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Tambrands
 Best selling tampon in the world with 44% global
  market share, with North America and Europe
  accounting for 90% of those sales.
 The problem: Company saw a 12% drop in its
  sales in ’96.
 Its major market is the U.S. which constitutes of
  45% of its sales.
 Tambrands officials speak highly of its potential
  for growth stating that out of 1.7 Billion women in
  the world, only about 100 million use tampons.
 They recognized this as an opportunity and divide the
  world into 3 clusters:
 Cluster 1: U.S., U.K., and Australia where women
  already use tampons and feel they almost know
  everything about the product.
 Cluster 2: France, Israel, and South Africa, where
  about 50% of the women use tampons. Some
  concerns about virginity remain and tampons are
  often considered unnatural products that block the
  flow.
 Cluster 3: Includes countries like Brazil, Russia and
  China  Here, along with dealing with the virginity
  issue, the company has to educate the women on
  how to use this product.
 The greatest challenge in the global expansion of
  tampons is to address the religious and cultural
  mores that suggest that insertion is fundamentally
  prohibited by culture.
 Tambrands isn’t targeting Muslim countries.
 Along with concentrating on its global
  expansion, Tambrands is increasing its ad
  spending in the U.S. using a tease line “Should I
  sleep with it, or not?”
 The company focuses its ads more on comfort.
  For example, “It’s sleek, smooth, and really
  comfortable to use.” (in a Brazilian ad)
 The Brazilian problem was that women felt they’ll
  lose their virginity if they use a tampon. So even
  when they go to the beach, they use pads and
  wrap a sweater around their waist.
 In reaction to this, the company came out with a
  bold new ad saying “Of course you’re not going to
  lose your virginity.”
 In China  A Chinese woman inserting a tampon
  in a test tube filled with blue water.
 “No worries about leakage” indicates another
  hoarding.
 “In any country, there are boundaries of acceptable
    talk. We want to go just left of that. “
   This was said by the creative director of the New York
    advertising agency that is creating Tambrand’s $65
    Million ads in 26 foreign countries and the U.S.
   Being a single product company it is a risky
    proposition for Tambrands to engage in a global
    campaign and to build a global distribution network at
    the same time.
   The company approached P&G for a buyout, and the
    two announced a $1.85 Billion deal.
   The move put Proctor back in the business after two
    dozen women died of using tampons from toxic shock
    syndrome.
 P&G planned to sell Tampax as a complimentary to its’ other

 feminine-hygiene products, particularly in Asia and Latin
 America.

 P&G is known for acquiring and marketing such products

 internationally.

 “P&G has the worldwide distribution network that Tampax

 desperately needs. “ said a stock market analyst, as they
 didn’t have the global infrastructure to tap into growth in the
 developing countries.

 P&G’s early attempts to market Tambrands was a failure.

 The company abandoned its marketing in Brazil saying it
 Certain competitors like Playtex Products Inc. and
  Kimberly-Clark Corp. feel creating new tampon
  markets as “Not worth the investment”.
 However, they have found open boxes in stores, that
  signifies that women are curious about the product,
  but unsure about how it worked.
 P&G has tried in-home demonstrations, counselors in
  doctor’s coats embroidered with Tampax logos speak
  in stores and almost every place that women gather.
 Counselors are taught to approach the subject in a
  dignified and sensitive manner.
 Sales have increased by 2% in Mexico after the
  program. Tampax sales had tripled in the past 12
  months.
 Based on the success in Mexico, P&G picked
  Venezuela to be its next market because its
  relatively small and its population is mostly urban.
 The party culture in Venezuela led P&G
  marketers to conclude that Tampax advertizing
  could be racier in Venezuela.
 P&G encountered a problem with its slogan that
  “ignorance is the mother of all myths”, because in
  Latin American culture ignorance and mother
  don’t go together.
 In the end they unveiled and ad that said “Its time
    to change the rules.”
   P&G has always been and aggressive and early
    adopter of new media. It stepped up its internet
    activity to use the web as a marketing medium.
   Its idea was to attract consumers to interactive
    sites that will be of interest to a particular target
    group, with the hope of developing relationships
    with consumers.
   Its first step was to launch a website for Teenage
    girls with information on puberty and
    relationships, promoting products such as
    Clearasil, Sunny Delight, and Tampax.
   The website www.beinggirl.com was designed
    with the help of an advisory board of teenage
    girls.
Analysis:
According the case and knowledge above-
 The P&G should not continue with Tambrands's
  original goal - market to each cluster in a similar
  way - adapted to the new educational program. The
  reasons are bellow:
 When Tambrands marketed the market in cluster 1,
  the countries in cluster 1 are more open and more
  educated. There is not so much problem for selling
  tampon there. But in cluster 2 and cluster 3, the
  companies are almost facing the same problems,
  those are:
 People are low educated
 People are lack of the knowledge of using tampon.
  They do not know about the tampon with what it is,
  how it works and how to use it, and also according
  their unknowledgeable thinking, which it is going to
  lost virginity of using the tampon.
Religion influences

 The people who live in the countries in market cluster
  2 and 3, they have strong religion belief in virginity.
  And also according their religion they believe that
  "you will lose your virginity with a tampon."
 Advertising is used to reach large numbers of
  consumers who are geographically dispersed. Culture
  is 'learned' behavior, which has been passed down
  over time. It is reinforced in our daily lives through the
  family unit and educational religious institutions.
  Innovation matters because it can deliver high value-
  added products and services, new, cleaner and more
  efficient production processes and improved business
  models.
 The change requires customers to give up long-
  standing habits. But customers who are comfortable
  with a certain routine may resist new products.
Overcome the Resistance

The P&G could use some ways to overcome the
  resistances:
 School Health Education
 Start educated people about the using of tampon
  knowledge from young. P&G and Tambrands
  should continue to find the countries which have
  school health education, in order to teach women
  about it works and how to use it.
 Tupperware Parties
 It is learned, that is, acquired by customers over
  time through their membership in a group that
  transmits culture from generation to generation.
 According the religion, some customers are shy to
  open the mouth for asking about the tampon. Then it
  is a good idea that P&G use the website to attract the
  group of customers' interests and to develop deeper
  relationships with customers.
Adverting of Using Models
 Using the famous models and explains they won't
  lose their virginity with a tampon is a good idea also. It
  can influence a group of customers to eager to know
  what it is; how it works and how to use it also.
 The concept of culture is broad and extremely
  complex. It includes virtually every part of the person's
  life. Culture does not stand still, but slowly, over time it
  may change. Cultural differences are not necessarily
  visible but can be quite subtle and can surface in
  situations where one would never notice them
 According to the case, it might be possibility of
 using the approach taken in Venezuela and
 Mexico to educate Brazilian consumer in the use
 of tampons. Because the countries of Venezuela
 and Mexico has the similar culture, if it works well
 in Venezuela then it might work well in Brazil also.
Conclusion
 From the case given, the major impact that will affect the
  Tambrands and P&G to market its product - tampon in
  different countries will be one culture, religions and the
  resistance of the innovations. There are many reasons why
  people resist change, according this case given, the biggest
  problem is the people wonder about "it is going to lose
  virginity of using tampon." Therefore, in order to do business
  in different countries, it is compulsory to understand the
  culture and also the religions regulations.
 To conduct business successfully across national boundaries,
  marketers of P&G and Tambrands must adapt themselves to
  local cultures and do understand the religion. And also the
  advertisement should obey their culture and religions.
 For cultural adaptation, P&G and Tambrands need to know
  the importance for developing an understanding of foreign
  situations. And create some good ideas to overcome the
  resistance of culture changing (Such as School health
  education; Tupperware parties; Media & Web & Internet;
  Adverting of using Models.) to gaining trust of people to using
  tampon.

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Tambrands ppt

  • 1. Tambrands  Best selling tampon in the world with 44% global market share, with North America and Europe accounting for 90% of those sales.  The problem: Company saw a 12% drop in its sales in ’96.  Its major market is the U.S. which constitutes of 45% of its sales.  Tambrands officials speak highly of its potential for growth stating that out of 1.7 Billion women in the world, only about 100 million use tampons.
  • 2.  They recognized this as an opportunity and divide the world into 3 clusters:  Cluster 1: U.S., U.K., and Australia where women already use tampons and feel they almost know everything about the product.  Cluster 2: France, Israel, and South Africa, where about 50% of the women use tampons. Some concerns about virginity remain and tampons are often considered unnatural products that block the flow.  Cluster 3: Includes countries like Brazil, Russia and China  Here, along with dealing with the virginity issue, the company has to educate the women on how to use this product.
  • 3.  The greatest challenge in the global expansion of tampons is to address the religious and cultural mores that suggest that insertion is fundamentally prohibited by culture.  Tambrands isn’t targeting Muslim countries.  Along with concentrating on its global expansion, Tambrands is increasing its ad spending in the U.S. using a tease line “Should I sleep with it, or not?”  The company focuses its ads more on comfort. For example, “It’s sleek, smooth, and really comfortable to use.” (in a Brazilian ad)
  • 4.  The Brazilian problem was that women felt they’ll lose their virginity if they use a tampon. So even when they go to the beach, they use pads and wrap a sweater around their waist.  In reaction to this, the company came out with a bold new ad saying “Of course you’re not going to lose your virginity.”  In China  A Chinese woman inserting a tampon in a test tube filled with blue water.  “No worries about leakage” indicates another hoarding.
  • 5.  “In any country, there are boundaries of acceptable talk. We want to go just left of that. “  This was said by the creative director of the New York advertising agency that is creating Tambrand’s $65 Million ads in 26 foreign countries and the U.S.  Being a single product company it is a risky proposition for Tambrands to engage in a global campaign and to build a global distribution network at the same time.  The company approached P&G for a buyout, and the two announced a $1.85 Billion deal.  The move put Proctor back in the business after two dozen women died of using tampons from toxic shock syndrome.
  • 6.  P&G planned to sell Tampax as a complimentary to its’ other feminine-hygiene products, particularly in Asia and Latin America.  P&G is known for acquiring and marketing such products internationally.  “P&G has the worldwide distribution network that Tampax desperately needs. “ said a stock market analyst, as they didn’t have the global infrastructure to tap into growth in the developing countries.  P&G’s early attempts to market Tambrands was a failure. The company abandoned its marketing in Brazil saying it
  • 7.  Certain competitors like Playtex Products Inc. and Kimberly-Clark Corp. feel creating new tampon markets as “Not worth the investment”.  However, they have found open boxes in stores, that signifies that women are curious about the product, but unsure about how it worked.  P&G has tried in-home demonstrations, counselors in doctor’s coats embroidered with Tampax logos speak in stores and almost every place that women gather.  Counselors are taught to approach the subject in a dignified and sensitive manner.
  • 8.  Sales have increased by 2% in Mexico after the program. Tampax sales had tripled in the past 12 months.  Based on the success in Mexico, P&G picked Venezuela to be its next market because its relatively small and its population is mostly urban.  The party culture in Venezuela led P&G marketers to conclude that Tampax advertizing could be racier in Venezuela.  P&G encountered a problem with its slogan that “ignorance is the mother of all myths”, because in Latin American culture ignorance and mother don’t go together.
  • 9.  In the end they unveiled and ad that said “Its time to change the rules.”  P&G has always been and aggressive and early adopter of new media. It stepped up its internet activity to use the web as a marketing medium.  Its idea was to attract consumers to interactive sites that will be of interest to a particular target group, with the hope of developing relationships with consumers.  Its first step was to launch a website for Teenage girls with information on puberty and relationships, promoting products such as Clearasil, Sunny Delight, and Tampax.  The website www.beinggirl.com was designed with the help of an advisory board of teenage girls.
  • 10. Analysis: According the case and knowledge above-  The P&G should not continue with Tambrands's original goal - market to each cluster in a similar way - adapted to the new educational program. The reasons are bellow:  When Tambrands marketed the market in cluster 1, the countries in cluster 1 are more open and more educated. There is not so much problem for selling tampon there. But in cluster 2 and cluster 3, the companies are almost facing the same problems, those are:  People are low educated  People are lack of the knowledge of using tampon. They do not know about the tampon with what it is, how it works and how to use it, and also according their unknowledgeable thinking, which it is going to lost virginity of using the tampon.
  • 11. Religion influences  The people who live in the countries in market cluster 2 and 3, they have strong religion belief in virginity. And also according their religion they believe that "you will lose your virginity with a tampon."  Advertising is used to reach large numbers of consumers who are geographically dispersed. Culture is 'learned' behavior, which has been passed down over time. It is reinforced in our daily lives through the family unit and educational religious institutions. Innovation matters because it can deliver high value- added products and services, new, cleaner and more efficient production processes and improved business models.  The change requires customers to give up long- standing habits. But customers who are comfortable with a certain routine may resist new products.
  • 12. Overcome the Resistance The P&G could use some ways to overcome the resistances:  School Health Education  Start educated people about the using of tampon knowledge from young. P&G and Tambrands should continue to find the countries which have school health education, in order to teach women about it works and how to use it.  Tupperware Parties  It is learned, that is, acquired by customers over time through their membership in a group that transmits culture from generation to generation.
  • 13.  According the religion, some customers are shy to open the mouth for asking about the tampon. Then it is a good idea that P&G use the website to attract the group of customers' interests and to develop deeper relationships with customers. Adverting of Using Models  Using the famous models and explains they won't lose their virginity with a tampon is a good idea also. It can influence a group of customers to eager to know what it is; how it works and how to use it also.  The concept of culture is broad and extremely complex. It includes virtually every part of the person's life. Culture does not stand still, but slowly, over time it may change. Cultural differences are not necessarily visible but can be quite subtle and can surface in situations where one would never notice them
  • 14.  According to the case, it might be possibility of using the approach taken in Venezuela and Mexico to educate Brazilian consumer in the use of tampons. Because the countries of Venezuela and Mexico has the similar culture, if it works well in Venezuela then it might work well in Brazil also.
  • 15. Conclusion  From the case given, the major impact that will affect the Tambrands and P&G to market its product - tampon in different countries will be one culture, religions and the resistance of the innovations. There are many reasons why people resist change, according this case given, the biggest problem is the people wonder about "it is going to lose virginity of using tampon." Therefore, in order to do business in different countries, it is compulsory to understand the culture and also the religions regulations.  To conduct business successfully across national boundaries, marketers of P&G and Tambrands must adapt themselves to local cultures and do understand the religion. And also the advertisement should obey their culture and religions.  For cultural adaptation, P&G and Tambrands need to know the importance for developing an understanding of foreign situations. And create some good ideas to overcome the resistance of culture changing (Such as School health education; Tupperware parties; Media & Web & Internet; Adverting of using Models.) to gaining trust of people to using tampon.