The total market value of the anti-dandruff market in 2010 is at 3079.69 million baht, which makes up 31.95% of the total shampoo market. This anti-dandruff market has experienced steady growth over the last few years, most recently 2009 to 2010 the market grew by 3.60%. Clinic Clear and Head & Shoulders are the two main players in the anti-dandruff shampoo market having market share of 17.7% and 8.8% respectively (as of May 2011).
Head & Shoulders is the #1 anti-dandruff shampoo in the world in terms of sales. In Thailand, Head & Shoulders came into the anti-dandruff market after Clear and presently Clear has a little over twice the market share than Head & Shoulders. Both players have highly overlapping target segments but Clear differentiate by positioning itself as an anti-dandruff and beauty shampoo while Head & Shoulders is purely an expert in anti-dandruff treatment. Just recently, Clear launched a new product line of Clear for Men Shampoo targeted specifically at the growing market of metrosexual men.
Head & Shoulders is perceived as a ‘medicine/drug’ shampoo, this resulted for its extreme positioning as an expert in anti-dandruff treatment with no association to beauty. Consumers believed that using Head & Shoulders will treat anti-dandruff but will not nourish or give the hair the beauty that it would receive from other beauty shampoos otherwise. Clear on the other hand was able to attract consumers who were concerned about beauty with their mixed beauty and anti-dandruff positioning. Clear achieved this mainly in their For Men product line through the use of famous celebrities those are easily recognizable by Thais in their commercials such as Cristiano Ronaldo (famous Manchester United football player) and Rain (famous Korean Pop singer). Head & Shoulders had less to no impacting celebrities in their commercials and in Thai society, celebrities are an important communication channel in the 20 – 40 year old segment. Additionally, the consumers themselves have a negative attitude toward anti-dandruff shampoo usage, an astonishing 40% of people with dandruffs do not use anti-dandruff shampoos. Head & Shoulders’ series of advertising has been constantly delivering the same repetitive message to the consumers that they are “the best in anti-dandruff treatment”, something that is not necessary to tell them consumers anymore because from market research, Head & Shoulders is almost synonymous with anti-dandruff treatment. Instead Head & Shoulders should deliver new information such as their strength as a world brand and no side effects associated with anti-dandruff shampoos.
“To grow Head & Shoulders’ market share
in the anti-dandruff shampoo market by 5% in 3 years.”
In meeting our objectives we selective chose to focus all our efforts on capturing a specific target market. It is important that we focus on a narrow group because with only 3 years to achieve our objective and assuming a fixed advertising budget, we want to win in a particular group and not be a follower. The target segment we chose is unisex Thais with ages between 15 to 25 years, middle to upper class (Thailand I – 2), good level of education, and has concerns about appearances. This segment has not been the main target group for Clear and convincing young teens to use Head & Shoulders at a young age will benefit us in the long term as they will be less likely to switch brands when they get older. Additionally, from recent statistics 23.20% of the total labor force Thailand is in the 15-24 age range making it a considerably large market with estimated potential market value at 1000 million baht. We chose to target unisex with a single product because it will appeal to the young teens that prefer to not having to deal with the hassle of choosing between many products off the shelves and also to housewives who...
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