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Gardenia Case Study

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The company is founded and is being managed by Dry. Hayden Kook, Jar. , infamous for the series of sex videos scandals with overall known female personalities in the country that wrecked his career as a medical practitioner. Dry. Hayden Kook capitalized on his knowledge of beauty and fashion and positively pursued his further studies on perfume making and management in France. He brought with him this French understanding of fragrances to create his own brand of mass fragrance available for all genders.

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With just more than 2 years of presence in the country, it still has a long way to survive in this industry with a lot Of competition not only from premium brands but also with several mass fragrance lines that are proliferating in the market Alongside the objective of ensuring the marketability of Hayden Fragrances, this case will primarily tackle ethical issues involved in marketing communications. II.

Statement of the Problem What must Hayden Fragrances do to channel ethical marketing communications for its product considering the tarnished reputation of its founder and owner? Ill.

Goals and Objectives To ensure proper and ethical marketing communications for the product To increase its market share To strengthen brand equity alongside competitors To continue to serve the society To improve profit margin IV. Areas of Consideration (Analysis ad Assumptions) .

SOOT Analysis STRENGTHS Popularity of the owner/manager Unique manufacturing process Strong partnerships and collaboration with Militia and Ever Abilene Knowledge of the perfume/fragrances Availability of the product on-line WEAKNESSES Tarnished reputation of the owner/ brand name High selling price Starting and competing with giant mass fragrances like Bench, Penthouse, Joel Cruz and other celebrity endorsed perfumes OPPORTUNITIES Fan-base, regardless of tarnished reputation, owner has a niche with fans Partnerships with other fashion brands Expansions in the provinces and international

Strong competitions Huge number of cheaper substitutes, even deodorants High costs of capital b. STEP (Segmentation, Target, Positioning) Segmentation Class D to Lower Class C and even Upper Class C Target It targets young professionals who still can’t afford the luxury and expensiveness of premium perfumes. Its product is meant to suit the different scent orientations and preferences of the consumers through several product lines and variations. Positioning HAYDEN is a collection of extraordinary fragrances created in collaboration with top perfumers in Paris, formulated to last longer in warmer climates.

With its unique scent, elegant packaging and thoughtful presentation, each Hayden'” fragrance is an exceptional way to make your own personal statement, as well as the perfect pleasure to give, or to receive. Product For Her: For Him Purse Sprays: Body Sprays: The fragrances are developed to pay special attention to lasts Eng, quality scents taking into consideration the country’s weather. The product is named after the owners and creator Hayden Kook, controversial and infamous given his relationship with Dry.

Vicky Below and his sex video scandals The packaging is elegantly and thoughtfully boxed, with a ribbon Perfumes and body sprays re available in 60 ml and ml , while the purse sprays are available in 1 Mol variants, Price Purse sprays : 10 ml bottles are sold at APP. O per bottle Perfumes: ml are sold at ? 380. 00 per bottle Mimi are sold at IPPP. O per bottle ml are sold at P 130. 00 per bottle Mimi are sold at IPPP. O per bottle The company has tied up with group buying sites which offers products at discounted rates.

Place It is being sold at all Militia branches nationwide and through Ever Abilene Direct Sales Channels apart from its company’s stalls in several Loyal Malls, SMS Malls and Robinsons malls. Promotion It has existing website, blob, multiply, faceable and twitter accounts It runs several promotions to group buying sites online while it has put up a very good launch at Greenbelt and traditional media mileage such as Billboards and newspaper print ads. D. Ethical Issues in Marketing Communications Marketing ethics addresses principles and standards that define acceptable conduct in the marketplace. Farrell)2 Some obvious ethical issues in marketing involve clear-cut attempts to deceive or take advantage of a situation. Some major ethical concerns regarding marketing programs nearly are that: – Marketing causes people to buy more than they can afford. – Marketing increases the costs of goods and services – Marketing perpetuates stereotyping of males, females and various ethnic minorities. – Marketing creates offensive advertisements – Marketing creates advertisements linked to bad habits and intimate object subjects. Marketing prepares deceptive and misleading advertisements C. Farrell (2005) has devise the following framework to underscore ethics in marketing: V. Decision Criteria a. Ease Of implementation This will pertain to how much change there will be in the organization and its operations once the alternative course of action is implemented. And in any business decision, cost will always be an important consideration especially for an organization that exists to generate profits for its stakeholders b.

Sustainability Sustainability focuses on the long term impact of a business decision, which is a way to measure the stability of the solution. The goal is to ensure that Hayden Paris Fragrances stabilizes as a good consumer brand not just Of value but of its effect to consumers. The decision should also prove to be manageable all throughout the time. It should not just be a current, one-time elution but a long-term workable decision for the management. C. Marketing Costs The decision must also ensure the least cost with the greatest marketing impact for the company d.

Brand Awareness and Credibility The decision must come up with a solution that will further establish brand awareness and credibility for the company Given the identified areas for consideration, the above decision criteria are given their corresponding weight as follows: Decision Criteria Weight (in %) Ease of Implementation Sustainability Marketing Costs Brand Awareness and Credibility 50% TOTAL 100% VI. Alternative Courses Action: 1. Do Nothing From the time that the company has started marketing and distributing the Hayden Paris Fragrances, it has continue to penetrate the market without any issue as to its ethical foundation.

While the owner remains tangled with several judicial and gossip-made cases involving several sex video scandals he has been, there is an apparent acceptance of the brand considering several branches it has already set -up and the partnership it was able to established. It also appears that Dry. Hayden Kook, given his charms and good looks remains to have a niche fan-based that is willing to considering using his perfume products. Pros CONS CA 1 No added cost for the company. No additional work nor manpower requirement No risk taken up No growth potential if marketing will not be enhanced as well. . Re-brand the product with another name In this alternative course of action, the company will consider renaming the product with a different name. This is to eliminate any direct connection with the owner so that the product can flourish on its own using other marketing techniques other than naming it through a popular celebrity. PROS CA 2 Perfume products may be renewed as a brand on its own Haters of Hayden Kook, might blindly consider the new brand, not because of TTS relationship with the maker but because of its benefits as a particular brand Can also change the pricing scheme of the brands.

Considering the strong competition, this is an opportunity to understand the industry rates and base its pricing scheme thereto Cost will be huge considering that the re-branding will entail re-launch of the product as if it is a new product. Risk of losing existing customers for the Hayden brand. Will entail a lot of work, from conceptualization to implementation. Including the branding, the packaging. No guaranty that it will no longer be tied to the winner, as the owner remains the same. 3. Strategic Expansion through improved communication Capitalize on the value of renewal, positive change, and progress of Dry.

Hayden Kook and its perfume products. Marketing may include press releases of the right apologies of Dry. Hayden Kook for its previous involvement in scandals and how is has been recuperating and his desire to change as a better person. This will only work if indeed Hayden Kook has found niche in this perfume business, has undergone change of lifestyle and is really trying to improve his life. Improve the product awareness through wholehearted purport to community work, particularly to women and children’s welfare.

Capitalizing on “there’s goodness in every person” is working on easily forgiving and forgetful Filipinos. Filipinos normally forgive especially if they see sincere change in the person. Cost for expansion will be minimal Chance for further opportunities No need to change the brand This can be an experiment without assurance of real results. May open the owners life for further bad publicity and criticisms. There were victims who may not have the heart to forgive as of the timing of this marketing strategy. VI’. Recommendation and Action Plan ACACIA:

CA 2: CA Ease of Implementation (10%) 6% 10% Sustainability (30%) 25% Marketing Costs (20%) 15% 20% Brand Awareness and credibility (40%) 35% 75% 76% Basing on the above tabulation, CA 3 is the best course of action. Hayden Paris Fragrance must capitalize strategically its marketing communication before further identifying key areas of expansion through improved market communication. Sometimes, showing the good side of the Dry. Hayden can allow forgiveness and certain improvement on his credibility to which his business are attached and affected.

The desire to change for the better can further enhance the value proposition s well of the product he is selling, as if persuading customers to believe that positive change can also improve their lives. Communication of the product’s value proposition will be improved in potential target markets. Surveys and further market study will be conducted to identify which markets are open to the value of fresh, healthful products and once these areas are identified, partner distribution centers will be tapped to offer Gardenia’s products in said areas.

The process of doing this action plan will undergo internal and external decision-making processes. This will make sure that significant changes that ill be done to the marketing Of the product will have considerations Of all the stakeholders. INTERNAL Internal processes will include a planning session to be conducted by the Marketing team with the owner and through its public relations expert (either hired or serving a a consultant). Meeting will identify what is necessary communication to be relayed to everyone, what media to be used and how the process will be taken.

EXTERNAL Alongside, the Marketing and operations team must also be able to identify expansion opportunities for the company, either through partnerships with other brands or through direct selling and online opportunities VIII. Conclusion The company is still in the growth stage, but what somehow is hindering its opportunity to grow is the direct relationship that is attached to the owner’s past and the products it is now endorsing and sharing to the public.

Primary responsibilities for ethical behavior reside within each of us when placed in any Of the various marketing common actions roles. We can take the easy route and do those things that are most expedient, or we can pursue the moral high road and treat customers in the same honest fashion that we expect to be treated. In large part, it is a matter of our own personal integrity. Integrity is perhaps the pivotal concept of human nature. Although difficult to precisely define, integrity involves avoiding deceiving others of behaving purely in an expedient fashion.

MARKETING PLAN a. Industry Study According to Remuneration International, fragrance current value growth slightly contracts by 0. 3 12, reaching PsAss5 billion. Mass men’s fragrances sees the most dynamic performance in 2012. Avon Cosmetics maintains its lead in fragrances with a 43% value share in 201 2 and Finally fragrances is expected to see negligible but positive constant value growth in the forecast ererredwith a CACARRf less than 1% Current Product/Brand Situation Hayden Paris Fragrances is still on the initial growth stage.

Cite this Gardenia Case Study

Gardenia Case Study. (2018, Mar 31). Retrieved from https://graduateway.com/gardenia-case-study-essay/

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