Report On Old Spice Bold Spray

5397 words (22 pages) Essay

1st Jan 1970 Marketing Reference this

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The first Old Spice product, called Early American Old Spice for women, was introduced in 1937, closely followed by Old Spice for men in 1938. The Old Spice products were manufactured by the Shulton Company that was founded in 1934 by William Lightfoot Schultz. Early American Old Spice was developed around a colonial theme. When Old Spice was introduced, William Lightfoot Schultz was interested in maintaining a colonial feel for those products and chose a nautical theme of Old Spice.

Thus, sailing ships, in particular colonial sailing ships, were used as a trademark. Through continuous use and advertising, the various ships have become a valuable trademark identifying the Old Spice product for men. 

The original ships used on the packaging were the Grand Turk and the Friendship. Other ships used on the Old Spice packaging include the Wesley, Salem, Birmingham and Hamilton. The Clipper ship was replaced by the Sailboat/Yacht logo on the fragrance bottles in February 1992.

Since purchasing the Old Spice line in June 1990, we have continued to provide many of the original Old Spice products and have introduced several new products that have enhanced the Old Spice line.

Old Spice was introduced into the UK in 1957 when, prior to this, the concept of male toiletries was practically unknown. A very small number of products were available in the UK and the market was extremely small and under developed. With the launch of Old Spice, the sale of men’s toiletries grew impressively.

Old Spice’s Body Spray remains key to the brand, helping it to remain one of the best selling mass market male grooming sprays in the world.

What’s in a name?  The name represents rich, strong, saturated, bold, masculine yet deep and warm fragrance.

SWOT ANALYSIS

The analysis of the internal and external environment is integral for determining the company’s strategic standpoint and potential for success regarding the product.

STRENGTH

Old Spice body spray an institution where everyone is familiar with this name & it’s a name they respect hence this brand has a long durability.

It’s a very renowned & successful brand in global markets

It has a strong financial position because of the parent company P&G.

Strong distribution channel

Fame for creative messages

Affordable price

Wide extension around the world

Successful and effective advertisement campaigns

Strong emotional touch

WEAKNESS

Old Spice was struggling with its image of an old brand, incapable of catering to contemporary tastes.

Customer concentration

Intense competition in the market.

concrete target public (young man)

subliminal publicity, “Old Spice effect” doesn’t exist

unenvied and old design of packaging

advertise only spray products, Old Spice production line is much more

chauvinistic publicity

OPPORTUNITY

Developing market

Continuous Innovation

Create new product lines, targeting female customers

Maintain better standards of quality

Unified advertising campaign throughout the world

THREATS

In the market for men’s personal grooming products, there are already very strong competitors like Lanxe, Divea & Axe are present.

They hold a very strong market share in Pakistan. It is very difficult for Old Spice or any other to stand and hold a smart market share in this industry.

The strong market leaders are a threat for Old Spice.

Risk of being a brand for enhancing the men sex-appeal

Imitation by the competitors

Undermining the aspiration of consumers

CURRENT MARKETING SITUATION

BCG MATRIX

SUGGESTIONS

In order to gain higher % share in the Body Spray market of Pakistan in coming years, it requires a solid promotion and innovation in it. If it would not be happen it will be very difficult for Old Spice Body Spray to sustain in the market.

Still in the overseas market Old Spice Body Sprays have achieved a tremendous success and enjoying its glory of star in its PLC stage.

CUSTOMER PREFERENCES

In customer preferences, we will analyze some of the questions of our survey research, because, this analysis will help us to understand the customer preferences.

What content would you prefer in your Body Spray?

According to the data collected by our survey, it was found that 38% people prefer Masculine, 31% Concentration and 31% people prefer Seductive in their Body Spray.

The analysis shows that majority of the people prefer Masculine effect in their Body Sprays.

The percent age of the Seductive and Concentration is same.

Our next question, which of the bottle do you want in 250ml? (Options are glass bottle, can, disposable bottles, and plastic bottles.)

According to this graph 34% of them prefer Metallic bottles, 33% of the people prefer plastic bottles, 20% of them prefer Can and 13% prefer glass bottles.

This analysis shows that either metallic or plastic bottles should replace the glass bottles.

Next question is what price range would you prefer? (For 250ml). And the answers we received for this question were as follow:

According to this graph, 73% of the people prefer price between Rs.120-200, 20% of them prefer price between Rs.100-120, and 7% of them prefer below Rs.100.

This analysis shows that approximately 73% people are satisfied with the price range of the Old Spice Body Spray in the market.

CUSTOMER SATISFACTION

We had a question in our questionnaire related to customer satisfaction, in order to find out their satisfaction for Old Spice before launch. The question was:

Tell me how much you liked the Old Spice by pointing to the face that best shows how much you liked it.

1

*0% *40% *80% *100%

0% (dissatisfied)

40% (somewhat satisfied)

80% (satisfied)

100% (fully satisfied)

According to this graph, 40% of them were somewhat satisfied; 40% of them were dissatisfied, 13% of them were satisfied and 7% of them were fully satisfied.

The satisfaction of the customers is based on their preferences. If the manufacturers of Old Spice provides them what they want then customers are automatically satisfied from Old Spice.

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SEGMENTATION AND TARGETING

GEOGRAPHIC SEGMENTATION

Geographically, Old Spice Body Spray divided Pakistan into provinces and then into cities.

Climate is also very important geographical factor. Old Spice Body Spray sprays contain many minerals mosituring skin and make you feel fresh and comfortable even for long periods of hot weather conditions.

ANALYSIS AND SUGGESTION

This helps them to increase the market share of Old Spice and generate cash.

We will first cater the Karachi city and will also cater the other city of Pakistan. Our aim is to capture as many as cities of Pakistan as possible and will also focus the small cities of Sindh, like:

Hyderabad

Nawab Shah

Larkana etc.

Mainly targeting areas where people are still using unbranded Body sprays and fake brands of body sprays. This is the best market to cater and create awareness about Old Spice Body Spray. The climatic conditions of these cities are also very attractive for our product.

DEMOGRAPHIC

Demographically the market is segmented on the basis of:

Age

Gender

Family size

Income

PSYCHOGRAPHIC

In psychographic segmentation, Old Spice Body Spray considers only one factor, which is Social class.

TARGET

Their target social classes are middle & upper class. In past P&G were catering to these classes in Pakistan. But they face some problems in catering to these social classes. In our point of view,

“In Pakistan the rich has became richer and poor has became poorer and the middle class is almost ended or converted into lower class in Pakistan. It is very difficult to stick to the same social classes and caters them.”

That is why we make changes in their strategies and decided that they continue to cater the middle and lower upper class and also cater the upper class. As the upper class is one of the major segments for Old Spice Body Spray. In order to attract upper class we gave free samples to people at Park towers (Clifton) on 26th, 27th and 28th of October 2010. We also introduced UTC (under the crown) scheme between November till December this year, in which we will give prizes to youngsters. We are planning to introduce the variant of OLD SPICE Body Spray in order to attract the different classes of Pakistan which ultimately cater two different segments likely Aspiration & Vision to Prosper Group are planning to launch a product line extension variants for Old Spice Body Spray. The uses of men’s body sprays are very useful for men, men sweat more quickly than women. Old Spice agencies’ sprays to save people a bad smell of sweat. It is very tedious work, to choose the best men’s body sprays are the truth, because the products available in the market. Buy the perfect male body sprays for men is like a needle in haystack. Remember the smell of the body have different nozzles for all skin types. There are some points that you know, if you want to buy the right person and the special needs of Body Spray. Old Spice Body Spray provides the best selection of body sprays for men to call her partner more than his share of passionate feelings in its proper perspective. 

BEHAVIOURAL SEGMENTATION

Considering variables:

Occasions

Benefits

User status

Attitude toward product

TARGET

In behavioural segmentation we grouped the people on the basis of their responses and usage of the product.

We considered that the consumption of Body Sprays does not remain the same through out the year. In summers (April-July) it sales increases but in winter it sales decreases. In summers the people used it on almost regular basis. But in winter they use it occasionally, or use it when they go out (on premises). In order to increase the sales in winter season we influence people by the tagline:

“Experience is everything”

By this tagline we want to promote Old Spice as a cool, bold, masculine, energetic, seductive and refreshing Body Spray. That can be use at anytime.

The Old Spice commercials in overseas market target a slightly older man and imply that there might be a progression as you grow into their product.

Different people want different mixes of benefits from the products they buy.

Old Spice Body Spray introduces different attractive packaging of bottles, because people want something new every time as the trend change people want change in almost everything. In this way they want something new in the Body Spray like change in fragrance, Style, Looks.

Currently, our strategy is to tries to regain its current users of different products of Old Spice which are already exist in the market. After launching Old Spice Body Spray in Pakistani market, we will come up with some new strategies to cater the large market of target audience through the good will of the parent company. Due to that we will increase the market share that’s why we decided to cater all three different segments in order to convert the non-users into regular users. We tries to gain a positive attitude toward Old Spice Body Sprays by giving a good quality product at a lower price as compare to their competitors and make sure that their product in available at almost all places in Karachi.

STRATEGY

Essentially, the formation of the proposed brand is a merger of line extensions and multibrands dependent on the area of target market:

Line extension brand strategy would include addressing the marketing objectives of targeting bold, masculine males by promoting current brands to the new potential market by adjusting the product strategy to appeal to current affairs that interest this section of the target market – still, however, preserving brand names. Line extension strategy may also be highly effective in targeting niche sub-culture markets by extending the Old Spice Body Spray brand to appeal to their unique interests such as the aforementioned Old Spice Body Spray Binary sub-label. Line extensions represent existing brand names extended to new forms, sizes and fragrances of an existing product category

The use of multibrand strategy allows for new brands to be introduced in the same Old Spice Body Spray product categories of deodorants, and even body sprays and shower gels under new brand names, accompanied by new product strategies. This particular strategy can be incorporated into achieving the marketing objectives of penetrating new segments

Therefore, a combination of line extensions under the Old Spice Body Spray brand name to include new fragrances like Swagger, Aqua Reef, Pure Sport adjusting current marketing initiatives through altering product strategy to appeal to all age groups, and new brands – owned by P&G -serve to satisfy all outlined marketing objectives and increase the market share.

SUSTAINING GROWTH

Old Spice Body Spray has increased sales worldwide by successfully expanding distribution into one country after another; while the strategically timed introduction of new Body Sprays has increased overall market share. As the market matures, P&G must now address new market opportunities- ethnic multi-cultural markets located throughout the world–where it can realize incremental sales. Old Spice Body Spray Product line extension Although Old Spice lead product is the fragranced deodorant body spray, other forms of the brand exist.

“One of the challenges is creating a new habit,” said a P&G rep, referring to the spray and towelettes.

The Overall Old Spice Body Spray image in overseas market is very much strong and it shows the sustainable growth of it. The brand image and our creative strategies will help to show the sustainable growth of Old Spice Body Sprays in our consumer market.

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CREATIVE STRATEGY

The strategy had to build on the brand heritage, while rejuvenating Old Spice image to make contemporary. Passive seduction was still a real and motivating consumer insight. The young’s want to be bold, masculine, charming & seductive without being seen to try too much. Having an endorser who having all this multi-attributes show an interest gives them the confidence to go on.

However, since all brands talk about seduction, Old Spice had to impose its own point of view in a clever and motivating way. The execution had to be new and different; it made a break with conventional publicity. Humour was used, considering seduction as a serious business. The setting and protagonists used should be relevant and aspirational to the target audience. This involves moving from the traditional exotic male role model to an environment close to the consumer’s reality.

The creative idea is to show the men’s passion effects of Old Spice on women, which is bold, masculine, energetic & Sexy who is wearing it.

“We want to be efficient and are moving toward power SKUs,” said the P&G rep. “We have to understand what the consumer wants and what makes sense for retailers on shelves. Old Spice is about odor management and we’ll continue to expand on that.”

MARKETING SITUATION

When launched, Old Spice will extend its product line: deodorant body spray for men. Over and above the classical deodorant promise of odour prevention, Old Spice also offered fragrance, which allowed it to be positioned as a “seduction tool, easing the transition from adolescence to manhood”.

Old Spice has established itself as the leading male toiletries brand in USA. Central to the brand’s success was it’s innovate character, creating its own category, which situated it at the leading edge of fashion.

However, the brand seemed to have aged with its initial consumer and didn’t follow youth fashion trends.

Though the overall expansion of Old Spice thus far has been successful and impressed industry analysts, for Cool Contact some trade partners and consultants quietly wondered if men would really embrace the concept of moist towelettes touted as “offering refreshment” and to “wipe off sweat and cool down anytime.”

TARGET CUSTOMER PROFILE

Taking the example of AXE Deos, their primary target market is youth. AXE has been able to capture a huge market share by primarily focusing on the youth (Below 20 years) which contributes to only 22% of the whole Deodorants consumer population. On the contrary, Old Spice will be targeting on the population that is 16-24 & 25-35 years of age, which makes it a more larger market to cater and will help capturing a greater market share than its competitors.

In order to understand the proposed target market effectively, particular evaluation needs to be given to the demographic, psychographic and behavioral features evident in the sample size:

The targeted age range should consist of 16-24 & 25-35 years of age

The target market is also male, unaffected by race or ethnicity – although different marketing initiatives may appeal to different ethnic groups

Targeted consumer is of a middle & upper socio-economic status given the income distribution of the age group and education levels

The status of the proposed candidate is that of a bachelor or most likely involved in long term relationships

The dominant portion of the target consumers exhibit heterosexual orientation, given the success of previous campaigns portraying the protagonist of this sexual orientation

The following profile can therefore be established;

Age: 21-35 & 35 Above

Gender: Male

Mentality: Mainstream.

Perception: Peer influenced

Socio-economic Class: Middle & Upper

Geography: Anywhere males and females are present

Sexuality: Heterosexual

The three products being suggested to different segments of our target population are:

Age of 16-20 years – Aspiration

Age of 21-35 years – Vision to Prosper

The target population between the ages of 21-35 years contributes to 55% which is more than half of the complete target population of the Body Spray consumers in Pakistan. To make it more feasible for us to cater the need of such a huge chunk of potential consumers, we segregated it into 2 distinct groups of Aspiration & Vision to Prosper. Both have these groups have their own set of distinct attributes, such as, daily routine, stress, work load, staying outdoors, perspiration, working environment, standard of living, perception.

Internationally this brand targets male aged 15-25. They still love the unique Old Spice Body Spray fantasy of “”Experience is everything,””. Young men in this age

group are impatient for their first experience of women. They dream about being able to seduce women without too much effort, because they are not as confident as they seem. Their main topics of interest are sex, music, football and having a laugh.

The brand has its brand values of Cool, Fashionable and Stylish. And world over, the brand shoots to its core values. The biggest strength of this brand is the underlying message or the DNA, which is that the brand users are High on Confidence and always for the Old Spice users, “Experience is everything”. I think the biggest competitive advantage of this brand is its complete monopoly over this brand proposition. All its campaigns revolve round this central theme of Seduction where “Experience is everything”.

I think it has lot of subliminal implications. The brand assumes that Men want to be experience everything. Previously “Prove-It” ran in various iterations for 13 years and successfully distanced the product from its grandfatherly image. But “Experience” embraces Old Spice’s heritage with humor and double entendres to establish itself as an authority when it comes to the “experiences” young guys seek.

That feeling (of being experience) gives a big boost of self confidence to a man. Although many brands take this proposition, Old Spice just made it perfect.

COMPETITORS

The only potential competition faced by Old Spice Body Spray in terms of direct competition are other deodorant brands being produced – directed towards the same target market. These include, Lanxe, Divea, Axe and various other generic brands targeting the lower and younger socio-economic market share. Given the oligopolistic nature of the deodorant market competitors cannot gain significant market share by dropping prices much lower than Old Spice Body Spray.

P&G also is taking the unusual position of undercutting Unilever’s price points for Old Spice body spray, a tact it almost never takes, particularly for new launches. Axe will retail for $3.99-4.99, while Old Spice will sell for $2.99.

MARKET POSITIONING

Old Spice Body Spray is working to occupy a very distinctive position in the mind of customers by giving them superior quality products. The emphasis on the ‘careful delivery of their products’. We ensure that Old Spice reaches to customers in the same condition in which it was made. In this way we attract customers towards the quality maintenance of their product.

Secondly, we want to hold the position of Old Spice in the mind of the customers as a cool, bold, masculine, seductive, energetic and refreshing by using this tagline:

“Experience to win”

Means a men can experience to win what he wants.

ANALYSIS AND SUGGESTION

Currently, P&G want to position Old Spice as a:

Cool bold, masculine, seductive, energetic and refreshing.

Best quality Body Sprays.

By using the tagline:

“Experience is everything”

Their positioning strategies are good, but in Pakistan we have to promote in a different manner in respect to its culture and the kind of nature of consumers.

While body sprays are tracked within the deodorant/antiperspirant market, Gooch says many guys use them like a fragrance. While deodorants are typi­cally applied to the underarms, with the intent of preventing odor, body sprays are often applied directly to the body as well, in much the same fashion as fragrance. “The body spray category can serve as an alternative form of fra­grance and is an entry point for a lot of young guys who have had little experi­ence with traditional fragrance and just want to smell good.”

We try to promote Old Spice Body Spray in such a way that it occupy a very distinctive and clear position in the mind of consumer that Old Spice is a quality body spray at a reasonable price.

MARKETING MIX

Marketing mix consist of everything that the firm can do to influence the demand for its products. Here we will be discussing the 4 Ps of Old Spice Body Spray. Primarily, the marketing strategy will be a differentiated strategy, where Marketing Mix will actually identify which variant will be targeting the specific segments which we have made on the basis of demography discussed earlier. Moreover, the products attributes including price and packaging will be more visible and rather with going only a single product, we will suggest to differentiate the product and target the 3 segments on the basis of these attributes in the Marketing Mix.

PRODUCT

Products are the goods of the company that they offer to their target market. Currently, Old Spice Body Spray has five products in its product line:

After Hours

Aqua Reef

Pure Sport

Show Time

Swagger

Old Spice body spray can features a distinctive bright red metallic exterior and an associative logo representative of its label. Ergonomics have been perfected on the product level to a point where aerosol leakage has become virtually impossible. The Old Spice brand name is designed around a logo that utilizes custom designed typography to give it a distinctive and recognizable look – its red exterior, complimenting packaging and striking short, block lettering exemplified thereon setting it apart from the generic competitor.

Moreover, differentiating the product on the basis of the packaging design for Swagger is to be up class, this can be easily done through introducing it in a more classier contain with engravings which will give it a rugged look, where the segment we are targeting is 21-35 years of age. Similarly for the 16-20 years of age, we will introduce Pure Sport and Aqua Reef respectively, which will include a simple-design container with an elegant look.

Augmentation of the product line allows customers to interact with its various promotional campaigns through a plethora of web sites scattered with images of bold masculine men – all in favor of complying with the needs of its target market. There are also telephone hotlines available to assist customers with information about competitions and the more intricate product details.

Mainly, the brand personality of ‘Old Spice’ is Masculine and portrays someone with good build & persona. Sophistication, Elegance, Classiness, and Urbanity can be few of the attributes which can be associated with the brand.

Now we discuss the variables of product for Old Spice.

VARIETY

Old Spice Body sprays can be a refreshing way to end a shower. Spray it on after towel drying and allow it to dry on your skin. By the time you’re ready to slip into your clothes, the spray will be dry, leaving just the light scent behind. And, because there are so many to choose from, you can wear a different fragrance every other day .

It will include an element of innovation pertaining to the brand image of our designated product, as well as to improvise certain attributes of our product to make it more attractive for our target market.

Lately, there hasn’t been ANY product innovation in the Deodorants Industry. We can study that brands basically competes amongst themselves on the basis of USPs which are basically the perception which they build in the minds of their potential consumers. Therefore, we will be to introduce 3 variants of body sprays in the market which will target Aspirtational & Vision to Prosper group

Aspiration Group: A fragrance which would help evoke the spirit of livelihood by experiencing different colors of life by experiencing the taste of Old Spice.

Vision to Prosper: Scents are the essence which embark the path to success, as essence to a successful life

We manufacture Old Spice Body Sprays that are in vogue today. Body sprays with airtight properties and featured with complete protection to provide complete satisfaction to our clients. These are available with internal protective lining lids. Body sprays manufactured by us are extremely skin friendly and are suitable for all age groups. Our range of fragrances is wide enough to cater to domestic as well as international taste.

Future Prospective Market:

In future, will introduce the Body Sprays extended to new forms, sizes and fragrances of an existing product category. The specific flavours will be:

Alcoholic Mint

Tobacco

ylang-ylang

lemon, lime

citrus

Attributes:

Aroma to Cure or Eliminate Bad Breath and Body Odor which causes Stress

Stress can take a toll on our bodies. One of the effects of stress is bad breath and body odor. These odors are more prevalent during times of stress, but stress isn’t the only cause of body odor. We can find ways to eliminate bad breath and body odor through diet, aroma therapy, and body scents. Old Spice Body Spray have the tendency to reducing odors.

Using an antiperspirant will sometimes cause more body odor than it does to help it. Aluminum is the primary ingredient in many over-the-counter deodorants, and aluminum is suspected of accumulating problems in the nervous system. The reason we perspire is because our body is riding of toxins and other bacteria. By using an antiperspirant, we are trapping the toxins and germs inside of our bodies, increasing the stress our bodies already have. We may feel confident hiding the odor using antiperspirant, but the odor is revealed through our breath.

Each aroma has unique properties that create a state of mind. Choosing a scent, body spray, or deodorant is a personal choice and sometimes these choices reflect and define our personality, behaviors, and moods. During a stressful period, an additional scent in the medicine cabinet or cosmetic case can cure the most stressful situations, but what scents are good for a stressful time and how do we ensure a cure for the trauma our bodies and minds are going through?

For that reason, we come up with different fragrances which are excellent for refreshing the mind and body. They are excellent at eliminating bad breath, but the aroma invigorates ambition and clarity, helping us to cope and rid of stress.

Fragrances are:

Spearmint

Peppermint

Wintergreen

Mint is refreshing and invigorating for both men and women, making it an excellent aroma during times of stress. It is strong enough for a man and a woman.

QUALITY

The company has the basic purpose to give quality products to the consumers.

For the quality management work the quality assurance team will collects the samples of Old Spice Body Sprays product from the market places and takes back these samples to America for testing. If there is any flaw in the quality of product, strict action is taken against them. For the better quality purpose some special supervisors come from the parent company that stay with them for the whole week and monitor the sample results process and take the report back to America.

According to this strategy, we ensure the customers that the quality is always consistent. We claim that no other company in Pakistan has this privilege.

PRICE

Price differentiation strategy will also prove to be an effective tool to build the required brand perception in the minds of the various target segments. Swagger being positioned as an up class product will be priced a relatively higher than its 2 other variants being relative to the premium tier consumers who translates a higher price to a better quality product. Here the product will be priced at Rs. 200, as an introductory price offer.

The other 2 variants pure sport and aqua reef will be priced lower, at an introductory price, of Rs. 160. Such a pricing strategy will be able to cover the affordability range of a huge consumer market; moreover, will also be able to compete with other brands in the market.

Developing the pricing strategy requires an intimate look at the product strategy. If the product is deemed an innovation – on the grounds of addressing a previously untargeted market like a sub-culture or youth segment – the most profitable strategy for the Old Spice Body Spray would be a market-penetration tactic.

Market-penetration aims to set a comparatively low price for a new product in order to attract a large number of buyers and enhance a current market share.

PLACE

The process of efficiently and effectively

The first Old Spice product, called Early American Old Spice for women, was introduced in 1937, closely followed by Old Spice for men in 1938. The Old Spice products were manufactured by the Shulton Company that was founded in 1934 by William Lightfoot Schultz. Early American Old Spice was developed around a colonial theme. When Old Spice was introduced, William Lightfoot Schultz was interested in maintaining a colonial feel for those products and chose a nautical theme of Old Spice.

Thus, sailing ships, in particular colonial sailing ships, were used as a trademark. Through continuous use and advertising, the various ships have become a valuable trademark identifying the Old Spice product for men. 

The original ships used on the packaging were the Grand Turk and the Friendship. Other ships used on the Old Spice packaging include the Wesley, Salem, Birmingham and Hamilton. The Clipper ship was replaced by the Sailboat/Yacht logo on the fragrance bottles in February 1992.

Since purchasing the Old Spice line in June 1990, we have continued to provide many of the original Old Spice products and have introduced several new products that have enhanced the Old Spice line.

Old Spice was introduced into the UK in 1957 when, prior to this, the concept of male toiletries was practically unknown. A very small number of products were available in the UK and the market was extremely small and under developed. With the launch of Old Spice, the sale of men’s toiletries grew impressively.

Old Spice’s Body Spray remains key to the brand, helping it to remain one of the best selling mass market male grooming sprays in the world.

What’s in a name?  The name represents rich, strong, saturated, bold, masculine yet deep and warm fragrance.

SWOT ANALYSIS

The analysis of the internal and external environment is integral for determining the company’s strategic standpoint and potential for success regarding the product.

STRENGTH

Old Spice body spray an institution where everyone is familiar with this name & it’s a name they respect hence this brand has a long durability.

It’s a very renowned & successful brand in global markets

It has a strong financial position because of the parent company P&G.

Strong distribution channel

Fame for creative messages

Affordable price

Wide extension around the world

Successful and effective advertisement campaigns

Strong emotional touch

WEAKNESS

Old Spice was struggling with its image of an old brand, incapable of catering to contemporary tastes.

Customer concentration

Intense competition in the market.

concrete target public (young man)

subliminal publicity, “Old Spice effect” doesn’t exist

unenvied and old design of packaging

advertise only spray products, Old Spice production line is much more

chauvinistic publicity

OPPORTUNITY

Developing market

Continuous Innovation

Create new product lines, targeting female customers

Maintain better standards of quality

Unified advertising campaign throughout the world

THREATS

In the market for men’s personal grooming products, there are already very strong competitors like Lanxe, Divea & Axe are present.

They hold a very strong market share in Pakistan. It is very difficult for Old Spice or any other to stand and hold a smart market share in this industry.

The strong market leaders are a threat for Old Spice.

Risk of being a brand for enhancing the men sex-appeal

Imitation by the competitors

Undermining the aspiration of consumers

CURRENT MARKETING SITUATION

BCG MATRIX

SUGGESTIONS

In order to gain higher % share in the Body Spray market of Pakistan in coming years, it requires a solid promotion and innovation in it. If it would not be happen it will be very difficult for Old Spice Body Spray to sustain in the market.

Still in the overseas market Old Spice Body Sprays have achieved a tremendous success and enjoying its glory of star in its PLC stage.

CUSTOMER PREFERENCES

In customer preferences, we will analyze some of the questions of our survey research, because, this analysis will help us to understand the customer preferences.

What content would you prefer in your Body Spray?

According to the data collected by our survey, it was found that 38% people prefer Masculine, 31% Concentration and 31% people prefer Seductive in their Body Spray.

The analysis shows that majority of the people prefer Masculine effect in their Body Sprays.

The percent age of the Seductive and Concentration is same.

Our next question, which of the bottle do you want in 250ml? (Options are glass bottle, can, disposable bottles, and plastic bottles.)

According to this graph 34% of them prefer Metallic bottles, 33% of the people prefer plastic bottles, 20% of them prefer Can and 13% prefer glass bottles.

This analysis shows that either metallic or plastic bottles should replace the glass bottles.

Next question is what price range would you prefer? (For 250ml). And the answers we received for this question were as follow:

According to this graph, 73% of the people prefer price between Rs.120-200, 20% of them prefer price between Rs.100-120, and 7% of them prefer below Rs.100.

This analysis shows that approximately 73% people are satisfied with the price range of the Old Spice Body Spray in the market.

CUSTOMER SATISFACTION

We had a question in our questionnaire related to customer satisfaction, in order to find out their satisfaction for Old Spice before launch. The question was:

Tell me how much you liked the Old Spice by pointing to the face that best shows how much you liked it.

1

*0% *40% *80% *100%

0% (dissatisfied)

40% (somewhat satisfied)

80% (satisfied)

100% (fully satisfied)

According to this graph, 40% of them were somewhat satisfied; 40% of them were dissatisfied, 13% of them were satisfied and 7% of them were fully satisfied.

The satisfaction of the customers is based on their preferences. If the manufacturers of Old Spice provides them what they want then customers are automatically satisfied from Old Spice.

SEGMENTATION AND TARGETING

GEOGRAPHIC SEGMENTATION

Geographically, Old Spice Body Spray divided Pakistan into provinces and then into cities.

Climate is also very important geographical factor. Old Spice Body Spray sprays contain many minerals mosituring skin and make you feel fresh and comfortable even for long periods of hot weather conditions.

ANALYSIS AND SUGGESTION

This helps them to increase the market share of Old Spice and generate cash.

We will first cater the Karachi city and will also cater the other city of Pakistan. Our aim is to capture as many as cities of Pakistan as possible and will also focus the small cities of Sindh, like:

Hyderabad

Nawab Shah

Larkana etc.

Mainly targeting areas where people are still using unbranded Body sprays and fake brands of body sprays. This is the best market to cater and create awareness about Old Spice Body Spray. The climatic conditions of these cities are also very attractive for our product.

DEMOGRAPHIC

Demographically the market is segmented on the basis of:

Age

Gender

Family size

Income

PSYCHOGRAPHIC

In psychographic segmentation, Old Spice Body Spray considers only one factor, which is Social class.

TARGET

Their target social classes are middle & upper class. In past P&G were catering to these classes in Pakistan. But they face some problems in catering to these social classes. In our point of view,

“In Pakistan the rich has became richer and poor has became poorer and the middle class is almost ended or converted into lower class in Pakistan. It is very difficult to stick to the same social classes and caters them.”

That is why we make changes in their strategies and decided that they continue to cater the middle and lower upper class and also cater the upper class. As the upper class is one of the major segments for Old Spice Body Spray. In order to attract upper class we gave free samples to people at Park towers (Clifton) on 26th, 27th and 28th of October 2010. We also introduced UTC (under the crown) scheme between November till December this year, in which we will give prizes to youngsters. We are planning to introduce the variant of OLD SPICE Body Spray in order to attract the different classes of Pakistan which ultimately cater two different segments likely Aspiration & Vision to Prosper Group are planning to launch a product line extension variants for Old Spice Body Spray. The uses of men’s body sprays are very useful for men, men sweat more quickly than women. Old Spice agencies’ sprays to save people a bad smell of sweat. It is very tedious work, to choose the best men’s body sprays are the truth, because the products available in the market. Buy the perfect male body sprays for men is like a needle in haystack. Remember the smell of the body have different nozzles for all skin types. There are some points that you know, if you want to buy the right person and the special needs of Body Spray. Old Spice Body Spray provides the best selection of body sprays for men to call her partner more than his share of passionate feelings in its proper perspective. 

BEHAVIOURAL SEGMENTATION

Considering variables:

Occasions

Benefits

User status

Attitude toward product

TARGET

In behavioural segmentation we grouped the people on the basis of their responses and usage of the product.

We considered that the consumption of Body Sprays does not remain the same through out the year. In summers (April-July) it sales increases but in winter it sales decreases. In summers the people used it on almost regular basis. But in winter they use it occasionally, or use it when they go out (on premises). In order to increase the sales in winter season we influence people by the tagline:

“Experience is everything”

By this tagline we want to promote Old Spice as a cool, bold, masculine, energetic, seductive and refreshing Body Spray. That can be use at anytime.

The Old Spice commercials in overseas market target a slightly older man and imply that there might be a progression as you grow into their product.

Different people want different mixes of benefits from the products they buy.

Old Spice Body Spray introduces different attractive packaging of bottles, because people want something new every time as the trend change people want change in almost everything. In this way they want something new in the Body Spray like change in fragrance, Style, Looks.

Currently, our strategy is to tries to regain its current users of different products of Old Spice which are already exist in the market. After launching Old Spice Body Spray in Pakistani market, we will come up with some new strategies to cater the large market of target audience through the good will of the parent company. Due to that we will increase the market share that’s why we decided to cater all three different segments in order to convert the non-users into regular users. We tries to gain a positive attitude toward Old Spice Body Sprays by giving a good quality product at a lower price as compare to their competitors and make sure that their product in available at almost all places in Karachi.

STRATEGY

Essentially, the formation of the proposed brand is a merger of line extensions and multibrands dependent on the area of target market:

Line extension brand strategy would include addressing the marketing objectives of targeting bold, masculine males by promoting current brands to the new potential market by adjusting the product strategy to appeal to current affairs that interest this section of the target market – still, however, preserving brand names. Line extension strategy may also be highly effective in targeting niche sub-culture markets by extending the Old Spice Body Spray brand to appeal to their unique interests such as the aforementioned Old Spice Body Spray Binary sub-label. Line extensions represent existing brand names extended to new forms, sizes and fragrances of an existing product category

The use of multibrand strategy allows for new brands to be introduced in the same Old Spice Body Spray product categories of deodorants, and even body sprays and shower gels under new brand names, accompanied by new product strategies. This particular strategy can be incorporated into achieving the marketing objectives of penetrating new segments

Therefore, a combination of line extensions under the Old Spice Body Spray brand name to include new fragrances like Swagger, Aqua Reef, Pure Sport adjusting current marketing initiatives through altering product strategy to appeal to all age groups, and new brands – owned by P&G -serve to satisfy all outlined marketing objectives and increase the market share.

SUSTAINING GROWTH

Old Spice Body Spray has increased sales worldwide by successfully expanding distribution into one country after another; while the strategically timed introduction of new Body Sprays has increased overall market share. As the market matures, P&G must now address new market opportunities- ethnic multi-cultural markets located throughout the world–where it can realize incremental sales. Old Spice Body Spray Product line extension Although Old Spice lead product is the fragranced deodorant body spray, other forms of the brand exist.

“One of the challenges is creating a new habit,” said a P&G rep, referring to the spray and towelettes.

The Overall Old Spice Body Spray image in overseas market is very much strong and it shows the sustainable growth of it. The brand image and our creative strategies will help to show the sustainable growth of Old Spice Body Sprays in our consumer market.

CREATIVE STRATEGY

The strategy had to build on the brand heritage, while rejuvenating Old Spice image to make contemporary. Passive seduction was still a real and motivating consumer insight. The young’s want to be bold, masculine, charming & seductive without being seen to try too much. Having an endorser who having all this multi-attributes show an interest gives them the confidence to go on.

However, since all brands talk about seduction, Old Spice had to impose its own point of view in a clever and motivating way. The execution had to be new and different; it made a break with conventional publicity. Humour was used, considering seduction as a serious business. The setting and protagonists used should be relevant and aspirational to the target audience. This involves moving from the traditional exotic male role model to an environment close to the consumer’s reality.

The creative idea is to show the men’s passion effects of Old Spice on women, which is bold, masculine, energetic & Sexy who is wearing it.

“We want to be efficient and are moving toward power SKUs,” said the P&G rep. “We have to understand what the consumer wants and what makes sense for retailers on shelves. Old Spice is about odor management and we’ll continue to expand on that.”

MARKETING SITUATION

When launched, Old Spice will extend its product line: deodorant body spray for men. Over and above the classical deodorant promise of odour prevention, Old Spice also offered fragrance, which allowed it to be positioned as a “seduction tool, easing the transition from adolescence to manhood”.

Old Spice has established itself as the leading male toiletries brand in USA. Central to the brand’s success was it’s innovate character, creating its own category, which situated it at the leading edge of fashion.

However, the brand seemed to have aged with its initial consumer and didn’t follow youth fashion trends.

Though the overall expansion of Old Spice thus far has been successful and impressed industry analysts, for Cool Contact some trade partners and consultants quietly wondered if men would really embrace the concept of moist towelettes touted as “offering refreshment” and to “wipe off sweat and cool down anytime.”

TARGET CUSTOMER PROFILE

Taking the example of AXE Deos, their primary target market is youth. AXE has been able to capture a huge market share by primarily focusing on the youth (Below 20 years) which contributes to only 22% of the whole Deodorants consumer population. On the contrary, Old Spice will be targeting on the population that is 16-24 & 25-35 years of age, which makes it a more larger market to cater and will help capturing a greater market share than its competitors.

In order to understand the proposed target market effectively, particular evaluation needs to be given to the demographic, psychographic and behavioral features evident in the sample size:

The targeted age range should consist of 16-24 & 25-35 years of age

The target market is also male, unaffected by race or ethnicity – although different marketing initiatives may appeal to different ethnic groups

Targeted consumer is of a middle & upper socio-economic status given the income distribution of the age group and education levels

The status of the proposed candidate is that of a bachelor or most likely involved in long term relationships

The dominant portion of the target consumers exhibit heterosexual orientation, given the success of previous campaigns portraying the protagonist of this sexual orientation

The following profile can therefore be established;

Age: 21-35 & 35 Above

Gender: Male

Mentality: Mainstream.

Perception: Peer influenced

Socio-economic Class: Middle & Upper

Geography: Anywhere males and females are present

Sexuality: Heterosexual

The three products being suggested to different segments of our target population are:

Age of 16-20 years – Aspiration

Age of 21-35 years – Vision to Prosper

The target population between the ages of 21-35 years contributes to 55% which is more than half of the complete target population of the Body Spray consumers in Pakistan. To make it more feasible for us to cater the need of such a huge chunk of potential consumers, we segregated it into 2 distinct groups of Aspiration & Vision to Prosper. Both have these groups have their own set of distinct attributes, such as, daily routine, stress, work load, staying outdoors, perspiration, working environment, standard of living, perception.

Internationally this brand targets male aged 15-25. They still love the unique Old Spice Body Spray fantasy of “”Experience is everything,””. Young men in this age

group are impatient for their first experience of women. They dream about being able to seduce women without too much effort, because they are not as confident as they seem. Their main topics of interest are sex, music, football and having a laugh.

The brand has its brand values of Cool, Fashionable and Stylish. And world over, the brand shoots to its core values. The biggest strength of this brand is the underlying message or the DNA, which is that the brand users are High on Confidence and always for the Old Spice users, “Experience is everything”. I think the biggest competitive advantage of this brand is its complete monopoly over this brand proposition. All its campaigns revolve round this central theme of Seduction where “Experience is everything”.

I think it has lot of subliminal implications. The brand assumes that Men want to be experience everything. Previously “Prove-It” ran in various iterations for 13 years and successfully distanced the product from its grandfatherly image. But “Experience” embraces Old Spice’s heritage with humor and double entendres to establish itself as an authority when it comes to the “experiences” young guys seek.

That feeling (of being experience) gives a big boost of self confidence to a man. Although many brands take this proposition, Old Spice just made it perfect.

COMPETITORS

The only potential competition faced by Old Spice Body Spray in terms of direct competition are other deodorant brands being produced – directed towards the same target market. These include, Lanxe, Divea, Axe and various other generic brands targeting the lower and younger socio-economic market share. Given the oligopolistic nature of the deodorant market competitors cannot gain significant market share by dropping prices much lower than Old Spice Body Spray.

P&G also is taking the unusual position of undercutting Unilever’s price points for Old Spice body spray, a tact it almost never takes, particularly for new launches. Axe will retail for $3.99-4.99, while Old Spice will sell for $2.99.

MARKET POSITIONING

Old Spice Body Spray is working to occupy a very distinctive position in the mind of customers by giving them superior quality products. The emphasis on the ‘careful delivery of their products’. We ensure that Old Spice reaches to customers in the same condition in which it was made. In this way we attract customers towards the quality maintenance of their product.

Secondly, we want to hold the position of Old Spice in the mind of the customers as a cool, bold, masculine, seductive, energetic and refreshing by using this tagline:

“Experience to win”

Means a men can experience to win what he wants.

ANALYSIS AND SUGGESTION

Currently, P&G want to position Old Spice as a:

Cool bold, masculine, seductive, energetic and refreshing.

Best quality Body Sprays.

By using the tagline:

“Experience is everything”

Their positioning strategies are good, but in Pakistan we have to promote in a different manner in respect to its culture and the kind of nature of consumers.

While body sprays are tracked within the deodorant/antiperspirant market, Gooch says many guys use them like a fragrance. While deodorants are typi­cally applied to the underarms, with the intent of preventing odor, body sprays are often applied directly to the body as well, in much the same fashion as fragrance. “The body spray category can serve as an alternative form of fra­grance and is an entry point for a lot of young guys who have had little experi­ence with traditional fragrance and just want to smell good.”

We try to promote Old Spice Body Spray in such a way that it occupy a very distinctive and clear position in the mind of consumer that Old Spice is a quality body spray at a reasonable price.

MARKETING MIX

Marketing mix consist of everything that the firm can do to influence the demand for its products. Here we will be discussing the 4 Ps of Old Spice Body Spray. Primarily, the marketing strategy will be a differentiated strategy, where Marketing Mix will actually identify which variant will be targeting the specific segments which we have made on the basis of demography discussed earlier. Moreover, the products attributes including price and packaging will be more visible and rather with going only a single product, we will suggest to differentiate the product and target the 3 segments on the basis of these attributes in the Marketing Mix.

PRODUCT

Products are the goods of the company that they offer to their target market. Currently, Old Spice Body Spray has five products in its product line:

After Hours

Aqua Reef

Pure Sport

Show Time

Swagger

Old Spice body spray can features a distinctive bright red metallic exterior and an associative logo representative of its label. Ergonomics have been perfected on the product level to a point where aerosol leakage has become virtually impossible. The Old Spice brand name is designed around a logo that utilizes custom designed typography to give it a distinctive and recognizable look – its red exterior, complimenting packaging and striking short, block lettering exemplified thereon setting it apart from the generic competitor.

Moreover, differentiating the product on the basis of the packaging design for Swagger is to be up class, this can be easily done through introducing it in a more classier contain with engravings which will give it a rugged look, where the segment we are targeting is 21-35 years of age. Similarly for the 16-20 years of age, we will introduce Pure Sport and Aqua Reef respectively, which will include a simple-design container with an elegant look.

Augmentation of the product line allows customers to interact with its various promotional campaigns through a plethora of web sites scattered with images of bold masculine men – all in favor of complying with the needs of its target market. There are also telephone hotlines available to assist customers with information about competitions and the more intricate product details.

Mainly, the brand personality of ‘Old Spice’ is Masculine and portrays someone with good build & persona. Sophistication, Elegance, Classiness, and Urbanity can be few of the attributes which can be associated with the brand.

Now we discuss the variables of product for Old Spice.

VARIETY

Old Spice Body sprays can be a refreshing way to end a shower. Spray it on after towel drying and allow it to dry on your skin. By the time you’re ready to slip into your clothes, the spray will be dry, leaving just the light scent behind. And, because there are so many to choose from, you can wear a different fragrance every other day .

It will include an element of innovation pertaining to the brand image of our designated product, as well as to improvise certain attributes of our product to make it more attractive for our target market.

Lately, there hasn’t been ANY product innovation in the Deodorants Industry. We can study that brands basically competes amongst themselves on the basis of USPs which are basically the perception which they build in the minds of their potential consumers. Therefore, we will be to introduce 3 variants of body sprays in the market which will target Aspirtational & Vision to Prosper group

Aspiration Group: A fragrance which would help evoke the spirit of livelihood by experiencing different colors of life by experiencing the taste of Old Spice.

Vision to Prosper: Scents are the essence which embark the path to success, as essence to a successful life

We manufacture Old Spice Body Sprays that are in vogue today. Body sprays with airtight properties and featured with complete protection to provide complete satisfaction to our clients. These are available with internal protective lining lids. Body sprays manufactured by us are extremely skin friendly and are suitable for all age groups. Our range of fragrances is wide enough to cater to domestic as well as international taste.

Future Prospective Market:

In future, will introduce the Body Sprays extended to new forms, sizes and fragrances of an existing product category. The specific flavours will be:

Alcoholic Mint

Tobacco

ylang-ylang

lemon, lime

citrus

Attributes:

Aroma to Cure or Eliminate Bad Breath and Body Odor which causes Stress

Stress can take a toll on our bodies. One of the effects of stress is bad breath and body odor. These odors are more prevalent during times of stress, but stress isn’t the only cause of body odor. We can find ways to eliminate bad breath and body odor through diet, aroma therapy, and body scents. Old Spice Body Spray have the tendency to reducing odors.

Using an antiperspirant will sometimes cause more body odor than it does to help it. Aluminum is the primary ingredient in many over-the-counter deodorants, and aluminum is suspected of accumulating problems in the nervous system. The reason we perspire is because our body is riding of toxins and other bacteria. By using an antiperspirant, we are trapping the toxins and germs inside of our bodies, increasing the stress our bodies already have. We may feel confident hiding the odor using antiperspirant, but the odor is revealed through our breath.

Each aroma has unique properties that create a state of mind. Choosing a scent, body spray, or deodorant is a personal choice and sometimes these choices reflect and define our personality, behaviors, and moods. During a stressful period, an additional scent in the medicine cabinet or cosmetic case can cure the most stressful situations, but what scents are good for a stressful time and how do we ensure a cure for the trauma our bodies and minds are going through?

For that reason, we come up with different fragrances which are excellent for refreshing the mind and body. They are excellent at eliminating bad breath, but the aroma invigorates ambition and clarity, helping us to cope and rid of stress.

Fragrances are:

Spearmint

Peppermint

Wintergreen

Mint is refreshing and invigorating for both men and women, making it an excellent aroma during times of stress. It is strong enough for a man and a woman.

QUALITY

The company has the basic purpose to give quality products to the consumers.

For the quality management work the quality assurance team will collects the samples of Old Spice Body Sprays product from the market places and takes back these samples to America for testing. If there is any flaw in the quality of product, strict action is taken against them. For the better quality purpose some special supervisors come from the parent company that stay with them for the whole week and monitor the sample results process and take the report back to America.

According to this strategy, we ensure the customers that the quality is always consistent. We claim that no other company in Pakistan has this privilege.

PRICE

Price differentiation strategy will also prove to be an effective tool to build the required brand perception in the minds of the various target segments. Swagger being positioned as an up class product will be priced a relatively higher than its 2 other variants being relative to the premium tier consumers who translates a higher price to a better quality product. Here the product will be priced at Rs. 200, as an introductory price offer.

The other 2 variants pure sport and aqua reef will be priced lower, at an introductory price, of Rs. 160. Such a pricing strategy will be able to cover the affordability range of a huge consumer market; moreover, will also be able to compete with other brands in the market.

Developing the pricing strategy requires an intimate look at the product strategy. If the product is deemed an innovation – on the grounds of addressing a previously untargeted market like a sub-culture or youth segment – the most profitable strategy for the Old Spice Body Spray would be a market-penetration tactic.

Market-penetration aims to set a comparatively low price for a new product in order to attract a large number of buyers and enhance a current market share.

PLACE

The process of efficiently and effectively

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