SlideShare a Scribd company logo
September 2016
International Market strategies
for E-cigarettes
Learnings from other success stories
in the consumer market
- 2 -
Inhalt, Struktur und Ausgestaltung dieser Präsentation sind urheberrechtlich geschützt.
Die Vervielfältigung und Verbreitung von Informationen und Daten (Texte und Grafiken)
sind ohne vorherige schriftliche Zustimmung der trinasco GmbH untersagt. Dies gilt
auch für die auszugsweise Vervielfältigung und Verbreitung.
- 3 -
Dr. Hartmut Voss
trinasco GmbH
Valentinskamp 24
20935 Hamburg
Phone: +49(0)172 2012195
Mail: hv@trinasco.com
Professional development:
 Business economics
 Doctoral thesis: Competitive strategies
of multinational companies
 Management positions in sales and
marketing at Pepsi-Cola, Sony, Nokia
 Since 2002: Entrepreneur and
management consultant
Private:
 Married to Annette Voss,
management-trainer und coach
 3 children (13, 17, 22 years)
 Hobbies: Sports (Running, Skiing,
Golf, Soccer), travel, audiobooks
- 4 -
Agenda
1. Successful market innovations in the last years
 Snowboards
 Nespresso
 iPhone
2. Key success factors of these market innovations
3. Learnings for market strategies of E-cigarettes
- 5 -
Snowboards
- 6 -
Snowboards
 1900 (first race in 1914): Toni Lenhardt (Austria) created the
first „monoglider“
 1965: Engineeer Sherman Poppen created the Snurfer (no
bindings, no steel edges)
 1967-1977: Jake Burton Carpenter, Tom Sims, Dimitije
Milovich (all surfers) developed the first real snowboards
(adjustable bindings, anti-slide areas, steel edges)
- 7 -
Snowboards
 1977: Foundation of Burton Snowboards
 1980: Rossignol starts to build snowboards
in Europe
 1981: First official races in the US
 1985: First World Championships in
Livigno/St. Moritz (ISF)
 1989: First German championships
 1998: First competitions in the Olympic Games in Nagano
- 8 -
Market situation mid 80s
Opportunities
 Young kids were only partly
interested to start skiing (boring,
old fashioned)
 Surfing and skateboarding were
very popular among young people
(young, cool, opposition against
elder people)
 Snowboards opened a new
experience especially in deep snow
Threats
 In 1985 snowboards were only
allowed in 7 % of ski resorts in the
US
 Skiresorts were not prepard for
snowboarders (skilifts, service
stations, spare parts, training, …)
 Majority of skiiers and stake-holders
of the „old business“ (skilift
operators, ski schools, dealers, …)
didin`t like the boarders at all and
tried to hinder them
 Products were still under
development and due to small
quantities quite expensive
 Accesory market (bindings, shoes, …)
not developed
- 9 -
Sales of snowboards in Switzerland
„Roll out“ of
carving ski
Source: Statista
SalesofSnowvoardsinpieces
- 10 -
Nespresso
- 11 -
Nespresso
 Basic concept developed in the R&D labs of Nestle during the
1970s
 Vision: To enable everybody at home to create a perfect
espresso, just as those served in the best italian coffee bars
 Foundation of Nespresso SA, 1986
 Testmarkets in CH, I, Japan
 Launch of the first four Grand Cru varieties
 Launch of the Nespresso Club 1989
 Opening of the first Nespresso boutique in Paris 2000
(2015: 450)
 2006: Start of advertising and marketing campaigns with
George Clooney
- 12 -
Nespresso
 Cooperation with few machine vendors (De Longhi, Krups,
Saeco, …)
 Technology and patents owned by Nespresso
 Good design and relatively cheap prices of machines
(compared to professional/automatic coffee machines
 Big variety of tastes/coffee capsules (different coffeebeans,
roasting degree, grinding degree, limited editions, …)
 „Closed system“between machines and capsules (until
patents expired)
 Direct sales of capsules (boutiques, Webshop, telephone)
 New technological concept (VertuoLine) launched in 2014 for
USA and Canada
- 13 -
Source: http://de.slideshare.net/kmeshtiaque/marketing-plan-for-nespresso
Market Research and target group
- 14 -
Nespresso – IFA Booth 2016
- 15 -
389
530
819
1.520
2.320
2.480
0
500
1000
1500
2000
2500
3000
2004 2005 2006 2008 2010 2013
Net sales in mio €
Source: Statista, Wikipedia, Nestle
Nespresso`s sales development
More than 10.500
employees
More than 330
employees
- 16 -
Key success factors Nespresso
 New product category: „Cheap home entrants“ to excellent
coffee
 Superior customer experience
 Closed system to ensure superior product quality
 Detailed market segmentation and target group selection
 Test markets and controlled growth
 High end positioning (price per caspule, boutiques, …)
 Succesful advertising concept (George Clooney – Nespresso,
what else?)
 Broad assortment of various tastes
 Direct sales concept
 Additional services for consumers (boutiques, fast deliveries,
Nespresso club, magazines, …)
- 17 -
iPhone
- 18 -
iPhone
 Launch of the first iPhone 2007
 Three main usage areas:
 Telephone
 Music
 Internet
 Competition: Nokia Communicator
 Market share Nokia mobile phones: > 40 %
 Communicator 9000 - Launch 1996 (!)
 Usage areas: telephone, fax, internet,
SMS, MMS, E-Mail, office software
 Until 2007 six generations and
10 years experience
- 19 -
iPhone
 iPhone 1 and 2 not really successful
 Sales of iPhone 4 in the first three days after lauch: 1,7 Mio
 Sales of iPhones til end of 2015: > 820 Mio
Source: Statista
Salesinmiopieces
iPhone
5
iPhone
4S
iPhone
4
iPhone
3GS
iPhone
3G
- 20 -
Key success factors iPhone
 Superior combination of hardware, software (Apps) and
content (iTunes)
 Touch screen technology
 Design
 Ease of use
 Cooperation with App developers to create completely new
services (Maps, Shazam, Weather, Around me, WhatsApp,
Games, …)
- 21 -
Key success factors of these market innovations
 In general severeal aspects have to work together (customer
needs, market selection, timing, product quality, design,
communication/positioning, PR, service, sales, logistics, …)
 Snowboard: new target group, (partly unknown) customer
desire that was not fullfilled by the actual products, right role
models for secific target group
 Nespresso: customer desires (excellent coffee at home),
target group oriented communication and services
 iPhone: (hidden) customer desires (smart phone vs.
telephone), new customer experience (touch screen, ease
of us, apps)
- 22 -
Learnings for market strategies of E-cigarettes
- 23 -
Market for cigarettes
744
37,2
67
484
30
52,10
74,40
0
100
200
300
400
500
600
700
800
World Market USA Western Europe Asia Pacific Latin America Middle East/Africa Eastern Europe
Net sales in Billion US $ 2014
Source: Euromonitor International
- 24 -
Market for E-cigarettes / Vapor products
8
3,5
2,8
1
0,14
0
1
2
3
4
5
6
7
8
9
World Market USA Western Europe Asia Pacific Latin America
Net sales in Billion US $ 2015
(incl. heated tobacco)
Source: Euromonitor International
1,1 %
4,0 %
8,6 %
0,2 %
0,5 %
Vapor products share of total cigarette market
- 25 -
Legal constraints for E-cigarettes – the challenge
 Around two thirds of major countries have
regulated E-cigarettes in some way:
 Complete sales bans (e.g. Brazil, Uruguay, Singapoore)
 Requirements for sales channels (no vending machines,
age control, …)
 Dedicated requirements for ingredients, product features
and packaging (EU)
 Restrictions for usage (workplace, public, restaurants)
 Avertising and promotion bans (EU)
 Sales to minors is banned in most of the countries, but
besides that a lot of local and even inner-country differences
exist (e.g. USA)
Source: https://en.m.wikipedia.org/wiki/Regulation_of_electronic_cigarettes
- 26 -
Legal constraints for sales of E-cigarettes in Europe
Source: https://commons.wikimedia.org/wiki/File:Legal_status_of_e-cigarettes_in_Europe.svg#mw-jump-to-license
- 27 -
Source: blog.emeidi.com
Constraints for using E-cigarettes in Europe
- 28 -
Legal constraints for E-cigarettes – the challenge
 Whatever you plan/do (market selection, sales and marketing
activities):
 Detailed research on legal situation and restrictions
 Follow legal discussions/changes
 Support by a lawyer
Source: https://en.m.wikipedia.org/wiki/Regulation_of_electronic_cigarettes
- 29 -
Key requirements for a successful strategy
 Detailed definition of target group(s) and their
 actual usage situation (smoker/non smoker, heavy/light
user, reasons to smoke, situations to smoke, brands
preferred, …)
 demographics (sex, age, income, …)
 values, desires, attitudes
 beaviours, habbits, hobbys
 …
 Research (available studies, own research, …) to learn more
about these people and describe them as good as possible
 Product concepts, sales and marketing strategies to aproach
this/these target groups in the right way and influence/
change their behaviour
- 30 -
Target group smokers
- 31 -
International market segmentation
 Ideally cross-national/cross-cultural target groups could be
found and adressed (younger generation, business people,
Snowboarders, Nespresso users, Sinus milieus)
Source: ttr.tirol/.../Sinus%20Milieus_Moderne%20Form%20der%20Marktsegmentierung.pdf
- 32 -
International market segmentation
Source: Sinus 2016
- 33 -
International market segmentation
 Especially in FMCG markets (food, beverages, toiletries,
tobacco, …) market sizes and structures as well as consumer
behaviour are often quite different
 As legal obstacles are quite different in various countries, the
selection of most attractive countries should be the first step
 market size
 legal situation
 competition
 access
 …
 Concentration of ressources on few markets
- 34 -
Analysing and selecting target groups
 Actual smokers vs non-smokers ?
 Severeal studies have shown that users of E-cigarettes
have been seldom non-smokers, but used E-cigarettes to
stop or reduce smoking
 On the other hand there are some potential target groups
around non-smokers (e.g. teens and young adults that use
Shishas) and some of these groups might have not been
targeted in the right way
 The number of smokers (in Europe) is about one third of
the group of non-smokers, so the potential of non-smokers
is far bigger
- 35 -
Analysing and selecting target groups
 Men vs. women ?
 In most countries the share of smokers is higher for men
than for women
 But: Women are
 more health conscious
 design-oriented
 use slim cigarettes and cigarette holders
 use handbags to carry their belongings
Share of smokers in Germany 2012 (Population > 14 years)
Men Women
- 36 -
Analysing and selecting target groups
 Age ?
 Main consumption for men and women is between 20–49
years
 This „range“ is far to big to detect different behaviours,
interests, opinions and to select the right target group
15,9
38,0
40,7
36,5
34,0
22,7
9,8
11,2
28,8 27,8 28,4 27,3
16,0
5,2
0,0
5,0
10,0
15,0
20,0
25,0
30,0
35,0
40,0
45,0
18-19
years
20-29
years
30-39
years
40-49
years
50-59
years
60-69
years
> 70 years
Share of smokers in Germany by age 2014
Men
Women
Source: Statistisches Bundesamt 2014
- 37 -
 Diana, 46 years old
 Works in a media company
 Married, 2 adult kids
 Smokes 8-10 cigarettes per
day
 Enjoys smoking during the
evening
 Hobbys: Travelling, Reading,
Leisure
 …
 Tom, 28 years old
 Mechatronics engineer
 Just married
 Smokes 30 cigarettes per
day
 Wants to stop smoking due
to pregnancy of his wife
 Interested in Icehockey
 Hobby: sailing, adventure
tours
Potential target groups (buyer personas)
- 38 -
Approaching the chosen target group
 Product adaptatons/changes according to target groups
(hidden) desires, perceptions and needs
 Consistent, target group oriented market approach
(product, brand, positioning, pictures, slogans, wording, …)
 Creative/appropriate/allowed marketing activities/channels:
PR (e.g. womens magazines), Outdoor, Cinema, Sponsoring,
Product placement, Guerilla marketing, Content marketing,
blogs, social media interest groups, sampling, coupons, …
 Cooperation with other brand partners (leisure, beverages,
entertainment, furniture, …) ?
 Target group oriented sales channels / outlets (boutiques ?)
with special activities (e.g. Cooking party and Vapor-event)
 Direct sales (Webshop, Amazon, specialized E-cigarette
Online-shops)
- 39 -
Summary
 Market is very very challenging (long lasting consumer
habbits, legal constraints, competition of tobacco/pharma
industry, market size, marketing invest, …)
 Big potential: healthier, new technologies, various tastes
 Most important decisions:
 Selection of right country/countries
 Selection of right target group (women ?)
 Deep understanding of chosen target group (in selected
country/countries)
 Development of allowed and creative sales and marketing
activities
- 40 -
Thank you very much for your attention
and all the best !
trinasco GmbH
Valentinskamp 24
20354 Hamburg
Germany
Tel. +49 40 31 11 29 10
Fax +49 40 31 11 22 00
Email info@trinasco.com
www.trinasco.com
- 41 -
trinasco is an independent service and consulting company for manufacturers in the consumer
electronics and small domestic appliances industry. We support our Action Europes by
establishing efficient Marketing, Sales and After-Sales Service Solutions in Europe.
Based on comprehensive management experience within multinational companies and SMEs,
trinasco combines extensive operational and country-specific knowledge to help enterprises
successfully establish and build their businesses within international markets.
To evolve your business in the European market, trinasco supports you by:
 Selecting appropriate market segments, distribution partners and retail channels in different
countries.
 Establishing successful structures for multi-level businesses with a competitive price performance
ratio.
 Meeting Action Europe expectations as well as legal obligations.
 Communicating your competitive advantages and services in the most appropriate way to your
Action Europes.
 Executing cost effective and sustainable sales, marketing and after-sales service strategies.
No matter whether you want to start or evolve your business in Europe, trinasco can add
substantial value to your European operations.
About trinasco
- 42 -
trinasco Management Team
Bernd Kasper
Dr. Hartmut Voss
 Dipl.Kfm.
 Business experience:
Over 20 years in management functions for Europe
and Asia in restructuring and optimizing international
Care Supply Management and Fulllfillment
 Industry:
Consumer electronics (Bose, Nokia)
 Dr. rer. pol., Dipl.Kfm.
 Business Experience:
More than 15 years experience in international marketing
and corporate management functions
Several years of management consulting experience
(strategy, sales, marketing, leadership)
 Industries:
Food & beverages (Pepsi), consumer electronics (Sony,
Nokia), renewable energies, services, biotech

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International Market strategies for E-cigarettes

  • 1. September 2016 International Market strategies for E-cigarettes Learnings from other success stories in the consumer market
  • 2. - 2 - Inhalt, Struktur und Ausgestaltung dieser Präsentation sind urheberrechtlich geschützt. Die Vervielfältigung und Verbreitung von Informationen und Daten (Texte und Grafiken) sind ohne vorherige schriftliche Zustimmung der trinasco GmbH untersagt. Dies gilt auch für die auszugsweise Vervielfältigung und Verbreitung.
  • 3. - 3 - Dr. Hartmut Voss trinasco GmbH Valentinskamp 24 20935 Hamburg Phone: +49(0)172 2012195 Mail: hv@trinasco.com Professional development:  Business economics  Doctoral thesis: Competitive strategies of multinational companies  Management positions in sales and marketing at Pepsi-Cola, Sony, Nokia  Since 2002: Entrepreneur and management consultant Private:  Married to Annette Voss, management-trainer und coach  3 children (13, 17, 22 years)  Hobbies: Sports (Running, Skiing, Golf, Soccer), travel, audiobooks
  • 4. - 4 - Agenda 1. Successful market innovations in the last years  Snowboards  Nespresso  iPhone 2. Key success factors of these market innovations 3. Learnings for market strategies of E-cigarettes
  • 6. - 6 - Snowboards  1900 (first race in 1914): Toni Lenhardt (Austria) created the first „monoglider“  1965: Engineeer Sherman Poppen created the Snurfer (no bindings, no steel edges)  1967-1977: Jake Burton Carpenter, Tom Sims, Dimitije Milovich (all surfers) developed the first real snowboards (adjustable bindings, anti-slide areas, steel edges)
  • 7. - 7 - Snowboards  1977: Foundation of Burton Snowboards  1980: Rossignol starts to build snowboards in Europe  1981: First official races in the US  1985: First World Championships in Livigno/St. Moritz (ISF)  1989: First German championships  1998: First competitions in the Olympic Games in Nagano
  • 8. - 8 - Market situation mid 80s Opportunities  Young kids were only partly interested to start skiing (boring, old fashioned)  Surfing and skateboarding were very popular among young people (young, cool, opposition against elder people)  Snowboards opened a new experience especially in deep snow Threats  In 1985 snowboards were only allowed in 7 % of ski resorts in the US  Skiresorts were not prepard for snowboarders (skilifts, service stations, spare parts, training, …)  Majority of skiiers and stake-holders of the „old business“ (skilift operators, ski schools, dealers, …) didin`t like the boarders at all and tried to hinder them  Products were still under development and due to small quantities quite expensive  Accesory market (bindings, shoes, …) not developed
  • 9. - 9 - Sales of snowboards in Switzerland „Roll out“ of carving ski Source: Statista SalesofSnowvoardsinpieces
  • 11. - 11 - Nespresso  Basic concept developed in the R&D labs of Nestle during the 1970s  Vision: To enable everybody at home to create a perfect espresso, just as those served in the best italian coffee bars  Foundation of Nespresso SA, 1986  Testmarkets in CH, I, Japan  Launch of the first four Grand Cru varieties  Launch of the Nespresso Club 1989  Opening of the first Nespresso boutique in Paris 2000 (2015: 450)  2006: Start of advertising and marketing campaigns with George Clooney
  • 12. - 12 - Nespresso  Cooperation with few machine vendors (De Longhi, Krups, Saeco, …)  Technology and patents owned by Nespresso  Good design and relatively cheap prices of machines (compared to professional/automatic coffee machines  Big variety of tastes/coffee capsules (different coffeebeans, roasting degree, grinding degree, limited editions, …)  „Closed system“between machines and capsules (until patents expired)  Direct sales of capsules (boutiques, Webshop, telephone)  New technological concept (VertuoLine) launched in 2014 for USA and Canada
  • 13. - 13 - Source: http://de.slideshare.net/kmeshtiaque/marketing-plan-for-nespresso Market Research and target group
  • 14. - 14 - Nespresso – IFA Booth 2016
  • 15. - 15 - 389 530 819 1.520 2.320 2.480 0 500 1000 1500 2000 2500 3000 2004 2005 2006 2008 2010 2013 Net sales in mio € Source: Statista, Wikipedia, Nestle Nespresso`s sales development More than 10.500 employees More than 330 employees
  • 16. - 16 - Key success factors Nespresso  New product category: „Cheap home entrants“ to excellent coffee  Superior customer experience  Closed system to ensure superior product quality  Detailed market segmentation and target group selection  Test markets and controlled growth  High end positioning (price per caspule, boutiques, …)  Succesful advertising concept (George Clooney – Nespresso, what else?)  Broad assortment of various tastes  Direct sales concept  Additional services for consumers (boutiques, fast deliveries, Nespresso club, magazines, …)
  • 18. - 18 - iPhone  Launch of the first iPhone 2007  Three main usage areas:  Telephone  Music  Internet  Competition: Nokia Communicator  Market share Nokia mobile phones: > 40 %  Communicator 9000 - Launch 1996 (!)  Usage areas: telephone, fax, internet, SMS, MMS, E-Mail, office software  Until 2007 six generations and 10 years experience
  • 19. - 19 - iPhone  iPhone 1 and 2 not really successful  Sales of iPhone 4 in the first three days after lauch: 1,7 Mio  Sales of iPhones til end of 2015: > 820 Mio Source: Statista Salesinmiopieces iPhone 5 iPhone 4S iPhone 4 iPhone 3GS iPhone 3G
  • 20. - 20 - Key success factors iPhone  Superior combination of hardware, software (Apps) and content (iTunes)  Touch screen technology  Design  Ease of use  Cooperation with App developers to create completely new services (Maps, Shazam, Weather, Around me, WhatsApp, Games, …)
  • 21. - 21 - Key success factors of these market innovations  In general severeal aspects have to work together (customer needs, market selection, timing, product quality, design, communication/positioning, PR, service, sales, logistics, …)  Snowboard: new target group, (partly unknown) customer desire that was not fullfilled by the actual products, right role models for secific target group  Nespresso: customer desires (excellent coffee at home), target group oriented communication and services  iPhone: (hidden) customer desires (smart phone vs. telephone), new customer experience (touch screen, ease of us, apps)
  • 22. - 22 - Learnings for market strategies of E-cigarettes
  • 23. - 23 - Market for cigarettes 744 37,2 67 484 30 52,10 74,40 0 100 200 300 400 500 600 700 800 World Market USA Western Europe Asia Pacific Latin America Middle East/Africa Eastern Europe Net sales in Billion US $ 2014 Source: Euromonitor International
  • 24. - 24 - Market for E-cigarettes / Vapor products 8 3,5 2,8 1 0,14 0 1 2 3 4 5 6 7 8 9 World Market USA Western Europe Asia Pacific Latin America Net sales in Billion US $ 2015 (incl. heated tobacco) Source: Euromonitor International 1,1 % 4,0 % 8,6 % 0,2 % 0,5 % Vapor products share of total cigarette market
  • 25. - 25 - Legal constraints for E-cigarettes – the challenge  Around two thirds of major countries have regulated E-cigarettes in some way:  Complete sales bans (e.g. Brazil, Uruguay, Singapoore)  Requirements for sales channels (no vending machines, age control, …)  Dedicated requirements for ingredients, product features and packaging (EU)  Restrictions for usage (workplace, public, restaurants)  Avertising and promotion bans (EU)  Sales to minors is banned in most of the countries, but besides that a lot of local and even inner-country differences exist (e.g. USA) Source: https://en.m.wikipedia.org/wiki/Regulation_of_electronic_cigarettes
  • 26. - 26 - Legal constraints for sales of E-cigarettes in Europe Source: https://commons.wikimedia.org/wiki/File:Legal_status_of_e-cigarettes_in_Europe.svg#mw-jump-to-license
  • 27. - 27 - Source: blog.emeidi.com Constraints for using E-cigarettes in Europe
  • 28. - 28 - Legal constraints for E-cigarettes – the challenge  Whatever you plan/do (market selection, sales and marketing activities):  Detailed research on legal situation and restrictions  Follow legal discussions/changes  Support by a lawyer Source: https://en.m.wikipedia.org/wiki/Regulation_of_electronic_cigarettes
  • 29. - 29 - Key requirements for a successful strategy  Detailed definition of target group(s) and their  actual usage situation (smoker/non smoker, heavy/light user, reasons to smoke, situations to smoke, brands preferred, …)  demographics (sex, age, income, …)  values, desires, attitudes  beaviours, habbits, hobbys  …  Research (available studies, own research, …) to learn more about these people and describe them as good as possible  Product concepts, sales and marketing strategies to aproach this/these target groups in the right way and influence/ change their behaviour
  • 30. - 30 - Target group smokers
  • 31. - 31 - International market segmentation  Ideally cross-national/cross-cultural target groups could be found and adressed (younger generation, business people, Snowboarders, Nespresso users, Sinus milieus) Source: ttr.tirol/.../Sinus%20Milieus_Moderne%20Form%20der%20Marktsegmentierung.pdf
  • 32. - 32 - International market segmentation Source: Sinus 2016
  • 33. - 33 - International market segmentation  Especially in FMCG markets (food, beverages, toiletries, tobacco, …) market sizes and structures as well as consumer behaviour are often quite different  As legal obstacles are quite different in various countries, the selection of most attractive countries should be the first step  market size  legal situation  competition  access  …  Concentration of ressources on few markets
  • 34. - 34 - Analysing and selecting target groups  Actual smokers vs non-smokers ?  Severeal studies have shown that users of E-cigarettes have been seldom non-smokers, but used E-cigarettes to stop or reduce smoking  On the other hand there are some potential target groups around non-smokers (e.g. teens and young adults that use Shishas) and some of these groups might have not been targeted in the right way  The number of smokers (in Europe) is about one third of the group of non-smokers, so the potential of non-smokers is far bigger
  • 35. - 35 - Analysing and selecting target groups  Men vs. women ?  In most countries the share of smokers is higher for men than for women  But: Women are  more health conscious  design-oriented  use slim cigarettes and cigarette holders  use handbags to carry their belongings Share of smokers in Germany 2012 (Population > 14 years) Men Women
  • 36. - 36 - Analysing and selecting target groups  Age ?  Main consumption for men and women is between 20–49 years  This „range“ is far to big to detect different behaviours, interests, opinions and to select the right target group 15,9 38,0 40,7 36,5 34,0 22,7 9,8 11,2 28,8 27,8 28,4 27,3 16,0 5,2 0,0 5,0 10,0 15,0 20,0 25,0 30,0 35,0 40,0 45,0 18-19 years 20-29 years 30-39 years 40-49 years 50-59 years 60-69 years > 70 years Share of smokers in Germany by age 2014 Men Women Source: Statistisches Bundesamt 2014
  • 37. - 37 -  Diana, 46 years old  Works in a media company  Married, 2 adult kids  Smokes 8-10 cigarettes per day  Enjoys smoking during the evening  Hobbys: Travelling, Reading, Leisure  …  Tom, 28 years old  Mechatronics engineer  Just married  Smokes 30 cigarettes per day  Wants to stop smoking due to pregnancy of his wife  Interested in Icehockey  Hobby: sailing, adventure tours Potential target groups (buyer personas)
  • 38. - 38 - Approaching the chosen target group  Product adaptatons/changes according to target groups (hidden) desires, perceptions and needs  Consistent, target group oriented market approach (product, brand, positioning, pictures, slogans, wording, …)  Creative/appropriate/allowed marketing activities/channels: PR (e.g. womens magazines), Outdoor, Cinema, Sponsoring, Product placement, Guerilla marketing, Content marketing, blogs, social media interest groups, sampling, coupons, …  Cooperation with other brand partners (leisure, beverages, entertainment, furniture, …) ?  Target group oriented sales channels / outlets (boutiques ?) with special activities (e.g. Cooking party and Vapor-event)  Direct sales (Webshop, Amazon, specialized E-cigarette Online-shops)
  • 39. - 39 - Summary  Market is very very challenging (long lasting consumer habbits, legal constraints, competition of tobacco/pharma industry, market size, marketing invest, …)  Big potential: healthier, new technologies, various tastes  Most important decisions:  Selection of right country/countries  Selection of right target group (women ?)  Deep understanding of chosen target group (in selected country/countries)  Development of allowed and creative sales and marketing activities
  • 40. - 40 - Thank you very much for your attention and all the best ! trinasco GmbH Valentinskamp 24 20354 Hamburg Germany Tel. +49 40 31 11 29 10 Fax +49 40 31 11 22 00 Email info@trinasco.com www.trinasco.com
  • 41. - 41 - trinasco is an independent service and consulting company for manufacturers in the consumer electronics and small domestic appliances industry. We support our Action Europes by establishing efficient Marketing, Sales and After-Sales Service Solutions in Europe. Based on comprehensive management experience within multinational companies and SMEs, trinasco combines extensive operational and country-specific knowledge to help enterprises successfully establish and build their businesses within international markets. To evolve your business in the European market, trinasco supports you by:  Selecting appropriate market segments, distribution partners and retail channels in different countries.  Establishing successful structures for multi-level businesses with a competitive price performance ratio.  Meeting Action Europe expectations as well as legal obligations.  Communicating your competitive advantages and services in the most appropriate way to your Action Europes.  Executing cost effective and sustainable sales, marketing and after-sales service strategies. No matter whether you want to start or evolve your business in Europe, trinasco can add substantial value to your European operations. About trinasco
  • 42. - 42 - trinasco Management Team Bernd Kasper Dr. Hartmut Voss  Dipl.Kfm.  Business experience: Over 20 years in management functions for Europe and Asia in restructuring and optimizing international Care Supply Management and Fulllfillment  Industry: Consumer electronics (Bose, Nokia)  Dr. rer. pol., Dipl.Kfm.  Business Experience: More than 15 years experience in international marketing and corporate management functions Several years of management consulting experience (strategy, sales, marketing, leadership)  Industries: Food & beverages (Pepsi), consumer electronics (Sony, Nokia), renewable energies, services, biotech