Herborist in French Market

Jordan Liu

Victoria Scully

Tracy Camp

Sophie Durand

Kelvin WongMaxwell Ye

1

A genda

I

Introduction

T

Target Market Analysis

M

Message Strategy

C

Creative Approach

A

Advertising Style

M

Media Planning

2

II T M C A M

H erborist

- A sub-brand of Shanghai Jahwa Cosmetic Co, Ltd.

- High-end skin-care products with Chinese herbal ingredients

- Focusing on skin-care products such as lotion mask, moisturizing and cleanser cream

- To help customers achieve natural beauty and fresh image

3

II T M C A M

F rench market

• Part of EU, WTO ,OECD, G8, etc• In 2008, France is the 5th largest economy of the World• Cosmetic industry represent 15billions € in 2008

• More and more working women• Organic & Natural cosmetics market shares increasing• Per day,  317 000 skin care products are sold• Cosmetic expenses represent 205€ per year per

woman

4

II T M C A M

H ofstede cultural dimensions

Power distance Individualism Masculinity Uncertainty

avoidance68 71 43 86

• Power Distance:-accept and expect that power is distributed equally-rules and a pyramid hierarchy in companies

• Individualism:-more individualism than collectivism-think first about their own achievement

• Femininity: -care a lot about quality of life and relationships-but they also enjoy competitiveness and ambition

•Uncertainty avoidance:-feel uncomfortable in unstructured situations-strict laws and rules, safety and security measures can help

5

II T M C A M

C omparison France vs. China

• Chinese people are more collectivist– trust group decision making and group problem

solving

• France people care more about their own, their well-being.

6

II T M C A M

A dvertising industry in France

Name Turnover in 2007 (in million Euros)

Carat France (group Aegis) 3 285

MPG (Havas) 2 990

OMD (Omnicom) 1 360

Zenith Optimedia (Publicis) 1 035

Mindshare(WPP) 705

KR Media (WPP) 565

Mediacom Paris (WPP) 525

Universal Groupe (Interpublic) 525

Major media organizations:

Name Turnover in 2007 (in million

Euros)

Advertising (France) 434,34

Publicis Groupe 313,82

TBWA 212,54

DDB Comunication 202,43

Ogilvy France 111,76

McCann-Erikson 111,11

Young&Rubican 92,79

Major agencies:

7

TI T M C A M

T arget market description

Young educated women with low-medium income

- Open minded, modern, hip and down to earth

- More likely to be innovators or early adopters

- Environmental friendly and trendy

- e.g. University students, OLs, Young professionals

8

“Over the forecast period, it is expected that brands that incorporate natural ingredients or even organic ingredients to perform moisturizing, anti-aging, cleansing or firming effects for the skin will become a popular choice for safety-conscious consumers.”

--Euromonitor, June 2008

9

TI T M C A M

M

- To be more beautiful and confidence

- Social acceptance and self-esteem

- Treasure the value of individualism, personality and uniqueness

- Return on investment

- Avid, healthy and environmental friendly Lifestyle

ajor needs

10

TI T M C A M

F ulfillment of needs

- Economical price

- Ancient Chinese herbal ingredients

- Produced without artificial ingredients

- 100% Recyclable package

- Simple and elegant design

- Exotic skin-care culture

11

TI T M C A M

M edia habits

- TV and Magazine

12

MI T M C A M

U nique selling Proposition

Herborist has the unique selling proposition of providing exotic natural skin care products with ancient Chinese herbal ingredients, environmental friendly production process, and economical prices.

13

MI T M C A M

The chinese herbal ingredients

Environmental friendly

Professional image

Exotic mysterious feeling

Natural beauty and freshness

C ore essence of message

14

MI T M C A M

Environmental FriendlyNaturally beautiful

Focusing on skin-care productsChinese herbal ingredients

Pharmaceutical function

Ethically madeInspired by nature

Full range of product linesNatural ingredients & Fruits

D ifferentiation point

Herborist needs to build the image of professional skin care brand.

15

MI T M C A M

S logan

“Naturellement vous, notre nature”

(Natural you, our nature)

16

MI T M C A M

F unctional message

• Both text and visual contained message

• Economic factor & Functional factor

- Ancient Chinese herbal ingredients

- Economical prices

17

MI T M C A M

E motional message

• Massive visual creations

- Natural beauty and freshness- Environmental friendly- Healthy lifestyle

18

CI T M C A M

C reative approach

• To effectively influence our target customer we need: Emotional Appeal AND Rational Appeal

• Two step process:• First touch on emotions• Second support emotions with rational

reason to purchase product

19

CI T M C A M

E motional appeal

• Approach can tap into basic human needs: Ex. social needs-wanting to feel more beautiful

• Deeper meaning, not only products• With the product comes emotional

aspects such as confidence, high self esteem, beauty, and social acceptance

• Our target customer relies a lot on her emotions for consumer purchases, but not solely

20

CI T M C A M

R ational appeal

• Herborist Target customer is educated and needs a rational reason to purchase

• Comparative advantage of Herborist will be used• Health benefits: Chinese herbal ingredients, all

natural and chemical free, etc.• Quality and Affordability • Logically Herborist is good deal and better for

the skin

21

CI T M C A M

O verall approach

• Emotional Appeal• Herboist will be NEW, so

it needs to be desired and wanted

• Focus on personal and social needs

• Results can lead to a happier way of life

• Foundation for desire

• Rational Appeal• Our customer is smart• This product needs to fit

into her lifestyle: healthy and beneficial, Price is right in her budget

• Practical reason to buy needed

• Foundation for purchase

22

AI T M C A M

F rench advertising

• Advertising in France shows respect for and ensures the trust of French people– Men and women are ALWAYS depicted as

equals– Strict legal framework that protects consumers

from false advertising

• Known for its outrageously provocative advertisements frequenting nudity

23

AI T M C A M

F rench advertising

24

AI T M C A M

H erborist commercial

• TV series and movies have at most one commercial break, thus the reason we also have a print ad

• Keeping with the individualistic and feminine culture

– Simple and clean– The perfect skin isn’t without the right skincare– “back to basics” with Chinese medicine• People in France want to be moved by a

product’s image and symbolism and Herborist will provide them the je ne sais quoi they are looking for

25

26

MI T M C A M

TF1 and M6- Free channels- The most- and second most-watched TV channel- Two period of TVCsBefore news 6pm-8pmAfter news 8:30pm-9pm

M edia planning

ELLE, VOGUE, COSMOPOLITAN, MARIE CLAIRE- Large Print Ads in Centrefold- Coupons inside the magazine- Editorial

Sampling in cosmetic stores– Give one free herborist sample when a

woman buys a skin care product

– During 2months

TVC Magazine

Sales Promotion

27

“Naturellement vous, notre nature”

(Natural you, our nature)

28

Herborist

Just like any countries in the world, TV is the biggest mass medium in France. According to French regulations, only private channels such as TF1 and M6 are allowed to play commercials, yet they still reach high coverage and our target customers are covered as well. Magazine print ads is another channel that we will use due to our customers’ lifestyle and consumer behavior. They are fond of fashion magazines like ELLE or MARIE CLARIE and more importantly, these magazines have high credibility among young women and they really follow the trend mentioned by these magazines.

Just like any countries in the world, TV is the biggest mass medium in France. According to French regulations, only private channels such as TF1 and M6 are allowed to play commercials, yet they still reach high coverage and our target customers are covered as well. Magazine print ads is another channel that we will use due to our customers’ lifestyle and consumer behavior. They are fond of fashion magazines like ELLE or MARIE CLARIE and more importantly, these magazines have high credibility among young women and they really follow the trend mentioned by these magazines.

hy brand instead of luxury and high-end brand in the France market. What Herborist wishes to deliver to French consumers are natural beauty concept and ancient Chinese cosmetics culture. As this group of people are usually open minded,

La Styliste

from china

Herborist From China

29

MI T M C A M

C onclusion

- Herborist position itself as an affordable, natural and environmental friendly skin care brand with Chinese herbal ingredients.

- Our target customers are young educated women with low-medium income.

- Our unique selling proposition is to provide exotic natural skin care products with ancient Chinese herbal ingredients, environmental friendly production process and economical prices.

- The advertising style will be a relaxing, mood building demonstration of products.

- We will use TV, Magazine ads and sales promotion as communication channels.

30

Q&A

31