AXE DEODORANTS

Snapshot of the company

Axe or Lynx (in the United Kingdom) is a brand of male grooming products, owned by the BritishDutch company Unilever and marketed towards the young male demographic. Axe was launched in France in 1983 by Unilever. It was inspired by another of Unilever's brands, Impulse. Unilever were keen to capitalize on Axe's French success and the rest of Europe from 1985 onwards, later introducing the other products in the range. Unilever were unable to use the name Axe in the United Kingdom and Ireland due to trademark problems so it was launched as Lynx. The European launch of the deodorant was followed by success in Latin America and moderate impact in Asia and Africa. In the new millennium, the brand has launched with great success in the United States and Canada. The company has also consolidated its deodorant portfolio by migrating other overlapping male deodorants into the Lynx brand such as South Africa's Ego brand. In January 2012, Unilever launched its first Lynx product for women in the United Kingdom as part of a global expansion of the previously mens-only brand. Although Axe's lead product is the fragranced aerosol deodorant body spray, other formats of the brand exist. Within underarm care the following are available: deodorant aerosol body spray, deodorant stick, deodorant roll-on, anti-perspirant aerosol spray (called Axe Dry), and anti-perspirant stick (also called Axe Dry). From its launch, the annual fragrance variant has played a key part in the success of the brand by offering something new each year. The type of fragrance variants have evolved over time. From 1983 until about 1989, the

variant names were descriptions of the fragrances and included Musk, Spice, Amber, Marine, and Oriental From 1990 until 1996, geographic names for fragrances were used, such as Africa, Alaska, Java, Nevada, and Inca. From 1996 to 2002, Axe took inspiration from Calvin Klein fragrances (also owned by Unilever at that time), using the same fragrance consultant, Ann Gottlieb, to develop the scents to launch variants, such as Dimension, Apollo, Dark Temptation, Gravity, and Phoenix.[citation needed]. See an interview of Ann Gottlieb, in which she speaks about Axe fragrance development In 2009, the brand launched an 8-centimeter container called the Axe Bullet. [3] The brand has also extended into other areas such as shower gels, aftershaves, and colognes, skin care, shampoo, and hairstyling products. Failed extensions include Underwear, Barbershop[4] and razors. Most scent names usually have a shower gel to accompany them and sometimes an antiperspirant/deodorant stick. HISTORY OF THE BRAND Axe/Lynx was launched in France in 1983 by Unilever, a multi-national corporation, formed of Anglo-Dutch parentage that owns many of the world's consumer product brands in foods, beverages, cleaning agents and personal care products. It was inspired by another of Unilever's brands Impulse. Impulse was a fragranced deodorant body spray for women that promised wearers male attention. Unilever were keen to capitalize on Axe's French success and rolled it out in the rest of Europe from 1985 onwards, later introducing the other products in the range. Unilever were unable to use the name Axe in the UK and Ireland due to trademark problems so it was launched as Lynx. The European launch of the deodorant was followed by success in Latin America and moderate impact in Asia and Africa. In the new millennium the brand has launched with great success in the USA and Canada. The company has also consolidated its deodorant portfolio by migrating other over-lapping male deodorants into the Axe brand such as South Africa's Ego brand. INTERNAL PRESENCE Axe brand products are consistently targeted to 18-25 year old males. As illustrated in Figure 2, they are currently distributed in more than 40 countries Product under study: Axe deodorants

Axe is a cool, iconic brand launched in India in 1999 with Axe Deodorants. It is the largest selling male deodorant in India & has a variety of male grooming products such as Axe Aftershave Lotions & Axe Body Wash. Unilevers research and development teams work with a panel of expert noses to create Axe products, and come up with fragrances that help men smell and feel their best. But the scents arent just developed in the lab. Every aroma is tested on the target audience real women. Every year, a new Axe deodorant fragrance is launched, combining seductive scents with the latest technology from the irresistible chocolate-inspired Dark Temptation fragrance to the stimulating Axe Rise range. Globally, Axe has been helping guys get the girl since the brand launched in France in 1983. Now men in more than 60 countries from the Americas to Asia reach for Axe every day! The Axe effect is also creating a buzz in social media. The official Axe Facebook page launched in 2010 and has more than 3.5 million fans, while more than 1.2 million users have viewed Axes advertising and video games on the official Axe YouTube channel. Axes award-winning, attention-grabbing ads never fail to push boundaries. Theyve impressed judges at the prestigious Cannes Lions Advertising Awards too weve won more than 10 of the events sought-after accolades. Axe Parent Company Category Sector Tagline/ Slogan USP HUL Personal Care - Deodorants FMCG The Axe Effect - Gets you more than before! With Best Quality Fragrance STP Segment Target Group Deodorants for Men Targets the male urban youth mass urban product AXE is a cool, iconic, youth brand available which is the largest selling Male Deodorant in the country

Positioning

SWOT Analysis 1. Each of the fragrances created by international fragrance diva Ann Gottlieb 2. The formulation is a base with higher efficacy 3. Excellent advertising and branding targeting the youth 4. Good distribution, Promotions and campaigns for luring customers 5. Also provides grooming range like shaving gel, foam, After-Shave lotion, and Cologne Talc 1. Only an urban market phenomenon 2. High pricing reduces the target market 3.Controversial advertising often leads to legal issues 1. Coming up with Limited Edition fragrances 2. Tie up with hotel chains and large organizations like gym chains etc 1. Deodorants sales are seasonal. Maximum sales happen in the summer months (April to September) 2. Competition from Premium Segment Deodorants like Burberry, Body Shop Competition 1. Set Wet 2. Zatak 3. Fuel

Strength

Weakness

Opportunity

Threats

Competitors

Utility value of the product Axe offers guys a range of body sprays, shower gels and male grooming products all designed to help them look, smell, and feel their best.

AXE deodorants are popular products used by many people throughout the world. They have their benefits, in todays hectic and fast-paced world, more and more people are opting for deodorants in their daily lives. Helps to stop sweating The overall benefits of deodorants outweigh the disadvantages in the minds of many people. For this reason, deodorants are quickly becoming the product of choice for many people around the globe. Damp or drenched underarms If you are one of the many people who often find the underarms damp or even drenched, then you should perhaps consider deodorants instead of a more traditional deodorant, since only the former product can help you to stop sweating to a noticeable degree. Functions Deodorants generally work by blocking or closing the channels on the skin through which sweat is released. By using these products, unsightly wetness under the arms can be reduced or even eliminated, depending on the product used and how your body responds to this product. Some products can keep wetness at bay for twelve or even twenty-four hours. Some people feel that it is unhealthy to prevent the body from sweating and cooling itself as it would normally do. However, deodorants only block sweat in the areas where it is applied. The body has many other sweating channels that will remain open. Nervousness increases sweating It is therefore possible for the body to excrete sweat, but in less embarrassing locations. This is especially important for those people who face anxious situations, since nervousness increases sweating in most people. If you are one of the people who wishes to prevent sweating, you might want to consider an antiperspirant. Most deodorants contain a fragrance For the most part, deodorants will contain a fragrance that helps to mask any body odour not eliminated by the product itself. This is almost always a plus for those who choose to use deodorants instead of deodorants or other natural products. The odour-masking properties of deodorants The added fragrance can give the body a nice light scent and allows the consumer to experience the benefits of an antiperspirant and the odour-masking properties of deodorants and deodorant sprays. Deodorants are available in many varieties There are dozens of different fragrances of AXE deodorants available in the market today. This gives the consumer the ability to choose the product that is right for them. Since each persons body is slightly different, one product will not work for everyone. The wide variety available means that you, as a consumer, will have a greater chance of finding the product that will work for you. THE VARIOUS FLAVORS OF AXE DEODORANTS AVAILABLE ARE :

Axe dark temptation Axe pulse Axe denim Axe click Axe touch Axe summer Axe dimension

SUSTAINING GROWTH Axe has increased sales worldwide by successfully expanding distribution into one country after another; while the strategically timed introduction of new fragrances has increased overall market share. As the market matures, Unilever must now address new market opportunities- ethnic multi-cultural markets located throughout the world-where it can realize incremental sales. AXE DEODORANTS : ROAD MAP TO SUCCESS From the humble beginnings of the Ego brand in 1974, to formation of Axe and penultimate rebranding of Lynx for distribution in Australia, Ireland and the United Kingdom. It is the mission that rings true, even today. Axe has become the world's definitive grooming brand ranging from deodorants, body sprays, and shower gels available in a wide assortment of seductive fragrances. The next year will prove crucial in maintaining incremental global market share in over 40 countries. The primary target market for the product line should remain focused on 18-24 year old males. Key to sustaining growth will be the ability to identify and isolate tightly focused promotional efforts playing on the boy meets girl meme customers and competitors have come to associate with the high profile of Axe. The element pertaining to success would be exploring new avenues of creativity to target social sub-cultures and ethnic groups more effectively in areas where these opportunities exist. It aims to achieve : transform Axe into an icon in the Game of Seduction .Increase the deodorants brand equity .Increase sales volume Creatively target sub-culture through specifically appealing to their niche interests in countries where market share for the targeted sub- culture age group is oligopolistic and its growth steadily increasing

 Attract ethnic potential customers in countries where traditional marketing efforts may conflict with the collective conscious native to that particular country Serve to additional age groups not necessarily conforming to 18-25 year old males Satisfy each target costumer to the maximum obtainable level of satisfaction

STRATEGY Essentially, the formation of the proposed brand is an merger of line extensions and multibrands dependent on the area of target market: Line extension brand strategy would include addressing the marketing objectives of targeting younger males by promoting current brands to the new potential market by adjusting the product strategy to appeal to current affairs that interest this section of the target market still, however, preserving brand names. Line extension strategy may also be highly effective in targeting niche sub-culture markets by extending the Axe/Lynx brand to appeal to their unique interests such as the aforementioned Axe/Lynx Binary sub-label. Line extensions represent existing brand names extended tonew forms, sizes and flavours of an existing product category The use of multibrand strategy allows for new brands to be introduced in the same Axe/Lynx product categories of deodorants, and even body sprays and shower gels under new brand names, accompanied by new product strategies (Kotler). This particular strategy can be incorporated into achieving the marketing objectives of penetrating new segments Therefore, a combination of line extensions under the Axe/Lynx brand name to include new fragrances like Axe/Lynx, adjusting current marketing initiatives through altering product strategy to appeal to younger age groups, and new brands owned by Unilever named Shinx or Dune serve to satisfy all outlined marketing objectives and increase the market share. CREATIVE STRATEGY The strategy had to build on the brand heritage, while rejuvenating Axes image to make comtemporary. Passive seduction was still a real and motivating consumer insight. The youngs want to be seductive without being seen to try too much. Having women show an inerest gives them the confidence to go on. However, since all brands talk about seduction, Axe had to impose its own point of view in a clever and motivating way. The execution had to be new and different; it made a break with conventional publicity. Humour was used, considering seduction as a serious business. The setting and protagonists used should be relevant and aspirational to the target audience. This involves moving from the traditional exotic male role model to an environment close to

the consumers reality. The creative idea was to show the seduction effects of Axe on women, who is wearing it. MARKETING SITUATION When launched, Axe created a new product category: deodorant body spray for men. Over and above the classical deodorant promise of odour prevention, Axe also offered fragance, which allowed it to be positioned as a seduction tool, easing the transition from adolescence to manhood. Axe has established itself as the leading male toiletries brand in Europe. Central to the brands success was its innovate character, creating its own category, which situated it at the leading edge of fashion. However, the brand seemed to have aged with its initial consumer and didnt follow youth fashion trends. Research indicates that the Axe man was seen as dated James Bond in a safari suit. The communication format was unable to go up the current values of the youth target.

TARGET CUSTOMER PROFILE In order to understand the proposed target market effectively, particular evaluation needs to be given to the demographic, psychographic and behavioural features evident in the sample size: The targeted age range should consist of 15-25 years of age - The target market is also male, unaffected by race or ethnicity although different marketing initiatives may appeal to different ethnic groups - Targeted consumer is of a lower socio-economic status given the income distribution of the age group and education levels - The status of the proposed candidate is that of a bachelor or most likely involved in shorter term relationships - The dominant portion of the target consumers exhibit heterosexual orientation, given the success of previous campaigns portraying the protagonist of this sexual orientation The following profile can therefore be established; Age: 15-25 Gender: Male Mentality: Mainstream.

Perception: Peer influenced Socio-economic Class: Low Geography: Anywhere males and females are present Sexuality: Heterosexual Internationally this brand targets male aged 15-25. They still love the unique Axe fantasy of the woman making the first move. Young men in this age group are impatient for their first experience of women. They dream about being able to seduce women without too much effort, because they are not as confident as they seem. Their main topics of interest are sex, music, football and having a laugh. The brand has its brand values of Cool, Fashionable and Stylish. And world over, the brand shoots to its core values. The biggest strength of this brand is the underlying message or the DNA, which is that the brand users are High on Confidence and always for the Axe users, Girls Makes The First Move. I think the biggest competitive advantage of this brand is its complete monopoly over this brand proposition. All its campaigns revolve round this central theme of Seduction where Girl makes the first move. I think it has lot of subliminal implications. The brand assumes that Men wants to be seduced. That feeling (of being seduced) gives a big boost of self confidence to a man. Although many brands take this proposition, Axe just made it perfect.

THE LIFE CYCLE OF AXE DEODORANT SPRAY The product life cycle (PLC) is the course of a product's sales and profits during its lifetime segregated into product development, introduction, growth, maturity and decline. Every Axe/Lynx product is accustomed to the first four stages of the PLC. However, as soon as the decline stage is reached and a declination of profits observed, a reiteration process is commenced with the introduction of a new product under the brand name. The maturity and decline phases are judged based on customer perception of brand equity in over 40 countries worldwide. The product life cycle of the past to the recent present, tied in with perceptual brand equity factors, and subsequent line extensions are as follows: 1983 Amber (Axe/Lynx Amber 2008), Spice (Axe/ Lynx Spice 2008), Musk (Axe/Lynx Musk 2008) 1985 Amber, Spice, Musk introduced into the United Kingdom 1987 Orient (Axe/Lynx Orient 2008)

1989 Marine (Axe/Lynx Marine 2008) 1995 Africa (Axe/Lynx Africa 2008) 1998 Apollo (Axe/Lynx Apollo 2008) 1999 Voodoo (Axe/Lynx Voodoo 2008) 2000 Phoenix (Axe/Lynx Phoenix 2008) 2001 Gravity (Axe/Lynx Gravity 2008) 2002 Apollo, Kilo, Orion, Phoenix, Tsunami, Voodoo introduced into the United States 2003 Pulse (Axe/Lynx Pulse 2008), Essence (Axe/Lynx Essence 2008) 2004 Touch (Axe/Lynx Touch 2008) 2005 Unlimited (Axe/Lynx Unlimited 2008) 2006 Click (Axe/Lynx Click 2008) 2007 Vice (Axe/Lynx Vice 2008) 2008 Dark Temptation (Axe/Lynx Dark Temptation 2008), and Sharp Focus (Axe/Lynx Sharp Focus 2008) AXE DEO : THE AXE EFFECT ADVERTISING CAMPAIGNS The advertisements are very slick and usually display a normal (read: not Greek god) male but with oodles of self-assurance as an Axe user. The females (right out of James Bond movies) get irresistibly drawn to this male implying that Axe acts like a nasal aphrodisiac.The Axe brand of deodorants is from Hindustan Unilever and is primarily targeted at 15 to 25 year old males. The brand portrays normal yet cool, trendy and confident, a positioning that is aspirational to the target segment. And the portrayed outcome where the girls flock to the Axe user is, well lets just say very desirable. At a more subtle level, the Axe Effect also acts on the confidence levels of the user. The very act of being associated with the brand serves to boost the ego. In the past couple of years, we have seen a slew of copy cat brands hit the market. But the theme for the advertisements remains the same. Guy sprays himself with the deodorant. Girls find themselves inexplicably drawn to the guy. There are slight variants but for the most part, involuntary seduction forms the core. The one notable difference

though is that all these newbies use hunks as opposed to the regular guys which are a stable for the Axe advertisements. This strategy has proven very effective for the brand. It comes across as approachable and it acts like a confidante and friend to its users. While everyone would love to be friends with a celebrity, there would still be a distance or an aloofness that would prevent a close relationship. Axe bridges this very gap effectively, and yet keeps the dream of getting a Charlies angel some day. It is for this very reason that Axe continues to be the market leader in its category.

Distribution network Delivering significant value :During 2009 Unilever launched a single strategyfor the supply chain-1 Unilever supply chain-putting customer and consumers at the heart of everything it does. Its principle objectives aresupplying top quality products with world classservice at competitive costs. Unilever supports top-line growth throughspeeding up the roll-out of global launches Ensures products are constantly on the shelf Increases profit by simplifying structure andreducing waste Improves cash flow by reducing stock andbetter payment terms Axe relies on location and distribution channels.In India supermarket and hypermarkets haveonly 2% market, organized retail has 13.9%market large part of it is in metro cities so inmetros distribution channel is malls and bigorganized stores but in tier 2 & 3 citiesdistribution is done through local kirana shopsonly.

MARKETING MIX PRODUCT Axe/Lynx body spray can features a distinctive black metallic exterior and an associative logo representative of its label. Ergonomics have been perfected on the product level to a point where aerosol leakage has become virtually impossible. The Axe/Lynx brand name is designed around a logo that utilises custom designed typography to give it a distinctive and recognisable look its black exterior, complimenting packaging and striking short, block lettering exemplified thereon setting it apart from the generic competitor. Augmentation of the product line allows customers to interact with its various promotional campaigns through a plethora of web sites scattered with images of attractive females all in favour of complying with the needs of its target market. There are also telephone hotlines available to assist customers with information about competitions and the more intricate product details. PROMOTION It has, absolutely, subliminal implications. The brand assumes that Men wants to be seduced . That feeling gives a big boost of self confidence to a man. Although many brands take this proposition, Axe just made it perfect. In most of the Axe ads only very ordinary skinny kind of people getting assaulted by beautiful girls. That makes the brand more approachable. If Axe had used a Hunk, the promotions couldn't have been so effective. The brand managers were so wise that when they used a celebrity like Ben Affleck. It ensured that the brand is made approachable. The brand has started its Internet based marketing initiative with Axe Land, which involved a virtual trip to the Axe world. Globally also this brand has lot of online initiatives which are almost always naughty. In UK the Axe is marketed as LYNX. Not only the brand uses TVC's to its advantage, the print ads of Axe won several awards in various ad events. Besides Print, the brand also uses outdoors to its maximum impact. Axe is a classic example of 360 degrees branding effort. Now Axe has a common message in over 70 countries. Mass communication can be utilised through the use of free-to-air television, radio, newspapers and magazines, as well as other methods like cinema and outdoor advertising. All its campaigns revolve round the central theme of Seduction where Girl makes the first move. PRICE The product solves an immediate problem. Cologne is too expensive for most Gen Y men and body spray does the job at a price they can afford. This is its fundamental feature. 2.69 Developing the pricing strategy requires an intimate look at the product strategy. If the product is deemed an innovation on the grounds of addressing a previously untargeted market like a sub-culture or youth segment the most profitable strategy for the Axe/Lynx

brand would be a market-penetration tactic. Market-penetration aims to set a comparatively low price for a new product in order to attract a large number of buyers and enhance a current market share. PLACE The process of efficiently and effectively making and getting products and services to end-users requires a marketing logistics network. Essentially, the physical distribution of the proposed products should propagate through a series of intermediaries as a fast moving consumer good typically purchased by consumers weekly. Distribution begins with the Unilever sales forecasting intermediary by determining company production schedules, inventory levels and production. Everywhere the product able to purchase is developed a in-store communication through educating retailer staff to be aware of competitions and promotion campaigns for Axe/Lynx products, as well as providing special promotional information about products and potentially, increase sales. Competitors for AXE deodorants Nike Park Avenue Adidas Set Wet Zatak Wild Stone