This document summarizes research conducted on Huggies Pull-Ups for a summer intern project. It provides background on Huggies and the disposable diaper industry, findings from focus groups and store observations. Key insights include parents seeking guidance on children's development and potty training. The strategy is to position Pull-Ups as essential for potty training milestones. The target audience is open-minded, family-focused women ages 25-44 with 1-5 year old children. Current and potential media tactics are also examined.

1. Huggies Pull-upsSummer 2011 Intern ProjectBenjamin Pressman, Jena Silverman, Helana Zhang, Karis LowAugust 8, 2011

2. ContentsBackgroundPrimary researchInsight & StrategyTargetMedia mixBig Ideas

3. The BeginningFirst disposable diaper entry into the marketplace since Kimberly-Clark was created in 1872.Kimbies was created in 1968

4. Could not compete with its competitors

5. Huggies was created in 1978

6. New brand vision with superior leakage technology

7. Previous Tagline: “Huggies Makes Happy Babies”

8. Current Tagline: “Enjoy The Ride”#1 selling disposable diaper in US#2 selling disposable diaper globally3

9. I’m a Big Kid NowHuggies introduced Pull-Ups in 1989

10. Training pants offered for both genders of all sizes

11. Partnership with Disney for fun, popular designs

12. Easy Open Sides:

13. First ever training pants to offer this

14. Enables toddlers to feel grown up by:

15. Learning the difference between wet and dry

16. Allowing them to adjust at their own pace

17. Providing a back up plan for occasional accidentsHuggies Infant DiapersHuggies Pull-Ups

18. Disposable Baby Product IndustrySales projected to remain flat or even decline through 2015 ~ $3.4 billion Recession’s impact Parents are price sensitive & spend more time looking for deals Many people delayed having children – fertility rate declined 1.8% in 2008 Rise of private label – increase of 3% of market share to 17.1% in 2009 Discounters – 3 out of 4 mothers surveyed shop at discounters such as Walmart and Target Diaper sales declining – fell 2.4% from 2009 to 2010 Other disposables’ sales rose from 2009 to 2010 Wipes rose 3% Cleansing/care products rose 1.9%Market ShareKimberly-ClarkOtherP&G*Mintel, March 2011

20. Competitive Social Presence

21. Competitive SOV Twitter counts for Luvs impacted by ‘luvs’ being a common twitter word, not related to the brand

22. Pampers leads SOV by a good marginWord CloudPotty Training

23. Word CloudPull Ups + Potty Training

24. Word CloudHuggies + Potty Training

25. Mentions BreakdownLarge drop-off in potty training conversations when adding in either Pull-Ups or Huggies to a search

26. Pampers created a limited edition line of diapers with designs for boys and girlsFounder, Victor Mills, was an American chemical engineer who revolutionized child care with the invention of the disposable diaper1950s1990s20082011Parents file lawsuit against Pampers’ Dry Max diapers for diaper rashPampers delivered double digit volume growth and became P&G’s first $8 billion brandLawsuit settled:P&G will pay $2.7 million for parents’ attorney fees

27. Give each child of the 59 plaintiffs $1,000

28. Spend $400,000 on pediatric resident training program and provide skin rash educationIntroduction of value packsSOURCE: pampers.com

29. Sales are decliningPull-Ups is dominating the training pants categorySOURCE: Mintel, Oh Baby! Report

30. Private Label Brands for Diapers“The Up & Up diapers are very comparable to Pampers. They are not as soft as the Pampers… I am very happy with them and actually kicking myself in the butt for not trying them out sooner.”“Up&Up” diapers | Target Improved upon over the years and have also gotten pricier

31. Now more “cushy,” have thicker tabs, and are stretchier – all of which are more accommodating for babies who like to squirm and move around

32. ~10¢ cheaper per unit compared to Huggies“I have 10 month old twin boys and I have used several diaper brands, from the most expensive to the lower priced ones, and these are by far the best in quality and value. They do not leak at night!”Kirkland diapers | Costco Sizes are grouped together

33. Often compared to Huggies’ Supreme and Huggies’ Snugglers

34. ~11¢ cheaper per unit compared to Huggies“I’ve used Parent’s Choice diapers for all 4 of my children and thought it was a great diaper for the price… Last week… I immediately noticed the ‘modifications’ and questioned the product. Within the first hour, I knew the ‘improvement’ wasn’t an improvement.”Parent’s Choice diapers | Walmart Parents do not like the recent redesign

35. said to be less absorbent and now lacks the elastic waist band

36. ~5¢ - 14¢ cheaper per unit compared to Huggies SOURCES: www.diapers.com; www.target.com; www.walmart.com

37. Competitive Messaging - Pampers Major branding campaign – Every Little Miracle

38. Celebrating 50 years of Pampers

39. Supporting intensive care units around the country

40. Facebook promotion through Miracle Missions and Miracle Stories

41. Miracle Missions – Community members support the mission and Pampers donates diapers

42. Miracle Stories – Stories from the community about their children

43. Partnering with UNICEF to provide tetanus vaccines

44. Pampers Theater – Web series related to a variety of parenting topicsCompetitive Messaging - Luvs Branding campaign – Luvs Loves Your Baby

45. Poop there it is – controversial commercial

46. Blog – mainly broadcasts where discounts/coupons are available

47. PoopDeck – iPhone game – shoot dirty diapers from your pirate shipFocus Group | Key FindingsParents often use one brand and then switch once their child reaches a certain age

48. More keen about developmental milestones with the first child - Sometimes so focused that they don’t enjoy the experience as much

49. Parents seek advice and knowledge from friends and family – including parents from daycare, parks and play-dates

50. Family and Friends (more sensitive) > Blogs, Magazines, and Web (scare factor)

51. There is a quiet competition between kids – “She learned how to swim already?”

52. 1st child – Most open to brand messaging; Brand loyalty

53. 2+ child – Enjoying the process; Whatever works

54. If training pants are used, parents will most often use the same brand as the diapers they used for their childIn-store ObservationsBabies R Us | La Cienega, Los Angeles, CAJuly 7, 2011Walk-Through:Huggies and Pampers products are placed on the shelves right by the entrance

55. Diaper products are lined up along the back wall with Pampers on one side and Huggies on the other

56. P&G created a Pampers container ($50) featuring diapers, baby wipes, and a P&G coupon book valued at $30

57. Similarly, Huggies has a Newborn Gift Pack ($30) featuring diapers, baby wipes, changing pads, and Desitin Diaper Rash Paste

58. There are no training pants next to the potty training toilets- Pull-ups emphasize Disney characters while Easy-Ups emphasize the mother and child as opposed to Dora and Diego

59. In-store Observations

60. ”Quality – good diapers are worth it.”Survey Monkey Key Findings“My daughter has an allergic reaction to certain brands and types”80% of parents pay close attention to their child’s developmental milestones61%care that their child reaches developmental milestones at the same pace as his/her peers41% were/are extremely loyal to one diaper brand Commonly based on trial & error, price and recommendations88% of parents who potty trained their child used training pants at some point“Licensed characters – my kids were fixated on certain ones”Top diaper purchase factorsFamily and Friends’ recommendationsTrial & ErrorTrustworthy NamePromotions and coupons