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Industry
Overview

• 


In
the
U.S.,
sales
of
shampoo
and
condi5oner
reached
$5.3

billion
in
2007,
an
increase
of
6.4%
in
current
prices
from
the

previous
year.


• 


A
2008
Mintel
research
forecasts
that
the
shampoo
and

condi5oner
market
will
increase
24%
by
2012.


• 


However,
the
bath
products
segment
(bubble
bath
and
bath

fragrances),
is
declining
as
consumers
switch
to
more
liquid
body

washes.

mp etit ive!
Co
   na lys  is!
 A
Compe33on

• 


Given
E‐care’s
price
range,
we
selected
the
industry’s
compe5tors

based
on
price,
analyzing
private
and
premium
labels.



• 


Two
categories:








‐“low
price,”
with
an
average
price
of
$2.25








‐“high
price,”
with
an
average
price
of
$4.00+




• 


Due
to
the
lack
of
shelf
presence,
generic
brands
were
not

included
in
our
compe55ve
analysis.



• 


We
also
conducted
a
brief
survey
among
E‐care’s
poten5al
target

group.

Low‐End
Compe3tors

Top
compe(tors
with
average
price
of
$2.25

High‐End
Compe3tors

Top
compe(tors
with
average
price
of
$4.00

Perceptual
Map

P rod uct
 U  sa ge!
Bubble
Bath


• 

Trends
forecast
a
decline
in
sales,
as
consumers
are
finding
liquid

body
soaps
more
versa5le
and
cost
effec5ve
(“Soap,
Bath
and

Shower
Products,”
2008).





         Source:
Mintel/based
on
Information
Resources,
Inc.
InfoScan
®

         Reviews
Information

Shampoo
&
Condi3oner

Usage
of
shampoo
and
condi3oner
by
age:

• 


Women
are
generally
more
ac5vely
involved
in
hair
products
than
men.

• 


Women
perceive
themselves
as
having/experiencing
more
hair

      
problems
than
men.


• 


Age
18‐24
generates
the
highest
average
use
of
both
shampoo
and

      
condi5oner.

Types
of
Shampoo
&
Condi3oner
Used
by
gender:

• 


Women
tend
to
use
more
specialized
shampoo
products


     
at
a
higher
rate
than
men.

• 


Even
though
gray
hair
is
rated
as
the
highest
concern


        
for
hair
problems,
both
men
and
women
claimed
an


        
insignificant/lowest
percentages
in
using
gray
hair


















specialized
shampoo.

SW   OT
  na lys is!
A
Strengths
&
Weaknesses

Strengths:

•  Within the bath products segment, companies with an
     emphasis on natural and children’s products are in
     demand.

•  Since there are multiple niches within the shampoo
     category, consumers are willing to pay for products
     that will address their own personal hair needs.

Weaknesses:

• 


The health and beauty industry is very cluttered so it makes
     it challenging for a new brand to stand out.
•  The bath products segment, in particular, is declining as
     more consumers switch to liquid body washes.
Opportuni3es
&
Threats

Opportunities:
•  Although children’s products and natural/organic bath products are
      currently in demand, there seems to be little to no organic
      children’s bath products.
•  Most female consumers in our research findings think smell is the
    most important factor for them to make the purchasing decision; this
    will be a good opportunity to go in developing an enduring smell
    shampoo.

Threats:
•  Big companies have large budgets for advertising spending.
•  More retailers are trying a variety of approaches to strengthen the
    mass market specialty category by creating their own product
    lines, particularly in the bath and skin care categories.
E -ca re!
Bubble
Bath

•  Women aged 25-34, with children between 0-7 years old.
    - Personal traits: High strung and tense, adventurous, aggressive,
    average impulse buyers, average brand loyals, early adopters.

•  Blacks and Asians show a high propensity to use bubble
    bath.
•  59% parents responded that they choose the brand of
    bubble bath; 39% responded they decide with children.
•  Are 37% more likely to use bubble bath about 4-5 times in a
    week.
•  Bottles that double as toys are considered
    desirable.
•  Importance of natural products is stated.
Shampoo
&
Condi3oner

•    Women aged 18-34
      - Personal traits: Careless, demanding, egocentric, headstrong, tense and
      excitable, early adopters, impulse buyers ,not brand loyal.
•  33% more likely to use shampoo 8-9 times a week; conditioner 7 or more
     times a week.
•  Nearly 80% report using shampoos and conditioners specifically designed
     for their hair type.
•  92% stated that they prefer shampoos that lather up well.
•  Colors and smell play an important role in purchase decision.
•  Scents mentioned as being "relaxing": cucumber, coconut, lavender,
     watermelon, raspberry, rosemary, rose, lily and vanilla;
     fruity scents.
•  Natural ingredients like aloe, cocoa butter, special
     herbs considered important. Also, respondents
     looked for alcohol-free shampoos.
•  Emphasis on natural and organic, environmentally
    friendly products.
Product
&
Feature

         Recommenda3ons

Shampoo
&
Condi(oner


  • 


Size:
12.5
oz

  • 


Top
3
shampoo
types

      ‐
For
color
treated/
permed
hair
75%

      ‐
For
extra
body
75%

      ‐
For
damaged
hair
63%


  • 


Top
3
condi5oner
types

      ‐
For
oily
hair
75%

      ‐
Deep
condi5oning
48%

      ‐
For
dry
hair
42%

      Leave‐in
hair
condi5oners
preferred

      
over
rinse
out

Shampoo
boKle
prototype

Product
&
Feature

          Recommenda3ons


Bubble
Bath

   • 


Size:
12.5
oz


   • 


Packaging/
Design:
Animal
shaped
bocles.

   • 


Color:
Package
color
mimics
the
featured

        
animal’s
color.

Future
Applica3ons

•  Develop
a
range
of
bocle
sizes
(20oz,
30oz,
50oz).


• 


Different
segmenta5ons:
age,
gender,
ethnic.

• 


E‐care
can
include
coupons
on
the
bocle
for
a
discount
for

      
future
purchases.


• 


Social
causes:
Team
up
with
a
local
non‐for‐profit

      
organiza5on
where
a
por5on
of
the
proceeds
will
be

      
given
back
to
the
community
or
organiza5on.

• 


Line
extensions:
hair
sprays,
hair
dyes,
detanglers,
gels,

       

hand
soaps,
moisturizers,
etc.

dve rtis ing
A
  Str ate gy!
Posi3oning
Statement


“To health and beauty-conscious
individuals, E-care is the personal care
brand that provides natural care to
the mind, body and spirit through its
dedication to nature and the community.”
Crea3ve
Idea

•  Tagline: “Nature’s answer for….”
   - Examples
        Nature’s answer for tranquil hair
        Nature’s answer for restful hair
        Nature’s answer for a charming skin
   - To be used at all touchpoints including ads and
   shampoo bottles.

•  Logo & Design:




   - To be used at all touchpoints including
    ads and shampoo bottles.
Media
Planning

In Store:
   •  Using sachets as free samples for the products.
   •  The shelf itself can be made ‘earthy’, by putting plants or ivy
        leaves, butterflies and other things of nature in and around
        the shelf.
   •  Pamphlets: In order to inform consumers of E-care’s
        uniqueness, pamphlets will be available on the shelf through
        a dispenser.
   •  E-care representative: An E-care shampoo representative will
        be available on occasion at Wegmans. Time frame:
        weekdays between 5-7 pm and on weekends.
   •  Product Integration: E-care shampoos should be placed in both
        the shampoo and the skin care aisles.
Media
Planning

Outdoor:
•  Product demonstrations:
        In the parking lots of supermarkets and malls, we
        will set up booths where there will be a product
        demonstration by an E-care representative. The
        rep would actually wash consumers’ hair with E-
        care shampoos. Free samples of the product will
        also be distributed to consumers who do not
        wish to have their hair washed.
Media
Planning

Internet:
•    Website:
A
website
will
be
designed
for
E‐care’s
line
of

      
 
     

products.

• 


Customized
picture:


          ‐ Consumers
could
upload
their
pictures
and
place

          them
in
to
the
silhouece
logo
of
the
E‐care
line
of

          products.


           ‐

Will
also
have
the
op5on
to
play
around
with
the

           kind
of
hair
they
want,
send
the
picture
to
a
friend,
or

           even
customize
a
friend’s
picture.


Media
Planning

Contest:
•    Conducted within 1-3 months of the product launch.
      Consumers would answer a question “If E-care is
      nature’s answer to a beautiful and healthy you, what
      is your answer to nature?”
•  The winner gets to be the spokesperson of the brand
    for a period of 6 months. The spokesperson can
    come in TV ads or online video ads.

Banner ads:
•  Banner advertisements would be placed on various
      relevant sites to attract consumers to the
      E-care website.
tion s?!
Q ues

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