Part 3 Facial Care Products - jetro.go.jp · Mustika Ratu and Sari Ayu Both are local brands,...
Transcript of Part 3 Facial Care Products - jetro.go.jp · Mustika Ratu and Sari Ayu Both are local brands,...
Part 3
Facial Care ProductsFrom the Viewpoint of CONSUMERS (High, Medium & Low Income)And RETAILERS
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
• The products discussed are:
1. Astringent Toner
2. UV Cream
Overview of Products
Page 68Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Purchase Habits
Type of
Product
Why and when do they
usually purchase it?
Where do they
usually purchase it?
Astringent
Toner
(High and medium income) purchase it once
every 3 month during monthly household
shopping due to stocking behaviour they
purchase 2 to 3 items which will last for
approximately 3 months
(Low income) purchase it once per month
for each purchase, usually buy 1 product only
(due to budget availability)
Majority of high income purchase it in beauty
counters in Department store
Few high income and majority medium income
purchase it in Hypermarket such as Carrefour,
Giant or hypermarket if run out of stock,
they would purchase it in the nearest mini
market
Majority of low income: purchase it in
traditional beauty & drug store located nearby
their homes
UV Cream
Page 69Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Influencer in Brand SelectionWho or what influences them to make a purchase?
Influencer Influencer Astringent Toner UV Cream
Out of Store Influencer
WOM from trusted recommender (mother, friend, sibling)
Modeling Behavior – sees significant other using it
Advertising – the intriguing ones
Others
In Store Influencer
In Store Promotion
Sales Promotion Girl Recommendation
Others
Note: the more = stronger influence
Page 70Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Considerations in Purchase What factors do they consider prior to making a purchase?
Less
Important
More
Important
UV Cream
1. Well known and established brand
2. Affordability price of UV cream
is usually quite expensive
compared to other skin care
products
3. Range of brand products:
preferably a brand which also has
other skin care products such as
facial foam, facial moisturizer, etc
4. Natural product ingredients
evaluate by reading the back label
of product ingredients
1. Well known and established brand
2. Range of brand products: preferably
a brand which also has other skin
care products such as facial foam,
facial moisturizer, etc
3. Natural product ingredients
evaluate by reading the back label
of product ingredients
Astringent Toner
Page 71Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Switching BehaviorWhat makes them switch to (or try) another brand?
Influencer Influencer Astringent Toner UV Cream
Product Related Triggers
WOM from trusted recommender (mother, friend, sibling)
Modeling Behavior –sees significant other using it
Advertising – the intriguing ones
Others
Non Product Related Triggers
In Store Promotion
Sales Promotion Girl Recommendation
Others
Note: the more = stronger influence
Page 72Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Standard Expectations of ProductWhat should the standard product have?
Less
Mentioned
More
Mentioned
1. Easy to spread on the surface of
skin texture is not lumpy
2. Easily absorbed by the skin
does not feel sticky after usage
3. Does not smell
4. Medium product efficacy
shows result after minimum 3
months of usage (= brighter and
lighter tone of skin color)
5. Does not cause any side effects
(acne, black spots)
1.Easy to spread
2.Easily absorbed by the skin
3.Good fragrance – any kind of
fragrance as long as not perfume-
like
4.Good product efficacy – able to
remove dirt on face after 1 minute
of application
5.Makes the face clean after usage
6.Does not cause any side effects
(acne, black spots)
Toner Astringent UV Cream
Page 73Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Ideal Expectations of ProductWhat should the ideal product have?
Less
Mentioned
More
Mentioned
1. High product efficacy shows result after
minimum 1 month of usage (= significant
brighter and lighter tone of skin color)
2. High concentrate (thick) but not sticky thus
only use small amount of cream for every
usage cost efficient
3. More affordable price
4. Skin feels moist after first touch of application
5. Natural ingredients – no chemical substances
1. High product efficacy – removes dirt on face
after 2 to 3 wipes on face
2. Fresh fragrance – floral or fruity, thus gives
overall fresh sensation on the face
3. Makes the face soft and moist after usage
4. Good seal thus not easily spill inside the bag
5. Available in different pack sizes smaller size
for on-the-go and bigger size for home usage
6. Packaging is made from strong plastic avoid
glass material, as it sometimes break and leak
inside the bag
7. Natural ingredients – no chemical substances
Toner Astringent UV Cream
Page 74Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Usage
Less
Mentioned
More
Mentioned
1. Ponds
2. Olay
3. Garnier
1. Ponds
2. Viva
3. Olay
4. Garnier
5. Sari Ayu
6. Mustika Ratu
Toner Astringent UV Cream
Page 75Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for Astringent Toner & UV CreamBrand Name
Key Image
Perceived Strengths
Perceived Weaknesses
Favourability Level
PondsThe Market
Leader Brand
•Well known and long established brand•Have a wide range of variants: anti acne/dark spots/blackheads/, oil control, whitening, anti-aging•Used by many, old and young •Highly available everywhere
•None mentioned (most)•Rather expensive price (few)•(for some) Caused effects after usage: acne and dryness on face skin
High
OlayThe Elegant
& Classy Brand
•Elegant and classy brand targeted for upper high class
•More suitable for older women (above 40) - due to image built by product communication (TVC) and observation of users in their surrounding (most)•Expensive price
High
GarnierThe Best
Newcomer Brand
•Has orange/lemon ingredient (few)•Innovative for having ‘unique’ variant: to reduce dark circle under eye (few)
•Rather expensive price •Less availability•Less product communication (rarely sees TVC)
Medium
VivaThe Low class
Brand
•Very safe skin formula due to ‘light’ and basic ingredients •Feels light on the face thus comfortable
•Low quality product•Offers the cheapest price amongst other brands thus less pride in using
Low
Mustika Ratu
The Local credible brand
•Highly natural ingredients thus perceived high skin friendly formula
•Rather expensive – for a local brand Medium
Sari AyuThe Local credible brand
•Highly natural ingredients thus perceived high skin friendly formula
•Rather expensive – for a local brandMedium
Page 76Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Now let’s deep dive into the Eyes of Retailers…
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
•Ponds
Least Selling
More Selling
Most & Least Selling brands – for Toner Astringent
•Olay
•Garnier
•Viva
Ponds (IDR 14,200 – 100 ml – White Beauty Pore Conditioning)Perceived to offer good selling price not too expensive, not too cheapHeavy product communication thus strong brand awareness
Viva (IDR 3500 – 100 ml – Astringent Cucumber)Price is considered as really cheap thus attracts a lot of low income customers
Garnier (IDR 41.990 – 150 ml - Fresh)Offers more expensive price, thus perceived as more premium productGood product communication although not as frequent as Ponds
Olay More suited for older adult women thus younger adult women feels reluctant to try it Price is perceived as too expensive
Sari AyuNot well-known for toner products emphasize more on make up products
•Voice of Retailers of Traditional Store
•Sari Ayu
What Do The Retailers Say?
What Do The Retailers Say?
Page 78Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Toner Astringent
•Ponds•Garnier•Viva
Page 79Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
•Ponds
Least Selling
More Selling
Most & Least Selling brands – for UV Cream
•Olay
•Viva
•Garnier
Ponds (IDR 45,000 – 50 gr – Flawless White)Those who already use Ponds toner, usually use the UV cream perceived both contain the same ingredient, thus provides better overall safety and results on facial skinGood product efficacy mostly claimed by consumers
Garnier (IDR 39,000 – 50 gr - Light)Good product efficacy mostly claimed by consumersGood product communication although not as frequent as Ponds
Viva (IDR 6200 – 22 gr – Skin Food)Price is considered as really cheap thus attracts a lot of low income customers
OlayMore suited for older adult women thus younger adult women feel reluctant to try it Medium product efficacy result can only be felt after a long period of usage (more than 1 year)(for some) causes side effects such as acne and dryness on facial skin
Mustika Ratu and Sari AyuBoth are local brands, although consumers find them highly safe (due to natural ingredients), the product efficacy is perceived less than other brands in market
•Voice of Retailers of Traditional Store
•Sari Ayu
•Mustika Ratu
What Do The Retailers Say?
What Do The Retailers Say?
Page 80Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for UV Cream
•Ponds •Garnier •Viva
Page 81Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Promotional Activities - Overall•Voice of Retailers of Traditional Store
• Usually initiated by the brand • (Garnier) buy 1 unit of Garnier UV
cream, gets an under eye roll on• (Ponds) buy 2 unit of Ponds UV
cream, gets a make up purse
Description Quotes
Gifts
Discount• Up to 10% only• Applied in special period (festive season
such as Idul Fitri, Christmas, New Year)
More Often
Less Often
“I don‟t do much discount for these
products, because customers will
keep purchasing it even though it is
not discounted. So, why bother
promoting it with discount? Beauty
products are basic necessities, every
woman will buy it no matter what” -
Retailer
“Sometimes I do promotion, but it is
initiated more by the brand, not by me.
Traditional retailers like myself rarely
do promotions for our products,
because beauty care will still sell no
matter what” - Retailer
Page 82Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Perception of Japanese vs Korean brands
Product Description Japanese brands Korean brands
Astringent Toner
Awareness level No awareness
Low awareness(few low and medium income
consumers perceived that Garnier and Olay might be a
Korean brand, due to the TVC talent)
Perceived Strength Not relevant Not relevant
UV Cream
Awareness level No awareness
Low awareness(few low and medium income
consumers perceived that Garnier and Olay might be a
Korean brand, due to the TVC talent)
Perceived Strength Not relevant Not relevant
•Voice of Retailers of Traditional Store
Page 83Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Learning – so far
What have we
learned?
Purchase of this type of product usually follows the experimentation pattern –
consumers will try and stick to a certain brand and evaluate its efficacy, but will soon
move to another brand if the product does not meet expectations
Basic trigger for choosing a brand is usually Word of Mouth (WOM) and Heritage
brand (a brand which is used by their moms or aunts in the past). They also check
the ingredients, or at least choose a brand which has a ‘clean track record’ – not
known for any negative cases in the past (like Chinese brands)
Safety and efficacy is a number one consideration for sticking to a brand they
will keep using a brand which gives them effective result (delivers product benefit
within the promised time) but does not cause harm on the skin
What is our
opportunity?
We can win the heart of consumers by introducing our product by product
communication using the ‘heritage setting’ – portrayal of our product being used and
passed on from generation to generation
Might want to consider highlighting natural product ingredient as the number one
product benefit – as most consumers are getting smarter day by day, they demand a
product which gives them a sense of safety
Page 84Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Part 4
Savory SnacksFrom the Viewpoint of CONSUMERS (High, Medium & Low Income)
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
• The products discussed include:
1. Potato Chips
2. Cassava Chips
Overview of Products
Page 86Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Purchase Habits
Type of
Product
Why and when do they
usually purchase it?
Where do they
usually purchase it?
Potato Chips
(High income) purchase it once a month during
monthly household shopping stocking
behaviour they purchase 5 to 10 items which
will last for approximately 1 month
(Medium income) purchase it once a month
during monthly household shopping limited
stocking behaviour purchase only 4 to 5 items
then purchase more in mini market when run out
of stock (purchase 2 to 3 items)
(Low income) most purchase it daily in the
nearby traditional store (1 or 2 items per
purchase) and few purchase it weekly in mini
market (3 to 4 items per purchase)
High income purchase it in hypermarket
Medium income purchase it in hypermarket,
then for additional stocking behaviour purchase
it in mini market
Majority of low income: purchase it in traditional
beauty & drug store located nearby their homes
(Low income) most purchase it in the nearby
traditional store and few purchase it in
minimarket
Cassava Chips
Page 87Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Influencer in Brand SelectionWho or what influences them to make a purchase?
Influencer Influencer Potato Chips Cassava Chips
Out of Store Influencer
WOM from trusted recommender
Modeling Behavior –sees significant other consuming it
Advertising – the intriguing ones
Packaging -- the attractive ones
In Store Influencer
In Store Promotion
Salesman Recommendation
Others
Note: the more = stronger influence
Page 88Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Less
Important
More
Important
1.Brand
2.Taste
3.Attractive packaging: bright colors,
cartoon figure visuals
4.Price
Cassava ChipsPotato Chips
1.Brand
2.Taste
3.Attractive packaging: bright colors,
cartoon figure visuals
4.Price
Considerations in Purchase What factors do they consider prior to making a purchase?
Page 89Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Switching BehaviorWhat makes them switch to (or try) another brand?
Influencer Influencer Potato Chips Cassava Chips
Product Related Triggers
WOM from trusted recommender
Modeling Behavior –sees significant other consuming it
Advertising – the intriguing ones
Others
Non Product Related Triggers
In Store Promotion
Sales Promotion Staff Recommendation
Others
Note: the more = stronger influence
Page 90Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Standard Expectations of Product What should the standard product have?
Less
Mentioned
More
Mentioned
1. Salty taste
2. Available in various types of
flavor (Barbeque, Beef,
Chicken, etc)
3. Crunchy texture makes
noise when chewed on
4. Texture not too thick nor too
thin
5. Lots of seasonings visible
on the surface of chips
Cassava Chips
1.Salty taste
2.Crunchy texture makes noise
when chewed on
Potato Chips
Page 91Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Ideal Expectations of Product What should the ideal product have?
Less
Mentioned
More
Mentioned
1. Available in other unique culinary flavors
most flavors in the market are the same
between brands
2. Highly affordable price
3. Less MSG concentration
4. Less preservatives
5. Attractive packaging (bright color, cartoon
figure visuals) to amuse children
6. Available in different pack sizes (large,
medium, small)
Cassava Chips
1. Less thick texture most admit they
experience pain on their tongue and teeth
after chewing for quite a long time
2. Highly affordable price
3. Available in various types of flavor
(Barbeque, Beef, Chicken, etc) most
flavors in the market are usually plain salty
4. Less MSG concentration
5. Less preservatives
6. Attractive packaging (bright color, cartoon
figure visuals) to amuse children
7. Available in different pack sizes (large,
medium, small)
Potato Chips
Page 92Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Usage
Less
Mentioned
More
Mentioned
1. Kusuka (IDR 3750 – 50 gr – Original flavor)
2. Qtela (IDR 3225 – 50 gr – Grilled Cheese / „Keju
Panggang‟ flavor)
1. Chitato (IDR 3500 – 40 gr – Beef Barbeque /
„Sapi Panggang‟ flavor)
2. Pringles (IDR 14,125 – 110 gr – Original flavor)
3. Lays (IDR 3700 – 40 gr – Seaweed / „Rumput
Laut‟ flavor)
4. Piattos (IDR 3375 – 50 gr – Beef Barbeque /
„Sapi Panggang’ flavor)
Potato Chips Cassava Chips
Page 93Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for Potato ChipsBrand Name
Key ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Pioneer brand
•Considered as the (local) pioneer in potato chips•Good product quality just the right texture•Unique wavy texture•Delicious taste
•Limited chips in a package
High
The International brand
•International brand, thus reassures good product quality•Long established brands has been in the market for years•Offers variety of flavours
•Highly expensive price Very High
The Best Newcomer brand
•Good product communication - endorsed by celebrity (TVC)•Manufactured by a well-known company (Indofood)
•Rather expensive price Medium
The Low Class brand
•Highly affordable price•Delicious taste – but for some, it’s too salty
Low
Page 94Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for Cassava Chips
Brand Name Key ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Pioneer brand
•Considered the (local) pioneer in cassava chips•Available in barbeque flavour
•Only available in big packs Rather expensive price
High
The Best newcomer
brand
•Attractive packaging (bright colour and good visual illustration)•Affordable price
•Perceived less delicious than Kusuka Medium
Page 95Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Potato Chips
•Chitato
•Lays
•Pringles
•Piattos
Page 96Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Cassava Chips
•Kusuka•Qtela
Page 97Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Perception of Japanese vs Korean brands
Product Description Japanese brands Korean brands
Potato Chips
Awareness level No awareness No awareness
Perceived Strength Not relevant Not relevant
Cassava Chips
Awareness level No awareness No awareness
Perceived Strength Not relevant Not relevant
Page 98Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Learning – so far
What have we
learned?
Basic trigger for purchase is usually advertisement – they will purchase a brand
which they often see on TV
However, purchase for this type of product is basically very simple – no fixed
pattern, as consumers are easily lured by in store dynamics, such as promotions
(offering cheaper price) or the existing of a new taste / variant
No Japanese brand is not apparent in this category
What is our
opportunity?
We can win the heart of our consumers if we can put more emphasis on
promotions during the early introduction of our product – selling our product at
cheaper price will make consumers to (at least) try our brands
Consider offering a set of new, unique, and fresh flavours which is different from
the ones in the market – innovation is the key!
Also give them reassurance of Halal product – drives confidence to consume
Consider highlighting Japanese positive image in the side-aspects of product:
packaging (safety), processing way (less oil, thus safety)
Page 99Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Part 5
Mobile PhoneFrom the Viewpoint of CONSUMERS (High, Medium & Low Income)and RETAILERS
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
• The product discussed is:
1. Mobile Phone
Overview of Product
Page 101Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Purchase Habits
Type of
Product
Why and when do they
usually purchase it?
Where do they
usually purchase it?
Mobile Phone
(High income) purchase it 1 – 2 times every
two years feel the need to keep up with the
trend
(Medium income) purchase it 1 time every 2 –
3 years
(Low income) purchase it 1 time every 5 years
(due to budget constraint)
(High income) purchase it in authorized mobile
phone dealer
(Medium income) most purchase it in
traditional stores / outlet such as Roxy,
Mangga Dua, ITC Ambassador OR in
Hypermarket (few)
(Low income) most purchase it in traditional
stores / outlet such as Roxy, Glodok, Mangga
Dua, ITC Ambassador
Page 102Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Influencer in Brand SelectionWho or what influences them to make a purchase?
Influencer Influencer Mobile Phone
Out of Store Influencer
WOM from trusted recommender
Modeling Behavior – sees significant other using it
Advertising – the intriguing ones
Others (following the trend)
In Store Influencer
In Store Promotion
Salesman Recommendation
Others
Note: the more = stronger influence
Page 103Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Less
Important
More
Important
1.Brand
2.Function & Utility (features)
3.Affordability
4.Design and color
Mobile Phone
Considerations in Purchase What factors do they consider prior to making a purchase?
Page 104Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Switching BehaviorWhat makes them switch to (or try) another brand?
Influencer Influencer Mobile Phone
Product Related Triggers
WOM from trusted recommender
Modeling Behavior – sees significant other using it
Advertising – the intriguing ones
Others
Non Product Related Triggers
In Store Promotion
Salesman Recommendation
Others
Note: the more = stronger influence
Page 105Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Standard Expectations of ProductWhat should the standard product have?
Less
Mentioned
More
Mentioned
1.Well-known and established brands (Nokia, Sony Ericsson, Blackberry,
Samsung) – preferably not Chinese or Korean brands
2.Provides basic features SMS, call, MMS, Camera Digital, Video
Camera
3.User friendly highly associated with brand
4.Comfortable keypad
5.Affordable price
1. (High Income) price range of IDR 2,500,000 until IDR
3,500,000 is suitable
2. (Medium Income) price range of IDR 1,500,000 until IDR
2,500,000 is suitable
3. (Low Income) price range of IDR 800,000 until IDR
1,000,000 is suitable
Mobile Phone
Page 106Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Ideal Expectations of ProductWhat should the ideal product have?
Less
Mentioned
More
Mentioned
1.Nokia, Sony Ericsson or Blackberry – all three brands perceived as the top 3
brands of mobile phone currently in market
2.Provides advanced features 3G connection, Internet Browsing, MP3 Player,
BUT STILL with affordable price
3.Provides additional (although not advanced) features FM radio, Voice
Recorder
4.User friendly keypad
1. (High and medium income) Qwerty is preferred
2. (Low income) Basic keypad is preferred
5.High durability and high resistance to shock not easily damaged
6.Water resistance not damaged when exposed to water
7.Slim and small design
8.Glossy tone of color (pearl-like)
Mobile Phone
Page 107Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Purchase
Less
Mentioned
More
Mentioned
1. Blackberry
2. Nokia
3. Sony Ericsson
4. Samsung
5. LG
Mobile Phone
Page 108Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand EvaluationBrand Name Key Image
Perceived Strengths
Perceived Weaknesses
Favourability Level
The Pioneer Brand
• Perceived as long established brand – has been in the market far more than any other brands
• International quality widely known to be manufactured by Finland
• Rather expensive price• Currently falls behind the trend;
seen as less innovative (especially to Blackberry)
Medium to high
The Innovative Brand
• Highly innovative – first brand to offer Music Player type of mobile phone
• Rather expensive price• Similar designs and similar
functions of most productsMedium
The Sophisticated
brand
• Trendy & sophisticated design professional style
• Not user friendly menu and features are quite difficult to understand
Medium
The Moderate
Brand
• ‘Cookie’ (smart phone) most mentioned this product as LG strength, although they have never used it (only driven by heavy product communication by famous Indonesian public figures)
• Cheapest price – compared to other brands
• Not a well-known brand in mobile phone category specialized more in household durables
• Thus, perceived to only offer basic technology and feature (call, SMS, MMS)
Low
The Breakthrough
Brand
• Establishing the new trend in mobile phone BB is acknowledged as a smart mobile phone
• Unique Blackberry Messenger feature – which enables users of BB to communicate with one another via internal system
• Expensive price – even for second hand product High
Page 109Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Now let’s deep dive into the Eyes of Retailers…
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Less Selling
More Selling
Most & Least Selling brands
Blackberry (Gemini non 3G – IDR 2.325.000 and Onyx 3G – IDR 4.200.000)
Becoming a widespread trend amongst all range of age: children, teens,
and adult
High brand pride – users feel more pride in using BB feel as part of a
global advanced community
Nokia (C5 series – IDR 1.700.000 and X5 series – IDR 1.800.000)
Nokia used to be the most selling brand before BB hit the market. But now,
less innovative designs and not up to date technology makes it lost a place
in the heart of their loyal consumers
Samsung (Corby Qwerty – IDR 900.000, Corby Touch Screen IDR 1.200.000,
Monte IDR 1.700.000)
Attractive and elegant design, alongside good affordability
Sony Ericsson
Perceived as the second best selling product after Nokia (again, before BB
hit the market) – due to its entertainment-based products (Music Player)
LG
Since LG is not a household name in mobile phone category, those who
purchase it are usually loyal users of their household products, OR
Looking for affordability rather than feature or brand pride
•Voice of Retailers of Traditional Store
What Do The Retailers Say?
What Do The Retailers Say?
Page 111Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Promotional Activities - Overall•Voice of Retailers of Traditional Store
• After purchasing a certain mobile phone product (usually those above IDR 2,000,000), customers gets a coupon which can be filled with personal bio data and then stored inside a box.
• After a certain period of time, store owner announces the winner
• Price is usually a mobile phone, USB drive, or MP3 player
Description Quotes
Lottery Prize
Bundling Programs
• High frequently done mostly applied for 1 or 2 items every month
• Mobile phone is bundled (sold together) with a certain provider sim card (mostly Esia or XL)
• Is a cooperative act with the supplier when ordering to supplier, retailers already gets the product bundle
More Often
Less Often
“From all the promotional programs I
have held in my store, I think the
bundling program is the one which
receives most positive response from
customers. But there‟s a downside to
it: the mobile phone which is being
bundled is not a branded one, thus it
only attracts low class consumers.
Which means, I can only get minimal
margin out of this promotion” -
Retailer
“Lottery prize is less appealing to my
customers, as most of them usually
prefers direct gifts. But it is useful
enough to drive them to get into my
store” - Retailer
Page 112Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Perception of Japanese vs Korean brands
Product Description Japanese brands Korean brands
Mobile Phone
Awareness level • No awareness
• Medium majority of high income and medium consumers acknowledged that Samsung and LG are both Korean Brand
Perceived Strength • Not relevant
• Offers advanced technology which does not fall back behind other leading brands – perceived able to keep up with the trend
• Offers a variety of product style (e.g basic style, clam-shell style, flip-style)
• Attractive design classy and sophisticated (Samsung)
Perceived Weakness • Not relevant
• Less durable more prone to damage, less resistance to shock
• Less user friendly (LG) difficult to operate menu
•Voice of Retailers of Traditional Store
Page 113Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Mobile Phone (1/2)
•Nokia C5 •Nokia X5 •Blackberry Gemini •Blackberry Onyx
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Product Visual – for Mobile Phone (2/2)
•Samsung Corby •Samsung Corby Touch Screen •Samsung Monte
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Key Learning – so far
What have we
learned?
Trend is the major aspect in driving purchase – consumers will likely purchase a
product which is currently buzzing or being in the limelight, regardless of their
knowledge towards the brand mobile phone identity enhances the appreciation
from their surroundings (positive or negative)
Technology which is able to give full time connection to their social world is highly
appreciated
Japanese brand is not yet apparent in this category, but widely known for its
technology in electronic or household products
What is our
opportunity?
When introducing our product, need to focus more on Below The Line (BTL)
activities rather than Above The Line (ATL) creating a trend does not need to be in
a public limelight
Focus first on youth consumers first, as they are quick-spreader for trend
Highlight Japanese advanced technology trademark as one of the brand’s plus
point
Come up with a feature which enables the people to connect with one another in
the simplest, fastest and cost effective way (similar to BBM)
Page 116Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Part 6
Clothing & AccessoriesFrom the Viewpoint of Consumers (High Income only)
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
• The products discussed are:
1. Female Underwear
2. Female Stocking
3. Female Jeans
4. Female Wristwatch
Overview of Products
Page 118Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Purchase HabitsType of
Product
Why and when do they
usually purchase it?
Where do they
usually purchase it?
Underwear
Majority purchase it once every 3 months
Few purchase it once every 6 months
Usually purchase it to upgrade old collection
All purchase in upper Department Store such
as Metro and Sogo (Centro is least
mentioned)
Stocking
Across all, purchase it every 6 to 8 months
Usually purchase it to replace old products
Some purchase it in Upper Department Store
such as Metro and Sogo
While some others purchase it in traditional
shopping centre such as ITC Ambassador,
ITC Fatmawati, ITC Mangga Dua
Jeans
Some purchase it once every 1 – 2 months
While some others purchase it once every 6
months
Usually purchase it to follow the trend
Majority purchase it in upper Department
Store such as Metro and Sogo (Centro is least
mentioned)
But few also purchase it in traditional shopping
centre such as ITC Ambassador and ITC
Mangga Dua
Wristwatch
Do not have certain time to purchase – not
routine nor occasional
Purchase only when they found an interesting
product – usually unplanned
Some purchase in upper Department Store
(Metro, Centro)
But some other purchase in specialized official
wristwatch store in upper department malls
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Key Influencer in Brand SelectionWho or what influences them to make a purchase?
Type Influencer Underwear Stocking Jeans Wristwatch
Product Related Influencer
WOM from trusted recommender
Good product quality
Strong brand equity
Others
In Store Influencer
In Store Promotion
Sales Promotion Girl Recommendation
Others
Note: the more = stronger influence
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Considerations in Purchase Which factor do they consider prior to making a purchase?
Less
Important
More
Important
1.Strong brand awareness
well known brand
driven by WOM amongst
their peer group and
closest circle
2.Good product quality (soft
textile material, soft bra
wire)
3.Attractive design but with
minimum material
modification (such as lace,
straps, etc)
4.Affordability
Stocking
1.Usage comfort
2.Durability not easily
torn apart after brief
period of usage
3.Affordability
1.Strong brand awareness
well known brand
which specializes in jeans
2.Design must be up to
date, constantly following
the trend, flattering the
body
3.Affordability
4.Textile material soft,
follows the contour of
body
Underwear Jeans
1.Premium brand well
known and expensive
brand in wristwatch
2.Design must be classic
and elegant – not too
many colors (so it does
not look cheap)
3.Affordability
Wristwatch
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Switching BehaviorWhat makes them switch to (or try) another brand?
Type Triggers Underwear Stocking Jeans Wristwatch
Product Related Triggers
WOM from trusted recommender
Modeling Behavior – sees significant other using it
Advertising – the intriguing ones
Others
Non Product Related Triggers
In Store Promotion
Sales Promotion Girl Recommendation
Others
Note: the more = stronger influence
Page 122Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Standard Expectations of Product What should the standard product have?
Less
Mentioned
More
Mentioned
1.Feels comfortable on the
skin does not cause
irritation on skin
(especially on straps
areas)
2.Less ‘modifications’ on
design, such as lace,
straps, wire, etc
3.Affordable price not
too expensive, not too
cheap
Stocking
1.High durability not
easily prone to damage
2.Easy maintenance
easy to be washed
3.Does not shrinks after
being washed 2 or 3
times
1.Feels comfortable on the
skin does not cause
irritation on skin
2.Up to date model
following the current trend
3.Good thick material (more
preferred than soft denim,
perceived ‘low class’)
Underwear Jeans
1.Branded must be a
well-known and
established brand since a
very long time ago (Seiko,
Alba, Omega)
2.Price should be above
IDR 500,000
guarantees quality and
pride
3.Sturdy looking
4.Attractive design (sturdy
but still doesn’t look too
masculine; preferred to
have diamonds or
accents on it)
Wristwatch
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Ideal Expectations of Product What should the ideal product have?
Less
Mentioned
More
Mentioned
1. Highly absorbance to
sweat thus enables
more comfort in
performing daily
activities
2. Model flatters the body
figure (E.g pumps up
the breast and bottom)
Stocking
1. Highly absorbance to
sweat thus enables
more comfort in
performing daily
activities
2. High easy maintenance
can be washed in
the washing machine
1. Model flatters the body
makes the waist
looks smaller but the hip
looks bigger
2. Can be washed in the
washing machine
without damaging its
textile quality
Underwear Jeans
1.High durability highly
resistance to shock or
scratch
2.Easy maintenance can
be cleaned only with
water or special in-home
cleaning product thus
feels comfortable to clean
by themselves
Wristwatch
Page 124Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Usage
Less
Mentioned
More
Mentioned
1.Sorella
2.Wacoal
3.Pierre Cardin
4.Bee Dees
5.Young Heart
Stocking
1.Aimer Feel 1.Levis
2.FCUK
3.Contempo
4.Lili’s
5.Maxx
Underwear Jeans
1.Seiko
2.Alba
3.Omega
Wristwatch
Page 125Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for UnderwearFrom the Retailer Perception
Brand Name
Key ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Comfortable and affordable brand
• Strong brand awareness mostly endorsed by Word Of Mouth amongst young teens and woman
• Good quality product• Offers various models and
designs
• Less comfortable than Wacoal• Less product quality than
Wacoal (Wacoal uses thicker material for the outer layer and softer material for the inner layer)
High
The Classy Elegant Brand•Strong brand pride makes female feel confident when using / purchasing it
• More expensive than other brands more branded Medium
The Fun Brand•Attractive design•Comfortable material (uses first class Lycra)
•Rather expensive Medium
The Sporty Brand
•Provides the best sport bra•Emphasizes on comfort in wearing compared to other aspects
• Basic designs, sometimes tend to be boring
• Plain colour
Medium to Low
The Young and Teen Brand
•More bold colour•Daring designs (with straps, laces, certain pattern, animal print, Harajuku style)
•Design is not suitable for adult women
•Design is not comfortable for daily wear
Medium to low
Page 126Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for StockingFrom the Retailer Perception
Brand Name Key ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Career Woman Brand
• High Durability not easily torn
• Available in a variety of basic colours (black, grey, white)
• BUT also additional colours (purple, pink. Blue)
• More expensive price –compared to traditional shopping centre
• Less accessible – only available in upper department store (not available in medium department store such as Matahari)
Medium
Page 127Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for JeansFrom the Retailer Perception
Brand NameKey
ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Pioneer Brand
•Strong brand image•Good cutting makes women feel more confident when wearing•Innovative always launch a new model every month•First class quality textile material comfortable on skin, soft, follows the body figure
•Expensive price – minimum of IDR 500,000
High
The Designer
Brand
•High class image•More stylish and sophisticated design (using embroidery, Svarosky diamond)
• Highly expensive price is above IDR 1 million
Medium
The Funky Brand
•Attractive design but sometimes perceived as too strange for casual daily wear
• Jeans are only complimentary products, not really focusing in design or innovativeness
Medium
The Chinese Brand
•Affordable price – the cheapest amongst all brands
• Jeans are only complimentary products, not really focusing in design or innovativeness
Medium
The Casual Brand
•Casual basic design•Feels very comfortable on the body
•Rather expensive price for such a basic and moderate design
Medium
Page 128Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Brand Evaluation – for WristwatchFrom the Retailer Perception
Brand Name Key ImagePerceived Strengths
Perceived Weaknesses
Favourability Level
The Well Established
Brand
•Long standing brand have been in market for a long time•First class quality textile material comfortable on skin, soft, follows the body figure
•Less innovative designs are perceived as standard
Medium
The Foreign Brand
•Foreign brand image perceived from European country (although most cannot recall)•Good quality in leather wristwatch
• None mentioned Medium
The Classic Brand
•At spontaneous level, perceived as rather masculine brand more communication of male brand•More innovative offers a variety of design from basic to colourful ones•More colourful theme thus also suitable for younger consumers (20 to 25 yo)
• Highly expensive priceMedium to low
Page 129Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Now let’s deep dive into the Eyes of Retailers…
Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Least Selling
More Selling
Most & Least Selling brands – for Underwear
Sorella (Bra IDR 100.000 – 130.000 ; Panty IDR 30.000 – 100.000)Strong brand awareness mostly driven by WOM in their peer group and closest circles
Pierre Cardin (Bra IDR 180.000 above ; Panty IDR 75.000 above)Strong premium image – driven by product appearance and expensive price makes customers feel more confident and pridefulInternational image – driven from name
Wacoal (Bra IDR 200.000 – 275.000 ; Panty IDR 60.000 – 75.000)Highly comfortable material – feels soft on skinAttractive designs
Bee Dees More targeted into younger female – thus mostly sells sporty products and less feminine ones
Young HeartUnique and sophisticated designs which are not convenient for daily wear
•Voice of Retailers of Department Store
What Do The Retailers Say?
What Do The Retailers Say?
Page 131Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Underwear (1/4)
•Wacoal
•Sorella
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Product Visual – for Underwear (2/4)
•Pierre Cardin
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Product Visual – for Underwear (3/4)
•Bee Dees
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Product Visual – for Underwear (4/4)
•Young Heart
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Most & Least Selling brands – for Stocking•Voice of Retailers of Department Store
•Not applicable because Aimer feel is the only brand sold in
the market of department store (Centro)
•But Aimer feel price is IDR 49.000
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Product Visual – for Stocking
Page 137Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Most & Least Selling brands – for Jeans
Levis (Price range: IDR 500.000 – IDR 1.500.000)Strong brand image driven by WOM and advertisementHighly innovative – often comes up with newly launched productsBUT still considered affordable for a branded product
FCUK (Price range: IDR 1.200.000 – 2.500.000)Image of highly premium brand („designer outfit‟) more confident and prideful in wearing itBUT highly expensive – thus, less affordable, even for higher income
ContempoAffordable price BUT still good brand image (perceived as the middle brand)Casual basic design
MaxxNot very strong in product design perceived as too strange, too unusualNot very appropriate for daily wear
LiliPerceived offering too basic product very similar to the ones being sold in Non Department stores such as ITC or low end boutique
•Voice of Retailers of Department Store
What Do The Retailers Say?
What Do The Retailers Say?
Less
Selling
More
Selling
Page 138Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Jeans (1/5)
•Levis
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Product Visual – for Jeans (2/5)
•FCUK
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Product Visual – for Jeans (3/5)
•Contempo
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Product Visual – for Jeans (4/5)
•Maxx
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Product Visual – for Jeans (5/5)
•Lilis
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Least Selling
More Selling
Most & Least Selling brands – for Wristwatch
Seiko (Standard price range: IDR 350.000 – 750.000)Long standing brand in the market thus most consumers purchase it due to heritage habit
Alba (Standard price range: IDR 600.000 – 900.000)Attractive designs (available both in leather, metal, diamonds)Good quality product
OmegaMost customers perceive the brand to be more masculine driven by the George Clooney advertisements on printed media (magazine)Thus, feels less interested to purchase it
•Voice of Retailers of Department Store
What Do The Retailers Say?
What Do The Retailers Say?
Page 144Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Product Visual – for Wristwatch
•Seiko
•Alba
•Omega
Page 145Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Perception of Japanese vs Korean brands
Product Description Japanese brands Korean brands
Female Underwear
Awareness level No awareness No awareness
Perceived Strength Not relevant Not relevant
Female Stocking
Awareness level No awareness No awareness
Perceived Strength Not relevant Not relevant
Female Jeans
Awareness level No awareness No awareness
Perceived Strength Not relevant Not relevant
Female Wristwatch
Awareness level Medium awareness: Seiko No awareness
Perceived StrengthHigh durability (sturdy, not easily broken) and good product quality
(uses number 1 materials)Not relevant
•Voice of Retailers of Department Store
Page 146Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia
Key Learning – so far
What have we
learned?
Comfort and right-fit while wearing products are basic motivations which makes
consumers stick to a brand
Good product quality combined with premium brand image (brand which
specializes in the category and is widely reputable) is a combo factor in triggering
loyalty
What is our
opportunity?
Focus on high quality product material (underwear, jeans, and stocking) which then
creates an image of good product quality (comfortable to wear and long lasting for
underwear, jeans and stocking)
Focus more on Below The Line (BTL) promotion rather than Above The Line (ATL)
as consumers get lured easily by discounts or buy 1 get 1 promotion
Page 147Copyright (C) 2011 JETRO. All rights reserved.Researched by Nielsen Indonesia