Table of Contents
Terms of Reference.
UK Product Life Cycle.
UK BCG Matrix.
Peru Product Life Cycle and BCG matrix.
Pampers Positioning and Brand Analysis.
Brand Elements – Pampers.
Name – Pampers.
Logos and symbols.
Competitor Analysis (Huggies).
Product Life Cycle.
BCG Matrix for Huggies.
Place and Promotion.
Huggies Positioning and Brand Analysis.
Appendix- 2: Log.
Terms of Reference
This report is to conduct a brand audit on an international plan. The purpose of the paper is to present different dimensions of an international brand and evaluate its brand and marketing mix working in the present market environment. For that purpose, the writer will focus on different marketing strategies of the brand working market and find out some improvements which he will annex as recommendations to give a better edge in the market.
The brand audit will be actually focused on Pampers and its chief competitor Huggies. These two brands are one of the dominants in the diaper market across the world representing successfully two large multinational companies that are P&G and Kimberly-Klark(Mintel, 2016). However, the brand audit report wills assess their positions in the UK as well as Peru to get a broad picture of their performance. The brand audit report will be based on secondary data where the writer will use different models and tools like BCG matrix, product life cycle, SWOT, brand map, etc to illustrate how the brands are performing in the market. Different graphs and diagrams will be used as per requirements in presenting the secondary data.
For the purpose of the paper, the writer will examine the baby personal care market which is the market of diapers and training pants. The market segment is basically an aesthetic toddler personal health care product market that offers napkin, wipes known as diapers, and training pants manufactured by rayon top-shit and polyethylene, and the target customers consist of children but active buyers are the parents or simply adults. So, the person consuming the product in the market is not actually buying it that will be a distinctive consideration in the market(Euromonitor, 2016)
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Pampers is the top player in the diaper market all over the world. This is one of the successful brands of P&G contributing around 10% of its total revenue and the number for the company of P&G’s stature is pretty significant (Mintel, 2016). Pampers hold around 40% of the market share in the UK that is pretty astonishing given the fact that this market can no way be classified as monopolistic but yet one brand is surpassing almost all others except Huggies which will be discussed in the second half of the report. Pampers is the brand of diapers and children’s personal napkin products that was introduced by P&G back in 1961. The company has made an average of 10% growth over its sales revenue. On the other hand, the market share of Pampers in Peru-one of the rapidly growing developing country is around 25%. The reasons for such differences will be attempted construed in the report as well (P&G, 2016).
In the UK market Pampers has full domination with its staggering 40% market share. The market for diapers and baby personal care products in the UK is not very segregated. Pampers was the pioneer brand in the UK. However, different products under different brands in the UK have been plotted with their respective market share in the UK(Euromonitor, 2016). It suggests that Pamper’s sensitive care diaper got a market share of 10.4% where its other products are in one digit of market share. What is most noticeable in this figure is that Pampers has diversified products under the brand and the market share of 40% consists of small contributions
of the different products of Pampers brand but Avlonitis(1989) said that overextending product lines can be unprofitable. So, Pampers must spot the unprofitable products.
Source: (Euromonitor, 2016)
Figure 1: Market share in the UK of different diaper brands
Source: (Grether, 2014)
The market personal baby care or the diaper product is still emerging. It is one of the fastest-growing economies with handsome growth in GDP. In 2014 it attained a 6% growth of its GDP. On the other hand, the retail market in Peru rapidly growing contrary to that of the UK. The retail market has an average growth of 8% which is 3% in the UK(Ghosh and John, 2016). The market of diaper product in Peru is not very centralized and in fact, Pampers has been able to draw 25% of the market share but the positive side is that it has been making growth more than 10% annually in Peru and most customers are basically new entrants to the market meaning that they were not used to consumer baby diapers earlier(Euromonitor, 2016). The emerging middle class, favorable employment rate, etc are some of the issues that can be attributed to these scenarios. However, Low(2002) stated that to market in developing economies price pressure should be the first consideration. SO, Pampers cannot avoid price war easily……………..