RATIONALE AND SCOPE by liaoqinmei

VIEWS: 15 PAGES: 27

									                      STUDY OF AN ALTERNATE DISTRIBUTION
                       NETWORK VIA THE BEAUTY PARLOURS


                     UNDERSTANDING THE DISTRIBUTION NETWORK AND THE
                           PERCEPTION OF THE DECISION MAKERS




RATIONALE OF THE PROJECT


The traditional distribution chains are slowly getting saturated .Increasing competition has
forced the companies to look for newer distribution and alternate channels.


Beauty parlour is a new and innovative way of reaching the consumers. Infect many companies
have already started cashing on this new and increasingly growing outlet. The penetration of
these Parlours make them a potential untapped retail outlet for the companies.


With Dabur coming out with new products in the personal care segment,the beauty parlour
route is an exciting opputrtunity for the company.This is a field where there is a need to
understand the buyer and his or her behaviors regarding the purchase decisions.


The projects aims to understand the channel as a potential means of distribution.Various
attitude and disposition of the owner of the beauty parlour was studied.The various Key
Success Factors in order to tap this market have been discovered.




                                                                                               1
SCOPE OF THE PROJECT

The major areas covered in the project was north,south,east and west Delhi.The major beauty
salons in these areas were covered and data was collected through detail questionnaire.




     RESEARCH DESIGN



     RESEARCH OBJECTIVES
     The main objective of the project was to explore the beauty parlour as a new route for
     distribution. Finding out the major factors which are considered important for the owner
     of a beauty par lour to stock a particular product and the various ways in which the
     present companies motivate the channel partners ,was another important area of the
     study.


     The major objectives of the study can be categorized as :


            To find out the major brands which are present in skin care and hair care segment.

            To find out the the sourcing and supply network of the beauty parlours.


            To find out the various parameters which are considered important by the owners
             of the beauty parlour for stocking a particular brand.

            To find the perception of different brands in hair care and skin care segment by
             the owners of beauty parlours.




                                                                                                2
METHODOLOGY FOLLOWED

Exploratory research was undertaken to gain insight into the consumer behaviour.
Questionnaires were administered to the owners/managers of the beauty parlours.


The study was done in two phases:



Pilot test


    After the first draft of the questionnaire, a pilot study of 10 beauty parlours were done
    in and round Ghaziabad.. After the study, some modifications were done to improve
    the relevance of the questions and their administration.



Final study


    After the pilot study, a full-fledged study was conducted across Delhi region
    consisting 200 beauty parlours.




SAMPLING DESIGN


Sampling elements


Owners or the mangers of the beauty parlour or clinic were the primary sampling element
for the study.




Sample Size: 200




                                                                                            3
 Data collection Procedures

 Appropriate questionnaire was administered to the Beauty Parlour owners/managers,in
 their parlours during the visit.At times right addresses of the beauty parlours were
 confirmed through telephone and right parlours were identified.




 Data Analysis

 The data was analyses statistically using Excel and SPSS.The statistical tool employed
 were Factor and Discriminant Analysis, Pie charts and other Descriptive methods of data
 representation.


 The analysis has been divide into two separate classes:




 PART A: Understanding the detailed market share and available and preferred SKUs.
   Also detailed distribution network of different brands, their suppliers and discount
   related information is provided in this part.




 PART B: Understanding the popular perception of the Owners/Managers of Parlours
   regarding different brands and drawing a perceptual map is the focus of this part of the
   analysis.




                                                                                              4
ANALYSIS: PART A



MARKET SHARE OF THE HAIR CARE PRODUCTS

   A. MAKRET SHARE OF HAIR OIL


                       MARKET SHARE OF HAIR OILS


                             VATIKA                               FIGARO
            BERTOLLI                       FIGARO
                               7%                                 PARACHUTE
              5%                             16%
                                                                  DABUR AMLA

                                                PARACHUTE         AROMA
         OTHER
          21%                                      17%            SHAHNAZ
                                                                  BIOTIQUE
                                               DABUR AMLA         LOCAL
          LOCAL                                    6%             OTHER
           6%                                                     BERTOLLI
              BIOTIQUE                     AROMA
                            SHAHNAZ                               VATIKA
                 5%                         12%
                              5%


With nutrition and health still being the main concerns of the Indian women to choose
their oil , coconut remains a leader in beauty salons with its attributes making Parachute
the clear fore runner. We also see a trend of high olive oil usage in parlors and growing
conmuser base for Figaro. With the Aroma Therapy gaining pace, salon owners find
numerous takers for aroma oils due to their anti stress, relaxing etc features. The more
natural/ herbal and non-chemical society of users rather prefer the locally procured oils
by salons or Amla oil like Dabur Amla and Vatika. Biotique and Shahnaz haven’t been
very popular in oils with their dedicated shops and parlors mainly propagating use of the
same.




                                                                                             5
MARKET SHARE OF SHAMPOOS


                             MARKET SHARE OF SHAMPOOS
                         Vatika
        Others                                 Loreal
                          4%
         18%                                    17%                         Loreal
                                                                            Vella
Local/Herbal                                                   Vella
 /self made
                                                                            Schwarzkopf
                                                                9%
     8%                                                                     Shahnaz
                                                                            Sunsilk
                                                              Schwarzkopf
                                                                  8%        Pantene
 Biotique                                                                   Biotique
   8%                                               Shahnaz
               Pantene
                                     Sunsilk                                Local/Herbal/self made
                                      11%             6%
                11%                                                         Others
                                                                            Vatika




Loreal is the undoubted leader in the shampoo segment. It started being a necessity
for hair dyed with Loreal dyes to make the color long lasting but now is available for
normal hair (uncolored) and is largely used by parlors. Consumers also seem to be
very comfortable with the brand and do not ask for any other brand inspite of using
some other shampoo regularly. Pantene and Sunsilk with numerous sachets and
giveaways are trying to carve out a share for themselves. But a more significant leap
is shown by the never heard of or new premium brands like Schwarzkopf and Wella
which are projecting themselves as a specialized range only for colors and shampoos.
Then there are the locals and herbals but they don’t rule the segment but the more
conscious consumers tend to use them.




                                                                                       6
   B. MARKET SHARE OF SKIN CARE PRODUCTS


                 MARKET SHARE OF FACE CREAMS/PACKS

                     OTHERS
                       13%       GLD/SLVR                        SHAHNAZ
                                    4%
                  LOCAL                                          BIOTIQUE
     HERBAL
                    6%                                           AROMA
       4%                                 SHAHNAZ
                                            28%                  NATURENCE
                                                                 CHASMARA

      CHASMARA                                                   LOTUS
         3%                       AROMA       BIOTIQUE           HERBAL
                                    9%          15%              LOCAL
         LOTUS            NATURENCE                              OTHERS
           0%                18%                                 GLD/SLVR




Shahnaz is a clear leader with 28% of the market share with no close followers. The
economy packs specially made for parlors and the highly spread distributorship are the
few of the many advantages that make it a leader. After this the distant followers are
Naturence and Biotique gaining share and Aroma Therapy also picking up. The premium
ones like Chasmara though have few takers because of the range being highly expensive
for the top notch consumers. Ofcourse the customers largely appreciate the use of locally
made natural and herbal products and feel safe with out any use of chemicals over any
branded products without any guarantee.




                                                                                        7
DISTRIBUTION OF SKU SIZES STOCKED OF VARIOUS CATEGORIES:


Distribution Of Sku Sizes Stocked Of Hair Care Products

A. SKU STOCKS OF SHAMPOOS



                  SIZE OF SHAMPOOS STOCKED




                   Sachets               above 1 litre
         100 ml      8%                     13%                    above 1 litre
          11%
                                                                   I litre
                                                         I litre
                                                         21%
                                                                   500 ml
                                                                   250 ml
    250 ml
     18%                                                           100 ml
                                                                   Sachets

                                500 ml
                                 29%




The stocking behavior of the parlors is influenced mainly due to :
      Turnout
      Demand of a particular brand
The parlors stock premium shampoos for the high end customers and the popular range
for the middle and low end customers. The parlors who have mostly customers visiting
from the upper strata of the society are mainly stocking bigger packs of the shampoo
demanded and keep small retail packs of the not so commonly wanted shampoo. On the


                                                                                       8
other hand, the ones who serve customers who are price sensitive stock larger packs of
the popular range shampoo and do not keep very high priced ones, if at all they stock so
they are the retail to medium economy packs.
Hence, we see mostly parlors stock the medium eco packs of 500ml. They also stock 1
liter packs according to consumption and 250ml packs. The retail packs are maintained
for stocking variety and also the less asked for brands. Sachets are also found in quantity
in a few parlors due to promotions by companies and stocking very readily available
shampoo asked for by some customers.

   A. SKU STOCKS OF HAIR OILS


                                   OILS SIZE STOCKED




                     Retail pack           5 Litres\ tin
                        17%                     8%
                                                             1 litre   5 Litres\ tin
                                                             16%       1 litre
                                                                       500 ml
                                                                       150-200 ml
        150-200 ml
           24%                                                         Retail pack
                                                    500 ml
                                                     35%




   In the oil category we see, largely the half liter packs and the 200ml packs being
   consumed due to oiling not being a very frequent function in the parlors. But as there
   are minimal chances of oil spoiling, they tend to stock the 5 liter tins also to make the
   purchase most economical. The retail packs are mostly for olive and coconut oils like
   Figaro and Parachute. Vatika also finds place in the retail buy.


Distribution Of Sku Sizes Stocked Of Skin Care Products

SKU STOCKS OF FACE CREAMS\FACE PACKS




                                                                                              9
            SKU Sizes Stocked of FACE PACK\CREAMS




                 trial packs kits   1 kg                         1 kg
                      3%     3%     12%
       50\100 gms                                                500 gms
          29%                                                    200 gms
                                            500 gms              50\100 gms
                                              31%
                                                                 trial packs
                      200 gms
                        22%                                      kits




The face creams and packs hardly see many takers of very large packs as they get
oxidized and spoil eventually. Mostly preferred size is the 500 grms and 200 grms. These
are also bought just to make the purchase economical and further filled in smaller bottles
for use and prevent spoilage. The retail packs are used for variety and the less frequently
used brands and also due to the constraint that many brands like Biotique do not have a
parlor range and economy pack to offer.


DISTRIBUTION OF THE IDEAL SKU SIZES WANTED FOR VARIOUS
CATEGORIES:


Distribution Of ideal Sku Sizes Stocked Of Hair Care Products

A. IDEAL SKU STOCKS OF SHAMPOOS




                                                                                         10
                          IDEAL SIZE OF SHAMPOOS



                                   Sachets
                 250 ml   100 ml                above 1 litre
                                     2%                                  above 1 litre
                  9%       3%                      19%
                                                                         I litre
                                                                         500 ml
                                                                         250 ml
       500 ml                                                            100 ml
        26%
                                                                         Sachets
                                                 I litre
                                                 41%




Ideally, the beauty salon owners would want to stock 1liter packs due to they being the
most economical yet manageable for consumption. But the turnout for shampoo
application and also preferring the same brand doesn’t justify the large stocks, making
them unable to do so. Again then an obvious choice for them are the half liter packs. The
high consumption parlors also showed an inclination to use above 1 liter packs.




B. IDEAL SKU STOCKS OF HAIR OILS




                                                                                         11
                              IDEAL SIZES IN OIL


                                   Retail pack
                                      3%              5 Litres\ tin
                   150-200 ml
                                                         37%
                      1%
      500 ml                                                          5 Litres\ tin
       27%
                                                                      1 litre
                                                                      500 ml
                                                                      150-200 ml
                                                                      Retail pack
                         1 litre
                         32%




If available in the market or with the distributors, the salons would like to buy 5 liter tins
of a particular oil with maximum economy and no trouble of spoiling. They would rather
avoid retail packs as they are costly buys.

Distribution Of ideal Sku Sizes Stocked Of Skin Care Products

IDEAL SKU STOCKS OF FACE CREAM\PACKS


                   IDEAL SKU SIZE FOR FACE
                         CREAM\PACK

                                     1 kg
                kits                                         1 kg
                                     7%
                25%
                                                             500 gms
     trial packs                                             200 gms
          0%                                500 gms
                                              39%            50\100 gms
           50\100 gms                                        trial packs
                                   200 gms
              21%                    8%                      kits



The trend they showed was one to buy 500 gms of creams and pack and refill into small
packs to make it economical. But due to spoilage they would prefer buying the smaller
packs. Another very important observation came out that they largely like the kit concept


                                                                                            12
i.e. they would prefer buying kits with one scrubber, pack , cream , astringent rather than
loose packs as they are more economical and a complete 4-step facial kit.




SOURCE OF SUPPLY :



   All the brands of shampoos, oil and face packs\creams stocked by the salons are
   sourced from the various company channels of distribution to ease delivery to them.
   Over time they become important sources of brand loyalty as they now maintain long
   relations with the agents\distributors etc who try to be as prompt as possible to cater
   to their consumer’s needs.

The various different ways Brands reach the salons are :

       Distributors
       Wholesalers\ Agents
       Retail market
       Company Sales Executive\ Sales Girls and Demonstrators


As mentioned above the company either has their own people like distributors and sales
personnel to cater to their customers directly or by the wholesale and retail market
offerings.

Lets take up a Brand Specific Analysis to see the channels of distribution to cater salons.




Brand specific distribution analysis




                                                                                         13
   1. Nature

The brand actually has four sub brands under it which boast of herbal and sea extracts.

Brands : Magic, Nature Essence, Persona, Sea Magic

COD : Distributor

Products : Face Cream\ Face Packs

Discounts: 20% on MRP

Dealer Identified : Mrs. Geeta Sethi, Karol Bagh. PH: 26117987

Comments: The factory of Nature is in Faridabad and houses the 4 brands under its brand
name. Now has very high penetration in the beauty salon segment and serves salons with
pack special economy packs. Perceived as a reasonably charged good product range. In
the four brands the most premium is Magic and Nature Essence and the popular range in
Persona and Sea Magic.

2. LOREAL

Brands : Loreal Professional

COD : Distributor, Loreal boy

Products : Shampoos, Hair color

Discounts: nothing fixed, mostly promotions like free products on purchase

Dealer Identified : Mr. Deepak Arora, Laxmi Agencies, Karol Bagh. PH: 9810815752

Comments: Most promotions done are by Loreal and its become the most commonly
found brand in all classes of salons.


Loreal Associations :
   1. Collaboration :
   Mostly opened in commercial areas. The brand shares a lot of cost of construction
   and design. But the salon is not liable is only keep Loreal products but can keep
   others too. The parlor should not have any other collaboration salon atleast in 10 kms
   of distance.

   2. Club Salon :




                                                                                          14
   These salons only keep Loreal products and do not keep any other brands. They are
   for the premium clients only. An annual sale of 2 lac is expected to be driven by the
   same. Other schemes and benefits are given to the customers who go to these club
   salon.

   3. Normal association :
   Here the incentive is largely based on points. Purchase of Rs.100 worth product
   fetches them one point and on gaining some significant cumulative points they are
   liable for courses and training etc.

   4. SHAHNAZ

Brands : Shahnaz

COD : Distributor, Wholesaler, Retailers

Products : Face Cream\ Face Packs, Oils and Shampoos

Discounts: 22-23% on MRP

Dealer Identified : Mr. Deepak Arora, Laxmi Agencies, Karol Bagh. PH: 9810815752

Comments : special parlor packs with large economy sizes make Shahnaz a choice for
almost all parlors.

5. NATURENCE

Brands : Naturence

COD : Distributor, Wholesaler, Retailers

Products : Face Cream\ Face Packs

Discounts: 25% on MRP

Dealer Identified : Mr. Ajay, S.K. Agencies, PH: 9810017242

Comments : offers parlor packs mostly and the products are reasonable and the overall
brand image is good if not excellent. Most B class parlors and a few A class parlors also
stock this brand.




6. AROMA THERAPY



                                                                                        15
Brands : Aroma Therapy

COD : Distributor, Wholesaler, Retailers

Products : Face Cream\ Face Packs, Oils and Shampoos

Discounts: 25% on MRP

Dealer Identified : Ajay, S.K. Agencies, PH: 9810017242

Comments : run by Mrs. Blossom Kocher, the brand is uniquely positioned on Aroma
which has become a craze among customers.

7. BIOTIQUE

Brands : Biotique

COD : Distributor, Wholesaler, Retailers, Company Sales person

Products : Face Cream\ Face Packs, Oils and Shampoos

Discounts: 20% on MRP

Dealer Identified : Ajay, S.K. Agencies, PH: 9810017242

Comments : very expensive brand and suitably charged to the customer. Kept mostly by
high end parlors and are not available in parlor packs thus the small packs of 50 gms are
not at all economical for the salons.

8. WELLA

Brands : Wella

COD : Distributor, Wholesaler, Retailers, Sales executive

Products Shampoos

Discounts: 5% on MRP

Dealer Identified : Ajay, S.K. Agencies, PH: 9810017242

Comments : very highly perceived brand for shampoos and the salons are satisfied but do
find the product costly.

9. PANTENE



                                                                                        16
Brands : Pantene

COD : Wholesaler, Retailers

Products : Shampoos

Discounts: variable discounts on MRP

Dealer Identified : none

Comments : P and G is largely promoting their shampoo brand through distribution of
sachets in large quantities for parlors to try. Also the large parlor packs are made
available.

10. SUNSILK

Brands : Sunsilk

COD : Wholesaler, Retailers

Products : Shampoos

Discounts: variable discounts on MRP

Dealer Identified : none

Comments : HLL is also largely promoting the brand through sachets.

11. AVON

Brands : Avon

COD : Distributor, Retailers

Products : Face Cream\ Face Packs, Shampoos

Discounts: variable discounts on MRP

Dealer Identified : none

Comments : direct marketing by the ladies but now also available in shops. Parlors prefer
the brand and use its products not finding it expensive at the same time.

BRAND SPECIFIC ACTIVITIES


                                                                                       17
•Training and Workshops
Aroma Therapy : Facials
Naturence : Facials
Nature Essence : Facials
Loreal : Hair coloring and Styling
Biotique : Advanced skin and hair skin
Wella : Hair coloring and Styling
Pantene : Hair Cutting
Shahnaz : Skin treatment and facial training

•INCENTIVES, BROCHURES AND SAMPLES
Sunsilk : Free sachets
Pantene : Free sachets
Loreal : Schemes of giving developers, hair brush kits free with shampoo purchase.
  Client and Staff incentive, mailers
Biotique : brochures
Lotus : free samples by lotus girls
Egora, Wella
Launch of a new product literature through mailers and sales executives.

•DEMONTRATIONS
Loreal : Demo of new hair color
Aroma Therapy : Massage
Demonstrations done for every new product or technique introduced.




ANALYSIS: PART B

                                                                                      18
The objective of this section was to understand the psyche of the owners/managers of the
parlours who decide on stocking different brands. The perception of different brands is an
important knowledge we should have and a perceptual map was derived for the same.



PRINCIPLE COMPONENT ANALYSIS

The questionnaire designed for the market study, deals with all the intricacies that a
parlor owner may look into while selecting or rather preferring a brand over another.
The factors may be as general to as complex , which may in turn be correlated with other
factors, to form an opinion about the brand as a whole.

We have put forward, a set of 21 factors , which may , in different magnitude, influence
one’s decision about a product. The customers have been asked to rate the factor on a
scale of 1 to 7 ( 1= completely disagree to 7=completely agree).

The questions asked were as follows:




                                                                                       19
        1 The company should give high margins to the beauty parlour owners.

        2 The delivery period of the product is very important consideration for deciding the supplier.

        3 There should be regular schemes for the beauty parlours.

        4 It is very important to have products which have very good texture and is smooth on the skin.

        5 The delivery agent should have a whole range of products and different companies.

        6 It is advisable for beauty parlours to use small packs as they are easy to use and do not get spoilt.

        7 It is important to give free samples of new products.

        8 There should be quantity discounts on purchasing large volumes.

        9 It is important to have products which are more natural and have less chemicals.

       10 It is very important to have a delivery person who is easily contactable.

       11 Big packs are more economical.

       12 It is absolutely essential to have good aroma in the products.

       13 I expect to get regular brochures and details regarding the products.

       14 I would definitely like to attend seminars by these companies.

       15 It is important to have a air tight packaging.

       16 It is also importanat to have attractive packaging

       17 I tend to buy those products whose posters or pops are displayed.

       18 I get attracted to the brands which are advertised more.

       19 I always stock the brand of which customers ask regularly.

       20 Customer perceptions of the brand is very important to me.

       21 Customers too get attracted by the ads and ask about the same brands.


These 21 factors were put forward to the beauty parlor owners and their response taken.
Though the response may vary to any degree in different factor, drawing any conclusion
out of these would be difficult. More so, many of the factors are interrelated .

We need to reduce them to a newer smaller set of uncorrelated variables. This is done by
the ‘principle component analysis’. This analysis helps us, to reduce the factors in few
principle components which are not correlated with each other.

About 7 uncorrelated factors emerged out of the analysis. These , factors are independent
of each other.
Now the second phase of the questionnaire involved , putting these factors to be rated by
the parlour owners, on a scale of 1 to 7. The rating were given for the different brands
that were used in the parlours. The questions are :



                                                                                                      20
 DISCRIMINANT ANALYSIS


 Now, after the ratings have been obtained, we go in for discriminant analysis.
 The discriminant analysis helps us , to find out the most important factor among the
 seven , which would be responsible for preference of one brand to another.

 The brands considered were:-

1) For hair care :

 A) Shampoos

 Vella
 Loreal
 Swachkworf
 Figaro
 Parachute
 Vatika
 Biotique
 Shahnaz
 Others


 Under the category of shampoos, primarily three factors emerged as the discriminating
 factors. They are : promotions, advertisement and quality in order of their importance.

 Taking the coordinates from the SPSS output, we plot the perceptual map. In a perceptual
 map we show the relative position of the brands in a two dimensional map, with each of
 the three factors as one dimension. Effectively, we show three perceptual map, as we
 have three factors. This in a whole gives a three dimensional image of the brands for the
 three factors as three dimensions.




                                                                                           21
                                    promotion VS advertising

                                           advertising
                                                   1.5
     vatika                                                                            Loreal

                                                     1

                                                                                   Swachkworf
                                                   0.5
                                                             shahnaz
                                                                                           promotion
                                                     0
-6             -4                   -2                   0 others      2               4             6
                                    biotique -0.5
                                                                           vella


                                                    -1




                                         advertising VS quality
                                                   quality
                                         1.5
                                                                            swachkworf
                                          1                                                 loreal

                vella                    0.5                                               vatika

                                          0
 -1                 -0.5                       0                 0.5               1                 1.5
              biotique               -0.5                                                   advertising

                                          -1

                           others    -1.5
                                                          shahnaz
                                          -2

                                     -2.5




                                                                                                           22
                            promotion vs quality
                                                  quality
                                       1.5

                                         1                              swachkworf
  vatika
                                       0.5                          loreal
                                                       vella
                                         0
-6            -4             -2               0                2        4                 6
                              biotique -0.5
                                                                        promotion
                                        -1

                                      -1.5        others

                                        -2        shahnaz

                                      -2.5




As shown above, in the graph of promotion vs advertisement, we see that loreal is
the leader with being high in promotions and advertisement. Biotique is
comparatively , low in advertisement and promotion with respect to shahnaz and
swachkworf. Dabur vatika scores high on advertisent but very low in promotion.

In the graph of advertisement vs quality, we see that loreal and swachkworf, are
again high on quality. Shahnaz score very low in quality. Biotique scores less in
advertisement. Dabur vatika , here is scoring high in quality and is nearly at par with
loreal.


In the graph of promotion vs quality, we find that loreal and swachkworf are way
above. Shahnaz is still having a just satisfying promotion activity and low quality.



All in all , if we visualize a three dimensional diagram, we can see that loreal and
swachkworf is high on all fronts. Shahnaz in low in quality, a bit there in
advertisement but so –so in promotions. Dabur vatika is very high in advetisement,
that is second to loreal only. But it is very low in promotion or rather lowest among



                                                                                        23
all other brands. Quality wise dabur is high and fall in the category with loreal and
swachkworf.


B) hair oil

Figaro
Parachute
Vatika
Local manufacturer.




                                            quality vs price

                     2.5
                                QUALITY
                      2
                  LOCAL                                                     FIGARO
                    1.5                              PARACHUTE
                  MANF.
                      1                                               VATIKA
                     0.5
                                                                                     PRICE
                      0
              -0.5         0     0.5       1       1.5       2        2.5       3         3.5




as seen from the graph, that we have only two important factors which lead to the a
discrimination between oil brands. The map plotted is quality vs price.
Here figaro is high in price and quality. Vatika faces a problem with reference to
parachute which provides superior quality and is perceived to have lower price than
dabur vatika. Local manufacturers are also providers of stiff competition due to better
quality than vatika.




                                                                                        24
   2) For face creams:

   Naturance
   VLCC
   Aroma theory
   Sea magic
   Vatika
   Biotique
   Shahnaz
   Others



                           quality vs brand image
                                  QUALITY
                            3                                AROMA

                          2.5                                         SHAHNAZ

                            2                        BIOTIQUE

                          1.5
                                      NATURENCE                      OTHERS
            VATIKA          1
                          0.5                         SEA MAGIC
                                                                       BRAND IMAGE
                            0
     -2           -1     -0.5 0             1            2   VLCC
                                                                     3            4

                           -1



here the two main factors are quality and brand image. As we see, that in this category
aroma , shahnaz and biotique are really high forming their own cluster.
Naturence and sea magic scores relatively low in quality and brand image. Dabur vatika,
here has a quality which is not as much as the initial cluster , but in par with naturence. It
takes a back seat, in case of brand image , and infact it is the lowest in brnad image
among other brands in this category.




                                                                                            25
INSIGHTS

•Very large packs of oils and shampoos found economical where as for face creams and
packs they are not acceptable as they get oxidized.
•Kit are gaining pace for facial and massage application.
•Vatika hair oil perceived to be perfumed and not very herbal.
•Oils usually used as a mixture of coconut, mustard etc.
•Salon owners are quality conscious and want satisfied customers and repeat sales.
•Price doesn’t play as important a role as the customer is suitably charged for the
premium brands.
•Range of products more preferred in skin care unlike hair care.
•Continuous training and workshop creates TOMA and are good for the salon owners to
train their staff.
•Dependence on brands which are endorsed by Beauty Specialists and Icons more so if
the salon owner has been trained by the same.
•Distribution should be very efficient and dependable to avoids fake products to spoil
image.
•Faster adaptation to brands which have special economy packs for the parlors rather than
retail packs only.




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ANNEXURES




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