Marketing Plan and Analysis of Shaving Cream

Marketing Plan and Analysis of Shaving Cream The shaving cream Introduction :- Shaving cream is a substance that is applied to the face or wherever else hair grows, to provide lubrication and avoid razor burn during shaving. Shaving cream is often bought in a spray can, but can also be purchased in tubs or tubes. Shaving cream in a can is commonly dispensed as a foam or a gel. Creams that are in tubes or tubs are commonly used with a shaving brush to produce a rich lather The cream itself commonly consists of a mixture of oil, soaps, surfactants, and water or alcohol, manufactured under carefully controlled conditions to ensure proper pH and consistency. Introduction to topic:- In this term paper my topic is shaving cream. In this I prepare the IMC plan for the shaving cream and analysis various competitors and develop various strategies to promote this brand. Various steps taken by me to promote by product are shown below:- Situational analysis. Determine opportunity. Determining communication objectives. Decide about budget. Develop IMC strategies to promote my product. Vision of the company The companys vision is to build total brand value by innovating to deliver consumer value and customer relationship faster, better and more effectively than its competitors. This vision statement has led to the development and introduction of various newer products especially in male division and adoption of a more customer oriented approach. Provide better quality products with affordable prices. Basic strategies of AYRULITTE:- Innovate. Heavy promotions and advertising. Brand extensions. Launching innovative and superior products. Events Sponsorship (cricket, soccer, tennis) IMC plan:- (Integrated Marketing Communication) IMC has become a very popular trend at present time. It is a management concept that brings together all the tools of marketing communication to send consistent message to target audience. Consumers wants and needs should be the main focus of the program. Steps comes under IMC planning Situational Analysis:- Before launching our product we have need to collect some information about the current market situation means what trend is going on in the market and what is preference of the customers at present their taste etc. Situational analysis provides a history of the IMC functions and an assessment of the environment. Several factors must be considered in the situational analysis. The company or organization for which the IMC plan is being created must be analyzed. The environment in which this organization operates must be understood and detailed. A market and consumer behavior analysis must be completed. Further, you must understand the competitors. External Environment analysis:- In which we analysis about the polices of Government for launching this product. In which analysis that The Governments continued focus on liberalization; trade friendly policies and improvement in infrastructure have resulted in a steady inflow of global investments into the Indian market which has again resulted in higher income levels due to increased employment opportunities and sustained economic boom. Thus, it can be said that due to higher income elasticity of demand, demand for personal grooming products are expected to grow at a rate higher than the rise in income levels of people. However, since the market is still driven largely by price and not quality (typically in rural markets and smaller towns), consumers might not value the potential benefit of paying higher prices for better and safer products. Competitors Analysis:- As i am introducing new brand of shaving cream so it is very necessary for me to collect the information about my competitors and about their products and their competitive strategies .so major competitors in this sector are shown below. Competitors analysis COLGATE PALMOLIVE : Colgate-Palmolive has three products in the shaving cream/gel/foam segment. Palmolive shaving creams are enriched with revitalizing sea minerals, this rich formula refreshes skin and protects against razor irritation. They are formulated with soothing Aloe-Vera, this rich foam is mild on skin and helps guard against irritation. One variant is a creamy formula featuring palm extract to hydrate and moisturize skin. This cream in a long thin tube is very easy to use. As you just put onto your face and use your shaver and it will get all your stubbles of your face leaving it nice and smooth The Price of each of these products is mentioned with size of the pack in the table below GODREJ:- Godrej is the domestic brand of shaving cream for Indian market. Recently Godrej has invested heavily for the expansion in this market. They have bought a shaving cream manufacturing and marketing company in South Africa and are looking forward to some other alliances for the presence in global market. The shaving cream from Godrej is among the lowest priced shaving cream in the market. It is targeting the price sensitive customer in the Indian market. But the quality of the product is satisfactory in spite of its near about half the price than its competitors. Although, variants are few in terms of size, fragrance and packaging, it is still in the shopping list of many consumers. Godrej is a domestic brand of shaving cream and now it is looking to expand in the global. Audience situation Before launching any product we have analysis who are our customers and other factors like their income criteria as my product is my product is shaving cream. we are focusing on every class people, so, we will be providing services on the basis of their status. Each class people have their own way of living according to their income . so we will provide services according their income, taste, preference. Product situation:- Involves what is the quality of our product and product benefits to the customers, why peoples buy this product. Following steps comes under it. Quality of the product is very important factor for customer it over comes the problem why they buy this shaving cream so we maintain the quality of the shaving cream according to the set standards of the government and we are provide superior quality product at affordable prices. Packaging another point for tapping the customer is to design the out look(packing) of the product in this way customer attract towards it. This is clear from the AYRULITTE after shave packing SWOT ANALYSIS:- Strength Better quality Special formulation Affordable price Effective promotion strategy weakness New in market. Poor distribution challenge. Mainly focused on youth. Opportunity:- Large market High growth Constant demand Can be produce various related product aftershave Threats Tough competition from market leaders Bargaining power of suppliers New entrance Large number of substitute products available Determine a problem or opportunity: After situational analysis next step is to identify the problem or opportunities concerning communications To understand the buying intention of shaving cream and foam users and analyze the effect of non-attribute factors. To understand the brand loyalty of customers towards shaving cream/foam/gel Identify the parameters that play the most important role in a consumers choice of buying shaving cream/gel. Main objective for determine opportunity:- What is the inter-brand recall of shaving cream/gel/foam brands and their existing image in the consumers mind? What is the effect of non-attribute factors on the purchasing decision of shaving gel/foam? How strong is the brand loyalty of customers towards shaving cream/gel/foam? What are the factors that play the most important role in a consumers choice of buying shaving cream/gel/foam? Determine the communication objectives Communication objectives flow from marketing objectives. As we are new entrant in the market there for my main communication objectives are shown below. To aware peoples about over the new brand giving better quality products with reasonable prices. Creating image in the mind of the customers by using proper media. (Advertising, news paper) Sales promotion. Budget analysis:- The very important step for a company is to prepare a budget to estimate about their expenses and how much cost we are incur in which involves all the expenses on advertisement to promote the product. I have plan to invest Rs. 20cr. And its detail showed below. Promotion IMC strategies:- After deciding about Budget we have to plan how our message is convey to the target audience for that we have to follow certain things like Target audience: means to whom this product is target for that firstly we have to analysis about Market segmentation, Targeting, Positioning (STP) Segmentation:- Market segmentation is the process of dividing a total market into market groups consisting of people who have relative similar product needs, there are clusters of needs. The method of identifying a group of consumers, within abrader market, that has similar characteristics and needs. Segments can be identified by examining demographic Psychographic, and behavioral differences. In the shaving cream market there exist different categories of customers who have different needs and are willing to pay different amount for the product that meets their demand. Introduction of shaving cream would help AYRULITTE identify the needs of the customers and take advantage of the segment which has not yet been targeted by the company. Price sensitivity, importance of attributes, point of purchase decision makers and customers influenced by additional features are the factors on which we will segment the shaving cream market. Market segmentation according to geographical areas. The population of the country is segmented into three parts which are urban, sub urban and rural area consumers. The company further differentiate the geographical segments according to Socio Economic Cluster (SEC) i.e. education and Income. Targeting:- Targeting means to which segment we are targeting means in segmentation we are divide market into different categories out of these to segment this shaving cream focus. The target market has been identified as the customers who are concerned about the attributes of the shaving cream but are not willing to shift from the current price band to a higher price band As we know urban and sub urban middle class and rural poor people are the largest part of Indian population. Acc. To a research in India reveals that urban rich people are more likely to buy imported and expensive products. Moreover rural poor people tend to buy cheap products even without evaluating its quality. However urban and sub urban upper middle and middle class people tend to buy affordable and quality products. AYRULITTE shaving cream is not a highly expensive but an affordable product. That is why the company targets urban and sub urban upper middle and middle class people who are the second highest population of segment of the country. Positioning:- Positioning refers to how customers think about proposed and/or present brands in a market. In which we analysis how customers thinks about offerings in the market. As we are new entrant in this sector there is intense competition provide by competitors so For creating good position in the buyers mind through better product attributes, price and quality, offering the product in a different way than the competitors do. The company offers improved quality of products in the industry at an affordable price with high branding, which ultimately helps to position the product in the buyers mind as the best quality shaving creams. A great positioning strategy adapted by AYRULITTE shaving cream reference to its packaging, fragrances and product designing. For men having AYRULITTE image. Mainly focus on youth. In saloons hairdressers So we can say that positioning means creating image in the mind of the customer. Thats why at first we analysis the market and after that apply positioning strategy. As shown below firstly we have to prepare Marketing plan and set marketing objective and strategies. The IMC model consists with marketing Mix elements communication mix elements. MARKETING MIX:- As shown above in IMC model integrated marketing consists with the 4 marketing mix elements which are also known as 4ps of marketing these are shown below. Product Price Place Promotion PRODUCT :- Involve various products in which company deals AYRULITTE has a range of shaving products for different types of skins and user requirements. AYRULITTE is manufactured by imported raw materials like sodium soap, glycerol and different extracts according to flavors. Taking into account the convenience of its customers, the company manufactures all flavors of shaving cream in three different sizes, 40gm, 80gm and 120gm. PRODUCT RANGE:- Shaving cream Shave gel Foam After shave cooling gel After-shave balm splash Price :- Price is main thing which we have to decide to for tapping our customer we have affordable pricing strategy at which every segment of the population by it. Prices of the products are set according to the competitors. AYRULITTE has 6 product variants of shaving gel/foam for the Indian market. PLACE: Place refers to the distribution network from where customers buy these products. The distribution network of AYRULITTE is very robust. The distribution network is a combination of own network and that of a franchisee from the customers buy the products. The distribution network follows a hub .The hubs are the 20 cities. These cities are managed by the exclusive distributors in those cities. Every city has only one franchisee distributor. Each franchisee distributor has his own set of employees working for him. The distributor also manages his own fleet costs to supply to the retailers. Distribution Distribution Network:- PROMOTION:- As we know promotion is the main part for the success of any company so I am mainly focus on this part AYRULITTE has extensive promotion campaign for the Indian market. Promotion may be defined as the co-ordination of all seller initiated efforts to set up channels of information and persuasion to facilitate the scale of a good or service. Promotion is most often intended to be a supporting component in a marketing mix. Promotion decision must be integrated and co-ordinate with the rest of the marketing mix, particularly product/brand decisions, so that it may Effectively support an entire marketing mix strategy. The promotion mix consists of four basic elements. They are:- Advertising Personal Selling Sales Promotion, and Publicity Advertising is the paid form of promotion Advertisement is a mass communicating of information Newspapers and magazines. On radio and television broadcasts Direct mail Web site. By sponsorship. ADVERTISEMENT ON TV:- The advertisement that I have chosen is AYRULITTE shaving cream It urges its customers to look thought the practical, easy and confident usage of product. The copy itself says the very imp moments .i.e. Marriage play imp role and anybody would want it to happen without any hassle. The usage of product which is hassle free and very convenient conveyed thought this commercial very effectively with the help of little humor in to it. Any common man can identify connect himself with message and the way its been presented to him. Other strategies Push Approach: We would offer pack 5 razors with AYRULITTE Shaving Cream (Priced at Rs 50) weight 80gm. This strategy helps to take intention of the customer towards the products. And with help of this we will create brand image in the mind of the customers. Pull Approach: Our advertisement has to entice the target consumer the aspiring consumer who comes from the middle and lower middle class and gives importance to attributes but is also price sensitive. Our target consumer is widespread throughout the country- rural, urban. From over advertisement we show this will helps us to enhance awareness of over product through out the country.