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MARKETING PRINCIPLES

Marketing Analysis Report

Individual Final Marketing Project

AXE
Axe Gold Temptation
Deodorant

↞ S3878233 Nguyen Ngoc Thanh Thao ↠

The Axe Effect!


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Marketing Analysis Report

TABLE OF CONTENT

I. Introduction 3

II. SWOT analysis 3-4

III. Target consumer 4

IV. Differentiation and Positioning 4-5

V. Current 4Ps Performance 6-14

VI. SMART Objective 14

VII. Marketing recommendations 14-15

VIII. References 15-17

IX. Appendices 18-19

~ Words count: 1327 words

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I. Introduction

Hindustan Unilever, one of the most trusted brands in the world with a brand that
caters for almost half of the world's population. This company not only did the business
better satisfy the customer's needs, but also managed to create the trust between the
employees who will represent them to serve the best of them at all times (Unilever n.d.). A
unique and famous brand called Axe falls under the umbrella of the full range of its services,
including home and personal care. The brand not only helps consumers to select from
hundreds of body spray, it also provides them an absolutely unique experience. One of its
most premium deodorants is Axe Gold Temptation Deodorant, which is described as the
product that lets you smell the finest scent of Oud Wood and Dark Vanilla by Axe.com (n.d.),
“With our men's AXE deodorant mist, you feel new and smell fantastic!”

II. SWOT Analysis

STRENGTH WEAKNESS

- Company: Since AXE originated - Natural: According to Khetrapal


from Unilever's house, it is sold in (2018), the CFCs gas in any spray
combination with all other HUL can like Axe deodorant can cause
goods and has a tremendous serious climate change.
distribution channel. - Consumers: the limitation in
- Strong marketing strategies: with its targeting customers which is only for
youth-centered promotional mature men, lacking female
products, Axe has been active in products.
establishing and being popular with - Sexist advertisement: Axe has
their customers (brandyuva.in n.d.). several advertisements that
underestimate women’s value and
that lead to a big argument about
sexist issues in its marketing project
(Hope 2016).

OPPORTUNITIES THREAT

- Demographic: the main sector of - Competitors: Competitors like


Vietnam’s population is at 15-65 in Adidas, Reebok, Nivea and many
the age segment (Marketline.com more, the Deodorant industry has
2020) and male in the gender split joined. Due to the obvious current
segment (Statista.com 2020). With a high brand share of these
huge amount of conventional competitors, AXE's sales and market
buyers, Axe has a big opportunity to power have been affected
get closer to most Vietnamese significantly.
males.
- Cultural: 72% of Vietnamses would
like to celebrate Valentine's day and
88% of them are willing to pay for
goods for this occasion (Hung Le

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2019). Therefore, by continuing to


develop its Valentine campaign like
“A Rock From an Astronaut”, Axe
may gain more customers' attention
and payment.
- Economics: Regarding to
tradingeconomics.com (n.d.),
Vietnamese consumer spending rate
has risen significantly to around 4.2
million VND throughout 2019. As a
result of this optimistic economic
report, Vietnamese customers are
completely accessible for the
premium costs of this luxury
commodity, Axe Gold temptation.

III. Target Consumer

AXE is using the Differentiated (segmented) Marketing strategy in order to target its
consumer segmentation. This brand is only focusing on a single-segment that are “awesome
men”. Detaily, axe’s main customers are men from 25-45 years old, have medium to high
income rate and especially “Young at Heart '' (AXE Positioning Analysis 2013). It convinces
youngsters through its advertisements that having this body spray can help draw females
and maximize their manly sexiness (Facebook AxeVietnam 2020). In addition, it’s also a
good choice for men who are playing sport but still want to have a pretty good smelling after
work out (Facebook Axe Vietnam 2020).

(Facebook Axe Vietnam 2020)

IV. Differentiation and Positioning

A. Differentiation:
1. Product: Axe Gold deodorant has a rich woody flavor and a charming
orange smell that makes you feel new all day long. In particular, the
product also helps deter sweating, giving you a refreshing and dry
experience (bachhoaxanh.com n.d.). Can be used to replace perfume

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and become the best product to unleash the men’s aura (Axe.com
n.d.)
2. Channel: Worldwide distribution of Axe helps it become more popular
than its competitors as well as showing how big is its professional
power that brings its products closer to every buyer (Unilever Vietnam
n.d.)
3. Image:The packaging is unique and trendy, with a cool simple
concept: black, red and blue colors indicate masculinity, strength and
supremacy. Therefore, it is absolutely fit with the attention of the
targeted segment, which is powerful, hostile and self-confident men.
B. Positioning:
AXE, a commodity to be accomplished that represents average and chic, fashionable
and optimistic, is a leading brand of male grooming products that offers unique, adventurous
and built to make them look, smell, sound their best and keep themselves ahead in the
dating world (Klara 2020). Moreover, about the brand awareness, Axe is in top 5 of
deodorant brand share in Vietnam, 6.1%, and having the increasing predictive sharing trend
in the report of Euromonitor.com (2019). Furthermore, the company share of Unilever is the
second leading in the deodorant market of Vietnam (euromonitor.com 2019), that status
seems to be a solid base for Axe to raise its position rate in consumers’ aspect.
1. Positioning map

High
Price

108.000
90.000
vnd
vnd

Low High saving


saving incense
incense 88.000 quality
quality vnd

79.000
vnd
Low
(basing on their prices in Lotte Mart HCM)
2. Value Proposition: Price

Axe has applied the 'More for More' proposal approach in which the company
produces marginally higher retail costs than almost all of its rivals and provides a broader
variety and superior quality in return. Axe has a slightly higher price than its competitors,
because it is not only a body spray but also a deodorant that clients might use as a
fragrance. In addition, Axe is a company with a solid identity with its superior product
attributes as comparison with its rivals.

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V. Current 4P performance

A. Product:
1. Performance:
a) Product type:
Axe is one type of convenience product which is necessary for the daily life of mature
men in middle and first class. It can easily be found at any supermarkets and convenience
stores around Vietnam and the entire world.
b) Product style and design:
Axe is packaged in a twist-top iron container that can be conveniently held open and
sprayed. Each line of products has its own style to make a different realistic appearance. For
instance, Axe Gold Temptation has a golden color that symbolizes the cozy woody smell
(Axe.com n.d.). In addition, the plain, elegant style and the durable bottle that is ideal for
guys, since they like simplicity (Stablein 2019). The font size of the "AXE" label is also
impressively and uniquely crafted.
c) Product levels:
(1) Core benefit:
- Axe Gold Temptation is the body spray that helps users to perfume their body and
deodorize their personal smelling or from sweating.
(2) Actual Product:
- 17.8 % of Aluminum Zirconium Tetrachlorohydrex GLY which helps to reduce and
prevent the body’s wetness (Axe Phoenix Antiperspirant Deodorant n.d.).
- Axe gold temptation with warm woody smelling extract from Bergamot and Cedar
wood (Facebook Axe Vietnam 2020).
- 24 hour sense saving (Facebook Axe Vietnam 2020)
(3) Augmented product:
- Giving customers tips and ways to use all Axe products and keeping their long lasting
function.
- Coming up with some flirting quotes for Axe’s men to attract their crush’s attention.

(Facebook Axe Vietnam 2018)

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(Facebook Axe Vietnam 2020)


d) Product line:
The deodorant product range is wide: body deodorant spray, deodorant stick, roll-on
deodorant, aerosol spray antiperspirant, antiperspirant stick .

(Vy Vy 2020) (Sáp lăn khử mùi Axe Antiperspirant 76g n.d.)
e) Product categories:
AXE offers all of the brand's ranges of beauty products: body mist, anti-perspirant
and deodorant sticks, shower gel, hair coloring, facial cleaning and shave gel.

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(businesswire.com 2014)

f) Branding strategy:
- Developing different flavor versions of Axe’s deodorant spray:

(Vy Vy 2020)

- Creating various type of men’s grooming products:

(Facebook Axe Vietnam 2020)


- Unilever has multiples of brands server the same deodorizing function:

(Holmes 2014)

- Unilever also develop on several types of products in lots of brands:

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(All brands n.d.)


2. Evaluation:
a) Strength:
- High functional product with several ranges of product categories
- Creative augmented product strategy which is trendy and attractive
- Appealing and cooly product’ s packaging
b) Weakness:
- Only for men’s grooming but lack of women’s product
- The smelling of some flavor is alcoholic and too strong
- Spraying directly on cloth may create some stain
B. Price:
1. Performance:
a) Major pricing strategy:
Axe is using the Customer Value-based as its major pricing strategy. Detaily, it offers
a product that can take the place of perfume with a lower price. Moreover, the sense of this
product also lasts for a really long time which is about 24 hours. Additionally, this Axe
substance works especially to avoid sweating and gives consumers a refreshing feeling
even after a hard workout (Xịt khử mùi AXE Gold Temptation 150ml n.d.).

(Longperfume.vn n.d.) (Wowmart VN n.d.) (tiki.vn n.d.)

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( Facebook Axe Vietnam 2020)


b) Operational pricing strategy:
(1) New product strategy:
- Axe is developing its new product pricing by Market-skimming strategy which is
setting slightly high initial prices to skim the maximum revenue. This strategy is
absolutely affordable with its targeted segmentation who have middle and high
income rates.
(2) Price-adjustment strategy:
- Product form pricing strategy:
~There are two types of deodorant that Axe has been developed, stick deodorant
and body spray. For the same volume and flavor, stick deodorant costs a lot more than the
spraying one.

(Guardian.com n.d.) (myphamsino.com n.d.)


- Promotional pricing:

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~Axe sometimes sells their goods briefly below the original price range to cause
customers' excitement and urgency. It usually offers some symple discount and occasional
sales on its distributions.

(shopee.vn 2020)
2. Evaluation:
a) Strength:
- Suitable price due to its high value function.
- Various sales and promotion gifts for targeting customers.
- Diversity product form pricing options for customers to choose.

b) Weakness:
- Lack of diversity of product line pricing
- Does not have any bundle or combo strategy to gain more customers’
payments.

C. Place
1. Performance:
a) Type of distribution:
- Indirect marketing channel: Axe does not sell its products directly to its customers but
through numerous intermediaries around the world as wholesalers, retailers,
supermarkets and convenience stores, e.t. (Axe n.d.).
b) Channel behavior:
- Horizontal conflict: the setting price of Axe Gold deodorant is mostly different in some
of Axe’s distributions. This leads to the confusion and selectivity of buyers.

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(shopee.vn 2021) (tiki.vn 2021) (lazada.vn n.d.)

(bachhoaxanh.com n.d.) (photo is taken at Lottemart 2021)


c) Channel organization:
- Administered VMN: Unilever and its distributors are coordinated through size and
power of both. They have reversible influential power to each other in terms of
manufacturing and cooperation.
- Multichannel Network: Axe has more than two wholesalers and retailers in order to
distribute its products, e.g. Big C, Mega Market, Lotte, Shopee, e.t.
d) Distribution strategy:
- Intensive distributions: Axe sell their products in as many market as possible
2. Evaluation:
a) Strength:
- Reach a huge number of customers around the world and be popular based on its
various intermediaries.
b) Weakness:
- Do not have its own directly selling
- Lack of price control, leading to the decrease of customers’ credibility.
D. Promotion:
1. Performance:
a) Push strategy:
- Axe promote their products through each of its distributors:

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(Lotte mart 2021) (Shopee.vn 2021)


b) Advertising:
- It is expressed in a number of ways, including TV advertisements, print advertising,
boarding and exterior Internet banners. Axe takes advantage of the social media
appearances of 3 channels:

(Unilever Vn n.d.) (FB Axe Vietnam n.d.) (Youtube Axe Vietnam n.d.)

c) Public relation:
- Unilever has introduced the advertising campaign that AXE Apollo which gives 22
lucky people around the world the chance to "lifetime": fly into the universe on the
AXE spaceship (Axe-Apollo n.d.).

d) Sale promotion:
- Gifts: on Valentine’s day in 2018, Axe launches Valentine couple hats gifts for
buyers:

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(Facebook Axe Vietnam 2018)


- Contest: Ax also offers mini-games and random picks with a range of prizes via its
Facebook page to enhance consumer interaction:

(Facebook Axe Vietnam 2020)


2. Evaluation:
a) Strength:
- Using creative and realistic advertising campaign
- Offering various amazing contest and seasonal gifts to attract consumers
b) Weakness:
- Does not have recently special occasion promotion offers
- Lacking of the support from celebrities influential power to raise more awareness

VI. Marketing Objective


According to Euromonitor.com (2020), the brand share of Axe in Vietnam is far
behind from its competitor, Nivea, respectively 6.1% and 30. That will be a big issue
which Axe has to improve in order to sustain in Vietnamese market. Therefore, the
main marketing objective of Axe now is raising its brand awareness 3 step up by the
valuable 2021 Valentine campaign with product extension, couple contest and
inspirable advertising campaign.
VII. Marketing Recommendations
A. Promotion:
1. Advertising campaign:
- By collaborating with some famous celebrities to build a really unique TVC for the
2021 Valentine season. Drawing this campaign’s plot with a successful love
declaration of a boy who uses Axe to increase his attractiveness and confidence. By

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those ads, not only KOL can gain customers’ attention but this realistic situation also
helps in the inspiration factor which may lead to the raising of brand awareness.
2. Sale promotion:
- In order to be trendy, instead of using couple hats as gifts for buyers like the 2018
movement, this year, Axe can promote some “Axe Lover” couple facemask sets if
customers have bought the product and tag Axe’s facebook website on their online
post. This campaign not only shows Axe’s concern about customers’ health in
Covid19 period, but also helps Axe to receive more buyer’s awareness with its
unique campaign and labeling on every Valentine mask.
B. Product :
1. Product extension:
- Due to the meaning of Valentine’s day, a day of love. Thus, sharing and gifting is the
main concept that can effectively transfer this Love day’s spirit. However, Axe only
has men’s grooming goods which can not be shared with their lovers, women. The
best idea to raise awareness is to create a limited edition of women’s grooming
product line, which can especially become a fit couple with their men’s. This strategy
not only attracts more of customers’ attention but also their payments.
2. Product packaging
- In order to catch up the trend of this Love day, Axe can also be creative with their
Valentine’s version containers. Instead of using dark and cool as dominant gamut,
Axe can use lighting colors like pink and red which strongly represent “love”. By
addition some other cute shapes like hearts and flowers which can make up these
solid deodorants become lovely gifts for Valentine.

VIII. References
● All brands n.d., Unilever global company website, viewed 12 January 2021,
<https://www.unilever.com/brands/view-all-brands/>.
● Axe n.d., Unilever global company website, viewed 12 January 2021,
<https://www.unilever.com/brands/personal-care/axe.html>.
● AXE n.d., AXE Find your magic, Axe.com, viewed 10 January 2021,
<https://www.axe.se>.
● Axe Phoenix Antiperspirant Deodorant n.d., dailymed.nlm.nih.gov, viewed 13
January 2021, <https://dailymed.nlm.nih.gov/dailymed/fda/fdaDrugXsl.cfm?
setid=36ab9728-2c43-4f17-8547-03e334493b43>.
● AXE Positioning Analysis 2013, xuyanz.wordpress.com, viewed 11 January 2021,
<https://xuyanz.wordpress.com/2013/04/24/axe-positioning-analysis/>.
● Axe-Apollo n.d., brandsvietnam.com, viewed 13 January 2021,
<https://www.brandsvietnam.com/campaign/14-Axe-Apollo?
fbclid=IwAR2t_QUrwtUanhMwN5gWFji80_dBmXsh9vOWJ2Qafxa4Djs9n9e2ai7riAo>
.
● Brands Vietnam 2013, BrandsVietnam.com, viewed 16 January 2021,
<https://www.brandsvietnam.com/campaign/14-Axe-Apollo?
fbclid=IwAR2t_QUrwtUanhMwN5gWFji80_dBmXsh9vOWJ2Qafxa4Djs9n9e2ai7riAo>
.

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● brandyuva.in n.d., Creative Blog on Indian brands, Marketing and Advertising, viewed
13 January 2021, <https://brandyuva.in/2019/01/marketing-strategies-of-axe.html>.
● businesswire.com 2014, www.businesswire.com, viewed 12 January 2021,
<https://www.businesswire.com/news/home/20140115005817/en/New-AXE>.
● Euromonitor International. (2020). Deodorants in Vietnam. <https://www-portal-
euromonitor-com.ezproxy.lib.rmit.edu.au/portal/analysis/tab>
● Facebook Axe Vietnam n.d., www.facebook.com, viewed 13 January 2021,
<https://www.facebook.com/AxeVietnam>.
● Fragrance n.d., Axe US, viewed 9 January 2021,
<https://www.axe.com/us/en/products/fragrance.html>.
● guardian.com n.d., Guardian Việt Nam, viewed 11 January 2021,
<https://www.guardian.com.vn/products/xit-khu-mui-toan-than-nam-axe-apollo-
150ml>.
● Holmes, E 2014, Unilever Pushes the Deodorant Spray Can, The Wall Street
Journal, viewed 16 January 2021, <https://www.wsj.com/amp/articles/unilever-
pushes-the-deodorant-spray-can-1415743582?
fbclid=IwAR3h6GJE0N3hbUBhoO5iiPYQ3fpozvIws7SqvBNcqY4DDzZgHkGmkwLyd
3M>.
● Hope, K 2016, ‘Unilever to use “less sexist” ads’, BBC News, 22 June, viewed 15
January 2021, <https://www.bbc.com/news/business-36595898>.
● Hung Le 2019, How much are Vietnamese willing to spend on Valentine’s Day gifts?
- VnExpress International, VnExpress, viewed 15 January 2021,
<https://e.vnexpress.net/news/business/data-speaks/how-much-are-vietnamese-
willing-to-spend-on-valentine-s-day-gifts-3883009.html>.
● Khetrapal, N 2018, Human Activities and Climate Change, in DA Dellasala & MI
Goldstein (eds), ScienceDirect, Elsevier, Oxford, pp. 401–408, viewed 14 January
2021, <https://www.sciencedirect.com/science/article/pii/B9780128096659105105>.
● Klara, R 2020, ‘AXE’, New York, vol. 61, pp. 26–27.
● Lazada n.d., Lazada.vn, viewed 14 January 2021,
<https://www.lazada.vn/products/xit-khu-mui-toan-than-axe-gold-temptation-150ml-
i310534062-s497362514.html?
spm=a2o4n.searchlistbrand.list.3.36914651xFcI0x&search=1>.
● Marketline (2020), Vietnam: Macroeconomic Outlook Report. [Online] Available at:
Marketline Advantage Database. [Accessed 28 November 2020].
● myphamsino.com n.d., Mỹ phẩm Sino, viewed 12 January 2021,
<https://myphamsino.com/collections/axe>.

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● Sáp lăn khử mùi Axe Anti Perspirant 76g n.d., Xixonshop.net, viewed 10 January
2021, <https://xixonshop.net/sap-lan-khu-mui-axe-phoenix-anti-perspirant-76g.html>.
● Shopee n.d., shopee.vn, viewed 16 January 2021, <https://shopee.vn/X>.
● Stablein, A 2019, Simplicity And Function Are Key To Men’s Market, Beauty
Packaging, viewed 12 January 2021,
<https://www.beautypackaging.com/contents/view_experts-opinion/2019-10-
24/simplicity-and-function-are-key-to-mens-market/>.
● Tiki n.d., tiki.vn, viewed 14 January 2021, <https://tiki.vn/xit-ngan-mui-toan-than-axe-
gold-150ml-32009767-p446706.html?spid=153399>.
● Unilever n.d., About Unilever, Unilever global company website, viewed 8 January
2021, <https://www.unilever.com/about/who-we-are/about-Unilever/>.
● Vietnam: total population by gender 2010-2019 2020, Statista, viewed 15 January
2021, <https://www.statista.com/statistics/1101383/vietnam-total-population-by-
gender/>.
● Vy Vy 2020, Xịt khử mùi AXE cho nam hiệu quả chỉ qua 1 lần dùng, catback.vn,
viewed 17 January 2021, <https://catback.vn/tin-moi/lam-dep/xit-khu-mui-AXE-hieu-
qua-qua-1-lan-dung>.
● Xịt khử mùi AXE Gold Temptation 150ml n.d., bachhoaxanh.com, viewed 10 January
2021, <https://www.bachhoaxanh.com/lan-xit-khu-mui/xit-khu-mui-axe-gold-nam-
150ml>.
● YouTube AXE Vietnam n.d., www.youtube.com, viewed 13 January 2021,
<https://www.youtube.com/channel/UCu5MQCMjxAVjiNAvRATwuyg>.

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IX. Appendices

- AXE “FIND YOUR MAGIC” CAMPAIGN

(Unilever Axe n.d)

- THE AXE EFFECT campaign in Japan

(axxeffect.jp n.d.)

- Demo version of AXE 2021 Valentine’s Gifts

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