Marketing and Skin Care
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Global Expansion Japan – Marketing Plan
Presented by Group 1 Marketing Team – Bill, Brady, Christina, Ray, Pawan & Zia
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Executive Summary
The Global prestige skin care market accounts for $2.25B in annual consumer spending. Asia
Pacific and Japan markets account for 80% of total global sales ($1.8B). Currently, P&G accounts for approximately 22% of the global beauty product market share.
The GLT’s aggressive goal of doubling sales in the next five years, coupled with the potential opportunity to serve a currently un-tapped market segment, suggests P&G should leverage the already developed momentum in the Japanese beauty care market as a source of hypergrowth. Group 1 estimates current SK-II sales of $150 million can be doubled in next five years by focusing on growing the Japanese prestige skin care market.
Technical product innovations and the introduction of new SK-II product lines such as antiaging care, skin-whitening products, skin-cleansing and skin-nourishing products, in concert with greater consumer awareness and skin care education campaigns, P&G can greatly expand the Japan market opportunity. Group 1 estimate P&G can significantly improve the
SK-II growth rate from current 5% per annum to approximately 20% per annum in two years by incorporating the aforementioned campaigns into the target markets segments.
This plan deals in detail the analysis of different global markets and choice of Japan for further expansion in the premium skin care market, and how this expansion can be leveraged as a launch pad to global expansion into Europe and new Asia-Pac market such as Malaysia, China,
Singapore & Indonesia.
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Table of Contents
1
Executive Summary
2
Table of Contents
3
Summary of Current Situation
Current Economic landscape
P&G Penetration within current market
Opportunities and Challenges
SWOT Analysis
Decision Rationale
4
4
5
6
6
9
Focused Assessment of Market Opportunity
Target
Global Expansion Japan – Marketing Plan
Presented by Group 1 Marketing Team – Bill, Brady, Christina, Ray, Pawan & Zia
2
Executive Summary
The Global prestige skin care market accounts for $2.25B in annual consumer spending. Asia
Pacific and Japan markets account for 80% of total global sales ($1.8B). Currently, P&G accounts for approximately 22% of the global beauty product market share.
The GLT’s aggressive goal of doubling sales in the next five years, coupled with the potential opportunity to serve a currently un-tapped market segment, suggests P&G should leverage the already developed momentum in the Japanese beauty care market as a source of hypergrowth. Group 1 estimates current SK-II sales of $150 million can be doubled in next five years by focusing on growing the Japanese prestige skin care market.
Technical product innovations and the introduction of new SK-II product lines such as antiaging care, skin-whitening products, skin-cleansing and skin-nourishing products, in concert with greater consumer awareness and skin care education campaigns, P&G can greatly expand the Japan market opportunity. Group 1 estimate P&G can significantly improve the
SK-II growth rate from current 5% per annum to approximately 20% per annum in two years by incorporating the aforementioned campaigns into the target markets segments.
This plan deals in detail the analysis of different global markets and choice of Japan for further expansion in the premium skin care market, and how this expansion can be leveraged as a launch pad to global expansion into Europe and new Asia-Pac market such as Malaysia, China,
Singapore & Indonesia.
3
Table of Contents
1
Executive Summary
2
Table of Contents
3
Summary of Current Situation
Current Economic landscape
P&G Penetration within current market
Opportunities and Challenges
SWOT Analysis
Decision Rationale
4
4
5
6
6
9
Focused Assessment of Market Opportunity
Target