ADVERTISING & INTEGRATED BRAND PROMOTION MBA III SECTION A

Group 6- Rishi Satapathy, Sugadha Gadi, Dhruv

REVISED ADVERTISING STRATEGY FOR Layer’s shot

2: Introduction

Review of the selected brand’s performance in the market;

Adjavis Venture Limited was established in 2013 by Mr. Devendra N Patel with a vision of creating unique
never-before personal care products that fit in effortlessly with the customer’s needs and lifestyle.

AVL’s journey began with the successful launch of LAYER’R Wottagirl, India’s very first body splash brand
for women followed by LAYER’R SHOT, body spray brand for men. SHOT and Wottagirl ranges are available
in transparent see through bottles. LAYER’R offers a range of world-class, long-lasting fragrances
especially crafted for the Indian customer.

Over the years LAYER’R SHOT has become one of the top selling fragrance brands for men, while LAYER’R
Wottagirl has become quite the fashion essential among Urban and semi-urban customers.

Industrial data

Market share
Global Scenario
Sales of perfumes is continuously witnessing an increase owing to rising demand from women, which is
changing market behaviour. Enhanced market demand from the female segment is estimated to provide
a gain of 198 BPS points during the forecast years of 2022-2032.
The pandemic highly impacted sales in the cosmetics and beauty industry globally, and the global
fragrance industry was also impacted. The fragrance and perfume market also witnessed a decline due to
the pandemic.

However, a blend of both, online and offline sales represent a positive outlook on both fronts. Offline
sales of perfumes and online sales of perfume are projected to increase at CAGRs of 5.3% and 6%,
respectively, during the assessment years.

Fact.MR projects the perfumes & fragrances market to witness growth at 5.6% CAGR during 2022 and
2032 in comparison to a CAGR of 2.9% with which it grew from 2017 to 2021.

What’s Driving Perfume Sales across the Globe?

“Aggressive Advertising & Promotional Activities Driving Perfume Demand Growth”

As per perfume industry trends, manufacturing companies in the perfume market are making use of
aggressive advertising and promotional activities through various mediums of television, social media,
magazines, etc., which is set to fuel the growth of the perfume and deodorant market across the globe
over the coming years.

They are offering premium men’s perfume brands and female perfume brands through advertising, which
is enhancing men perfume sales and women perfume sales.

This perfume market research reveals that companies are promoting products particularly featuring
female celebrities as brand ambassadors and endorsers, which is creating a profound effect on consumers
and is driving them towards purchasing perfumes, thereby driving overall perfumes & fragrances market
growth.

“Product Diversification & Innovation Expanding Consumer Base”

Companies manufacturing scents and perfumes market are looking to expand their consumer base by
focusing on product diversification, to satiate the needs of consumers. For instance, companies are
offering consultation in the fragrance segment so that consumers can get customized perfume products.
This is estimated to provide a gain of 206 BPS during the forecast years of 2022-2032.

Additionally, introduction of natural perfumes due to rising concerns amongst consumers over allergies
and toxins caused by the harmful chemicals used in synthetic perfumes is projected to help natural
perfume demand to expand at a CAGR of more than 5.7% over the coming years.

“Increased Consumer Focus on Personal Grooming”

Both men and women consumers are getting attracted towards personal grooming and self-care.
Therefore, they are leaning towards the usage of perfumes to make themselves feel good. This trend is
much more positive in the Asia Pacific region, which presents lucrative opportunities for perfume
manufacturers and provides for higher growth in both, the men’s perfume market and women’s perfume
market.

Moreover, due to changing consumer tastes and preferences and rising disposable income of consumers,
they are placing larger demand for perfumes on the table. Looking at the opportunity, perfume and
deodorant manufacturers can expand their production facilities to cater to large market demand. This is,
therefore, expected to enhance the sales of colognes, scents, perfumes, and fragrances by 1.8X over the
coming years.

What’s Restricting Sales Growth of Perfumes to Some Extent?

“Strict Rules & Regulations to Act as Market Restraint”

Numerous national & international organizations and associations such as the International Fragrance
Association have laid down rules and regulations regarding the usage of certain chemicals in the
manufacturing of perfumes. Certain chemicals, when used in large quantities, can lead to harmful health
impacts.

Therefore, rules and regulations limiting the usage of harmful chemicals in perfumes to reduce the
negative impact on consumers are estimated to reduce perfume demand by 0.7X from their original
demand growth over the coming years.

Region-wise Insights

Which Region Accounts for the Highest Demand for Perfumes?

“Europe - Leading Market for Perfume Manufacturers”
The Europe perfume market accounts for the highest sales. The region currently accounts for 32.8% of
the global perfume market share and is estimated to expand at a CAGR of 5.2% during the forecast years
of 2022-2032.

This growth is attributed to the presence of many established companies in the region, in addition to the
entry of new market players who look to capture more consumers and thereby capture more market
share.

Moreover, companies are introducing innovative perfume packaging, both, sustainable and attractive,
which is estimated to attract more consumers. Innovative perfume packaging is estimated to provide
additional support to the perfume packaging market as well.

What is the Market Scenario in East Asia and South Asia & Oceania?

“Increasing Per Capita Spending on Perfumes being Witnessed”

East Asia and South Asia & Oceania account for 15.4% and 13.7% of the overall perfume market share,
respectively. Perfume market statistics estimate that the East Asia and South Asia & Oceania markets are
projected to surge at CAGRs of 6.3% and 6.7%, respectively, during the forecast years.

Higher growth in both regions is attributed to increase in per capita expenditure in the perfume segment
in emerging economies such as India and China. Moreover, due to changing consumer preferences and
lifestyles, the perfume market in China is growing at a faster pace.

Moreover, shift in consumer lifestyles has been noted in the recent past, under which, perfumes and
scents have become an indispensable part of the lifestyle. People have started using these perfumes on a
daily basis for offices, parties, etc., and a similar trend is expected to be followed over the decade.

Thus, these regions can turn out to be a potential demand source for perfume supplier, with the market
projected to grow at a faster pace. Consumers in these regions are inclining towards high-priced or
premium perfume products, thereby generating faster growth in premium perfume market.

As consumers are becoming conscious of their physical appeal, this change is set fuel market growth by
2/5 or 20% of current levels in the perfume industry, over the decade.

Category-wise Insights
Which Perfume Product Type is Expected to Be the Largest Contributor to Market Expansion?
“Eau de parfum Highly to Remain Highly Sought-after”

The eau de parfum product type holds 34.7% market share. This segment is projected to expand at a CAGR
of 6.2% during the forecast years. This is attributed to the features and advantages offered by these
products in the global luxury perfume market.
Eau de Parfum contains pure perfume essence between the range 15%-20% and has the quality of lasting
for nearly 8 hours. This makes it more attractive amongst consumers as compared to its counterparts such
as eau de toilette and eau de cologne. The segment accounts for 27.6% of the perfume market share.

Which Perfume Price Range Brings in Most Market Revenue?

“Demand for Premium Perfumes to Be Slightly Higher Than Mass Perfumes”

Perfumes are available in two categories under the price range segment, namely, mass perfumes and
premium perfumes. The premium perfumes segment holds 52.3% of the overall market share, while the
mass segment accounts for the rest.

Demand for premium perfumes and mass perfumes is projected to increase at CAGRs of 6% and 5.2%,
respectively. This is attributed to the solid performance of the perfumes witnessed in the premium class
segment.

Premium perfumes place greater emphasis on exclusivity, quality, and personalization. Enhanced focus
on the exclusivity and originality to develop a personal, engaging, and authentic product is driving players
towards the use of precious natural raw materials to produce these products. This is estimated to provide
a gain of 197 BPS points to the perfume market during the forecast years.

Indian Scenario
India perfumes and deodorants market stood at over $ 970 million in 2019 and is projected to grow at a
CAGR of over 13%, to surpass $ 2 billion by 2025 on the back of rapid urbanization and emergence of
online retail channel. Moreover, perfumes and deodorants manufacturers are offering a wide variety of
innovative products such pocket perfumes, herbal perfumes, etc., which is further stimulating market
demand across India.

Additionally, manufacturers are focusing on innovative branding and marketing of products, which is
further anticipated to aid the growth of India perfumes and deodorants market in the coming years.
Some of the leading players in India perfumes and deodorants market are Vini Cosmetics Private Limited,
ITC Limited, Nivea India Private Limited, Hindustan Unilever Limited, Emami Limited, J.K Helene Curtis
Limited, McNroe Consumer Products Private Limited, Godrej Consumer Products Limited, Wipro
Consumer Care & Lighting and Marico Limited.

Firms’ sales revenues

Analysts estimate that Layer’s makes up around 5 per cent of the approximately Rs 4,000 crore deodorant
and perfume market.

Brand sales volumes

Brand’s advertising and media (A&M) strategy in the past and at present.

Why you wish to revise the A&M strategy?

The Layer’s Shot perfume brand’s two advertisements have provoked outrage among a huge segment of
social media users and the advertising industry over its offensive content. It is alleged that the ads sought
to promote sexual violence against women. Following the suspension of commercials by the ministry of
information and broadcasting and the Advertising Standards Council of India (ASCI), the brand took to
social media to post a statement of clarification that also contained an apology for hurting people’s
sentiments.

Both the ads were aired on Sony Liv during England versus New Zealand Test match. One of the
advertisements depicts a young couple in a bedroom where four men, who appear to be friends of the
man enter without knocking and randomly ask about “getting a shot”. The men then proceed towards the
couple, only to take the ‘Shot’ perfume bottle kept on the table. In the other ad, the same four men are
seen in a convenience store. “There are four of us, and one of us will get a shot,” the men remark as they
stand behind a woman who is shopping at the store. While the woman appears visibly taken aback by
their statements, one of the four men reaches out to grab the bottle of ‘Shot’ on the rack in front.

Current ad theme Layers Shot fragment Body spray

https://www.youtube.com/watch?v=RX4JnPqAcjk
3: Advertising Campaign

Theme of the campaign: Soch bhi ho khushboodar

Existing theme: Shot toh banta hai
We are going to telecast on the TV with new ad campaign and also in Current Asia Cup cricket tournament.
Ad on social
(a campaign has many ads in it across different media classes/channels) suggested by you; its merit over
the brand’s existing theme.

Due AXE Wild stone ()

Shot toh banta hai current theme
Soch Bhi ho Khushboodar

4: Advertising Objectives

Tv – Awareness- to create awareness about the brand

Social Media- Apology ad, change in their perception- because they got backlashes in social media
Print Media- Awareness in the print media because the brand is not that famous

5: Creative Strategy
In this scenario we will come with new campaign called Soch bhi ho Khushboodar where we can create a
show how a man perception towards his wife working changes after applying shot in his body.