1 MARKETING RESEARCH PROJECT: DOVE AEROSOL SOAP

[Pages:27]1 MARKETING RESEARCH PROJECT: DOVE AEROSOL SOAP

Marketing Research Project: Dove Aerosol Soap

Cheston Harrington Sarah Berlin

Emily D'Angelo Orean Findley Matthew Bishop MKTG 441.101 Scott Hample Due: 12/12/2013

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Overview of the Existing Organization Unilever is one of the world's top manufacturers of packaged consumer goods. It was founded

in 1930 by the merger of the Dutch margarine company Margarine Unie and the British soap maker Lever Brothers. The company sells a vast array of products including deodorants, soaps, perfumes, margarine, tea, and frozen foods. Their mission is "meeting the everyday needs of people everywhere." They sell their products in more than 150 countries and employ approximately 295,000 people. Unilever is one of the world's top three food firms and is the second to largest packaged consumer goods company. They sell hundreds of brands, including Dove, Axe, Ben & Jerry's, Hellman, and Lipton ("Unilever").

One of Unilever's top brands is Dove. Dove is a toiletries brand that believes that beauty is the result of proper care. Their goal is to embrace diversity by promoting their brand using "real women" so that no woman should feel left out from the world of beauty that the Dove brand stands for. Dove was founded in 1957 when it introduced the beauty cleansing bar. What made the cleansing bar unique was its patented blend of mild cleansers that contained a quarter moisturizing cream. Dove's Beauty Bar offers a deeper clean than your average soap, as it also leaves skin soft and smooth. Dove is considered to be the #1 dermatologist recommended brand in the United States, Canada, and France. Today, the Dove brand has expanded to offer a wide range of products including body washes, facial cleansers, deodorants, shampoos, conditioners, hair styling products, and hand and body lotions ("Dove"). A Description of the New Product or Service

The new product we are preparing to introduce is aerosol soap. It is similar to sprayon deodorant or dry shampoo. The most important difference between our product and aerosol deodorant

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is that deodorant does not actually leave one clean, but rather just covers up the stench of body odor. In contrast, our product actually eliminates the germs that produce body odor in addition to leaving users with a fresh scent. Its intended use is to "freshen up" perhaps after a stressful day at the office before meeting family or friends for dinner, etc. or after a light workout at the gym. It is not intended to replace traditional bathing, and we still recommend users bathe in a timely manner following use of the product. Aerosol was chosen as the most effective way to apply the product because one can easily cover a large area of the body quickly and prevents consumers from using too much of the product at once. The aerosol soap will be marketed under the Dove brand name, including original Dove for women and the more recent line of products Dove for Men, and will utilize the existing scents and packaging associated with the brand. Importance of Marketing to our Selected Organization's Success

Having a marketing plan for a product has many different advantages and without marketing, it would be extremely difficult to get our product noticed. The importance of marketing to our product success starts with recognition. Without recognition our product will not get any sales leading to no revenue and profits for our company. Marketing campaigns will spread the word about our product leading to an increase in sales. Once the product is marketed, other things will take place such as wordofmouth which will make our product even more noticeable. Secondly, without marketing our product, our consumers will never learn about our brand name and image. The more consumers get accustomed to our product and company, and then there is a better chance for our sales and business to grow. Once we get consumers comfortable with our product, the next step for us is to have them trust our product and company. Without brand loyalty and trust, our product will not get very many sales in the market thus focusing in on the importance of marketing. Another great importance of marketing is

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being able to compete with other brands and products out on the market. We want to be able to compete with other brands because we believe we will have the best product. Competitors are also good because then we will be able to find our competitive advantage and even make improvements. Another importance of marketing is to be able to reach into different segments of the market such as online users. Website development and online advertisements will help with getting a different customer base a chance to buy our product. Without the sales developed from marketing, we would not have any money to develop our product. SWOTT Analysis Strengths

Aerosol spray cleanser is our product which leaves you clean while smelling fresh. The strengths that our product poses are a diverse and brand targeted market. To all the people who use the aerosol soap to freshen up their bodies will be clean while simultaneously keeping them smelling fresh. Due to the demographics of people who use sprays, ranges to target people from a wide range of ages. Also, the amount of people who want spray that does not dry their skin out or leave it oily would be attracted to aerosol spray. The innovative technology that our aerosol product possesses would be an improvement of past products which did not meet a clean and fresh smelling body. Our aerosol soap has great product distinction as the technology in our innovative product would gain popularity through the performance of the soap. The specific in the use of the spray would be appealing to athletes or the people in the workforce as they are subject to sweat by inactive throughout the day. Our aerosol dry spray has various strengths that benefit our selling points. Opportunities

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Our product poses many opportunities as the targeted market is segmented into groups. The fact that our product can serve to various customer groups gives us the opportunity to make a culture out of the aerosol spray. The aerosol spray can create industry innovation that can make way for future products that stem off of our aerosol dry cleaning spray. The aerosol spray will be able to create diversity into other markets by keeping a dry cleaning spray while still being able to leave you smelling fresh and not covered up by a fragrance. By doing this our market growth will be fast with innovative new products and technology based body cleaners. The complexities and qualities of our product will allow horizontal integration into the markets whereas we are entering a competitive market with many competitors in the aerosol fresh smelling spray. Yet our innovation of adding the cleansing aspect of the spray allows our product to be diverse in its performance and uses. In turn this will also eliminate any smells or add a smell while cleansing. Weaknesses and Threats

As a company we also understand that our product contains a weakness due to the industry's competitive market. Due to the ability to imitate our product other company also will have a competitive advantage as they can improve on our already existing product. With this many players in our market and industry, improvement on our product will have to be done in order to compete with the most popular and quality products. Strategic position will have to be taken in order to either improve on an already existing product, while creating new innovation that will allow integration into other market with new technology in cleansing and fresh smelling products. The entry into a new market gives threats from already existing brands. The market demand will be relied on to avoid easy substitution for our products. This poses a threat to the future of the growth of the product. The threat of competitive innovation to make product improvises can be accessed by competition in this market.

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Trends The culture behind the aerosol spray for smelling fresh has a market that has improved the

markets products. Companies such as Old Spice have entered into this market with a spray that leaves you smelling fresh. Yet the description the spray does not clean the person at the same time. These type of spray gained popularity by athletes as deodorant sprays of people who either worked or did physical activity throughout their day. Our product would gain a trend as it pertains to all people who need whether a quick wash or to be fresh smelling. It is unlike cologne where you spray a stronger amount on your body in order to clean you at the same time. The Marketing Research Approach

Prior to the launch of the Dry Aerosol Soap Unilever product Dove will conduct two studies. The Primary study will be a Double Blind study supported by a secondary Trial and Survey study. Both studies will be conducted on randomly selected participants to best and most accurately represent the consumer target market.

a. Primary Research Method The first will be a double blind study in which two randomly selected groups from a variety of age and gender will test the new Dove Aerosol Soap Spray against other primary competitors including Lever 200, Degree, Old Spice, Secret, Suave and Axe. Participants in the study will test 1 of each product over the course of a week, each day the participants will provide feedback as to how clean and comfortable they felt after a day of work, class, running errands or a workout at the gym. The feedback will then be compiled to compare participant feedback for the Dove Dry Aerosol Soap against its competitors. At the end of the study the participants will be informed which brand they used and on which day. We will then allow the participants to select one brand to continue using. This information

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along with the information recorded over the week will be essential in determining the best Marketing mix to implement.

b. Secondary Research Our secondary research consists of studies and analyses compiled from independent organizations about our target market and the hygiene industry. This research will help us decide how to market the product and the right time and place to launch the product. These decisions are crucial to the success of Dove aerosol soap. Purpose

The primary study will provide our research and product development team with firsthand and unbiased user feedback which is essential in building buzz and establishing credibility behind the product. The Dove Brand will use this information to determine whether or not to launch a large scale commercial campaign or a smaller product launch to compliment another Dove product. From the primary study we will learn just how effective the product is and develop an understanding of potential consumer perception. The secondary research will provide information essential for the marketing team in developing a marketing tactic to promote the product prior to its initial launch. Issues Facing our Organization

Issues facing Unilever come from a variety of sources including consumer preference, environmental, political, economic, and financial factors. As outlined in our Annual Report, we are aware of these issues and work with them as they arise as well as prepare for them in the future.

The first risk Unilever faces in the market is consumer preference. A modern consumer is exposed to so many brand choices for his/her constantly changing needs and wants that it is imperative for Unilever "to respond to these changes and to continue to differentiate our brands and products"

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(Unilever Annual Report, 2012). If Unilever does not continue to innovate and modify our products to keep up with the everchanging market Unilever would fall out of favor with the consumer and our sales figures would decrease.

Environmental risks facing Unilever are different in every region in which we do business. These events are unavoidable and are the compromise for being a global brand. Natural disasters can potentially disrupt operations and negatively affect the supply chain if transportation along the supply chain is interrupted. In order to handle unpredictable natural disasters Unilever has a crisis management plan in place.

Political and economic issues can disrupt sales and operations in emerging markets. In order to grow our business all over the world, Unilever must cope with the volatility of emerging markets. "In 2012, more than half of Unilever's turnover came from emerging markets" (Unilever Annual Report, 2012) which proves that it is worth it to expand our business into these areas.

In addition to emerging markets in Brazil, India, Indonesia, Turkey, South Africa, China, Mexico and Russia, (Unilever Annual Report, 2012) the European financial crisis poses great risks to Unilever operations. "Uncertainty, lack of confidence and any further deterioration in the situation could lead to lower growth and further recession in Europe and elsewhere" (Unilever Annual Report, 2012). The greatest risk would result "if Eurozone countries were to leave the euro" which would adversely affect our European supply chain, consumers, and suppliers. To offset this risk, Unilever has a contingency plan in place while we continue normal operations (Unilever Annual Report, 2012).

Financial risks face our organization because Unilever prepares its consolidated financial statements in euros. Because of this, Unilever "is subject to exchange risks associated with the translation of the underlying net assets and earnings of its foreign subsidiaries" (Unilever Annual Report,

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