- Driving the transition into a mega beauty brand Team Phoenix Sayan Aditya
Joel Abreo Table of contents1. Introduction............................................................................................................ 32. Issues Veet facing at present.................................................................................. 33. Penetrating the HR category further....................................................................... 4 i. Veet Beauty Stops...................................................,,............................................ 5 ii. Veet Beauty Studio............................................................................................... 7iii. In Parlour merchandising and trained experts....................................................10iv. Communication program (1st phase)...................................................................114. Driving the transition into a total beauty brand...................................................14 I. Engagement through TV shows...........................................................................15 ii. Event based marketing....................................................................................... 16iii. Veet Beauty Gang............................................................................................... 17iv. Attributes and associations extended................................................................ 195. Categories to Penetrate....................................................................................... 20 i. Body care............................................................................................................ 20 ii. Facial Care...........................................................................................................22iii. Sun Care..............................................................................................................23iv. Shower care........................................................................................................ 24v. Packaging............................................................................................................. 25vi. Ad campaign phase 2.......................................................................................... 256. Timelines of marketing initiatives (5 year).......................................................... 277. Driving the connection amongst brand lines...................................................... 28 29
8. Long term financial growth of the brand............................................................ We look to transform Veet from an Rs 110 cr brand to Rs 469 cr brand in the next five years. Introduction Veet has been the leading player in the Rs 300 cr hair depilation market in India with close to 33% market share. As we analysed the present scenario, we felt that Veet’s future success will depend on how it plans it strategies to drive the transition into being a sole beauty care solution provider. This analysis deals with mainly the ideas and associations to be leveraged to drive the transition to a total beauty care provider and it also focuses on identifying prospective categories in which Veet will drive its category extension with marketing programs to support such a drive. The analysis also deals with ideas to penetrate the hair removal category further by driving the usage of Veet HR products in high quantity usage areas. In the end this document analyses Veet long run positioning and steps to sustain high growth trajectory in the long run. All the work has been supported with data from primary research in Beauty parlour and customer interviews in New Delhi, Kolkata and Ghaziabad. Issues Veet face at present How Do I penetrate the HR category further? How do I make Veet a high quantity consumable product?What is my long term How do I drive the brandpositioning? How do I association transition into sustain Growth? a complete beauty care provider? If I am able to drive the association transition which category should I enter and how do I enter
Penetrating the HR category further The hair depilation category has seen robust growth during the last seven years with Veet transforming itself into a Rs 110 cr brand. But growth seems to slow down during the last couple of years. Though huge scope of growth exists but certain barriers are stemming the flow. 1. The socio psycho mentality of Indian women of doing hair depilation of arms and legs (the area of maximum usage) in beauty parlours. 2. Myth generated about Veet cream usage and its ill effects on skin. The Veet creams and wax strips are being used as an emergency solution not for regular usage as testified by the sales of low quantity SKU’s. How do we solve the Problem Engage Educate CommunicateVeet Beauty Stops In-parlour merchandising Offline two phase advertisementsVeet Beauty Studio Trained B2B beautician experts and sales force We will overcome the above problems through a set of five marketing initiatives as mentioned above and try to derive synergy effect to maximise impact as showcased by the connecting lines. Not only this, these initiatives will lay the foundation for Veet’s transformation into a total beauty solution provider.
Veet Beauty Stop - Leveraging association with popular, local parlours Veet Beauty Stop An initiative by Veet to engage local parlours that provides beauty solutions on the lines of Veet Beauty Studio. Beauty parlours are a place where women are pampered and made to look more beautiful. Merchandising and Marketing through billboard, in-parlour promotion at these places can enhance Veet’s brand presence, awareness and recall. Trained B2B beauty experts will take on the task of providing guidance on hair depilation techniques in these parlours in the short run (next 6-8 months) and guidance on hair care, facial care, and body care in the medium run as Veet transforms itself into a total beauty solution provider brand (25-48 months) .Airtel has successfully executed this strategy of associating with local retail shops to increase their brand recall and thus frontline sales. Those retail stores are known as “Airtel Centre”. So what has Veet Beauty Stop to offer to parlours?Most Beauty parlours do not have good signage or the lighted billboard that displays theirparlour name. Veet will provide the signage according to the picture shown above. The retailergets good display and Veet also enjoys high recall.Trained B2B beauticians and hair depilation experts will provide training and advice toexecute beauty treatments. They will educate the parlour operators about the benefits ofVeet Cream application leaving a smooth effect. Also the possibility of repeat business withthe customers should be alluring enough since creams may need application in a month again.Special discounts on bulk purchase of Veet creams and strips. Also a monthly payment to thetune of Rs 300-700 on maintaining in-parlour posters of Veet beauty care tips. Such posterswill talk of tips to stay beautiful, hair depilation solution and online beauty groups (Veet
A Point to remember Hair Depilation in arms and legs are mostly done at parlours. How will Veet gain from the Veet Beauty Stops? When users will see the ease of use and quality and smoothness of skin after application of Veet creams in arms and legs at these parlours they will go for repeat usage. From here on our High Brand recall, awareness. communication strategy through various media will start Veet gains association as highlighting self usage and its providing beauty solution benefits. Thus our target to make women apply Veet in arms and legs will be achieved. In store merchandisingA possibility to sell hair Advantage will educate, inform depilation solution customersthrough parlours. B2B Veet Beauty sales will start. Stops A route will be opened to sell Parlours when they perceive of further brand extensions of Veet good business will switch to Veet. through Parlours. Applications in A customer gets to see Veet’s ease arms and legs will start off from of application in salons here So what investments and returns are we talking about?We are looking to target 40-50 parlours per city in India’s leading 15 cities initially. The cost of merchandising atthese places will be Rs 6000 for signage and Rs 2000-3000 for additional merchandising and promotions. Rs9000 per salon talks of an investment of 61 lacs.An average of 250-300 women visits these parlours per month. When we put the picture together we aretalking of 1.86 lac women in a month. This is our specific TG. So business at parlours as well as when they switchto self application the returns can be very high. Parlour-Rs 100 for 60% TG and self application for 30% TG-Rs 80a month gives us INR 1.55 crores revenue per month initially.Probability of women using Veet products at home when they see ease of usage and smooth skin benefits fromsalon applications is very high. So the 30% TG we took initially for self application will go up with time. Also forthose women who will depilate in parlours we get to sell to them also through B2B route.
Veet Beauty Studio - Delivering complete beauty solutionVeet Beauty StudioThe visit to Beauty parlours is rooted in the socio-psycho mentality of Indian women. It is a placewhere they go to look beautiful (by doing pedicure, manicure, hair depilation, facial cleansing etc)and attractive. An immediate communication to convince them to self empower can only be futilebut the transition can me made slowly. We will reach out to this beauty parlour going segment andoffer them beauty solutions through a service offering: A set of owned beauty parlour (Veet BeautyStudio) in top 15 cities in India and also through marketing initiatives with local and popular beautyparlours (Veet Beauty Stop).So what is Veet Beauty Studio? A service offering from Veet to engage and educate its target group about beauty solutions. It’s a beauty parlour in simple terms but with a singular focus to deliver overall beauty solutions that give women attractiveness and confidence It will be a part of our brand building effort to position Veet in the medium run as a beauty brand: one that delivers solutions that make you look good and confident. Veet Beauty Studios to be opened up in top 15 cities in India. It will be positioned in the medium price range with leading beauticians appointed to run the studio. The customer’s takeaway after experiencing the service: world class ambience, highly trained beauticians, good products being used and “I feel good. I look good “ Veet Beauty studio will also be a spot to educate and empower customers. During beauty visits at the studio customers would be provided expert counselling and advice to stay beautiful. Counselling can be on good smooth skin care, how to get healthy glowing skin, hair care etc. Initially except for hair depilation we would use products for hair care, pedicure, and manicure from other players. But Veet studios association with providing beauty solutions would pave the way for us to introduce brands in these segments in the medium run.
A point to remember Veet Beauty studio will What Service will it offer? not address short term needs of increase sales but will build long term brand equity and association: “A beauty Veet Beauty solution provider”. StudioBody Ayurvedic Manicure, Hair Cut, Hair Hair depilationmassage, Rejuvenation Pedicure, Spa colouring, Hair solutions: withBody Polish, treatments, Facials, Bridal straightening an emphasis toBody Wraps Hydrotherapy Make ups promote our spa brand Why Veet Beauty Studio? Is there a need to undertake such service offering? Yes. For Veet to become a mega brand it has to entrench associations in the minds of its TG that it’s a beauty solution provider. Once the association is entrenched line and category extension will be seamless since a beauty solution provider can introduce products in: Hair care, facial care, and fragrance and shower category. Reason 2. “Catch them where they go”-It’s difficult to switch parlour and spa visitors to self empowerment for hair depilation at one go. So we have to engage them at a place they are fond of going and empower, educate them there. Reason 3. Brand awareness and recall: Veet beauty studios will be a live marketing place for the brand, a chance for the brand to enhance awareness and recall through it. Beauty studios will not only augment future brand sales but will provide a place for its initial demonstration and usage.
So where do we launch it? And on what business model?Veet Beauty studios will be launched in leading metros: Delhi, Mumbai, Kolkata and Chennai. Theparlours will be a wholly owned subsidiary of Veet at these metros. We intend to launch at least twoparlours per city in the 1st phase.As business expands and as this service offering gains popularity we can go through the franchisee route.The company can maintain 40-60. 40% of Veet parlours can be company owned where as 60% can befranchisee ownedVeet Beauty studios to be set up at semi prime locations. Mall space is preferable and ample of localmarketing to bring in customers. A parlour in a mall can bring in regular window shoppers if goodprograms are running in the studio. Through a combination of these two marketing initiatives we aim to engage our target group with the brand further.
In parlour MerchandisingAs we have already mentioned the Veet beauty stops and Veet Beauty studio will be a place toeducate and speak to our customers. This will be primarily done through posters of beauty care tipsand hair depilation techniques and benefits within the parlour.The parlour owner gives us space to merchandise since we pay him a monthly display fee of Rs 400-700 depending upon the location and city. Not only that we are providing him with signage that costclose to Rs 6000. Also if a customer starts using Veet cream at his parlour and sees its effectivenessshe may want to do repeat usage in a month’s time. So the prospect of repeat business and higherrevenues gives him enough reason to merchandise with Veet.The in parlour posters will be something like this. Trained beauticians and B2B sales forceBeauticiansVeet will be partnering with some leading Beauty training institutes to train a set of beauticians forits B2B parlour education programs. The purpose of this force will be to provide guidance on newbeauty care techniques with a main focus on hair depilation techniques and benefits. They will
educate the operators on the benefits of smooth skin and chance of repeat business since creams might need application in a month’s time. They will also provide free guidance on other beauty treatment issues to parlour operators. The special “Veet Beauty Studio” fleet of beauticians will be also receiving regular training at the partner institutes to continue giving best beauty care solution to our customers. B2B sales force This sales force will be specifically trained to deal with merchandising and sales at local beauty parlours (Veet Beauty Stop). Their purpose will be to visit Veet beauty stop once a week to check merchandising and display as mentioned above and also to sale Veet creams and wax strips at these places. They can be integrated with RB’s general sales force but a special focus on parlours has to be there to achieve our objectives. Beauty trainers B2B sales force Train parlour Provide Hair Merchandise at Sell Veet Productoperators on beauty depilation advice local parlours lines techniques - Drive Veet’s sales volume up -Associate Veet with beauty solution provider Communication Program-Phase 1 Veet’s communication program to focus on three main aspects:- Phase 1: 1. To show viewers the benefits of application in arms and legs (Leaves a smooth moisturized skin, can be done in 3 mins, great fragrance).
2. Idea of self empowerment that comes through Veet 3. Usage occasions (going on a night out, or a family function or be it office special day). These advertisements will be running for a period of 4-6 months since this would mainly cater to our ambition of growing the category and penetrating HR market further with repeat usage in arms and legs. Phase 2: (Month 8 onwards) after this phase the round two of communication will again switch to emotional branding and towards our target of transforming our brand into a total beauty care solution provider. We have developed storylines for our ad campaigns and how it can be executed to highlight our three objectives in phase 1. Storyline 1 Storyline 2 User faces an urge to look beautiful in This ad will incorporate the idea of self a friends function. But she wants empowerment. A busy working lady has smooth skin for her to wear a nice an office party in the evening. But she is dress. She’s upset since her not so also a wife and a mother. So when she smooth legs will look bad in such a returns home she has some household dress. Katrina Kaif arrives and gives work before she can go for the party. her the solution to get a smooth, She doesn’t have time to go to a parlour moisturized and beautiful skin- that but she wants to get a smooth skin in too in three minutes. The process of her arms and legs for her to wear a nice application is shown and the before dress. She’s baffled- Here Katrina comes afterglow and smoothness of skin in in and gives her the solution to a arms and legs is highlighted-with the smooth, moisturized skin- all in 3 mins- idea of getting all these in just three “U can do it yourself, it’s easy”. Ad minutes. Ad ends with “Stay Beautiful ends with the tagline “Stay beautiful with Veet” with Veet” Ad campaigns Phase 1-Our initiatives with local -The following primary -The following secondaryparlours and our own beauty attributes will be associated attributes will bestudios will already drive the with Veet after these associated: selfengagement and education initiatives: smooth skin, empowering, quickprogram of benefits of Veet moisturizes skin, beauty solution to stay beautifulapplication in arms and legs. care provider, strives to With a back imagery ofThe ad campaign will extend make you look beautiful
Driving synergy association with the five marketing initiatives to penetrate HR category further Veet Beauty studio Increased usage of and Veet Beauty Veet creams at home Stop association by users. Increased application in arms and legs Advertising (advertisement Present- Veet campaigns effects)providing smooth highlighting usagemoisturizing skin occasions, self benefit empowerment, functional benefits Veet’s brand association stretch:- Trained beauty experts and Smooth moisturizing in parlour merchandising skin to a beauty care theme of “Stay beautiful brand giving smooth with Veet” moisturizing skin A Point to remember Tempting but we stayed away While we try to build volumes in the Veet for Men was an option we thought to hair removal category further our increase HR market size. But the Indian male initiatives taken so far has already category is not yet ready in bulk to embrace on started our transition towards being hair removal where presence of body hairs is perceived as a beauty care provider still considered to be a sign of masculinity. with attribute association of making Only models and people who need to show women look beautiful. body does hair removal. Hence the category is still nascent. Also if we started our The next section drives this communication with Veet for Men our association further. transition into a total beauty brand with smooth skin would have been jeopardised. So as of now we put this category on hold and once Veet has transformed totally we can foray into this zone.
Driving the transition into a total beauty care brand So far in the initial 6-8 months we would be looking to entrench our foothold further in the hair depilation market. But after that our marketing initiatives will be lined up to fortify associations of: total beauty care solution provider-the connect we already started to have with the past 5 initiatives meant to penetrate the brand further in the HR market. So how do we drive this transition? The success of any brand transforming itself will be if the audience relates to the brand transition. If Veet can position itself as beauty solution provider with smooth skin benefits we can add an extra differentiator (Natural Extracts) for purchase trigger to introduce Veet Beauty bar (Soap category) with Jasmine extracts, Veet Beauty lotion (body care category) with peach milk extracts, Veet beauty wash (face wash and cleansers) with neem extracts etc. These are just examples and detailed category extension will be dealt with in later section. But the point is that if we are successful in making the audience perceive and associate Veet with beauty care and looking beautiful half the job of transitioning is complete. That’s what this section deals with. How to drive such association? Brand transition DriveAssociation with TV Event based marketing- Veet Beauty Gang- Ripple over effect ofshows Veet Beauty pageant Online user community Veet Beauty Studio and hunt 2012 Veet Beauty Stop
Engagement programs through TV shows Television Shows Veet will be marketed through Television shows in order to establish its equity in the form of a beauty care provider. The current viewership is very high in case for youth channels like Channel V, MTV and UTV bindaas. A lot of brands are trying to connect with its target group and establish equity like Pulsar Stuntmania (MTV), Axe your EX (Channel V), MTV hero Honda Roadies (MTV), Coke Studio (MTV) etc. The idea is very clear while the viewer gets hooked on to the show the brand is present there to make a statement. You don’t have to fight it out during advertisement times when viewer mostly switches off.The show to focus on being a platform to share ideas through fun and entertainment on how to staybeautiful. VJ’s will be sharing tips and ideas on latest beauty trends, style and fashion update.Experts would be called in to provide opinions and advice. Viewers would be engaged in the form ofcontests and then called in the show to experience a beauty makeover at Veet Beauty studio. Secretsabout smooth skin care and natural extracts will also be showcased during the show.
Sole purpose of having such a show will be to transform viewer perception of Veet being just a hairThis program would be associated with events in future which Veet will organise removal product to something that provides smooth skin and ultimate beauty care solutions.like Miss Mumbai, Miss Delhi in different cities with a goal to identify the beautypageant in India. Auditions to be held followed by series of rounds. Somethinglike “Gladrags mega model Hunt” Engagement programs through Events Event based marketing To someone who doesn’t know what is GLADRAGS...we asked what do u think when “Gladrags” name is taken...They said “fashion”. Why?? Since it’s associated with Gladrags Mega model hunt every year!! This initiative would be meant to associate the brand with beauty events like Miss India and Miss universe. Currently Veet has a promotion going on in the form of “Get to walk the ramp with Miss India”. This kind of initiative would entrench the brands association with beauty and feminine nature which can be leveraged to drive our entry into other categories. Veet will organise beauty events in the form of Beauty pageant hunt together in association with MTV to drive its association with beauty further. Event Concept
The event “Veet Beauty Pageant Hunt” will be organised yearly in association with MTV to find out themost beautiful women in India. The event would start off with auditions in top 15 cities.The winners from this phase would be dubbed Miss Mumbai, Miss Delhi and so on. Later they would bepooled for an all India beauty hunt show that promises a contract of modelling with leading agencies.(This is to be done through tie ups)The event has the potential to blast its way to associating Veet with a mega beauty brand since such anevent will feature women who are beautiful, confident overall .Hence this would be our moment oftransition into a truly Mega Brand. Online communities Veet Beauty Gang - Online user groups at Veet Experience centre Veet Beauty Gang
An online community of girls in the age group 18-45 engaged on the web platform in the form of social circles, college groups, work colleagues, friends circle, and gossip circle with the intent of staying beautiful through receiving beauty tips on a host of issues: hair care, facial care, Body care, shower care and with a main focus on Hair depilation solutions. This beauty platform will host various programs and virtual makeover applications, information on what beauty trend is in and what’s the latest hotshot thing in town. Moreover it will lay the foundation for Veet’s shift to becoming a beauty care provider. The following things will be included as features in the web platform:-Veet Experience centre.Hair depilation section: This section will inform users on the subject of hair depilation. The applicationprocedures and the advantage of Veet creams and wax strips. With a virtual remover and before and afterpictures of application of various cream variants.Makeover Machine: This particular section will be a virtual section where photos of girls and women can beuploaded and their hair styles, facial complexity, and other beauty treatments can be done virtually to providea makeover. The users can then checkout their styles vis-a-vis peers and receive accolades.Veet Expert Studio: This section will have expert opinion of varioussolutions. Various natural as well as scientific Beauty care section: This section will host beauty treatments and depilation experts. To understand what’sgood for the skinbeautiful, maintaining a healthy skin. Tips and Advice from at the particular site to provide ways of staying and what’s not. Various experts would be called in to blog beauticians from across theguidance and opinion onwhere users will vote to what products they want in at Veet Studios. On Popular industry. And a section the issue. demand new lines will be introduced. Online community: It will be a form of social circles where users engage with one another and share stuffs and advice. It will be a forum to discuss and also ask opinions from Veet experts-an interactive platform. Users can plan their next meet at beauty studio in groups and book online to get discounts. Share section: This section will be a place to share photographs and hangout images. A place to share moments when users had fun or a good time with their friends and loved ones. A section will also be there to see albums from Veet ambassador Katrina kaif. Her day at film shooting and how she stays beautiful and confident with Veet. Her opinions and advice to users on staying beautiful. Entertainment section: This place will host astrobeauty: what does your star say about you staying beautiful, games and Veet Buddy section where you get downloadable stuff from the site on issues of mobile updates, promo coupons at Veet Beauty studio etc. Ripple over effect from Veet Beauty Studio and Veet Beauty Stops
Veet’s initiative to get associated with local parlours and to run its own beauty studios will also help to entrench brand association of a total beauty care provider. The in parlour merchandising and Veet studio beauty treatments, in parlour marketing will lead the shift in perception. These associations will continue particularly with local parlours since that would make our foray into other categories easier as also will keep a new route of selling our new brand extensions: through parlours. - So what have we achieved till date? How will Veet Brand be perceived at this juncture? Situation before we started Smooth skin, good fragrance Brand Veet Convenient Moisturizing and quick effect, HR solution confidence Situation after 18 months of marketing initiatives Smooth skin, goodBeauty care fragrancesolutionprovider Natural Moisturizing Extracts (to be Brand Veet effect A beauty introduced later) BrandMakes International Convenientwomen and and quickbeautiful glamorous HR solution
Now that we have turned Veet into a perceived beauty care provider the situation is ripe to enter new categories and drive Veet’s journey in truly being a mega beauty solution provider brand Entering new categories- Journey towards being a Mega Brand mega Veet now faces a choice. It has successfully crafted its way in being perceived as somethingassociated with beauty. Its risks entering into categories that can mismatch this association whereasit sees the opportunity to leverage its beauty care association to transform itself into a mega brand.A very important word of caution. Although our market initiatives have ensured ourtransition into a beauty care provider yet there are chances of product failures. Hence it’sbest to introduce our new categories with the Brand “Veet Beauty” instead of just Veet.This will give a more relevant association with the categories.After analysing all the categories: Hair care, skin and body care, shower care and sun care the mostprospective ones to be entered are listed in order.1. Body care: Moisturizing lotions and cold creams(Umbrella benefit: beautiful skin and core benefit:smooth moisturizing skin with natural extracts)2. Facial care: face wash and cleansers, Anti ageing solutions, face packs and pimple skin solution(Umbrella benefit: Beautiful skin, Core benefit: Smooth, glowing skin with a natures touch3. Sun Care: Sunscreen lotions and protection creams (to maintain beautiful skin even in the sun)4. Shower care: Soap category, shower gels (Umbrella benefit: beautiful skin, core benefit: smooth,moisturizing, glowing and natural extracts).
Next we will analyse these categories further and chart out a positioning and entry strategy for each of them. Body care segment- Moisturizers (nourishing lotions) and Cold cream segment The body care segment is value at Rs 410 cr with a predicted market growth rate of 7-8% till 2015. The category presents ample opportunity for “Veet Beauty” brand to start making its first foray into moisturizing and nourishing body lotions and cold creams. The leading players in this segment include HUL’s Lakme Lotions, Ponds Cold cream, Bieserdorf Nivea. The players are optimistic of vibrant growth because of rising disposable income and also increased consumer awareness of staying beautiful. This is where we step in. Veet’s brand building efforts have led it to its association with beautiful, smooth glowing skin. Now we will add an extra differentiator in the form of natural extracts to complete our brand differentiation. Our primary research has shown that women in the age group of 18-35 strongly believe in natural solutions to skin care. They perceive scientific technology as damaging to the skin in Long run. This paves the way for us to introduce our third benefit of natural extract solution in our product line The products in these range will also be exclusively marketed through not only retail channels but also through Veet studios and Veet beauty stop with which we had developed association during The products introduced in this category will willsupportedthe products further. campaign that initial two phases. In-parlour merchandising be promote with communication highlights the functional benefits of smooth, moisturizing and naturally cared skin with the emotional benefit of looking beautiful. Perceptual maps and Brand positioning Nature Veet Beauty Lotion Parachute Body Lotion PondsPrice Low Price High Lakme Nivea
Veet Beauty Lotion and cold creams Natural Smooth Moisturizes Fragrance effect Facial care segment- Anti ageing solutions, face wash and cleansers, pimple skin solutions, face packs Makes you look beautifulFacial care segment in India is a huge market in India worth Rs 3700 cr with the dominant players inthe market being face wash: Himalaya (naturals), Garnier, Ponds, Pears, Clean and Clear, Ayur, etc.This market is predicted to grow at 6-7% annually till 2015. The chief highlight of this category is theAnti ageing solution sector which is growing very fast at the rate of 15-20% annually. Leading playersin the segment: Pond’s age miracle, Olay total effects, Neutrogena.Veet with its association of smooth, glowing skin with a natural base will be the perfect fit to enterthis category after its entry into body care solution. This offering will complement Veet’s umbrellabenefit of providing beauty solution.Our primary research has shown that women in the age group of 18-35 are strongly beginning toswitch to anti ageing products because of improper dietary habits leading to ageing skin. Thistrend is likely to continue. Hence our entry into this category will give high avenues for growth.Face washes with a natural base is being increasingly accepted by the urban audience. Here thefeminine touch of Veet with smooth skin benefits and moisturizing effect can expand this categoryfurther. Purchase trigger-natural base.The pimple solution category in India is valued at around Rs 50 cr and is growing very rapidlyparticularly in the 16-25 age bracket. We will target this category and it will be a logical extension toprovide smooth skin benefits during pimple. The brand association holds the same like other lines.
Facial Care category-Veet Beauty Brands Anti ageing solutions Veet Beauty wash (face washes) If successful Extends to Sun care segment- Sun screen lotions Pimple skin solutions Face packs (Facial swipes)The sun care category in India is valued at Rs 129.6 cr with a growth forecast of 10-12% per year till2015. During heat the blistering effect of the sun causes skin burn and irritation. Hence the usage ofsun screen lotions has been continuously recommended by dermatologists. The usage is slated torise further up and with the leading players trying to convince customers to use sunscreen lotionsduring the whole year to prevent against harmful rays the growth in this sector is going to increaseeven more.Veet with its proposition of providing and maintaining beautiful skin will introduce its line- VeetBeauty Sun Care. Here we will only be able to derive connect with our umbrella brand benefit ofstaying beautiful hence the name “Veet Beauty” will only put us in a safer place of having success inthis category. Natural Beautiful base skin Veet Beauty Sun Care range Skin Sun protector lightening
Sun Screen oil control Sun Screen skin Sun Screen lotions variants lightning gel Makes you look BeautifulPerceptual maps and positioning on the lines of previously introduced categories. Shower care segment- Veet Beauty SoapThe bath and shower care market in India is fiercely competitive with host of players including HUL’sDove, Lux, Cinthol, ITC’s Vivel , Colpal’s Palmolive and the list goes on. But what is on significance tous is the Rs 10,500 cr market of shower and bath care has a segment of high growth. Skin solutionwith Natural extracts. The segment has players in the lower price points but at a higher priceposition the offerings are either solely moisturizing or provides soft skin. Here we can great asegment for ourselves where we create core benefits of smooth, moisturizing skin by completenatural solutions. This segment is growing at 9-10% per year.. Smooth skin Veet Beauty Natural Moistur Soap solution izes Perceptual Maps Nature
Himalaya Veet Soap Beauty Soap Nivea Price Low Vivel Price High Cinthol Lux Camay Packaging Science Now that we have successfully forayed into four categories I will like to highlight a feature of our differentiation and one that keeps the category extensions separate and distinct from each other. Its our packaging. The selection of colours and packaging elements will be extremely crucial if we are going to keep our identity distinct. Veet Beauty Facial Care Veet Beauty Veet Beauty Lotion and category-Veet Sun Care range Soap cold creams Beauty BrandsLight Pink signifies Light blue signifies Yellow signifies Sun. Light green signifiesgracefulness and clear and a clean Hence Sun care nature and purity.smooth. Veet image. Facial care ranges in yellow Hence Veet beautyBeauty lotion in pink products will be in packaging will quickly soaps would bepackages will relate ultra light blue catch the eye of the packaged in Lightto customers well packages customer looking for green shade to sun care products relate with core benefits on offer Advertisement Campaign-Phase 2 “Stay Beautiful”
The first part of our ad campaign focussed on promoting the usage of Veet hair depilation creamsand wax strips on high usage areas thus building volumes in the category. Also those ads showcasedself empowerment, convenience and benefits of smooth skin with a background highlight of“Staying beautiful with Veet”.Then we undertook initiatives to guide Veet’s transition into “Veet Beauty” brand so that it isperceived to make women beautiful. After 24 months of extensive campaigning and initiatives thesituation became ready to make our foray into four categories one by one in due course of time.The advertisement campaign Phase 2 will mainly promote the emotional aspect of “Stayingbeautiful” together with usage footage and how the functional benefits of smooth, glowing skinmakes you look beautiful.1. Body lotion campaign: The first category we enter is the body lotion. Here we will exclusivelypromote how dry weather and pollution makes women look not so good. But “Veet beauty” range ofbody lotions restores the smooth skin with hydrating and moisturizing “natural” factors to make youbeautiful again. The ad ends with “Stay Beautiful”2. Facial care campaign: We have three segments in which we can enter with time. The firstattractive segment is anti ageing. Here the campaign will mainly focus on how food habits make yourskin lose youthfulness and starts ageing early. And thus you lose your beauty. Veet Anti ageingsolution with natural solutions makes your skin smooth, youthful and beautiful. Ad ends with “StayBeautiful”.The other segments like pimple care and face wash entry can also be communicated in a similar waywith problem–solution method along with an emotional connect of “stay beautiful”3. Sun Care campaign: This category will be entered only after we have successfully entrenched ourlast two category extensions of body and facial care. After those launches have tasted success thesun care category will be forayed.The ad campaigns will be under “Veet Beauty” Sun care heading: Highlighting the harmful UVA andUVB rays of sun that can damage your skin permanently. Veet Beauty Sun care range brings to youunique natural formulations that protects your skin and helps you “Stay Beautiful”4. Shower care campaign: This category will be the last to be entered. Only the segment that hasstrong natural associations with skin care and soap will be targeted. The theme to remain the same :“Stay beautiful” with VeetThe connect across all the campaigns in 4 categories is “Stay Beautiful” theme with Veet Beauty.That’s our umbrella benefit and which we will try to communicate to our customers.
Timelines of various initiatives discussed so far-5 year plan Veet Beauty TV show launch pageant Hunt Veet Beauty launched Studio launched Ad campaign phase 1 In parlour Merchandising Veet beauty stop Beauticians andassociation launched B2B sales 0-5 months 5-10 months 10-15 months 15-20 months Ad campaign phase 2 Body care Facial care category entry category entry “Veet Beauty” Marketing launched initiatives
Veet Beauty gang launched 21-25 months 26-30 months Shower care category entry Marketing programs to support launch Sun care category entry A brief snapshots of Brand connect and portfolio Marketing programs to support last two launches 41-45 months 46-50 months “Veet Beauty” 51-55 months 56-60 months Shower care range Products haveInternational natural basequality skin care “Veet Beauty” Sun care range “Veet Beauty” “Veet Beauty” Facial care range Body lotion range Smooth skin, good fragrance Natural Moisturizing Extracts Brand Veet effect Strong HR association Smooth,Makes women glowing skinbeautiful International Convenient and and quick glamorous HR solution
“Veet Beauty” Brand VEET Veet Hair “Veet Beauty” removal Body care Facial care Shower Sun care Cream range Wax Strip care range Moisturizing Long term financial growth projections wash Face Sunscreen Normal skin lotions Soaps lotions Easy use strips Anti Dry Skin with Nourishing ageing Oil control Taking today as starting point we have calculated a rough estimate for Veet’snature Wax range for lotions growth Sensitive skin extracts parlours during the 5 years- separately for each category. Pimple Skin lighteningSupreme Essence Cold creams solution gel At the end of Year 1 The initiatives taken in the first year through Veet Beauty Studio, Beauty Stops, in parlour merchandising has the potential to generate Rs 1.55 cr per month to generate additional Rs 18.6 cr. These will be additional growth which will augment the average 25% growth it’s experiencing at present. So by the end of 1st year we expect to grow the brand by Rs 45-50 cr without starting to foray in other categories. Brand value at the year 1: Rs 155-160 cr. At the end of Year 2 As we undergo several customer engagement programs and drive the transition into a beauty brand the effect of our last year campaigns will become more prominent and we expect to grow the brand by 30-35% in the hair removal category only with increased usage in arms and legs. Brand value at the end of year 2: Rs 205-210 cr. At the end of Year 3
As we enter the body care and facial care market we aim to capture 4-5 % initially in bodycare and 1-1.5% in facial care and also increase our growth by 20-25% year on year for thenext three years.Body care category: 410 cr. Our share: 25 cr.Facial care category: 3700. Our share: 40crHair removal growth around 15-20%: growth contribution 33 cr. HR brand size: 240 crTotal Brand value : Rs 205+95=Rs 300cr.At the end of year 4As we enter the sun care category we would look to have 5-7% share in the first year oflaunch and then look to grow it by 25-35% year on year.Sun Care category: Rs 150 cr. Our share: Rs 8-10 cr.Body care growth: 20% growth –hence present value: 30 crFacial care growth: 20% growth- hence presents value: 48 crHair removal growth: 25% growth-present value: Rs 290 crTotal Brand value at the end of year 4: Rs 377 cr.At the end of Year 5We will foray into the shower care category valued at 10,500 cr. But the herbal basedshower care market is valued at 250 cr. We will look to achieve 3-4% share initially and thentry to grow our share 20% year on year.Herbal Shower care category: Rs 250 cr. Our share: 10 cr.Body care growth: 25%- hence present value: Rs 38 crFacial care growth: 25%- hence present value: Rs 60 crSun care growth: 35%- hence present value: Rs 13 cr.Hair removal category-: brand growth: 20%- hence present value: Rs 348 cr.Hence Total Brand value at the end of year 5: Rs 469 cr
Hair removal 400 350 300 250 200 Hair removal 150 100 50 0 2011 2012 2013 2014 2015 2016Figure 2 Body and Facial Care 70 60 50 40 Body care 30 Facial care 20 10 0 2014 2015 2016
Figure 3 Sun care and Shower care 14 12 10 8 Sun care 6 Shower care 4 2 0 2015 2016All figures in Rs (crores) . Brand Veet 500 450 400 350 300 250 Brand Veet 200 150 100 50 0 2011 2012 2013 2014 2015 2016All figures in Rs (crores) . Conclusion
Thus through a combination of building brand equity by driving transition into a beautybrand by entering four new categories and also by penetrating the Hair removal categoryfurther we will grow Brand Veet from 110 cr to a 469 cr brand in 5 years at a compoundedgrowth rate of 60% per year.---------------------------------------------------------------------------------------------------------------------