A Marketing Plan For La Roche-Posay.pdf

La Roche-Posay is committed to making dermatological skin care accessible to those whoneed it, by partnering with dermatologists from the development to the recommendation ofskin care pr

Subject: Marketing management

Group 2 – Monday morning

A MARKETING PLAN FOR

LA ROCHE-POSAY

1 Executive summary 1

1.1 Introduction of La Roche-Posay brand 1

1.1.1 Basic information 2

1.1.2 Product portfolio 2

1.2 Summary of main goals and recommendations 2

2 Management strategy and Marketing Research 3

2.1 Market summary 3

2.1.1 Market Demographic 3

2.1.2 Market Needs 5

2.1.3 Market Trends 6

2.1.4 Market Growth 6

2.2 SWOT analysis 7

2.3 Competition 8

2.4 Product Offering 9

2.5 Key to sucess 9

3 Marketing strategy 9

3.1 Mission 9

3.2 Marketing objectives 10

3.3 Target market 10

3.4 Positioning 11

3.5 Strategies 12

3.6 Marketing Program 13

4 Financials 13

4.1 Break-Even Analysis 13

4.2 Expense forecast 14

5 Controls 14

5.1 Implementation 14

5.1.1 First quarter 15

5.1.2 Second quarter 16

5.1.3 Third quarter 17

5.3 Contingency Planning 19

Today, La Roche-Posay is sold in over 50 countries and trusted by millions worldwide.Deep-rooted in its dermatological heritage, the brand keeps pushing the boundaries ofscientific research to offer dermatological skincare to everyone.

La Roche-Posay creates new generations of dermatological skincare products formulatedwith the natural thermal spring water from La Roche-Posay designed to improve the users’quality of life

La Roche-Posay is committed to making dermatological skin care accessible to those whoneed it, by partnering with dermatologists from the development to the recommendation ofskin care products

La Roche-Posay is pleased to announce that in 2017, they were named winners of 22esteemed beauty awards As a leading skincare brand, La Roche-Posay continues to workwith dermatologists to introduce some of the finest, most innovative skincare and suncare formulations suitable for even the most sensitive skin In 2018, At € 1 billion inrevenue, La Roche Posay had recently become the number one dermocosmetics brand

in the world The #1 body care brand in European Pharmacies

1.1.2 Product portfolio

care

Facecare

Cleanse

Haircare

up

Make-Suncare TotalAnti-aging

Oil acne-prone skin

Reactive, allergic skin

Redness

Sensitive skin

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1.2 Summary of main goals and recommendations

In 2020 La Roche Posay in Vietnam scored $ 6 million in revenue In 2021, the goal

of La Roche Posay is to increase profits to 10% (6,6 million dollars) through the saleprogram strategies to stimulate customer demand, opening store sales andprofessional skin counseling

Seeing the digital trend in 2021 continues to grow and can't be ignored as the videosharing platforms, social network, La Roche Posay embraced the trend to enhance thebrand awarness and remain top- of-mind of the group from 15 to 20 years old Inaddition, the strategy for product improvement and development is also essential inthe coming period Media campaigns aimed at increasing brand awareness,contributing to increasing market share will also be implemented in the coming year

2 Management strategy and Marketing Research

2.1 Market summary

Celebrated by dermatologists and bloggers alike, clinical skincare brand La Posay has emerged as a key player driving the recent surge of enthusiasm around self-care A key consideration was that La Roche-Posay has a focus on people withdelicate skin, and many of these people either don’t like to talk about their skin issues(e.g acne), or don’t have a lot of time for searching for the right product (e.g busyparents)

Geographics:

La-Roche Posay is more focus on Ho Chi Minh City target area However, byleveraging the expansive reach of the Internet and multiple delivery services, alsotheir distributors such as: Guardian, Watsons, Socialla, Pharmacity, La-Roche Posaycan serve all of their domestic customers

Demographics:

We provided the results from the information that was collected from our survey onour target customer – youngster between 15 and 20 years old This survey had 100participants, with 90% female, and 10% male

Increase in disposable income and rise in young population are the crucial factors thatboost the growth for Vietnam skin care products market Generation Z accounts for39.08% of the total population These consumers prefer brands that reflect theirvalues and attitude Skin care products have witnessed significant adoption among

Behavior Factors:

In 2018, 50% of women inVietnam spend between

$4.30 USD to $13 USD permonth on skincare products.And 73% of them useskincare at least once a week

consumers spent more money

on make-up than on skin carewith expenses mostly rangingfrom $13.03 USD to $21.71USD

The results of our research show that 80% of participants uses beauty and skincareproducts 77% is responsible for purchasing their personal care products

Reasons not to skincare

Other reasons

I do not like the stikckiness of skincare products on my skin

I do not want to spend too much money on skincare products

I concern about skincare product quality

My skin is a sensitive to allergy

Quality Good review

Country of origins Ingredients

Top favorite skincare brand

Innisfree Nivea Acnes TheFaceShop La Roche Posay

Hada Labo L'Oreal Paris Laneige Maybelline Avene

Paula Choice Eucerin Za

Lack of knowledge is the main reason why they do not use skincare products: 15%buys products within the category if greasy and acne prone skin 19% within thecategory of dry skin

Of all subjects, 19% feel cared by when using the products of La Roche-Posay, while15% feel fresh and 27% would recommend products of La Roche-Posay to theirfriends

The most prevalent image of La Roche-Posay is that of a benign brand with 35%,followed by the image of an expensive brand with 19%

Almost people aged 15 to 20 do not have much experience or very little knowledgeabout their skin They are often afraid to choose exotic skincare products and willprioritize the selection of safe and benign products

1 0%

Use of media channels

Facebook TikTok Instagram Twitter Pinterest Others

Youngsters use social media a lot Facebook is number one in daily usage, followed

by TikTok and Instagram This indicates a big opportunity in our online marketingstrategy: since they are considerably active and present on these channels, it is easy toreach them

2.1.2 Market Needs

Consumers are assuming that natural products will reverse and redress the accumulatedissues they experience with their skin These products, generally free of parabens, synthetic

way consumers are looking to address their modern concerns.

Gen Z:

As an extension of their role as skintellectuals, Gen Zers scrutinise every aspect ofpersonal care product, from the ingredients to the packaging – a movement which hasadded to the modern phenomenon that is ‘clean beauty’

And as such, Gen Zers who are looking for stripped back cosmetics and skincare tend

to opt for products that are vegan, cruelty-free, sustainable and free from negativelyperceived beauty-buzzwords such as parabens

The demand for sunscreen lotions and creams is at an increasing significantly, due tothe fact that Vietnam has a ultrra high UV levels At the summer, the UV Index inSaigon has consistently been rated 10 or above, indicating ‘very high’ or ‘extreme’level of ultra violet radiation under U.N standards, the Southern RegionalHydrometeorology Center has reported

2.1.3 Market Trends

Skin care has become an even brighter spot in the beauty retail category since the start of thepandemic Skin care and body care also have all boomed as consumers look for ways to takecare of their skin without making a spa trip

Consumers will continue to expand their skin care routines and explore new productsMany consumers are using downtime from the pandemic to explore and research newproducts We expect that this trend will continue well into 2021 Products with rapidlygrowing interest include hydrocolloid patches, salicylic acid serum, face masks andpeeling solutions, per data from Google Trends

TikTok will become an even bigger discovery platform among Millennials and Gen ZWith over 1 billion downloads in worldwide, TikTok is one of the most trendy appsaround You can find just about anything on TikTok, from random videos to beautyDIY tips and tricks Search skin care, and you’ll enter an endless scroll of userstalking about their favorite products and routines

Many retailers have recognized TikTok’s influence and potential

Brands and retailers will add more value to consumers digitally

Providing a physical experience through brick and mortar has always been animportant part of beauty retail However, during the pandemic, brands and retailershave had to add value to beauty consumers virtually

Moving into 2021, brick and mortar will continue to play a big role in the beautyindustry, but digital will play a much larger role than it did pre-pandemic Retailsuccess in 2021 will require brands to meet their customers where they shop, whichmeans putting less emphasis on multichannel strategies and more emphasis oncreating an omnichannel experience

2.1.4 Market Growth

In a global comparison, the Asia Pacific region accounts for the largest share of thecosmetic market Its market size was forecasted to reach around 127 billion U.S.dollars by 2020 Within the region, Vietnam has become a promising market forcosmetics manufacturers As the demand of consumers has been increasing, Vietnam's

considerably higher than the export value in the last years Leading traded goodsinclude perfumes, make-up and skin care products.

Picture 1 - Size of the global skin care market from 2012 to 2025 (in billion U.S dollars)*

In 2020, La Roche-Posay got 19% vote for the most popular beauty brands female consumers used in Vietnam

2.2 SWOT analysis

Strengths:

The first of the brand's strengths is its notoriety and the fact that it is recommended bythousands of specialists and doctors around the world This places it in a veryadvantageous position in the premium product market The fact that La Roche Posayproducts are not sold in supermarkets gives them a different popularity for consumers,for whom the products offered in pharmacies are necessarily of better quality thanothers

The brand also belongs to L'Oréal, which has enabled it to gain additional marketshare throughout the world and to increase its reputation even more

Finally, La Roche Posay is a brand that touches all audiences, thanks to its wide range

of products

Weaknesses:

Undoubtedly the price of the products Indeed, being sold in pharmacies and inspecialized stores, they are necessarily considered high-end and therefore are moreexpensive than other brands

We should also note that in general, La Roche Posay is quite poor in terms ofcommunication and promotions, which can harm its notoriety in the long term,especially when we see all the marketing campaigns that can be launched by otherbrands

Opportunities:

Innovation is one of the major axes of this type of company, because the sector must,

because this is what allows them to offer ever richer products that are suitable formany consumers.

Emerging countries also represent new potential customers who are looking forquality “Made in France” products

Digitization and new technologies are also very important opportunities for a groupsuch as La Roche Posay Indeed, the social networks and other blogs present on thenet make it possible to increase the notoriety, since the consumers of the newgeneration Z is very focused on this type of sites, which can allow them to make theirchoice before choosing or deciding for a possible purchase

Finally, today's society is bringing younger and younger consumers to the market aswell as a greater number of men, who are more attached to their appearance than afew years ago

Threats:

The first of the threats affecting the La Roche Posay group is competition The latter

is coming from everywhere, online as well as in physical stores, where many playersare offering products that are increasingly in line with new trends, such as organic, forexample, which is reaching an increasingly large audience

In addition, they have gradually changed their design to more closely resemble the bigbrands, which appeals to consumers, who see it as a way to save significant amounts

of money

2.3 Competition

Based on the following brands: Vichy, Avène, Eucerin, Cetaphil, Bioderma.Their competitors all are well-known brands and also have a first product that comes

to mind in a specific categories

At the source of the brand, there is

containing a high concentration ofSelenium and cannot be copied There areseveral therapeutic propertiesdemonstrated by clinical studies andpublished in peer-reviewed journals ofdermatology: anti-free-radical, anti-irritation, healing, soothing and relievingand a unique composition At the heart ofthe brand, there is the La Roche-Posaythermal centre Finally, all of La Roche-Posay products are paraben-free.2.4 Product Offering

La-Roche Posay now offers many lines of products:

Face and body: The line is suitable for sensitive skin and features advanced formulasand textures for various skin concerns including dry skin, acne, eczema, anti-aging,and more Explore cleansers, moisturizers, sunscreens, and treatments and discoverthe perfect addition to your skin care regimen

Sunscreen: Our Anthelios sunscreens for sensitive skin contain the exclusive

Cell-Ox Shield® technology: broad spectrum UVA/UVB protection plus antioxidants.Discover the best sunscreen for your skin needs including face, body, mineral,sunscreen for kids, and more

Acne & oily skin: Effaclar offers a comprehensive line of dermatologist-testedmedicated acne treatments and complementary non-medicated skin care for oily skin.Formulated with dermatologist recommended ingredients for acne prone skinincluding benzoyl peroxide, adapalene (topical retinoid), and salicylic acid

2.5 Key to sucess

Since youngsters use social media a lot, the keys to success are designing and producing trends with their own unique hashtag on Tik Tok platform Also, La-Roche Posay should provide many school dermatology consultancy campaigns They should set more promotions

or coupons for youngters during holidays, too

3 Marketing strategy

3.1 Mission

“A Better Life for Sensitive Skin” is the promise that this brand committed to bringing

to their consumer La Roche-Posay’s mission is to develop formulas safe for sensitiveskin following their strict formulation charter, designed specifically to suit the needs ofeven sensitive skin

Carefully selected raw materials

To formulate the La Roche-Posay products, among the thousands of raw materials available,