Target market analysis example – Term Paper

Market characteristics of Old Spice

Demographic Characteristics of the Market. 

The Old Spice brand is targeting young generation (12-34 years old) who mainly live in urban areas, implying that they can be pre-teen and adult males, athletes and those with active lifestyle. These consumers cut across all ethnic backgrounds since the targeted market comprises of young men who can be either be in high school and college students as well as young professionals. However, the consumer base is not made up of males only but also women, though in smaller portions. It follows that the Old Spice’s customer base is also extended to the young females from different backgrounds. 

Psychographic characteristics of market

The Old Spice brand is mainly targeting the young generation of men who are keen on their looks and value high levels of hygiene. The products supplied under the Old Spice brand are meant to achieve men’s hygienic needs by providing various fragrances of antiperspirants, deodorants, body wash, and sprays. It also includes provision of after shave fragrances (Surhone, Tennoe, & Henssonow, 2011). Customers are allowed to buy these products in various packages and sizes. 

Market strategies and behaviors of a target market.

Behaviors of a target market.

Consumers affiliated to the Old Spice brand are low income earners. These consumers have the tendencies of purchasing the Old Spice products during different social occasions such as pantry stocking trips. As young people, the Old Spice customers are considered to be enthusiastic users of various social websites such as Facebook, Twitter, and Instagram (InfoScout, 2014). This has ultimately influenced the marketing strategies of the Old Spice brand. 

Strategies appealing to market

One of the appealing aspects of the Old Spice brands is that its antiperspirant provides a 24-hour wetness thus acting as a great agent of odor relief. Apart from antiperspirants, other products under the Old Spice product line also gives the consumers a chance to experience an extensive collection of fresh scents that are excellent when it comes to the removal of body odor. Old Spice brand is also targeting European markets, just like its close competitors such as Axe. Apparently, the European markets are deemed to be “Lifestyle brand” thus highlighting the opportunities that Old Spice brand has moved fast to exploit (InfoScout, 2014). Obesity has also been a health concern, not only in the United States but also in other parts of the world. Old Spice opted to avail products which are appealing to the young men who have embraced the importance of physical exercises, which in turn their fresh scents. 

Marketing mix example: Product, Place, Price, Promotion

Marketing Mix (4ps’s) for Old Spice. 

Product

 The Old Spice is identified with various products such as After Hours, Aqua Reef, Pure Sport, Show Time, and Swagger. As part of packaging and designing of these commodities, there is a logo which is a representation of the Old Spice’s label. The Old Spice product lien has also been differentiated through the use of different packaging designs. There is also an augmentation of the Old Spice which allows the customers to interact with various promotional campaigns adopted by Old Spice brands, in particular on the company’s website (Winston, Stevens, Sherwood, & Dunn, 2013).  Apparently, the Old Spice brand is perceived to be masculine since it depicts an individual who is well built with a great personality. This makes consumers utilize Old Spice products for body washing and cleaning since it leaves a pleasant smell. 

Place

Achieving an efficient manufacturing and supply of Old Spice products required the company to adopt a suitable marketing logistic network. For instance, Procter & Gamble Company owns many stores which sell Old Spice in health and beauty section. 

Price.

The price point is strategically decided to ensure it is on par with the competitors. The price for the most body washes has also been standardized. 

Promotion. 

The targeted market for the Old Spice brand is young, from diverse backgrounds and technologically savvy. This has prompted the company to utilize new media techniques as part of its extensive marketing approach. This involves the use of various social websites such as Facebook, Twitter, mobile apps and text to deliver its campaign messages, meant to win over the customers. There is also the use of television, especially during the sporting events which is significant in capturing the loyalty of the targeted market. 

An External marketing environment: Social, Legal and Political

Social Environment

    Old Spice operates in a social environment which is characterized by the ever-changing habits when it comes to consumer media consumption. Apparently, social websites have become important marketing platforms for different CPG manufacturers. As a way of coping with social changes in the market, Old Spice has been compelled to utilize social media platforms such as Facebook, Twitter, and Instagram to advertise and promote its products. 

Legal and Political Environment.

Food & Drug Administration has been a relevant body in the United States when it comes to the regulation of the deodorants and antiperspirants. Unlike antiperspirants which are categorized as drugs, deodorants are said to be cosmetics according to FDA since they do not alter the structure and functionality of the human body. This implies that the manufacturing of the Old Spice should adhere to the policies and regulations associated with drugs and cosmetics. 

An External marketing environment: Technological, Economic

Technological Environment.

The Old Spice is significant in depriving the body of sweat by reducing wetness and odor. The technology used is to enable Old Spice products to provide a strong odor defense. For instance, Triclosan, which is an antibacterial agent is always incorporated in the production procedure. Various advanced scents have also been used utilized to boost Old Spice products’ ability in acting as odor defender. 

Economic Environment.

The economy of United States is still recuperating from the effects of the economic doldrums of the Great Depression experienced globally in 2008. However, consumer expenditure has increased recently, which has been significant to the economic fortunes of Old Spice brand.  

An external marketing environment: Competitive, Global

Competitive Environment.

Old Spice is not the only brand in the grooming industry. This product line is experiencing fierce competition from key brands such as Nivea for Men, Adidas Active, Gillette, Axe, and Dove for Men. 

Global Environment

The brand is targeting global market which is endowed with numerous opportunities that can elevate the growth of the Old Spice. 

Promotional activities for Old Spice

Current Promotional Activities for Old Spice.

Creating brand awareness across its targeted market remains to be the short-term promotional goal of the Old Spice product line. This is aimed at ensuring the brand is accepted in a market which will be manifested in the increased volume of sales and improved market share. The popularity of product usually translates into the stability of the business in the economy (Winston, Stevens, Sherwood, & Dunn, 2013). The attraction of a larger consumer base is also another important short-term objective for the Old Spice. Achieving a significant number of customers will lead to an increased demand for the Old Spice products which is essential when it comes to improvement of the market share. Increasing the sales of Old Spice is therefore considered to be the long-term goal of the promotional activities adopted by Procter & Gamble Company. Promotional activities associated with the Old Spice have therefore been systematically designed to ensure there is an escalation of the sales which is important as far as profit maximization is concerned.

Apparently, Procter & Gamble Inc. uses various campaigns which target traditional marketplaces which are perceived to be likely regions for its targeted consumers. For instance, the company has the tendencies of setting up forums in schools or other famous market centers where company’s sales executives can interact with consumers directly. Procter & Gamble also carry out its campaigns at different night concerts, where it sponsors these events. Through such operations, free samples of the Old Spice are given to the enthusiastic audience to taste. Some campaigns aimed at creating awareness for the Old Spice are also performed in various schools, universities, and colleges. 

Old Spice product line has utilized various media such as television, cinema, newspaper, article marketing, magazines as channels through which the brand can air the commercials and adverts meant to enhance the popularity of the Old Spice to its targeted consumers. The targeted market for the Old Spice brand is young, from diverse backgrounds and technologically savvy. This has prompted the company to utilize new media techniques as part of its extensive marketing approach. This involves the use of various social websites such as Facebook, Twitter, mobile apps and text to deliver its campaign messages, meant to win over the customers. There is also the use of television, especially during the sporting events which is significant in capturing the loyalty of the targeted market. 

Own opinion about promotional activities for Old Spice

Are these promotional activities in line with the Marketing Strategy?

The promotional activities adopted by Old Spice brand are in line with its marketing strategy. The marketing techniques implemented focus on increasing the net income of the business, a creation of the awareness to both the primary and its secondary target market and increasing its market share. Apparently, the promotional activities utilized acted as a complement to the marketing strategy, when it comes to achieving the marketing objectives. 

What is it that your group would do differently if you were in charge of these brands’ promotional activities?

If my team was put in charge of the promotional activities for Old Spice brand, there will be an introduction to few techniques to supplement the already existing promotion mix. Most of the promotional activities implemented have been efficient in creating the awareness and increasing the volume of sales for the Old Spice. Maintaining existing consumer base as well as winning over the new ones remains to be a challenge for the Old Spice product line. 

While in charge, the group will target at improving video contents posted on various social sites, which are meant to advertise the Old Spice. Videos will be kept short and snappy Keeping the media content short and on point will ultimately woo more viewers (especially on Youtube) which will endear the brand’s campaigns with the targeted audience. There will also be redesigning of the content posted on different social media platforms. The advertising content will be tailored to ensure that it is easily shared. This will also encompass the efforts to make marketing content for the Old Spice to be searchable on various searching engines such as Google. This will involve more publication of Old Spice’s marketing content via online and off-line. The group will also focus on improving real-time response, that is, 24-hour replies on Twitter, Facebook and other queries on the company’s official website. 

An idea of company advertising

Idea

Sponsoring campaigns against child obesity and overweight in the society which in turn can be used as avenues to advertise and promote old spice products. 

How the plan will be executed.

Apparently, child obesity and overweight are increasingly becoming an issue in American society. As an advertising agent for the Old Spice product line, I will ensure that Procter & Gamble exploit the opportunities that lie in the campaigns aimed at eradicating child obesity and obesity. Part of the campaigns includes sensitizing young people (teenagers) on the need for vigorous physical exercises. These physical activities will prompt an individual to sweat. It is at this juncture that the Old Spice will be introduced since they are suitable in freshening up as well as being utilized as odor relief. Procter & Gamble Company will, therefore, be the active participant in campaigns aimed at encouraging young people to embrace physical activities. As a solution to sweating and feeling “smelly,” those exercising will be reminded of the need of using Old Spice products. 

References

CASTRO, A. (2016). The Men’s Grooming Industry Is Booming, Estimated to Bring in Over $21 Billion in 2016. Complex, 2-6.

InfoScout . (2014). Old Spice Consumer Insights. InfoScout, 1-6.

Steel, J. (2006). Perfect Pitch: The Art of Selling Ideas and Winning New Business. John Wiley ; Sons.

Surhone, L. M., Tennoe, M. T., ; Henssonow, S. F. (2011). The Old Spice Classics . Betascript Publishing.

Tungate, M. (2008). Branded Male: Marketing to Me. Kogan Page Publishers.

Winston, W., Stevens, R. E., Sherwood, P. K., ; Dunn, J. P. (2013). Market Analysis: Assessing Your Business Opportunities. Routledge.

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