Garnier - Strategic Marketing

Marketing Plan

Javier Jiménez Carralero Julia Kraft Teresa Luque Galán Elena Pérez Velasco

TABLE OF CONTENTS Executive Summary

01

05

Marketing Strategies

Situation Analysis

02

06

Action Plans

SWOT

03

07

Evaluation and Control

Objectives

04

08

Bibliography

EXECUTIVE SUMMARY Challenge

One of the biggest challenges we are facing today, is the persistent pollution of our environment through hardly degradable materials, such as plastic. Pictures of littered oceans and beaches spreaded online are no rarity, and illustrate that our behavior needs to change.

Goal

Companies are facing an upheaval and have to adapt. As one of the biggest players in the Spanish market of Beauty and Personal Care products, Garnier is also facing this challenge.

Thus, the goal of this marketing plan was to develop a completely plastic free product that shows consumers the path Garnier is choosing for its future.

Analysis

The three main points that have to be highlighted from the analysis of the spanish Beauty and Cosmetics market is, ďŹ rst, that the market volume is constantly growing and predicted to do so in the future. Second, the concern of dealing with waste is among the three main environmental issues Spain is facing; and, third, a major trend nowadays is that people are attaching more and more importance to healthy and organic products.

Opportunity

As Garnier has already started focusing on these kind of products it is now the time to face the waste issue and use it as an opportunity for the future to expand the product range of the company and lead the industry. Among the 20 ideas created in the ďŹ rst step of the idea generation, the three most promising ones were related to packaging from recycled plastics, compostable packaging and shampoo beads.

Product

After profound analysis of the three ideas, Shampoo Beads was the selected idea based on its innovative, plastic-free and completely natural attributes. The idea develops towards a new Garnier creation: Fructis Beads. The product Fructis is allocated in one-use particles surrounded by a biodegradable membrane that contains the exact amount of Shampoo needed for an optimal hair wash. As the composition of the product has not varied, Fructis Beads proportionate the same flawless look as Fructis Shampoo.

Promotion

Based on the pioneering spirit of Fructis Beads, the promotion of the new product is extremely important. The promotion strategy focuses on a promotional event devoted to raise awareness about the climate change crisis and the role that plastics are playing, and to educate prospective consumers about Fructis Beads, its use and the benefits that it has: not only an impeccable hairstyle but also a smaller carbon footprint.

This event consists of three phases hold by a futuristic theme: (1) Astonishing designs, colors and shapes that remind of the image of the new product; (2) devastated images of areas of the world contaminated with plastic; and, (3) the presentation of Fructis Beads as the Garnier plastic-free solution. Bearing in mind the target we are aiming at, the attendees are sixteen influencers, who become ambassadors by sharing their experience with their followers. Then, the general public would be able to experience it for one month.

Conclusion

Although Fructis Beads is a risky venture, there is no doubt that Garnier would perceive that it is the perfect solution for anyone who is looking for high-quality and sustainable hair-care products. Today, Garnier has the opportunity to start a groundbreaking new journey in the industry towards a plastic-free world with Fructis Beads.

L’Oréal España S.A. L'Oréal España SA manufactures beauty and personal care products. The Company offers perfumes, cosmetics, shampoo, hair conditioner and color, and other skin care products. L'Oréal serves its customers worldwide (Bloomberg, 2019).

MISSION “Offering all women and men worldwide the best of cosmetics innovation in terms of quality, efficacy, and safety”

VISION “Driving the cosmetic industry with an inclination on sustainability.”

VALUES -

Innovation Entrepreneurial spirit Open-mindedness

Garnier - HISTORY Founded in France (1904) by Alfred Armour Garnier First patent: Plant-based hair lotion La Lotion Garnier Evolution: Skincare to healthy beauty expert ➔

Nature-based solutions to combat pollution, acne, UV and fatigue)

Strong points: ● ● ● ● ●

Harness the bounty of nature: fruits, seeds, buds, flowers (highly beneficial skincare and haircare properties) Active ingredients collected with brand´s cutting-edge expertise and techniques to take full advantage of nature´s energy, effectiveness and generosity Vast number of consumers Sustainable sourcing, constantly reducing the environmental impact of packaging , ecological profile, biodegradability indices of formulas Long-term commitment

2. SITUATION ANALYSIS 1. Macro Environment 2. Micro Environment

PESTLE Beauty and cosmetics market in Spain

1. Political Factors - Instability

Political instability in Spain takes a toll on global image.

A study based on 2017 World Bank figures shows the country has fallen two spots to 27th on the international index.

→ the drop can be attributed to the crisis in Catalonia.

Source: Mesías/ Marca España. EL PAÍS

1. Political Factors - Crisis of Catalonia

In October 2019, the Supreme Court of Spain sentenced 9 Catalan politicians and activists to jail terms of between nine and thirteen years for that independence bid. Three others were ďŹ ned.

The drive of Catalonia for independence plunged Spain into its biggest political crisis for 40 years.

Source: BBC

1. Political Factors - Corruption in Spain

2015: 58 2016: 58 2017: 57 2018: 58

https://www.transparency.org/cpi2018

1. Political Factors - Corruption in Spain

Spain is the 41 least corrupt nation out of 175 countries, according to the 2018 Corruption Perceptions Index reported by Transparency International. Corruption Rand in Spain averaged 28.88 from 1995 until 2018, reaching an all time high of 42 in 2017 and a record low of 20 in 2000.

TradingEconomics.com

2. Economical Factors KEY MARKET INDICATORS

GARNIER MARKETS 1)

Beauty & Personal Care

2)

Hair Care & Skin Care

● ● ● ● ● ● ● ● ● ● ● ●

Population Female population Male population Business cycle Household income Consumer spending (current) CPI (Consumer Price Index) Price level Tax rates Health International trade Finance (Households, GDP, Exchange rate)

2. Economical Factors - GDP (2018)

Source: Eurostat

2. Economical Factors - Salary

Source: INE

2. Economical Factors - Revenue

The largest Market Segment is Personal Care with a market volume of US$3,455M in 2019.

2. Economical Factors - Revenue Garnier MARKET - Beauty & Personal Care (Worldwide) Market Revenue (2019): €446,331m Average Revenue per Capita (2019) €60.56 Market expected growth (CAGR 2019-2023): 3.3% Largest Market Segment is Personal Care. Volume: €199,998 (2019) GLOBAL COMPARISON: Most revenue generated in US: €73.405m (2019) Average Revenue per Capita in US: €60.56 (2019)

Source: STATISTA

2. Economical Factors Beauty & Personal Care Market (in Spain) Market Revenue (2019):€7,056m Average Revenue per Capita (2019) €150,97

Market expected growth (CAGR 2019-2023): 1.3% Largest Market Segment is Personal Care.

Volume: €3,060m (2019)

GLOBAL COMPARISON: Most revenue generated in US: €73.405m (2019) Average Revenue per Capita in US: €60.56 (2019) ANALYST OPINION: Beauty and Personal Care market is thriving and one of the fastest growing consumer markets, driving in articular by the Cosmetics and Skin Care segments.

REASONS? Generational shift of young consumers entering the market, reinforcing of social media, internationality and eCommerce. Daily beauty and care as a routine.

Source: STATISTA

3. Social Factors - Population

Male: 49,13% Female: 50,87%

http://worldpopulationreview.com/countries/spain-population/

3. Social Factors - Population Population Spain: about 46,7 Mil. (INE)

3. Social Factors - Beauty perception in Spain

“If you walk through the streets of Madrid or Barcelona, it is obvious that beauty is a central part of the culture in Spain. As in other European countries, the beauty standards are high – women considered attractive have a slim figure, light complexions, and are impeccably dressed. Hair care is important in Spain; attractive women have long, thick, silky brunette locks. Spanish women also take great care of their skin. They wear makeup every day, though it is very subtle and natural.”

Source: AEDIT

3. Social Factors - Trends ●

Growing interest in healthy and organic products

●

Internet retailing is growing strongly within beauty and personal care

●

Consumers want to buy branded products as cheap as possible → having a look in the store first and then buying online

●

… a 2018 McKinsey study found that millennials are three times more likely than Baby Boomers to say they learn about new products or brands from social media

●

Demand for personalised cosmetics is growing fast

3. Social Factors - Offline and Online purchases (Spain)

Source: STATISTA

3. Social Factors - Perfume and Cosmetic Industry (in Spain)

https://www.stanpa.com/sector-en-cifras/sector-cosmetico-espana/

3. Social Factors ●

67% of Spanish women wear make-up every day, with 45% spending more than 15 minutes a day applying it.

(BirchBox Survey, July 2017)

●

Personal hygiene and skincare products are the main categories of the Spanish personal care market.

●

The average expenditure in perfumes and cosmetic is 139€ per person, above the European average of 120 euros.

(Source: Personal Care & Cosmetics Products: Spain)

4. Technological Factors

“When L'Oréal said last year it no longer wanted to be the number one beauty firm in the world, but "the number one beauty tech company", it was clear things in the industry had changed.” Guive Balooch, global vice president of L'Oreal's Technology Incubator

→ Technology has created a more demanding consumer!

BBC News

4. Technological Factors - Innovations ●

Virtual 'try on' apps

●

Personalization and AI

●

Improvements in image recognition

●

Improvements in face tracking tech

●

Smart skin care tools

●

Use data that got collected from these AI and AR tools to inform future strategies

●

Social media marketing and social influencers → 37% of millennials said they’re more likely to trust a brand after seeing an influencer post about it Fullscreen Report, 2018

4. Technological Factors - Example Lancome has come up with a custom-made foundation machine called Le Teint Particulier, which promises to ďŹ nd the "exact match" for your skin using AI. Available at Selfridges and Harrods in the UK, Lancome's consultants ďŹ rst work out your facial skin tone using a handheld colorimeter - a type of digital scanner. The results are then run through a computer, which uses a proprietary algorithm to choose from 20,000 different shades. Finally, the computer's ďŹ ndings are sent to a machine that mixes the foundation for you, there and then in the shop.

BBC News

5. Legal Factors 1. On 11 July 2013, the EU adopted a new cosmetic Directive 1223/2009 to replace 76/768/EEC:

-

-

All products must have a designated “responsible person” (a manufacturer or importer) who is responsible for EU regulation compliance.

SCCS (Scientific Committee of Consumer Safety EU): regulates and evaluates the safety of ingredients and establishes requirements for the utilization, with periodically supervision.

Source: Stanpa, EU SCCS

5. Legal Factors

2.

All cosmetic products sold in the EU must be produced according to Good Manufacturing Practices (GMP).

3.

The regulatory agency in Spain for cosmetics is the AEMPS – Spanish Drugs and Health Products Agency from the Spanish Ministry of Health

Source: Stanpa, EU SCCS

6. Environmental Factors - Main issues

Top three environmental issues facing Spain: 1.

Global warming (51%)

2.

Air pollution (41%)

3.

Dealing with waste (35%)

Source: STATISTA

6. Environmental Factors

Spain has reduced its CO2 emissions from approximately 379 million metric tons of CO2 down to roughly 302 million metric tons in 2017.

https://www.statista.com/statistics/4498 21/co2-emissions-spain/

Plastics – the Facts 2018 from PlasticsEurope (Association of Plastics Manufacturers)

Garnier products trends Brands 1.

Original Remedies

2.

Fructis

3.

Fructis Hair Food

4.

Fructis Style

5.

Olia

6.

Garnier Color Sensation

7.

Nutrisse Crème

8.

Belle Color

9.

Garnier Skin Active

10.

Agua Micelar

11.

BB Cream

12.

PureActive

13.

Garnier Bio

14.

Garnier Delial

Hair Care and Style

Hair Color

Skin Care

By Hair Care (Shampoo, conditioner, hair treatment, hair mask)

By Color (Black, Brown, Red, Blonde, Blue, Pink, Purple

By Cleanser (gel cleansers, make-up remover, micellar water, face scrub, facial towelettes)

By Hair Style (hair gel, hair cream, hairspray, hair Mousse, Hair Serums & Oils,Hair Wax & Paste)

By Brand (Color Sensation, Express retouch, Nutrisse color cream, Nutrisse ultra color, Nutrisse ultra coverage, Olia, Olia bold)

By Moisturizer (anti-aging, BB cream, eye roller, face mask)

By Need (Anti-frizz, Color-treated hair, Curly hair, Heat protection, Hair hold & control, Men´s products, Moisturizing Hair, Strengthening Hair, Shiny Hair, Hair Straightening, Blowout, Hair texture, Hair volume)

By Skin Type (combination, dry, normal, oily, sensitive)

Skincare and Haircare Market Shares (Spain, 2018)

Even though, the market share differs depending on Skincare or Haircare markets, L’OrÊal is the leading player in both Spanish Market.

Source: MARKETLINE

MICRO Analysis

1.

2.

3.

4.

Five Forces of Porter Suppliers Main Competitors Intermediaries

Porter’s Five Forces in the Skincare and Haircare Markets (Spain)

In both graphics the degree of rivalry is the strongest variable, which shows the competitive market where L’Oréal, thus Garnier, is the leading player. Moreover, the buyer power is the second strongest force. These two forces lead to a competitive market situation,, which implies investing on the value chain of each company.

Source: MARKETLINE

SUPPLIERS Suppliers in the haircare and skincare market include manufacturers of chemical ingredients, such as foam, special additives, vegetable oils and other ingredients used in the production of cosmetics.

The quality of many of the raw materials is highly important. The possible dangers of synthetic chemicals used in beauty and personal care increase consumer demand for safer and healthier alternatives. This also serves to weaken supplier power to some extent.

It is important for market players to focus on environmentally friendly ingredients which perform well, while at the same time following the latest trends.

As a European Union (EU) member state, Spain must comply with all EU regulations on cosmetics. For example, in the EU, it is illegal to sell cosmetics developed through animal testing.

In addition, plastic, glass and metal (for aerosols) packaging is an additional input for the industry.

However, there are generally several alternative products within each ingredient category, which reduces players' dependence on any particular supplier.

Source: MarketLine Industry ProďŹ le – Haircare in Spain February 2019

Main Competitors - Hair Care products (Spain, 2018)

Women Shampoo

Pantene Pro V, Garnier, Tresemmé, L’Oréal Elvive, Head & Shoulders

Women Conditioner

Pantene Pro V, Garnier, Tresemmé, L’Oréal Elvive

Women Hair conditioning treatments and masks

Pantene Pro V, Garnier, Glis Skur/ Schwarzkopf

Men Shampoos and conditioners

Head & Shoulders, Others, Pantene Pro V, Head & Shoulders 2 in 1, Garnier

Men hair treatments

Other manufacturers’ brands, L’Oréal, Other store brands, Garnier, Pantène Pro-V

Source: Hair Care Consumption in Spain (Kantar Media TGI and Statista)

Intermediaries L’Oréal’s product range is divided into four main categories: ● ● ● ●

Consumer Products Division (where Garnier is Located) L’Oréal Luxe Professional Products Division Active Cosmetics Division

As the company explains in its website, the Consumer Products Division is sold in mass-market channels as hypermarkets, supermarkets, drugstores and traditional stores. In Spain, the main mass-markets are (based on market share): ● ● ● ● ● ●

Mercadona: 24,9% Carrefour: 8,4% Dia: 7,5% Eroski: 5,3% Lidl: 4,8% Auchan: 3,5% Sources: L’Oréal & LZ Retailytics

3. SWOT ANALYSIS

STRENGTHS ● ● ● ● ● ● ●

Market Position and brand reputation (2nd strongest L’Oréal brand) R&D Problem based approach (differentiation) Financial situation and liquidity Celebrities endorsements (Sarah Jessica Parker) Distribution network: many stores Actions and partnerships regarding environmental trends

THREATS ● ● ● ● ●

SWOT ANALYSIS

Intense Competition across Product Categories Focus on health (natural remedies and organic products) Stringent Regulations Imitation of the counterfeit and low quality product High bargaining power of buyers

● ● ●

●

S

W

T

O

WEAKNESSES Similar products (not much scope for differentiation) Western culture oriented Decentralization (most of the decisions in local markets are taken by partners or franchisee) Indirectly supporting animal testing

OPPORTUNITIES ● ● ●

● ● ●

Market growth potential Positive Outlook for Global Beauty & Personal Care Premiumization (pay more and trade up for products with new benefits, better performance and superior quality) E-commerce (online purchase products and attributes) Increasing environmental concern and actions Paboco paper bottle Source: own elaboration

4. OBJECTIVES

Strategic Objectives 1. Rise awareness of the new “positioning” in a 70% in 1 year.

2. Reduce 25% of the plastic used in half of Garnier’s brands in the next year.

3. Increase sales in a 5% in 1 year and 10% in 2 years.

5. MARKETING STRATEGIES

Market Segmentation As a part of the consumer goods, segmentation is of prime importance in order to make the offerings of the brand more of consumer friendly.

Garnier uses the mix of demographic, geographic and psychographic segmentation variables such age, gender, lifestyle, social class, income class etc.

Since the brand have the presence with broad category and brands meant for the different set of customer, therefore, it uses differentiating targeting strategy.

It has positioned its offerings as affordable skincare and hair care solutions which are meant for value for money to the customers and are at best prices.

BUYER PERSONA

PURCHASING BEHAVIOR

PROFILE Age: 23 years Gender: Female Location: Madrid, Spain

Packaging

Ingredients

Bio products

Studies: Marketing Degree

PERSONALITY - Innovative: follows latest trends

HOBBIES

- Impacients - Likes to meet new people - Environmental concern

Miriam Ortiz

Read online marketing magazines

Travel

FEARS - Making bad decisions - Global warming

Yoga

Social Nets:

- Pollution of oceans

eco-friendly instagramers

Source: own elaboration

Market Positioning Garnier is positioned as a nature- based innovative personal care brand which takes care of your skin. The brand has a very catchy tagline “Take Care�.

Garnier’s positioning strategy is focus on product in the sense that it has tried to emphasis individual product properties rather than a common brand image. For this reason, most of its commercials are emphasizing on product strengths and innovation.

Also, our brand has positioned itself as most ethical cosmetics and beauty care company focusing on universalisation. Respect the differences in cultures, desires, and aspirations of the internal & external stakeholders.

Their strong market presence enables a better visibility and high penetration opportunities.

Source: MARKETLINE

6. ACTION PLANS

IDEA GENERATOR 1.

Natural peeling seeds - facial product

2.

Environmental peeling: special product inside the bioline. It is a body scrub

3.

Compostable packaging that could be buried when it is empty as it is biodegradable

4.

Packaging made with a material that provokes a chemical reaction when you apply a specific mechanical energy.

5.

Break down the packaging is smaller particles that are reusable

6.

Packaging made with plastics from the ocean and create a recycling circle with the product.

7.

Convert all shops structures plastic less (0% plastic). Pop-us to try its feasibility

8.

Garnier containers with quotes of Leonardo DiCaprio to encourage recycling habits. DiCaprio is UN ambassador supporting Climate Change issues. Product placement and brand content.

9.

10.

Garnier containers with a transparent packaging. “As clear as water” Cocoa leaves packaging material

IDEA GENERATOR

11.

Structure item to include in the packaging to leverage the whole product (shampoo, conditioner,, etc.).

12.

Create a bioline Fructis brand product (bio in the inside and in the outside)

13.

Solid shampoo

14.

Powder shampoo. To sell shampoo in powder that could be mixed with water in a container. The packaging of the powder would reduce the amount of plastic use in the current containers.

15.

Hard paper packaging.

16.

Combine ideas - solid shampoo and sustainable packaging. Even solid shampoo needs packaging to sell it in stores, so we could make this out of paper and put the solid shampoo inside.

17.

Smart reďŹ ll system

18.

Create a package with sensors that identify when the container is running out of the substance and changes the color of the package.

19.

New Packaging from recycled plastics that is obtained from partnerships with companies which are involved in collection plastics from oceans and giving a second life to these plastics (Ex. 4Ocean)

20.

Garnier beads

Idea Screening (1)

Recycled Plastics

New packaging created with only recycled plastic materials that are obtained from Plastic Islands in the oceans or partnerships with companies which are already involved in collecting plastics from oceans and giving them a “second and better life�, e.g. 4Ocean. It would be an innovative packaging with sustainable material (recycled plastic) and a stockable shape.

Idea Screening (2)

Compostable Packaging

Compostable packaging that could be buried when it is empty due to its biodegradable properties.

Features ●

Compostable

●

Biodegradable

●

Reduce CO2 footprint

●

Reduce Water footprint

●

Reduce the amount of plastic generated

Shampoo Beads

Idea Screening (3)

Shampoo capsules made with natural materials that do not injure the skin or scalp.

Features: ●

Useful and easy application

●

Membrane made with Sodium Alginate and Calcium Lactate

●

Membrane easily permeable

●

Exact size for application

Concept development and testing 5 Questions: 1. Have you understood the product? ¿Has entendido el producto?

2.

In your opinion, what inconvenients does this idea have? ¿Qué inconvenientes le ves?

3.

What advantages does this idea have? ¿Qué ventaja le ves?

4.

Would you use this product? Justify your answer. ¿Usarías este producto? Justifica tu respuesta.

5.

Does this idea remind you of any product that you currently use? ¿Se parece a algún otro producto que ya uses?

Potential Customers’ Comments ● 20 Respondents ● Spanish nationality ● 100% Women (our target) SURVEY LINK: https://docs.google.com/forms/d/19UtTsHxpPB6L3a_FL2sp2lnLUL8L2_maZSLU9PVLmbU/edit?usp=sharing

Source: own elaboration

1. 100% Recycled Plastic Packaging Respondents’ comments DISADVANTAGES “Seguirán siendo plásticos y no todo el mundo recicla” “Los envases reutilizados podrían terminar en el océano de nuevo si la gestión de posteriores residuos no es adecuada. La reutilización de plásticos conlleva habitualmente un alto consumo de agua, aunque siempre podría optimizarse.”

ADVANTAGES “Muy buena imagen de marca” “Tendría una responsabilidad social corporativa más atractiva para los clientes” “Rentabilidad a largo plazo, sostenibilidad y disminución de la contaminación “

“Es igual que ellos colaboren con empresas que recogen plástico si ellos son los primeros que producen plástico, podrían establecer en las tiendas llevar un bote de cristal y rellenarlo con sus productos sin necesidad de crear más botes “

Source: own elaboration

2. Compostable Packaging Respondents’ comments DISADVANTAGES “Puede tener mala imagen por ser un producto reutilizado” “La degradación masiva de basura altera las condiciones del suelo donde son enterrados. Algunas personas pueden emplearlo incorrectamente y tirarlo a lugares públicos, contribuyendo a contaminación visual..”

ADVANTAGES “Muy buena imagen de marca” “Cualquier producto con capacidad de degradarse en cortos períodos de tiempo es mejor que el uso de la plástico, que tiene más años de durabilidad.”

“Que su huella de carbono es más reducida“

“Pues que la gente no va a enterrar sus botes de champú“ “Dificultad del procesado para utilizarlo como recipiente de productos líquidos, por ejemplo.”

Source: own elaboration

3. Fructis Beads Respondents’ comments DISADVANTAGES

ADVANTAGES

“Controlar el uso abusivo de los productos”

“Que la gente no se adapte a este hábito” “Más que inconvenientes, me surgen varias dudas. El envase donde se guardaría esa perla, ¿como sería? ¿se vendería por paquetes de cuantas perlas? ¿Como se conserva? Estas son las dudas que me surgen sobre este producto”

“La misma utilidad que el champú de una forma más fácil ” “Es cómodo para llevarlo de viaje y fácil de usar por lo que sería muy útil “

“¿Cómo sabes la cantidad necesaria? Hay gente que tiene mucho pelo o muy largo y otros que casi no necesitan champú“ “Pues que a lo mejor es demasiado innovador para la gente” “Si tienes mucho pelo podría resultar insuficiente con una cápsula por lo que no sería apto para todos los usuarios” Source: own elaboration

SELECTION OF THE IDEA FRUCTIS BEADS STRONG POINTS ● ● ● ●

Innovative Plastic-free Easy usage Eco-friendly

WEAK POINTS ● ● ●

Change the consumer behaviour Disruptive Doubts about its use

FRUCTIS BEADS PROTOTYPE Fructis Beads is the alternative to the conservative packaging. We were inspired by “Notpla” which is a material that combines seaweed and plants. This is a flexible packaging for beverages and sauces. In this case, our goal is to introduce this material into our manufacturer chain creating a new plastic-free haircare line.

Packaging Inspiration Maintaining the image of Garnier!

L’OrÊal Paper bottle new packaging (2020)

Innovative container

Carlsberg partnership Paboco Paper bottle new packaging (2019)

Our Packaging The ideal container for Fructis Beads has the following properties: ● ● ● ● ● ● ● ● ●

Plastic-free Reusable Environmentally-friendly Sturdy Stockable Tight fit Rectangular shape Waterproof Tight-fit

Brand Name Garnier general trends: “What you see is what you get” “Sometimes when creating the future you have to go back” Let's go back to a plastic free, sustainable world

V

BEADS

BUYER JOURNEY

AWARENESS Sustainability and plastic less/zero waste issues are of great interest nowadays. Garnier has to make people aware of their change towards a more environmental friendly company and their products in this field in different communication channels. E.g. “EXPERIENCE THE FUTURE” by Garnier

INTEREST By showing people a new solution for the packaging waste issue in the new commercial, Garnier is raising people's awareness and interest for its new and innovative product.

CONSIDERATION Garnier's good image and the maintenance of moderate prices for the Beads will lead to a good position compared to other brands for the consideration of the product. In addition, this innovative change shows the ideals of the #1 leader in Beauty

PURCHASE Garnier Beads will be available in supermarkets and drug stores as well as online. As these are the main places for people to buy shampoo, it will be easy for them to find the new product.

Furthermore, displays will be used to highlight the product in the stores.

POST-PURCHASE Through continuously having an eye on Instagrammers and Youtubers who are testing new trends and reporting of it online, Garnier is having the chance of free feedback on impactful customer experiences.

RE-PURCHASE By expanding the Beads line for shower gel and conditioner, the customer has the chance to buy more products when satisfied.

Thanks to the reusable container, they are able to come to the store and just re-fill it with more Beads

PROMOTION STRATEGY

Objectives of the promotion

-

Present the new product: Garnier Fructis Beads

-

Raise awareness and interest for plastic free market through our exhibition: make people talk about it.

-

Start changing the perception of the brand in terms of plastic production.

-

Educate consumers to change their behaviour.

PROMOTIONAL EVENT PRESENTATION:

“EXPERIENCE THE FUTURE

BY GARNIER”

We plan to design a Garnier futuristic plastic free "universe" that creates an enjoyable and educative environment.

It takes place in Madrid (March 1st - 31st).

The first day, the event is only open to selected influencers who will experience an emotional journey through different spaces.

Afterwards, the event is opened to the general public.

The heart of the overall concept is focused on the straight-forward nature of Garnier, while underlining their simplicity, sustainability and functionality.

The experience of this simple, natural and eye catching "universe" is designed to astonish visitors. The aim of the event is to educate and to raise awareness in all people regarding the issue of plastic that our world is facing today, and make them learn and exchange ideas about new uses of plastic-less products, especially, Fructis Beads.

Influencer Cooperation As one of our goals is to raise awareness and educate consumers, influencer cooperation allows Garnier to maximize the exposure and promotion of Fructis Beads to current consumers and new generations. Influencers become Garnier ambassadors who share their experience, at the event and using the product, with their followers. Below, there are several real examples and data in which this technique has been implemented: A Traackr survey of over 30,000 Beauty and Fashion Influencers showed a 100% increase year over year in mentions of hashtags like #wastefulpackaging, and phrases “too much packaging.”

In the same Traackr survey, beauty-specific posts containing keywords and phrases such as "eco-friendliness" and “sustainability" saw a 25% increase in volume from 2018 to 2019.

Frustrations regarding beauty product-overload and product-accumulation among influencers manifested in an 86% increase in mentions of product decluttering and purging exercises.

Example: Garnier Influencer Marketing Campaign in Canada 2015: http://mediaincanada.com/2015/02/26/garnier-puts-new-launch-in-hands-of-influencers/

Spanish Influencers

*Inuencers will share the experience during the event and using Fructis Beads on their social media platform (Instagram, YouTube, TikTok, Snapchat, Twitter)

Spanish Influencers

*Inuencers will share the experience during the event and using Fructis Beads on their social media platform (Instagram, YouTube, TikTok, Snapchat, Twitter)

Social Media Post Example of posts created by @garnier_es presenting the inuencers who will be in the promotional event.

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Characteristics of the post:

-

Natural feeling

-

Appealing content

-

Use of natural colors

-

Attractive copywriting

garnier_es đ&#x;’šNUEVO #FructisBeads đ&#x;’š Garnier presenta la soluciĂłn para reducir el plĂĄstico de la mano de @paulagonu

EVENT - Location Inspiration

EVENT - Location sketch 3 spaces based on the advertising concepts:

Positive-emotional

Rationality

Fear

V BEADS

●

Open space to have a good time.

●

Ball pit with balls looking like Garnier Beads.

●

VR experience → Diving in Bali and experience the before and after plastic pollution of the ocean feeling.

●

Presentation of eco-friendly Garnier products along the history.

●

Garnier presents Fructis Beads as the plastic-free solution.

*All the materials used to create the event infrastructure are plastic-less and environmentally friendly.

Experience the Future by Garnier

https://youtu.be/YLpQs-Ifw_4

TV Commercial Garnier Beads is a completely new product. It is one of the environmentally friendly choices that Garnier is making for its future. Therefore, the campaign should demonstrate the new path while maintaining the Garnier style of quality product that provides amazing results.

During the promotional event, professional cameras record the attendees living the futuristic experience offered by Garnier. With this footage a tv spot to run on “Antena 3� will be created, and also the online commercial to share on social media as promotional content.

YouTube, Instagram and TikTok will be the social media platforms used to share and make people talk about the new launch. The hashtag for the campaign will be #ExperiencetheFuture.

BUDGET

23%

76%

1%

EVENT 300,000 €

TV COMMERCIAL 1,017,000€

INFLUENCERS 16,200€

BUDGET - Promotional Event

Estimated budget = 300 000€ Expenses to be considered: ●

Rental of local: Gran Vía, Madrid

●

Structure and remodeling of the space

●

Personal Expenses

https://www.privateaser.es/alquiler-espacios/top-espacios-eventos-gran-via-madrid

BUDGET - TV Commercial 16.00h

22.30h

Monday

8.000,00 €

16.500,00 €

Tuesday

8.000,00 €

16.500,00 €

Wednesday

8.000,00 €

18.000,00 €

Thursday

8.000,00 €

18.500,00 €

Friday

8.000,00 €

15.000,00 €

Saturday

11.000,00 €

11.000,00 €

Sunday

11.000,00 €

12.000,00 €

TV commercial runs for 6 weeks 7 days a week Twice a day (16.00h & 22.30h) 169 500€/ week * 6 weeks = 1 017 000€

http://www.oblicua.es/publicidad/publicidad-tv-television.htm

BUDGET - Influencers Promotion Instagram Number of Followers

Price Range

Up to 5K

100€ - 150€

125€

5K - 15K

200€ - 250€

225€

15K - 50K

300€ - 400€

350€

50K - 100K

400€ - 700€

550€

1000€ +

1 000€

More than 100K

Average Price

Estimated budget calculations: 4 Influencers under 100K followers: 550€ * 4 influencers = 2 200€ 10 Influencers over 100K - followers 1 000€ * 10 influencers = 10 000€ 2 influencers with 1M followers 2 000€ * 2 influencers = 4 000€ Estimated budget = 16 200 €

PRICING STRATEGY

Pricing Strategy For the pricing strategy, we are going to maintain the same price of the previous product when it is bought with the packaging.

-

Mercadona: 3,80€

-

Carrefour: 3,79€

-

Primor: 3,90€

We propose to add fixed discounts (20%) to encourage consumers to keep and reuse the same packaging and just buy the beads so it helps in order to reduce the waste.

DISTRIBUTION STRATEGY

Distribution strategy 1.

Oine: To maintain the distribution strategy that is already existing and sell Fructis Beads through mass-market channels as hypermarkets, supermarkets, drugstores and traditional markets, as it is currently being done (speciďŹ ed on slide 39).

The concept of zero waste shops shows a reaction to the plastic issue we are facing today. An example is the shop unPacked (unpackedshop.es) that opened last year in Madrid. We want to cooperate with new zero waste shops and sell the product there because we want to make it possible for consumers to reuse their containers with Beads.

2.

Online: As shown on slide 22, the amount of online purchases is growing. Therefore, it is very important to also add the new product to the online store of Garnier on their website (garnier.es) and other e-commerce platforms currently used, such as Amazon.

7. EVALUATION AND CONTROL

Evaluation and Control The main goals are to educate the consumer and to raise awareness about our new product, as well as increase sales. Influencers are a key point in order to maximize exposure.

Control Indicators: ● ● ● ● ● ●

Number of impressions per influencer’s post.

Number of interactions per influencer’s post.

Exposure of TV commercial created post-event (Experience the future by Garnier).

To analyze consumer value perception of the product and feedback through social. media platforms interaction and influencers’ followers reactions.

To analyze reactions with post-purchase surveys to customers and surveys to employees.

To analyze and compare sales growth per region starting in Madrid and Barcelona.

OUR TEAM

Teresa Luque

Javier Jiménez Elena Pérez

Julia Kraft

THANKS Do you have any questions?

Teresa Luque Galán tluquegalan@gmail.com

V

BEADS 0% Plastic 100% Natural #ExperienceTheFuture

Elena Pérez Velasco perezvelascoelena@gmail.com Javier Jiménez Carralero jjimenezcarralero@al.uloyola.es Julia Kraft juliia.kraft@web.de

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