Brand Growth + Seed Phytonutrients

Running head: INTRAPRENEURIAL PROPOSAL FOR SEED PHYTONUTRIENTS 1
Intrapreneurial Proposal for Seed Phytonutrients
J.L. (Joanna Leigh) Basbas
Project & Portfolio III: Intrapreneurship
Full Sail Online

INTRAPRENEURIAL PROPOSAL FOR SEED PHYTONUTRIENTS 2
Table of Contents
Introduction 3
External and Internal Business Environments 4
Overview of Seed Phytonutrients 4
Conditions of the Beauty Industry 4
Our Products 6
Strategic Scanning 7
Seed Phytonutrients and the Consumer 7
Our Competitors 8
Our Unique Selling Position 9
In-house Resources 9
Solving a Need in the Market 10
Our Mission Statement 10
Sharing Our Passion 11
Improving the Consumer Experience 12
Implementing Innovation 13
Recommendation 13
Plan of Action 14
Big Risk Equals Big Payoff 16
Conclusion 17
References 18

Introduction
We have planted the seeds of sustainability with our innovative initiatives, but now we
must continue to nurture our seedlings in a way that allows Seed Phytonutrients to grow into the
future. To breathe new life into our business model and cement our farm-to-beauty products as the
go-to for our target market, we need to take a look at the big picture in its entirety. This
intrapreneurial proposal will explore external and internal factors as well as present a solution that
acknowledges our customers’ concerns by evaluating our market position in comparison to our
competitors and addressing the feedback from our beloved customers.

External and Internal Business Environments
Overview of Seed Phytonutrients—An independent venture funded by L’Oréal, this
business-to-consumer (B2C) niche brand is a result of L’Oréal’s Sharing Beauty With All (SBWA)
sustainability program. To address a more responsible approach to the production and distribution
of beauty products, Shane Wolf presented his idea for a new organic, vegan brand of farm-to-
beauty products to the L’Oréal Group. Brad Farrell, Scott Schienvar, and Lea Koussoulis joined
Wolf in founding Seed Phytonutrients—a 100% natural start-up within their larger parent
company, L’Oréal (“Seed Phytonutrients”, 2018). Our brand’s mindfully crafted line of personal
care products takes a unique approach to our environmental impact by implementing our core
values into all areas of our operations. From the ingredients we use to our products’ packaging,
Seed Phytonutrients aims to bridge the gap between sustainability and the global Beauty Industry.
Conditions of the Beauty Industry—The global Beauty Industry is currently expanding,
with projections to advance at a 5% to 7% compound-annual-growth-rate (CAGR), growing from
$532 billion to $800 billion by 2025 (Danziger, 2019). Several major trends are shaping the future
of the Beauty Industry, one of which being skincare from the earth. Consumers are switching to
natural, clean products due to the growing perception that there’s a link between skincare and
wellness (Kestenbaum, 2018). Seed Phytonutrients recognized the development of this trend early
on and sought to bring consumers a beauty option that had the earth in mind. As the Beauty
Industry continues to expand, we must tie sustainable practices into our business model to mitigate
our overall environmental impact and take advantage of this growing eco-conscious trend to reach
a larger end-market.
L’Oréal’s SBWA sustainability program has given Seed Phytonutrients the financial
means, and support of a well-known entity, to branch out into the Natural Beauty Market. The

introduction of our innovative brand coincides with the shift in consumerism—the growing
number of socially and environmentally conscious shoppers (“The organic”, 2019). Various
natural cosmetic companies are taking notice of this shift as well and are adjusting their business
practices to address their consumers’ concerns. The future of the Beauty Industry is gearing
towards natural ingredients and sustainability. Efforts to become more environmentally
responsible need to be present throughout all areas of our operations, from the production to the
distribution. We should actively seek ways to strengthen our sustainability efforts as well.
Seed Phytonutrients took a zero-waste, farm-to-beauty approach and has been quite
successful in their marketing campaigns. However, we are not the only brand within the Beauty
Industry that is mission-driven to create beauty products that are environmentally responsible and
naturally sourced. One of our competitors, Love Beauty and the Planet of the Unilever family,
have taken a similar approach to ours. They address their sustainability within the ingredients they
use in their personal care line as well as the packaging of their products (Shatzman, 2018).
Companies in the Beauty Industry are taking notice of the positive impact that a shift to natural,
eco-conscious products could have on their organization. Innovative approaches to reducing
wastes, and giving back to the earth, are becoming more common with every passing day. Our
niche market of farm-to-beauty will likely become more competitive, but the funding provided by
L’Oréal gives us a slight advantage over the newcomers. For Seed Phytonutrients to remain
relevant in an expanding Beauty Industry, we need to use our funding to pursue new avenues and
approaches to sustainability. This means taking a look at our operations as a whole and further
incorporating waste-reducing initiatives, driving our growth as a brand into the future. In doing so,
we must also recognize environmental threats, such as natural disasters, and other external factors
that could limit our ability to curate our products.

Our Products—We have done an exceptional job of creating a solid eco-conscious
foundation for Seed Phytonutrients to grow as the demand for natural products continues to rise.
Our natural beauty products—including hair, skin, and body care—are sourced from independent
American organic farmers. Several of our products also include a seed pack as our way to promote
giving back to the earth and preserving seed diversity. Our approach to packaging our products
using recycled and recyclable materials has set the bar for sustainability within the Beauty Industry
(“Our values”, n.d.). We have managed to create a line of products that is not only good for our
bodies but our environment as well. We offer transparency to our consumers, proudly showing the
journey of the ingredients to the finished personal-care products offered by Seed Phytonutrients.
Partnered with TerraCycle, consumers are also allowed to sign up for our free Seed Phytonutrients
pump recycling program (“How it works”, n.d.). Our products range from $14.00 to $55.00,
making Seed Phytonutrients an average-priced brand in comparison to our competitors (“Our
products”, n.d.). We offer our consumers high-quality products that are priced slightly lower than
our nature-sourced beauty counterparts available on today’s market.
Our current market position within the Beauty Industry presents a great opportunity for us
to strengthen the connection between our brand and the loyalty of our consumers. We need to look
at new innovative ways in which we may be able to help our consumers address their sustainability
efforts, encouraging them to join in our mission to become more environmentally responsible. Our
creative take on packaging sets us apart, but how can we take it one step further? A Netherlands-
based group, LCA Centre, has found that refillable containers have the potential to reduce carbon
emissions by as much as 70% if implemented throughout the Beauty Industry (Moore, 2019).
Exploring ways to transition the packaging of our products, to mitigate our waste and carbon
emissions, could help our brand to reach a larger end-market and essentially keep us one step ahead

of our competitors. Although our unique packaging may not allow for a transition to refillable
containers for our products, changing the make-up of our products from liquids to solids, in
addition to improving our packaging, could help us to further decrease our environmental impact
and save on packaging costs in the long run.
Strategic Scanning
Seed Phytonutrients and the Consumer—Over the years, it has become apparent that
environmental issues are directly affecting the shopping habits of our consumers. Many are
seeking sustainable beauty options, such as reusable beauty products, to address various global
environmental concerns ranging from climate change to plastic waste. While several advocates of
eco-conscious behavior believed that the responsibility lied with them, 48% of global consumers
expected manufacturers and retailers to take the lead (Culliney, 2019). Our consumers are looking
to us to take action and help them transition into a sustainable lifestyle. Shane Wolf, the great mind
behind Seed Phytonutrients, took note of this and worked with his team to present consumers with
a solution that addressed their wants and concerns. Surveys have shown that consumers value a
clear commitment from brands towards reducing their environmental impact (Deem, 2019).
Offering our consumers complete transparency of our products, from production to packaging, we
can emphasize our brand’s mission while appeasing the concerns of our consumers. We can
highlight the factors of Seed Phytonutrients and show a direct correlation on how each promotes
sustainability.
Our clean and nature-soured beauty products offer our consumers environmentally friendly
products that can be implemented into their daily routine. We have even partnered with Ecologic
Brands to create shower-safe paper bottles that reduced our use of plastic by 60% and addressed

the global environmental concern of plastic waste. Our consumers are those that are intelligent,
informed, healthy, committed, and enlightened. They are those that are actively seeking new ways
to further transition into a more eco-conscious and sustainable lifestyle (Hayim, 2018). Our target
demographic is females, ages 18 to 40, and makeup 58.2% of the civilian labor force in the United
States (OuickFacts, n.d.). Seed Phytonutrients integrates the eco-conscious mindsets of our
consumers with the Beauty Industry, curating products that are nature-sourced and deliver positive
results. As an incubated brand of L’Oréal, we have the resources available to think beyond our
current business model and seek new ways in which we can aid a generation of female eco-warriors
into a new era of sustainable living.
Our Competitors—As we consider new ways to approach our environmental impact and
efforts in sustainability, we must take note that we are not the only brand actively looking for
solutions. One of our top competitors, Love Beauty and the Planet by Unilever, offers consumers
a more affordable option of personal care products. Their vegan, cruelty-free formulas are
packaged in 100% post-consumer recycled plastic bottles and are priced under $10. Although they
are addressing the global environmental concerns of their consumers, their products can only be
purchased through participating retailers (Love Beauty and the Planet, n.d.). Prose also takes a
similar approach by offering consumers a vegan-friendly option that is customized to each
consumer’s unique hair type. The cost of Prose is closer to our business model, but their
customized approach limits their consumer reach as their collection can only be purchased through
their online store (Meet our products, n.d.). Then others are taking a different approach entirely by
embracing a plastic-free model. For example, Ethique has found a way to provide consumers with
personal care products that are nature-sourced and plastic-free by curating a collection of solid
shampoos and conditioners. Priced slightly lower than our collection, Ethique products can be

purchased online and in-store at select retailers (Our best sellers, n.d.). We are collectively
addressing a need to implement sustainable practices into the operations of our brands. Each of us
setting an example for others in the Beauty Industry to follow. Today, there is a plethora of options
for eco-conscious consumers to consider.
Our Unique Selling Position—The high quality of the ingredients we use in Seed
Phytonutrients combined with our out-of-the-box initiatives set us apart from our competitors. We
address our consumers' concerns and take it one step further by presenting them with a way to give
back to the earth in the form of seed packs. Seed Phytonutrients’ business model is more
progressive as well, supporting local farming communities while mitigating our environmental
impact. As more competitors join the movement of bringing clean and sustainability to the Beauty
Industry, we must try to remain progressive and innovative in our efforts. Our association with
L’Oréal, recognized as Fast Company’s 50 Best Workplaces for Innovators, is our greatest
advantage (“L’Oréal named”, 2019). We have the funding and resources to test new projects,
providing solutions to consumers they may not have thought were possible. For instance, offering
a solid bar option that incorporates both our unique packaging and seed packs could help to further
reduce our plastic waste and give us an edge in comparison with our competitors.
In-house Resources—We are fortunate that our founders have an extensive background in
the Beauty Industry and a combined passion for the environment. The core team behind Seed
Phytonutrients—Lea Koussoulis, Brad Ferrell, Shane Wolf, and Scott Schienvar—are former
employees of L’Oréal and have come together to create a unique eco-conscious brand (Tomlin,
2017). We are lucky to have these great minds at our disposal. Their understanding of the Beauty
Industry makes them a great asset to our team of innovators. We are a team of like-minded
individuals with a shared passion for our environment coupled with an all-star core team that

encourages us to find new ways to implement Seed Phytonutrients’ mission statement into
everything we do.
Solving a Need in the Market
Our Mission Statement—Seed Phytonutrients was founded with four core obsessions in
mind: promoting natural beauty, leading environmental sustainability, supporting independent
American organic farmers, and preserving seed diversity. We’ve strived to create an environment
that seamlessly incorporates beauty, agriculture, and sustainable business. One that provides
consumers with nature-sourced beauty products that are as good for the body as they are for the
environment. “Our mission is to plant the seeds of health, well-being, and sustainability for future
generations (Our Values, n.d.).” We are a small company with a shared passion for creating a
positive impact that aims to share our love for Mother Earth with the world.
Our brand was one born from a combination of L’Oréal’s unique entrepreneurial culture
and Shane Wolf’s innovative initiatives with the goal of sustainability in mind. From a simple
concept, Seed Phytonutrients grew into a mission-driven beauty brand. We’ve set out to not only
change the way the world views beauty but to also educate consumers on the importance of seed
diversity and natural ingredients. The cold-pressed sunflower and camelina seed oils used in our
products are locally sourced from family-owned farms with noteworthy ecological impact
standards. Our shower-friendly packaging is one-of-a-kind, made entirely of post-consumer
recycled cardboard and chalk. We’ve even reduced our plastic waste by uniquely incorporating
100% post-consumer recycled paper with a post-consumer recycled plastic liner (Berry, 2019). It’s
incredible to see what has become of Wolf’s seedling of innovation.

Sharing Our Passion—Intent on creating a positive impact on the environment as well as
consumer shopping habits, we offer complete transparency through our website. Here consumers
will be able to see the ingredients that are used in our products, how the seed oils are extracted,
and where the seeds are sourced from. We also offer insight into the brand behind our unique
packaging, Ecologic Brands, and encourage our consumers to take part in our TerraCycle pump
recycling program. Our seed packs are even presented transparently through promoting the
importance of seed diversity, the Hudson Valley Seed Company that provides the seeds, and the
artists who bring the packaging alive with their graphics (Our Values, n.d.). We value our
customers and, in turn, offer them a behind-the-scenes look into our growing brand.
Seed Phytonutrients is a brand with good intentions yet there are mixed reviews on the
quality of our products. We have an overall positive public perception, largely in part due to our
mission statement. Our passion for environmental sustainability is welcomed by many as the
Beauty Industry is trending towards nature-sourced and chemical-free products (Kestenbaum,
2018). We’ve created a brand that centers around earth-to-beauty, but feedback from our customers
suggests that we still have some growing to do. Take our shampoo for instance. It’s fair to say that
we’ve crafted a shampoo that both smells great and leaves hair feeling soft by offering a gentle
clean. The downfall is that it’s considered to be somewhat expensive and does not lather well,
earning us a 3.9-star rating on Amazon (Seed Phytonutrients, n.d.). However, our competitors
have mixed reviews on Amazon as well. Love Beauty and Planet customers say that their shampoo
smells great and lathers well, but leaves hair feeling dry and damaged. Given a 4.3-star rating, their
product is also marketed as sulfate-free yet lists sodium laureth sulfate (SLS) as their second
ingredient (Love Beauty and Planet, n.d.). Ethique customers say that the brand’s shampoo bars
lather well, but sometimes strip the hair’s texture. Rated slightly higher at 4.5-stars, Ethique has

the least amount of negative feedback in comparison to our brand and other competitors within the
Natural Beauty Market (Ethique, n.d.). We may not be able to please everyone, but we have to be
better than this. According to our customer feedback, we are rated the lowest on Amazon when
compared to competing brands. How can we reclaim our title as the eco-conscious consumer’s go-
to beauty brand?
Improving Consumer Experience—We are a brand who prides ourselves on our
commitments to sustainability, open to external and internal suggestions on how we can improve
our products or business practices. We have created a platform that allows and encourages all
feedback, providing tangible data that can be used to implement positive change within Seed
Phytonutrients as a whole (Beard, 2018). Our customers have spoken and it’s our responsibility to
respond by taking action. We must let them know that their concerns have been heard and show
that we care enough to address them. Taking a new approach to our products by offering our
consumers a solid bar option could help to address issues concerning the cost of our products as
well as the lack of lather. Unlike one of our competitors, Love Beauty and Planet, our shampoo is,
as advertised, 100% nature-sourced thus may not offer a well-lathered application. As our seed-
diverse formula’s only real downfall is offering little-to-no lather, a change to the consistency of
our products could address this customer concern as well. Offering a solid version of our products
could be the answer to providing our customers with the lather they desire while presenting them
with a product that is less costly in the long run. The fan-favorite, surprise seed packs, could be
incorporated as well. By embedding the seeds in the actual packaging, or labels, that encase the
solid form of our products, we can continue to promote seed diversity without the added waste of
the packets that hold the seeds. This could, in turn, lower our production costs and become a
contributing factor in making our product one that is seen as affordable versus being considered

as too expensive. Our consumers are drawn to Seed Phytonutrients because of our mission
statement, but we must take their feedback at face value if we are to retain their loyalty and grow
to our brand to its fullest potential. The bigger the reach, the larger the impact.
Implementing Innovation
Recommendation—Our nature-based products combined with our unique post-consumer
packaging helps us to stand out against our competitors. Thus far, we have successfully addressed
both the issue of ethical ingredient sourcing and the larger environmental issue of plastic waste
(Berry, 2019). Our team has stayed true to our mission statement by remaining focused on our four
core obsessions and consistently adding new products to our line that align with our values as a
farm-to-beauty brand (“Our Values”, n.d.). We are doing exactly what we set out to do, but how
can we do more to further increase our positive impact within the Beauty Industry and on our
environment as a whole? Two words: solid bars.
The introduction of a concentrated, solid form of our products could help Seed
Phytonutrients to tackle several customer concerns simultaneously. Our customers are drawn in
by our values and blown away by our overall concept, but many have stated that our products are
quite pricey, lack lather and don’t last as long in comparison to competing brands (Seed
Phytonutrients, n.d.). By offering our customers an alternative to our liquid products, we could
essentially present them with one that would last longer and produce the lather they’ve been
seeking. Converting our products to a concentrated form will extend the life of each product sold
which, in turn, will help to save our customers money in the long run. On average, shampoo bars
typically outlast two or three bottles of their liquid counterparts (Ogle, 2018). This means that our
customers won’t need to purchase our product as frequently if they opt to purchase our products

as a bar rather than in a bottle. Removing the water from our products and using a concentrated
formula, rather than a liquid one, could help us in addressing lather issues as well.
In its concentrated form, water is added only when the product itself is used. The friction
created when massaging the bar during use will essentially create a lathering experience that I
believe our customers will love. Several of our competitors, such as Ethique, have been already
tested the waters by presenting shampoo and conditioner bars to their customers in their efforts to
address sustainability and their environmental impact, so how can we be different? How can we
do it better? How can we continue to stand out against our competitors? I believe that by
implementing what our customers already love about us into our solid bars, we have the potential
to cement our market position and set a greater example for brands that follow. This means
incorporating our unique packaging and seed packs into our new concentrated bars while
remaining true to our four core obsessions that have defined our mission-driven brand.
Plan of Action—Prospectively, rolling out a line of solid bars could cost roughly
$30,000.00 when taking the marketing campaign that would be needed to make our customers
aware of our new and improved products into consideration. Keep in mind that this is just a
ballpark number. However, the price tag on treading into new waters is minuscule when compared
to the cost savings and the benefits it presents. For starters, the introduction of solid bars into our
product line will help us to further cut down on our plastic waste. This means fewer pumps and
bottles being manufactured by our company thus less plastic waste in our environment. Solid bars
could also help to boost our customer reviews by showing our customers that we have heard their
concerns and are actively working towards a solution. According to reviews found on Amazon,
approximately 25% of customers are not completely satisfied with our products (Seed
Phytonutrients, n.d.). Assuming that the 13 brands within L’Oréal’s Professional division equally

contributed to their 2018 annual profits, that’s roughly a quarter of $205 million Seed
Phytonutrients’ profits lost due to our unhappy customers (Clichy, 2018). A shift towards solid
bars could essentially save our brand nearly $51 million and increase our customer retention rate
while amplifying our sustainability initiatives.
To ensure that our move is a successful one, I suggest that we pursue the transition to solid
bars in tiers. This strategy would require beginning with our daily shampoo cleanser in solid bar
form first and determining how well the concept is received by our customers. Similar to how we
approached our initial product launch, we could offer our ambassadors sample-sized bars in
exchange for their feedback. If the bars are well received, we could move onto ways to incorporate
our unique packaging and fan-favorite seed packs into our new product. Working with Ecologic
Brands and the Hudson Valley Seed Company, we can develop packaging that could double as a
resealable storage container along with artistic labels that are embedded with seeds. This would
present our customers with a product in which every component can be returned to the earth
without creating unnecessary waste.
The process of this new product rollout, including remodeling our packaging and seed
packs, could take anywhere from six months up to one year. Once launched, we need to monitor
our sales of the bars, for no more than six months, before progressing into the next tier of our
action plan. Depending upon how well our initial solid bars perform on the market, we can begin
to implement concentrated formulas for our other liquid products. We should start with our best
sellers first and continue to rollout solid bar alternatives of our extensive hair care product line in
six-month increments before moving onto our body and facial products. This would help to
mitigate any potential risks and allow for us to get a good feel on how a change from bottles to
bars could affect our profits as well as our market position, but will the end justify the means?

Big Risk Equals Big Payoff—Being the newest addition to our small Seed Phytonutrients
family, I was skeptical as to how and when I should approach upper management with my
proposed solution to offer our customers a solid bar option of our products to address their
concerns. I figured one of two things could happen: I could lose the opportunity to be a part of a
growing team or I could cement my place in the company by showing that my ideas can add value.
After one year of employment and further developing this concept through brainstorming, I
decided to reach out to someone with seniority to gain their insight. Heather Guidice, our
Community Manager, is a Sustainability and Operations Leader who happened to become an
influential mentor throughout the visual thinking process (“Heather Guidice”, n.d.). Touching base
with Guidice weekly via email and phone, we were able to create a cohesive concept that we think
would work well with our mission-driven brand. Several of her suggestions have been
implemented throughout this proposal as her seniority added a seasoned perspective of our overall
business model. Our proposed solution not only addresses our customers' concerns but also takes
a look at how a move to solid bars could positively impact all areas of our operations.
This is essentially a huge move for Seed Phytonutrients and may require more tweaking
before any action is taken. I want to share this idea with the rest of the management team in hopes
that our collaboration could make this risk one worth taking. We are currently expanding into retail
stores and the timing may not be right, but could this risk reap even bigger rewards? The potential
is there. Slowly easing into the process of converting our liquid products to solid bars will help to
preserve the status quo of our company and allow us to make adjustments to our new products in
real-time. This is our opportunity to do more for our customers as well as for our environment and,
together, truly make waves within the Beauty Industry. Let’s show the world just how committed
our team is to sustainability.

Conclusion
We are on the right track, but there is always room for growth. We can always do better,
be better, and create a bigger positive impact than we have in the past. It’s a matter of considering
everything and looking at the bigger picture. If we want to continue to be the brand that paves the
way for sustainability in the Beauty Industry, then we must be the first to recognize the eco-
conscious trends of our consumers and address them in a timely fashion. We must be willing to
take the risk of exploring new ways to present our products, whether we experiment with
incorporating solid bars into our product line or take a different approach. As a collaborative force
of innovators, I believe that we have the potential to nurture our seedlings in a way that no other
brand can. We have the potential to create a greater impact.

References
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trends-skin-care-loreal-shiseido-lauder/#3ea705106982
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