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Principles of Marketing Communication Term Project PRINCIPLES OF MARKETING COMMUNICATION TERM PROJECT (30%) T107 Ariel Chua Kit Yen Catherine Chia Yu Xi Elizabeth Lim Siew En Jermiah Tan Zhi Ming Lau Jia Yin Lawrence Loh Wei Liang Row Gwendolyn Alison LET’S STANDARDISE: FONT- ARIAL 12PT HEADINGS: ARIAL BOLD UNDERLINE 20PT SUB-HEADINGS: ARIAL BOLD 16PT Content Page Part 1 - Market Product & Research 1. Environmental Scan 2. 4Ps Competitor’s Analysis 3. SWOT Analysis 4. Consumer Survey 5. Target Audience 6. Key Business Issue and Role of communications 7. Perceptual Map 8. Positioning Statement 9. Key Message Part 2 - Campaign Strategies 10.Integrated Marketing Communications Approach 11.List of Marketing Activities Part 3 - Creative Collaterals 12.Traditional & Digital Ads 13.Social Media/ Mobile Strategy 14.Point-of-Purchase Overhaul 15.Outdoor Media Ads 16.CSR Programme Part 4 - 6-month Activity Schedule Part 5 - Campaign Budget Split 1. Environmental Scan 1.1 Social ● Demographic Shifts Singapore’s population has been increasing for the past few years, going from 4.589 Million in 2007 to 5.067 Million 2016. Singapore had a 1.3% annual change in 2016. In other words, the population of Singapore has been increasing, this means that Singapore will have a larger consumer market and a larger target audience. The brand, Colgate is one of the most popular toothpaste brands in Singapore, it is extremely likely that people will continue using it for a long time as they believe and trust the brand. Since there is an increase in population, this means that the market in Singapore for Colgate will continue to increase, thus putting us at an advantage due to our popularity. ● Social Perceptions There is an increase in demand for beauty and vanity products as an increasing number of beauty-conscious Singaporeans are now willing to spend for lasting beauty than before. According to statistics, the revenue earned for cosmetics and toiletries industry in Singapore is worth about US$400 million and it is estimated to increase by a compounded annual rate of 5% between 2016 and 2020. Furthermore, with the shift in culture, men are also willing to put in as much effort as women to groom themselves. In an article by Straits Times, they mentioned that a 28 year old man spends almost $400 on skincare every month. Grooming is no longer just for women. This means that men are now more willing to find affordable beauty products such as Colgate Toothpaste as it will help with teeth whitening, removing plaque, as well protection against plaque. ● Relatable Messages Millennials, the largest living generation, are digital natives and are about to start moving into prime spending years. They are capable of accessing information with ease as it is all at their fingertips. But only 7% of millennials consider themselves brand loyalists. However, when they see relatable messages that are highly personalized, that are relevant and based on their own interests, are more inclined to form a loyalty to said brand. Brand loyalty ends up increasing by 7% on average. So the more brands connect, the better they are at garnering the loyalty of the Millenials. Since Colgate is a big company, they can invest time and effort into securing the loyalty of a large number of consumers, through messages the new consumers are able to connect to. Some examples would include using social media to target these audiences as Millennials have grown up with social tools. 1.2 Economical ● Consumer confidence While consumer confidence did increase in late 2017, a 15.4 point increase from 30 to 45.4, Singaporeans were found to be stricter about their spending. 43% of consumers having switched to cheaper grocery brands as other brands like Herbal Fresh, or Darlie could be cheaper. ● Disposable Income In 2016, the average monthly income per household in Singapore is $10,336. The latest data of the average percentage of income every household spends on 7 personal care products is approximately $138 ,​ thus indicating that the average ​ Singaporean will be able to afford toothpaste, which averages around $5 per tube. ● Income Growth ​The income of Singaporeans has been growing. The median monthly household income from work among resident employed households has increased from 2015 to 2016. The nominal income increasing by 1.3%, and real income increasing by 1.2%. This shows that the median family income is growing, and Singaporean families have a higher purchasing power. This benefits marketing Colgate in Singapore because Singaporeans will be able to purchase more, and with more income, they will be likelier to branch out and try different brands. 1.3 Technological ● Social Media More than 75% of the Singapore population is on social media, as shown in the 11 diagram below .​ ​ Social media users in Singapore spend 2.07 hours on average per day on social 12 media, compared to the global average of 2.0 hours .​ Colgate toothpaste can hence ​ direct their marketing campaigns to social media platforms, for example, through Instagram sponsored posts or YouTube video advertisements and banner advertisements. Hence, Colgate can use social media platforms to market their oral care products and reach a large, targeted audience. ● “Word of Mouth” Marketing “Word of Mouth” Marketing can be a very powerful tool for Colgate. 92% of consumers trust recommendations from people they know directly. Colgate can ​ come up with campaigns that involve social media users to post and share about their experience with the Colgate product, hence spreading the word about Colgate and promoting their products. ● Traditional Media 1.23 million Singaporeans are still reading The Straits Times, and free-to-air TV reaches more than 85% of the population. Whilst digital media is on the rise and everyone is more connected online, it will not be wise for Colgate to neglect traditional media as marketing efforts will be able to reach a large audience there as well. Colgate should continue to use traditional media such as newspapers and TV commercials, especially during prime time, to promote their toothpaste. 1.4 Competitive · Popularity According to a study done by Superbrands, Colgate is viewed as one of the most popular brands in Singapore, second only to Google. This prestige and high brand awareness may give Colgate an edge when customers are deciding which toothpaste brand to use as it would be natural to pick the most common and popular brand. · High competition Singapore has a relatively small population as well as several large oral care brands such as Oral-B, Darlie, Sensodyne and Systema. This means that Colgate has to compete with all of these brands for the patronage of the small population of Singapore. However, Colgate has a USP that distinguishes it from competing brands, which is “Colgate is the number 1 toothpaste brand recommended by dentists”. · Price of Product ​ ​ In comparison to its competitors, Colgate is not the cheapest toothpaste brand. It is more expensive than brands like Darlie. This could affect the demand of our product negatively as people may prefer to purchase the cheaper product. However, Colgate has offers and is Halal, which caters to Muslims. The offers may be more affordable than other brands too. This could act as an advantage to the demand of our products as Muslims are likely to purchase only Halal products and Colgate’s deals may be more affordable. ● Product Placement The placement of Colgate toothpastes in stores like NTUC are on the lower few shelves, under many other toothpaste brands. This could negatively impact the perception of our brand as if it is ‘not wanted’ and decrease demand. Competitors like Darlie and Sensodyne have their own shelves in the same NTUC, Darlie’s toothpastes even featured on sale. Customers may be drawn to them instead as it is placed more obviously and is cheaper. This could negatively affect the sales and demand of Colgate as customers may not even see our products. 1.5 Regulatory ● Brand Name Colgate has an easily identifiable trademark colour (Red boxes with white words) and logo, which is easy for the public to identify their brand with whenever they want to purchase a Colgate product. This brand recognition will hence be able to ensure that the customers will be able to associate the brand image and logo with the product. ● Strict Company Policies Colgate has a very strict company policy whereby they ensure that their company does not contribute to deforestation through the manufacturing of toothpaste boxes, as well as the sourcing of ingredients and thus are very environmentally friendly. In addition, Colgate also ensures that during the manufacturing process of their toothpaste, they do not exploit labour rights. They also ensure that none of their processes would result in euthanasia in animals. The company is also very firm in their belief against bribery and maintaining accurate books and records so as to ensure that there is no third party to influence or modify any of their products. Lastly, Colgate follows strict guidelines on the ingredients included in their products to ensure safe and top quality ingredients. All these policies will actually contribute to the trust consumers have in the company and hence, is advantageous to Colgate. ● Patent For example, Colgate has sued Johnson & Johnson and Chattem Inc for using its trademark “Total” and ended up winning the case with much difficulty. This allow consumers to have the impression that Colgate has air-tight security against other infringing companies and would be more inclined to purchase the toothpaste brand due to the firm
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