10 step marketing plan for Close up

1.Close-up primary target market PTM are “teens” at heart without kids or pa-cute towards the preferred sex fresh breath and white teeth to gain that extra confidence... Teens have uni

This 10 Step Marketing Plan is part of the mandatory requirements of Prof De Ungria’s marketing

management class

The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports

When appropriate, data are “masked” so as not to

create unexpected conflicts

The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes

Disclaimer

Steps 1 to 5

Coming close to the teens…

preferred sex.

preventing tooth decay & providing savings

niche is P3 Billion.

6. Close-up is a colorful toothpaste

gel and mouthwash in 1

but 30% more than Hapee

1.Close-up primary target

market (PTM) are “teens” at

heart

without kids

or pa-cute towards the preferred sex

fresh breath and white teeth to gain that

extra confidence

PTM needs to be loved by

their special someone…

Self-Actualization Needs (Self-Development

& Realization )

Esteem Needs (Recognition, Status)

Social Needs (sense of belonging, love)

Safety Needs (security, protection)

Physiological needs (food, water, shelter) Reference: Maslow’s Hierarcy of Needs Marketing Management, 11 th ed, Philip Kotler

I am happy when I have

a romantic partner

I want to be loved

2 Teens have unique

needs, wants & demands

Teens “desperately” need to belong, to be loved, gain self-Esteem, and achieve Self -actualization

Teens prefer, choose Close-up over other toothpastes because of Taste, Freshness, Color, packaging, price,

credibility& awareness of company, brand promise

of confidence up close; PDA approval,

Teens demand

Whiter teeth, Fresher breath, no tooth decay, long

lasting, More confidence to come close to the

their preferred sex, Feel more sexually attractive

3a Close-up has many

formidable competitors

Sensodyne toothpastes

candy, breath spray, water

use, convenience of use, availability,

Occasion of use, brand promise of

confidence up-close and personal to

preferred sex

Colgate

HapeeUnique

Hapee

Price vs Age Matrix

as of 2005

Price vs Age Matrix

as of 2011

Hapee Fresh

Close Up whiten

Colgate Sensitive

Colgate Fresh

Unique

Close-up niche positioning to the teen market up close…

Many competitors in prevent tooth decay and saves money

Colgate Total

Close Up Gel

Hapee Kids

Hapee Regular Unique Sensodyne Prevents Tooth Decay

Close-up’s niche is being crowded

so it strengthened its key

Colgate Fresh

Colgate Total+

Whitening

Colgate Sensitive

Close Up Gel

Close Up White

Hapee Kids

Hapee Fresh

Hapee Total + Whiten Unique Sensodyne Prevents Tooth Decay

Reduces teeth sensitivity

Harder to stand out amidst the competitive clutter

Hapee has products which match

“Colgate Total” and Close Up”

confidence and teeth whitening postions

Hapee has “followed” Colgate and Close-Up positioning and offers more for lower price

4 Close-up positions strongly

in a niche market opportunity

Close-up is the only toothpaste

 that gives shiny white teeth and fresh breath

 for teenagers

 who want to feel confident when up close and

personal when kissing their preferred sex partners Colgate Fresh Confidence & Hapee Fresh are trying to crowd/ copy this position

Traditional positioning has been on broad segments of the market with emphasis on preventing tooth decay, whitening & low price

The Closer, The Better

Fresher Breath & Whiter Teeth for

the confidence to get close, only

from Close Up!

Source: Unilever Philippines website

4 “Positioning”: brand

identity from the maker

Close-Up gives confidence in those very "up close and personal" situations

Couples with bright smiles in very "close" situations are featured on the packaging, and commercials depicted youthful adults

blowing kisses at each other

Gives fresh breath, white teeth and, subsequently, a little extra

self-confidence and sex appeal

Symbolized by attractive white smiles in very close situations.

4 Close-Up Positioning from

the global perspective…

Source: Unilever Global website

Nov 2005: Market size for toothpaste: 10 Billion

2009: After 2 decades of continuous growth, market declines

13% Companies reduce prices To stay competitive, Hapee’s

prices cut by 20%.

5a Based on competitor press

releases, toothpaste market is

P15 billion

 http://www.aredconsult.com/philippine-business/lamoiyan.htm

November 28, 2005, Bernie Cahiles-Magkilat, Manila Bulletin

 toothpaste-brand/

http://goodnewspilipinas.com/2008/11/23/hapee-now-rps-2nd-best- 250434/Pinoys-brush-teeth-less-or-use-less-toothpaste

http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20100131-Pinoys brush teeth less or use less toothpaste

By Paolo Montecillo

Philippine Daily Inquirer

First Posted 00:59:00 01/31/2010

5a Based on competitor data,

toothpaste market is P15 billion

5b Based on Unilever data,

where close-up share is 20%, total market size is 15 billion

Close-up sales may be P3 billion

3 billion/0.2 = P 15 billion

5c Consumer data indicates

a size of P 22 billion

Toothpaste Usage:

60 of 90 million Filipinos brush average of

2x per day using 5 mL toothpaste

which costs around P0.50 per

brushing

60 M x 2 x P0.50 X 365 = P22 billion

5 Concluded that toothpaste market is 15 billion

Close-Up, like Colgate own superior displays on shelf.

6b What makes Close-Up

different as a product?

 Only Close Up has germ-fighting mouthwash to give you long lasting fresh breath!

 Only Close Up has Microwhiteners and Vitamin

Fluoride System to give you whiter and stronger

teeth

 Close Up is the only Philippine toothpaste that is

recommended by both the World Dental Federation and the Philippine Dental Association

From Unilever Philippines website

6b Close-up offers

long-lasting freshness in 8 variant

1. Close Up Red Hot

2. Close Up Menthol Chill

3. Close Up Icylicious

4. Close Up Lemon Mint

5. Close Up Crystal Frost Winter Blast

6. Close Up Crystal Frost Cool Spice

7. Close Up Milk Calcium

8. Close Up Spa Moisture

From Unilever Philippines website

7

Price-Brands are aiming for “affordable price points: P 20, 50, <100” Very hard for consumer to compare

Unique

Size (mL) Gel Gel

White Now

Fresh Confidence

Prof

Clean Sensitive

Complete + Whiten Gel Fresh Whitening Cavity

ACTUAL RETAIL PRICES AT WALTERMART SUPERMARKET (FEB 8, 2011)

Tabulation of 8 sizes, 5 brands, 12 variants

7

Price-Toothpaste prices vary widely

from P300 to P1175 per liter

Unique

Size (mL) Gel Gel

White Now

Fresh Confidence

Prof

Clean Sensitive

Complete + Whiten Gel Fresh Whitening Cavity

PRICE PER LITER OF PRODUCT BASED ON SUPERMARKET PRICES (FEB 8, 2011)

8a Close-Up uses TV ads,

Love events & Songs

8a Close-Up has teeny

bopper feel good romance commercials

8a Close-Up Lovapalooza 2008:

Gerald to Kim: Do I get to kiss you?

http://www.youtube.com/watch?v=t9sbGzxRKkM

Kissing Record Back to the Philippines

 A total of 6,124 couples kissed simultaneously in

Closeup’s Lovapalooza at the SM Mall of Asia beating Hungary’s record of 5,700 in 2005

 The Guinness Book of World Records has yet to

release the official number of couples of this record breaking event

 Every Valentines for 5 years in a row, thousands of couples have shown the ultimate display of fresh

breath confidence by kissing in Close Up Lovapalooza

8a An event that is truly

Close-Up’s (reinforced)

8a Close Up’s true test: Halik Meter challenge

http://www.youtube.com/watch?v=2XwGeryMOEY

8b Colgate remains #1:

<50% share & declining?

8b Hapee challenges #2: 20% share & increasing?

8b Hapee challenges #2: proudly Pinoy world class

8b Sensodyne- more benefits

(fresh mint) for 25% less to

respond to Colgate Sensitive

Sensodyne Freshmint Print Ad, Philippine Daily Inquirer, Feb 10, 2011

9 Close-up is distributed

nationwide using Unilever

distibution network

outlets, drugstores, market stalls

 Cash and credit transaction

1. No Colgate displayed/ sold in Shoemart, Savemore

2. Imported toothpastes filling “place” gaps

9 “Place” challenges for Toothpaste

1. No Colgate displayed/ sold in Shoemart, Savemore

2. Imported toothpastes filling gaps

3. Aside from slowing domestic demand, he said the

bigger competing firms had also adopted the

practice of buying the entire supermarket shelf

space, ensuring maximum exposure on the aisles

- Cecilio Pedro, Lamoiyan President, 2010

http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20100131-250434/Pinoys-brush-teeth-less-or-use-less-toothpaste

9 “Place” challenges for

Toothpaste

10 Close-up is a niche leader

Close-up’s main strategy is to dominate the niche market of 13 to 24 year old teens at heart.

It benefits from the distribution leverage

of Unilever.

Has an excellent, premium priced,

product distributed nationwide.

Steps 1 to 5

Coming close to the teens…

preferred sex.

preventing tooth decay & providing savings

niche is P3 Billion.

6. Close-up is a colorful toothpaste

gel and mouthwash in 1

but 30% more than Hapee