Deodorants and anti-perspirants in Thailand : not a very refreshing thought | |
| Author | L'ecuyer, Jean |
| Call Number | AIT RSPR no. SM-03-01 |
| Subject(s) | Deodorants--Thailand Marketing research--Thailand |
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration. |
| Publisher | Asian Institute of Technology |
| Abstract | The purpose of this research study is mainly to uncover the reasons behind both the product category's poor performance and Rexona's relative decline, and propose a solution to simultaneously improve the prospects for the former and the latter. On the basis of determining and analyzing 1) the factors and influences that have instilled the category with a legitimate and necessary role in the ritual of daily hygiene throughout the Western hemisphere, 2) an analysis of the marketing activities that have been undertaken by the brands comprising the category, from the latter's introduction in the Thai market to the present day, and 3) an in-depth look into the Thai consumer, the roots of the problem were identified and confirmed. In essence, poor marketing is to blame. From the onset, the category positioned itself in a manner that was simply incompatible with the Thai consumer. Due to cultural peculiarities, which range from existing hygienic habits and the prevalence of hedonism to the fact that body odour is more taboo in the kingdom than it is in the West, the products, which had initially positioned themselves the same way as they had in Western markets, were simply irrelevant to the majority of Thai consumers. To make matters worse, in an effort to improve consumer acceptance of the category, a number of leading brands pursued strategies that revolved around the creation of new needs for the products, most of which were inconsistent with the category's core proposition and were far from being sufficiently motivating to influence consumers' hygienic habits, thereby ultimately serving to undermine the legitimacy and credibility of the category. Concerning Rexona more particularly, given that it has typically positioned itself as the advocate of the category's true functional benefits by claiming to be the most efficacious brand, it should theoretically be more adversely affected than most brands when considering the Thai consumer's idiosyncrasies. However, since the brand has always outspent its rivals by more than 100% in its promotional activities, it has managed to remain among the leading brands in terms of market share. Given the current market size however, such a strategy will soon prove to be unsustainable. Furthermore, as the brand is no longer perceived as the undisputable leader, the result of aggressive competition and its image having tarnished/degraded over the past couple of years, it is safe to say that the brand is in a precarious situation. As the product category is still in the initial phase of its life cycle when considering the low rate of market penetration, there is enormous potential for growth. In effect, Rexona could become much more profitable but for this to happen, it is imperative to direct marketing efforts towards stimulating primary demand in addition to stimulating selective demand, as the product must first become relevant in the most basic sense. |
| Year | 2003 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Speece, Mark; |
| Examination Committee(s) | Quang, Truong;Swierczek, Fredric W.; |
| Scholarship Donor(s) | Self-support; |
| Degree | Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 2003 |