flare case study - savvy

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Pratikshya Mishra founder@powepointguard

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College presentation for a casestudy based on the Brand Flare and launch strategy for Savvy.

TRANSCRIPT

Page 1: Flare Case Study - Savvy

Pratikshya Mishra

founder@powepointguard

Page 2: Flare Case Study - Savvy
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67%

33%

Women

Men

3.8 Billion $

5.70 Billion $

15.6

12.311.5

9.5

Depuis Suzanne Weba

Aromatique Flare

Percentage

Page 16: Flare Case Study - Savvy

(From Exhibit 1)

Page 17: Flare Case Study - Savvy

(From Exhibit 1)

Page 18: Flare Case Study - Savvy

Dominance in sales of fragrances through mass channels.

(From Exhibit 1)

Page 19: Flare Case Study - Savvy

70%4%

24%

2%

% of Total Flare Sales

Mass Market

Drug Stores

Department Store/Prestige

Other Channels

(From Exhibit 1)

Page 20: Flare Case Study - Savvy

(From Exhibit 1)

23%

77%

Flare Share of ChannelMass Market

Flare

Others

Page 21: Flare Case Study - Savvy

23%

77%

Flare Share of ChannelMass Market

Flare

Others

23.12.6 5.7 1.8

76.997.4 94.3 98.2

Flares Others

Mass Market

OtherChannels

Department Stores/Prestige

DrugStores

(From Exhibit 1)

Page 22: Flare Case Study - Savvy

Dominance in sales of fragrances through mass channels.

Power of „Loveliest‟ as a strong umbrella brand.

Page 23: Flare Case Study - Savvy

Dominance in sales of fragrances through mass channels.

Power of „Loveliest‟ as a strong umbrella brand.

All the fragrances launched by Flare are under the

brand name loveliest.

The brand „Loveliest‟ has the larger share of the annual

ad and promotions budget – roughly 70-80%.

“You are the love in Loveliest” theme in use since 1995.

Page 24: Flare Case Study - Savvy

Dominance is sales of fragrances through mass channels.

Power of „Loveliest‟ as a strong umbrella brand.

Has a strong and loyal customer base among 34-65 aged

successful women.

Page 25: Flare Case Study - Savvy
Page 26: Flare Case Study - Savvy

Sales of Flare doesn‟t mirror the overall market in

prestige/department stores, drugstore chains and

internet.

Page 27: Flare Case Study - Savvy

23.12.6 5.7 1.8

76.997.4 94.3 98.2

Flares Others

Mass Market

OtherChannels

Department Stores/Prestige

DrugStores

(From Exhibit 1)

Page 28: Flare Case Study - Savvy

Sales of Flare doesn‟t mirror the overall market in

prestige/department stores, drugstore chains and

internet.

Brand appeal majorly to 34+ women.

Page 29: Flare Case Study - Savvy

Sales of Flare doesn‟t mirror the overall market in

prestige/department stores, drugstore chains and

internet.

Brand appeal majorly to 34+ women.

Relatively low ad spends, old promotional themes and

heavily skewed allocations in favour of umbrella brand.

Page 30: Flare Case Study - Savvy
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N/A

Page 34: Flare Case Study - Savvy

N/A

Mass market evolution

as consumer traffic

grows in these stores.

They overhaul beauty

departments by

stocking trendier

fragrances and

employing beauty

consultants.

Page 35: Flare Case Study - Savvy

Possibility of dilution of the „Loveliest‟ brand image.

Page 36: Flare Case Study - Savvy

Possibility of dilution of the „Loveliest‟ brand image.

Drugstore reps, even after suitable training, have shown

uneven results in the last couple of years.

Page 37: Flare Case Study - Savvy

Possibility of dilution of the „Loveliest‟ brand image.

Drugstore reps, even after suitable training, have shown

uneven results in the last couple of years.

Just over 20% people admit to buying fragrances from

drugstores. (Exhibit 5)

Page 38: Flare Case Study - Savvy

Possibility of dilution of the „Loveliest‟ brand image.

Drugstore reps, even after suitable training, have shown

uneven results in the last couple of years.

Just over 20% people admit to buying fragrances from

drugstores. (Exhibit 5)

Drugstores typically want sell only Flare‟s highest

turnover items.

Page 39: Flare Case Study - Savvy
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Diversification of product portfolio.

Page 45: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Page 46: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Page 47: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Savvy?

Page 48: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Savvy?

Increases the age bracket of

Flare.

Page 49: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Savvy?

Increases the age bracket of

Flare.

Opens up possibilities of

vertical expansion.

Page 50: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Savvy?

Increases the age bracket of

Flare.

Opens up possibilities of

vertical expansion.

Better utilization of channels

Page 51: Flare Case Study - Savvy

Diversification of product portfolio.

Flare

Loveliest

Summit

Essential

Swept Away

Awash

Natural

Savvy?

Increases the bracket of Flare.

Opens up possibilities of

vertical expansion.

Better utilization of channels

Prevents stagnation of the

brand.

Page 52: Flare Case Study - Savvy

Diversification of product portfolio.

Addition of a new product/brand after two years.

Infusion of much needed cash in the

ad budget.

Keeps the brand relevant.

Will boost the sales.

Page 53: Flare Case Study - Savvy

Will increase cost.

2006 2007 2008 2009 (predicted)

Minimum Plan

Mild Plan

Hell Yeah Plan

Page 54: Flare Case Study - Savvy

Will increase cost.

2006 2007 2008 2009 (predicted)

Minimum Plan

Mild Plan

Hell Yeah Plan

Page 55: Flare Case Study - Savvy

Will increase cost.

2006 2007 2008 2009 (predicted)

Minimum Plan

Mild Plan

Hell Yeah Plan

Page 56: Flare Case Study - Savvy

Will increase cost.

2006 2007 2008 2009 (predicted)

Minimum Plan

Mild Plan

Hell Yeah Plan

Page 57: Flare Case Study - Savvy

Will increase cost.

May dilute the brand image of Loveliest leading to loss of

faithful and loyal customers.

Page 58: Flare Case Study - Savvy

Will increase cost.

May dilute the brand image of Loveliest leading to loss of

faithful and loyal customers.

If the launch fails, Flare‟s position in the segment will be

hard to gain back.

Page 59: Flare Case Study - Savvy

SAV V Y

Page 60: Flare Case Study - Savvy

SAV V Y

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SAV V Y

Page 63: Flare Case Study - Savvy

SAV V Y

WHY?

“Because brands that

don‟t evolve with

time, eventually die!”

Page 64: Flare Case Study - Savvy
Page 65: Flare Case Study - Savvy

Prefers luxury brands

Heavy user

Loyal to signature scents

Familiar with Loveliest

Page 66: Flare Case Study - Savvy

Prefers luxury brands

Heavy user

Loyal to signature scents

Familiar with Loveliest

Chic, Brand oriented

Mindful of prestige and image

Elegance and exclusivity

Belief in word of mouth

Ready to try out new products

and scents.

Page 67: Flare Case Study - Savvy

Loveliest

Page 68: Flare Case Study - Savvy

Awash

Loveliest

Page 69: Flare Case Study - Savvy

Swept away

Awash

Loveliest

Page 70: Flare Case Study - Savvy

Swept away

Awash

Essential

Loveliest

Page 71: Flare Case Study - Savvy

Swept away

Awash

Essential

Loveliest

Summit

Page 72: Flare Case Study - Savvy

Natural

Swept away

Awash

Essential

Loveliest

Summit

Page 73: Flare Case Study - Savvy

Name: Dagny T.

Age : 24

Degree : MBA

Major: International

Business

Page 74: Flare Case Study - Savvy

Name: Dagny T.

Age : 24

Degree : MBA

Major: International

Business

Smart, Ambitious,

Starting to climb the

corporate ladder.

Erstwhile user of Marc

and Jacobs

Page 75: Flare Case Study - Savvy

Name: Dagny T.

Age : 24

Degree : MBA

Major: International

Business

Smart, Ambitious,

Starting to climb the

corporate ladder.

Erstwhile user of Marc

and Jacobs

Wants to change to

something that spells

young professional

Page 76: Flare Case Study - Savvy

Savvy User

Page 77: Flare Case Study - Savvy

Natural

Swept away

Awash

Essential

Loveliest

Summit

Savvy

Page 78: Flare Case Study - Savvy

Natural, Essential

Page 79: Flare Case Study - Savvy

Natural, Essential

Swept away, Awash

Page 80: Flare Case Study - Savvy

Loveliest

Natural, Essential

Swept away, Awash

Page 81: Flare Case Study - Savvy

Natural, Essential

Swept away, Awash

Loveliest

Summit

Page 82: Flare Case Study - Savvy

Natural, Essential

Swept away, Awash

Loveliest

Savvy

Summit

Page 83: Flare Case Study - Savvy

Loveliest

Savvy

Savvy X

Natural, Essential

Swept away, Awash

Summit

Page 84: Flare Case Study - Savvy

SAV V Y Dulcet

Page 85: Flare Case Study - Savvy

SAV V Y Dulcet

We should go ahead with the Savvy plan.

And pre-pone the release.

Page 86: Flare Case Study - Savvy

SAV V Y Duclet

WHY?

“Offence is the best

Defence!”

Page 87: Flare Case Study - Savvy

SAV V Y

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SAV V Y

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SAV V Y

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SAV V Y

No protection from umbrella

brand name

PROS CONS

Page 91: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

No protection from umbrella

brand name

PROS CONS

Page 92: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

No protection from umbrella

brand name

Added expenditure

PROS CONS

Page 93: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future and increased sales

No protection from umbrella

brand name

Added expenditure

PROS CONS

Page 94: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future and increased sales

No protection from umbrella

brand name

Added expenditure

Cost of Failure extremely high

PROS CONS

Page 95: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future increase in sales

Huge market open for the taking

No protection from umbrella

brand name

Added expenditure

Cost of Failure extremely high

PROS CONS

Page 96: Flare Case Study - Savvy

SAV V Y

No protection from umbrella

brand name

Added expenditure

Cost of Failure extremely high

Dulcet will give tough

competition, market will take

time to stabilize

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future increase in sales

Huge market open for the taking

PROS CONS

Page 97: Flare Case Study - Savvy

SAV V Y

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future, increase in sales

Huge market open for the taking,

Parent company provides

credibility and aspirational value

No protection from umbrella

brand name

Added expenditure

Cost of Failure extremely high

Dulcet will give tough

competition, market will take

time to stabilize

PROS CONS

Page 98: Flare Case Study - Savvy

SAV V Y

No protection from umbrella

brand name

Added expenditure

Cost of Failure extremely high

Duclet will give tough

competition, market will take

time to stabilize

Increase audience without any

baggage of the Loveliest

branding.

Opportunity for expansion in

future, increase in sales

Huge market open for the taking

Parent company provides

credibility and aspirational value

Opportunity to break away from

association with only old people.

PROS CONS

Page 99: Flare Case Study - Savvy

SAV V Y

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SAV V Y

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SAV V Y

WHY?

“Because no guts, no

glory!”

Page 102: Flare Case Study - Savvy