4. Product
Description
Product
use
International
Marketing
|
Norway
Product Overview: BLUELAND
Blueland is a line of household
cleaning products that promotes
reusable products and aims to save
customers money.
Their website promotes clean, safe,
and environmentally safe products at
an affordable price
Blueland products work by filling the
reusable containers with water and
dissolving tablets to mix into the
solution.
The product line offers bathroom
cleaner, glass cleaner, multi-surface
cleaner, and hand wash for multiple
uses for effective cleaning
“Save Money and Space Without the Plastic Waste”
5. JUNE
2022
International
Marketing
|
Norway
Target Market
❏ Purchase household cleaning products
❏ Seek an effective and safe product
❏ Support brands that protect the planet
❏ Eco-conscious consumers
❏ Manufacturing - is it sustainably manufactured?
❏ Product - is it made with sustainable/recycled materials?
❏ Packaging - is the packaging eco-friendly/reusable?
❏ Delivery - is the shipping process eco-friendly?
6. $20M
Raised to Eliminate Single-Use
Plastics From Home Cleaning
JUNE
2022
International
Marketing
|
Norway Positioning
Why Blueland Fits in the Norwegian Market
❏ Eco-packaging and ingredients
❏ Carbon neutral company
❏ Climate Neutral Certified
❏ Household cleaning product market in Norway
❏ Expected to grow by 2.72% annually through 2026
Why Blueland is Better Than Alternatives
❏ Refillable products
❏ Environmental certifications
❏ B-Corp
❏ Cradle to Cradle
❏ EPA Safer Choice
❏ USDA Biopreferred
7. Persona Description
An eco-conscious, female shopper based in
rural/urban Norway, aged 25-24, living a
healthy lifestyle, classified as middle to upper
class, with a college education
Potential Biases
❏ Wanting to support
Norwegian-made
products
What They Need
❏ Eco-friendly cleaning products
❏ Aesthetic products
❏ Reusable products
❏ Affordable and effective
cleaning products
Goals
❏ Maintaining a clean home
❏ Keeping oceans clean
❏ Conserving and protecting
the plant
Challenges/Frustrations/Fears
❏ Single-use plastics harming the
environment
❏ High carbon emissions
❏ Contaminated water and food
supply due to plastics and
production
Persona Profile - User/Buyer
8. JUNE
2022
International
Marketing
|
Norway
Product
Decisions
❏ Product Adaptation:
Sarpsborg has an AQI level
of 42, which allows Blueland
to clean surfaces of polluted
air
❏ Packaging: recyclable
shipping boxes, paper-based
tape, compostable refill
packaging, water based inks,
and no single-use plastic
❏ Support Services: FAQ and
messenger
Item 1 Item 2 Item 3 Item 4
80
60
40
20
0
11. JUNE
2022
International
Marketing
|
Norway
Channels of
Distribution
Decisions
Stage 1
Blueland will target
environmentally
conscious individuals
through our website
Stage 2
Blueland will increase
sales to organic stores
within Norway such as
Rotter or Supernature
Stage 3
Once we switch to mass
marketing, we will target
home good stores such
as Ikea Furuset
Blueland will pursue a multi-channel
distribution system, as it allows the
brand to customize market offerings
for each customer segment and
increase sales and market coverage
in the long term.
12. Promotion
“Clean Up Our World.”
Campaign
Sell Starter Kits.
Objective
PROMOTION DECISIONS
Break
Even
Leverage loss leaders.
13. JUNE
2022
International
Marketing
|
Norway
Sales
Forecast
Q3
As of this past
February, Blueland
grew over 400%
year-over-year
Q2
Up 5.3% year-over-
year and 64.6% on a
2-year basis
Q4
A rapidly growing market in
Norway, with a steady growth
rate of around 10.2% annually
and a high forecasted sales of
$5.4 billion by 2025, if not more.
Q1
At the end of 2021, it was
reported $383.7 million for
its full-year revenue,
Hello! Today we will be will be presenting our marketing plan proposal for a product we feel should be sold in Norway.
Norway is known to be a country that prides themselves in being environmentally conscious and chooses products that support their value. They are listed as one of the top countries in the world for their contribution to the planet and climate, as well as being a driving force in taking environmental initiatives. They have recently went as far as pledging to be climate neutral by 2030. Moving into a green industry, especially with a product that can replace others on the market that are often harmful and toxic, would be a viable decision. As shown above, green products are perfect for the market in Norway because of norwegians high desire for green products, their values surrounding sustainability and environmental protection, and the differentiation from other products offered in the market.
This is where BLUELAND comes in. As noted, BLUELAND is a reusable cleaning product that promotes less waste and safer products for both users and the environment at an affordable price. BLUELAND offers a range of products from bathroom to glass to multi-surface cleaners by simply mixing water and a tablet that quickly and easily dissolves in the reusable bottles.
According to the website, “14 billion pounds of waste ends up our oceans each year. And it’s breaking down into tiny pieces of plastic that is now showing back up in our food and water supply. 90% of the water we drink and 33% of the fish we eat contains microplastics according to the latest findings, and don’t yet know the health risks associated. Starting with cleaning products - items traditionally sold in disposable plastic bottles, we can eliminate over 100 billion single-use plastic bottles in the US alone if household cleaners live in 100% reusable bottles.” This is where the idea originated, and the perfect place to launch this product is in a country that cares deeply about their contribution to sustainability and the environment.
Before a company can begin product development, the target market must be identified. For Blueland, we have identified the target market as those needing or wanting household cleaning products that are safe and effective. The target consumer is also one who purchases from companies that put the planet at the forefront of everything they do. The consumers in this target market are eco-conscious and always seeking to improve the environment with each purchase. This involves all steps of the product life cycle, including ensuring that the product is sustainably manufactured, made with recycled and sustainable materials, packaged in eco-friendly materials that can be reused, and that the shipping and delivery of the product is eco-friendly.
When it comes to positioning, we look at why Blueland would fit into the market in Norway and why the brand is better than other household cleaning products. As we found in our Country Analysis Brief, Norway is constantly working toward sustainable oceans and eliminating plastic pollution in them. Blueland products have helped to eliminate over 1 billion single-use plastic bottles from landfills and oceans since 2019, perfectly aligning with Norway’s goals. Blueland has also been a carbon neutral company since 2020 and is Climate Neutral Certified, meaning it has achieved zero net carbon emissions for all the carbon it creates when making and delivering products. With Norway looking to create a zero-emission society, Blueland’s values align seamlessly with the Norwegian marketplace. As for the household cleaning market segment in Norway, it is expected to grow 2.72% each year thorough 2026, so now is the perfect time for Blueland to tap into the market.
A few key factors also show us why Blueland is better for the Norwegian market than alternative household cleaning companies. Unlike other cleaning products, Blueland makes refillable bottles that consumers purchase one time and refill forever, eliminating single-use plastics. According to Forbes, the company raised $20 million to eliminate single use plastics from home cleaning. The company also prides itself on the handful of health and environmental certifications. Blue land is B-Corp certified, meaning it voluntarily meets the highest standards of social and environmental performance. It holds a Cradle to Cradle certification, the global standard for products that are safe, circular and responsibly made. The EPA Safer Choice means that Blueland products do not contain harmful chemicals and have been evaluated by expert scientists. And, a USDA Biopreferred label indicates to consumer that the products have been certified by the USDA to contain a verified amount of renewable biological ingredients.
With this overview, we can see that Blueland has a place in the Norwegian market.
To wrap up the targeting and positioning of Blueland in Norway, we will review the customer persona. For this product, the user and buyer are the same, described as an econscious, Norwegian female, aged 25 to 34, who lives a healthy, green lifestyle, classified as middle to upper class, and has a college level education.
Potential biases against Blueland would be that they want to support companies selling Norwegian-made products.
The buyer and user needs eco-friendly cleaning products that are aesthetic and reusable, while also being affordable and effective.
The goals that the user has with Blueland products are to maintain a clean home, keeping oceans plastic-free and protect the planet with their purchases.
Some challenges, frustrations, and fears that they face are that single-use plastics are harming the environment, many companies have high carbon emissions, and water and foods are contaminated due to plastics and product productions.
As for product decisions we looked at product adaptation, packaging, and support services. Sarpsborg, Ostfold, a city in Norway, has a US AQI level of 42; which makes it the most polluted city in the country. As BLUELAND would adapt to Sarpsborg and the country as a whole, the strategy is based upon the initial purchase of the bottle. This bottle is reusable indefinitely; it is named the forever bottle for a reason! The bottle is BPA free, shatter resistant, free of VOCs and phthalates. All the consumer would need to do is continuously purchase the refills for X amount of bottles owned.
Next, the packaging is made from paper-based tape, recyclable shipping boxes, compostable refill packaging and water-based inks. This ensures that not only the product, but ALL the packaging the products come in sticks to BLUELAND’s mission on helping the environment. Norway has achieved a 97% recovery rate on all plastic waste and are continuing to reduce their carbon footprint via packaging and products and does not have restrictions on colors or designs of packaging. It is voluntary to place a recycling and eco-green label on packaging, which we do feel BLUELAND should do to ensure Norwegians know how to dispose of the products, otherwise we feel as though the original packaging would do well.
Lastly, the support services offered to consumers would be the FAQ page and a messenger located in the bottom right screen. The FAQ is filled with information about orders, subscriptions, products, packaging, the company, and how the products work. If any of these subsections do not meet consumer needs, then they are more than welcome to ask the messenger, type in the questions, comments, or concerns, and receive an automated answer. If this still does not meet the needs of the consumer, then the messenger will prompt them to provide their name, email, message, subject, and issue type. A live representative will get back to them within 1 to 2 business days!
Now I am going to get into Blue Land’s pricing strategy. Norway is a wealthy country, in fact Norway is the sixth wealthiest country in the world. Norwegians have a relatively high disposable income, at nearly $30,000 a year. With their desire for green products, and a tendency to spend money on luxury goods, Blue Land will adopt two pricing strategies. Blue Land will adopt pricing strategies from its US store, and use psychological pricing in order to provide the consumer the perception that they are saving money by buying bundles of products. Blue Land will also continue to occupy the premium cleaning product market, and with a Blue Land starting kit costing nearly six times as much as a bottle of Windex stateside, we will bring that pricing positioning strategy to Norway with a premium pricing model.
Upon our research, a typical cleaning supply product offers a margin of 28%, all costs consider. If we apply that margin to the cost of the cleaning supply kit, we see that the cost is likely around $28 USD. Adding in the 25% VAT standard for imports to Norway, and an average 2.5% cost for freight of goods, we arrive at an imported cost of $35.87. If Blue Land aims to achieve the margin of 28% we are assuming they have, they would need to price their starter kit at $45.92 USD or 440.80. To stay consistent with our psychological pricing model, we would lower that selling price to 439 krone.
According to Forbes, Blue Lands has an annual revenue of around $385m. If they are able to capture a similar share of the Norwegian cleaning product market, we should expect initial revenues of 35,726,415.72 krone.
There are no channel constraints. So Blueland will pursue a multi-channel distribution system, as it allows the brand to customize market offerings for each customer segment and increase sales and market coverage in the long term. To facilitate long term growth, Blueland seeks to employ a market development strategy, specifically geographical expansion, where we will sell our current product line to new market segments located in Norway. Despite having moderate risk, employing this strategy would allow Blueland to gain new customers, increasing brand awareness, while facilitating the attainment of our financial objectives of gathering a total sale of 383.3 million. Once customers make their first purchase of Blueland's tablets, it can be expected that recurring subscription and habitual usage of the product is more likely. This can result in the consistent growth of revenue and customer loyalty
On to how we plan to promote Blue Land in Norway. Due to the fact that what we are promoting is a consumer good, we will aim to target the general population of Norway. As we keep mentioning, it was abundantly apparent in our research that Norway’s culture is centered around environmentalism, and likewise so will our promotion strategies. One promotional strategy includes a campaign centered around not selling products, rather cleaning up “our” world. Our concept for this campaign involves featuring a series of photographs and video adverts depicting plastic waste in the world. We found that Norway is a very nationalist country, so in order to promote the selling of an American brand, these ads will emphasize cleaning our world and our ocean as in the world we share - not just cleaning the world, or Norway’s oceans. Clean being the verbiage of choice, as what we are selling is cleaning supplies with our branding in the foreground of all campaigns. We also plan to commit a portion of sales to a clean ocean cause close to the hearts of Norwegian citizens who we are targeting.
Our objective will be selling the starter kits. The benefit of Blue Lands is that once you buy the starter kit, you are locking yourself into the requirement to come back in order to buy capsules and refills. Our marketing budget and sales promotion will be heavily revolved around pushing people to put a Blue Lands bottle in their home. Due to Marketing laws in Norway, we cannot offer the bottles as a free gift with purchase, so our emphasis will be on discounting the starter kit enough to where it is tryable. The price conclusion was the price we mentioned earlier.
Our marketing budget will be based around operating as close to break even as possible as we penetrate the market. If our calculations are correct, and we can expect to see revenue of 35,726,415.715 krone, it is likely worth basing the budget on that to penetrate the Norwegian market. We have a subscription product that consumers must come to us for, so getting our product into Norwegian homes is a loss leader, a short term investment with long term dividends.
With a well-established brand image, Blueland seeks to retain at least 80% of our customers from the previous year and gain additional sales of "cleaning essentials, “reckoning monthly subscriptions of refill packs by the end of our second year of operations. We also aim to launch our second line of products with a distinguishing feature of sustainable antibacterial formula during your second year of operation in Norway, which might be an opportunity for us to earn competitive advantages compared to competitors in the sustainable cleaning products industry.
One of the barriers to consider is that although our brand is selling a green product, in order to ship that product to Norway, the vessels will be contributing carbon emissions to the environment.
Because of this, it is important to find a way to mitigate this risk in order to appeal to the environmentally conscious people in Norway, BLUELAND will be creative with our promotional strategies by committing a portion of sales to a ocean-friendly cause that is close to the hearts of Norwegians.
Overall, BLUELAND will succeed in Norway because it is a viable market, there is a lot of support for the environment and sustainability, and the product itself offers something unique and valuable to the customer.