Marketing Plan OLAYGroup -7

Introduction

Olay is a $2 Bn global brand

• Olay was born in the lab of a chemist Mr Graham Wulff in the early 1950's.

Brand was named Oil of Olay but later P&G acquired renamed brand as” Olay”

Indian skincare market ~ Rs 2,100 crSkincare moisturiser market ~ Rs 1,600 crPremium Skincare Market ~ 450 crSkincare market has been steadily growing at 16 per cent as of last yearAnti-Ageing Market ~ 60 cr

New trendsWomen are very much conscious about their looks.

Anti-ageing solutions are nascent but gaining ground

Fastest growing segment in the skincaremarket (approx. 3 % of the overall skincategory, it has doubled in the last three yrs).

Development of the skincare category in India Growing consumer awareness.

Working women has to follow a busy schedule so it is tough for themto maintain their skin, they tend toforgot to use lotions and day & nights creams.

Climate of India is tropical and the use of creams or lotion based product is uncomfortable.

So the idea has been generated to launch an anti-aging soap

Market Strategy

•People conscious of the effects of age

•High disposable family income and working woman

•Gender - Females

•Social status – High middle class and above

Segmenting

• Middle aged women of more than 35 years age of higher middle class.

• People residing in metros and tier-1&2 citiesTargeting

•Product is positioned in the minds of people by the slogan that reflects youth “Be Young Again”Positioning

SWOT-Analysis

Relevant customer or user demographics (What is the typical user profile? Where are the users located and how

do you reach them?)

StrengthsOnly Anti-aging soapLatest Soap manufacturing technologyDistribution SystemPrice - suitable

WeaknessLimited InvestmentsNo variety in product(product width, length, depth)

OpportunityNew Distribution ChannelsProduct development will open new opportunities

ThreatsNew EntrantsReadily available substitutesBrand Image of existing companies (Ponds)High custom duties

HelpfulTo achieving the objective

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HarmfulTo achieving the objective

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Competition Analysis Indirect Competition:•Anti Aging creams,•Natural and Herbal Products•Face packs

Substitution•Botox Treatment•Surgical Options•Specialty Clinics

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Cannibalization:•Competition from existing•Range of Olay’s products

Product features

Fights Aging

Contains patented Vitaniacin formulation.

Removes Wrinkles from skin.

Cleanses the skin and makes it bright.

•Additional benefit – makes the skin fair

•Ideal for all skin types

•Heals skin

Removes blackheads

•Tightens the skin pores

•Softens the skin

Product pricing & Distribution

Pricing Strategy

•Market Penetration Pricing – Low Introductory Pricing of Rs.89/- per soap of 150 gram

•Maximum satisfaction by giving affordable price

•The only high quality anti aging soap in the market.

•Competing with anti aging creams

• Usage of creams and lotions fall drastically in summers.

Distribution Strategy

• Single level: Company Retailer Consumer

• Selective Distribution.

• Chemists, Beauty consultants and Spa outlets.

• Well known departmental stores and retail outlets.

• Special trade discounts for retailers placing volume orders.

Marketing & Financial objectives

The main objectives are:

Primary market objective is to achieve more than 10,00,000 pc of sale.

To capture 10-15% of the market share initially.To create interest among customers.Focus on quality

First Year Objectives: -Objective is to build awareness among customers about soapHeavy expanses will be made on advertising to attract the customers. Aiming for a 10-15% share of the market in the first year. Aim to reduce cost by at least 5%.

Second year objective: -

Heavy advertisement to keep attracting new customersQuality improvements to earn customers loyalty Introduce new variety in anti-aging soap. To achieve a 17-20% of market share and to reduce cost by 10%.

Thanks