Herbal Essence

Hair Spray

Rachel Fabian Spring 2012 Journalism 304 Final Media Project

Table of Contents Introduction3 Situation Analysis Company Analysis.4 Market Analysis.....5 Product Analysis7 Competitive Analysis10 Consumer Analysis..13 S.W.O.T Analysis14

Target Market Profile..15 Media Objectives.16 Media Strategy Strategy17 Tactics..21 Cost Estimates..23 Media Schedule24

Contingency Plan.25 Reference List..26

Introduction

This media plan seeks to maximize the frequency as well as expand Herbal Essence hair sprays existing loyal consumers from women 18-34 to also women 25-54. Herbal Essences hair experience received is unique, and this plan will just help to allow more consumers the chance to take notice and experience it for themselves. A situational analysis will be created that entails information pertaining Herbal Essence as a company, the hair spray market overall, Herbal Essences product, competitors, consumers, strengths, weaknesss, opportunities and threats. Another target market will be added on to the original audience intended for the product. A new set of media objectives will take place as well as a strategy, tactics, cost estimates, and a media schedule in order to meet the objectives planned. A contingency plan is made to allow a back up for going over budget or being under.

Situational Analysis Company Analysis

Herbal Essence is a hair product company that offers a wide variety of products. Hair spray specifically is one of their many successful items to purchase. Herbal Essence has been completely reinvented since being introduced 40 years ago. The brand took an unfortunate spiral into along term decline. Clairol attempted to revive it, but the brand shortly after fell back into the decline. In 2001, Procter & Gamble purchased Clairol in which they inherited Herbal Essence. In 2006, after analyzing the downward spiral, Procter & Gambles beauty business chief, Susan Arnold, knew decisions had to be made with the tired brand.(2) "We had three choices," Lafley says. "Abandon it, divest it, or frankly, reinvent it and resuscitate it. (2) The reinvention route was chosen. During the reinventing process, the target audience had made a change. Instead of going for the broad every women who washes her hair audience, they narrowed it down to teens and post teens. (2) A realization was made that they took the word herbal and natural too literally. They were now to give the teens and post teens what they wanted, a new kind of hair experience. They made certain to no longer be solely about the product, but be more indulgent in the experience while using the product (2). Herbal essence is now a successful fresh, creative, and provides numerous ways to expressive yourself through your hair. Fragrances, as well as fun bright colors, new bottle shapes and many lines make up the product.

Market Analysis

Herbal Essence is a well-known hair care product. Herbal Essence hair spray is placed under, Health & Beauty aids in the MRI+ database. Herbal essence does not just posses one type of hair spray for one type of look. It has several lines for different types of hair and has a variety of ideal hair outcomes that a consumer would want from a hair spray. With in each line there is even a further variety of type of hair spray one can choose from. This is something competitors have, just not to the extent of Herbals variety. They stress that it is not just about the hair, but also about the experience. Herbal makes sure you love the feel, smell, and most importantly, how it makes you feel while using their product. (1) Herbal is a major producer in the hair product industry. Herbal is sold in any major store and/ or website such as Walgreens, CVS, Target, Wal-Mart, grocery stores, and beauty supply stores. For convenience, you are able to order the products in bulk or singularly on their website. Many other known websites such as Amazon, EBay, drugstore.com etc. carry Herbal Essences products. In addition to being advertised and sold in the United States, Herbal Essence has also stepped foot in several locations throughout North America, Europe, Australasia, Latin America, Asia, and the middle east. Also, on Herbals website you can change languages according to any of the other offered locations.(1) The brand is involved in market trends when it comes to beauty, nature, health and safety. Consumers of Herbal essence products tend to be more fashion forward who

6 care about scent, natural beauty, and new sleek styles that Herbals products offer. Nurture your inner nature lover and revel in beauty as nature intended. (1) Safety is very important in terms of a brand. Healthy hair and safe product especially for females is a key make or break in terms of brand loyalty. Herbal stresses the importance of safety their consumers are ensured. They have made a promise to always provide their consumers with safe products. All of their products always comply with global regulations. More than 1,000 Procter & Gamble employees globally, work full time to ensure the safety and regulatory compliance of our products and operations, including more than 500 working directly on product safety.(1) According to MRI, Herbal essence is bought by most consumers in the west, probably because of the dry, hot weather. The South and the Midwest are tied for second, probably due to climate for hair to act out and advertising success.

Product Analysis

Herbal Essence brand equity has been on a roller coaster since its conception, but has elevated greatly since and is now a consistent selling big name hair-care product. The name is a unique name and cannot be confused with any other brand. It is a brand that holds a variety of products that are fresh, inventive, creative, nature inspired which allows you to receive an entire hair experience Herbal tries to create. (1) The packaging and logo has changed over time but has been consistent for almost 10 years where it is still recognizable and stand out. The website is very colorful, fun and informative. The website sets a mood and tone where the consumer feels welcome and can see all that Herbal products have to offer. It is also interactive where consumer can choose different styles preferred and they are showed the product that would best suit them. The picture below is just one example of how to choose a product which best suites A consumer is also able to ask questions and see previous questions and answers. Herbal Essence would like their consumer to feel as if they get a full on experience in more aspects that a standard hair-care product offers. (5)

8 The placements of Herbal products on store shelves are eye-level. The packaging is bright, recognizable and grabs the eyes of consumers. It can be assumed, that stores know Herbal Essence is a high selling brand, and want to continue that trend so they make the product easy to see. Competitors such as Tresemme, and Suave are similar in price. Herbal Essence hair spray price can vary. It can reach up to $5 in smaller store locations and can be as little as $2. They median price is $3 for one of Herbals hair sprays. Tresemmes bottles are also eye level, but are all black which may be looked at as sleek, but does not grab ones attention like the playful bottle packaging, designs, shapes and youthful slogans like Herbal essence possesses. Also above eye level is Suave whose bottles are all pink, red, or silver. These colors do not stand out next to Herbals variety rainbow neon grabbing colors. Herbal has won awards in magazines such as Cosmopolitan Beauty Award (1). Herbal has Celebrity stylists such as Charles Baker who swears by Herbal products and uses them on all of his celebrities (1). Herbal is known as a less expensive brand with a high quality attached to the name. They offer a wide variety of textures, holds, hair types to achieve one of the many celebrity styles that are shown on their website. In March 2001, the boy band 98 Degrees appeared in print ads and television ads for Herbal Essences. In addition Herbal Essences sponsored the bands 2001-spring concert tour. In 2003 Herbal had a campaign featuring Sex and the City star Kim Cattral. The blonde bombshell was shown moaning in a shower while shampooing her hair in one commercialdrawing a backlash from the watchdog group the American Family Association.(4) This caused a lot of controversy for the company. In 2004 Herbal Essences put its 10-year-old Totally Organic campaign on hiatus in America, according to Advertising Age, in favor of a campaign that was less sexually charged.(4)

Currently, P&G Everyday Solutions website gives away free samples of Herbal Essences products time to time. Also, they have an email list where they send out coupons and announce new products. (5) Herbal Essence has a Facebook where they have about 800,000 fans or other consumers who like the page are able to share style secrets, cocktail creations, test ones relationship IQ, and find out how to keep your hair at its highest potential. Herbal has also came out with new mobile ads for different products promoted.(6) In 2012, Nicole Scherzinger, lead singer of pop group called the Pussy Cat Dolls, was named Herbal Essences new global ambassador of 2012.(8) Im honored to partner with Herbal Essences, because its a brand I like and admire for its celebration of self expression and for encouraging women like me to have fun with their look!(7)

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Competitive Analysis

Tresemme and Suave are Herbal Essences competitors. All three being generally in the same price range, Tresemme is the most expensive with Suave and Herbal Essence being more similarly priced. Alberto Culver bought Tresemme in 1960. Tresemmes slogan is professional, affordable. Tresemme is a unique name, which is unlike others brands and is not to get confused. It is strong and has been around for many years. Tresemmes hair spray ranges any where from $3 to $8. The average price for a bottle of hair spray is $4. Tresemme is dedicated to creating hair care and styling products that are salon quality without the salon price. (9) Like Herbal Essence, Tresemme tries to have a variety of products to cater to a variety of consumers. With not as wide as a variety, Tresemme still has 4 different hairlines. Tresemme stylists got to create the sharpest new fashions at Mercedes-Benz Fashion Week 2011. (9) With all black bottles, Tresemme is recognizable but does not catch a consumers eye like the rainbow colors from Herbal Essences collection does. On shelves at major stores, they are eye level and do stand out being a dark collection compared to the colorful hairspray choices. The website, like the bottles, is all black and has limited color. The website offers style tips, explanation of products and style news. Tresemme is sold at all the same major stores that Herbal is including Wal-Mart, Walgreens, CVS, grocery stores, and drug stores. Tresemmes products are also sold on their own website as well as major websites like drugstore.com, Amazon, and

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EBay, etc. Tresemme has had Celebrities endorse their product and be in ad print and commercials such as Kelly Clarkson, Britains Next top model, Kelly Ripa and celebrity stylist, Jeanie Syfu. Tresemme sponsored a popular TV show called Project Runway. They have a similar target audience to Herbal Essence. They target fashion forward teens and post teens that are always trying to look their best with good quality and affordable price. Suave was established 68 years ago in 1944. Suaves slogan is, Salon proven performance without the salon price tag.(10) They have a recognizable name and are a major family household brand. The hairspray bottles are all pink, silver or red which you are able to set apart and recognize from other brands. Suave hair spray prices can range from $2 to $6. The average place for a larger store is $3. Just like the Tresemme and Herbal Essence, they are about high salon quality with a low price. Unlike Herbal Essence and Tresemme, they cater to more than just females of teens and post teens. They have a wider target, which can give them an advantage for appealing to wider group of people. They have lines men, kids, and women. They have a wide variety of products like Herbal Essence for many different types of hair, and results wanted. They have a website which is all one color and is not technology forward with pictures, and switching ads like Herbal Essences. Suave has celebrity hair stylist such as Lyn Topper, but they are not known for a celebrity endorser like the other two brands. They have more real looking men and women who are in TV and print ads. This is probably due to the larger family target audience. Suave is sold in the same main big stores like the other products such as drug stores, beauty stores, and grocery stores. When in large store suave products

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are usually eye level, and a little above on occasion.

Brand Herbal Essence

Price $3-$5

Target audience Female teens and post teens

Tresemme

$3-$8

Female teens and post teens

Suave

$2-$6

Families(women, children, men)

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Consumer Analysis Herbal Essence has a wider range of consumers then they target to. Herbal Essence has a total of 6,669,000 women who are users of the hair spray. Although the intended target audience is aimed at the age group of 18-34, women are buying Herbals hair spray from ages 18-54. The age group of 18-34 is above the average index by 207%. Where both 1849 and 25-54 are both above index as well. 18-49 is above the average by 129% and ages 25-54 is above by 84%. Herbal Essence hair spray has the largest sales and is most likely to be purchased in the West than any other region. The west is above average index by 17%. The Midwest, South, and North East all fall below average index. The Midwest below average index by 1%, the South by 2% and the North East down by 16%, they can all be increased with a few perks. Due to the target being towards teens and preteens, there are a higher number of unmarried females who are buyers of Herbal Essences hair spray. The highest consumer race from least to greatest is Black/African American, White, American Indian or Alaska Native, Asian and the leading consumer race is other, or multiple classification of races also known as mixed. The largest group of women purchasing Herbals hair spray, which is 17% above average index, has not graduated high school. This is probably because of the younger target audience. With 13% above average index is women whom have not attended college. With this being said, the household income is lower. Herbals household incomes largest average that is above index by 14% is $20,000-$29,999. Many of these women enjoy watching TV. They also enjoy reading fashion, cooking, celebrity-gossip, pregnancy, and home magazines.

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S.W.O.T.

Strength Well recognized brand name Colorful packaging Gives you more than a product, but an entire experience Strong advertising campaign and celebrity endorsements Loyal consumers Appeals to younger generation Wide variety of product Reasonable price Social media & mobile ads Opportunity P&G adds money into successful brands Cross promotional efforts with other P&G brands Reaching other ethnic groups more effectively

Weakness Not wide target audience Not as popular in North East Not as appealing to men, children or upper adult females Lack of reach to Black/African American consumers

Threats Not known for specific product because of such of variety May be remembered for or have a negative connotation for past effort prior to the reinvention Doesnt appeal to wide group of people

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Target Market Profile

The new target audience will include more women aged from 25-54 while maintaining and growing the great size of women audience of 18-34. The advertising will still be colorful, and fresh but emphasize the hair experience you will enquire with the brand instead of just the youthful, playful side to be able to compete with companies like Suave who appeal to a wider group of people. Younger women will still be appealed to the brand and remain their loyalty because the bright colors, and fragrances will still remain, just now focused more on an overall quality experience. The goal will be to gain more women from 25-54 and for them to become loyal users as well. Advertising will be expanded in the South and maintained in the West where Herbal Essence hair spray already has a larger following. We will look to increase the 25-54 women age group because that is where it is the lowest of the age groups, yet that age group is still above the average index by 83%. Knowing that there are previous loyal users from that age group shows the opportunity for targeting and increasing the audience by going a different direction to gain even more.

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Media Objectives Objective 1: To reach 75 percent of the target audience 1 time a week during the less intense pulsing periods and increase the frequency to 2 times a week during the heavy pulsing periods. Rationale 1: Herbal Essence is already a known household name; frequency is important year round. Objective 2: Advertise using a pulsing pattern having heavier advertising during the summer (June, July, August) and winter (December, January, February). Rationale: Hair spray is used year round, which is why it should always be advertised. During the summer, humidity/heat tends to have hair act out, and during the winter due to fancy holiday hairdos a more intense advertising approach will be needed. Objective 3: To maintain the index in the West region. Rationale 3: Maintain Brand loyalty because it is already very high in the West. Objective 4: To increase advertising by 10% in the South Rationale 4: Increase it to gain brand loyalty where it is below average but has potential to be higher due to hair acting out in the heat as well as to increase exposure to more African Americans. Objective 5: To reach 80% of women ages 25-54 with promotions and sales events. Rationale 5: With wanting to broaden and increase brand loyalty, having promotions and sales may be the push to get them to finally try Herbal Essence and possibly switch over permanently.

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Media Strategy Strategy

Advertising for Herbal Essence hair spray will be using a pulsing schedule and a media mix based from $90 million. Advertisements will be run throughout popular mediums appealing to women in the original target audience of 18-34, as well as expanding to gain brand loyalty with women ages 25-54. Advertisements will be place in magazines popular with the women in the target audiences, in commercials, on billboards, as well as mass transit. A pulsing television, magazine, billboards, and transit advertisements will be scheduled for advertising. Hair spray is used year round, which is why it is important to always be advertised regardless of the intensity. During the summer months of June, July and August and the winter season of December, January, and February the pulsing will be at its peak of intensity aiming to reach 75 percent of the target audience two times weekly. This will be a total of 6 months out of the year at a high intensity of advertising. Summer was chosen as a higher advertising pulsation because of the heat. Females hair tends to defy gravity during high heats and humidity so hair spray will be in higher demand. In the winter is the time where you see your families, celebrate the holidays and take an abundance of pictures. For women, ages 18-54, this is a critical time to make sure their hair is perfect. The other six months, which include fall (September, October, and November) and spring (March, April, and May) will be at a lower intensity for

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advertisement but will still be present because hair spray is used year round. This will also be a reminder to our loyal consumers to continue purchasing Herbals Essence products. Television will run during prime time and late night on female orientated networks. The current loyal consumers are ages 18-24 and most likely attend a school. The day part most suitable for them would be both prime time when their favorite reality shows are on, and late night when they finished homework and stay up late watching T.V.. The new audience being targeted, 25-54 will also use both prime time and late night for television advertising. Assuming this age group works early in the morning, having a prime time and late night will allow them to catch their favorite shows. Total: 12,132000 Advertisements will be placed in a variety of magazine that cater to women in both age groups. According to MRI+, our consumers like reading magazines about fashion, cooking, celebrity-gossip, pregnancy, and home magazines. With this being said, magazines for the teen and post teen category who are already loyal consumers, will have ads placed in People magazine, as well as Cosmo. Targeting our older audience, 25-54 who we are aiming to increase revenue and brand loyalty will have ads in Good House Keeping, Parenting magazine, O-Oprah magazine, and Womens Day. This variety of women based magazines will help reach our target audience and help better our chances of obtaining our frequency goal for our target audiences. Total: $12,339,000

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Billboards will be an additional advertising technique. Having our target range from 18-54, our entire group is above the legal age to be licensed and be likely to be driving. Also, having this target audience age, majority of these women have responsibilities whether it is work, school, or babysitting, they are bound to be out and about. Billboards will be placed on busy roads where traffic may occur as well as highways and major cities in both the South and West region. Total: $5 million The biggest portion of he budget will go to celebrity endorsements. Herbal will enquire four celebrities, two being for each target audience paying $10 million each. Beyonce and Kim Kardashian will be for the younger audience, as well as hoping to help raise the low African American loyalty. Desperate housewives, Eva Longoria and icon Madonna will represent for the ladies in the age group of 25-54. The celebrities will be photographed for print ads, star in commercials and YouTube videos. YouTube videos are a way to have large audience see a viral video for a low cost. Per impression, YouTube has a cost of $20 with a minimal amount of $50,000 per 90 days. This equals to about a $2 CPM. The YouTube videos are intended to be seen year round. Total: $40 million Social media such as Facebook, Twitter, and E-mail list will provide fans/ followers with promotional coupons, sweepstakes, and other chances to receive Herbal

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products or meet their celebrity endorsers. This will be more so targeted towards the techsavvy generation, 18-34. Total: $2.5 million $2.5 million will be spent of transit mass media during the year in the south in order to bring revenue up. This will include 25 bus stops, 20 subways ads, 15 benches ads and 10 advertisements on taxis. These advertisements will be placed during the high intensity pulsing times of summer and winter. Mass transit carry a high reach/frequency potential being in large public used locations and will help to reach our frequency goal of reaching 75% of the target audience twice weekly during high pulsing period. Total: $2.5 million Herbal Essence hair spray will now sponsor $5,000,000 worth of womens favorite shows. This will help the women to be exposed to the advertisement more frequently. Also, sponsoring popular shows, we will be able to reach more than just our target audience. Total: $5million

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Tactics

The Mediums that will be utilized during this campaign is television, magazine, billboards, celebrity endorsements, social media, mass transit, and sponsors to gain loyal consumers 25-54 and to maintain loyalty in ages 18-34. The GRP during heavy advertising pulses is 150 weekly and during low advertising pulsations is a GRP of 75 weekly. To have a 30 second ad during late night television costs $42,500. During our months of heavy pulsing, we will have a frequency of 2 times per week for a total of 24 weeks (6 months). This total cost for late night advertisement during the intense pulsing is $2,040,000. During the less intense pulsing period, we want to reach our consumers 1 time per week during the total of 24 weeks. This comes to a total of $1,020,000 thirty second advertisements during prime time will be displayed as well. A 30 second ad on prime time is $126,000. During the prime time and intense advertising pulsing month, the goal is to have ads 2 times a week for a total of 24 weeks totaling 6,048,000 During the low pulsing prime time segments, the goal is to have 75% of the audience be exposed 1 time for 24 weeks, totaling to be $3.024,000. For magazines there is a total of $12,339,000, which is 14% of our budget. During the 6-month intense advertising pulsing pattern, there will be 1 advertisement in each magazine. The lower advertised months would have 1 advertisement for 3 of the 6 months. This is a total of 9 months with ads about herbal essence hair spray out of a year. 21

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Magazine

Price for circulation

Cost of ad for 9 months $3,105,000

CPM

Good House Keeping People Parenting Cosmo O-Oprah Womens Day

$345,000

$14.50

$267,000 $140,000 $216,000 151,0000 $252,000

$2,403,000 $1,260,000 $1,944,000 $1,359000 $2,268,000

$6.14 $13.73 $11.74 $9.38 $11.03

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Cost Estimates

Cost Estimates
Television 13% Magazines 14% Billboards 6% Celebrity 44% Social Media 3% Mass Transit 3% Sponsors 6% Excess 11%

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Media Schedule

Type of ad

Jan

Feb

March April May June July Aug Sep Oct Nov Dec

T.V xxx xxx Magazine xxx xxx Social xx xx Media Mass xx xx Transit Sponsor x x Billboards xx xx Celebrity xxxx xxxx

x x x x x x xx

x x x x x x xx

x x x x x x xx

xxx xxx xx xx x xxx xxxx

xxx xxx xx xx

xxx xxx xx xx

x x x x x x xx

x x x x x x xx

x x x x x x xx

xxx xxx xx xx x xx xxxx

x x xxx xxx xxxx xxxx

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Contingency Plan

We have saved a almost $11 million budget saved for any un expected events where we go over budget or need to compete with a competitors new campaign. If we happen to overspend our budget, we can sacrifice by cutting back sponsoring television shows because we will already by on commercial advertisements around the same genre of stations. Being in the commercials, in the magazines and at all the locations of our target market will not make us suffer by this reduction. If we have surplus, we will spend more for transit in the West instead of mainly south where it needs to be raised. Any additional surplus will be used for promotional deals, celebrity meet and greets and give away hair spray as well as cross promoting other Herbal Essence products.

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References 1: http://www.herbalessences.com 2: http://www.businessweek.com/managing/content/jun2008/ca20080617_465490.htm 3: http://www.realsimple.com/beauty-fashion/hair/best-hair-sprays00000000048508/page3.html 4: http://marketing-case-studies.blogspot.com/2008/05/totally-organic-campaign.html 5. http://herbalessences.com/en-US/frequently-asked-questions 6. http://www.pocket-promo.com/procter-gambles-herbal-essences-debuts-new-productwith-mobile-ads/ 7. http://celebrity-gossip.net/nicole-scherzinger/nicole-scherzingers-herbal-essencescampaign-first-look-588415 8. http://www.bodycare.becomegorgeous.com/bath_and_spa/nicole_scherzinger_is_herbal_e ssences_new_global_ambassador-6713.html 9. http://www.unileverusa.com/brands/personalcarebrands/tresemme/index.aspx 10. http://www.unilever.tt/brands/personalcarebrands/suavehair.aspx

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