This document outlines a 7-step plan to strengthen and grow Olay's face care segment. The plan includes improving brand differentiation through a unified color palette and stronger logo usage. It also recommends fully leveraging existing brick-and-mortar retail channels and using online promotion to drive in-store sales. Further, it suggests focusing on value for consumers' skin and wallet, pursuing new areas of research, introducing various package sizes, and offering add-ons to provide more value. The expected results are increased market share globally and securing Olay's position as a leading mid-level face care brand.
Kiehl's Case Study - Company & Industry Analysis vis-a-vis Men's Grooming Nikhil Saraf
Analyzed the status of Kiehl’s:
- SWOT analysis of the Kiehl’s brand when it comes to male beauty products
- Business performance
- Products (packaging, visuals, ranges, geography, claims, USP <unique>)
- Market share and ranking
- Positioning and image
- Pricing
- Consumers
- PR & Digital strategy
- Retail strategy
- Merchandising
- In-store & online activities
[Entry for Loreal Brandstorm 2014]
This project was carried out to understand Segmentation, Targeting, Positioning Framework. This project is on Spark Private Limited, a figment of imagination, involving New Product Development / Conceptualization.
SECTORAL INFORMATION
OVERVIEW OF THE COMPANY
HEADQUARTER
PRODUCT PORTFOLIO
DISTRIBUTION CHANNEL
STP
PRODUCT LIFE CYCLE
MARKETING STRATIGIES
SWOT ANALYSIS
SURVEYSECTORAL INFORMATION, Introduction,
Historical Growth of the sector observed in the last 5 years,
Reasons for the Growth observed in the sector,
Government initiatives,
Porter’s Five Forces Model for the sector,
COMPANY INFORMATION,
Company snapshot,
SWOT analysis of Hindustan Unilever – HUL SWOT analysis,
Product offered by the company,
Competitor Analysis,
News (Last 12 month) incl. corporate announcement,
MARKETING STRATEGY,
DOVE Shampoo,
SWOT analysis of DOVE Shampoo,
Analyze marketing mix 4P’s of DOVE Shampoo,
STP of DOVE Shampoo,
PLC of DOVE Shampoo,
Sales Forecast,
DISTRIBUTION CHANNEL/NETWORK,
Intuitional Selling,
Digital Marketing Strategy,
Survey,
Factor Analysis
A brand analysis of cosmetic giant L'Oreal. The A comprehensive view on how L'Oreal came to its present form, its business strategies and its tapping into global markets,
very popular campaign by dove, using real models/customers to creat the comercials, was very sucessful. Presented in my Consumer Behavior class by D. Jomaa.
Market Study on Australian Skincare Market | Market Research | Innovius Resea...Innovius Designs
In this report, Innovius Research has covered Market size, Key Trends, Market Drivers and challenges, Men’s skin care Top Brands & Comparison, etc.
Research done by: Innovius Research (www.innoviusresearch.com)
Presentation designed by: Innovius Designs (www.innoviusdesigns.com)
Kiehl's Case Study - Company & Industry Analysis vis-a-vis Men's Grooming Nikhil Saraf
Analyzed the status of Kiehl’s:
- SWOT analysis of the Kiehl’s brand when it comes to male beauty products
- Business performance
- Products (packaging, visuals, ranges, geography, claims, USP <unique>)
- Market share and ranking
- Positioning and image
- Pricing
- Consumers
- PR & Digital strategy
- Retail strategy
- Merchandising
- In-store & online activities
[Entry for Loreal Brandstorm 2014]
This project was carried out to understand Segmentation, Targeting, Positioning Framework. This project is on Spark Private Limited, a figment of imagination, involving New Product Development / Conceptualization.
SECTORAL INFORMATION
OVERVIEW OF THE COMPANY
HEADQUARTER
PRODUCT PORTFOLIO
DISTRIBUTION CHANNEL
STP
PRODUCT LIFE CYCLE
MARKETING STRATIGIES
SWOT ANALYSIS
SURVEYSECTORAL INFORMATION, Introduction,
Historical Growth of the sector observed in the last 5 years,
Reasons for the Growth observed in the sector,
Government initiatives,
Porter’s Five Forces Model for the sector,
COMPANY INFORMATION,
Company snapshot,
SWOT analysis of Hindustan Unilever – HUL SWOT analysis,
Product offered by the company,
Competitor Analysis,
News (Last 12 month) incl. corporate announcement,
MARKETING STRATEGY,
DOVE Shampoo,
SWOT analysis of DOVE Shampoo,
Analyze marketing mix 4P’s of DOVE Shampoo,
STP of DOVE Shampoo,
PLC of DOVE Shampoo,
Sales Forecast,
DISTRIBUTION CHANNEL/NETWORK,
Intuitional Selling,
Digital Marketing Strategy,
Survey,
Factor Analysis
A brand analysis of cosmetic giant L'Oreal. The A comprehensive view on how L'Oreal came to its present form, its business strategies and its tapping into global markets,
very popular campaign by dove, using real models/customers to creat the comercials, was very sucessful. Presented in my Consumer Behavior class by D. Jomaa.
Market Study on Australian Skincare Market | Market Research | Innovius Resea...Innovius Designs
In this report, Innovius Research has covered Market size, Key Trends, Market Drivers and challenges, Men’s skin care Top Brands & Comparison, etc.
Research done by: Innovius Research (www.innoviusresearch.com)
Presentation designed by: Innovius Designs (www.innoviusdesigns.com)
Olay global competitiveness
On October 4, 2017, Procter & Gamble (P&G) North America Skin Care General Manager Chris Heiert received an email from a senior leader.
Any perspective on Jul/Aug/Sep Olay sales? The sales report shows sales are -12%, a significant miss on a low estimate. My guess is there must be some special causes in the quarter and wanted to get your thoughts on whether the plan will return Olay sales to grow in Oct/Nov/Dec and whether you still plan to deliver your sales growth promised for the fiscal year.
Heiert had seen good and bad quarters at Olay, a P&G-owned brand, over the course of his career. When he first joined as an Assistant Brand Manager in 2000, Olay was just establishing itself as the leading skincare brand in the world.
By the time Heiert rejoined the brand in 2015, however, Olay’s sales had been declining consistently for several years. Each year, Olay lost 5% to 10% of its consumer base for the past five years. Every valiant attempt to fix the situation failed. From its peak at over $2 billion in retail sales in 2009, sales had fallen to just over $1 billion in retail sales by fiscal year 2017. (See Exhibit 1a for Olay’s global sales growth year-over-year since 2000 and Exhibit 1b for U.S. sales from 2010-2016.)
Heiert needed to act fast to revive Olay. But how? There was no shortage of ideas on the table—he and his team debated everything from brand equity, new consumer groups, kickstarting innovation, altering their marketing and distribution models, and what categories the brand should play in.
The brand needed an immediate turnaround. If Olay could not reverse course, P&G might consider divesting the brand. In a deal in 2015, P&G had already sold off 43 beauty brands to Coty Inc.
Global marketing and e-commerse of M.A.C and sugar.pdfAmitha72
One of the leading cosmetic brands worldwide, the acronym MAC stands for Makeup Artist Cosmetics. The brand has been immensely successful in meeting consumer expectations in terms of quality and variety.
Significantly greater brand recognition than Sugar Cosmetics (estimated)
Offers significantly more discounts and promotions than Sugar Cosmetics
Offers PayPal support
Offers student discount policies
Offers Zip financing support
Offers gift card support
Uses AR
Sugar Cosmetics is one of India's fastest-growing premium cosmetic companies. The brand is devoted to producing products that are a great fit for every Indian skin tone throughout seasons and across the calendar.
ignificantly better halal ingredients than MAC Cosmetics
Sugar born from a desire to bridge the gap between providing world-class quality of colour cosmetics and makeup pigments that suit Indian skin tones is inclusive of all Indian skin tones
Medico Co.A recent survey revealed that 95 of West Australian.docxroushhsiu
Medico Co.
A recent survey revealed that 95% of West Australians are aware of the high risk of skin cancer through prolonged exposure to the sun. The sun does not discriminate. Just about anyone engaged in outdoor activities is at risk and sun bathers run the highest risk. It was once believed that the danger lies in prolonged, continuous exposure to the harmful rays of the sun. However, it is now clear that brief but frequent exposure to the sun is just as bad. This would suggest the need for sun protection on a daily basis regardless of the nature of outdoor activities. The Cancer Council's "Slip! Slop! Slap!" message has been effective in educating the public about the importance of "slipping" on a shirt, "slopping" on some sunscreen and "slapping" on a hat when going outdoors every time. The program has been extended to include “seek!” (shelter) and “slide!” (on a pair of sunglasses). Although the sale of sunscreen has doubled in the past 10 years, there is concern that sunscreen is not used at least 50% of the time. The rest of the survey result involving a good cross-section of the population, is as follows:
Reason for not using sunscreen
while outdoor (any activity) Response
Don't bother, never got into the habit of using one, etc. 20%
Don't need it except when at the beach 80%
Inconvenient, difficult to apply, oily, sticky, uncomfortable, etc. 70%
The survey, published recently in a health journal, drew your attention. You are the marketing manager of the Medico Co. of Perth.
Medico & the Moisturiser Market
Medico is the largest locally-owned pharmaceutical company - but pales in comparison with the multinational companies which dominate the Australian pharmaceutical market. The company was founded in 1948 and is well known locally for its range of high quality moisturisers sold under the Medico brand. Moisturisers are simply lotions that restore and maintain the skin's natural moisture and are used mainly by women and babies. Familiar brands include Vaseline Intensive Care, Johnson's Baby Lotion, Olay, Dove and Nivea. Apart from the more expensive moisturisers from the leading cosmetic houses, there are at least 30 brands of mainstream moisturisers on the market available in supermarkets, discount stores, department stores, and pharmacies. Medico's moisturiser division also contract manufactures for retail chain stores (supermarkets, discount stores, pharmacies, etc.) under their house/store brands, and these account for about 50% of the division's sales volume.
Marketing
The company's own brand of moisturisers is sold through all pharmacies in the Perth metropolitan area. They are priced at a premium, about 50% more than other mainstream brands, allowing pharmacies to take a higher mark-up for supporting the brand at retail level. As such, the Medico brand is the best selling range among retail pharmacies. It is considered a specialty brand and is the only formulation that penetrates deep into the skin lea.
UK beauty and skincare sector research and insights, part of what informed the brand repositioning of, and creative content for an independent women's beauty brand and the NPD of a new men's line.
1. Madison Morris, 2017Madison Morris, 2017
Regenerating
Olay
Total Effects in 7 Steps
Securing+Growing the Face Care Segment
of P&G’s Olay Brand
2. Madison Morris, 2017
Olay brand - Overview
Olay - American skin brand owned by Procter & Gamble.
7% global market share (P&G Annual Report 2016)
More than $2.5 billion in annuals sales
Successful transformation from a “grandma’s cold cream” to
a ‘masstage’ category leader. (WebbdevLam)
3. Madison Morris, 2017
Olay brand - SWAT
STRENGTHS
● R&D
● Proven consistent product
● Existing distribution channels,
relationships w/retailers
WEAKNESSES
● Undifferentiated presence in a crowded
“anti-aging”market, esp. in the ”mass-tige” category
(prestige-like products offered in mass retailers)
● Seemingly duplicate products, offering similar
benefits
OPPORTUNITIES
● International markets
● Creating new categories via
marketing/packaging
THREATS
● Existing and emerging brands
4. Madison Morris, 2017
Plan of action
1. Strong brand differentiation
2. Focus on brick n mortar
3. Online drives B’n’M
4. Treat your skin AND your
wallet with care
5. New areas of research
6. Beauty comes in different sizes
7. 20% More
(add-ons/marketing)
Total Effects in 7 Steps
5. Madison Morris, 2017
Plan of action
Right now, Olay’s advertising
efforts can easily be mistaken for
competitors
Suggestions:
1a. more prominent logo
1b unified brand color (L’Oreal uses
lots of red in its face care products
that stand next to Olay)
1. Strong differentiation
6. Madison Morris, 2017
1a Better Logo Utilization
Focusing on the existing distinct logo is a
great tool to help differentiate Olay brand
from competitors.
It can also help organize/display the
multitude of products and their benefits, by a
more pronounced language of graphic
communication
Products’ area of focus & the level of care
offered must be clearer as to facilitate a quick
choice in a crowded supermarket space.
FACE
MOISTURIZER
w/SPF
7. Madison Morris, 2017
1b Brand color palette
Olay uses a variety of different colors
for its different face care lines (red,
purple, silver).
Generally, Olay is not consistent in its
packaging design, making its easy to
be mistaken for a competitor, e.g.
both L’Oreal and Garnier oft use red
in their face care products that stand
next to Olay.
8. Madison Morris, 2017
1b Brand color palette
Like Neutrogena and Garnier who tend
to keep a similar packaging esthetics
(Neutrogena: clean font, blue; Garnier:
white & green), Olay should pursue one
UNIFYING color and branding vision)
Purple and gold would make its
stand out, while still conveying a sense of
prestige and luxury)
FACE MOISTURIZER
w/SPF
9. Madison Morris, 2017
Plan of action
Olay has robust distribution
channels (grocery stores,
drugstores, supermarkets).
Take FULL advantage of captive
audience already in the store.
2. Focus on brick ‘n’ mortar
10. Madison Morris, 2017
2. Take advantage of brick’n’mortar
Olay is a staple in the mass market
B&M stores.
Unlike with clothing or electronics
where online retailers start to trump
B&M stores, Olay has an advantage of
having a captive audience who still
goes to a physical store at least twice a
month.
11. Madison Morris, 2017
2. Take advantage of brick’n’mortar
Marketing should drive a
consumer from a cereal aisle
to explore/restock her face
care products the same way
she comes in to grab a frozen
pizza and checks a new chips
display on her way.
Example: marketing display
next to coffee selection
NOW,
WAKE
UP
YOUR
SKIN
w/
OLAY
(cosm
etics
aisle
22)
12. Madison Morris, 2017
2. Take advantage of brick’n’mortar
Dynamic and local marketing, eg in-store
promotions related to
● seasons (“Chicago! Olay can help you take
care of your skin in these cold months”)
● Holidays and target groups (“Don’t be
mistaken for a zombie this Halloween. Try
a Olay Fresh Effects* Rejuvenating
Cream!”
*Olay Fresh Effects is targeting younger more adventurous
customers who might enjoy different type of
humor/messaging
13. Madison Morris, 2017
2. Take advantage of brick’n’mortar
Tv/online ads can further reinforce the idea that
Olay is one of the easiest skin care products to just
grab and have it right away (no waiting for shipping)
Example:
TV ad pitch: a dermatologist leaving her office,
stopping at a local Walgreens. She sees her tired
eyes in the glass door of a milk case and decides to
grab an Olay eye cream. She smiles, content at a
checkout.
14. Madison Morris, 2017
2. Take advantage of brick’n’mortar
Tv ad pitch:
A 50+ man sees his 50+ wife working in a
garden, squinting in the sun. He tells her
he’s going to the drug store. There, he
picks sunglasses and an Olay cream with
SPF.
When the woman comes in, she sees the
products at the kitchen counter and
smiles gratefully. Her 20+ daughter
passes by and uses the cream on her way
out of the door.
15. Madison Morris, 2017
Plan of action
Olay’s online presence cannot just
be a poor woman’s Amazon
3.Online Drives B’n’M
16. Madison Morris, 2017
3. Online Drives People to B’n’M
The online presence has to offer something different
than the B&M stores:
● better price,
● some special add ons (“3 samples with every order”)
to ensure a good customer experience and repeated
visits.
Otherwise, why would they visit online sites?
17. Madison Morris, 2017
3. Online Universe
The Olay’s online universe should be a publicity driver:
SOCIAL MEDIA, INFLUENCERS, MAIN SITE could:
● offer unique online only promotions
● Test launches to generate interest/utilize viral PR/WoM marketing
● Position Olay as a go to hub of information about women’s skin’s needs,
highlighting a plethora of choices, from soaps and serums to face
creams...
● Establish Olay as an AUTHORITY on skin’s needs, eg. by utilizing
dermatologists, product chemists as bloggers
18. Madison Morris, 2017
Plan of action
Olay is in a unique position to take
care of your skin AND wallet
4.. Treat Your Skin AND Your
Wallet with Care
19. Madison Morris, 2017
Skin care is a treat that should not be expensive
The research shows most face creams are not that much
different from each other in terms of results. (Good
Housekeeping Research Institute, 2007)
Olay offers the same pampering experience as expensive
creams at half of a cost, taking care of your skin and your
wallet.
20. Madison Morris, 2017
Treat Your Skin and Your Wallet With Care
Olay should continue showcasing how
their proven products work for less than
the more prestigious face care products.
Olay has to be careful at pushing the
prestige part of their image, as their
higher priced products are often locked
in less than elegant cases at local
superstores.
21. Madison Morris, 2017
Plan of action
Olay cannot stand still as the
competition invests in new
ingredients, formulas and products
5.. New areas of research
22. Madison Morris, 2017
New areas of research
Olay should look closer at women’s behavior to see how Olay’s existing products
can be reformulated to fit needs not related to skin concerns .
Most women are aware that NO cream can truly (permanently) reduce wrinkles.
Combined with the fact that more women are hoping to just look like their best
selves rather than their younger versions, Olay should should focus less on
undeliverable promises (“Take 10 years off!”) and more on the pampering aspect
of face care.
23. Madison Morris, 2017
New areas of research
Olay should look closer at women’s behavior to see how existing products can be
reformulated to fit their needs
Woman like So they Olay can
● The refreshing
feel of a cream
on their skin
● Put some face creams
(esp. Eye creams) in
fridges to get that
jolting feel of cream
awaking their skin
● Reformulate some of their eye creams a
cream that is formulated for to be stored in
refrigerators
● To be protected
and taken care
throughout the
day
● Keep an extra cream on
them to apply in a skin
parching office or
during their commute
● Create a cream that is perfect to keep in a
car (probably wax based)
24. Madison Morris, 2017
Plan of action
Find innovative ways to repackage
the product to highlight new fun
ways to pamper self
6.. Beauty comes in different sizes
25. Madison Morris, 2017
Introduce more packaging sizes/groupings
a small sampler of all
products; group them
in different samplers;
potentially offered
with limited edition
makeup bags
Oh, how I
love Olay
26. Madison Morris, 2017
Introduce more packaging sizes/groupings
● A deluxe size eye cream intended to be kept
in a woman’s purse/office drawer to help eyes
tired from staring at a computer
● A deluxe size face cream intended to be kept
in a woman’s purse/office drawer for
commute touch ups (SPF) or to help skin
parched from air conditioning
28. Madison Morris, 2017
Plan of action
Olay should add on additional
products to offer even better value
to the budget conscious customers
7.. 20% More (add-ons/marketing)
29. Madison Morris, 2017
Add ons:
Pair face creams with other
products, eg. eye cream and
a sleep mask or better yet,
add on cotton pads with
Olay logo on it to put on
eyes and rest for 5 minutes.
30. Madison Morris, 2017
Add ons:
Partner with other companies with
treat-like products, e.g. to offer an
organic mask pair with “good for you
from the inside/antioxidants chockful”
chocolate
These mutually beneficial collaborations
can further reinforce the idea that Olay
care for your wellbeing and offers you a
value.
32. Madison Morris, 2017
Exected Result$
The presented solutions should help Olay:
● Grow the share of the global face care market
with more innovative products
● Secure its position as the go-to midlevel face
care brand around the world
● Prevent the competition from taking the slice of
the skin care pie.