for radio advertisement = $5722.0
IMC over the internet, which includes social networking websites, improvement of SEO, and other related fees $1430.0
Investigating the target audience of the campaign through market research $300.0
e-newsletter, women’s magazines, along with postcards and promotional tools $1375.0
e-Billboards / hoardings $2590.50
Public relations $390.0
Website Development & optimization $1250.0
Content for Blogs $500.0
Other costs of the advertising department $2816.0
Others $11848.50
Total Budget $26000.0

Table 1: Promotional and integrated communication budget for the Beauty Clinic. Source: Self-generated.

Some Steps to Achieve Third Objective

To implement a diversification strategy, HGBC should focus on herbal-oriented cosmetics (no animal fats, harmful chemicals, or toxic substances) with Aloe extracts, Vitamin E complex, and Neem essence that enhances skin quality; however, to increase service, it can provide online suggestion to the customer.

Cost Control

The estimation of costs for the next three years will help HGBC to control the costs though it depends on many internal and external factors, such as volatility of the price of raw materials, costs of the staff, terms, and conditions of the contract with third parties, rent of the place, availability of the communication facilities and so on.

Key Performance Indicator (KPI)

As KPI, this report presents a Pro-forma profit and loss account to assess the sales revenue, total expenses, and profits to identify financial growth of HGBC; moreover, the following table demonstrates that operating costs for the first year is $145,234.0, but if the company fails to decrease its costs and increase its sales revenue, then it may face serious financial losses –

Pro-forma Profit and Loss for 2013 to 2015
2013 2014 2015
Sales revenue $166,400.0 $211,022.0 $239,975.0
Total Cost of Sales $4,320.0 $4,300.0 $4,400.0
Gross Margin $162,080.0 $206,722.0 $235,575.0
Total Operating Expenses $ 145,234.0 $173,806.0 $192,162.0
Net Profit $9,909.0 $19,967.0 $28,155.0

Table 2: Financial overview of HGBC from 2013 to 2015. Source: Self generated

Maintain Business Accounting System

As a small company, HGBC should not concentrate on any complicated system to maintain financial department; however, Wilson (2010) stated that there is much useful software for the small companies are available in the market to keep business records, such as Quickbooks Premiere Edition 2010, Peachtree, AccountEdge 2010 For Windows, Freshbooks, Outright, Quickbooks Online Plus and so on. However, this paper suggests the company introduce Quickbooks Premiere Edition 2010 (an intuitive accounting application) since it contains many significant factors; however, the next figure gives more information in this regard –

Pros and Cons of the recommended software. Source: Wilson (2010)
Figure 1: Pros and Cons of the recommended software. Source: Wilson (2010)


HGBC will take some initiatives to meet three objectives, such as arranging funds, using social media, and introducing new products like herbal-oriented cosmetics.


HGBC. 2012. Healthy Glow Beauty Clinic Overview. Web.

Wilson, J. 2010. QuickBooks Premier Edition 2010. Web.

Wilson, J. 2010. The Best Small Business Accounting Software. Web.

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