Research on brand “dove” and its marketing strategies

REPORT ON PRINCIPLE OF MARKETING_Unilever is a large multinational company of world stature and an example for businesses to learn about marketing experience. It can be said that Unilever has thoughtful and creative strategic policies to polish the name and attract the consumption of customers to the companys products. They have made the most of their strengths and opportunities from the market to ensure to meet the changing needs of customers and the development of competitor companies to bring huge revenue streams each year.

THE MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY (UEH) SCHOOL OF FOREIGN LANGUAGES FOR ECONOMICS  REPORT ON PRINCIPLE OF MARKETING Title: Research on Brand “Dove” and its marketing strategies Name: Class: AV003 – K44 ID : Table of Contents Page Executive Summary I Introduction 1.1 Dove’s Mission, Value and Belief 1.2 Dove’s Product Portfolio 1.3 Competitive Environment 1.4 Market II Answer the questions 2.1 Social influences affect Dove’s consumer behavior ( reference groups, opinion leaders, buzz marketing ) 2.2 The way Dove address the problem of differentiating and positioning their product 2.3 Integrated Marketing Communication of Dove Company 12 ( “Real Beauty” ICM Campaign ) 2.3.1 IMC Strategy Purposes 12 2.3.2 Targets of “Real Beauty” Campaign 13 2.3.3 Evaluation of “Real Beauty” Campaign 13 2.4 Dove (Unilever) is using a multichannel distribution system 13 III Summary of the report (or suggestions) 14 IV Conclusion 15 IV References 16 Executive Summary Unilever is a large multinational company of world stature and an example for businesses to learn about marketing experience It can be said that Unilever has thoughtful and creative strategic policies to polish the name and attract the consumption of customers to the company's products They have made the most of their strengths and opportunities from the market to ensure to meet the changing needs of customers and the development of competitor companies to bring huge revenue streams each year Dove is considered as the biggest brand in Unilever's portfolio of customer care brands and is one of the top famous brands in the world Dove is known well for pure beauty and health care products and its “Real Beauty” campaign in 2004 Dove is a symbol of pure natural beauty and simple, radiant beauty Over the years, Dove's bath soap market has been declining 2% per year, but product diversification and market expansion have brought Dove 30% growth This rapid expansion has put Dove in the ranks of global brands with a presence in 80 countries around the world I Introduction The report will focus on Dove’s overall product line and its “Real Beauty” campaigns, which challenges the stereotypes about true beauty and made Dove not just a product company, but also “the largest provider of body confidence education in the world” This report will focus on: - Analyzing Dove’s products line and its marketing campaigns - Understanding consumers’ purchasing behavior - Benefits of Brand Dove (Unilever) for using multichannel distribution system The last part of the report will give recommendations (comments) to improve some features of Dove’s marketing strategy 1.1 Dove’s Mission, Value and Belief “I like to believe that on Dove – in some small, modest way – we are contributing to the sum total of human happiness.” Steve Miles (SVP Dove’s Global) Dove is popular for being distinct in what is a concern for advertisement Dove’s advertisements are known due to the employment of regular and natural women in rather than top models With this practice, the brand wanted to stand up against a culture with the trend where the cosmetic industry is responsible for determining terms of beauty Dove wants to take away women’s pressure to meet these expectations of perfectionand and reduce their anxiety – making the process of being beautiful positive Dove is on a mission to help the next generation of women develop a positive relationship with the way they look - helping them raise their self-esteem and realise their full potential They believe beauty comes from confidence inside people mind, and not anxiety For that reason, the company helps women to associate with items that can achieve this form of accomplishment The core values of Dove are "democratic", "liberating", "real" and "beautifully uncomplicated" 1.2 Dove’s Product Portfolio Dove is considered as a pure beauty care product, Dove shower soap comes in forms: Dove Original Cream Bar, Dove Gentle Exfoliating Cream Bar and Dove Extra Sensitive Cream Bar All of these contain ¼ moisturizers and a medium pH to prevent the skin from drying out like other conventional soaps Dove shower creams come in the forms: Refreshing, Aroma Massage and Triple Moisturising Besides, Dove also has types of hand creams for day and night use: Protective Care Hand Balm and Regenerating Care Hand Cream Dove's body care products include: Dove Silkening Body Moisturiser, Dove Rich Nourishing Body Moisturiser, Dove Firming Body Lotion, Dove Intensive Firming GelCream, Dove Hydro Care Body Moisturiser and Dove Body Silk Each type is specially formulated to help moisturize, keep skin smooth, healthy In 1998, Dove introduced deodorant products in forms: roller bar, spray bottle and wax These products contain ¼ a moisturizer that helps to condition the skin after waxing and makes the skin under the hands soft and smooth The year 2001 marked a bold step for Dove when entering the hair care field with shampoos with types of shampoos suitable for all hair types: normal hair, normal hair - oily, dry/broken hair, dyed hair, shampoo combines conditioner and shampoo to treat dandruff Dove conditioner comes in types for normal hair, dry hair, dyed hair, and a moisturizing conditioner that smooths hair These products nourish the hair from the legs and help keep it smooth, firm and strong Dove products can also be divided into two groups: products for softening and smoothing and products for firming 1.3 Competitive Environment Dove Competitors in Beauty segment : Olay (South Africa), Nivea (Germany), Clinique (America), L’Oreal (French), Lancome (French), Neutrogena (America), Estee Lauder (America) Dove Competitors in Baby products : Johnson and Johnson (America), Himalaya (Bangalore) Dove Competitors in Soaps & Shampoos: Lux (belongs to Unilever), Pears (England), Sunsilk (belongs to Unilever), Pantene (America) 1.4 Market The cosmetics market in the UK, with a huge value of about £ 2.3 billion, is highly competitive In this market, Dove is the brand with the fastest growth rate with + 27% compared to + 2.6% of the overall growth of the whole market, and holds the position as the 4th largest cosmetic brand Dove's success is partly due to its strong competitiveness with major brands in key categories such as Soap, Bath cream, Shower gel, Hand sanitizer, Handcare and Body lotion, Deodorant products , Shampoo and Conditioner In these categories, Dove is considered the largest brand worth £ 111.8 million There are also fierce competition in many areas of the cosmetic market due to the presence of specialized brands With shampoo and conditioner, a category valued at £ 528.5 million in 2003, Dove ranked 6th with a 4.8% market share This is a respectable achievement for a brand that just expanded into the field in 2001 like Dove, and in fact, Dove's annual growth rate in this area was 9.8% in between mid 2002 to 2003 Since entering the shower gel industry in 1998, Dove has quickly become a formidable competitor to many established brands with a 20.1% growth rate in 20022003 Besides, Dove has been very successful with Bodycare and Handcare products with a 41.1% annual growth rate of £ million worth of moisturizers and firming products in 2003 Reducing products Smell is another strength of Dove when it expands with a 6% market share Despite its focus on expanding into other categories, Dove has continued to succeed with its bath soap at 25% of its value, a position that Dove won early in 1997 II Answer the questions 2.1 Social influences affect Dove’s consumer behavior ( reference groups, opinion leaders, buzz marketing ) Inciting “buzz” is one of the most effective ways to convey a cause-marketing campaign Buzz is important and powerful because it’s free and has the potential to reach millions in a way that ads cannot It provides consumers who are wary of advertising an additional reason to believe When given information about a company's goals, consumers rely most on the people or organizations that have been helped by the company Buzz can include PR, word-of-mouth, media reports and so on Dove's campaign aims to reach an entire community of women to participate, and so consumers simply turn to a friend for word of mouth information about the ad The second most effective source for communicating the good things a company is doing is through television, radio, newspapers or magazines In Dove's case, media sources took the opportunity to cover the campaign because it was a story they told Dove has done a great job at sparking public opinion, making a small budget much more powerful The core values Dove wants to bring is to adjust the expectations of beauty and enhance the self-esteem of women By through the "brand ambassadors" - ordinary women and "reference groups" like ‘Girls 20 Summit 'and‘ Self Esteem Project ’ Not only that, Dove also honors the feminist and people and community who cherish the concept of "Real Beauty" of Dove These people propagate, share and advocate for people about the brand values As a result, Dove's campaigns are widely known and bring in huge revenue At the same time, such communication activities no need to paid like other marketing channels , such as digital “Movement for Self Esteem” campaigns It leveraged the concept of social object theory to create a loyal and passionate community Dove’s social media followers broaden digital message distribution and empower newlycreated brand advocates to spread the message and Dove’s ideology through word of mouth The above, empowers the brand to effectively utilize tribal marketing 2.2 The way Dove address the problem of differentiating and positioning their product In the first years of its debut, Dove has positioned itself as a "beauty bar" and left a special mark in the hearts of customers, as well as differentiating itself from its competitors (only advertising normal soap) The difference in Dove's product is that it contains ¼ moisturizer, which is gentle and doesn't dry out the skin And a few years later, competitors imitated Dove's moisturizing side, so Dove had to consider new ways and policies that his competitors couldn't copy and create their own competitive advantage That led to the campaign "Real Beauty" launched in 2003 The purpose of the campaign was to redefine standards of beauty to women of all ages, by propagating defects and imperfections is truly a natural beauty In fact, Dove has hit the psychology and emotions of the majority of users when realizing their lack of confidence is the hindrance become beautiful The bold advertising and advertising campaigns have sparked a strong wave of public opinion, contributing to building brand image as well as raising public awareness Just half a year later, Dove sales rose 700% As the core of the brand's differentiation is its function as it moisturizes and doesn't dry out the skin Not only that, Dove has tried to create more intangible value for their customers It has done this by positioning itself as endorsing realistic beauty standards by encouraging real natural beauty in order to build female consumers selfconfidence, self- esteem and ultimate self-acceptance across all consumer touch points Dove has beaten competitors in the industry and gained a competitive edge due to this strategy Also drawing a mark on their target market, people who trust and buy the brand for what it stands for and advocate for honoring natural beauty standards Another way to make a difference by Dove is that they continuously promote these campaigns on the media and platforms offline and online But instead of using top models and talking about perfection, Dove takes a more casual and simpler approach: using images of ordinary women as the standard of natural beauty It can be said that Dove was the only brand in that era to differentiate itself by committing to true beauty without distorting or enhancing their female image Dove also encourages discussions to take place to establish the bond between brands and users Dove has a vantage point in the consumer's mind, in this case, as this is not being done by competitors in the personal care category Dove differentiates itself by utilizing a cause marketing approach through its social a k k a k mission programs to prove that Dove is dedicated and believes in what it portrays to be k endorsing The Dove “Self Esteem” Project which looks at “self-esteem” education to develop self-confidence and empower women and girls all over the world to reach their full potential This positions Dove as being committed to creating social value and helps to distinguish the brand from competitors Consumers emotionally buy-in to the company from this aspect as they feel that they are doing the right thing to support other women and girls that may be dealing with self-esteem/confidence issues This is also advantageous to the brand because it establishes a base of customers that are brand loyalty and customers are more likely to pay more for a brand that is dedicated to create more customer value The brand then can ask for a higher price, as the perceived value is high Dove products are positioned as a personal care product for women daily all over the world They mainly focus on positioning their brand around femininity and beauty aspects of the women’s market Unlike other brands, Dove is positioned in the personal care products category in that it aspires women to embrace their natural beauty as they are inherent regardless of their shape, size, age or race with the aims to honoring realistic beauty standards and ideals Dove has successfully managed to gain a competitive advantage in its category because it has looked beyond the brand’s product features to differentiate by focusing on endorsement of realistic beauty standards in an obsessed beauty culture It achieves this through an effective positioning strategy that resonated with their target market in positioning the brand favorable in the mind of the consumer This has meant great success for the brand in creating brand loyalty, brand value, sales 2.3 Integrated Marketing Communication of Dove Company ( “Real Beauty” ICM Campaign ) 2.3.1 IMC Strategy Purposes Dove's marketing and branding team sits around a table trying to convey the tangible results they get from their global research to come up with the ideal fit for a campaign strategy “The team’s intuitive sense as human beings was that it made them feel a bit demoralized and a bit miserable It makes you feel deflated when you see the gap between these images of perfection and your own physical reality” (Jeffers, 2005) The advertising strategic planner explains their IMC strategy by stating that “we wanted to democratize beauty and make more women feel more included in its definition rather than excluded… At its broadest, it hits all these women that actually have felt a degree of demoralizing or annoyed by the imagery around them We’re talking to all women who have had that sense of exasperation” (Jeffers, 2005) The purposes of the strategy are : First, re-branding general strategies for Dove Second, creating a stand-out guerilla marketing campaign that would make society uncomfortable enough to notice the conversation that needed to be had 2.3.2 Targets of “Real Beauty” Campaign The scope of the campaign was oriented at all ages, sizes, and ethnicities of women, as the diverse target selection supported the spirit of the message Dove was attempting to convey The campaign's influence came predominantly from middle-aged women aged 35 to 55 Dove is trying to highly value self-image and appearance within its consumers circle of influence Most of the women that were inspried by this campaign were located in suburban and urban regions 2.3.3 Evaluation of “Real Beauty” Campaign Real Beauty is a journalistic social experiment by Dove and Ogilvy & Mather, all conducted based on prediction of the rigorous psychology of women's self-beauty evaluation As expected, this trial has created strong empathy with viewers, especially women The people mind is always easily stimulated by stories, and becomes more attentive when it senses a common ground between itself and the character being told, through the girls in the video that the viewer can see their own silhouette, from which they "absorb" more than the message that Dove convey to his customers 2.4 Dove (Unilever) is using a multichannel distribution system In the past, many companies used a single channel to sell to a single market or market segment Today, with the proliferation of customer segments and channel possibilities, more and more companies have adopted multichannel distribution systems, including Dove ( Unilever ) Such multichannel marketing occurs when a single firm sets up two or more marketing channels to reach one or more customer segments Multichannel distribution systems offer many advantages to companies facing large and complex markets With each new channel, Dove (Unilever) can expands its sales and market coverage and gains opportunities to tailor its products and services to the specific needs of diverse customer segments Enterprises can apply popular sales channels as follows: POS - a traditional retail point; Social networks - To promote businesses and sell directly on Zalo, Facebook; Website - Channel introducing brand and professional direct sales; Mobile application (mobile app) - selling via smartphone platform; Affiliate - Selling products through affiliate networks or other websites But such multichannel systems are harder to control, and they can generate conflict as more channels compete for customers and sales Therefore, Unilever has developed and suceed in using Omni-channel distribution system This is a customercentric model in accessing through sales channels, maximizing sales from offline to online channels with just one management system All sales channels will be synchronized with each other about management information such as products, customers, inventory, promotions, and fulfillment orders As such, this synchronous chain of management will bring a consistent experience fo Regarding the distribution of goods to wholesalers Unilever has computerized all its delivery and delivery activities With the successful application of VMI and e-Order models for key accounts, significantly reducing the inventory of partners, helping to solve the problem of inventory of current wholesalers.r customers at all times and help Unilever manage its business more easily III Summary of the report ( or suggestions ) Dove has a long experience in personal care products, has a certain foothold in the market, so this bold marketing strategy is perfectly suited The campaign is unique and also very risky because it is very different from the usual stereotype, but Dove is fully capable of getting success from it Dove's campaign praises its customers instead of directing them to pursue a role model And that is true in all aspects of morality, equality, self-awareness of natural beauty and so on Dove has used illustrations and speeches very closely and simply to convince customers Instead of offering out far-fetched things, Dove focuses on emphasizing what is real and valid to customers These are some suggestions for Dove after researching carefully in Viet Nam market: - The current price of dove products on the market is slightly higher than the income of Vietnamese people, so the company needs to research to reduce the prices to suit consumers' pockets so that the new product can be used widely - The duration of Dove's advertising on television channels in Vietnam is too little compared to some other cosmetic brands, so it difficult to compete Therefore, it is necessary to increase the advertising time of the brand - Dove has many different types of products, but the company only focuses on advertising products for hair, but does not pay enough attention to other types of products so consumers not know about some types Other product pictures of Dove such as whitening deodorant roller, cleanser, body lotion - There should be more advertisements and posters and posters on other products Dove's advertisements are mostly played by women, so consumers are not aware that Dove has a line of products for men Male advertisements are required to raise consumers awareness IV Conclusion Dove has achieved some successes with the right decisions when lauched its products to market From that, it contributes to building Dove's image to become better in the hearts of customers But besides that, Dove still has limitations and shortcomings in his strategy However, after each failure, Dove has learned lessons to grow strongly IV References https://brandingtheblog.wordpress.com/2018/10/29/dove-competitive-advantage-throughpositioning-and-differentiating/ https://www.academia.edu/35885270/The_Effectiveness_of_the_Dove_Campaign_for_R eal_Beauty_in_Terms_of_Society_and_the_Brand_Part_of_the_Advertising_and_Promo tion_Management_Commons_and_the_Public_Relations_and_Advertising_Commons https://fr.slideshare.net/SofiaFominova/dove-using-consumer-psychology-to-understandbuyer-behaviour https://www.marketing91.com/top-dove-competitors/ https://www.cask.vn/tin-chi-tiet/brandkey-chia-khoa-than-ki-trong-thanh-cong-cua-dove https://www.tradegecko.com/blog/multichannel-sales/multichannel-distribution-systembenefits-drawbacks-strategies https://www.dove.com/vn/home.html https://www.unilever.com.vn/brands/our-brands/dove.html http://www.luanvan.co/luan-van/de-tai-nghien-cuu-ve-maraketing-va-tim-hieu-vethuong-hieu-dove-20333/ https://www.academia.edu/9068730/%C4%90_I_H_C_QU_C_GIA_H%C3%80_N_I_T R %C6%AF%E1%BB%9CNG_%C4%90%E1%BA%A0I_H%E1%BB%8CC_KINH_T %E1%BA%BE_S_ti_n_h%C3%B3a_c_a_m_t_th_ng_1E_C7_Nh%C3%B3m_th_c_hi_n _L%C3%BD_do_nghi%C3%AAn_c_u https://www.slideshare.net/mickkylukky/chui-cung-ng-unilever Personal Information Name: Mai Nguyễn Anh Thơ Class: AV003 Student ID: 31181023827 Plagiarism Result ... the biggest brand in Unilever's portfolio of customer care brands and is one of the top famous brands in the world Dove is known well for pure beauty and health care products and its “Real Beauty”... positioning the brand favorable in the mind of the consumer This has meant great success for the brand in creating brand loyalty, brand value, sales 2.3 Integrated Marketing Communication of Dove... cosmetic brand Dove's success is partly due to its strong competitiveness with major brands in key categories such as Soap, Bath cream, Shower gel, Hand sanitizer, Handcare and Body lotion, Deodorant