Crafted Scents

Submitted by:
Mahnoor Faiz Awan
M Asad Naeem
Fatima Noor Tariq
Fizza Khan
Khadija Sheraz
Arsh Ali Bucha
Submitted to:
Ma’am Namra Nadeem
 Table of Contents

Executive summary:.................................................................................................................3
Need, Want and Demand:.......................................................................................................4
SWOT analysis:........................................................................................................................5
Research Problem:...................................................................................................................7
Market Segmentation and Targeting:....................................................................................8
Branding Strategy:.................................................................................................................10
Competitive strategies:..........................................................................................................13
Designing 4 P's:......................................................................................................................15
Appendix:................................................................................................................................22
References:..............................................................................................................................25
 Executive summary:
Crafted scents provides a wide range of scents which can be added to lotions, sanitizers,
perfumes and candles too. It would be positioned as a start-up business in the city of Lahore.
These handcrafted scents meet each and every requirement of our customer. We believe in
giving absolute control to our customers to make them choose their own scent or even
provide us with scents which they prefer as our products add that extra sentimental value.
Initially we will be operating and selling online but we intend to expand further in the future.
These scents which are added to products can be the perfect gift to give to your loved ones
and we have our own packaging and gift packaging if the customer wants to choose that. Our
mission is to cater our customers as much as we can.
 Need, Want and Demand:
The needs, wants and demands which our product will satisfy, will be that the hygiene
standard of people will be met and also some people have different memories with different
scents so in order to feel good or relive a moment candle can be used. Some people use it as a
soothing tool as well. People can make their own scents.

Need: Refreshing environment

Want: Get refreshing environment at home.

Demand: Get refreshing environment at a very reasonable and affordable cost.

Market offerings:

Our company will offer a wide range of products, that are also customisable. We will be
offering scents, which can be added into products like lotions, candles, sanitizers etc.

Brand name:

Crafted Scents.

Mission Statement:

‘’Create your own scents according to your likings and disliking’’

Value Proposition:

“Breath in the way you want”

Tagline:

‘’You desire, we make’’

Objectives:

To strengthen the customer service and make a loyal relationship with the customers.

Industrial Analysis:

Our company belongs to cosmetics industry in Pakistan. This industry is growing very fast
day by day because people are always open to innovations into the cosmetics and daily-use
products in Pakistan. There are many people who use scents, lotions, sanitizers on a daily
basis and they are always in need of something better and customised according to them.
People are always concerned about their hygiene. The industry is offering many products to
the people already, but they are not providing the feature of customisation to the people.
People want to smell good, have a good impression on everyone they are meeting with.

Marketing strategies and plans:

Our marketing strategies will be based on how we allocate the limited resources in marketing
and production, and gather maximum sales, and get a competitive advantage in the mind of
the customers. We plan to make our customer support better to get the trust of our customers.

SWOT analysis:
Strengths:

Our unique selling point is that we customize the products completely according to the
preference of our customer. We give complete control to the customer of how they want their
products and its scent to be. They can choose their own scent and even provide us with
information regarding a specific scent that they want. This is a much more innovative way to
engage with our customers. As they choose their own scents, it creates a sentimental value as
well as scents are linked with memories.

Weakness:

As a scent company just entering the market, we would be operating on an extremely small
scale. There will be high cost of manufacturing. This is because glass jars would be bought
on a small scale due to less orders which will be expensive. Therefore, we would not be able
to achieve economies of scale. Moreover, there would be cost of raw material to actually
make them, then materials for packaging. Our company uses different scents for every order,
this would add in the cost of every scent that we use.

Opportunities:

Scent business is in a fast-growing market and once you target the right audience, it is very
easy to generate high sales and profits too. We can reach new customers and make products
according to their preferences. The main advantage we have is that these products do not
target just one group, it is a product liked and preferred by everyone. The profits can be put
back into the business to further expand it. People tend to be attracted to something that is
new and in trend always. We provide service of actually getting the specific scent that the
customer wants to increase that sentimental value which they are looking for. We have the
opportunities of demographic changes since we do not have extremely high prices as we keep
all income earners into account therefore kept prices affordable. Moreover, scented products
and customizing is something not a lot businesses do. They operate in a similar way, mostly
using candles.

Threats:

There are threats of high cost of production, therefore, cost minimizing techniques have to be
used. Moreover, there are already so many candle companies operating in the market.
Karachi candle company is a fast-growing company and is very well known too. They engage
customers through their social media, bring out innovative and appealing packaging too.
They provide a range of candles and in different sizes. They do collaborations with other
firms in order to promote their product from both ends. Similarly, a company called Honey
I’m Home Candles, provide 100% pure Beesoy wax candles. They provide all candle related
information to their customers and have an active social media page as well. They provide
gift boxes which can be a much easier purchase for the customers as they can get many
products in a single box, although they only have specific scents.

PEST analysis:

Political:

Due to political instability in the country, people are not sure about whether to invest or not
and where to invest in particular. This is because it causes a lot of uncertainty which is why
people tend to hoard the money that they have and prefer not to spend so much. Therefore,
this would lower down the demand for products too since it comes on the luxury side and
people may not be willing to spend on it.
Economic:
Covid caused a major uproar in the markets since people were not willing to spend anymore
due to shops being closed and deliveries being delayed. However, as covid is now a halt
now and people are used to it, they have started spending more on products, therefore
causing an increase in demand as well. Inflation can also be increased by this because after a
major halt, companies need to earn more profits which is why there is a difference in prices
of products before and after covid.
Social:
In Pakistan, so many occasions and festivities take place like Eid,Basant,Easter, Christmas
and people want to give gifts at these times of the month. They feel the need to give gifts
that hold sentimental values which other people can appreciate too. Not just for festivals but
for occasions such as birthdays, anniversaries, those days in which people can show their
love to others. Therefore, these products act as a perfect piece offering as it is appreciated
by everyone and people can use it every day as well. It increases demand for it as the scent
adds that extra sentimental value along with the products itself.
Technological:
These businesses are fast growing and innovative as well. Businesses tend keep up with the
ongoing trend so that everything is according to the consumer. Our company used this as an
opportunity to provide consumers with control of choosing everything. Our website would
provide fast and easy access to them so that there is no confusion when they are making their
own scents. Since covid, people have preferred online shopping since it is much easier to
access and use at the same time. This opportunity was taken to make customizing products
online for them more easily.

Research Problem:
Our research problem on which we conducted the research was studying the trends in the
scent market; how much are consumers willing to pay for different ranges of perfumes. What
type of promotion techniques are customers being pulled by?

Research Questions:

 What is an affordable price for consumers?

 Do consumers prefer fruity or harsh smells
 How many lines of perfume should be put out?
 What size packaging do customers prefer and how many sizes should there be?
 Do perfumes with multiple or single scents work better?

This research was carried out using multiple tools and techniques;

 We used focus groups with 8 perfume and fragrance chemists to help figure out which
scents can mix together and complement each other well.
 We used online surveys to ask consumers how much they would be willing to pay for
a premium quality perfume.
 Questionnaires were based on asking consumers what scents they prefer and whether
they like the idea of blending scents together.
 Web analytics were used to check what type of perfumes customers were looking for
and in which price range.
Analysis:

According to the findings of our research, we found out that most of the people still want to
try something new as scents. People are always open to new ideas and innovations. 80% of
the people mentioned that they step out of their houses, and they want some good scents in
their bags, in their sanitizers. 60% of people want to gift someone candles, lotions and other
cosmetics which have good smell. People want to customize their scents, and like to go out
wearing the scent they like.

Market Segmentation and Targeting:

We are offering our services and targeting specific segments of customers. We have also
shown our market segmentation that is based on demographic and geographic factors in
Pakistan.

As there is a huge demand of affordable, online and customized scents from our targeted
customers. So, we are targeting the niche market, students and employees who are interested
in our company’s unique selling point (USP) which will help to deliver quality services to the
limited and potential customers.

Segmentation

Demographic:

We will be targeting people in their twenties and early thirty’s. These people have the
capability to make their choices and buy what they want for themselves. This will help us
promote and market our products in a way that caters to their demands and wants.
Furthermore, we can change the perceptions and buying behaviors of the target market by
promoting the crafted scents products in a way that they want to buy and use the scents that
we provide in everything, for example they can use their customized scent in perfumes,
sanitizers, after shave and etc. This will help us increase the popularity of the product and
help to promote it via word-of-mouth promotion.

Geographic:

Currently we will be starting with limiting our operations to Lahore as while starting out
there is less capital. By doing so we can ensure that the places where we deliver our product
get the best service and the service is not compromised by trying to control a larger region
with less capital and a limited operations management team. This will also provide us a with
a basic understanding on how to manage the business operations by producing, packaging,
and delivering on time so that we keep up with the rising orders.

Psychographic:

In the psychographic consumer segment, we will be targeting customers who are interested in
good scents and who are regularly looking for alternatives which have consist of customized
ingredients. People are attracted by good scents; some people like to collect a good number
shoes and clothes whereas some people are obsessed with have a good perfume collection.
Furthermore, by educating the masses about the need for customized products which do not
have harmful ingredients we can build the customer base for our company and attract newer
customers. Moreover, by highlighting the trend customized products more and more people
will change the attitudes and opinions towards the segment.

Behavioral:

The behavior patterns refer to the process which divides customers into segments depending
on their behavior patterns when interacting with a particular business. These behavior
patterns make up the buying behaviors of the consumers. These also include the rate at which
they buy your products. We will have two different categories which will ensure that each
customer gets exactly what they are looking for. There will be packages that consist of
standardize perfume products whereas the other package will contain different kinds of scents
so that the customers can customize it to whatever they like. This will be a convenient and
easy option for the people who do not have a lot of time to spend looking for products.

Targeting:

After the segmentation, we select two groups to target. First ones are who are not interested
in customized scents, so for them we have some standardized products which they would
prefer rather than customized our customized products. Secondly the other target group is the
people who’ll be attracted toward our USP, our customized scented products. Nowadays
these kinds of products attract a lot of customers which make them buy the product. Both
groups are more likely to buy these products for their need to smell good. They are also tech
savvy and know how to use online applications to access our online website and check out
our promotional deals in the future.

We evaluated these both groups and after that we came to a solution that these both groups
will be very attractive in the long run as currently, we have less competitors in Pakistan. We
are charging less prices in the start, but as we make our brand image and get the potential
customers, we will increase our prices.

Unique Selling Proposition:

Our USP will we be that we cater customer’s needs, we will provide whatever scents they
want to customize their products. They also will be able to select the scents from our
catalogue and mix in everything and every product they need to. The orders will be placed
online with a options of online payment as well as cash on delivery, whatever suits the
customer the best. There will be door to door delivery service done by our agents who will
show the customers how to mix the two scents selected by them to customized their order and
we can also add the scent in their sanitizers, after shave, lotions etc. Our customer service
helpline is active 24/7 to get in feedbacks by the customers and sort out any problems they
are facing.

Branding Strategy:
Brand Name:

As mentioned already, the Brand Name that we chose for our products/service is: Crafted
Scents with the slogan/tagline: “You desire, we create”.

Brand Equity & Positioning:

As a newly launched company, we aim to enlist ourselves in the minds of consumers as a

company that provides whatever kind of scents the individual wants. We will also have a
brand specific scent/aroma of our own.

The four components of Brand Equity on which we will focus will be catered as follows:

1. Brand Identity: We are a scent crafting company with various different options to mix
and match scents in candles, perfumes, sanitizers and lotions.
2. Brand Meaning: Very durable and long-lasting products and smells alongside very
aesthetic products and packaging.
3. Brand Response: A newly launched concept with an affective value to its products, as
smells can be very emotionally and memory arousing about experiences.
4. Resonance: The individuals in need of customized scents will be attracted by our
brand offering.
Branding/Strategies:
How do we aim to convert our company into a brand?

Positioning:

The aim of our company is to provide combinations of unique and various different scents at
reasonable rates than other perfume/candle/scent supplying companies. Hence, we want to
position our brand in the minds of customers as such that they perceive us as a brand
providing them with a new concept (of providing scents and options of mixing and creating
various scents) with quality and luxury while maintaining reasonable prices in a socially
sustainable way at their doorsteps, from the convenience of their homes. Since we want to
create a positioning of being a “luxury”/ “expensive” brand in the minds of consumers, we
need to ensure an elite and extraordinary experience to them which can be done using several
things. How we plan to do this is explained below.

Creating an exclusive packaging:

One of the first steps is to create exclusive packaging, such as tinted glass candles instead of
plain glass candles, colored sanitizer bottles with pearls in them and lotion bottles with
exclusive pumps and glass bottles. Apart from these, we will give small complementary
testers with purchases and create cute and appealing packaging and gift baskets for the gift
section. With every purchase, a ribbon and card with our logo and credentials will be tied to
create a feeling of exclusivity and a “luxurious purchase” amongst the buyers. Good
packaging is the primary key to creating a quality providing and luxury brand image in the
minds of consumers. This gives them a “good experience” and makes them feel that the extra
cents that they spent are worth it.

Provide value-adding complementary gestures:

Moreover, we also aim to create boxes with several different packages, so in these boxes we
can add small complementary sugar cookies with our logos imprinted on them, or candies
and lollipops which will give a feeling of importance and value to the consumer.

These boxes will also be exclusive and will contain several stickers with positive quotes
(which they can use on their phones, laptops etc., so they are of use to consumer and hence
increasing value even more) and cards with helpful and positive meanings of general life.
These will have bright colors to attract the consumers, especially if they want to gift the box
to someone, this will be a factor that would contribute to their purchase decision.
Provide exclusive gift coupons/cards:

We will also be offering gift cards to consumers so that when they choose to gift their loved
one(s) the card, they will have an emotional attachment to it (emotionally-motive
marketing/purchase) and the recipient of the gift will receive a very luxury or high-end vibe
of the company as the concept of gift cards in itself in quite a first-world concept.

The use of organic ingredients, i.e., supporting how we want to position ourselves:

As a main component of our positioning is to create and deliver our products in a socially
sustainable way which we are doing through using organic ingredients and using glass and
paper instead of plastic for our packaging. Therefore, we can also gain attention of Corporate
Social Responsibility movements and gain some limelight by being supported by them. This
will give out a very honest and professional image of our company to the consumers.

The eventual shift from penetration strategy:

As we aim to “penetrate” into the market using penetration pricing, we will enter the market
will lower prices and then increase them as we gain sales and popularity. When we increase
our prices, the consumers will automatically start perceiving us as a “high-end” and luxurious
brand due to high prices and the psychological effect (as done in skimming pricing strategy).
Hence, the problem of positioning might prevail only in the start, as eventually with an
increase of prices, our company is destined to be perceived as luxurious and high-quality by
consumers.

Door-to-door delivery:

Since we promise scents at your “doorstep”, we have another added value/beneficial

component that differentiates us from our competitors. We have an image of providing testers
and delivering options and the final product to homes of consumers. This also helps us
maintain our positioning im consumers’ minds.

Collaborations that add value:

Since we will also be collaborating with brands like Sapphire, Khaadi, Outfitters,
Generations, Interwood, Mocca, Yum and Alfateh, a sense of “brand” and worth will be
attached to our company since these are well-known brands/chains and are associated with
luxury. This will give a sense of “worth” to our company. Also, because of the discount
coupons and collaborations our prices will be maintained to be quite reasonable therefore
supporting how we want to position ourselves in the minds of consumers.

These are the things that will help us make crafted scents from a company to a “brand” in the
minds of consumers and position it just as we want it to be positioned.

Brand-growth strategies:

We are currently opting for product development, but we might in the future opt for market
development, brand/line extension or diversification by introducing new product lines which
will be brand extension (shampoos, bath bombs, deodorants, body sprays etc.) or same
products in new markets.

Positioning map:

Competitive strategies:
In competitive strategies, we will be using cost leadership strategy and differentiation
strategy. In focus strategy, we will be using and focusing on differentiation focus strategy.
As we are using the penetration Strategies for prices, so we are cutting down the production
and Logistics cost, which will result in low pricing of our products. We will produce large
amount of products at a low cost (economies of sale will be reached). It will be a competitive
advantage over other companies for us because all the competitors in the market are very
expensive. 

Moreover, in differentiation strategy, we are looking forward to provide customisable scents

and products to the customers. As, in geographical segmentation, we are just targeting the
market of Lahore. So, it will be very easy for us to send our agent towards the customers and
he will be able to show them and guide them but how they can make and customise scents of
their own choice. The customisable scents are our unique selling point and it gives us a
competitive advantage over our competitors. We will be providing 24/7 customer support, in
which they can take help in customising their own scents from our agents. We will be
focusing on a better channel for the communication with the customers. Customers can take
help anytime anywhere from our agents to add the customised scents in different products
such as lotions, sanitizers, candles etc. They also will be able to choose from our catalogue.

In differentiation focus strategy, we will be targeting those markets which includes

workaholic person, office going people, businessmen etc. We will provide them with the
perfumes and other products according to their demands and needs. We will also give them
options to add the perfumes in their lotions, candles, sanitizers and other products. In this
way, we can gain a good market and the trust of people by focusing on their wants.

Some major competitors in the market are scent stories, J., Honey I am home candles,
Scented Stories Candles, Clean and Clean, Candle with care.

The descriptions of these businesses are as follows:

Scent Stories:

This is an online store which sells perfumes, but they have a very low range of product line.
They work on the system of cash on delivery, and they do not have any personal
communication with the customers. They are selling the perfumes that are very common in
the market and already present.

J.:
J. has one product line for the perfumes. They offer very expensive perfumes that most of the
people cannot buy. They have outlets all over Pakistan in which they sell many other
products such as clothes, shoes, belts etc. They also do not provide any customisable
perfumes and products to the customers.

Honey I am home candles:

It is also an online store which provides scented candles to the customers. They do not have a
wide range of candles, and also, they have very expensive candles. They also used a very
simple user interface for people, and they do not provide any information about the flavour
and Aroma of candles.

Clean and Clean:

It is a sanitizer making company which provides scented sanitizers to the people. They add
very basic smells to the sanitizers, and the people cannot customise the scents. They have a
very low range of products, ranging from 4 to 5 different smells. They do not have any outlet
or online shop. They take help from intermediaries to sell their products such as pharmacies,
and other retailers’ shops.

Scented story candles:

They only sell their products on Instagram and Facebook. They do not have a large customer
base. Moreover, they just provide the candles in which they add different smells. Customers
do not have any option to customise their own scents in candles.

Designing 4 P's:
Product:

As we are providing variety of products such as candles, sanitizers, lotions etc, but our main
focus will be addition of scents into them. We will be focused, on quality, design, branding,
and the features of our products. We are making everything customisable for the customers.

Quality:

Our scents will be made from pure materials. It will not be providing any harm to the skin,
clothes of the consumers. We will be using natural and organic raw materials for our
products, and we will not be using any artificial flavours and substances. The customisable
scents and products will be very user friendly, and they will not be having any side effect or
reaction on the skin, or any allergic reaction to the users. A 24/7 support system from our
customer representatives will be provided.

Design:

Our products will be easy to use. A proper manual and guideline will be provided with each
product. A proper recipe sheet to customise different scents it will be provided to the
customers. They will also be able to you ask any queries on our live chat on our website. We
will provide them with the video tutorials that how there can customise scents of their own
choice.

We are also providing a very easy to use website for the customers where they can ask
questions, give suggestions, customer is their scents and products, order their products, and
see everything we offer.

We also will be focusing on the packaging of our product so that the customers like it and it
spread happiness and positions our product in their mind.
Branding:

For branding, we will be using support communities. We will develop public relations, and to
gain the loyalty of customers, we will keep check on them, and we will ask them constantly
that if they want any changes in our products. We also will be socially responsible as a
company, and give awareness and message to our customers, by providing them with the
stickers about planting trees etc. We will be providing a good customer value as well.

Features:

We are providing scents which the customers can customise according to them, and also, we
are providing the range of products, in which we can add scents, according to the demand of
customers. We will provide them with the testers, so they can learn easily how they can make
different scents to produce their own scents.  We will be providing easy and flexible payment
methods to our customers.

Pricing:

We will be using penetration pricing, as we are entering a saturated market with many
competitors. Our main goal is to provide more value to the customers as compared to our
competitors. So, we need to make sure that we have a comparative advantage in terms of
pricing so that the customers can get a cheaper alternative from our business. We will enter
with low prices and increase our prices after we gain sales and popularity

We will also do psychological pricing by adding 9 at the end of every price to create the
perception of less price, in this case customers will always think that they are making a good
deal. The following will be the price range forever products:

Candles:

 Small: Rs.499/-
 Medium: Rs.899/-
 Large: Rs.1499/-
Hand sanitisers:

 Standard size bottle: Rs.199/-

Perfumes:

 Tester size: Rs.299/-

 Gift size: Rs.899/-
 Sharing is caring bottle: Rs.1199/-
Lotions:

 Hand-pump bottle 100ml: Rs.449/-

 Round jar 85ml: Rs.599/-
 Easy-to-use bottle 100ml: Rs.499/-
Gift cards:

 Rs.500/-
 Rs.1000
 Rs.1500/-
 Rs.5000/-
 Rs.10,000
The prices we are offering to our customers are very less as compared to our competitors. We
are providing more value to the customers as compared to less price.

Promotion:
On the basis of internet usage nowadays, we are inclined towards focusing mainly on the
promotion of our products through Facebook and Instagram. We will be doing following
things:

 Instagram and Facebook sponsored advertisements.

 Influencer marketing: paid reviews and PR packages to influencer and bloggers.
 Referral marketing: customer testimonials about their experience and how our product
is providing value to them.
 Digital marketing.
 Collaborations with different companies and stores.
 Live Instagram video sessions.
 Creation of a YouTube channel to provide reviews about different scents.
We will start off by sending the PR packages to influencers and bloggers (with our scent
catalogues) and several testers, empty candle jars, so they can make candles themselves. We
will provide them with the raw material, so they can tell the public about this, and also, they
can test everything and customise their own scents and add into the products. We will ask
them to make TikTok’s and videos of them making their own scents. The packaging of PR
packages will be aesthetically pleasing. We will also add bath bombs in our PR packages. We
will be taking help from celebrity and influencer endorsements as the public believes in them
and follows them for their liking and disliking.

AL Fateh:

In collaborations, we can involve AL Fateh, in which they can provide us with the place in
their store, where we can sell our products. We will provide them with our agent, who will be
guiding the customers about the uses of our products, and helping them creating their own
scents.

InterWoods:

We can also involve Interwoods, as we can provide them with the candles for their interior
decor section in the outlets (for sale or just as the props). In this way the customers will be
able to know about our products and they will be able to know that our products are suitable
with everything.

Mandarin/Yum/Mocca:
Since they have a very cosy and romantic ambiance lit up by candles, we can supply them
with our candles or even keep there for sale. Moreover, we can also provide them with the
sanitizers with the customised scents to use. So, customers will be able to know about the
sweet scents while they are eating, are with the family, and enjoying with friends.

Toni & Guy/Splitends/Body shop:

We can provide our lotions and perfumes to them for both sale and use it as it will promote
our brand name. We will also give them option to send their products and we will add
customised scents into them, and they can use for their customers with our label.

In our promotional packages and Advertising, we will prepare some packages for the
customers as follows:

Gift baskets/boxes:

 On-a-budget: Rs.1500/- One standard sized sanitiser, one gift size perfume, one small
candle.
Be my Valentine: Rs. 3000/-

 A rose candle of your choice (Medium), 4 tester size perfumes, one hand-pump lotion
bottle, one Rs.500/- gift card.
I am rich today: Rs.6000/-

 2 medium candles of your choice, one gift size perfume bottle, one round jar bottle
(colour/sticker of your choice), two Rs. 1500/- coupons.
*All boxes will consist of various stickers and cards.

Complementary extra packaging

These packages will help us to gain the attention of the customers. They will be getting all in
one package. The promotional packages can boost our sales in the start, and let the customers
to try our products.

Place:

As the increasing numbers of internet users every day, people are now shifted towards online
shopping. So, following the trend and need of the hour, we made our own website. The
website contains every detail about our products, our contact information. We have used a
very user-friendly interface for our website, and even if a person is not tech savvy, he will be
able to read the information about our products and order the products easily.

Customers can easily input the information, about the scents and perfumes they like in our
website, and they will have a wide range of customisable products we different scents. We
also provide easy payment methods on our website, and also customers can customise
packaging if they want to gift someone our product.

Moreover, we also created our Facebook and Instagram pages, through which the customers
will be able to get the daily updates and tutorials. In this way, we will be more connected
with our customers. They will be getting everything they want on a single page.

We also created WhatsApp chat our customers, so they can contact our customer
representative anytime and everywhere they want. Because we're also focusing on
communication channels.
Appendix:
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