fab final report adv
TRANSCRIPT
EXECUTIVE SUMMARY
Skin color is one of the most important aspects of a person’s personality. Person with a
fair and a glowing complexion will always feel confident in front of others. The current
men fairness cream market is dominated by Skin care, having the largest market share
followed by Emami fairness cream. The initial launch pad for this product will be done in
Karachi followed by nationwide launch after its success in Karachi. The SWOT analysis
tells the about the product and company external environment and the BCG (Boston
Consulting Group) matrix gives us an projected view of the placement of our product in
the market which allows us to create strategies and tactics in order to have a successful
product launch.
FAB is dedicated to provide its consumers the best and have a target of achieving 5%
market share and will create strategies to increase by 0.5% annually and eventually
become the market leaders. In order to create awareness of our product, we have
followed tight communication plans which include different mediums used in advertising
and promoting our product. FAB is dedicated to satisfy their customer needs by
continuously innovating and improving its fairness cream and bringing them to its
customers at an affordable price.
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1. COMPANY INTRODUCTION
FAB is a dynamic organization which lays the foundation of its production in
Pakistan.FAB is a partnership firm among four partners. It is Startup Company and will
start its operations by producing its main product FAB men fairness cream and have a
vision of introducing a wide range of products for both male and female in the near
future.
It caters to the cosmetic industry of Pakistan by manufacturing a high quality fairness
product. Forecasting the current market, FAB is ready to launch its fairness cream with
its tagline being “total fairness in 3 weeks”. A product like FAB fairness cream will take
the market by storm. At initial stage we have just selected Karachi as our launch pad
and are planning to launch nationwide after successful launch in Karachi. To make any
business successful, we must concentrate on the need of the product in the target
market.
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2. COMPANY POLICY
Our company’s main policy is to provide our customers the best quality product at a
reasonable price and to make our product to be available everywhere.
Vision Statement
“Within five years, FAB men fairness cream will become number one company in
Pakistan by producing and selling the highest quality products and will work with all our
effort to meet and exceed our customer needs and expectations”.
Mission Statement
“To provide high quality products that combines performance with value pricing, while
establishing a successful relationship with our customers and our suppliers and to stay
ahead of the competition by innovating new products based on the needs of our
customers and market demand”.
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PRODUCT LIFE CYCLE
Skin care – Fair Men :
Skin care`s fair men is at maturity stage because it has high market share.
Emami – Fair And Handsome:
Emami s Fair And Handsome is at growth stage because it has not reached to its
targeted market share.
Set Wet – Get Smart :
Set wet s get smart lies between growth and introduction stage.
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Fair and Lovely – Menz Active:
Fair and lovely`s menz active is at introduction stage because it is a newly introduced
product.
FAB Men Fairness Cream:
Fab men fairness cream is at introduction stage as it is a newly introduced product.
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MARKETING OBJECTIVES AND ISSUES
To enter the fairness cream market and capture 5% market share and to
increase it by 0.5% annually
To bring awareness of the product in the mind of the consumers through heavy
promotional strategies
To differentiate FAB men fairness cream with its competitors on the basis of its
USP that is to give total fairness in just 3 weeks
Profit maximization
Increase sales
After a successful launch in Karachi we are planning to launch it in whole
Pakistan, then world wide
We will try to fulfill the consumers requirements regarding the product in order to
achieve the brand loyalty
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CURRENT MARKET SCENARIO
The current men fairness cream market is dominated by Skin care and Emami. These
brands have an advantage of old presence therefore a high percentage of consumer
confidence. The reason for consumer confidence is the consistency of high quality
products and heavy marketing and promotional strategies. Skin care is the current
market leader and has a price of rupees 95 with a quantity of 50 mg and Emami being
the second in Pakistan has a price of rupees 90 with a quantity of 30 mg.
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3. INDUSTRIAL CHARACTERISTICS
Competitor Analysis
List of Competitors
Fair Man from Skin Care
Set Wet Get Fair
Emami Fair and Handsome
Fair and Lovely Menz Active
Competitive Advantage
We will offer our product to those customers who want to look fair. This product will be
easily available in every area of Karachi. Our strategy is to make our brand successful
by charging lower price than our competitors and provide high quality product and its
results to our customers. This strategy will lead our product to capture maximum market
share which is our main objective.
But apart from all this close market competition, we have the following advantages over
our competitors:
Gives you complete fairness in just 3-weeks faster than our competitors
Makes you fair through natural process
No side effects
Faster and more effective results at a lower price
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Strong distribution Channel
These advantages will provide us a competitive advantage/edge over our competitors,
we just have to make consumers aware about our product and its differentiating factors
and this will be done through heavy promotional strategies
Direct competitors
The direct and the biggest competition that we will face is with fair men a product of skin
care Pakistan. Fair men of skin care holding the highest market share is the biggest
competitor that we will face. Skin care hold the largest market share and is the current
market leader. The second big competitor that we will face is fair handsome of Emami
and then there are other small competitors who are the strivers in the market like get
smart of set wet and menz active of fair lovely.
Skin Care – Fair Men
Emami – Fair and handsome
Set Wet – Get Smart
Fair and lovely – Fair menz
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Indirect competitors
There are many indirect competitors that FAB will face which includes moisturizers,
acne creams, anti wrinkle creams and other skin related products. All these products
related to your skin can act as an in direct competitor for FAB.
Moisturizers e.g Dove
Anti wrinkle creams
Acne creams
Fair and lovely women
Home made products (herbal creams)
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Major Com-
petaitors90%
Minor Competaitors10%
Market Share of Direct Competitors
Acne creams 8%
Local creams 12%
Moisturizers 42%
Fairness creams for women
38%
Indirect Competitors
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Market share of competitors
Skin Care65%
Emami25%
Menz Active 6%
Others4%
Major Competitors
There are four main direct competitors that FAB men fairness cream has to survive with,
their market share are defined below:
FAIR men the product of skin care:
Fair men a product of skin care Pakistan holds the biggest market share and is the
strongest competitor for FAB men fairness cream, which holds a market share of 65%
across Pakistan.
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Fair and handsome of EMAMI:
Fair and handsome of Emami has a comparatively larger share in the international
market as compared to Pakistan, where in Pakistan Fair and handsome of EMAMI
holds a market share of 25%.
Get smart of set wet:
Get smart is a product of set wet, set wet is doing well in its other products but in
Pakistan get smart is striving to stay in the market for a long time now but still is unable
to capture a good market share.
Menz active of Fair and lovely:
Fair and lovely is a big brand in Pakistan cosmetic industry, still they are
struggling hard to capture a desirable market position in terms of men fairness creams.
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BCG (BOSTON CONSULTING GROUP) MATRIX
The BCG matrix method is based on the product life cycle theory that can be used to determine what
priorities should be given in the product portfolio of a business unit. It has 2 dimensions: market share and
market growth. The basic idea behind it is that the bigger the market share a product has or the faster the
product's market grows the better it is for the company.
The four categories are:
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Dogs - Dogs have low market share and a low growth rate and thus neither
generate nor consume a large amount of cash
Question marks - Question marks are growing rapidly and thus consume large
amounts of cash, but because they have low market shares they do not generate
much cash.
Stars - Stars generate large amounts of cash because of their strong relative
market share, but also consume large amounts of cash because of their high
growth rate
Cash cows - As leaders in a mature market, cash cows exhibit a return on
assets that is greater than the market growth rate, and thus generate more cash
than they consume.
INTERPRETATION
Our product lies in the area of question mark because initially we have high
investment but low market share. As well as fab men also has the potential to
gain market share and become a star, and eventually cash cow when the market
growth slow
4. ENVIRONMENTAL ANALYSIS (PEST)
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POLITICAL:
Political stability play a vital role in the making a product successful. Currently in
Pakistan there is political instability which is the big threat to our product. Unstable
political conditions disturbs the distribution, strengthens the bargaining power of local
buyers.
ECONOMICAL:
Currently there is a recession all over the world which has affected Pakistan economy
as well. People now a day are saving more rather then spending. There is a high
inflationary pressure on markets and consumers. Increase in tax rates results in
increased prices of products.
SOCIAL:
People are more social these days. Our product will give a new style to the youth
generation. Media exposure is creating awareness among people, changing the
lifestyles of consumers which lead them to healthier buying habits.
TECHNOLOGICAL:
The world is moving so fast and there is global competition in the market. The
competitors which have huge research and development budgets have advantage to
enhance and innovate their product and to achieve economies of scale.
5. CONSUMER CHARACTERISTICS
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AGE:
16 years and above
GENDER:
We will only target to males
LIFE STAGE:
Teenagers
Youths
Adults
USE:
The use of our product is that it’s make you fair in three weeks
GEOGRAPHIC:
Our main target market is Clifton, Tariq Road, Defence, Nazimabad and Gulshan-e- Iqbal
PSYCHOGRAPHIC:
People who want instant change in their life style within three weeks
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INCOME LEVEL:
MIDDLE CLASS: RS: 30000 - RS: 75,000
UPPER LOWER CLASS: RS: 80,000 - above
POSITIONING
It is essential for a new product to get into the customers mind through every mean
whether its television, radio or print media. The positioning statement of our product is:
“TOTAL FAIRNESS IN THREE WEEKS”
Positioning is how we position our product in consumers mind. We have positioned FAB
MEN fairness cream is a cream which changes a person`s personality in three weeks.
The variables we have taken into consideration for positioning are as follows:
Quick Results:
FAB Men Fairness Cream makes your skin fabulous and attractive in just three
weeks.
Attractive Packaging:
FAB Men Fairness Cream has used black and grey color for packaging which
shows more masculine and attractive appeal.
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Distinctive Melanin Effect:
FAB Men Fairness Cream has melanen extracts which makes your skin fair and
attractive. This melanen protects the skin from UV rays and makes your skin fair
and attractive.
Price and Quantity:
FAB Men Fairness Cream is offering 50mg tube at a price of 90 rupees, which is
a very affordable price.
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6. SWOT ANALYSIS
Strengths:
No side effects
Resist marks and dark circle
Give natural look
Compare to our competitor FAB men fairness cream gives result in just three
weeks faster then are competitors
Tested and approved by PAD
Weaknesses:
Lack of Experience
Low market share
Opportunities:
Since our cream provide quick results, we have an opportunity to acquire greater
market share
Successful launch in Karachi will lead to launch in other cities
Opportunity to enter into other cosmetic products
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Threats:
Too much competition
Un-stable political and economical conditions
People have perception that fairness creams may damage their skin
In long run, other competitors may adopt our ingredients
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7. MARKETING MIX
PRODUCT
“YOUR FIRST IMPRESSION IS YOUR LAST IMPRESSION.”
Fair skin could affect other people first impression of you. Fair skin attracts and grabs
attention at very first sight. Fair skin gives you advantage over other people. FAB men
fairness cream offers a quick change to anyone`s look. The name “FAB” is taken from
the word fabulous. As our fairness cream makes a person fabulous and attractive in just
three weeks.
PRODUCT FEATURES AND BENEFITS
QUICK RESULTS :
FAB men fairness cream offers its customers to have a fair and attractive skin as
desired by them in just three weeks.
CREAM FOR ALL TYPES OF SKINS:
FAB men fairness cream is suitable for all types of skins.
NO SIDE EFFECTS :
FAB men fairness cream has no side effects, as it is tested and approved by
PAD (Pakistan association of dermatologists).
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GLOWS YOUR SKIN :
FAB men fairness cream glows your skin and makes it attractive.
NATURAL LOOK :
FAB men fairness cream has melanen extracts which makes human`s skin fair
and attractive. This melanen protects the skin from UV rays and gives a natural
look to your skin.
RESISTS DARK CIRCLES :
FAB men fairness cream reduces dark circles under your eyes.
SKIN FRIENDLY:
The gentle skin-friendly pH qualities in FAB Men fairness cream makes it suitable
for all skin types. It can also be used as a sunscreen. It is ideal for Pakistani men,
many of whom have dark skin arising from high exposure to sunrays and rugged
skin due to use of razor blades.
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QUALITY
Face color plays a vital role for a person`s social acceptance. Fair skin people are easily
acceptable in society. Most of the fairness creams that people use contains harmful
chemicals that does not suits to people skin and causes allergies thus they are not good
for the customers.
FAB Men Fairness Cream is different from others because it does not have such
chemicals which harm your skin. It is made of high quality ingredients that not only
make your skin attractive but also protects your skin. It is approved and quality tested by
PMA.
QUANTITY
FAB Men fairness cream will be available in the market for customers in 50mg tube
packages.
FAB Men fairness cream in future will be launching portable pouches available in 50mg.
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Packaging
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Price Comparison
PRODUCTFAIR MEN FROM SKINCARE
SET WET GET FAIR
EMAMI FAIR N HANDSOME
FAIR N LOVELY MENS ACTIVE
FAB MEN FAIRNESS CREAM
PRICE RS: 95 RS: 110 RS: 90 RS: 160 RS: 90
QUANTITY 50 mg 50 mg 30 mg 50 mg 50 mg
Cost Distribution
Manufacturing Cost Rs: 34
Packaging Cost Rs: 12.5
Advertising and Promotion Rs: 15
Production Cost Rs: 61.5
Company Profit Rs: 16
Wholesale price Rs: 77.5
Whole Seller Margin Rs: 8
Retailer price Rs: 85.5
Retailer Margin Rs: 4.5
Consumer price Rs: 90
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9% 14%
37%5%
16%
19%
Cost Distribution
Wholesellar Margin
Packaging Cost
Production Cost
Retail Margin
Adv. & Pro Mix
Company Profit
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Placement (Distributional Channel)
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FAB Manufacturer
MEN Wholeseller Distributor
Fairness Retailers
Cream Consumers
Promotion
Promotion Objective:
To capture existing customers of competition
Creating awareness of our product
Making the product credible in the market
Targeting new customers
Increasing rapid sales
Grab the maximum market share and dominate the market
Short Term Plans:
FAB men fairness cream first will be launched in Karachi and aims to target existing
users of fairness creams and also influencing new customers by the product features.
We will promote our product by using all sources of advertising to promote the product
in the different areas of Karachi.
Free sample will be given and promotional stalls will be placed at different locations in
Karachi according to the target market.
Long Term Plans:
FAB men fairness cream aims to launch the product all over Pakistan and influence
people to use the product by its unique features, advertisement concepts and promoting
the product by every possible ways.
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FAB men in future will introduce a portable pouch of fairness cream, which could be
used and carried at any place and any time.
Sales Promotion:
Schemes and discounts will be given to the retailers to promote sales and fascias for
the retailer’s shops.
Fascias will be sponsored to men salons and free products will be given to them that will
be used for customers only.
Rack for creams will be distributed to all stores for our
product display.
Packaging:
Masculine color scheme has been used for packaging that
is black and grey, to attract the target market customers.
Publicity:
Print media, radio, television will be the main source of
publicity. Free samples will be given and introduced to the customers.
Billboards will be placed all over the city according to target customers. Various super
stores and hair salons will be targeted to gain attention from the people.
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8. PROMOTIONAL BUDGET
TV44%
Radio12%
Print Media20%
Bilboards14%
Promotional Budget Allocation
PROMOTIONAL BUDGET ALLOCATION
MEDIUM OF ADVERTISING % SHARE AMOUNT
TELEVISION 44% 32,400,000
BILLBOARD 14% 8,400,000
RADIO 12% 7,200,000
PRINT MEDIA 20% 12,000,000
TOTAL 100% 60,000,000
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9. MEDIA IDENTIFICATION
AD PLACEMENT THROUGH TELEVISION
The idea is to increase the confidence level of the people having dark complexion by
showing, how the who was struggling in his modeling career because of its dark
complexion use FAB men fairness cream and make a big achievement by getting
selected in an ad audition. It will be seen by a consumer as the only way to bring its
confidence back and to strive for success .The visual elements are eye catching and
attractive. It will mainly target the youth, individuals who wants to look attractive,
handsome and stylish. FAB will be sponsoring on the popular news channel i.e., GEO
News , The muzik , Geo super and on Private Cable popular channel's (KCS Network)
during the Shows that people watch with Interest. Geo Super, IPL Indian Premier
League telecast. 8-12 teens, adults.
AD PLACEMENT IN NEWSPAPER/Magazine
The Add is showing the two sides of a man and conveying a message that you can also
get rid of your dark and damp skin and get a fair and glowing skin by using FAB men
fairness cream. FAB men Ad in Dawn, The News, Jang and Express newspapers
because it is Widely Read all over Pakistan.
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AD PLACEMENT THROUGH RADIO
It will introduce FAB as the most easy and quickest way to get fair in today’s world. We
will have an attention grabbing phrase “Be Fair in just three weeks”
FAB men will present their radio ads at news hours of BBC
Young adult while driving after and before office hours
Elderly listening to classic shows
96, 103, 107
Timings: early morning 8-10 am, 5-12
FAB will tune their ad on Radio on Peak Office hours from 09:00-12:00 and again from
17:00-20:00 because on these timings most of the people travelling from home to office
and vice versa
AD PLACEMENT THROUGH BILLBOARD
The idea is to persuade consumers to believe that FAB men Fairness cream is of best
quality, and the only cream which can make you fair and handsome in just 3 weeks.
We have tried to convince our consumers by convening a message that FAB men is the
only fairness cream that gives you complete fairness at the shortest time without
damaging your skin.
FAB men fairness cream Ad on Billboards on major Roads , bridges , signals, Attractive
Locations etc in areas such as Clifton, Tariq Road, Nazimabad, Gulshan Iqbal and
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mobile advertisement etc, because It attracts a Vast variety of people and gives an
opportunity for people to get aware of the product and also get attracted.
TEEN TALWAR BILL BOARD
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SHAHRAH-E- FAISAL BILLBOARD
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2 TALWAR BILLBOARD
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NAZIMABAD BILLBOARD
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MOBILE BILLBOARD
FASCIA AT SHAHANI SUPER MART
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FASCIA AT GENERAL STORE
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10. MEDIA RATES
TELEVISIONTelevision Channel Rupees % ShareGeo News 12,960,000 40%The Muzik 7,938,000 24.5%Geo Super 5,508,000 17%KCS Network 1,134,000 3.5%Total 32,400,000 100%
40.00%
24.50%
17.00%3.50%
TELEVISION
Geo NewsThe MuzikGeo superKCS Network
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PRINT MEDIA
Newspaper Rupees % ShareDAWN NEWS 3,720,000 31%
JANG 3,120,000 26%EXPRESS 1,920,000 16%THE NEWS 3,240,000 27%
Total 12,000,000
100%
31%
26%16%
27%
Print Media
DawnJangExpressThe News
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RADIOChannels Rupees % Share
FM 96 1,656,000
23%
FM 103 2,880,000
40%
FM 107 2,664,000
37%
Total 7,200,000
100%
23%
40%
37%
Radio
FM 96FM 103FM 107
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BILLBOARDSBillboard Rupees % Share
Tariq Road 2,352,000 28%
PNS Karsaz 1,176,000 14%
Clifton 2,688,000 32%
Nazimabad 1,008,000 12%
Gulshan-e-Iqbal 672,000 8%
Others 588,000 7%
TOTAL 8,400,000 100%
28%
14%32%
12%
8%7%
Billboards
Tariq RoadPNS KarsazCliftonNazimabadGulshan-e-IqbalOthers
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11. MEDIA SCHEDULE CHART
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