I. Situational Analysis A. Company Background & History “Galderma is a Swiss pharmaceutical company specializing in the research, development and marketing of therapeutic, corrective and aesthetic solutions for dermatology patients and a leading player in the worldwide dermatology market. Its expertise spans a broad spectrum of skin, hair and nail diseases. ”(Wikipedia. com) On 1961, the Owen dermatology company was created in Dallas, Texas, USA. Then on 1972, Alcon, a phthalmology specialist acquired Owe. Then after 5 years, Nestle acquired Alcon to strengthen its presence in the North American market.
Then, L’Oreal created its International Dermatology Research Center (CIRD) in Sophia-Antipolis, France, specializing in fundamental research into skin physiology on 1979. Then finally, Nestle and L’Oreal form a joint venture to become the world’s leading dermatology player. Thus, Galderma was born. Since the creation of Galderma in 1981 as a joint venture between Nestle and L’Oreal, all of its resources have been channelled in a single direction: to provide innovative therapeutic, corrective and aesthetic solutions that meet the needs of dermatology patients and physicians.
Galderma’s experience has taught it that the effects of skin conditions reach much deeper than the skin itself. By treating these conditions, it helps people improve the quality of their life. It pays special attention not only to the safety and efficacy of its products, but also to the way they can be best administrated by the patients themselves or by medical professionals. This constant search for the best therapeutic and aesthetic results drives its scientists to explore new areas in dermatological innovation.
The company’s growing international portfolio includes treatment for major skin conditions – acne, pigmentary disorders, rosacea, psoriasis / SRD (Steroid-Responsive Dermatoses). Galderma is one of the leading dermatology companies worldwide. In 2008, the company reported sales of 854 million euros, an increase of 22. 4% over 2007 at comparable rates. Galderma invests around 20% of worldwide sales in innovation (innovation costs include R&D and regulatory affairs expense, royalty obligations and amortization expense associated with acquisitions and licensing agreements). More than 2,900 people work for the company throughout the world.
In addition, ten major products are distributed in over 65 countries which the company as known manufacturer of skin care products. Galderma’s research efforts have allowed the company to issue 1. 600 scientific publications, develop more than 500 inventions and file 5. 000 patent applications and patents. B. Market Situation General Market Description Manufactured by Galderma Laboratories, Cetaphil is a gentle cleanser suitable for consumers worldwide who have sensitive preferences for skin products as well for patients with skin problems because of its mild properties.
The product offers to do more than clean the skin since it also promise to contribute to overall health. Galderma established its company in different countries to offer its needed customer with specialized knowledge and unique skills about skin care. The company operates in Australia and New Zealand, Latin America, Asia, Middle East and Africa, Europe; and North America. It, as well, provides dermatologists and physicians with a full range of innovative products and services such as Cetaphil.
Cetaphil does not only offer skin cleansers, but also produce moisturizing cream, Daily Advance ultra hydrating lotion, daily facial moisturizer with SPF 15 and Parsol, therapeutic hand cream, a gentle cleansing bar and an antibacterial cleansing bar. However, in the Philippines, Cetaphil Gentle Skin Cleanser is not popular among its product line of skin care product. Given that it is a tropical country, Filipinos need a cleansing product that cleans and refreshes skin after a day of exposure to sun and pollution. The product is commonly sold in the grocery stores and pharmacies throughout the country.
Thus, consumers can purchase the product conveniently. Most of its consumers are women who are troubled to use abrasive skin products. Its consumers also include people with skin problems who want to gently treat their skin. In fact, Cetaphil is gentle enough to be used by children, teens and adults. Since most of the skin cleansers coming out of the market contain harsh chemicals that can damage the skin, many customers are searching for skin product that does not only cleans but also takes care of the skin. Cetaphil Gentle Skin Cleanser is clinically proven mild cleanser for daily use.
It is good for people who are skin conscious because it is formulated to cleanse sensitive, easily irritated skins. Its job is just gently to remove dirt including oil and make-up, keeping the natural oils of the skin. Moreover, widely available without prescription, Cetaphil is often recommended to treat the symptoms of acne, rosacea, itchy skin, sunburn and sensitive skin. It is used as an alternative cleanser to harsher types of soap and face astringents. Competition In providing quality skin care products, Cetaphil Gentle Skin Cleanser has Primary and Secondary Competitors.
They all aim to be the leading brand in the market as well as the leading product in the minds of its valued customers. A. Primary Competitor 1. Celeteque • Has tagline of “Nothing harsh, nothing complicated, nothing that’s not pure. ” • Has alcohol-free toner which has a non-drying formula that is suitable even for sensitive to dry skin • Also has oil control toner is more suitable for normal to oily skin. • Contains Witch Hazel plant extract and Chamomile extract that help soothe the skin. • Enriches with Natural Moisturizing Factor (NMF), Pro-Vitamin B5, and Glycerin for optimal moisturization. Is dermatological tested and Hypo-allergenic that does not clog pores. • Is suitable for consumers with sensitive skin since its fragrance-free that reduces the risk or skin irritation caused by the scents. B. Secondary Competitors • Eskinol • Master • Pond’s • Clean & Clear • Garnier • Maxipeel • Silka • Skin White • Biolink • Extract The above products are the Secondary Competitors of Cetaphil Gentle Skin Cleanser. Each has different statements about their respective products. However, it only pertains to similar advantages, which are to make skin clearer, fairer and whiter.
Each also promises to remove and prevent acne, blackheads and formation of dark spots. The competitive advantage of the above competitors from Cetaphil Gentle Skin Cleanser is that they make skin lighter and clean deeply down into the pores, which helps prevents dirt to stock in the skin. Moreover, most of these products have pleasant scent which attracts consumers to acquire it. There where Cetaphil Gentle Skin Cleanser puts its own advantage. Since the other cleansing products really clean the skin, it also makes skin prone to dryness since even the natural and essentials oils have been removed.
Cetaphil just gently wash off dust, sweat and oils from the skin while leaving skin moisturized and soft. Although the product does not contain whitening chemicals such as glutathione, it treats some skin problems which later on keeps skin clearer and looks whiter. In addition, the product is fragrance-free since masking the odor could make the formula harsher for the skin. The other beneficial use of Cetaphil is that it is not dangerous for those with skin conditions since it does not irritate skin even with the most delicate skin like babies.
Consumer Awareness Apparently, Cetaphil Gentle Skin Cleanser is known for being a mild cleanser. In its packaging, it states that the product is a “gentle, soap-free cleanser formulated for dermatologists, specifically for everyday cleansing of even the most sensitive skin”. Since it does not have much advertisement aside from print ad, Cetaphil gets its popularity from dermatologists’ recommendation to its patients as well as from the referrals from its loyal customers. Consumers are aware that Cetaphil is safe for skin since it is made from mild properties.
Thus, it is suitable for those with sensitive skin and skin problem. It does not irritate the skin unlike the other products that can be bought in the market. And also, because of the thin layer of film left in the skin after using Cetaphil, it acts as a moisturizer by retaining its natural oil. Consumers can prove its mildness since it is completely non-alkaline, non-comedogenic, and fragrance-free. It does not contain alkali, a water soluble chemical that reacts with acids to form salts and a pH above 7, which is harmful for the skin.
Moreover, since it is non-comedogenic, it does not tend to cause acne and blackheads. However, because of gentle cleansing it do for the skin, some consumers think that the product barely removes dirt especially makeup from the skin. Consumers do not have enough knowledge about the advantages and what satisfaction they can get from using the product. Consumer Attitude Nowadays, many consumers are using Cetaphil Gentle Skin Cleanser because of the benefits it can give to their skin. Even those non-users have been persuaded by Cetaphil’s loyal customers to try the products and see its esults for themselves. Since many people are now conscious about their skin, they are afraid to try products with strong chemicals which may cause burns and irritations. In spite of this, consumers are convinced to use Cetaphil because they are not worried anymore in the side effects that they might get from the other products. And because of the satisfaction they attain from this product, they remain to use it as part of their daily regimen. However, there are various reactions about the Cetaphil, whether it is really effective or not.
There are some people not suitable to use Cetaphil. These are those with oily skin since one of the effects of the product is to moisturize skin which is not suitable for them. It is not recommended, as well, to people with allergies in nut oils such as macadamia which is in the product. Some consumers don’t like the runny feeling it leaves in the skin after use since it feels like it does not cleans at all. Some consumers look for a skin care products that also removes dead skin on the face which is not provided by Cetaphil.
The product is also not applicable for removing makeup which consumers find as a disadvantage of Cetaphil. In spite of the negative reactions that Cetaphil has received, still most of its contented consumers have good outlook on the product. Aside from gently cleansing the skin, it also helps cure blemishes and breakouts even acne on the face, thus making skin look clearer and feel smoother. When using the product, it is not necessary to wash it with water. Just wiping it off with cotton will do so it is convenient to use. It also improves skin’s complexion and condition that is why many remain using it.
If some people think that Cetaphil is not really effective in cleaning the skin, the right response for this is that if the skin gets too clean, it tend to strip which can irritate skin even more. The product is so gentle that it does not damage skin even with skin conditions; it just takes care of it. Product Image Since Galderma focuses to help people to recover and maintain healthy skin, it provides products that is completely tested and proven to be safe. Cetaphil Gentle Skin Cleanser is associated as a trusted skin care product for skin.
Consumers think of it as an effective cleanser since most dermatologist and healthcare professionals recommended it for daily use. It is also seen to be with high quality because it is manufactured in the other country and it is a bit costly. But it is not a hindrance for its loyal customers to purchase the product since it gives gratification to them. The product is also so delicate that even babies can use it. People with acne, melasma, rosacea, dermatitis and psoriasis need cleanser that do not damage and irritate even more.
Cetaphil helps these patients to soothe and treat these skin problems because of its moisturizing effect. People with sunburns can also try the product since it does not hurt the skin unlike the other skin care products do. Usage Level Cetaphil Gentle Skin Cleanser has been included in the daily regimen by many consumers to address the dryness of the skin. It is also been made as treatment for acne, fine lines and wrinkles because it leaves the natural oils needed by the skin to maintain its healthy condition and glow. Consumers usually apply it on the face twice a day, every morning and night.
It can be used in two ways, either with water or without water. If without water, after had been gently rubbed on the skin, the excess cleanser will be removed with soft cloth. On the other hand, if with water, apply it to the skin and rub gently then rinse afterwards. Either these ways, the skin is cleaned. The product is sold in the market in the amount of 60 ml. and 250 ml. For people who are curious and wants to try Cetaphil, the 60 ml size is more appropriate for them since the product is quite expensive. It costs about Php 80 in the grocery stores and pharmacies.
For those loyal customers who have been satisfied by the product, it is ideal and practical for them to buy the 250 ml. which is roughly costs Php 240. It will be take long time to consume since it will only require a small amount of Cetaphil to cleanse the face. C. SWOT Analysis Strengths • Are specifically formulated for dry, sensitive skin. • The Skin Cancer Foundation recommends this product as an effective aid in the prevention of sun induced damage to the skin including sunburn and possibly, premature aging. • It is non-comedogenic and doesn’t contain oils Was formulated for dermatologists as a gentle, non-irritating cleanser for even the most sensitive skin. • Specially formulated to provide effective, gentle skincare to help your skin look and feel its best. • Gently cleanses all skin types without stripping them of their natural oils. • Cetaphil Gentle Skin Cleanser was named a best-seller • Unlike the other competitors, Cetaphil can be bought on specific stores. Weaknesses • They have limited advertisements, only focusing in the print advertisements. • Mostly, the users of this product are women. • The packaging is not appealing. • They have fewer promotions.
Opportunities • The number 1 dermatologist and pediatrician recommended brand of cleansers and skin care moisturizers. • Consumers are now more conscious of the UV rays. • Many skin diseases are widely spread in the country. • Many international celebrities are letting the public know that they are using Cetaphil through their interviews in different publications. • Due to climate change, the skin needs more protection. Threats • Cheaper price of the competitor • Number of competitors, direct and indirect, are rising • It is not known due to its less promotions D. Marketing Mix Product Cetaphil Cleansers cleanse, moisturize and gently remove what your skin doesn’t need, without stripping away natural emollients and oils. • Cetaphil Cleansers are specifically formulated for dry, sensitive skin. • The Skin Cancer Foundation recommends this product as an effective UV sunscreen. • The National Eczema Association (NEA) has awarded the Seal of Acceptance to these products with a 4 out of 5 rating. This means these products are deemed acceptable for patients with eczema or sensitive skin. • Cetaphil Skin Cleanser isn’t soap, it’s a soap substitute, and thus it is superior for the following reasons. . It is a very gentle formulation 2. It softens skin nicely 3. It is non-comedogenic and doesn’t contain oils 4. It is pH balanced and won’t effect your skin’s pH 5. It is a ‘low-lathering’ formulation (It spreads evenly and doesn’t foam up and cover over itself) • It will have minimal effect on acne and other skin problems, and because it doesn’t contain oil, it won’t leave your skin greasy with that infamous oil-sheen look. • Cetaphil gentle skin cleanser was formulated for dermatologists as a gentle, non-irritating cleanser for even the most sensitive skin.
Unlike soap, this is completely non-alkaline, non-comedogenic, and fragrance free. It soothes and softens as it cleanses, helping the skin retain needed moisture. Use for face, hands, and the entire body. Also an excellent cleanser for the delicate skin of babies. • Its ingredients are Water, Cetyl Alcohol, Propylene Glycol, Sodium Lauryl Sulfate, Stearyl Alcohol, Methylparaben, Propylparaben, and Butylparaben. Promotion • Cetaphil can be seen on print ads in the Magazines • They have their own website wherein different products of Cetaphil can be seen. Testimonies of the users of Cetaphil Cleanser are also can be seen in their website. • They are not using television commercials. Price • It has a reasonable price. • New Cetaphil Gentle Skin Cleanser 591ml (20 fl oz) costs P575. Place or Distribution • Cetaphil is available in the Supermarkets, Department Store and Drugstore • It is also available in the web. • EBay, Amazon and other networks are selling the product. E. Key Advertising Problems to be Solved Cetaphil is a dermatologist prescribed cleanser. It is a gentle, non-irritating cleanser for even the most sensitive skin.
It soothes and softens as it cleanses, helping the skin retain needed moisture. Use for face, hands, and the entire body. It is also an excellent cleanser for the delicate skin of babies. This product lacks of promotions. Not all women know this product. The problems to be solved are to increase the awareness of every individual about this product and to change the perception of the customer about this product. II. Key Strategic Decisions A. Advertising Objectives & Audience The main advertising objectives of the Cetaphil Cleanser are as follows: • To become a well known brand of Cleanser all over the world. To prove that unlike other cleansers in the market, it doesn’t harm your skin. • To establish a name for being one of the safest cleansers in the market. • To make Cetaphil Cleansers and other Cetaphil products available to their customers on their favorite stores across the country. • To introduce the Philippine Customers to their online skin care product retailers. B. Target Market/ Audience The primary target market/ audience of Cetaphil Cleansers are women, teenagers to young professionals, who are skin conscious and have light and sensitive skin. This is because Cetaphil is one of the most mild skin cleansers in the market.
It cleanses and gently removes what your skin doesn’t need, without stripping away natural oils, which unlike other cleansers that remove more than they should. On the other hand, the secondary target market/audience is mothers who buy Cetaphil Cleansers and other products for their new born babies and infants. Since babies have the most delicate skin, Cetaphil would be the best to moisturize since it is the safest and mildest cleanser available in the market. The profile for Cetaphil Cleansers’ customers consists of the following segments according to its Primary and Secondary Target Market. Characteristics |Primary Target Market |Secondary Target Market | |AGE |16-25 years old |26- 40 years old | |GENDER |Female | |CIVIL STATUS |Single |Married | |EDUCATION |High School and College Graduate | |ECONOMIC CLASSIFICATION |Class A to C | |OCCUPATION |Students, Young Professionals |Housewives, Working Mothers | |INCOME LEVEL |Average to Above Average | |LOCATION |Cities and Urban Areas | Psychographic Characteristics Teenagers and Young Professionals • Active • Has a busy lifestyle • Self-conscious • Meticulous • Easily gets insecure about what they look • Feels awkward most of the time • Timid • Experiences identity crisis Housewives and Working Mothers • Approachable • Caring • Thoughtful • Gentle Stressed (for working moms) • Family-centered • Calm and kind • Easy to talk to • Concerned and loving C. Brand Position The proponents would like to position Cetaphil Cleansers for customers who want skin cleansers which are formulated to provide effective, gentle skin care that can help their skin look and feel at its best. It is for healthy skin care at every age, every stage and every day. The Cetaphil Cleansers are known as skin care products you can count on. It will continue to carry the phrase “Choose Cetaphil Cleansers and Moisturizers to Live Life Skin Smart” that will entitle everyone who uses Cetaphil to enjoy and benefit from their good skin. D.
Brand Image & Personality Cetaphil’s image and personality shows that it is one of the specialty products in the market. Since it is not available mostly in regular department stores, it is not widely known especially in the rural areas. Another reason to this is that it does not engage in television or radio advertising, thus it focuses on online advertising and the print media. Since it is considered as a specialty product, its price has a big difference than those of other cleansers found in the market. Its being an international product is also one consideration why its price range differs from several other cleansers found in the market.
The proponents of this advertising plan encourages the company of Cetaphil Cleansers to engage in television advertising in order to increase customer awareness about the product and to change the image of Cetaphil as a commodity product so that it can be used by the products’ target market even in the rural areas. E. Budget The proponents of this advertising plan propose a budget of 30 million pesos for Cetaphil Cleansers for six months at a seasonal basis. The division of budget for each advertising activity is shown below. 50% for Television Advertising (Php 15,000,000. 00) 33% for Online Advertising (Php 10,000,000. 00) 17% for Radio Advertising (Php 5,000,000. 00) III. Media Strategy A. Media Objectives To create high level of brand recall among target audience using appropriate media especially in TV and radio • To use B. Scheduling IV. Message Strategy A. Creative Objectives • To officially launch Cetaphil Gentle Skin Cleanser for girls, ladies, women and even for babies here in the Philippines • To incorporate four different visual techniques to attract more audience B. Key Consumer Insight The brand would want its target audience perceive Cetaphil Gentle Skin Cleanser as nice, soap-free cleanser that doesn’t dry sensitive skin. It also smells great, is easy to use and rinse, and they can use it as often as they want, their skin will always be clean and soft, but not dry. It is a gentle, non-irritating cleanser for normal to oily skin.
Removes surface oils, dirt and makeup without leaving skin tight or overly dry. Also, Cetaphil is suitable for the delicate skin of babies. C. Selling Premise (Benefit) The following benefits of Cetaphil Gentle Skin Cleanser would be highlighted in all the advertisements: • Inexpensive compared to other imported facial products being sold here in the Philippines • Original and recommended Cetaphil Gentle Skin Cleanser which is suitable to all types of skin even oily skin • Fragrance-free with no strong scents • Widely-available nationwide even in the web. • Easy, light and non-drying features • For all skin types • Babies could even use the product D. Execution Tone and Manner of Advertising
The tone of the advertising to be used is informative and appealing. With this hard sell and soft sell manner of advertising will be associated with all the advertisements. In hard selling, the features and benefits a consumer can get from the product will be emphasized. The advertisements will also appeal to the emotions of the target audience (soft selling) with the help of the endorsers. Creative Execution Techniques The visual techniques to be used in this advertising plan would be spokesperson, testimonials , slice of life and infomercial. Anne Curtis will be the celebrity spokesperson of Cetaphil. The advertisers would also use the testimonials of some of the celebrity endorsers.
A slice of life would be incorporate in T. V commercial (See Script. ). For our radio ad, three infomercials will be aired. V. Evaluation A. Evaluation Objectives In order to measure the effectiveness of the advertising plan, the evaluation of objectives is needed. The proponents will conduct a survey in order to get information about the consumer. By this, they can be able to get the consumer insights about the product. In surveying customers, the most accurate and easiest method of knowing the effectiveness of a media campaign is simply asking them about the product. You can ask if a customer saw a particular ad or more generally ask how they came to know about product.
The survey will be conducted before and after the advertising campaign in order to know if the consumers’ perception has change. In addition, observation and personal interview can be use to measure the effectiveness of the campaign. By observing the consumers, you can know if they became aware of the ad. Also, the personal interview is helpful for the proponents will know more about the consumer, not only about their insights but also about their usage about the product. B. Evaluation Tool This survey will be used to evaluate all the advertising efforts of the proponents. We are 4th year students at De La Salle Lipa and we are conducting a survey for the fulfilment of a requirement for the Marketing Publications course.
We hope that you answer the questions accurately. 1. Do you use or purchase a facial cleanser? 2. What kind of cleanser do you use? 3. When thinking about a facial cleanser, what brand comes first to your mind? Ponds _____ Clean and Clear _____ Cetaphil ____ Celeteque _____ Eskinol ______ 4. What brand do you buy most often? 5. What price do you pay for? 6. Where did you learn about this brand? TV ad ____ Magazine ___ Newspaper ____ Radio ad ____ Internet _____ 7. Where do you usually buy the product? Supermarket ____ Drugstore _____ Convenience Store ____ Sari-Sari store ____ 8. How often do you usually buy the product? Once a week ___ Once a month ____ Regularly ____
Others: _____ 9. Where you satisfied with the product? Yes___ No____ 10. Who influence you to buy this product? Family/relatives ____ Friends _____ Classmates ____ Others _____ 11. What time do you usually use the product? Every morning ____ Every evening ____ Every morning and evening _____ 12. What quality of cleanser are you looking in? ____________________________________________________________ ____________________________________________________________ ____________________________________________________________ ____________________________________________________________ _______________________________________ THANK YOU FOR YOUR COOPERATION!