Summary Statement
Gillette should work proactively to meet its global vision of being a world leader in the Indonesian shaving market by targeting a growth of 30 %. This can be achieved by adopting aggressive marketing strategy in these areas namely: increased supermarket penetration, targeting hitherto untapped rural market and product repositioning.
Situational Analysis
Context: Gillette is on the throes of capturing 50% of the market share in Indonesia and market expansion is a priority. However, personal grooming products are regarded as a luxury by many.
Company: A world leader in consumer product categories like blades and razors, Gillette aims at expanding its business operations and dominate all markets it has operations in. In Indonesia where incidence of shaving is relatively low, it is facing challenges in meeting its growth targets.
Competition: It faces direct competition from low end double edged blades manufactured by companies like Tatra and also from disposables manufactured by Bic etc. Indirectly, dry and wet knives are potential competitors as they are being used by a large chunk of shaving population.
Collaborators: Collaborators are the distributors, wholesalers, retailers and supermarket chains. It deploys 23 distributors spread across the key provinces. Relationship management, recovery of dues and working capital flows are key concerns in distributor relationships.
Consumers: Most of the present consumers fit the ‘urban male over 18 yrs’ category. College students and workforce entrants are trendsetters and are influenced by western grooming habits.
Market size
Table 2 shows that in 1995 around 13 million people in Indonesia use Gillette blades across urban and rural areas. And table 3 estimates the total available market for Gillette. Accounting for local religious customs and conception about shaving, it can be deducted that at least 15 million (20% of 72) are potential costumers for Gillette in Indonesia. This huge untapped market suggests that more effort needs to go in marketing for Gillette.
Alternatives
Proposed changes in the distribution channel
Option 1: Reduce the number of intermediaries in the distribution channel. (Rejected)
Current chain: Manufacturer – distributor- wholesaler – retailer
Each intermediary adds his markup to the cost and as a result by the time the product reaches the consumer it becomes comparatively expensive. However in the past alternative distribution strategies have failed to meet the consumer needs. The large geographical spread of the target population, lack of distribution service technologies and immature market all add to the need of maintaining the status quo.
Option 2: Impart knowledge of optimum selling strategies to the sellers.
Bright Light Innovations will be able to evaluate different segments to determine differential advantages in each of those segments. Furthermore, management will be able to determine any of the particular marketing mix for a more successful strategic plan. Market segmentation can be obtained by researching geographic data (zip code, region, etc), demographic data (age, occupation, nationality, etc), psychographic data (social status, personal type, etc), behavioral data (customer behavior), or any other data that can be beneficial to the research (Kawasaki, 2004). According to Hyman and Sierra (2010), before a service or product is introduced into the market, the marketer needs to have a good understanding of the consumer’s needs and preferences. For that reason, it is recommended that management considers all of the limitations and challenges that the Nepalese market has for the Starlight Stove. Major decisions need to be made by management to effectively make profit on this product. On the other hand, Nepal is ranked in the low-income group. There are other possible markets in South Asia that can be consider and might represent a less challenge, especially since management is looking to make profit. Bright Light Innovations needs to consider GNI numbers before deciding where this product will be launched. Because there are technology limitations in Nepal, management will need to create a marketing campaign that can be clear and easy to understand by the Nepalese citizens. Magazines are always a great source of marketing, but these can represent a challenge in Nepal since only half of the adults can read and 11% of the households have electricity. Therefore, visuals and signs can be strategically placed among the different villages to target the corresponding districts. Bright
Women and men have similar needs when it comes to hygiene, including items such as razors, deodorants, toothbrushes, etc. Recently, the removal of something called the Pink Tax has been gaining a tremendous amount of support in the last few years. The Pink Tax is an increased price on women’s hygienic items that seem incredibly similar to men’s hygienic items. The most compared item is a pack of razors that are essentially the same thing in the men’s and women’s section of the respective aisle. Throughout the history of marketing, men and women have been targeted through the use of certain colors and patterns, but drug stores seem to be putting that marketing to a new extreme and only increasing the price of women’s products. One woman
The traditional way of marketing this product was to have the sexy appeal and DSC took a different route and in a way, made fun of the razor market. DSC first put out a YouTube video that got over twenty million views getting their product known and seen my the mass media. This really got their business going as it was something different that people have never seen before. DSC made it more convenient for the customer as razors go dull quickly but are expensive to buy replaceable razors. Other razor companies are trying to add new features for their products to stand out when DSC is making it cheap and easy for customers to use their business
Overview NARS Cosmetic is a cosmetic company founded by Francois Nars in New York, US in 1994 (Hollywoodnoirmakeup.com, 2012). It is considered as one of the best-selling cosmetics and skincare products company in U.S.A, Canada, Korea, Japan, and Taiwan (Shiseido Co., 2014). Since the demand for cosmetics is growing every year and people are looking for more quality products, the company decided to open a new branch in the Middle East to have more customers and to satisfy them by making the NARS product more easily accessible. The aim of this paper is to indicate the best country among the GCC to open a new NARS Cosmetic branch by studying every country’s feasibility of a new cosmetic branch. We hope this expansion can please our customers and make better reputation in GCC countries,besides increase our profit.
Each sex is treated differently for a naturally occurring body process. As discussed, body hair is viewed as masculine, leading to the assumption that women should be hairless and men should wear their body hair with pride. It is clear that society uses hair to label individuals as either male or female (Toerien and Wilkinson, 2003). In addition, male hair is associated with strength and power (Toerien and Wilkinson, 2003). So how come when women display body hair they are shamed, but men are encouraged to grow it? Hope (1982) elaborates that the term, “feminine, when applied to lack of body hair, implies a child-like status, as opposed to the adult status afforded men” (as cited in Toerien and Wilkinson, 2003). That being said, body hair is another way in which society ranks men as the superior gender by making women conform to the hairless normative. A study conducted by Tiggemann and Hodgson (2008), asked women why they practice hair removal. After completing a questionnaire with different statements to evaluate different factors such as normativity, sexual attractiveness, femininity and self-enhancement, they found significant support in all four types of factors for hair removal of the underarm, leg and pubic area. Additionally, they can found that one item pertaining to males preferring a hairless body, was the only one linked to two factors: normativity and sexual attractiveness. It is evident with their findings that women tend to follow the socially constructed normative for many reason, including to please men. The idea is that women have to change their bodies not only to be accepted by society, but they also do so to be accepted by men. Nonetheless, the must make is seem natural and effortless to uphold the beauty allure. In recent years, depletion of male body hair has become popular. In a study performed by Boroughs, et al. (2005), they found that men removed
The "disposable razor" target market will be male population across the world. In 2002 more than 1.7 billion men over 15 years old removed hair daily with over 80% using a blade and a razor (2). These numbers show that there is a large market for razors worldwide. The "disposable razor" will first be manufactured with a regular shave gel to appeal to a large group of men. But in the long run, new and more focused groups will be targeted. Different shaving gels for different type of skins will be introduced.
The beauty industry has great opportunities for companies wanting to profit from the growth and resiliency of the sector. Finding the right niche is important for becoming visible in the industry. Communicating the unique selling point to the target group will distinguish the company from the competition so it can survive. Also, product sales are needed to earn revenue beyond the service income. The success of Sugar Wax Salon will rely on its ability to offer a beneficial service, create the right products, and promote them to the right people at the right price.
Although Unilever’s Path to Growth strategy involves all components of the general environment, two segments that are especially relevant are the global and sociocultural segments. A major strength of the company’s global environment is its geographic diversification of its major product markets. In 2003, Unilever had sales and marketing efforts in 88 different countries. The key is that it gave decision-making power to its managers in different countries so that they could tailor their products to the market’s specific preferences and consumers’ local tastes. Thus, it was the cross-country preferences of consumers that determined what products Unilever would carry. The global segment provides an enormous opportunity for Unilever. The case states that emerging country markets show the greatest potential for sales growth. Major competitors such as Procter & Gamble and Kraft Foods had sales in roughly 140 to 150 different countries in 2003, and Nestle, Unilever’s main rival, had market penetration in almost every country in the world. If Unilever is able to expand its operations into 50 or more new countries and concentrate its advertising campaign on consumer preferences, it could significantly increase its market share in the global economy.
By investing more in market research than any other company, conducting thousands of research studies and investing millions in consumer understanding every year, P&G has made a success out of articulating unspecified consumer wants and needs translating them into products. Not only is their a successful transition from idea to product, but P&G has also demonstrated global success in branding these products into household names with the logistics and distribution capabilities to translate it into meeting consumer and retailers needs satisfactorily. By translating these characteristics into continuously improving efficiency and productivity, P&G can give the best brand value to the Indian market by building relationships with consumers,businesses and retailers, making Oral B the toothbrush household name in India.
Proctor and Gamble has been expanding its markets to Brazil, Russia, India and China. Expanding into these countries has increased their purchasing power and raised the demand for their products and fragrances. Once Proctor and Gamble expands into even more countries, their market share will continue to grow significantly. Outline of Consumer Behavior and Perceptions
After studying the cosmetic market we can identify a series of needs in this market:
Rajagopal. "International Journal of Retail & Distribution Management." Emerald. Emerald Group Publishing Limited, 2011. Web. 21 Feb. 2014
The South African company Twinsaver is a famous Tissue & Hygiene producer in South Africa. This commentary attempts to explore and examine the opportunities and strategies for Twinsaver to introduce their products into Australian Tissue & Hygiene market. Firstly, this commentary will analyse this company's background, current positioning, target segmentation, and marketing mix strategies. Secondly, it will make the Australian market analysis of current Australian business environment and consumer behaviours. Twinsaver's objective is to gain access to the Australian market through a Greenfield investment to successfully sell Twinsaver's products to Australian consumers. For achieving this goal, this commentary recommends Twinsaver to adopt the wholly owned subsidiary as the entry mode; besides, Twinsaver also has to adjust the positioning, segmentation, and marketing mix strategies to be more acceptable and successful for entering Australian market.
Unilever has been around since the 1890s. According to the Unilever website 13 of their 400 brands have sales that generate an excess of €1 billion per year (Unilever). With sales that total €1 billion per year my strategy would have to cater to those who are looking for a soap that contains more natural ingredients. My company would be a small start-up that does not have the brand recognition
...rget about personal grooming, such as wearing deodorant, keeping hair neat and trimmed, this includes beards and mustaches as well.