Title: MARKETING
1MARKETING
Presented by Kristie Buchanan Joanna
Hinton May 2006
2Agenda
- The role of Marketing
- Developing a Marketing plan
- Marketing mix - the 4Ps
- Ethical legal considerations
- Case Study Aerogard
- Other Reckitt Benckiser TV adverts
- Questions!
3The Role of Marketing
- Generate new business opportunities
- identify un-met consumer needs
- develop new products to meet these needs
- Create consumer demand for our products
- develop strategies to make consumers aware of our
products - develop and implement plans to generate trial
- Manage the marketing mix of existing products
- ensure the product formulation and packaging is
meeting consumer expectations - ensure the price is competitive and the product
is available where consumers expect it to be
4Developing a Marketing Plan
WHERE ARE WE?
- Where are we on the Product Life Cycle?
- Situation Analysis (SWOT)
- External trends what is happening and why?
Competition, consumer trends, social trends etc
(Opportunities/ Threats) - Internal What are our strengths and
weaknesses?
- Set the Business Objectives
- Grow sales, increase profit or both?
- Maintain or grow brand share vs competitors?
WHERE DO WE WANT TO BE?
- Develop Marketing Plan
- Strategic plan for achieving these objectives
(4Ps) - Develop Financial Forecast
- Build volume forecast
- Determine marketing investment required to
achieve objectives
HOW SHOULD WE GET THERE?
5Marketing Mix 4 Ps
The major controllable variables that we have to
get the desired response from our target market
- PLACE
- How the products are made available to consumers
making the product available in the right
place, at the right time, in the right quantities
- PRODUCT
- Anything that can be offered to a consumer for
use or consumption, that might satisfy a want or
need - Product Decisions include
- Brand/ subbrand name
- Design Features
- Packaging
- Quality
Target Market
- PROMOTION
- Communication of the product benefits that
persuades consumers to purchase, e.g. - Advertising
- Sales Promotions
- Publicity
- Personal Selling
- PRICE
- The amount of money charged for a product or
service that consumers exchange for the benefits
of having or using the product or service
6Legal Ethical Aspects
- Legal and ethical aspects effect every part of a
brand and its products - Deceptive and Misleading Conduct
- ACCC consumer watchdog
- Claims
- All packaging and advertising claims must be
supported to the satisfaction of independent
bodies (such as FACTS, NRA and TGA) - Consumer Promotion
- all aspect of consumer promotions must be clear
i.e opening and closing dates, structure of prize
pool , entry mechanism - Pricing
- Pricing and Terms of Trade must be consistent
between the Manufacturer and Retailers - Price maintenance/discrimination Manufacturers
are unableto enforce a certain price point in
any retailer. All prices areadvised as RSP
recommended selling price
7Legal Ethical Aspects
- Formulations
- All products are subject to regulations and
guidelines which outline - raw materials which can / cannot be used for a
product type (e.g. environmental / skin
sensitisers) - packaging warnings (e.g. Caution and Keep out of
Reach of Children) - dependant on the formulation - Packaging
- Packaging Covenant is a commitment by
manufacturers to the Govt. to - reduce quantity of packaging material e.g. less
plastic in caps - use more environmental packaging materials e.g.
recyclable plastic - implement an ongoing improvement plan
- Failure to conform, results in the manufacturer
being responsible for collection of packaging
from the consumer
8AEROGARD
Case Study
9Situation Analysis Aerogard
- Product life cycle
- Aerogard is a mature brand within a developed
category - Aerogards role in the category is to lead growth
through product development and innovation - Market Trends
- The repellents category is valued at 10.5m and
has grown 7 vs last year - 56 of category volume is sold during summer
(Nov-Feb) when insects are most prevalent,
although the QLD market is less seasonal due to
its tropical weather - There are four main product formats within the
Repellents category aerosols, roll-ons, pumps
and lotions, however aerosols remain the most
popular format (54 of sales value) - Aerogard has 3 key competitors Rid, Autan
Off - Aerogard has lost market share to Off in the
past 2 years
10Situation Analysis Aerogard (contd)
- Consumer Needs
- Primary Needs
- Efficacy it has to work!
- Secondary Needs
- Long Lasting
- Secondary Protection
- Moisturising
- Anti-itch
- Less Chemicals/More Natural
11Situation Analysis Aerogard (contd)
- Attitudinal differences exist between northern
and southern regions of Australia which affects
the emphasis placed on various category needs - The North
- In the tropical regions of Queensland mosquitoes,
sandflies and flies are viewed as health hazards
-protection from disease carrying insects is a
serious issue - Superior efficacy is key in product choice
- The South
- Insects are considered to be more of a nuisance
than a genuine health threat. - The primary motivation for purchase is to repel
however there is less emphasis on superior
efficacy and a more of a focus on secondary
benefits.
12Consumer Behaviour Aerogard
- Consumer Usage and Purchase Behaviour
- Personal repellents are accepted as part of
summer life. They are durable, portable and the
barrier/defence is constant and moves wherever
you go. - In the north, continual protection is required
throughout the summer months. In the south,
applications are less frequent, occurring mostly
on specific outdoor occasions. - Motivation for Category Purchase
- Key motivation is protection from insects. The
primary category brands have the required level
of efficacy thus individual brand choice is
driven by product form and secondary category
benefits. - Applicator Forms Secondary Category Benefits
- Aerosol Moisturising
- Pump Sprays Sunscreen
- Lotion Pleasant Fragrance
- Roll On Less Chemicals
13Brand Positioning - Aerogard
- Positioning
- Aerogard is trusted by Australians to provide
effective and safe protection from annoying and
disease carrying insects - Aerogard offers innovative products to cater for
all family needs in convenient to use formats - Aerogard Your best guard against insects
14SWOT ANALYSIS
- STRENGTHS
- Market leader
- Strong heritage
- High awareness
- Experienced sales force
- Strong distribution in supermarkets
- RD expertise
- WEAKNESSES
- Declining market share due to increased
competitive activity - Brand image becoming outdated
- High cost of active ingredients
15SWOT ANALYSIS
- OPPORTUNITY
- Alternative suppliers with cheaper ingredients
- New products with secondary benefits
- Alternative channels such as pharmacy and
specialty stores
- THREATS
- Competitors gaining market share
- New competitors enter the market
16Marketing Objectives Strategies Aerogard
- Marketing Objectives
- Grow Sales by 5
- Increase profitability of brand by 2
- Grow brand share from 68 to 70
- Marketing Strategies
- Lead the market through continuous, superior
product innovation - Strengthen communication strategy by focusing on
Aerogards unique - benefits v competition
- Reduce reliance on deep price cutting to drive
sales - Implement product cost saving projects
- Modernise brand image
17Marketing Mix - 4Ps
- Product
- Launch new Aerogard products, eg with added 30
sunscreen - Launch new pack graphics that project a more
modern brand image - Initiate cost saving project to improve
profitability
18Aerogard Lotionwith 30 SPF Sun Protection
- Enjoying outdoor life in Australia often means
ensuring you and your family are protected from
not only annoying insects, but also the suns
damaging rays. - This usually involves using two different
products, a personal insect repellent and a
sunscreen. Not only is this inconvenient,
uncomfortable and costly, its also hard to know
if one product is affecting the effectiveness of
the other. - New Aerogard Lotion with SPF 30 Sunscreen is the
solution to these problems. It gives the
protection against insects that you expect from
Aerogard, while also providing full SPF 30
protection from the sun. - Aerogard with Sunscreen, now your best guard
against insects and the sun in one! - 125ml Lotion 10.99
19Marketing Mix - 4Ps
- Price
- Aerogards perceived superiority and market
leading position must be reinforced with a
premium price - New product launches will command a premium price
by offering unique benefits. Aerogard with
Sunscreen will be priced at a 40 premium to
regular repellents - All variants will be price promoted during peak
season in order to minimise consumers switching
to cheaper competitive offers
20Marketing Mix - 4Ps
- Promotion / Advertising
- Use TV as the main media vehicle to maximise
reach during the peak of the season - Sample new Sunscreen at outdoor events to
generate trial - Ensure all advertising communicates the brand
positioning ie. effective, safe protection
against insects - Continue to build positive association with
health authorities - eg. Queensland Tropical Health Unit, educate
consumers about prevention of mosquito borne
diseases
Invisible Family 30
21Marketing Mix - 4Ps
- Place / Distribution
- Supermarkets will remain the focus for
distribution of existing and new product lines - accounts for 94 of Aerogard sales
- Distribution objective for Aerogard with
Sunscreen is 95 for supermarkets and 60
Pharmacy
22Other Reckitt Benckiser TV Adverts
- Strepsils
- Dettol Hand Wash
- Veet
23Questions???