As our question is “Select three different shampoo products. Discuss the market segmentation and targeting of these products with reference to the pricing, packaging, and advertised selling points and themes. Explain the positioning strategies of each product”, we become marketers of Rejoice’s company (P&G). As we know that our company is facing three problems – decreasing profit, many new competitors appear in the existing market, and losing our market shares. So, we need to plan the strategies again to solve these problems and create customers equity. According to the marketing process, understanding the marketplace (i.e. knowing the competitors’ status) and customers’ needs and wants is the first thing that we should do when start to plan the suitable strategies. Then, we can redo our market segmentation, targeting and positioning. In this research, we are going to analysis two main competitors for our products – Vidal Sassoon and Asience.
Background information of Rejoice
Rejoice is one of product in P&G which is a global brand. The major function of it is reducing the dandruff problem and gives out a natural product. Market segmentation of Rejoice
In family size, we analyze this reference to packing, customers usually buy either small size prefer 400ml with$25.9 or premium size prefer 1000ml with $52 that is determined by the family size. In income aspect, the customers usually determine the brand of shampoo based on reasonable price like the small size and premium size. The price is acceptable for the low income customers. Advertising Theme & selling points
Our shampoo contains variable ingredients are good for the hair, such as collagen and ginseng. And the themes are natural, real and make the hair soft and smooth. This can attract more people’s attention especially are the female customers.
We segmented people lifestyles that focus on their appearances that like to have smooth hair and resist having dandruff. Our shampoo functions are aimed to moist hair and remove dandruff. Differentiated marketing strategy
On the other hand, we decide to target several market segments which are suffering serious dandruff problem and designs separate offers for them. For instance, we added new ingredients in our shampoo to remove dandruff. Evaluate market segment of Rejoice
Besides, there are three levels to evaluate market segment: segment size and growth, segment structural attractiveness and, company objectives and resources. First, in segment size and growth, we target on a small segment which have dandruff. There is a keen competition between all shampoo suppliers, such as, Sassoon and Asience. Also, in company objectives and resources, we have availability of resources because Rejoice belongs to P&G international Company, so that we have huge capital and resources to support us. We have long-term goal to make our product become more popular and occupy more market share to increase sales and profit.
Background information of Vidal Sassoon
Vidal Sassoon is one of product in P&G. Also Vidal Sassoon is an international brand. Our product is distributed all over the world. For example, China, Taiwan, Canada etc. Market segmentation of Vidal Sassoon
Based on the TV commercial, we knew that the advertised theme is professional product for all kinds of hair quality. And the selling point is “VS color secure version gives you fresh vibrant color and moisturizing shine” . Furthermore, we can know that Vidal Sassoon have different target customer, she divide the total market into smaller segment. She uses various marketing segmentations to create value for target customers like the following segmentations. Demographic segmentation
It divides the market into groups based on variable such as age, family size, family life cycle, income etc. In income aspect, we know that Hong Kong has many low-income consumers. So Vidal Sassoon...