Should Splash Expand Into Another Country? Where? Why?

Topics: Marketing, Skin, Indonesia Pages: 2 (324 words) Published: August 4, 2010
CompanySplash Corporation
MarketMonopolistically competitive
Value PropositionValue, efficacy and service
Target MarketLow/Middle class
Success in the Phils.- catered to low and middle class
- understanding the consumer thru market research (consumer safaris)
- attractive packaging
- effective branding
- innovative product variations
-use of natural content for some products(perceived as safer)
- creative and effective but cheaper advertising
ProductsSkin Care
Maxi-Peel Exfoliant
Skin White
Natural Products
Hiyas Whitening Papaya Soap
BioLink Green Papaya
Hair Care
Tricks Styling Gel
Control Styling Lines

Based on the analyses above among the 4 countries(Thailand, Indonesia, Malaysia and Vietnam), Indonesia has the highest potential of profitability and market expansion mainly due to the large market (240 Million), growing market trend, and to maximize its existing joint venture.

Although the market for shower and bath is considered saturated but growing, Splash’ Skin White could be a possible strong contender because of its whitening, germicidal, and moisturizing benefits and natural food ingredient – one product with all the value-added benefits that the Indonesians are looking for. Given the market shift from bar soaps to body wash/shower gel product, Splash may consider developing such product under the Skin White line which may sell at a slightly higher price due to its value-added benefits.

Maxi-Peel Exfoliant may also reach an untapped market due to lack of products with anti-ageing and exfoliating properties. However, introducing Maxi-Peel to the Indonesian market may require extensive marketing to create awareness and to educate the consumers in case such type of product is new to them. In effect, it could also be a niche market where Splash can have a first-mover advantage.

Since an expansion to another foreign market requires significant investment, it would be best...
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