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All for one, Durex for all.

Durex Company
in CROATIA

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All for one, Durex for all.

DUREX COMPANY
Durex the brand is owned by SSL international. SSL is a multinational
healthcare business, manufacturing well-known brands including Durex
condoms, Scholl foot-care and footwear products, Marigold household
gloves and so on.

The Durex brand name was derived from the three


principal attributes of the product – Durability,
Reliability and Excellence. The brand name was
registered in 1929. Today it is recognized all over the
world.

With Durex products people are safe from sexually


transmitted diseases and unwanted pregnancy. They
can simply relax and enjoy. Durex can even help to
improve their sexual performance.

Durex target costumers are people all over the world that have some kind
of sex life. Teenagers, adults, couples, individuals…

The Durex brand is credited with many developments in the modern


evolution of the condom. These include the first lubricated condom, the
first anatomically shaped condom and more recently, the world's first non-
latex condom.

The Durex.com web site plays a key role in enabling the company to
communicate with young adults across the globe and provide them with
safer sex information in their own language. There are more than 52
specific localized sub sites. The web site also allows sexual healthcare
professionals to exchange information online.

Durex works with healthcare professionals, governments and


organizations including World Health Organization, UNAIDS and United
Nations Population Fund to support them in promoting good sexual health
and the importance of consistent condom use to prevent HIV and other
STIs.

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DUREX CONDOMS
Durex Company had put a lot of effort to make their brand recognizable
worldwide. Durex condoms are well known for its quality and people rely
on them for many years.

Condoms Characteristics
Durex condoms, not only provide pleasure, but they are the form of
protection which can help to stop the transmission of sexually transmitted
diseases (STDs) such as HIV and also prevent pregnancy.

Durex condoms are made from the finest quality natural latex with added
stabilizers, preservatives and vulcanizing (hardening) agents. Latex is a
natural substance made form rubber trees, but because of the added
ingredients most latex condoms are not biodegradable.

New technology has considerably improved the condom and enabled the
production of far more sophisticated versions than our ancestors were
used to. The latest development is DUREX AVANTI made from a unique
polyurethane material, DURON, which is twice as strong as latex enabling
a thinner, more sensitive film.

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All for one, Durex for all.

DUREX PRODUCT MIX

Durex has several product lines; condoms, vibrators (plays) and


lubricants. Each line has its dimensions (width, length, depth and
consistency).
Line of condoms in Croatia has 11 items, line of vibrators globally has 4
items (1 male and 3 female) and line of lubricants globally has 3 items.

Product mix consistency –Durex products are closely related with each
other because they all provide pleasure and safety (condoms).

Product mix width - Durex has concentrated mostly on producing


condoms but has lately added 2 new product lines (vibrators and
lubricants), which means Durex has small-medium product mix width.

Product mix length- Durex main product line, Durex condoms has 11
different products and that means that Durex has relatively big product
length. We can not say the same for Durex lubricants and vibrators
because Durex lubricants have 3 items and Durex vibrators has 4 items.

Product mix depth – Durex condoms are available in packages of 3s, 6s


and 12s.

Durex Product Lines

1. LUBRICANTS
Durex lubricants can be used onto the fingers (or
directly onto the body) and then applying it
where you think you'd like it best. It's ideal to
use with Durex condoms and can be applied
when the condom is already on.

2. VIBRATORS
Durex launched vibrations for both gender.
Male's: Play Vibrations (vibrating ring); it can be used with or without
condoms.
Female's: Wand, Charm and Little Gem.

3. CONDOMS
Durex condoms come in a variety of shapes, sizes, flavors and colors.
All of the differences in shape are designed to suit different personal
preferences and enhance everyone's pleasure.

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All for one, Durex for all.

Durex Product Lines Filling

1. LUBRICANTS

Durex Tingle lubricant creates a 'tingling' sensation with a mint taste!


This long lasting silky lube can be used all over the body, ideal for a top to
toe tingling experience.
• Helps enhance intimacy
• Light silicone lubricant
• Non-greasy and odorless
• Water soluble & safe to use with condoms
• In a twist action pump bottle for easy usage
• Play Tingle is not suitable for internal anal use
• Avoid contact with delicate, porous, painted or polished surfaces

New Durex Play is a pleasure enhancing lubricant which makes


lovemaking a more sensual experience for both partners.

• Water soluble and safe to use with


• condoms
• Non-greasy and odorless
• Durex Play can be used by squeezing
• a few drops onto the fingers (or directly
• onto the body) and then applying it where
• you think you'd like it best. It's ideal to
• use with Durex condoms and can be applied
• when the condom is already on.

Durex Play Warming lubricant gel creates a warming sensation that will
immediately heighten sensitivity!
• Blow, and it'll gently heat your skin,
• making the feeling even more intense
• It is even sweet to taste!
• Water soluble and safe to use with condoms
• Non greasy and odorless
• Available in 100ml

2. VIBRATORS

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MALE:

NEW Play Vibrations, a vibrating ring designed to give


you up to 20 minutes of quivering pleasure It's easily
turned on and off; part of the fun will be experimenting
with which way to wear it for maximum stimulation. Play
Vibrations can be used with or without condoms, try it with
a little lubricant to further enhance your experience.

FEMALE:

We like to think of this one as magical! Wand is the only


vibrator in the range that is intended for vaginal
penetration, and its body-contoured curves have been
designed to reach your G-spot easily. It can, of course, be
used anywhere you or your partner likes, and the shaped
handle makes it easy to stroke all over your body.

Although created with shared massage and foreplay in


mind, there is no reason why you shouldn't enjoy Charm
on your own. The smooth, spherical pad can be rolled all
over the body in a slow sweeping caress to relax tense
muscles or tease sensitive areas. Whatever you are in the
mood for! The shape is perfect to rest against your clitoris
for more direct stimulation.

Little gem is a real treasure; this discreet little vibrator


slips comfortably between your fingers, feeling like an
extension of your hand. The size and shape of the soft,
curved pad have been designed specifically for your clitoris
and labia (though where you use it is up to you).

3. CONDOMS

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TINGLE - NEW Durex Tingle condoms are coated in a


special lubricant to create a gentle tingling sensation,
heightening stimulation for both partners. It's an easy-on
shape providing extra comfort and a better fit and feel.

Available in 3s and 12s

AVANTI - The world's most natural feeling non-latex


condom. Thinner than regular latex condoms for a really
natural feeling. The world's first male polyurethane
condom, non allergenic and with non-spermicidal
lubricant

Available in 3s and 6s

EXTRA SAFE - The most popular Durex condom in the


latex range. Odor Masker. Shaped to be easier to put on
and to provide a better fit and feel during lovemaking.

Available in packs of 3s, 6s and 12s

SELECT - Colored and flavored for extra excitement.


Selection of fruit-flavored and colored condoms that
help inject fun and variety into sex. Non-spermicidal
lubricated.

Packs of 3s, 6s and 12s

SENSATION - Unique raised dots for enhanced pleasure


and intensity. Condoms with non-spermicidal lubricant.
Shaped, ribbed and studded, teat ended, natural rubber
latex condom. Easy on.

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Available in packs of 3s and 12s.

CLASSIC – Easy non–spermicidal lubricant. Smooth and


transparent texture. Classic is a regular condom offering all
the benefits of a safe and effective condom, enabling users
to feel a sense of security.

Available in packs of 3s.

AROUSER – Uniquely set ribbons for complete pleasure


during lovemaking. Strong texture in red color. With non
– spermicidal lubricant.

Available in packs of 3s.

ELITE - Specifically shaped to be easier to put on,


these incredibly thin condoms have extra lubricant
added to provide a better fit and feeling during sex.

Available in packs of 3s.

PERFORMA - A special Benzocaine lubricant inside the


condom helps to control climax and prolong excitement
for longer lasting lovemaking.

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Available in packs of 3s.

PLEASUREMAX - The ultimate pleasure condom


for both partners. Unique texture combination of
RIBS and raised STUDS, as well as extra bulbous
teat and easy on shape to maximize stimulation
& provide greater fit, feel and comfort. Male
wearing the condom enjoys extra friction &
movement caused by the extra bulbous shaped
tip. Has an odor masker. Lubricated, shaped,
ribbed and studded, teat ended, natural rubber
latex condom.

Available in packs of 3s and 12s.

ULTRA THIN – Ultra thin condom with


non–spermicidal lubricant. Offers complete
pleasure.

Available in packs of 3s.

DUREX PRICING STRATEGY


Price is usually one of the most important things to decide when launching
a new product. Since it is the only element that produces revenue it

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should be as high as possible to cover up all the expenses and to earn as


much profit as possible.

However, it is also one of the major factors that affect the buyer’s choice
so it should be as low as possible. Thus, we concluded that our price
should achieve the financial goals of the firm i.e. profitability, but it should
also fit the realities of the marketplace.

Durex marketing objectives

One of the main marketing objectives that Durex is trying to achieve and
maintain is to be a product quality leader in the market.

We are not interested just to sell our product in the maximum quantity
possible. We are interested into our customer’s satisfaction. And the only
way to obtain that is to offer them a high quality product.

To produce such product we needed to set a price that will cover high
performance and high costs of research & development, such as expensive
manufacturing, exclusive distribution and extensive advertising and
promotional campaigns. So to create a high-quality product we needed to
set the price above the market price.

Durex offer in Croatia

Since we are not offering just one product, but


the entire line of products we are implementing
strategy of product line pricing. We have divided

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our products into three different groups depending on their usage, target
groups and costs of production.
In the first group are classical condoms: Durex Classic, Extra
Safe and Select. They are the simplest condoms, used by the majority of
the customers and have the smallest cost of production. That's why they
have the smallest price in the product line which is about 15, 90 KN.
The second group is combined of the condoms that have some
extra attributes which makes them more exclusive and thus more
expensive to produce. This group includes the condoms such as: Durex
Sensation, Arouser, Performa and Ultra Thin their price is about 17, 90
KN.
The third group offers the exclusive condoms, the most
expensive to produce, which are made namely for "advanced" users. And
those condoms are: Durex Tingle, Avanti (the first non-latex condom),
Pleasuremax, with the price about 21, 50 KN.

Durex price adjustment strategy

As a part of our price adjustment strategy we are offering quantity


discounts and various promotional discounts.

In some of our bigger distribution centers


we are offering some types of condoms in
12 packs which have smaller price per
piece and are offered to the customers that
have found their favorite type of condom
and are mainly using that type.

Our promotional discounts are different


form one campaign to another.
Currently we are planning an educational
campaign where we will familiarize young
people with the problem of the sexually
transmitted diseases and the problem of
unwanted pregnancy and during that
campaign we are planning to offer our
extra safe condom at lower price.

DISTRIBUTION CHANNEL
In Durex we define the Supply Chain, like most companies, as being the
chain of all the activities necessary to supply products to our end
consumer. This starts with basic materials which we transform at our own
factories or suppliers' factories and then ship through our distribution
network to our customers and partners and hence to our consumers. For
example, in the supply of condoms we manage the whole of the chain

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from the latex plantations in the Asia Pacific region, through material
preparation, manufacture and shipping, all the way to our end customers.

The sourcing or manufacture of products is subject to constant challenge


and review, so that we always strive to have the most effective and
competitive balance between in-house and external manufacture. Durex
has several areas of "manufacturing excellence" where products are only
ever made in our own factories. In other areas we choose to work with
carefully selected partners with whom we will often have a long term
relationship and with whom we will often co-develop new products
leveraging the best of our in-house and our partner's expertise.

Durex, including other SSL companies has


eight in-house factories around the world
with an additional five factories in Asia
Pacific through joint ventures. In addition
we use third party suppliers who
manufacture finished products.
Warehousing and transportation services
are mainly provided by third party logistics
companies.

The supply chain operates within a framework of quality control such that
all products supplied by us are of the highest quality and are in line with
all regulatory requirements.

Concerning Durex Company in Croatia, the technical problem is how the


product is distributed amongst current and prospective consumers.

Durex has commercial offices in over 45 countries, recently including


Croatia, but the manufacturing capabilities are located in Thailand, Spain
and the U.K. and joint venture manufacturing is conducted in India and
China. The head office is in London.

Therefore the first obstacle is shipping


the product to Croatia in the first place.
As we said transportation services are
mainly provided by third party logistics
companies. These are mainly companies
that have a long history of cooperating
with Durex, so there is a feeling of
mutual trust which ensures rather
smooth goal execution.
Once the product reaches the country,
the real task begins. Durex’s goal,
except superior value to the customer is
also to reach maximum availability of

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the product. So Durex Croatia will try to place the product on as many
places as possible.

The first action is to introduce the product to big department stores like
Konzum, Mercator or Mercantone. Of course it should be desirable to
reach an agreement with all the companies because an arrangement with
one of them does not exclude an arrangement with the other. So the goal
is to have a Durex stand by every counter. The drawback of discount
stores product placement for a market leader like Durex is the fact that
the product probably would not fit in, when you look the price. These
kinds of stores are concentrated on bringing the prices down, so it would
be fair to presume that the low-priced competition could maybe have
more success.

This is not the goal just for super markets, but also the small and the
medium ones. Even though big retailers have a lot of customer there are
only a few of them and they definitely are not the only thing to
concentrate on. Small and medium convenient stores deserve the
attention, because they are much closer to the customer, which is a
somewhat of an important factor. Going to the extreme, kiosks are the
smallest locations where we can offer the product. The only drawback is
the fact that people could be a little embarrassed buying the condoms at
their local store or kiosk cashier.

Durex products should also be available at specialized shops like sex


shops or drug stores.

So we come to a relative innovation for the Croatian market: vending


machines – machines that dispense merchandise when the customers
deposits money. Vending machines are very common in the US and
northwest Europe and especially Japan, selling anything from snacks,
beverages and alcohol drinks to newspapers and mobile phone recharging.
They could be almost called automatic kiosks. This is what can be used to
become their great advantage, the lack of personnel (except of course
maintenance). In Croatia vending machines for some types of goods
(newspapers for example) are still relatively a new thing. But that just
means that there is real possibility for using this type of product
placement and gain further advantage over the competition. We can then
place the machines at bars, disco clubs, or just about anywhere where it
can be closer to the customer.

As a market leader Durex should always aspire to be the best. And that of
course does not include just the product, but also among other things
(price and promotion) product placement. You can have the most perfect
product in the world, but if you don’t find your way to the customer,
nobody will buy it.

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DISTRIBUTION CHANNEL IN CROATIA

SSL Atlantic Group Retailers


International
At the first level of distribution is SSL international, a manufacturer
and distributor of healthcare products sold into consumer markets
worldwide.

SSL has a diverse portfolio of consumer products which include the global
brands, Durex condoms and personal lubricants, Scholl foot care and
footwear as well as local over-the-counter brands such as Syndol, Meltus
and Full Marks in the UK and Sauber and Mister Baby in Southern Europe.

Second step is Atlantic Group. Atlantic Group is a leading producer


of instant vitamin drinks and sports food, a significant regional producer of
cosmetics and personal care products, and a leading distributor of fast
moving consumer goods in southeastern Europe.
It is the leading regional distribution company of high quality consumer
goods, which are most frequently market leaders in their categories
(Durex, Duyvis, Ferrero, Johnson & Johnson, Katjes, Vivera, Wrigleys
etc.).

The last step is retailers. They are numerous.

DISTRIBUTION
Condoms, properly used, represent a
proven, effective means for preventing
the transmission of HIV, other
traditional sexually transmitted
diseases (STDs) and pregnancy.

Latex rubber condoms are relatively


inexpensive, can be mass-produced,
are highly reliable and generally have
no side-effects.

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Free condom distribution combined with information and skills building


have proved effective in HIV prevention campaigns, especially among
groups whose behavior may put them at heightened risk of infection.
Free distribution can contribute to making condom use the norm in
commercial sex.

Durex is working with healthcare professionals, governments and


organizations including World Health Organization, UNAIDS and United
Nations Population Fund to support them in promoting good sexual health
and the importance of consistent condom use to prevent HIV and other
STDs.

However, condoms should not only be available at family planning clinics


or pharmacies.
Broadening distribution to supermarkets, grocery stores, bars, motels,
petrol stations and other non-traditional outlets was shown in one study to
increase condom sales six-fold over a two-year period.
In many developing countries, condoms that are sold through social
marketing are available at various points, including in bookshops and
open markets, and through retail traders.

In Croatia, Durex products are offered in supermarkets, grocery stores


and petrol stations. In future we plan to improve our distribution to bars,
motels, hotels, clubs, colleges, etc. We want our costumers to have Durex
products available wherever they are.

On London’s Hampstead Heath (a large open space where sexual


encounters are frequent) condoms were hung on trees for free
distribution.

In Croatia things are different, until efforts to destigmatize condom use


are successful, lack of privacy at the point of sale will continue to deter
some people, especially young people and women, from buying condoms.
Vending machines are one way of overcoming this obstacle, so we will
work on putting them in toilets in bars, clubs and so on.

DISTRIBUTION IMPROVEMENTS
As a result of increasing awareness about AIDS and STDs (sexually
transmitted diseases), many people in longer-term relationships are
changing their sexual behavior. Some people are abstaining from sex until
after they are married; many have decided to remain faithful to their
partners, and others have started using condoms regularly and
consistently for protection. However, large numbers of people have yet to

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adopt safer sexual behavior through correct condom use. The spread of
AIDS would be slowed if more people used condoms.

It is estimated that between 6 and 9 billion condoms are distributed


around the world every year. Since the beginning of the AIDS epidemic,
condom distribution has greatly increased. In most urban areas, and in
many rural communities, men and women can obtain good-quality
condoms free or at low, subsidized prices. However, recent analyses of
condom use for HIV prevention in developing countries show that there is
a growing but unmet demand for male and female condoms. In other
words, the world's population of sexually active men and women needs
more condoms.

In our research we have found out which


are the most common obstacles to
effective and widespread condom use,
and they include:
• Difficulties in obtaining condoms
because of high prices, restricted
availability, and lack of privacy for
those wanting condoms at the point
of distribution.
• Inadequate, inaccessible or
inappropriate health counseling and
facilities. In many places, facilities
for family planning, as well as
counseling on, and treatment of,
HIV and other STDs, do not exist.
Alternatively, where facilities do
exist, access to them may be
difficult due to the negative
attitudes of staff, a lack of
discretion or anonymity,
inconvenient locations or opening hours, or the costs involved.
• Lack of awareness (especially among sexually active young people)
of the effectiveness of condoms in preventing the transmission of
HIV/AIDS and some other STDs, as well as pregnancy.
• Poor-quality condoms, or condoms that have been improperly
stored, are more likely to break and give people a false impression
about condoms in general.

To prevent such obstacles as part of its distribution and promotion


strategy Durex has decided to implement some of the listed solutions for
which we think are the most effective:
• Train doctors to talk with, listen to, and advise their patients about
sexual behavior, sexuality and safer sex.

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• Promote condom use as fashionable, acceptable and responsible,


and as an essential part of HIV/AIDS, sexual health and sex
education.
• Make condoms more widely available, ensuring privacy and
confidentiality at the point of acquisition and, where appropriate,
use peer distribution.
• Advocate condom availability in bars, nightclubs and hotels -
wherever people gather to have a good time.
• Review and, if necessary, revise policies and legislation that in any
way restrict safer sex, condom awareness, or condom distribution or
use by sexually active people.
• Ensure the production and distribution of only good-quality
condoms.
• Advocate the removal of customs duties and taxes on condoms and
the raw materials needed to make them.
• Advocate advertising and radio/TV/press campaigns to encourage
condom use.

One of the main goals of our distribution strategy


is to make condoms available to young people
and to ensure that they are aware of all the
methods of preventing spread of STDs. An
increase in reported sexually transmitted
diseases (STDs), including HIV/AIDS, among
adolescents has prompted many communities to
take action to protect their youth. One proven
method is to provide comprehensive sexuality
education along with school based programs that
make condoms available to sexually active
youth.

An argument against distributing condoms in high schools is that it leads


to increased sexual activity. A recent study of over 4,100 high school
students found this isn't the case.
Students who have access to condoms and instruction in their use were no
more likely to have sexual intercourse than students at schools without
condom distribution programs. Students with access to condoms were
twice as likely to use them when having intercourse than students who
don't. Another benefit of condom distribution programs is that students in
those schools received more HIV instruction.

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A comparison of public high schools in


New York City and Chicago found
positive effects of condom availability
programs. With the same sexual
activity among senior high students
in both cities (NYC, 59.7 percent;
Chicago, 60.1 percent), sexually
active students in New York, where
there is a condom availability
program, were more likely to report
using a condom at last intercourse
than were those in Chicago, where
condoms are not available in school
(60.8 to 55.5 percent).
In a two-year study of Philadelphia
health resource centers (HRCs) that
make condoms available, the percent
of students using condoms at last
intercourse increased from 52 to 58
percent. In schools with high HRC
use, the number of students ever
having intercourse dropped from 75 to 66 percent, while condom use at
last intercourse rose from 37 to 50 percent.
By comparison, in schools reporting lower HRC use, the percentage of
sexually active teens decreased from 61 to 56 percent, while condom use
a last intercourse rose from 57 to 61 percent. Non-program schools
showed an increase in sexual activity among teens, while condom use
increased from 62 to 65 percent.

In the same study we concluded that adolescents also lack access to


contraceptives. Some of the obstacles include confidentiality, cost, access,
transportation, embarrassment, objection by a partner, and the
perception that the risks of pregnancy and infection are low. A 1996
survey conducted by high school peer educators examined the
accessibility of family planning methods in drug and convenience stores in
Washington, D.C. and found that:
• Condoms were behind the counter in 83 percent of all convenience
stores and 15 percent of drug stores.
• Only 33 percent of the stores had signs clearly marking where the
contraceptives were located.
• Adolescent females asking for help in locating and/or purchasing
condoms encountered resistance or condemnation from clerks 27
percent of the time, compared to 10 percent for male teens.

Due to these reasons we are trying to implement the same system of


sexual education in Croatia. We are planning to ease the access to
condoms to younger population which is frequently ashamed to purchase

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the condoms in convenience stores by installing condom machines in high


schools, colleges, discotheques, bars, pubs etc.

Also as a part of our distribution program we are planning to offer our


products online. We are currently having that purchasing option in some
of the European countries and USA and are currently implementing it into
Croatia, although we are more concentrated on other ways of distribution
because we think that online purchasing of condoms isn't quite popular
and convenient idea.

THE MARKETING COMMUNICATIONS MIX

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Advertising

Sales
Personal
Promotion
Selling
MARKETING
COMMUNICATIONS
MIX

Direct Public
Marketing Relations

The Marketing Communications Mix, also known as Promotion Mix, is


the specific mix of advertising, personal selling, sales promotion,
public relations, and direct marketing a company uses to pursue its
advertising and marketing objectives.

CAMPAIGNE IN CROATIA

This campaign is concentrated on Croatia in general. This campaign is


going to be introducing to the Croatian market this summer and it's going
to last from June to September this current year.

Durex Company in Croatia is always considering specific local details that


shape the environment. For Croatia one of the biggest distinctive factors
relative to some other neighboring countries is the existence of a big
tourist industry.
Millions of tourists (up to 10 million which double the population of the
country itself), and of course potential customers, visit Croatia every year.

We could place a few stands as close to the border (airports, harbors, in a


word to the entry points) as possible but that could be neglecting the
second difference.
Croatia is mostly catholic and somewhat conservative and besides that
tourism is mostly concentrated to family tourism. So that kind of product
placement could be found as too aggressive. Still maybe it would pay off
to give it a shot.

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What Durex should do is to utilize this still a fairly big market niche and
open stands on target areas, like Zrće beach, full with young people that
fulfill our target market criteria.
These would most certainly increase total sales, and improve the yearly
average. And being that tourism has almost a double digit growth, it is
safe to presume, that tourism is not only a stable factor that we can
always count on considering our market plans, but is also very much on
the rise, and could contribute to further company growth.
We just need to beat the competition and not to think only to be available
to locals, but also to consider the ever-growing tourist population that
shows no signs of a dreadful decline.

1. ADVERTISING

Advertising ads are going to be in monthly magazines


for teenagers, explicitly for men and for women;
posters in restrooms in clubs; TV commercials on
national TV stations

. They are going to be played 5 times a day,


especially in the evening, between 7 p.m. and 9 p.m.

We expect that this campaign is going to aware people to think wisely and
to protect their health by using Durex condoms.

2. SALES PROMOTIONS

Croatian campaign of Durex condoms is going to attract attention with


sales promotion. We have a plan of hiring hostesses who would giveaway
free samples of Durex condoms on beaches, coffees and promotions
stores...

These free samples are going to be given every weekend afternoons and
evenings.

3. DIRECT MARKETING

Direct marketing is the best way of communication with customers and


attractive to many marketers. We are going to send e-mails and flayers on
our target customers addresses, because its effectiveness can be
measured directly.

Durex Company in Croatia wants to test the effectiveness of online


advertising for reaching their target audience of young people.

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Global research had shown a growing shift in media consumption among


this group toward the Internet. As a first-time online advertiser, Durex
wanted to generate awareness and develop benchmarks for response.

This segment of Communications Mix is going to start in July, month


before Summer campaign.

4. PUBLIC RELATIONS

SSL International has its own PR department which is offering


communications counsel on appropriate communications strategies for all
Durex products globally. Durex Company in Croatia is in constant contact
with other Durex companies around the world and is implementing similar
solutions.

5. PERSONAL SELLING

Durex Company is currently not interesting in personal selling.


We managed to cover all the segments of Promotion Mix, so Durex
condoms do not need that kind of promotion, Personal selling.

TARGET AUDIENCE
Durex condom is product especially made for men, but their goal is to
protect both sexes equally.
Male, female:
- especially teenagers and young people
- and of course older generations

Durex customers can be divided in these factors:


• Geographic’s: big and small cities, villages, seaside during
tourism season
• Demographics: male between 15-55 year makes 83%, female 16-
40 years makes 17% of market
• Behavior: who take care of their health and about quality

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All for one, Durex for all.

BASIC MESSAGE

Durex Company wants to show its basic message through chosen media.
Our chosen media, as we said, are well-known monthly magazines, TV
commercials, hostesses with free samples and posters in clubs.

With our advertising campaign we are trying to approach to our customers


on a funny and unusual way. Durex summer campaign 2006 will be
stunning and people will be attracted by it. In this campaign we will try to
maintain our recognizable style with a bit of spicy details.

Our mission is to provide the best quality and protection for the customer.
Our aim is to have the biggest offer and to exceed the expectations of our
customers.

ALTERNATIVE PROMOTIONAL STRATEGY

After our Durex summer campaign 2006, we


are planning to continue our promotion with
alternative promotional strategy.

During the summer, while our Summer


campaign is blooming, we will make an
agreement with Elementary and High schools
in bigger cities all over Croatia, about having a
presentations and seminars.
Those seminars and presentations are about
sexual education of children and teenagers.

Topics that are going to be presented to our


audience will include:

• First time having sexual intercourse


• Sexual transmitted diseases
• Protection from unwanted pregnancy
• Correct usage of condoms

After every seminar everyone will get free sample of Durex condom.

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All for one, Durex for all.

FINANCIALS, BUDGETS, AND FORECASTS


Break-even Analysis
The Break-even analysis indicates that 3 mil KN will be needed in annual
revenue to reach the break–even point.

Sales Forecast
Summer will be used in launch new type of Durex
condom and in promotion of already known types
to the new generation of young people. These
moves will increase sales of Durex products, and,
that is most important, improve high quality and
protection to their consumers.

Expense Forecast
Marketing expenses are to be budgeted from June to September.
The highest increase in budgeting will generally occur during this summer
season, when people are enjoying on holidays, but they want to enjoy
safe and with pleasure. Also it will continue during autumn through
seminars and presentations in schools all over Croatia.

Linking sales and Expenses to Strategy


Sale is lower in the beginning of the year, so summer is good time to
promote a new product and refresh knowledge about current products,
which will increase sales in those months and rise demand in the rest of
the year.

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All for one, Durex for all.

Controls

Propose of Durex marketing plan is to serve as a guide for the


organization.

Implementation Milestones
The next milestones identify the key marketing programs:

Milestones Start date End date Budget Part of


Marketing
Department
TV and radio 01.06.2006. 01.09.2006. 250.000,00 Advertising
promotion KN
Free samples 01.06.2006. 01.09.2006. 150.000,00 Sales
and KN
hostesses
Promotion in 01.07.2006. 01.09.2006. 60.000,00 KN Sales
the stores
Adds in 01.07.2006. 01.09.2006. 200.000,00 Advertising
magazines KN
and
newspapers
Internet 01.06.2006. 01.09.2006. 50.000,00 KN Advertising
(WEB site, e-
mails, )
TOTAL: 710.000,00 KN

Marketing Organization
Responsible for marketing activities is Chief Executive Manager of
Marketing Department.

Contingency Planning
Difficulties and risks:
-competitors are more aggressive than us
-costs of marketing are higher than we planed
-sales stagnate

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All for one, Durex for all.

SEGMENTATION
Since condom use typically begins young and
the role of the brand is very high for condoms,
Durex heavily targets young people, using
youth media such as MTV, the Internet, free
samples on campuses, and sponsoring youth
events.

Another way Durex creates interest in its


brand and guarantees press attention is by
publishing its annual sex survey. The survey
of 5000 participants with ages varying over
the years across 14 countries allows Durex to
behave as the leader in condom-related
information – reinforcing the feeling that
you’re in good hands with such an
experienced, knowledgeable brand owner
as Durex.

Durex is doing sex surveys every year to explore situation on the market.
Durex Company in Croatia is also dealing with these researches. Results
of Durex Sex survey 2005 showed that people in Croatia are having sex
for the first time at an average age of 17.3.
People have had an average number of 7.5 sexual partners (men have
had more sexual partners than women - 10.2 compared with 6.9).

Almost half (47%) of all adults globally have had unprotected sex without
knowing their partner’s sexual history, in Croatia this percentage is 51.
Women are less likely to take risks than men - 45% have had unprotected
sex, compared to 48% of men. Almost two thirds (65%) of 45-55 year
olds have risked unprotected sex, compared to a third (33%) of 16-20
year olds.
In Croatia 2% of sexually active population have had an unplanned
pregnancy aged 18 or under and 6% aged 19 or over. 11% have had an
STD. In Croatia 74% of people believe that young people should practice
safe sex.

52% adults in Croatia claim to be happy with their sex lives, 45% are
open minded when it comes to sex, 16% likes to experiment with sex
toys, 44% likes to be inspired and are looking for new ideas. 33% wish to
have sex more often. 50% had one night stand. Only 7% thinks that their
sex live is monotonous.

17% are claiming to have had an extra marital affair, 12% tried three in
bed, 14% had homosexual experience, and 7% prefers sadomasochism
and 4% practices tantric sex. 23% have used masks, blindfolds or other

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All for one, Durex for all.

forms of bondage, 24% have used lubricants (66% for anal sex, 58%
vaginal dryness, 41% to make sex less painful), 17% using vibrators.
75% buys vibrators in sex shops and 20% over the internet.

Globally, people are having sex an average of 103 times a year, with men
(104) having sex more often than women (101), Croatians are having sex
an average of 134 times a year.

What can we conclude from this research? Durex in Croatia should


segment market on basis of age (16-18, 19-25, 25-30, 31 and more),
should make people aware of STD and unwanted pregnancy through
education of them. We should also encourage people not to be ashamed
of using vibrators and lubricants. We want our costumers to be safe and
enjoy! Croatians are having sex often and are perfect material for
condoms trading. Country is becoming open for new religions, but is still
mostly catholic which is why people are sometimes afraid of their sexual
wants and needs.

TARGETING
According to our sex survey, with which we have completed our process of
segmentation, we have divided our market into two main target groups.
Our first group is consisted of young people, male and female, from 16 to
18 years, and our second group is consisted of people, also male and
female, from 19 to 30 years. However, these are only our main target
groups, since our target audience is basically population over 18 years of
age.

The difference between these groups is the range of products that is


offered to each group. Since our first group is consisted mostly of people
who either haven’t had sex at all, or have had a small number of
intercourses, we have developed a plan of promoting only our basic and
most popular products from our condoms line, since we think that the

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All for one, Durex for all.

interest for the remaining part of the product line wouldn’t be so big to
make it profitable.
These most popular products include Durex classic, extra safe and select.
These products will be offered to all the members of this group, but the
emphasis will be on the people who have already had some sort of sexual
experience.

The reason for such targeting is our goal to encourage young people’s
consciousness about STDs and importance of condoms, as well as creating
a habit of condom using. That’s why, as we already pointed out, we have
developed a promotional strategy which is mostly based on young peoples
education and creation of condom awareness.

Our goal is also to remove the “taboo” sign of the topics about sex so that
we could show people how to come out of the shadow and improve their
sex life.
Our second group is consisted out of people who have had quite a few
sexual experiences and are more interested into enhancing their sexual
life. The products that are offered to this group are basically all of the
Durex products, which are Durex condoms and Durex Play collection. Our
main goal with this group is to familiarize all the group members about
the variety of our products and to increase our brand awareness and
brand loyalty within the group.

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All for one, Durex for all.

MARKET POSITIONING

The condom market in general has undergone unprecedented change


since the 1980's and will continue to see its markets, advertising
strategies, and sales grow and change in ways never before imagined. In
the past, condoms were viewed as unmentionable products that were
marketed only at men between 18 and 35 and sold only in gas station
restrooms and bus stations. But today women account for and estimated
40-50% of condom sales and after a Supreme Court ruling in 1977,
condoms are now sold in front of the counter, not behind it. Further, the
AIDS epidemic which has afflicted 40,000 U.S. citizens between 19811
and 1988 has served as an impetus to growth and diversification of the
condom market. The new legitimacy of the condom combined with new
entries into the market by other manufacturers has resulted in growth and
segmentation in the condom market.

Durex is market leader of branded


condoms with 84% market share. For 75
years, Durex has represented quality and
reassurance for consumers, but over the
past year, the brand has grown to
represent even more - moving from not
only providing expert protection for safe
sex to also providing the confidence and
freedom to enjoy better sex.

Durex Croatia believes that the business


results measured in market share
percentages, could even top the results of
domestic (UK) market shares (Durex
company was founded in London), and
global market share.

Durex’s logical market position is being the market leader meaning that
on particular national markets Durex is usually the brand that has the
biggest market share. But Durex is more then just a company with high
market shares. Durex is in its line of products, what we call a
masterbrand. A brand name that dominates all products in a range or
across a business.
In some rare cases, we do not have the biggest market share, but in
some cases not only that we are market leaders in terms of comparing the
market share with competition’s results, but we completely dominate the
market with over 80% of the market being loyal to our brand.

In Durex Croatia we feel that it is not too ambitious to set similar long-
term goals for the Croatian market. There are several reasons.

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All for one, Durex for all.

Firstly, as we mentioned, Croatia is a relatively developing market in


terms of condoms. So if we act quickly and establish ourselves as the
undisputed market leader, that has exceptional quality, we can not only
create loyal customer base, but also make it easier to attract future
customers, by creating and retaining and image of Durex brand as a
market leader and innovator. So not only do we have the product quality,
we also try to sense where the market is going and what it wants, so we
can customize the products and not create only one model of a product
(as we mentioned currently we have 13 models).

Secondly, being that Durex is a company focused to bring extra value to


the customer, and that it cannot compete with some average and under
average producers in terms of pricing, prices that Durex products have
(and can be acceptable to the market) are always a bit higher than the
competition. So that is why it is important that Croatia GDP per capita is
among middle income class and has a tendency to keep growing (doubled
in 10 years – from €3500 in 1996 to €7000 in 2005). This means that
current prices are sustainable and that eventual small price adjustments
in the future would not have a great impact on the market share.

So our goal is simply to sustain the 60% market share and increase it
gradually.

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All for one, Durex for all.

PRODUCT POSITIONING

Positioning is a conscious effort to decide our niche in the marketplace.

Brand positioning deals with consistent transferring of the brand image


into the consumer's mind creating brand perception. Transferring a perfect
image is very difficult because external interference clutters or warps the
perception.

Durex condoms always had a great product position in the market. Thanks
to our good quality and promotion.
Despite our high prices, people still buy our products with joy because
they have introduced with our high quality.

Durex Company's aim is to make Durex brand name permanent in the


world's market of condoms. Since 1929 Company is working on idea to
attract customers with their high quality and to make them long-term
consumers.

In Croatia, Neon group is trying to do


the good product positioning and
introduce people with quality of Durex
condoms.

Durex Company shows customers that


Durex condoms are made from finest
latex and best materials that are
dermatological tested.

To introduce brand quality Durex has


decided to launch a promotion which is
based on internet web pages, free
samples and broachers.

Durex brand is mainly recognized


because of the unique packaging,
condoms of various shapes, flavors and
size. Beside the high quality product
Durex brand image is built by heavy
advertisement and promotion, which
include sample giveaway, funny
commercials, flyers, health surveys
and so on.

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All for one, Durex for all.

CONDOM BRAND POSITIONING

High price

Durex
; 4,66
)
(4,73

Trojan
(3,6; 4,1)
ct
Prote ,7)
(3,2;3
3,304* 3,17 ** Highquality
Low quality

tyles
LifeS ,73)
(2 ;1 t rol
Con ,66)
3;1
(2,5

Low price

As you can observe from this perceptual map that was made on the
sample of 50 people (of various ages and sexes) Durex condoms have the
highest ranking amongst its competitors. Though the high price, Durex is
offering the highest possible quality, other from this sample offer products
with lower prices but with a substantial lower quality. With this survey we
approve perception of our brand as being high quality one and well known
among Croatian consumers.

POSITIONING FACTORS

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All for one, Durex for all.

These are some of the main factors which have influence on brand
positioning, and are to be further elaborated:

• Disposable income
• Culture
• Religion
• Family
• Lifestyle
• Age and life-cycle
• Education
• Unemployment/Employment

As sexuality in general is being


controversial among people especially in
less developed countries, the issue about
contraception is even more emphasized.

In Croatia there is a great deal of


Catholicism influencing sexual behavior
among population, other form of exogenous
influence is coming from orthodox and conservative families.

Another factor that might influence positioning of the product in


consumers minds is the level of education, which is in relation with
income, employment and lifestyle.

Furthermore age is relevant factor of positioning among elderly population


and closely related to age; steady relationship may undermine the use of
contraception and thus act as a positioning factor.

NeoN group:
Ivona Petrović
Stela Oroz
Nina Nonković
Tomislav Prša
Pavle Stanišić

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