The marketing project of victoria’s secret perfume

Through the analysis of marketing strategy, company''''s marketing objectives and marketing tactics, recognizing the opportunities of the product releasing in the market, the following are

THE OPEN UNIVERSITY

THE MARKETING PROJECT

OF VICTORIA’S SECRET

PERFUME

Đỗ Đặng Minh Anh - 2154013001 Nguyễn Lê Thành Bão - 215401 Trần Nguyễn Hồng Ân - 2154010066

Vũ Thùy Dung - 21540101310131

Nguyễn Ngọc Gia Hân

-2154010233 Dương Hoàng Nam - 215401 Trần Yến Nhi - 21540106500650

Nguyễn Nhựt Hào - 2154010206

TABLE OF CONTENTS

Hoàn thiện bài t làm mục lục sau.

CHAPTER I: EXECUTIVE SUMMARY

This Victoria’s Secret Marketing Project aims to effectively explore coremarketing strategies applied by Victoria’s Secret brand such as brandpositioning, differentiation strategy, advertising cum digital strategy andmultichannel synergy By positioning a new Victoria’s Secret product in themarket, this marketing plan analyzes target customer markets to

successfully launch the product

Through the analysis of marketing strategy, company's marketing objectivesand marketing tactics, recognizing the opportunities of the product releasing

in the market, the following are the Tactics Sections that the product targets

Mission To stand out with a new fragrance, feel safe with the

antibacterial feature on the fabric surface of perfume.

Vision The first supplier of antiseptic fragrances in the

Vietnamese market, while developing brand recognitionduring the launch of the new product for Vietnameseconsumers

Core Value Sustainable, respect for culture, and trust.

From there, we come up with a proposed marketing plan with target, budgetand time as follows:

reducing the risk of Covid 19 Pandemic is our unique selling point Throughsurveys and reviews, we offer the first price for products in this campaign is1,300,000 VND/60ml and 1,800,000 VND/100ml With the message "Onespray, worries fly away." , we want our customers to have the best

experience when using the product

CHAPTER II: INTRODUCTION TO

VICTORIA’S SECRET

I HISTORY

a) Perfume

- “Perfume” is derived from the Latin word "per fumum," which means

"transmission through dew, smoke." The ancient Greeks are believed tohave been the first to make human perfumes By combining fragrant plantswith pine resin and oil, the Greeks created a method of massaging witharomatic oils and then a product that they use every day like today Later,France was a leading country in the manufacture of perfumes by machinesand by lines during the Industrial Revolution

- Development Process:

● Egyptian Empire: It was discovered that in the Egyptian era, the scent was

used in the embalming of the Pharaoh and was also worn by the rich

Recipes for perfume were found in many Egyptian temples

● 14th century: The first alcohol-based scent was created in 1371 for Queen

Elisabeth of Hungary, known as Hungary Water

● 15th century: Perfume remained the main substitute for the everyday

hygiene of the upper classes, and after the creation of lighter "perfumes",fragrance became more accessible to all classes of families

● 17th century: Perfume was considered very important to the French

aristocracy

● 18th century: In 1709, Italian perfumer Giovanni Maria Farina put the

German town of Cologne on the incense map with her wine masterpiece'France Eau de Cologne'

● 19th century: During the Victorian era perfume finally became more

affordable to the market Queen Victoria gave The Crown Perfumery specialpermission to add an image of her crown to the perfume bottles

● 20th Century: Perfume is considered a must-have fashion item.

Chanel No.5, one of the most famous and iconic fragrances of all time, waslaunched in 1921 Then in 1947, Miss Dior was released by Christian Dior

● 21th Century:In the quest for purity and simplicity of the 1990s, the 21stcentury was a turning point as manufacturers released groundbreakingfragrances Today, perfume is a popular fashion accessory worn by millions

of people around the world, they are no longer reserved for the elite andaristocracy Several layers form a rich and complex perfume that is often ablend of both natural and synthetic ingredients

b) Victoria’s Secret

● In 1977, Roy Raymond had founded Victoria’s Secret in California, and this

brand is defined as a retailer of women's wear, beauty products andlingerie Victoria's Secret grew $500,000 in its first year of sales, enough topay for a headquarters, four new stores, and e-mail ordering

● In April 1982, Raymond released his 12th catalog; each book costs 3

dollars Catalog sales contribute more than 55% to the company's $7 billion

Howard Gross took over as chairman, from his position as vice president in

1985 In October of that year, the Los Angeles Times reported that Victoria'sSecret was entering the stock market in shopping malls; In 1986, Victoria'sSecret was the only domestic lingerie chain

● In the early '90s, Victoria's Secret faced a management loophole that led to

the "once-reputable lingerie brand" being "suspected by a series of qualityproblems

● In 1998, Victoria's Secret's share in the lingerie market was 14 percent.

That same year, Victoria's Secret entered the cosmetics market

● In 1999, the company set a goal to increase its image coverage with Body

by Victoria

● In 2006, Victoria's Secret's 1,000 stores nationwide accounted for a third of

the market share in the lingerie market

● In 2008, she admitted that "the quality of the product is not consistent with

the name of the brand"

● Victoria's Secret announced the closure of 53 stores in the U.S in 2019 as

well as the re-launch of its swimsuit line after its share price plunged 40percent in a year And in 2020, reports of widespread bullying andharassment to appear at Victoria's Secret surfaced

● In 2021, Victoria’s Secret was spun off to become an independent company

by Wexner’s parent company Following the brand's positioning, Victoria'sSecret reported an increase in sales in all three completed quarters of 2021

II VICTORIA’S SECRET PRODUCTS

Victoria's Secret is a famous fashion brand, best known for its fashion-inspiredcollections including signature bras, panties, lingerie,

1 One of the secondary product lines of Victoria’s Secret is Victoria sports swimwear: Outstanding are the bralettes (wireless, usually visible) and

sportswear, which were launched by the brand in 2017 to attract youngcustomers

2 Victoria Secret Fragrance is also one of the brand's premium products

that are popular around the world for its design and quality: In the U.S.market, Victoria's Secret has always led sales between 2005 and 2010.Victoria Secret perfumes received various awards from world-classperfumes

3 Victoria's Secret also has makeup, accessories, and other bath and bodyproducts

4 PINK line of products

MARKETING ENVIRONMENT

1 Micro Marketing Environment

VICTORIA’S SECRET INDUSTRY Company: Victoria's Secret brand is the largest lingerie and beautyproducts brand in the US, founded by Roy Raymond in 1977 The companyspecializes in selling lingerie, women's clothing and cosmetics throughcatalogs, websites VictoriasSecret.com and more than 1,500 storesworldwide Currently, the brand is owned by the trading company L Brands.

Publics: The international expansion of Victoria's Secret stores began in

2008 As of 2016, L Brands maintains operational control ofcompany-owned stores in Canada, the United Kingdom and China.countries but relies on franchises elsewhere in the world for Victoria'sSecret Beauty & Accessories Location (VSBA)

- In Vietnam, there are no stores or factories of Victoria's Secret brand.Genuine Victoria's Secret products on the Vietnamese market are imported.Recently, Victoria's Secret launched a bold strategy when hitting thepotential Asian market with the first destination being China

Competitors: Victoria's Secret faces competition because of its different

perspectives on strategies to reach customers from many emerging brands.ThirdLove, an online retailer that has been in operation for five years, hasbeen actively exploring consumer body shapes and reassuring them thateach woman's body is unique and different Other companies like Chico’s,Frederick’s of Hollywood, the Gap and Fruit of the Loom

Customers: The brand seems to have been tied up in the outdated idea

that "sexy" should be small-sized, sexy-looking and attractive to outsiders.However, the current trend points out that new features are a factor thatdetermines attractiveness, such as coolness or comfort Accordingly, thecompany introduced the Mother's Day campaign in May 2021, featuring apregnant model The campaign quickly spread and became popular Thebrand said it will soon sell breast-feeding bras and a variety of product lineswith diverse features in the near future

2 Macro Marketing Environment

Demographic factor

- As of December 31, 2021, the population of Vietnam is estimated at98,564,407 people, an increase of 830,246 people compared to thepopulation of 97,757,118 people the previous year In 2021, the naturalpopulation growth rate is positive because the number of births exceeds thenumber of deaths by 912,801 people Due to migration the population

decreased -82,555 people The sex ratio in the total population of 0.997(997 men per 1,000 women) is lower than the global sex ratio The globalsex ratio in the world in 2021 is about 1,017 males per 1,000 females.

+ 38.05% of the population lives in urban areas (2019)

- Viet Nam’s Age Structure: As of the beginning of 2017, according to ourestimates, Vietnam has the following age distribution:

of 25.9% in the number of enterprises temporarily suspending business),this rate will be basically unchanged in 2021 In Vietnam, the forecasts ofprestigious international organizations have assessed that Vietnam has ahigh chance of recovering at 6% to 6.5% in 2022 in the context that theepidemic is under control, the rate of recovery is high Vaccination rates arewidespread and the new strain Omicron does not cause much damage tothe economy

Natural Environment Factor

In order to achieve economic growth, it is required that the inputs to theproduction process be increased in terms of the quantity used

Land, mineral and water resources are especially important in economicdevelopment In Vietnam, marine resources are especially abundant withthe diversity of fish species and reserves In addition, extensive forestresources are an advantage The land area in Vietnam is somewhat

modest, accounting for only 1.35% of the world's area, but Vietnam's riversystem and freshwater sources account for a total of 2% of the world's riverflows On the other hand, abundant mineral resources including keroseneand gas make Vietnam a country of great value in terms of naturalresources.

With the above examples, it can be seen that Vietnam deserves to be acountry with full conditions to promote economic growth This opens upopportunities as well as challenges for resource exploitation plans

CHAPTER II: STP

When entering VietNam, Victoria’s Secret was targeted for its marketing strategy as aniche market Most customers are young people from the middle class and upperclass

Positioning products on targeted market:

1 Positioning based on product characteristics

Features:

+Perfume is made from natural ingredients combined with disinfectant and is safefor users

+Elegant and noble style design suitable for all genders

+Consist of three notes (Top, Middle and Base note) with EAU DE TOILETTE(EDT) which contain 10-15% aromatic essential oils on a mixture of water, thescent can last about 4 hours

+EDT-type perfume bottles are suitable for daytime use, especially when going towork

2 Positioning based on Quality/Price

Although Victoria’s Secret had a good brand awareness But the company stilltargets that Vietnamese people who often choose affordable products with equal orbetter quality, thereby setting out initial strategy that will push product into themarket with “low price-moderate quality” in order to attract a wide number ofcustomers aware of new product who want to use a perfume but there are now toomany high-end perfume or high-priced perfume with opposite quality orhigh-quality perfume with very high price This is also an advantage for the firststeps of Victoria’s Secret perfume to penetrate into VietNam.

This strategy is considered suitable up to now When we successfully enticecustomer to try a new product and increase market share in the hopes ofmaintaining the new clients once thereby gradually improving the quality and price

Target

Target market: target both women and men,students, and young people who are working andmost from middle to upper class because ofaffordable price, elegant and noble style designwith low price strategy but moderate quality, thatgiving customer an impressive experience

Catching customer’s needs for beautifying, looking to get into the dating scene, pay much attention to aesthetics.

-Propagating the use of perfume combined with disinfectant to reduce the risk ofCovid 19 pandemic-an issue that is of great concern to people today

-Good quality product with reasonable price compared to the common ground

-Searching for potential customers who meet their requirements

Segmentation

1 GEOGRAPHIC

● Region: VietNam

● Density: According to the survey, most customers who use perfume ingeneral and Victoria’s secret perfume in specific are from major citiessuch as Ho Chi Minh city, Ha Noi and Da Nang Therefore, we need tofocus on developing and exploiting customers in these markets

2 DEMOGRAPHIC

Gender :

● Victoria’s Secret enjoys a huge customer, these customers are mostlywomen but men are also targeted Thus, the main marketing strategyfor Victoria’s Secret is to appeal to the women’s sex appeal This

means most of their products are meant to showcase a woman’s

1.Under 18: Usually students who are interested in using perfume with

dynamic, youthful scent and global brands More specifically, This group islargely made up of women that are looking to get into the dating scene.Women in short-term relationships are also represented in this category.These young ladies have not yet found steady partners, and their image isextremely meaningful to them

2.From 18→30: This segment is made up of women who are in partnerships

or are looking to get into the dating scene and they pay much attention toaesthetics, glamor and sensuality in perfume scent Besides, gentlemen inthis category are very interested in using foreign perfume as a gift for theirwives at this age And their image is extremely important to them

3.Upper 30: A small group of customers in this segment are still interested inperfume

Income:

● The targeted clientele is mostly from the middle income group

(>4million/month) People who have lower are rarely or never payattention to this field

3.PSYCHOGRAPHIC

● Class: Upper class and middle class

● Lifestyle: Youthful lifestyle, mature lifestyle, Dynamic lifestyle,…

4.BEHAVIORAL

● Benefits:

- Quality: Help customers feel fascinated and look fascinated, bring sexybeauty into a symbol

- Convenience: Diverse product lines and styles for customers to freely

choose: women's clothing, women's underwear, bathing suits, shoes,

perfumes and cosmetics,

- Service: The staff are warm and enthusiastic with customers

● Attitude towards product:

- Enthusiasm: Customers always respond strongly whenever Victoria’s

Secret has a new product

- Positive: Products of Victoria’s Secret are always appreciated by

customers because of their quality and style

- Service

Attitude towards product

- Enthusiasm

- Positive

Buying habits -Online

CHAPTER III: CUSTOMER BEHAVIOR

Most people use perfume, but according to the survey, the most users are female (79.5%), the rest are male (20.5%).

Up to 100% of customers have never used an integrated perfume with

disinfectant solution, but customers will be willing to buy it if VS launches this novel product.

Age of using perfume:

According to a survey aged 30 and under, the majority of perfume users areaged 18-30 (95.9%), the rest are under 18 (5.5%)

1) Week of use:

According to the actual survey, up to 52.1% of users always spray

perfume when going out, 29.6% use it 1-2 times in a week, the

remaining 22.5% use it more than 3 times in a week.

2) Criteria:

User psychology is interested in 3 criteria when using perfume:

quality, price and scent When users go to buy perfume, they will pay attention to the scent and it accounts for 94.5% of the actual survey Because scents express their personality and preferences Besides, the price and quality of the product are also what they pay attention to after the scent For customer centricity, price and quality must be proportional to each other, about 71.2% Because no one wants to spend a fortune to receive a product whose quality does not match the price they paid.

3) How many bottles of perfume?:

Most users have more than 1 perfume bottle Among them, there are people who have 2 more perfume bottles to serve for walking and work.

4) Price:

Users prioritize products priced from 500 VND-1 million VND, gaining full trust with 76.1% on the actual survey Along with that, more than 33.8% choose to buy at the price of 1 million VND- 1, 500,000 VND.

5) Is perfume combined with antiseptic

solution right for you?

Based on the actual survey, 80.6% of users highly appreciate the

combination of perfume and disinfectant solution Because customers can meet both scent and health needs during the epidemic season The remaining 20% disagreed because they thought that the perfume had a high alcohol content, and if it was combined with antiseptic water, it would cause skin burns.

6) WHY CUSTOMERS USE:

For the most part, Chanel is the leading ambassador for luxury, sophistication andclass, which is no longer strange, but for VS, it is more popular because the price

is not too expensive, accounting for 36% of buyers Dior makes up a minority of25%

7) PRIORITY CONDITIONS:

On the expression, client of the first quality is more than (to 68%) because whenthe good mode of the better, website well, many scents to choose from, manyincentives, luxurious design, will make people Buy remember and trust choose to

buy more The remaining about 56% because there are limited business peoplecan not buy perfume money.

8) CUSTOMER SATISFACTION:

Customers are satisfied with Victoria's secret up to 47.2%, the rest is normal19.4%