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Sgs mktg1417_marketing principles_Global Branding_Assignment 3 Complete BrandLaunch Project _Lush In Vietnam pdf

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Tiêu đề Complete BrandLaunch Project - Lush In Vietnam
Thể loại Assignment
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Số trang 34
Dung lượng 7,61 MB

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For the full BrandLaunch Project, you will need to compare all the chosen countries and pick the most potential country from your cultural insight reports to launch your brand. Your deliverable will be a set of 2025 PowerPoint slides and a video presentation. While your slides should not be textheavy, they should have enough information on them to stand alone without narration.

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BRAND OF FOCUS

Lush provides natural, fresh

handmade cosmetics ranging from

bath bombs to body sprays that use

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A global shift towards a greener

consumption habit, especially in cosmetics(BeautyMatter 2017)

Lush seeks to extend their positive influence on planet Earth to other countries (Asperin 2019)

Creating impact by being the best in the industry - Lush's CEO Mark Constatine

LUSH AMBITION

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LUSH GLOBAL PRESENCE*

has strong presence inEurope and North America

TURNOVER OF LUSH COSMETICS IN 2019, BY REGION

(GBP MILLION) (Ridder 2020)TOP UNTAPPED BEAUTY MARKET IN ASIA PACIFIC (IN 2020) (Passport2021)

#2 India#8 Taiwan#10 Vietnam

TOP UNTAPPED BEAUTY MARKET

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With both India and Vietnam having a lot of

potentials, other factors are taken into consideration:

●Due to COVID-19, Lush is running a loss,

which limit financial capabilities in investment (Amazon Web Services 2021)

●COVID-19 also poses uncertainties to establishing a supply chain in a new region.Economic - GeographicSocial-CulturalPolitical-LegalScoreTaiwan 75820India99725Argentina 66517Brazil 77519Vietnam 88824

Vietnam is the saferchoice for the timebeing

2524

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STRENGTHSVULNERABILITIESTHREATSOPPORTUNITIES●●●●●●●●●Premium price

Quickly expired products (Lush 2020) that require highlyefficient supply chain (Williams 2021)

Zero spend in advertising (WARC 2016) → unattractive

and less efficient marketing → customers may prefer

more conventional products

100% vegetarian handmade products (Lush n.d.) without

artificial preservatives (Lush 2018) → safe for all skin types.

Strong ethical belief and social activism with sustainable

packaging (Lush 2020)→ attract like minded consumers (Shastri

n.d)

Large online follower base → add to brand awareness, brandassociations and perceived quality (Altaf & Yousaf n.d)

Growing interest in products withnatural ingredients to limit side effects & environmental impacts(Deloitte 2020)

High internet penetration (70%) andsocial media users (65 millionpeople) (Kemp 2020)

Vietnamese consumer seek

value-for-money in consumer products(Burrage 2021)

Availability of products is a crucialfactor when shopping (Deloitte 2020)

LUSH’S LEVERAGEABLE STRENGTHS &VULNERABILITIES IN VIETNAM

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OBJECTIVES

COMMUNICATIONOBJECTIVES

By March 2023, Lush Cosmeticsachieves 4% brand share ofPremium Beauty & PersonalCare markets, equivalent toVND 664.3 billion and rankedthird in the market (Appendix -Objectives)

By March 2023, LushCosmetics acquires 250,000new

customers in Vietnam In otherwords, a customer spends221,440 VND/month on Lushfrom April 2022 to March 2023.(Appendix - Objectives)

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24-35 years old

Average income: 14-20million VND/month (Nguyen2020)

38% combination skin, 28% oily

skin → main concerns: acnes and

clogged pores (Nguyen 2021)Aiming for higher income jobs (Anh& Nguyen 2018)

35.8 million (Worldometer 2020)

5 key cities (Hochiminh, Ha Noi, HaiPhong, Da Nang, Can Tho)

Skincare:

●4 key beauty trends: Regime sophistication,

Premiumization, Going green, Digitalization (Guardian Vietnam n.d.)

●Facial cleanser and sunscreen (Nguyen 2021)

●Monthly spend on skincare: 486,500 VND (Q&Me 2020)Media:

●Facebook, Zalo and YouTube are popular platforms across APAC

●Value celebrities and KOLs

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Beauty consumption:

●Looking for more natural, and minimalist beauty routines

(Lifestyle Asia, 2021)

●Deal-hunters (Kim et al 2020)

●Monthly spend on skincare: 263,000 VND (Q&Me 2020)●Facial cleansers, sunscreen, facial moisturizer (Q&Me 2020)

Media:

●Top sources of info: Facebook (79%), friends (42%), YouTube

(39%) (Q&Me 2020)

●Top social media platforms: Facebook, Zalo YouTube,

Instagram, and TikTok (Nguyen 2021)PSYCHOLOGICDEMOGRAPHICGEOGRAPHICBEHAVIORAL●●Age: 15-23Average income: 2.5 millionVND (Decision Lab 2015)Care about social issues (Nielsen2017)

Favours brands that reflectVietnamese values and cultures(Nielsen 2018)

Strongly influenced by POV andKOL (Nielsen 2017)

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●●

Premium bath and shower shows the

strongest value growth at 14%; whereas

premium other lip products shows decline at-34% (Passport 2021)

Men are becoming more conscious of their

appearance (Google 2020)

Growth in e-commerce and beauty

specialist retailers (Beauty Box, Beauty

Garden, Nuty) (Passport 2021)

MARKET TREND

Vietnamese female consumers’ main factors for buyingcosmetics of January 2020 (Nguyen 2021)

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ChemicalPriceNatural ChemicalActivecosmeticsMild effectsNaturalBRAND POSITIONING

Potential untapped areas (Higher price-Natural-Active) for LUSH to enter

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PRICEPRODUCTPROMOTION●●●→ Prioritize ‘care’ product (skincare, body care, hair care)Customers are gravitating towards natural beautySmaller size product, regime package, kit → Regimsophistication trend

Localized products/collections → Brands that reflectVietnamese values and traditions are preferred byGeneration Z.●●●→●

Marketing skimming & More-for-more pricing strategy with premiumprice

DO NOT engage in sales promotion

(Bischoff 2017) but use product bundling Generation Z are deal-hunters

Only run promotion on ecommerceplatforms on double-digit days tomaintain presence

Effective promotion tactics: Influencers,KOLs collaboration; Co-branding;

product placement and branded content;live-streaming with specialist

consultations (Appendix Shiseido’sPromotion Mix)

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ROUTE-TO-MARKET & DISTRIBUTIONPEOPLE & PROCESS

Regions:

●Priority: 2 key cities in the South

(HCM & Can Tho) thanks to high value contribution to FMCG, larger population, and more experimental (Nhan Dan 2020)

●For long-term: 3 key cities in North and Central(Ha Noi, Hai Phong, Da Nang)

Distribution Channel:

●Online: D2C + Official stores on e-commerce (Lazada mall, Shopee Mall, etc.) (Passport 2021) → Digitalization trend

●Consolidated Flagship store format in key cities to appeal to millennials need for experience (Saiidi 2016)

○E.g Flagship store with spa and treatment services

Store staff uniforms is an

effective brand touchpoint that

helps increased employee

satisfaction and belonging,

hence, improve customer service

quality (Peluchette & Karl 2007,

p.345-360)

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Vietnamese’s major skinconcerns: cloggedpores, oily skin,pollution, and hotweather BIG*IDEAINSIGHTSBIG IDEAESSENCEMESSAGELet’s breathe●●Authentic, innerbeauty, naked beauty

You might not know this but you’re suffocating your skin!Your pores are gasping for air

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Key hookChannelsPhaseDurationContent ObjectivesKey messageApr - Jun 2022Establish functional benefits of a natural, irritation-free beauty and personal care brand for everyone of LushLet your skin breatheAuthentically breathtakingJul - Sep 2022Promote social causes and advocaciesA breeze of Air-ritage

Oct - Dec 2022Jan - Mar 2023Localized image + brand building

Let your skin breatheBreathe nakedBreathe in the Air-ritage

Flagship store opening +Handmade natural cosmetic

workshops

Clay art exhibition aboutplastic waste + clay skincare

collection

Offline: POSM, OOH

Online: Facebook, Zalo, Instagram, Tiktok, e-mailVietnamese collections(fragrance, body wash,shampoo, body lotion): light,

breezy, vitalizing, fresh

Tet bundle + 1-year birthdaycelebration

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INTEGRATED*MARKETINGONLINEInfluencers marketing:○PR boxes in trade for shout-outsSocial media

○Visually appealing, spark up conversations, and

light-hearted & humorous (European Business Review 2021)

○Story skincare Q&A, live streaming (Passport 2021)○Keep it viral: How-it's-made Tik tok series

Affiliate marketing (WOM):

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Estimated total cost5 Million USD ~113.8 Billion VND

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TIMELINEJul 2022Apr 2022Jul 2022Oct 2022Jan 2023Apr 2023SETTING UPLush Cosmetics setsup manufacturingfacilities, establishingrelationship with localsuppliers, local farmers

Lush Cosmetics opens the 1st Flagship store in HCMC It also allowscustomers to purchase online throughecommerce sites or brand websitewith nationwide delivery

Lush Cosmetics opens the2st Flagship store in Hanoi,and 3rd store in Can Tho.

Lush Cosmetics opens the 4rdstore in Danang The brand isnow available nationwide.

Let your skin breatheBreathe in the Air-ritage

Lush’s launching integrated Increasing Lush’s marketing campaign, association with local image focusing on functional with a national IMC and benefits.other brand building

activities

Breathe nakedBreathe in the Air-ritage

Building brand image on Lush’s Tet campaign.emotional levels by

advocating social causes

FLAGSHIP STORE IN HCMC

FLAGSHIP STORE IN HANOI

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BUSINESS, MARKETING, AND COMMUNICATION OBJECTIVES

Top competitors in Premium Beauty and Personal Carein Vietnam (Passport 2021)

Number of people know about Lush: 4,807,693

Forecasted Premium beauty and personal care market valuein 2023 (Passport 2021): 16,608.4 billion VND

Business objectives:

4% brand share by March 2023 - Rank 3rd in the market

Forecasted Lush revenue in Vietnam in 2023: 664.336 billion VND

Considering average monthly spend on cosmetics in Vietnam isfrom 200,000 to 500,000 VND (Statista 2020)

Average conversion rate of D2C beauty brands (Teneva 2021): 5.2%

Number of new customers Lush needs to acquire: 250,000

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Case study: Shiseido (Passport 2021) PRODUCTPROMOTIONPRICEPLACE●●●●●●Offers various product

types with multiplefunctions

dynamic digital marketing

runs live streams with variousskin care experts and celebrities

Premium price

Independent retail stores in main citiessuch as Hanoi, Ho Chi Minh and DaNang

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Content Strategy & DistributionSmartPracticalMagneticImmersiveTypes of ContentSkin care Q&Astory LiveconsultationContent

Online tutorials and workshops about how to use and incorporate different Lush’s products

Infographics about skin care solutions and regimes for different skin typesCollection visualsEmployee story take-overHow-it-is-made series Meme sharingInformative articles and videos about sustainability, social injustice, E-newsletters, blog posts, online contests, polls and surveysInteractive 3D filter

Instagram story templates

Horoscope readFacebook, Instagram

Facebook, Instagram

Channel

Facebook, Instagram,, Tiktok

Ngày đăng: 28/01/2024, 23:38

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