Brut Repositioning Final Project

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Mike Calandra Brittany Concannon Tim Goodale Krystina Puleo

description

Sales and Sales Promotion final project (Spring 2011)

Transcript of Brut Repositioning Final Project

Page 1: Brut Repositioning Final Project

Mike CalandraBrittany ConcannonTim GoodaleKrystina Puleo

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Table of Contents

Background ..................................1SWOT Analysis ...........................2Competition..................................3Repositioning...............................4Trade Promotion.........................6Sales Force Promotion................7Promotion to Consumers.........10Advertisment..............................11Additional Promotions.............12Budget.........................................13

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Background For over 40 years, Brut has been recognized as an American classic brand. It has grown to offer a complete product line that will satisfy the completion of all the stages of a man’s grooming process. Their current distributor is Idelle Labs Ltd., a division of Helen of Troy Ltd. in the US. Brut faces much competition from other product lines in the in-dustry. It recently took an obvious stab at one of its largest com-petitors Axe with an online game in which users can slap a guy in a towel. You can choose to hit him with a spice jar, a ship in a bottle, or a bottle of Brut. The man reacts to the blow by whin-nying like a horse. This character clearly resembles the pop-cul-ture-sensation Isaiah Mustafa from a recent Axe campaign. This micro site has grown into a social media campaign where users can choose from a number of characters, who resemble high pro-file pop-culture figures, to slap with a number of different prod-ucts. Some find the campaign to be offensive and many users have made this clear on the Brut Facebook page, regardless it has gained a lot of attention from the media.

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SWOT ANALYsis

Strengths:- Established strong brand- Positive and long reputation- Popular among targeted men- Endorsed by superstar atheletes- Strong sales and revenue

Weaknesses:- Condensed market - only target older men- Somewhat expensive- Dull logo / advertising - dark, plain color

Opportunities:- Reach out to younger demographic (25-40)- Spice up logo, colors, and advertisements- Get younger/new popular sponsors

Threats:- FDA regulations- Competitors- Failure in new ventures

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CompetitionSWOT ANALYsisVan Cleef and Arpels - Introduced their deodorant line “Zanzibar” in 2001 and it has been suc-cessful ever since. It is made from a blend of sandalwood, ginger, and cardamom which makes up a clean and attractive scent. This deodorant is made for older men (40+) who are higher class and do not mind spending the extra money for this product.

Dolce & Gabbana - Their deodorant “The one for men eau de toilette” is another high class item that is usually only seen in high end stores. This deodorant has a very potent scent that includes grapefruit, basil, cardamom, ginger, and tobacco. D & C is a worldwide company that has seen huge success and has a reputation of being a top-notch product due to their emphasis on quality and style. Their target market is a bit larger and focuses on any man that is willing or able to buy their product.

Old Spice - Old spice has many different types of deodorant that are popular because of their rep-utation. It is seen as a product for older, mature men who know what they want in life. Old spice tries to get this point across by claiming their products are something your grandfather would have used. Recently, old spice has been going after the younger male audience in hope of broaden-ing their market and increasing sales.

Dove - Recently, Dove has introduced a new deodorant Dove Mens+Care. Dove is traditionally a woman’s brand but it has entered the men’s market and is in direct competition with Brut. Dove is targeting the older more mature men (30+) who are comfortable in their own skin. They adver-tise many different scents and products that cater to all kinds of male wants and needs. They have a strong reputation in other product lines and this is likely to spill over into the new market they are trying to penetrate.

Right Guard - Right Guard has many different scents and products that focus on athleticism and being strong enough to keep up with the performance of athletes. They are the official brand of the NBA and that is where the majority of their success comes from. They attract men of all ages who play, watch, or are associated with sports, representing a large percentage of the market.

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RepositioningOLD

Brut is currently positioned as a classic all American men’s cologne that helps mark the beginning of an individual’s manhood. According to their website a “Brut Man” is someone who is the essence of man, is shaken never stirred, and understands the code of the gentle-man. The masculinity that exudes from this positioning strategy is apparent. The personal-ity of the brand is that of a role model, a well respected man full of wisdom and composure. The current tagline, “The Essence of Man” has been supported with spokesmen such as Joe Namath, Muhammad Ali and Jimmy Connors. According to the most recent MRI data, Brut products are bought primarily by an audience of 55 and older men from the southern region of the US. They are married, widowed, or divorced and enjoy watching cable channels such as FOX and TCM. They also have a high readership rating in magazines such as the AARP magazine and Readers Digest and they are not at all active on websites. This audience is quickly aging and Brut needs to reposi-tion its brand to increase sales create some brand loyalty among a younger demographic.

NEW

Brut will be repositioned to a younger demographic of men ages 25-40 who are young professionals trying to gain the ranks in the business world. These men enjoy watching sporting events and participating in business appropriate sports like golf. This is a very exciting and overwhelming time in their life because they are beginning families and attempting to make advances in their chosen professions.

Brut’s long standing reputation as an American classic is very important in our repositioning of the prod-uct. We want to strategically use this image to prove to our younger demographic that Brut is for well respected men. The nostalgia of an appreciated father figure who wore the product will promote the use of the product. We want to reinforce that Brut products will help young professionals grow into the well re-spected men that they deserved to be recognized as. Brut products will reflect your values as a hardwork-ing professional looking to earn respect.

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To compliment the new image, Brut will have a new tagline. The current tagline being used is “The Essence of Man” and since we are not looking to stray from the current image too much, the new tagline will be an extension of the existing one. It will read “The Essence of Man, Refined”. The original tagline “The essence of man” appealed to an older male audi-ence, one of definitive social status that had already finished their climb to the top of the ladder. In the repositioning process we considered our new primary target as young profes-sionals. Therefore, in order to remain uniform with our new appeal we aligned the recre-ation of our new tagline catering to this primary audience of 25-40 year olds. The incorpora-tion of the old, outdated tag with a flavor of sophistication redefined our new, ideal “essence” that relays Brut’s new promotional approach.

Repositioning

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Trade Promotion The relationship between Brut manufacturing and its retailers is extremely important. Since retailing is such a competitive environment, our promotional incentives are expected to increase demand for the Brut prod-uct line among distributors and encourage loyal sellers of the Brut products.

Buying AllowanceDuring our trade promotion, qualified retailers will be offered a buying allowance. The incentive will be offered to retailers who are first time purchasers and who order a large quantity of the product. Their first order of Brut product will have a small discount, and subsequent orders will have increased discount increments until the promotion is over. This incentive will help attract new retailing opportunities for the Brut brand as well as promot-ing loyalty among retailers. By expanding our retail outlets, Brut will gain more recognition in its product category and eventually lead to loyal retail distribution.

In-Store DisplayAnother promotion to distributors that will be used is an in-store display that will draw consumers and increase sales for the dis-tributor. This display will be large, creative, and will exude the new and refined Brut image. It will be a large cylinder cardboard display with a clean exhibit of the products. It will feature the classic Brut colors and the refined tagline. This display will draw attention to the product and consumers will reconsider it in their choice of deodorant products. The full line will be available on the display, demonstrating all of the prod-ucts offered to complete all of the stages of a man’s grooming process.

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Sales Force PRomotion To reposition Brut effectively, the sales force must be up to the challenge of communicating and selling this message to current and prospective buyers. That is why it is imperative to incentivize this success with promotions that will serve as motivation to increase sales of the repositioned Brut brand.

“The Motivator” Meeting the Sales Goal:To make sure the sales team stays on task and is working hard to get the message across of the new image and repositioning of the Brut products, there is a commission incentive. There is already a loyal following of older men, therefore it is important for the brand to appeal to these business professionals achieving a successful status in both their social life and careers. -A territory has been assigned for each member of the sales force with a sales goal of $110,000.-This sales person that reaches the goal will become “The Motivator” and receive a $6,000 commission. -Once this sales goal is met and the commission is allotted, he or she is allowed to sell in other territories that have also met the sales goal.-This initiates an internal competition to sell Brut items, while safeguarding other members of the sales force from being unable to meet the initial commission.

“The Overachiever” Top Seller Incentive: In further hyping up the sales team to achieve peak success in sales, there will be a goal set that is a percent-age commission for products sold. This goal is for the “Motivators” who already meet the initial sales goal and would like to continually surpass it and further aid in the campaign’s success. -Brut products sold beyond the $110,000 goal, this top sales representative will receive a 10% commission.-This incentive is above and beyond “The Motivator” promise that is because it is installed to gift the most focused and hardworking people of the sales team.-“The Overachiever” that comes out on top, even if it’s by a slim margin, will acquire a lifetime supply of Brut along with an eminent reputation.-If people are selling in teams because it is allowed in “The Motivator” that they can go to other territories that have met the sales goal, the commission will be split and rewarded to all members equally.

* Commission is not accounted for in the promotional budget, because it is being offered to the sales force as an incentive for this campaign to reposition the brand. It is in a separate sales compensation budget directed to the representatives promoting Brut.

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“Live like a PGA Professional” Vacation Getaway:The top-selling member of the sales force is allotted this extraordinary chance at winning a trip to the luscious, green landscape of Ireland. This specific destination choice stems from the Brut sponsorship of the 21-year-old new golf sensation Rory McIlroy. Since Ireland is known for having some of the best and most magnificent golf courses, the salesperson will be staying in the breathtaking 5-star Ashford Castle in Cong, Ireland, built in 1228. Once owned by the Guinness family, this castle opened as a hotel in 1939 with the best Links golf courses for the beginner or seasoned golfer. The castle has a reputation for genuine hospital-ity, excellent facilities, and unpretentious service. The complete package includes a 4-day, 3 night all-inclusive accommodations with Irish style meals for two. The duration of the trip is June 3rd -June 6th, 2011 including round trip airfare from John F. Kennedy Airport to Dub-lin Airport.

Sales Force PRomotion 8

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Promotion to Consumers Sales Force PRomotion 9

“Man Money” Coupons These coupons can be collected at specific retailer locations that carry the Brut product. Each coupon includes a 15% discount off a product in the Brut line. This call to action contains a benefit for the con-sumer and begins the relationship between the brand and buyer. Also, on the physical paper there will be a hyperlink to visit the new Brut mini site for games and activities that allow interaction with the brand. Then, for the loyal purchasers of Brut there will be email blasts sent with numerous coupons so they can be a part of the new positioning movement. Along with these coupons there will be a brief description included of the repositioning movement, why it’s happening, and what it will do for the brand.

15% Off

Purchase of deodorant, cologne, and after-shave.

Essence of man, refined. Visit our new site:

@brutworld.com/refined

“Understanding the Essence” Membership This loyalty-marketing program will ensure that the refined users of Brut products are rewarded every time they purchase a Brut product. With the program “Understanding the Essence, ” for every purchase made the consumer gains “Masculinity Points.” These points stand for a simulated ver-sion from adolescence to adulthood; once you reach “adulthood” you received the largest prizes. The consumer will need to create an account on the mini site that was implemented strictly for the brand repositioning: www.brutworld.com/refined. Based on the item you purchase, whether it’s a deodorant, cologne, or after-shave, there is a certain number of predetermined allotted points for each product. When signing in the customer will need to look at the barcode, then once the last 3 digits of the barcode are typed in, the item can be tracked, and the item identified. Now they can redeem their “Masculinity Points” and cash in for certain prizes offered when they save up enough points. The process of buying Brut then redeeming heavy consumers with appealing prizes creates

a purchasing cycle that benefits both the brand and the user.

@Brutworld.com/refined

Purchase of deodorant,

cologne, and after-shave

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Promotion to Consumers 10

“Tech-savvy Man” Using Geo-locationIn addition to the incentive of coupons, with the use of social media sites that use location-based marketing, consumers can gain more promotions via the Internet. Using Foursquare or Gowalla, which are leading sites that are tailored to do just this, enables consumers to gain prizes and rewards from a company based on location check-ins. With this being said, anytime one of the “Man of Essence” customers visits a store with Brut products, they check-in and receive a badge or stamp on their passport.

In a person visits a certain location, unlocks badges, and earns points. If a place is visited very frequently then the user becomes a mayor and is recognized as a loyalty member. This is when this customer is approached with special rewards.

In a person visits or “takes a trip” and their virtual passport gets stamped. When this hap-pens, a user also receives pins as remembrance of their achievement. As the customer continues to explore, they find virtual items left “around the world” that serve as digital souvenirs. These are redeemable for real-world rewards such as apparel, movie tickets, gadgets, etc.

These are redeemable for real-world rewards such as apparel, movie tickets, gadgets, etc.

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Promotion to Consumers Advertisement Print Advertisement: “Having What it takes is only Half the Battle”The print advertisements are going to run in magazines and newspapers with high readership by the male young professional demographic. A few examples are Fortune Magazine, the New York Times, and Wall Street Journal. In terms of why the adver-tisement is executed in the manner it is, the headline “Having what it takes is only Half the Battle,” repre-sents how all-young professionals are when they enter the business world. They all have charisma, determina-tion, and intelligence, but in order to climb the ladder successfully they need to be a refined man, a Brut man. It is a simple message essen-tially, but it calls the male audience who is looking at the advertisement to question what kind of man they are, how they are perceived by oth-ers, and who they want to be.

*Advertising is not accounted for in the promotional budget, because it is used for appealing to the target audi-ence without extra incentive. It is in a separate budget for that includes other materials that do not use the avenue of direct discount or reward.

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Additional Promotion 12

“Essence of Man, Refined” SponsorshipIn order to be successful in getting our more youthful, yet professional message across to our target the male we decide to sponsor is imperative to the campaign’s appeal. That is why we decided to sponsor ris-ing star, Rory McIlroy.

He was born on May 4, 1989 and is a professional golfer from Northern Ireland. McIlroy has represented Ireland as both an amateur and a professional. He had a successful amateur career, topping the World Amateur Golf Ranking for one week as a 17-year-old in 2007. Later that year he turned professional and soon established himself on the European Tour. With his first win on the European Tour in 2009, and on the PGA Tour in 2010. He has featured in the top ten of the Official World Golf Rankings and represented Europe in the Ryder Cup.

McIlroy represents the best of both worlds for our repositioning of Brut. He plays and excels in a domi-nantly male sport that is viewed heavily by males across a vast demographic. Beyond that he is only twenty-one, which represents our male target audience, just beginning their careers and climbing up the social ladder.

It is in the nature of sponsoring to contribute to the success of another event by providing the benefits one’s company can provide. That is why McIlroy will be using our Brut fragrances to represent his mascu-linity in a refined way. He will acquire an unlimited supply of Brut deodorant, cologne, after-shave, and etc. during the endorsement period provided in the contract. For a more traditional sponsorship ap-proach, at the opens and golf tournaments he plays in, the brand logo for Brut will be on his golf equip-ment. There will be signature Brut towels, club sleeves, balls, tees, hat, and gloves for our refined man that is our representative on the forefront of the campaign. Once we pass the introductory period with our up-dated repositioning, McIlroy will be the identifiable “Essence of man, refined” face on our advertisements.

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Budget

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