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Case Study: Campbell's vs. L'Oréal Paris
- 2. OVERVIEW
- 3. A luxury brand available in retail outlets Headquartered and founded in Paris, France, but truly a global brand Four major categories of products: hair colour, cosmetics, hair care and skin care A beauty care company that combines the latest in technology with the highest in quality products years 40
- 5. VISION The biggest beauty brand in the world that provides affordable luxury for people who demand excellence in beauty TARGET CUSTOMER Primarily women of the middle class and of all backgrounds and ethnicities BENEFIT Functional: Everyday beauty products made with quality ingredients and offered at an affordable price BENEFIT Emotional: ”Because you’re worth it” messaging committed to a woman’s confidence, decision and style. Also demonstrating that beauty is the opportunity to be yourself CUSTOMER VALUE PROPOSITION
- 6. What that means you do Supported by beauty ambassadors, including celebrities and icons. The brand magnifies their beauty on red carpets demonstrating the superiority and exercise of the brand What that means you do Continued commitment to research and innovation with the ability to make products legendary (Preference Hair Colour, Colour Rich lipstick, Revitalift skin care) How that means you act Classic, elegant, timeless and iconic REASON TO BELIEVE CUSTOMER VALUE PROPOSITION
- 7. Women of worth program recognizing achievements of real women BRAND ESSENCE Continued investment in research and development Commitment to innovation, but in a sustainable manner, decreasing their environmental footprint, using renewable and raw materials, reducing CO2 and water waste L’Oreal Empowerment program Workshops offered to women to promote self esteem and living skills L’Oreal Share and Care program Benefits to employees to help them be their best selves
- 8. OVERVIEW
- 9. In 1962, Andy Warhol paints the infamous soup can Headquartered in the New Jersey, USA. Currently working on expanding beyond soups, including packaged fresh foods, organic meals, and growth in the Asian market Founded in 1886, Campbell’s first introduced condensed soup in 1897 years 147 Simple food made affordable and convenient Nourishing people’s lives everywhere, everyday
- 10. BRAND STRATEGY
- 11. VISION Together we will build the world’s most extraordinary food company by nourishing people’s lives everywhere, every day TARGET CUSTOMER Primary grocery shoppers from all ages, with special appeal to working mothers and active families BENEFIT Functional: Simple, healthy, and affordable soups for daily meals that are easy to prepare and can be enjoyed any time BENEFIT Emotional: Real food that matters for real life’s moments CUSTOMER VALUE PROPOSITION
- 13. BRAND AWARENESS Partnerships • Digital content is across different channels such as celebrity endorsements, commercials and sponsored YouTube first impressions • Implementing a global contest search for their first ever guest editor Fight against hunger: Walmart, Campbell, Kellogg’s, and PepsiCo joined forces to fight against hunger But most of the initiatives are shown through Walmart, while Campbell’s is taking on a supporting role as opposed to leading the campaign
- 14. BRAND AWARENESS Partnerships • Revitalize commercials by incorporating modern ways to eat soup, i.e., energetic yet health conscious • Capture the emotional benefit by featuring real testimonials to demonstrate the value of the product • Position the products to match consumer behaviour
- 15. Partners with other market leaders in different industries to better enhance their social advertising strategy BRAND AWARENESS Empowering the Viewer Campbell’s Kitchen is a One stop location on their website that serves up recipes, tips and ideas for creative meals
- 16. Partner with food bloggers that feature Campbell’s products Soup on wheels and pop-up activations Recruit brand ambassadors BRAND AWARENESS Empowering the Viewer
- 17. BRAND IMAGE AND CHARACTER Naming Conventions The core user benefit of each product is reflected in its naming which focuses on the distinct value and benefit of the product Names of the products go against the function of the soup and aren’t really appealing
- 18. BRAND IMAGE AND CHARACTER Packaging The packaging has functional purposes, but is unattractive and is perceived the opposite of its intention The packaging is distinct, streamlined and modern
- 19. BRAND IMAGE AND CHARACTER Packaging Create more appealing packaging, e.g., glass packaging Take a more friendly approach to naming by highlighting the whole food ingredients e.g., GMO free, organic, no preservatives or sulfites
- 21. REASONS TO BELIEVE INGREDIENTS RESEARCH AND INNOVATION TEAM L’Oréal’s researchers use synthetic chemistry and biotechnologies Formulation is in the heart of the company
- 22. Hydra-Total 5 Ultra-Even Lotion SPF 20 Moisturizing lotion with LHA PRO-RADIANCE COMPLEX that meets five essential needs for even toned skin and provides UVA/UVB protection. Highest concentration of HYALURONIC ACID – skin’s naturally occurring hydrator. Replenishes moisture in skin to volumize surface layers and smooth out wrinkles. A matte formulation that reveals red's colour intensity. The softest intense velvet thanks to: Velvet spheres + Pure pigments + Jojoba Oil. REASONS TO BELIEVE INGREDIENTS
- 23. REASONS TO BELIEVE INGREDIENTS Canola oil or soybean oil Wheat flour Salt Modified milk Soy Protein Isolate Water Mushroom Corn Starch Tomato Paste Cream Dehydrated Garlic Monosodium Glutamate Yeast Extract Spices
- 24. REASONS TO BELIEVE INGREDIENTS Although Campbell’s has a healthy product line, only 17% of their 146 current products have some sort of healthy aspect on it (e.g., less sodium, less fat). These lines are still not as healthy as they could be. Campbell’s Healthy Request products have the double of calories, fat and carbohydrates of fresh homemade soups. Even the healthy line it is not THAT healthy
- 25. REASONS TO BELIEVE INGREDIENTS Water Mushrooms Canola Or Soybean Oil Wheat Flour Cream Corn Starch Salt Modified Milk Ingredients Soy Protein Isolate Monosodium Glutamate Tomato Paste Spice Yeast Extract Dehydrated Garlic Water Mushrooms Modified Food Starch Wheat Flour Vegetable Oil (Corn, Cottonseed, Canola, And/Or Soybean) Sugar Soy Protein Concentrate Cream (Milk) Salt Potassium Chloride Flavoring Lower Sodium Natural Sea Salt Calcium Carbonate Disodium Guanylate Disodium Inosinate Dehydrated Mushrooms Almost the same ingredients!
- 27. BRAND ESSENCE Social Responsibility L’Oréal Empowerment Programme A series of workshops designed to promote self- esteem and teach independent living skills to women living in Women in Need shelters. L'Oréal Share & Care Programme Ensure the protection and welfare of all employees in all countries, based on the same social standards of excellence. (E.g., full health care and maternity leave set at a minimum of 14 weeks at full pay).
- 28. BRAND ESSENCE Social Responsibility L’Oréal Paris awards 10 new women each year with $10,000 to support their efforts to serve their communities. The programme connects with women in a very emotional manner transpiring the brand essence and company values. Women is the L’Oreal cause Consistence throughout all social programmes promoting it continually in several channels
- 29. BRAND ESSENCE Social Responsibility A programme that awards educational equipment to schools in exchange for proofs of purchase from the Campbell family of brands. Products range from sports equipment and musical instruments to video equipment and computers. The programme runs in five pillars: water, waste, packaging, energy, and procurement. Almost 70% of Campbell’s Canada vegetable ingredients (by weight) come from local farms within 3.5 hours of the Toronto plant. SUSTAINABILITY Reduce. Reuse. Recycle. Rewarding. Social or loyalty programme?
- 30. BRAND ESSENCE Social Responsibility A nationwide campaign designed to raise food for nation’s food banks. This primary objective is to aid the almost 900,000 people reliant on food banks for their next meal, and empowering those in need to overcome the cycle of hunger. Since 2008, Campbell’s has hosted the Regatta Day campaign, Trick or Eat, sports tournaments and a variety of other activities. Teamed up with Daily Bread Food Bank to help Canadians find work within the food service industry, offering both funding and in-kind support. The last official donation information is from 2011. There is no updated information on their website or social media in the past year.
- 31. BRAND ESSENCE Social Responsibility Close the GAP between families and company bringing the target to the center of the action. Therefore, balancing the message concerning people and cause. Promote their social efforts through social medias and public relations, showing Campbell’s as the “spokescompany” to alimentation causes giving reliability and empathic aspects to the brand.
- 33. CONTINUING BRAND STRENGTH Demonstrate their commitment and the values of the company; proof the brand is sustainable Connect with their target market through avenues like social media Discover and innovate the latest science for new products in beauty and cosmetics to introduce to the market Extend their product portfolio, e.g., fragrance Introduce male spokespeople to strengthen the mens products
- 35. Campbell's does have history on their side. The longevity of the brand should be used in their favor through advertising or tag lines - e.g.,"a trusted family tradition" Campbell's needs to be truthful about their struggles and be honest about how they have worked to change them. They have to demonstrate how they listened to customers and how they have worked to change their products to reflect their target - i.e., less sodium, organic ingredients, BPA free packaging, no aluminum or tin, etc. The company must follow L'Oreal's strategy and invest in improving its nutritional profile with better ingredients and innovative technology It is important to align its social programs with the brand value, promoting the company’s actions and keeping the target updated throughout the year. OBTAINING BRAND STRENGTH
- 37. Do you continue to purchase Campbell's because of nostalgia (it's comforting, what you used to have as a child)? If a brand is timeless and iconic, do traditional tactics in the brand strategy prevail? Should Campbell’s elect a cause as its first priority? What are the competitors doing to address the healthy and ingredients problem? What are some ways, you as consumers, remain engaged with your favorite brands?
- 38. CAMILA D. TAVOLARO JOANNA CLAVECILLAS MELISSA RAO QUEMUEL RIBEIRO RACHEL ALENCAR SABRINA MELDER
Editor's Notes
- -biggest beauty brand in the world -50 products sold every second world wide
- -Because you’re worth it – introduced in 1971 -Official make-up artist of the Cannes Film Festival for 17 years
- Quick Poll: Who ate Campbell's soup growing up? Who continues to eat it now? Is it because of nostalgia? - comforting, what you used to eat as a child etc?
- -Because you’re worth it – introduced in 1971 -Official make-up artist of the Cannes Film Festival for 17 years
- Revitalize commercials by incorporating modern ways of having a hearty bowl of soup, target the emotional benefit consumers will receive such as triggering needs of being energetic, on the move, health conscious, consistency of product Capture and feature real testimonials in order to assure consumers that the new modernized look and feel still contains great product and value as before Use of big data and trend analytics to analyze consumer behaviour patterns to better position commercials and other initiatives (to spark that coincidental moment) Eg: I’ve signed up for the gym, I should alter my diet...watch youtube video about different workout routines, next advertisement is of Campbell soup
- Revitalize commercials by incorporating modern ways of having a hearty bowl of soup, target the emotional benefit consumers will receive such as triggering needs of being energetic, on the move, health conscious, consistency of product Capture and feature real testimonials in order to assure consumers that the new modernized look and feel still contains great product and value as before Use of big data and trend analytics to analyze consumer behaviour patterns to better position commercials and other initiatives (to spark that coincidental moment) Eg: I’ve signed up for the gym, I should alter my diet...watch youtube video about different workout routines, next advertisement is of Campbell soup
- L'Oréal Great job at partnering with other market leaders in different industries in order to better enhance their current social advertising strategy Campbell Soup on wheels and limited time pop- up activations at events such as Superstores, Santa Claus Parade, skating rinks, Nuit Blanche and other yearly events Partner with Tasty or other food bloggers to use Campbell products in featured videos with recipes for quick meal preparation Brand ambassadors giving out testers at major intersections (Yonge and Dundas, Harbourfront Centre, Exhibition Place) not just to gather data for primary market research but also a way of reminding consumers about the goodness of Campbell
- Campbell Soup on wheels and limited time pop- up activations at events such as Superstores, Santa Claus Parade, skating rinks, Nuit Blanche and other yearly events Partner with Tasty or other food bloggers to use Campbell products in featured videos with recipes for quick meal preparation Brand ambassadors giving out testers at major intersections (Yonge and Dundas, Harbourfront Centre, Exhibition Place) not just to gather data for primary market research but also a way of reminding consumers about the goodness of Campbell
- L’Oreal puts a lot of thought into how to name each of their products. They focus on a core user benefit which encourages multiple purchases within the same product set, as well as in different lines of their suite of cosmetics. They have managed to find the perfect balance with each product name, and focus on a unique identifier to make each relevant and needed. They have clear naming hierarchy for their products which emphasize their distinct value and benefit Infallible – for when you need your make-up to last; this product line stays put throughout the day Magic – professional grade products created by experts in the industry; the best kept secrets in make up True Match – a complete make up collection to perfectly match your skin tone Visible Lift – advanced age reversing makeup Example: Magic Skin Beautifier B.B. Cream As the name suggests, this product perfects the skin like magic; it instantly beautifies by self adjusting to your skin tone and comes in 4 shades. It’s a universal everyday foundation. The other 2 products within the B.B cream family are Magic Skin Beautifier Anti-Redness B.B Cream and Magic Skin Beautifier Anti-Fatigue B.B Cream. A consumer can easily see value in buying more than one B.B. Cream – one for everyday and one for those especially tired days. Example: Perfecting Base With this product set, a consumer could easily see the value in purchasing all 3 even though they are essentially all primers. The Magic Perfecting Base and Magic Lumi Light Infusing Primer each have a distinct value proposition – one gives a seamless texture to the skin for make up application while the other gives the skin an overall brightness. The True Mach Lumi Liquid Glow Illuminator highlights the skin in all the right places. As each of the product sets have distinct benefits purchasing across the portfolio also makes sense – ie. A longwearing lipstick is always a nice to have Campbell’s Soup come in 6 categories: Campbell’s Condensed – just add water, heat and serve Campbell’s Healthy Request – promises no preservatives, ever! Campbell’s Chunky – stew style soups, heat and serve Campbell’s Everyday Gourmet – exotic, bold inspired flavours Campbell’s Ready to Serve – heat and serve Campbell’s Broths – ready to use as a base or stock for another soup or as an ingredient in another dish. Chunky Soup is not a very appealing – seems like the soup may make a person overweight! Everyday Gourmet – is actually going against the purpose of the line by simplifying the name “everyday” is ordinary
- Streamlined and modern. Glass bottles, trendy packaging (rose gold), comes with everything you need to make the product work (lumi cushion sponge) The packaging is very distinct. Even without the name on the bottle you can tell it’s a L’Oreal True Match Bottle A tin can in itself insinuates non-perishable. As food in cans has longer best before dates, It’s assumed that they contain additives to preserve freshness. The salt/ sodium content is also perceived to be higher. Tetra packs while more modern, they don’t exactly mean fresh healthy and flavorful.
- Take a more user friendly approach to naming while highlighting the whole food ingredients – Campbell’s Fresh Soups, Campbell’s Pure Soups, Campbell’s All Natural Soups, Campbell’s Hearty could be some examples More appealing clear glass packaging to highlight the real ingredients in the soups – carrot, potatoes, pasta etc. Glass jars are also reusable Some key things people look for: GMO free, Organic, no preservatives or sulfites, affordable
- Take a more user friendly approach to naming while highlighting the whole food ingredients – Campbell’s Fresh Soups, Campbell’s Pure Soups, Campbell’s All Natural Soups, Campbell’s Hearty could be some examples More appealing clear glass packaging to highlight the real ingredients in the soups – carrot, potatoes, pasta etc. Glass jars are also reusable Some key things people look for: GMO free, Organic, no preservatives or sulfites, affordable
- Every single product from L’oreal has an innovation and a secret fantastic ingredient making it more appealing to the customer. L’oreal Research and Innovation teams provide innovations in formulation with highly effective active ingredients, using chemistry and biotechnologies. The formulation is in the heart of the company and is perceived positively by the consumer.
- So let’s see some of their ingredients and innovations: In skincare, they are always launching something new and that will make your skin better, like this moisturizer with this PRO-RADIANCE COMPLEX or this face cream with hyaluronic acid, or this skin illuminator with chromatic micro-capsules and vitamin E. All of their products have some sort of amazing ingredient.
- Campbell’s reason to believe is to use unique ingredients to deliver delicious soups to families. So, let’s take a look at the traditional Cream of Mushroom that has been sold for over 100 years: one of the first ingredients is oil. Although they are not trans fat, they do contain a lot of saturated fatty acids that’s bad for our health. Then it contains Wheat Flour that can harm individuals with Celiac Disease because it will contain gluten. Also, contains a lot of salt. The only good thing about it would be the Milk ingredients, but it’s one of the last ingredient in the list.
- Although Campbell’s has a healthy product line, only 17% of their 146 current products have some sort of healthy aspect on it (e.g., less sodium, less fat). These lines are still not as healthy as they could be. Campbell’s Healthy Request products have the double of calories, fat and carbohydrates of fresh homemade soups. So, Even the healthy line it is not THAT healthy.
- When we look closer to this healthy request line that they have, we come to the fact that the regular and the healthy one have almost the same ingredients.
- North America’s soup giant has broken ranks with anti-GMO labelling forces and announced it’s going to start telling American consumers when its Campbell’s, Pepperidge Farm, Goldfish, Prego and V8 products contain genetically modified ingredients. Campbell’s is now calling for a mandatory federal labelling standard for foods and beverages derived from GMOs and promises to “withdraw from all efforts led by coalitions and groups opposing such measures.” And, after spending millions fighting labelling laws in California and Washington state as part of an anti-labelling coalition warning consumers that prices would skyrocket, Campbell’s now says prices won’t be affected by the policy shift. The company says that if a federal labelling regime isn’t established in a “reasonable” amount of time, it’s prepared to label its U.S. products on its own. The bad news: Campbell’s hasn’t committed to labelling products sold in Canada. A rep says, “At this stage, the mandatory GMO labelling proposal is for Campbell products sold in the U.S. only.” Under its condensed soup cans, you’ll find this justification: “In Canada, approximately 90 per cent of all canola, corn, soybean and sugar beet crops are grown from genetically modified seeds. Farmers have been using these seeds for more than 20 years as they reduce costs and improve yields.” So why the change of heart south of the border? Besides its aversion to patchy stateside GMO laws, Campbell’s says it’s now operating “with a ‘consumer first’ mindset,” responding to changing public opinion on GMOs. Some 92 per cent of Americans support labelling of GMOs. At this point, 64 countries have some sort of mandatory GMO labelling policy. Canada’s is voluntary.
- Since 1991, the objective of the program is to enable these women to identify and set goals for themselves and their families, to learn techniques and develop strategies for the attainment of these goals. L'Oréal Share & Care addresses employee health and welfare. But it also includes parenting and quality of life in the workplace. With four fundamental pillars as a starting point, the programme has established a common framework of mandatory social benefits. These include 32 measures that meet employee needs and create consistency between subsidiaries
- Since 1998 in Canada. School support program with a focus on healthy eating and living habits in children. Eligible registered schools can collect labels from participating Campbell products and redeem them for educational resources ranging from sports equipment and musical instruments to health and wellness videos and books. In 2011, Campbell saved more than 4.5 million pounds in steel, plastic and paper packaging materials, eliminated nearly 29,000 metric tons of CO2 emissions at its manufacturing. Campbell also reduced water used by 3% and energy used by 2% per unit of food produced. Water Installing a High Pressure Low Volume system to reduce water and energy consumption during sanitation activities in the Toronto plant Waste They we’ve managed to reduce it by hundreds of tons and have reused or recycled almost half of our entire water consumption. Packaging Most of packaging is recyclable. Reduced can thickness saving 1,205 tons of steel per yeas. Also reduced the amount of PET material in Beverage bottles by 33% Energy By installing a condensing economizer we’ve reduced GGE 2,200 metric tons per year. Procurement Every year more than 5 million kg of fresh carrots, 6 million kg of fresh potatoes and 2 million kg of fresh mushrooms are sourced within 100 miles of Toronto. There is virtually no mention about this programs in Campbell’s Social Media
- Each year a variety of events are run to raise funds and awareness of hunger in the local community. This program helps individuals involved with Daily Bread Food Bank to get the training they need to find careers in the food service industry. Among other things, trainees learn how to use equipment, ingredient preparation, baking and hot and cold meal preparation. One million pounds of wholesome food was donated to food banks across the country in 2011. Nourish was developed to help to address the need for nutritious, shelf-stable meals. It is a complete meal, with a full serving of three food groups delivering vegetables, fibre and at least 18 g of protein. Each 425 g can has an easy-to-open lid, 24-month shelf-life, and doesn’t require the addition of water, making it an ideal solution for food banks. Since the launch of Nourish in February 2011, Campbell Canada has donated more than 300,000 cans to food banks across the, as well to northern Canadian communities, and Haiti/Dominican Republic. The last official donation information is from 2011. There is no updated information on Social Medias in the past year.