Sun Care Range

Vichy Capital Soleil

Kairav Parikh Swathi Velisetty Atul Zade

65 107

114
93 58 79 100

Akshay Shiveshwarkar
Kiran Naik Ritesh Raushan Shilpa Surve Prashant Prakash

72
86

Prem Sequeria

Flow of Presentation
Sun Screens Need Gap Analysis Industry Competition STP Analysis 5Ps

SWOT
Budget

Sun Care

Sun Care Far more than a conventional beauty product industry

Sunscreens the world over

Europe & Australia
USA
not tested for photocarcinogenic agents tested for photocarcinogenic agents

Vichys Capital Soleil falls in the latter category meaning good news for its users

Aims at providing the user with artificial tanning

Aims at providing user with protection from UVA and UVB

Suntan

Sunscreen

UVB protection
wavelength 280-320 nm

UVA protection
wavelength 320-400 nm

sunburn causing

penetrates skin more deeply causing long term effects like skin aging

Organic compounds like oxybenzone which absorb UV light Opaque materials like titanium dioxide, zinc oxide which reflect light

Absorptive materials chemical block Opaque materials physical block

Cancer

Inhibited production of Vitamin D

Decrease in warning signals of sunburn

Allergic reactions

Penetrates into the skin

1938 was when the 1st sunscreen was created by Franz Greiter SPF concept is credited to him in 1962 SPF indicates time person can be exposed to sunlight before sunburn SPF is measured applying 2mg/cm2 of sunscreen

Skin type

Amount of sunscreen absorbed by skin

Amount applied

Activities one engages in

Frequency of reapplication

Educating consumers about sun-related health risks

Protecting all skin types with the best sun protection products

Need Gap Analysis

Skin Damage Tanning Wrinkles Skin Cancer Premature Aging effect Brown Spots

Tropical Nation

Sun Protection throughout the year

Population well spread

Expenditure on cosmetics rising Current Product Range not effective

Skin Care gaining importance

Different skin types

Emphasis on Mens Needs Sensitive skin

A family product

Sweat Resistant

Kids Range

Industry

In 2010 - $4.9 billion,

increase of 27.7% since 2005

In 2010 - 515.7 million units

increase of 16.7% since 2005

sun protection products

66.3% of the global market's value.

L'Oreal has a 12.6% share of the global market's value.

Supermarkets and hypermarkets distribute 37.8%of the market's value

Skin care industry

$ 200 Million

$ 30 Million Sun care industry 20% growth

$ 3 Million Prescription sunscreen market 14.30% growth

Indias per capita cosmetic & toiletries consumption

50 times less than Hong Kong 18 times less than Japan 15 times less than Taiwan 12 times less than Philippines & Malaysia Half of China

Indias cosmetic & toiletries industry expected to grow from USD 950 mil to USD 1400 mil in 2-3 years

Column1

Low Cost Branded

Industry growth has been 15-20% in last few years

few major players high entry barriers

fairly high rate of new product launches

high advertisement spending Cost of importing products high

Competition

 Pharmacy Retail Direct Salon

SPF 15 SPF 30 SPF 50

By Channel

By Protection

By Base
Cream Spray Gel Wipes

By Contents
Different chemical compositions

Lakme

HUL

Garnier

Himalaya

Lotus

Clinique

Ayur

Shahnaz

Ranbaxy

Stiefel

Dr. Reddy

Glenmark

Microlabs

S.T.P. Analysis

Demographic
Income Age Gender

Skin type

Geographic
Urban v/s Rural Regional

Psychographic
Skin Care Conscious

Looks Conscious

Behavioural
Occasions Texture preference Brand loyalty

Targeting the urban affluent family

A product skin types range to suit sun exposures preferences different

Health is vital. Start with your Skin

A product for everyone, because everyone is unique

Market Survey

Respondents

60, 60%

Male Female

Men

Nivea Fair & Lovely Fair & Handsome

Woman
Nivea, 12 Ayur, 3 Shahnaz, 10

Garnier, 23

Fair & Lovely, 22

Shahnaz Fair & Lovely Lakme Garnier

Lakme, 30

Nivea Ayur

Others, 6 Tanning, 14

Sun Protection
Sun Protection, 80 Tanning Others

Kids, 3 Siblings, 14 Parents, 33 Kids Parents Spouse, 50 Spouse Siblings

Response

No, 45 Yes, 55 Yes No

Response

Yes, 6 Yes No Dont Know, 65 Dont Know

No, 29

>300 200-300 100-200 <100 100-200 200-300 >300 <100

TYPES

FREQUENCY

EXPERIENCE

CURRENT SATISFACTION

Non greasy

Expensive No need

Female
Daily More protection Sweat/ Water resistant No skin reactions Occasional Young Moneys worth NonCarcinogenic

Oily Not for sensitive skin

Not for kids No fragrance

Affluent

Small size preferred Urban and affluent area sales are more Penetration low in males

Sale in retail segment more

Medicated products sale low Combo pack sales high

Lower SPF sales more

Sunscreens in demand

Spray market new

Product

Sun Protection

Sun Care Market

After Sun Self Tan

Unisex Product Care for areas subject to excess sun exposure Prevention from sunburns and brown spots Brown Spot Prevention Complex Photo-stable Preservative free Tested under dermatological control

Childrens Line Capital Soleil Enfants Protection against multiple risks of sun exposure High Resistance Tested under pediatric control Gentle and fruity scent

After Sun Products Soothing Milk, Calming Reparative Gel, Nourishing Soothing Spray Soothes and re hydrates skin Promotes repair of sun caused damage

Tanning Products Self Tan Gel Cream Self Tan Body Milk Express Self Tan Spray Alternative tanning experience to UV exposure No damage to the skin

Protected and Safe Special products formulated for children Relaxed Confident to walk in the Sun Feel Good factor for using a branded product Gives an even complexion Makes you look young

Gives a young and radiant look

EUROPEAN STANDARDS 2006 Qualified

Exclusive association with Mexoryl XL

Protection Factors:
High Coverage Technology through Mexoryl XL Sun Filtering System + UVA UVB ULTRA filtration

Special Focus on most vulnerable areas

Face Neck Shoulders Hands

Special Childrens Care Products

Not women-centric - aimed at the entire family

Skin Type Diagnosis:

Specific Variant Usage according to Skin Type

VICHY Clinics:
Consulting Education about Skin Care

Packaging

Simple sophisticated package

Easy to use and store

Complete information and educational

Creams Gels Sprays Ointments Lotions Wax Sticks Roll on

Wipes

Pricing

Should be targeting middle class population

Maintain global high quality image Competitive with respect to premium brands

Maximize current profit

Fair price

Competitor price
Usual discounted price Quality as in indicator Scarcity to signify price (not in this case)

Perceived value pricing

Psychological pricing

Promotional pricing

Lakme Sun Expert Sunscreen Lotion

For All Skin types 120ml, Rs. 140 and 60ml, Rs. 75

Lakme Sun Expert Sun Block

For Sensitive Skin 50g, Rs. 99

Lakme Sun Expert Sunscreen Souffl

For Oily Skin 48g, Rs. 90

Lakme Skin Brightening Gel

After sun use 48g, Rs. 99

Cool Melon Sun Screen Lotion

SPF10 120 ml $11.95

Breezy Berry Sun Block Cream

SPF 20 120 ml $14.95

Indian Summer Sun Block Cream

SPF30 120ml $14.95

Daily Sun Block

SPF 40 120ml $17.95

Intensive Sun Block Spray

SPF 50 80ml $14.95

Daily Sun Block

SPF 60 60 ml $17.95

Sunscreen lotion
SPF -15 (50ml,100ml, 200ml)

Sunscreen lotion
SPF -30 (50ml,100ml, 200ml)

Water resistant sunscreen

SPF 20 (20ml, 50ml, 100ml)

Invisible sun screen for men

SPF 30 (50ml, 100ml)

After sun burn gel

Multivitamin complex (50ml, 100ml)

Daily face protect

SPF 15 SPF 40

Uvrespons e for body

Uvrespons e for face

Sun care body gel

Lip/ eye sun block

Body sun block

SPF 30 SPF 50

SPF 30 SPF 50

SPF 15

SPF 30

SPF 25

After sun rescue balm

Body spray

SPF 15 SPF 30

Fair & Lovely Active Sun Block Lotion

SPF 25 TPI 70

Himalaya-

Protective Sunscreen Lotion

SPF 15 100ml, 3.85 pounds

SPF Content
Creams and Lotions 15

Volume
40 ml 60 ml

Price
99 149 149 199

20

40 ml 120 ml

30

40 ml
60 ml

199
299 199 349 399 599

40

40 ml 60 ml 80 ml

60

40 ml

SPF
Gels Sprays Ointments Wax Stick Roll On Wipes 30 30 30 30 30 50

Volume
30 ml 120 ml 120 ml NA NA 10 nos

Price
399 449 349 199 249 399

Place

Launch time frame

YEAR 1 PHASE 1

YEAR 2

PHASE 2
Products in pharmacy and retails

Products in salons and malls

92

TEAM PURE

Manufacturing unit
Wholesalers Malls

Company sales persons

Customers

94

TEAM PURE

Distribution (Salons)
Manufacturing Unit
Wholesaler Direct sales team

Salons
Customers

96

TEAM PURE

MANUFACTURING UNIT

WHOLESELLER
RETAILER

CUSTOMER

INTERNET BOOM
TEAM PURE

98

E-Retail Integration
Home delivery retailers to be roped in

Location wise retailer contact information to be displayed on companys web site

For the Company: Increased Customer access to the product For the Retailer: Increased Visibility & Customer access

Promotion

Television Newspapers Magazines Out of Home Internet Experimental

AXN HBO Star Plus Star Movies Star World Zoom MTV

Channel V
NDTV Goodtimes

MTV: Rs 2250 (Primetime 30 sec) Channel V: Rs 2100 AXN: Rs 3600 HBO: Rs 9000 HBO blockbusters: Rs 15,000 Zoom: Rs 15,000

Early morning 6 to 9 am

Day time 9.00 to 3.30 pm Working woman

Early fringe 3.30 to 5.30 pm Elite housewife, teenager Early news 5.30 to 7 pm

Prime access 7 to 8 pm working, elite housewife, and teenager

Late news
11 to 11.30 pm Working woman, elite housewife, and teenager Late fringe 11.30 to 1 am Both working, elite housewife, and teenager Late night 1.00 to 6 am teenager

Beach diaries with VJ Pia Webcam Goddess Goddess workouts MTV Roadies MTV Style check Maximum style diva Just Pooja

Times of India Indian Express Asian Age Mid-day Mumbai Mirror Rate: Rs.1200 to 1700 per square cm

Femina Womens Era

StarDust
CineBlitz Cosmoplitan Verve Rs 550 to 750 per sq cm

Weblogs Podcasts Banners Websites Pop-ups Messengers

Vichy centre locater

Live chat with skin experts

Ready reckoner Skin profiler Sun FAQs

 Largest OOH vehicle (14 x 48 and larger)

Largest poster form (12 x 25) and most widely available size

Smaller than 30sheets, located mainly on secondary arterials and in urban neighborhoods

Bulletin

30-Sheet Posters

8-Sheet Poster

Skin diagnosis booths Skin analysis

Detailed report
Suggestions for Vichy products Promotional material Quizzes Free samples as gifts

Vichy mobile vans (consumer education) Kiosks at airports and gyms Vichy kiosks inside spas and health clubs

Perfect sun cover for perfect skin

Use Capital Soliel

Remain sun protected where ever you go!

Capital Soleil for kids

Stop the sunnot the fun

Capital Soleil for the entire body

Protection for every part of you that faces the sun

SWOT

LOreal Brand:
Worlds largest beauty product company Gives personalized advice and premium service Strong R&D facility Cosmetological and dermatological

Universality- for all skin types

Water Resistant and oil free Seen as dermocosmetic rather than cosmetic

PABA free
Para-amino benzoic acid found in vitamin B complex that absorbs UV rays of the sun

Anti aging and overall skin care

Resistant to repeated bathing and sand

Range of products available in lotions and sprays

First to incorporate concept of Mexoryl XL which is photostable UVA absorbers

These dont degrade in sunlight Photo stability specially important for a product developed as sunscreen moisturizer Mexoryl maintains its sun filtering capacity even after 24 hours

Adheres to strict pharmaceutical and industrial standards

There is something for all

Established players like Garnier & Lakme Resistance to cosmetic product usage for men and children Lack of knowledge especially regarding after sun products Underrepresented in some growth markets Lack of advertising, collaboration and use of brand ambassadors like other brands

Stagnant top line growth i.e. sales

Competition Overdependence on some markets

Indian Pharmacies not seen as retail shopping points have little display space
Vichy being distributed through 30 pharmacies in India

Absence of national pharmacy chain or big brand which matches Vichys premium positioning

India:
Tropical climate Large population

Penetration:
Semi-urban and rural Males and kids market

Economy and cultural polishing:

Booming economy, increasing income The concept of Metro sexual Man who wants to look good

Competitors:
Currently in stores like Nivea, Lakme Own stores: Body shop, Shehnaaz Hussain Competition from private labels on rise as they can better cater to local demands

Fear of allergy and reactions especially Melanoma Grey market cosmetics from Dubai and Singapore

Mature and concentrated market

Increasing packaging costs

Marketing Budget

Magazines Tourism and Woman oriented

NewspapersNewspapers read by SEC A urban

Television- Prime time and Afternoon slot

Radio- Health and Women talk shows

Outdoor Promotion like hoardings and posters

Salesman Expenses- Commission on sales to salesmen and retailers, Salaries, etc

Free Samples

Promotional expenses like quizzes and contests in malls, coupons, etc

The product will be in maximum demand in the months of March end to June and then October to mid November.

Therefore advertising and sales promotion should be at its peak in the months of March to May and then September and October. The monsoon and winter months will also see sales but at a lower level so advertising will still be required.

Product mainly targeted at urban women of SEC A and B in India

Size of the market may be Rs 55-60 crores

In addition men and children form part of the target group

Assuming 20% share we have sales of around Rs 11 crores

Mode Television Radio Magazine Print Outdoors TOTAL

Apr-Jun 7200000 2450000 5600000 2450000 4500000 22200000

Jul-Sep 3200000 550000 1000000 550000 700000 6000000

Oct-Dec 3700000 800000 1800000 800000 800000 7900000

Jan-Mar 3400000 800000 1600000 800000 1500000 8100000

TOTAL 17500000 5000000 10000000 5000000 7500000 45000000

Mode

Apr-Jun

Jul-Sep

Oct-Dec

Jan-Mar

TOTAL

Commission

2845000

2040000

2000000

1615000

8500000

Free Samples Promotion Expense TOTAL

2650000

750000

600000

1000000

5000000

1325000

375000

300000

500000

2500000

6820000

3165000

2900000

3115000

16000000

Item

Apr-Jun
38030000

Jul-Sep
27240000

Oct-Dec
26680000

Jan-Mar
21550000

TOTAL
113500000

Sales

Production Cost Advertising

12562500

9000000

8812500

7125000

37500000

22200000

6000000

7900000

8100000

44200000

Selling and
Distribution

6820000

3165000

2900000

3115000

16000000

Profit

(3552500)

9075000

7067500

3210000

15800000

Thank You