THE INTEGRATED MARKETING COMMUNICATION PLAN FOR ADIDAS ® ACTIVE-DEODORANT PDF

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THE INTEGRATED MARKETING COMMUNICATION PLAN FOR ADIDAS® ACTIVE-DEODORANT Rodman K.K. Man A Project Submitted in Partial Fulfillment of the Requirements for the Degree of Master of Arts in Communication Supervisor: Mr. Peter Lam School of Communication Hong Kong Baptist University Hong Kong August 20...

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THE INTEGRATED MARKETING COMMUNICATION PLAN FOR ADIDAS® ACTIVE-DEODORANT

Rodman K.K. Man

A Project Submitted in Partial Fulfillment of the Requirements for the Degree of Master of Arts in Communication

Supervisor: Mr. Peter Lam

School of Communication Hong Kong Baptist University

Hong Kong August 2006

Acknowledgement

An IMC project is what I find the most interesting and creative school work because it is close to what I prefer to do in my future career. Surprisingly, Mr. Peter Lam can be my supervisor. I would like to say the “Big” thank you to him because of his great advice and support. His working experience in IMC plan has broadened my view throughout the whole project, especially, the implementations that he had launched before. As we know, Mr. Lam is a busy man but how grateful it is when he was willing to discuss the project with me without any time limit and replying my email within few hours each time. Finally, it is memorable to share my project with Peter in Hung Ham KCR station’s Starbucks.

Moreover, I would like to take this opportunity to thank Ms. Doris Cheung, my dearest classmate and Christian sister. Her support, encouragement and the commitment of “Working Together until the End of the Project” are the powerful hand in my project. I cannot remember how many times we prayed together for our projects to our Jesus Lord.

Of course, I would not forget my friends’ support. Without them, how come I can collect more than 120 samples in my survey within three days only? They did not

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only fill in their answers but also forwarded to their friends. I still cannot imagine why I can receive so many data from the 25-30+ age groups.

Lastly, nothing is more important to say “I love you” to my family. The one who makes breakfast to me every day, the one who prepares the soup for my night work, the one who provide technical support for my project, I should say thank you to my dad, my mum and my brother.

All other field research described in this project was my own original work and was carried out by myself under the supervision of Mr. Peter Lam.

________________________

(Rodman Man Ka Kin)

M.A. in Communication

School of Communication

Hong Kong Baptist University

Date: 7th July 2006

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Abstract

When observing the trend of sports match, not only the playing tactics have changed in more technological, but also the player’s appearance has come to an evolution. For instance, the Beckham’s trendy hairstyle, the Korea’s shocking pink football jersey the Armstrong’s yellow wrist band and Ljungberg’s Calvin Klein underwear have shown the new phenomenon. In fact, sportsmen are no long the smelly, ugly, wet and dirty players (波牛). They are now concerning their appearance during sporting.

This phenomenon can also be found in Hong Kong. You will now hardly to find a football/basketball player who has no hair styling gel on his hair. Actually, men care their face and dressing before, during and after sporting. However, they still cannot do a comprehensive skincare process.

It can be foreseen that deodorant can be popular in men when they tend to care their skin and appearance. It is noted that this market is just developed and none of brands can build up the firm loyalty. For the adidas Active Deodorant, this is the brand new product of adidas. Most people have no idea on it because of the weak promotion. Since the deodorant market potential is very high, the product’s promotion cannot keep in such slow pace. As the adidas personal care product is produced by Coty Inc and they are the license maker, now adidas has signed up to do the promotion of the skincare line together. More large-scaled promotions can be invested.

As a result, an IMC plan has to be established in order to attain as much as awareness, visibility and potential customers and finally, achieve the as much as bright brand image and loyalty customers in order to bring the demand of the adidas Active skincare line product. (Paosley, 2000)

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Contents

Acknowledge

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Abstract

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Contents

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4

Situation Analysis ƒ

Market Overview

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Company Background ………………………………………….

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Product Analysis

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Competitors

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Indirect Competitors

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Research Finding

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SWOT Analysis

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Problem Statement …………………………………………………….........

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Target Audience

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Goal

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Objectives

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Strategies

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Tactics

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Media Plan

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Budget

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Evaluation

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Reference

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Appendix ƒ

Appendix 1

The Online Questionnaire

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Appendix 2

Comic of Captain Tsubasa

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Appendix 3

World Cup 2006 Review

… 97

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Appendix 4

Feature Article of Profession …

99

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Appendix 5

Sport Field Event

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100

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Appendix 6

Team Force Event

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101

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Appendix 7

The Official Kiosk

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102

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Appendix 8

Redeem in adidas shop

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103

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Appendix 9

KISS, adidas Skincare Box Set … 104 5

Market Overview

The beginning stage of men’s cosmetic market in Asia

Men’s cosmetic was, of course, a small sector in the whole cosmetic market since this business has orientated female in major. However, it comes to a revolution as many cosmetic companies have created their new series for men. Such change can also be found in the Asia consuming trend. In Taiwan, the men’s cosmetic market has marked an increase of 15% since 2001 (TaKungPao.com, 2005). In Japan, more than 70% males concern on the men skincare products and there is a 12% increase in the sale of men’s cosmetic (US$130,000,000) (China Economy, 2006). In Hong Kong, generally, teenagers pay attention in their dressing style and looks. About 20.7% of males have built up a habit of using men cosmetic. Over 60% of this group of men do not spend more than HK$250 on skincare products (The Hong Kong Federation of Youth Group, 2003). Totally, the expenditure of men in Hong Kong men cosmetic has shared 17% of the whole cosmetic market. It notes that according to the findings, they all highlight the increase in the male cosmetic users, that is, the marvellous opportunity in developing the men’s cosmetic market. Since the deodorant for men is also the member of cosmetic product, its market potential cannot be forgotten.

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The resistance of men in choosing/using cosmetic

A common phenomenon is that some men, actually, they know the basic knowledge in caring their skin, like smearing moisturizer after washing face and spraying deodorant after sporting but the fact is that they are not intent on trying it (TaKungPao.com, 2005). Another phenomenon is that 39% of men would try men’s skincare and cosmetic products. However, 79% of them claim that they do not like buying such products by themselves (People.com.cn, 2006).

Both situations state the resistance of purchasing cosmetic for men. One serious problem is the contact point. In fact, the cosmetic for men mostly has not got their own kiosk (專櫃) so that the men’s skincare is always being placed in the female kiosk. As the result, male customers feel that they are ignored and have no providence of professional skincare service. Moreover, as the Chinese, they would feel embarrassing when asking for enquiry in the lady area. (People.com.cn, 2006).

What Is Deodorant?

Deodorant or antiperspirant is used to control the sweating. The major ingredient is aluminium chloride and alcohol (Ming Pao Health.com, 2005). Smearing around

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armpit and face can solve the exceed-sweating problem. However, its weakness is the short-term efficacy.

There are totally three bottle designs of deodorant, the aerosol (spray), roll on (ball) and stick. The purpose of the design is appealing to the need for women and men because of the armpit hairs. According to Ono Ichiro, the professor in the dermatology department of Fukushima Medical University, aerosol can make the deodorant

distribute equally in the spraying region without armpit hairs so it is designed for women. Since armpit hairs will cover some region, the deodorant cannot be smeared. As a result, for men, it is better to use roll on or stick. (Yahoo Knowledge, 2006)

Common Mistakes of Using Deodorant

There are two common mistakes of using deodorant,

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Most people use antiperspirant in the morning

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Some people just spray the antiperspirant without clean up the body dryly.

The appropriate method of using deodorant is to use deodorant after bathing or cleaning up the body. It is more ideal to do it at night. By using deodorant to cure

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against bromhidrosis, the user must last the above process for about five to seven days. After then, the user can decrease the rate of one to two times per week.

Deodorant and Health Problem

Deodorant is a chemical product so it is inapplicable to some skin sensitive people. Another common problem is that the smearing region will become darkened in colour after using deodorant; this phenomenon is called the sedimentation of pigment Antiperspirant can minimize the level of sweating in the smearing region but it raises the question of

“If I sweat less, my body will be overheated. It is because sweat is responsible in maintaining

the right body temperature. The use of deodorant will bring me in the overheating risk.”

Of course, the smearing region, such as armpit will sweat less after smearing deodorant but our body can balance the sweating by itself actually. The overheating risk is never happen.

Some media claim that deodorant can cause breast cancer because it stops the body excretion and interrupts the regular function of lymph. As a result, it increases the

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possibility to get breast cancer. However, the whole medical industry have ensured that the above concept is definitely wrong. Liver, kidneys and lymph can filter the waste and excrete it through blood. Of course, sweat can help the waste excretion but without it, our body waste can still be excreted. Sweat is just the very small role in responding to the excretion. As most of the waste leaves the body through blood, deodorant will not bring breast cancer (Binjer.com, 2004).

The current deodorant market

Deodorant’s history is not as long as perfume, the deodorant is only born for a decade. It is a kind of technological commodity and has occupied the European’s and American’s market. Almost every Western uses antiperspirant everyday no matter it is summer or even winter. Relatively, in Asia, deodorant is not as popular as in the West. It may be because 80% of Westerns are suffering from bromhidrosis. It is 70% more than Asians (about 10%) (XU, 1991).

However, comparing with the sale of deodorant, the demand of deodorant in Asian market is far more than the above 10%. As in Taiwan, there are 30% of Taiwan people using deodorant everyday (Dajiyuan.com, 2005). In China, more than 60%

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female have tried antiperspirant and more males are feeling interested in this product (wd999.com, 2006). In Japan, one of the biggest men cosmetic companies, Gatsby have recorded the good sale in deodorant product throughout Japan and Asia in 2005 (Mandom website, 2005). And in Hong Kong, deodorant is one of the top selling men’s cosmetics (she.com, 2006).

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Company Background

The adidas Group is the biggest sports brand in Europe. It is founded by Adolf Dassler who produced handmade sports shoes in the early 1920. Adolf Dassler was the athlete and also the shoe maker so he knew the need of an athlete. His product was pursuing to be the best sports equipment for each athlete. Until now, this concept is still the goal that the adidas Group never cease to chase.

The value of the adidas Group is to strive for the global leader in the sporting goods industry and it is built on a passion for sports and a sporting lifestyle. Moreover, the adidas Group upholds the customer focused strategy, that is, it concerns on the innovation and social responsibility.

The promoting strategy always tends to sponsor the sports stars such as David Beckham, Zinedine Zidane, Tracy McGrady, etc. On the other hand, they like involving in many large-scaled sports events such as Olympic Game, FIFA World Cup and Euro Cup. For more, adidas Group is aggressive in fashion, especially, the fashion line with Yohji Yamamoto (Y-3) and Stella McCartney (adidas by Stella McCartney). The worldwide “StreetBall Challenge”, soccer cups, marathon

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break-dance competitions, etc. are launched for promoting its brand to different target customers. As the adidas Group have cultivated with the brand for almost the century, it finally achieves the global leader brand name within the sports marketplace.

Despite of the commercial development, the adidas Group have also started to put their effort on the social responsibility. For example, as the recent campaign of “The Life of Football Factory Workers in Thailand”, the adidas Group can respond the voice of the workers there immediately and they will announce the issue in their official website. Moreover, for the Asia sportswear report conducted by Oxfam, the adidas Group show that they are the social responsible partner in providing detailed source and figures to Oxfam Australia Labour Rights Advocacy.

The adidas Group is one of the biggest sports companies in producing sporting equipments and it is headquartered in Herzogenaurach, Germany. More than 80 subsidiaries are directed from the Group’s headquarters. The whole group is divided into three segments, adidas, Reebok and TaylorMade-adidas Golf. There are approximately 25,000 employees working in the adidas offices and shops internationally. Its sale is up to € 9.5 billion and the share price is about EUR36.42.

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Year

History and Development

1920

Adolf Dassler produced the sports shoes.

1949

The registration of “Adidas AG” by Adolf Dassler

1970

Start sponsoring the FIFA World Cup

1989

Adolf Dassler passed away

1990

Brought by Bernard Tapie in €434.479 million

1993

Sold to Robert Louis-Dreyfus in €683.514 million

1995

Robert Louis-Dreyfus led adidas to be the listed company in Frankfurt and Paris Stock Exchange

1997

Acquired the Salomon Group and become Adidas-Salomon AG

1998

The 3 strips logo was established in NCAA

2004

“Impossible is Nothing” is the current mainstream strategic slogan

2005

Sold the Salomon Group to Amer Sports in €485 million

2006

Acquired Reebok by US$3.8 billion

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Due to the sales of US$2.1billion in 2005, Coty Inc. has become one of the world’s most successful beauty companies (fragrance companies). There are two brands under the Cody Inc., Coty Beauty and Lancaster Group, The difference between Coty Beauty and Lancaster Group is that the former one sells its products in mass distribution and the later one serves the prestige sector. For instance, Miss Sixty and Esprit Parfums are under Coty Beauty; Marc Jacobs Men’s Fragrance and Kenneth Cole Men’s Fragrance go for Lancaster Group. It is noted that Coty Beauty is the license holder of adidas and it takes part in adidas perfumery and personal care products.

So as to make Coty be a leader in the beauty industry, “Faster, Further, Freer” is their guiding principles. Following this value, the company creates an innovative atmosphere in developing ideas for fragrance, color cosmetics and skincare. Consequently, Coty has redefined the position of beauty market. One of the creative strategies is to sign up with celebrity and introduces the exclusive product in the market such as “Celine Deon Parfums” and “Instinct by David Beckham”.

Coty Inc. has two Research and Development centres in New Jersey and Monaco. They are responsible in creating high-quality, innovative, technologically-advanced

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products in order to align the “Faster, Further, Freer”. Moreover, Coty believes that innovation is one of the key drivers in beauty business so it pays much more concern in research and development. As a result, Coty’s introduction rate for new products is higher than its competitors in recent years.

Coty Inc. is founded in 1996 and is headquartered in New York City. The brands under Lancaster Group and Coty Beauty come from the acquisitions of Beecham UK in 1990 and Pfizer Inc. in 1992 respectively. Coty Inc. is now operating in over 25 countries and they have 6,500 employees worldwide.

Year

History and Development

1904

Francois Sporturno adopted Coty for his company and launched his first fragrance, La Rose Jacqueminot.

1922

Coty Inc. was established in New York City.

1981

Coty launched Stetson, which remained the number one mass-market men’s fragrance in US until 1995.

1988

Coty firstly achieved the number one position in the US mass market fragrance sector.

1992

Joh. A. Benckiser purchased Coty Inc.

1996

Two divisions, Coty Beauty and Lancaster Group are announced to serve the mass and prestige sectors respectively.

2001

Bernd Beetz became the CEO.

2002

Jennifer Lopez, Celine Dion signed up to produce new fragrance lines.

2003

Sales of US$1.7 billion are recorded. Lancaster Group acquires the fragrance licenses of Kenneth Cole and Mar...