The Mythology Collection B Y
R O S I E
K I N S E L L A
2.0
Analysis: The Fragrance Market The International Fragrance Market The UK Fragrance Market Global Market Trends
2.1
Consumer Behaviour
3.0
Theory 1 – SWOT Analysis
4.0
Competitors
5.0 6.0
Company Profile Aims & Objectives
6.1
Theory 2– Ansoff Matrix
8.0
Campaign Overview
9.0 9.1
Target Audience
01 1.1 1.2
10 11
The Publics USP’S Campaign Messages
12 13
Strategy Tactics
14
Timescales
15
Resources & Budget
16 Evaluation
The Mythology Collection The following document details a 12month marketing campaign for luxury British fragrance house Penhaligons to debut their new 3-piece fragrance collection for women; The Mythology Collection.
INTRODUCTION
The Fragrance Market The global perfume industry is generally valued around $28 billion per year and has been estimated to reach $51 billion by 2022. Contribution to the industries growth consist of offering consumers a variety of options, keeping up with trends, and successfully meeting consumer demands. In 2015, L'OrĂŠal was the leading cosmetic fragrance company in the world, with generated revenue of 23.5 million euros. Estee lauder came second with 10 million.
Analysis The International Fragrance Market Europe: Valued at $13.23 million. Chanel remains market leader with 6.4 percent market share.
America: Fragrance sales continue to grow steadily as the US continue to leave its economic recession, enabling consumers to increase their spending on beauty products. Many consumers have increased desire for niche luxury scents.
Middle east: Arabian oud accounted for 14% of value share due to consumer demand and men and women using fragrances on a daily basis. Major manufacturing companies are investing in the expansion in the Middle east and African where perfume consumption is high.
Asia Pacific: A developing region in relation to fragrance, it’s expected to see an increased number of growth. A contributing factor to boosting this market is the importance of grooming among millennials.
Analysis: The UK Fragrance Market The UK market is twice the size of the Italian and Spanish beauty markets. Total value of fragrance in December 2016 was estimated at £1.8 billion, increasing by 1% from December 2015. The current market value is at £1.1 billion (2016) and has sales estimated to reach £1.48 million (2017) ➢ Fine Female Fragrance: £99.7 million ➢ UK Unisex Fragrance Sales: £2.2 million. This number increase over the next four years with figures reaching £3.15 million in 2016. The fine unisex fragrance market also saw positive signs of sale values over the eight-year period. ➢ Premium Men’s Fragrance Market Value in UK (2007-2014): $548.1 million. ➢ Successful product launches of 2015 were Dior Sauvage which took £13.8 million following its august debut.
Figures 2 & 3
Analysis: Figures 3 & 4
Figures 5, 6, 7.
- Lucy Cornford, Category Director
“Strong sales of core prestige beauty categories have helped maintain growth, even as a culture of competitive pricing threatens to undermine value sales of everyday beauty and grooming essentials. Consumers may be on the lookout for bargains, but they’re also still engaged and learning that long-term benefits and quality ingredients can transcend low prices, with social media trends prompting young adults in particular to invest in their appearance. However, as the UK heads towards Brexit, the rising cost of raw materials and ingredients
�
could eat into future growth
Global Market T r e n d s
1
2
3
UPMARKET BRANDS
PREMIUM FRAGRANCE
NATURAL
Consumers have begun to seek fragrance brands that are more upmarket, and not generally associated with fashion houses and celebrities. UK sales of celebrity fragrances such as Britney Spears and Rihanna have declined by 22% in the recent year.
UK Premium fragrance sales increased by 8% in 2016 to ÂŁ1.6 billion. Many luxury brands have expanded onto fragrance lines as an entry point for customers. This has allowed brands to tap into middle income consumer segments.
Manufacturers have increasingly responded to consumer demand for natural based products as the growing concern about chemical use has forced them to make changes. This has allowed the natural segment to expect growth rates of 6.5% between 2015 and 2026.
Analysis
Consumer Behaviour
Figure 8
Analysis: Figures 9 & 10
Brands
QUOTES
Theory 1: SWOT Analysis of The Mythology Collection
Strengths
Threats
Opportunity Weaknesses
Competitors • Jo Malone: a British perfume and scented candle brand, established in 1983. The brand has 41 markets
worldwide
and
400
fragrance
combinations, owned by Estee Lauder. • Floris: Founded in 1730, Floris is the oldest British fragrance house it is ran today by the 8 th and 9 th generation of the family, based in London. • Clive Christian – a British luxury interiors and perfume company. • Creed - a Paris based fragrance house, founded in 1760. It has boutiques in Paris, London, New York and Dubai mall.
Miller Harris
COMPANY Profile
Penhaligon’s is a luxury British fragr an ce h ouse; a niche manufacturer and global distributor of prestige fragrances, home accessories and toiletries . Founded in 1860 by William Penhaligon, a Corn ish b arber w h o moved to London and later became a cou rt perfumers t o Queen Victoria . Today, Penhaligons is renowned for its creative story telling through its fragran ces, offerin g a scent fo r everyone .
The brand holds two royal warrants and has a n international presence, with stores in London, New York, Paris, Miami, Hong-Kong and Sin gap ore . Due t o their barbershop heritage, Penhaligon s also own th eir own barber shop in Canary Wharf, UK. Penhaligons is currently owned by Pu ig, a fa shion and fragrance business based in Barcelon a . The fragr an ce house is also acquired by Perfu mers 1780, a collective o f niche and unique perfume b ran ds . L’Artisan is also acquired by Puig, Penhaligons 10-year-old sister brand. It’s cult scent, Blenheim Bouquet, created in 190 2, is stil l amongst Penhaligons best sellers today.
AIMS & OBJECTIVES REPUTATION MANAGEMENT
CAMPAIGN OBJECTIVE
RELATIONSHIP MANAGEMENT
01
02
03
We aim to reshape consumer
To
perception on our company
national awareness about the
and our products by engaging
campaign
with
store,
combination of tactics such as
online and with the use of an
print advertising in 15 key
exhibition
publications,
consumers in
in order
to
effectively
by
generate
using
social
a
media
communicate knowledge on
strategies, exhibition, 2 media
the brands heritage and all
events,
things Penhaligons.
display's and press releases.
Harrods
window
To
emphasize
shopping the
the
luxury
experience
within
Penhaligons
successfully new
brand
showcasing
products
Salon de Parfum.
in
by the
Harrods
Theory 2 – The Ansoff Matrix For further details on the goals Penhaligons wishes to achieve, I’ve used The Ansoff Matrix to devise a strategy for future growth for the duration of the campaign and after.
THE CAMPAIGN OVERVIEW The Mythology Collection
Penhaligons will be expanding upon it’s already existing Greek themed fragrances by incorporating 3 new perfumes into the Chypre fragrant family, inspired by the 3 Greek Goddesses; Athena, Aphrodite and Hera.
The Chypre fragrant family name originates from the French from Cyprus, birthplace of Aphrodite who is the Goddess of Love. The current Chypre fragrant family currently only includes 2 fragrances out of their entire portfolio. The collection will be available in their London stores such as Burlington Arcade and Covent Garden, as well as a limited-edition debut in their boutique in Harrods Salon de Parfum. The Mythology Collection will be priced from ÂŁ198 per 100ml
.
Target Audience The age range within our desired target audience will be females aged 35-55+ The
products
will
appeal
to
a
middle-aged
audience due to the desire for unique fragrance sourcing from companies and brands that are not associated with celebrities or fashion houses. ➢ (Average Middle Class Income: £47,000 and
Upper-Class income: ÂŁ89,000) The older target audience will appreciate the
heritage, the quality of the products as well as being well-established within themselves to be able to afford such a luxury. The products are targeted at women, however can appeal to a male audience due to gift purchasing purposes.
THE PUBLICS
In order to reach our desired publics, I will use a variety of tools, such as:
➢ Penhaligons PR and Marketing team ➢ The press from selected publications, both print and online. ➢ Penhaligons shop floor team (Direct engagement) ➢ Harrods perfume experts (Direct communication) ➢ Harrods VM team
➢Instore promotional marketing. ➢Successful promotion from selected. print publications and media outlets
➢Harrods VM team with promotion through exclusive store window design collaboration. ➢Creating promotional content for Penhaligons social media platforms such as Instagram, Twitter and Facebook.
SALON DE PARFUM
BEAUTY SHOPPERS
AVERAGE SPEND
192,400 £5,200
21-49 YEARS OF AGE
CUSTOMERS: FEMALE
69%
The decision to feature the collection within Penhaligons newly acquired boutique within Salon de Parfum allows for us to attain a strong partnership with Harrods, reach our target audience and consumer market in their desired environment.
73%
USP’S
Amongst the increased longevity of fragrances, the ingredients will also be sourced from natural materials in response to their consumer demand for natural products within perfumes.
The perfumes featured within the extended collection are going to be purely Parfums with a fragrance concentrate of 40%, the highest available level of fragrance. This allows for the fragrance to last for up to 8 hours. Out of all Penhaligon’s fragrances, it is the highest perfume concentrate they have ever created, and the highest amongst it’s competitors.
40% Parf um
The packaging and concierge bags included have changed materials and are now environmentally friendly.
Natural Ingredients
Campaign Messages The messages from this campaign is to continue the emphasis on Penhaligons existing core values; “Fearless Explorers", "Ambitious in Our Vision", and "United in Our Individuality”. The Mythology collection would also like to extend to a fourth corporate value, being “Resourceful to Expectations” meaning Penhaligons is a company that aim to be a unique resource amongst the expectations of its consumers, and to continually meet them by offering nothing but the best service, products fit for any occasion, and expert level knowledge to our customers. Product messages • Make the fragrance wearer feel confident, sexy and attractive; like a Goddess. • We aim to cater to your expressive personality; a fragrance as extraordinary and matchless as you. • Each fragrance is named after a Greek Goddess, and holds a story of who she is, what she stands for and how the fragrant elements best reflect her identity.
Strategy
01
Promotion Strategy Referring back to the campaign objectives, we aim to reach our publics by contacting 15 of our selected key publications to secure reviews and features with relevant imagery.
Amongst the use of print publications, we will also be contacting bloggers to create digital content about our campaign. The bloggers will be required to write a review of the fragrance, as well as incorporate a brief story about their experience at the fragrance profiling event, also another strategy we will be using to gain national exposure. The articles for this will be released the same day as our company press release, on the 15th of December, 2018.
02 Exhibition & Launch Event Three key events which are going to be featured within this campaign is The Perfumers Wardrobe Exhibition, our Fragrant profiling service event for our editors and bloggers, and our product launch event. The use of these events will allow for Penhaligons to secure exposure and build relationships with their bloggers and editors, as well as the public to communicate brand values and knowledge.
03
Relationships The fragrances will debut for a limited time of 3 months within Penhaligon’s boutique in Harrods Salon de Parfum. This will allow for exposure in a different revenue to similar clientele. The implementation of the collection in Harrods emphasizes the bespoke shopping services Penhaligons offer, giving a more personal and intimate shopping experience. This will make it easier to communicate product knowledge, meaningful demonstrations and company information.
Social Media Strategy The use of the following strategy will be monitored to ensure Penhaligons is conscious to determine the most effective ways of communication. This will range from page views to number of comments and likes across Penhaligons multiple social platforms. Across Penhaligon’s Instagram, Facebook, Twitter, and company blog, the following content will be posted: ➢
Promotional photography via Instagram, Facebook and Twitter during the final month before the products are launched and will be used as exclusive previews until the grand unveiling.
➢
Promotion of The Perfumers Wardrobe exhibition via Instagram page.
➢
Reposts of bloggers posts and photography (after the products have been launched)
➢
Promotion via Harrods Instagram page of the boutique in Salon de Parfum
➢
Penhaligons promotion of their boutique in Salon de Parfum
Key Publications Print & Online In order to gain news coverage on The Mythology collection, the selection of the following 14 print publications are most suited to our target audience. The coverage gained will be a variation of double page spreads, tester inserts paired with an advertisement, reviews and features. .
Readership of 156,000
Readership of 259,650
Readership of 372,654
Readership 84,285 Readership: 471,000
Readership of 168,741
Readership of 199,000
Readership of 189,150
Readership of 214,280
Readership of 101,850
Readership: 1.83 million
Readership of 110,784
Readership: 370,579
Readership: 596,087
Digital Content
Tactics 01: The Perfumers Wardrobe Exhibition Hosted at Somerset House, London, the Exhibition will offer the opportunity for the public to experience Penhaligons 150-year-old heritage and observe a showcase of 50 products. On site will be information boards educating guests on the history of Penhaligons and the stories behind the fragrances. The exhibition will showcase the most recent collections such as The Portrait Collection and The Mythology Collection.
Tickets will cost £10, and each guest will receive a bag including 3 samples of The Mythology Collection upon arrival. The exhibition will also hold private talks with guest perfumers to discuss their history with working with Penhaligons, the fragrance industry today and live demonstrations of how to smell fragrance. Tickets for this will be a separate cost at £25. As the collection won’t be launching until the 1st of February, the exhibition will run from 5th of February until 5th April 2019. •
Please note: This is a Tactic that aligns with Penhaligon’s Reputation Management objective for this campaign. This is NOT a media/press event.
Tactic/Event 02: Discover your Goddess Fragrant profiling service Penhaligons will be holding an exclusive private event at Salon de Parfum, Harrods. All 14 key bloggers and editors will be invited for the first preview of The Mythology Collection and will get to experience Penhaligons bespoke fragrant profiling service in order to discover what Goddess they would be out of the 3 new fragrances. Our in-house perfume experts and fragrance consultants will be hosting the event, communicating information about the new collection and how to smell our perfumes. The event will take place on the 1st of September from 7pm9pm, with a dress code of smart casual. Each guest will leave with a gift bag, including: ➢ ➢ ➢ ➢ ➢
Samples of The Mythology Collection Press Releases Price Sheets FAQ Relevant imagery
Event 2: Invitation
Location Harrods, Salon de Parfum 6th floor 87-135 Brompton Rd, Knightsbridge, London SW1X 7XL
Reception Drinks The Champagne Bar, Harrods First Floor 6pm-7pm
Main Event Salon de Parfum, Harrods Sixth Floor 7pm-9pm
Dress Code Smart Casual No trainers
Tactics Press Releases Press Releases will be distributed at the launch event as well as published from the company website. The Press Releases will add excitement surrounding the unveiling of the collection as well as give guidelines for the press’s content. Pitch Emails Pitch emails will be conducted to gain editorial coverage. I will contact the 10 print publications previously listed, as well as the 10 digital online publications and blogs. Scent Profile Handbook Instead of a look book, Penhaligons will be releasing a scent profile handbook which will include description of all the natural ingredients the company uses within their fragrances, as well as stating what perfumes and colognes include what. This will also be distributed at the event, as well as published on their website in order for consumers to see what the collection includes.
Event 3: Media Launch Event Due to their already being a separate event that will have already allowed for editors and bloggers to find out about the collection, there will be a final event just to unveil The Mythology Collection. The event will be held at The Cuckoo Club, Piccadilly Circus on the 28th of January, 7pm-10pm. All the guests can be transported to the location complimentary of Penhaligons if required. The Cuckoo Club is a luxuriously quirky space which best reflects Penhaligons brand image. The dress code will be black tie. CEO Lance Alan Patterson, Harrods beauty team, all key editors and bloggers previously listed, as well as relevant Penhaligons and Harrods staff will be attending. The first half of the event will be an opportunity for guests to mingle with others and enjoy a glass of champagne and a selection of Greek Meze before being seated to a talk communicating the introduction of the evenings antics, a campaign overview and product information. Each guest will be given a press pack on arrival, containing the following: ➢Press Releases ➢Price sheets ➢FAQ ➢Product specification ➢A fragrant smelling guide: How to smell our perfumes The second half of the event will be a live demonstration from master perfumer Alex Lee, previous collaborator with Penhaligons, on how to smell and apply perfumes. Alex will also be discussing each fragrant profile of the new collection.
Event 3: The Cuckoo Club
Timescales
Resources and Budget Event 2: Fragrance Profiling Event ➢ Venue Hire at Harrods: Standard 24 hour fee. ➢ Hire of existing kitchen staff and champagne waitresses at Harrods: By hourly rate. ➢ Transport of guests: Hired drivers (x4) for 3 hours by hourly rate. ➢ 10 bottles of Laurent-Perrier Brut (£88 per bottle = £704) ➢ Gift bags (x20): £30 each to make = £600.
The Perfumers Wardrobe Exhibition ➢Venue hire Somerset House for 2 months: £637,000 ➢Information boards and graphic design: £3000 ➢6 Guest talkers (based on 1 appearance for 2 hours): £500 per hour. ➢Ticket creation: Using Eventbrite, custom pricing based on General Admission ticket type: Distribution of 2,500 would cost around £3000 ➢Creation of samples (1,000)
Overall Cost It’s estimated the 3 events in total would cost around £950,000. The estimated cost of the overall campaign including the events, publication features, bloggers, online promotion, Harrods window collaboration, creation of the fragrances, product packaging, Penhaligon store window and interior design will cost around £2.5 million.
Event 3: The Launch Party ➢ Venue hire for 3 hours: £800 per hour = £2,400 ➢ Mixologists: By hourly rate. ➢ In house photographer & photo package: £2,000 ➢ Guest speaker 1 hour appearance: £2,000 ➢ Gift bags: (x80) £30 each to make = £2,400 ➢ DJ Hire: included in venue package. ➢ Tab behind the bar: £5,000.
Harrods Window design Out of Harrods 23 store windows, Penahligons will buy promotional space for 4, either side of the main doors. £29,00 per window (x4) = £116,000.
Evaluation Media Evaluation Penhaligons being a former client of Redeye, will further use the company to get an assessment on their performance throughout the campaign and to ensure all objectives were covered. Penhaligons will be open for the opportunity of growth and change if required for the next campaign. Penhaligons will also use Kantar Media in order to gain statistics at how much the collection and company is mentioned in the market, which will allow us to take our objectives for the next campaign to another level. Consumer Awareness To certify Penhaligons has successfully achieved its relationship and reputation awareness, we will conduct a series of research methods to obtain conclusions from our use of tactics: ➢
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➢
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Online purchase of tickets for The Perfumers Wardrobe Exhibition will require an email address from the customer, which will allow for Penhaligons to contact the customer after the exhibition has taken place via email with a short survey. Focus groups and client surveys to guarantee the budget was correctly spent on the promotional tactics used. The client surveys will also be conducted to assess whether Penahligons fourth corporate value that was incorporated in to the company from this campaign, “Resourceful to Expectations”, has been successful. Penhaligons will also meet with Harrods sales consultants from Salon de Parfum and Personal Shoppers department to assess
From November 1st-January 1st we will be holding our Evaluation stages to allow for a reflection about the campaign and will use the following tactics: ➢ ➢ ➢ ➢ ➢
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Media Evaluation Agency Post Campaign Review Focus Groups Meeting with Harrods Sales team and Penhaligons LTD Stores to assess ATV Performance Post event activity assessment (20th January 2019): receiving feedback at how well Penhaligons planned the event and best reflected the campaign. Review of Crisis management plan and contingency fund.
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