Bondi Sands Marketing Report PDF

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Executive summary This report will evaluate the marketing strategies developed by Bondi Sands in marketing their Self Tanning Foam Dark – 200ML, their target market and recognise the external factors that effect people purchasing the product. Bondi Sands has taken over a larger percentage of the fake tan market, making it the most popular tan alternative in Australia (Professional beauty, 2016). This report will outline a background on the product, how the product came to be in 2012, the marketing strategies Bondi Sands has invested into to make the product so successful, how Bondi Sands has taken advantage of advancements in technology and utilised social media as a prominent advertising channel. Bondi Sands fake tan has become a massive social trend and has recently been playing a role in the confidence in appearance for young girls around Australia. Bondi Sands is a company that cares about its consumers, and uses initiatives to promote health to the community.

Table of Contents 1. Introduction…………………………………………………………………………… 2 2. Key marketing Concepts and Principles ………………………………………………3 3. Marketing Mix Considerations ………………………………………………………. 5 4. Socially Responsible and Ethical Issues ……………………………………………... 7 5. Information Communication Technologies ………………………………………….. 8 6. Marketing Plan ……………………………………………………………………….. 9

1. Introduction Bondi Sands fake tan are designed to give the user a natural sun-kissed tan without sun exposure. The company was created by Blair James from Melbourne who initially run tanning bed salons, however after the Victoria State Government banned tanning beds he had to create a new business idea (Hornery 2019). The Dark foam contains aloe vera and coconut scent to leave the skin glowing, moisturised and fragranced. The main goal of their tan is to keen the price 1

down so that young girls and boys can afford to purchase. Bondi Sands is owned by the CoFounder and director Shaun Wilson. Bondi Sands is forecasted to turn over up to $80 million in the 2018-2019 financial year and the company is aiming to be stocked at 20,000 stores around the world by the end of 2020. Bondi Sands revenue has increased 180% over the first half of the financial year in 2016 on margins of up to 65% (Low 2016). This shows that Bondi sands is an extremely popular fake tan product. The brand is on sale at over 1400 stores in Britain now and has successfully broken into the huge US beauty sector. Bondi Sands has efficiently changed their marketing plan over time to suit the current trends in todays society. Bondi Sands has attempted to broaden their target market so that they can increase sales longer. With an increased presence on social media, Bondi Sands has worked hard to produce a large following on platforms such as Facebook, Instagram and Twitter. These platforms have enabled Bondi Sands to connect with lots of users they would normally not be able to reach.

2.Key Marketing Concepts and Principles Market segmentation is the way a market (a business potential customers) is divided “into distinct groups of buyers who have different needs, characteristics or behaviours, and who might require separate products or marketing programs” (Armstrong et. al 2012, pg. 55). Marketers use it as a way to create significance to their target market. The market segment targeted by Bondi Sands is beauty seeking segment, characterised by individuals who maintain their appearance and seek a natural looking tan. The segment does not want to sacrifice tanned and glowing skin due to winter time or genetics that do not allow for a glowing tan. Dr. Anjali Mahto says that fake tan can be a 2

healthier alternative to sunbaking to reach a desired skin colour. Steph Claire Smith posts an image with the mouse bottle to Instagram captioning “Getting a head start with my tan” (Instagram, 2018). Generally, the market consists of young girls who want to appear more attractive or older females who explore the newer trends and also strive for an attractive appearance (Professional beauty, 2016). This market also enjoys the other products the business provides such as make up products and tanning lotions. Most advertisement on the product can be found of social media (such as Instagram), which is an appropriate platform to reach young females as it has become extremely popular with that age group and that generation is highly influenced by what they see on the program. Bondi Sands targets the segment by having paid promotions by Instagram influencers that the target market aspires to be like, the business paid Kylie Jenner $250,000 to post an Instagram selfie with the bottle (Hornery 2019). Kylies followers would immediately be drawn to the product she uses to tan her skin. The target market would appeal to Bondi Sands packaging and logo, because of its minimalistic and professional nature, giving off a modern look. They use a simple font and incorporate the harbour bridge into the logo to represent the brands Australian origin and nature. Statement: We capture what makes Australian summers iconic, and bring it to you every day. More than the best self-tanning products, Bondi Sands is about sand, sea and sun and the lifestyle that comes with it. It’s slipping off your sandals and feeling the soft sand under your feet, and its the mad dash to your towel when it starts to burn. Inspired by Australia’s most well known beach, and a desire to make the ultimate tan accessible to everyone, our salon quality formulas work to give you an even, naturally golden tan that hydrates and nourishes your skin meaning you stay bronzed for longer. Bondi Sands markets itself as a top quality brand that is superior to its competitors in Australia (Le Tan and St Tropez). While Bondi Sands Self tanning foam dark fundamentally provides the same outcome, which is; glowing skin, a pleasant smell and a overall healthier looking appearance, it markets itself as a more ‘Natural’ and Australian alternative to the other brands. The brand achieves this imagine through a variety of methods including its branding, distribution and advertising approach. Other brands such as Le tan, St Tropez Model & Co also use these methods however Bondi Sands plays on the Australian origin of the product to entice customers to purchase this product over others. 3

Bondi Sands as opposed to its competitors has incorporated the harbour bridge image into the logo to represent the Australian origin and the stereotypical Australian image of a tan beachy look. Bondi Sands branding is much simpler than that of its competitors which gives it a professional look.

Bondi Sands approach to advertising is significant. They advertise predominantly through social media, this is a good place for them to reach younger girls, and following the Bondi Sands Instagram account will ensure the target market is kept up to date with new deals and promotions. This also helps to create a strong sense of brand loyalty. Bondi sands has effectively created a strong product image that relates to the Australian culture and a natural product. They have chosen a perfect channel in social media and Instagram influencers to reach their target market of young girls (Party Confidential 2017). They have excelled in the market by creating a well priced and highly desired product.

A combination of high distribution, social media ads and event marketing has aided Bondi Sands to create a Niche and sought after market image which indorses a high customer quantity. However, the business should seek to engage with the older market as well to open up business opportunities. This could be done by advertising more on different channels to boarded the market they sell to.

3.Marketing Mix Considerations Product Bondi Sands Self Tanning Foam Dark – 200ML was released in 2012 by the creators Shaun Wilson and Blaire James who derived the product from a tanning product Blaire used at her tanning salon, the fake tan was designed as an alternative to tanning bed that were soon to be banned in the state of Victoria (Bondi Sands, 2019). In 2018 Bondi Sands Self Tanning Foam Dark – 200ML became one of the largest beauty products. Closed to 10 million units of the fake-tan were sold in that financial year.

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The Self Tanning Foam contains Aloe Vera and coconut scent. This mix or ingredients is imperative so that the body can absorb the colour and moisture that will result in a longer and healthier looking tan (Professional beauty, 2106). The product is bottles in a matte slim and black bottle with the words ‘Bondi Sands, The Australian tan’ printed in gold letters as well as the harbour bridge image printed in gold, the writing on the bottom of the bottle is written in white and explains other details about the product. Price Ever since laugh of the self tanning mouse the aim was to keep prices lower than competitors so that young people with only a bit of spare money could afford to have a glowing tan all the time. They have kept the price at a consistent $19.95 since release (. Bondi Sands priced the product low as they know customers will probably regularly purchase the product throughout their life, and they are more likely to be a long term customer if it is not too high of an expense. Place Bondi Sands Self Tanning Foam Dark is found in all major supermarket and pharmacies such as Woolworths, Coles, Priceline, Blooms and even service stations (Low 2016) . Other places it is found is on online stores that stock fashion for young people such as Princess Polly. The Bondi Sands tan are sold at these locations, especially the popular cosmetic stores because there is high customer traffic for customers to see the product, they are also placed in the cosmetic division of stores to attract customers that appreciate beautifying product and their appearance. Promotion Bondi Sands tanning mouse is well known to be associated with social media advertisements. One of the most common social media advertisements are Instagram Influencer posts were the Instagram model will post a photo with the product and caption it with how good the product is (Party Confidential, 2017). This is an effective tool that encourages the customer to purchase products that their role models use so that they can be more like them. One of the most famous Bondi Sands Instagram promotion is a selfie taken by Kylie Jenner where she is holding their Self Tanning Foam Dark – 200ML and her skin looks tan and glowing. This campaign is effective as Kylie Jenner has a large following on Instagram and majority of her follower’s seek to duplicate her beauty regime, therefore this

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advertisement makes purchasing their Self Tanning Foam Dark – 200ML imperative to tan and glowing skin like Kylie Jenner.

4.Socially Responsible and Ethical Issues Social responsibility The goal of Bondi Sands their Self Tanning Foam Dark – 200ML is to give confidence to the used and encourage a healthy and fit lifestyle. Therefore, Bondi sands has taken up a image that promotes health and fitness by using Steph Claire Smith as a role model for health and fitness, she even has her own wellbeing app, Keep It Clear. This movement is to raise awareness among young people on how important caring for you wellbeing, fitness and eating habits is. Bondi Sands Instagram and marketing is filled with posts about healthy eating and wellbeing tips such as “Sundays are for relaxing in the sunshine with a good tan” (Party Confidential 2017). They make young people be more aware that having self love is more about fake tan and the importance in obtaining good health and wellbeing habits, which is 6

why their Instagram accounts present healthy foods, workouts and wellbeing tips. This is a great initiative as it helps young people adopt healthy habits that will benefit their health and self image. Ethical issues Bondi Sands fake tan product ended up in a controversial fake ad that emerged on Instagram, the same platform they they pride their most effective marketing on .The fake advertisement appeared on Instagram in 2019 and looked to be a Bondi Sands ad instead the text read “Australia’s favourite tan for girls who want to be black but not black black” (Hornery 2019). This post brought up negative accusations for not catering to non-white customers. A debate also started “raging over the "blackfishing" phenomenon, which is when white people are criticised for using fake tans and criticised for using fake tans and cosmetics to change their racial appearance. These are indeed strange times (Hornery 2019). This issue raised highlights racial issues and for some, may be found offensive or not acceptable to use products to alter the colour of one’s skin. This is an ethical issue as people with different coloured skin may find it offensive and not a feature of ourselves that should be altered.

5.Information Communication Technologies Bondi Sands has earned an enormous amount of attention over social media with 206,439 likes on Facebook, 706,000 followers on Instagram and 13,200 twitter followers. With this extent of following, Bondi Sands has been able to have a vaster exposure to thousands of people to promote their product.

Bondi Sands social media platforms concentrate a lot on using social media influencers and attractive Instagram personalities to entice customers to use the same products as their role models. These Instagram influencers include Isabella Fiori, Steph Claire Smith, Kim Kardashian, Gabby Epstein, Hailey Bieber and Brittney Sauders. With the fake tanning product being advertised by these influencers that young girls look up to, teenager and young 7

adult girls we more likely to enjoy seeing Bondi Sands posts and advertisements if they are related to people they idolise. This will promote the fake tan as viewers will want to share the same fake tan as someone they inspire to be like. Bondi Sands Instagram page is different to their Instagram as majority of their feed includes funny, relatable memes that young people would enjoy viewing. Bondi Sands posts memes that young people can tag their friends in and therefore expand across the platform. These posts make everyday problems into funny captions with an image, these memes imply to the viewer that the brand understand the everyday struggles and implies that their product may be able to help in some way. This way of using social media is great for Bondi sands and is subtly infers to the viewer that they understand the everyday struggles we face and infers that Bondi Sands can somehow aid.

The strategies put foreward by Bondi Sands to communicate with the customers through technology has enabled Bondi Sands to create a caring image for young people, and has allowed the fake to be seen as an assistance for everyday struggles.

6.Marketing Plan SMART Analysis Goal: Bondi Sands mission statement about their product is “We capture what makes Australian summers iconic, and bring it to you every day. It’s slipping off your sandals and feeling the soft sand under your feet, and its the mad dash to your towel when it starts to burn. Inspired by Australia’s most well known beach, and a desire to make the ultimate tan accessible to everyone, our salon quality formulas work to give you an even, naturally golden tan that hydrates and nourishes your skin meaning you stay bronzed for longer. Specific: It is clear that Bondi Sands objective to give everyone accessibility to a healthy looking tan and market themselves as the most Australian fake tan available. To reach this goal Bondi sands informs the consumers through clever marketing techniques that they 8

provide the best formula and ingredients to result in the most natural and long lasting tan. A number of campaigns have been created to get this information out to the public in the most effective way as possible. Measurable: It is essential in the marketing plan to have measurable statistics. Experiencing growth of close to 400% and an increase in revenue of 180% over the first half of 2018 (Low, 2016). These are good measurable goals as Bondi Sands can view them and compare their revenue and growth over time to see if the marketing plan has be successful or not. Achievable: To keep the progressively moving up in sales Bondi Sands must set goals that can be reached and achieved by the team. With a good marketing plan in place, a good goal for Bondi Sands would be to have an increase sales percentage compared to the previous financial year. This is a goal that is basic and effective goal that the team can work towards, this goal can be manipulated and used again in future years. Realistic: Having a realistic goal is fundamental to create a marketing plan, if the goal is not realistic it can ruin the teams work ethic and discourage their efforts. Setting a goal to increase sales 3% in summer time compared to winter time is an unrealistic goal as Bondi Sands would experience a decline in sales as consumers may not purchase fake tan when they are able to get a natural tan from the strong Australian sun. Timely: It is imperative for a goal to be timely so that it can be met by a certain deadline. If a deadline for a set goal such as increasing sales by 3% is not set, this goal might not ever be met, a reasonable deadline to complete this goal would be one financial year, this creates a set deadline that the team needs to work towards so that the goal is met in time.

Reference list Armstrong, G, Adam, S, Denize, S & Kotler, P 2012, Principles of Marketing, Pearson Australia, New South Wales, NSW.

Hornery, A 2019, ‘Damage control for Bondi Sands’, Sydney Morning Herald, 20 July, p. 39. Low, C 2016, ‘Glowing future for Bondi Sands as it hits jackpot of US Target’, The Melbourne, 29 February, p. 26. Party Confidential 2017, ‘Bondi Sands Launch’, Daily Telegraph, 10 January, p. 42

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Professional beauty 2016, ‘Bondi Sands’, Know your tan brand promotion, 1 December, pp. 110-110.

Wilson, S 2019, ‘Our Success – Australia’, Bondi Sands, weblog post, 2019, viewed 2 October 2019,

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