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Saturday, February 23, 2019

Tilting Windmills: Sanex Tries to Conquer Europe

Course Marketing Management Case canvas Tilting Windmills Sanex Tries to Conquer Europe inaugural Question What were the reasons for the winner of Sanex in Spain? The harvest Sanex, or moreover the Sanex idea, became a mastery in Spain because the company liable for it, CVL, and its local Pre slopent, Mr. Martin Munoz, carried forbidden one of the first rules of Marketing they invented a Consumers need and provided the right answer for it. Mr.Munoz was able to find a gap in the Household and Personal Care (HPC) Market, and namely in the Bath & Shower Products Market, where we could whole find, in the mid 1980s, 2 types of increases Cosmetics and Pharmaceuticals. by and by studying this securities industry along with his management team, Mr. Munoz agnise that the first ones were perceived as lower end produces, abrasive (sometimes giving rashes to its users) and with strong scents, only satisfactory for cleaning ones body and not oblation additional properties. The se cond ones were perceived by costumers as being suitable for some medicinal purposes only, with no day-to-day applicability.Pharmaceuticals were not appealing to the bargain consumer, namely because they had no perfume in its composition, besides being quite an more expensive than their counterpart ones. We could find Cosmetics in supermarket chains and Pharmaceuticals in pharmacies. In this mode, we can say that Cosmetics and Pharmaceuticals divided the Bath & Shower Products Market, yet in fact these were 2 completely unalike segments of the Market, with tot bothy incompatible approaches and Marketing Mix, being it in name of Product, Price, Placement or Publicity. Accordingly, Mr.Munoz realized that there was a huge gap in the Market and and so started developing a harvest-time that should position itself between Cosmetics and Pharmaceuticals it should be cleansing as Cosmetics were, but slightly milder, and should offer a protection side as the Pharmaceuticals did. It should embrace the best of those 2 opposite worlds, but should be aimed at the mass consumer market. The result was the creation of Sanex and of a whole revolutionary category in the Body Care Market Dermo-Protectors. The team pronto started to develop and fine tune the Marketing Mix of Sanex. 1Concerning the output in itself, they chose it to be white in order to differentiate itself from cosmetics (colorful) and pharmaceuticals (transparent). Sanex should in like manner be soft and slightly perfumed. Cosmetics had strong perfumes and pharmaceuticals were odorless. Sanex should produce more fizz lather than pharmaceuticals, but less than cosmetics. Sanex would ultimately have to provide a day-to-day cleansing function but also a custodial effect to ones skin, thus contributing for it to be healthy. A great pick out of concern was also taken into account concerning the packaging of the crossing.In name of pricing, and regarding the positioning of the product, Sanex should b e proposed at a premium price, closely united with the highest price of its cosmetic counterpart so that it could be reachable by mass consumers. This was considered to be the right price. Another important aspect concerning its spacious scale availability was distribution, and Sanex was thought out to be available in supermarket chains and retail outlets. travelly, a great deal of importance was given(p) to the communication aspect.Being a whole new product, produced by a company that was in this market for the first time, Mr. Munoz realized that awareness of the product would be very important so he asked for an advertising run for that should be adroit and credible, able to convey the message that using Sanex would not only result in a clean skin but also in an healthy skin. This was the Sanex concept. A whole new different concept. With the correct Marketing Mix, Sanex was launched in Spain in 1985 and became a winner almost instantly. Followers appeared with substitute pro ducts beginning in 1986, but Mr.Munoz used its 1st mover advantage and continued investment of revenue in strong advertising support, year after year, to ultimately achieve a donation of Voice of 37% in 1990 and continued leading market fortune throughout those years. 2 2nd Question Do you think the reasons for success and the strategies used in Spain can migrate to other countries? Being a concept that didnt exist in many other countries, Sanex had all odds in favor in order to replicate the success it had in Spain in other countries. That way, the reasons for success were all there.In fact, Mr. Munoz was invited by Sara Lee/DE headquarters, the mother company of CVL, based in the Netherlands, to roll out Sanex throughout Europe as a coordinator. Mr. Munozs firm beliefs were that the objectives, product policy and marketing policy of introducing Sanex should be identical for all the countries, and replicated but as done in Spain. Initially the different subsidiaries in countries such as Denmark, the Netherlands, France, Belgium, UK and Greece were quite unfavorable, namely due to the name of the brand and product characteristics.In the Netherlands, France and Denmark, managements disbelief was confirmed by initial market research and local product testing that presented dismal results. However, in time, Sanex proved to be a success in all this markets and the way it got there was by implementing the same strategy and keeping the same product name and identity, as defined by Mr. Munoz. The only country where Sanex failed was in the UK, apparently because it was the only one where local management distorted the trustworthy product by changing the products name (from Sanex to Sante) and the market strategies accordingly.This way, it appears that Sanex could become a global brand and its marketing mix could be implemented in different countries, with minor adaptations, as illustrated by the give tongue to above. I think this is particularly true in countries such as those in the EU where there is a convergence in terms of buying power, peoples interests/concerns, market structure and distribution channels. Last but not least, if nothing else, the uniqueness of the product/brand/concept should allow it to cut across borders and be managed as a whole.

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