Transcript of "Blue Spa [Brand Management] Pratik Negi"
14097000<br />INTERNATIONAL INSTITUTE OF PLANNING AND MANAGEMENT<br />AHMEDABAD<br />SUBMISSION<br />ON<br />DESIGNING THE BRAND STRATEGY ALONG WITH THE MARKETING<br />PROGRAMS FOR IMPLEMETATION WHILE LEVARAGING THE SECONDARY<br />BRAND KNOWLEDGE TO BUILD THE BRAND EQUITY IN DETAIL<br />FOR<br />BLUE SPA<br />Submitted To:<br />Prof. Dr. RAJIV PANDIT<br />Submitted By:<br />Pratik Negi<br />SS/09-11/ISBE<br />About the Sector we are discussing about <br />Market Trends – Male spas. Teen spas. Foot spas. Medical spas. The unveiling of very specific market niches has become increasingly popular as the spa industry has grown exponentially in the last few years, and spa developers are creating niches to beat the competition. Chambers and Collier also believe 2006 trends will see an increase in chain spas (similar to McDonalds in the fast food world) available in malls and shopping complexes that service to a mass market with treatments available at a lower price point. <br />Environmental Issues – Slowly, developers will be more consciousness about environmental awareness and build more “green” spas, those which are energy efficient, conserve water, utilize recycled building materials, and are built in a way that minimizes the impact on the environment, among other things. Many spa products already use all-natural ingredients and are packaged in recyclable plastic containers or refillable bottles. There are also many products that donate a portion of proceeds to an environmental charity or back to the community. <br />Government Issues – The government’s involvement will be increasing in defining Medical Spas and its licenses, practitioners and regulations. In 2005, lobbying concerning employee wages (minimum hours vs. flexible hours), tracking tips and compensation will see more results and changes in 2006. <br />Health and Sanitation – Consumer awareness is on the rise about the risks and dangers associated to spas and the cross-breeding of bacteria by guests. New spa products and equipment have developed to aid in bacteria prevention, such as pipe less pedicure chairs. Chambers and Collier wouldn’t be surprised if inspection ratings will be required to be posted for public display (similar to restaurants in some parts of the country) in the near future. <br />Operational Issues – As competition increases, Spa Directors will be forced to run a more efficient establishment operationally, cutting unnecessary costs, tightening front desk operations, running more effectively and taking advantage of unique marketing and sales opportunities.<br />About the Company<br />The Company <br />Blue spa as an important brand that represents quality in<br /><ul><li>skin care
Accessories</li></ul>Accomplishment of task by<br /> High quality manufacturing and research<br /> Creative marketing program<br /> Comprehensive distribution network<br /> Brick retail outlet<br /> <br /> Mortar retail outlet<br /> Internet presence<br /> Consumer catalogue<br />Units <br />France and California<br />Product Lines<br />@ Skin Care product line -- eye makeup removers, cleansing<br /> Creams, facial scrubs and masks, and body lotions<br />@ Fitness apparel -- Lycra products such as tights and shorts, plus polyester, cotton tops<br />The market -- To attain a unique market position.<br />Brand Categorization <br />Skin care<br />Cosmetics<br />Fitness apparel<br />Accessories<br />Thus for creating the Brand strategy for Brand strategy along with marketing program leading to develop the brand equity model. We have to penetrate deep into the 3 sectors that we are looking into<br />The market<br />The customer<br />The finance required<br />The market <br />Unique position to be acquired<br />Specialty product line in all the 4 major segments<br />Quality and price index may vary in each line<br />Creating new openings for profit.<br />Bluespa will be positioned as a quality brand.<br />The Customer<br />Dual layer retailing<br />Customer (end users and whole sellers)<br />Distribution in all age groups<br /><ul><li> reach the consumer through four distinct reseller channels.
@ Boutique Department Stores.</li></ul>Financial<br />Sales at Bluespa retail stores are planned to grow rapidly from Year 1 through Year 5.<br />Mission<br />To establish Bluespa as an important brand that represents quality in skin care, fitness<br />apparel and accessories. We will accomplish this in the following ways:<br /><ul><li>High quality manufacturing and research.
A vertical retail presence in brick and mortar, catalogue and e-commerce.
The creation of a "buzz" about this "hot...new" brand among opinion leaders
through a combination of PR and product placement</li></ul>About the company<br />Blue spa is a company that has created a brand concept consisting of both skin care and<br />Athletic apparel utilizing multiple channels of distribution. The plan that follows explains market, value proposition and market segmentation strategy. The detailed financial plans provide a clear view of our sales and profit forecasts. These plans show how Blue spa will reach profitability in third year of operation and generate shareholder return on equity within five years. Skin and body care products will be developed and produced at our contract facilities in France and California. Production of apparel products will be managed through our contract manufacturer of sport-related apparel. Production of accessories will be managed through a contract with a manufacturer of quality sports-related accessories including: bags, hats, totes and socks for the wholesale market<br />Concept of Brand strategy<br />Developing a brand strategy can be one of the most difficult steps in the marketing plan process. It's often the element that causes most businesses the biggest challenge, but it's a vital step in creating the company identity. <br />Your brand identity will be repeatedly communicated, in multiple ways with frequency and consistency throughout the life of your business. <br />BLUE SPA<br />PRODUCT-LINE BRANDING STRATEGY<br /> <br />Here, the products appear under the same brand name and possess the same basic identity but with slightly different competencies for example Follow Me line of hair shampoos. Here the brand line comes under the hair-care category but the different line extensions cover complementary applications of essentially the same product <br />Advantages therefore are economies of scale in advertising and promotion and each new line extension strengthens the position of the brand and therefore its image. The line helps defend the category from predatory attack. Hence, individual product brands can move across to line brands as companies find ways of extending the brand to different consumer groups or segments. <br />Why Product line Branding Strategy<br /> <br />Because the Brand is coming in new existence and thus the chances of survival of every product item is not secure. Thus marketing a single product the expenses on advertisement becomes way expensive and to promote a brand in this manner is cost and time saving exercise<br />How Product line Branding Strategy helps<br />Its major effect is on the Line category that becomes a Brand in itself in due course of time. so any product item that is present in this range doesn’t find difficult to make its mark.<br />In Bluespa case<br /> Skin Care Fitness Apparel <br /> Biocatalyst tonic (eye makeup remover) Long sleeve poly pique v-neck<br /> <br /> Cleansing cream Long sleeve poly pique mock<br /> Multi protection day cream Lycra jacket hip length <br /> <br /> Regenerating facial scrub Lycra pant <br /> <br /> Hydrating cream mask Lycra tight<br /> Purifying cream mask Lycra short<br /> Peel off face mask Lycra long sleeve crew top<br /> Royal sea cream Rib cotton. Etc<br /> Body lotion<br /> <br /> Super firming gel<br /> <br /> Tensing and regenerating cream<br /> <br /> Sparkling sex pebbles<br /> <br /> Smoothing after sun gel<br /> Sun care hydrating milk<br /> Anti aging protective<br /> <br />Reason <br />If we go ahead with other strategies then <br />PRODUCT BRANDING STRATEGY then the products distribution is wide and covering about only 2 sectors thus to cater every product in the market will be an add on cost. Plus will be products range is somewhat similar, so might create confusion with customer base that is majorly niche <br />PRODUCT BRANDING STRATEGY The products are not that distinct to go with it. And the line items are working in only 2 categories thus this will add to the confusion among customers.<br />PRODUCT- RANGE BRANDING STRATEGY the functionality of every product is different that will add to the benefit to the customer in a distinct manner be it in the apparel range or the cosmetics.<br />CORPORATE BRANDING STRATEGY First the name of the corporate can be used but its not a guarantee that every product item may be a success story so we have to understand the fact that if line branding is used. The end consumer will understand that the company is giving such products but they may be different when used.<br />Details and Depth of line branding strategy-<br />For the branding Blue Spa will going to the following factors and this will helps to create the hygienic brand are as<br /><ul><li>Consider the upper class of the societies may use different product from other manufactures
Will not Consider only high income person rather average income group with more penetration
Provide a range of the lined sequence products
Consider the high educated and health conscious customers later the individual products may make their own mark.</li></ul>Therefore the above factors are to be considered by the company for making a brand. Other than it company creates awareness through the advertising and the events etc for the branding.<br />Reason to adopt line branding-<br /> The price of the products in the apparel range is somewhat uniform <br /> Distribution and innovation is the reason for the line branding in cosmetics line of the company.<br />Plus wholesale distribution and retailing will be able to better project the line items.<br />Implementation<br />For the branding company will going to consider the following branding strategy as-<br /><ul><li>Dual and endorsed brand
Multiple product strategy</li></ul>Marketing strategy <br />For the Skin care segmentation strategy and penetration in the market, that will guide to the competitive approach of the company to race against the other players in the market, Spa products are for the elite customer class but the company can utilize the products for average scale users for the mass scale usages.<br />For the apparel range the apparel market is full of competition thus. And the future ventures and the product range they are about to launch are already available. Rather it would be beneficial for the Bluspa to cater the product line to High and middle income group to make up the brand name. so that the image of the company doesn’t reflect the uniformity of the <br />Brand equity in detail-<br /> Skin Apparel<br />Bluespa<br />Overall positioningOf both the product line in uniform way <br />Transferable-Line categorization helps Continuous Product improvement in both lines<br />Communication strategy<br />Working independently<br /> For both line <br /> <br />Adaptability will increase with line distinctionLikeable –products are innovative in both lines <br /> d<br /> <br />BY<br />Pratik Negi<br />ISBE SS (09-11)<br />Roll number-- 27<br />