PAMANTASAN NG LUNGSOD NG MUNTINLUPA

NBP Reservation Brgy. Poblacion, City of Muntinlupa

MARKETING PLAN
PRINCIPLES OF MARKETING

Submitted by:

JERICHO F. DE JESUS

Submitted to:

RAMONITO A. MESINA, MBA

This 19th day of November, 2016

 Likas Papaya Herbal Soap

1. Identify your target market

Demographic

Age Range: Aged 16 yr(s) to 40 Most buyers will come from this age range that
is conscious for their skin.

Sex: Females - Product is skin-friendly to any gender but probably more

percentage on women, whereas Filipino women also want to have a fairer and
whiter skin.

Social Class: Lower Middle Class up to the Upper class, from semi-professionals
with an average standard of living to top level executives that have concern on their
skin and have the capacity to buy.

Lifestyle

Psychological Traits - Proactive towards maintaining own health, especially on

skin.
Lifestyle - People that is conscious and has concern on their skin for the betterment
of themselves.

Behavioral

When consumed; a benefit sought is having delight on the effects of an organic

soap. Likas Papaya costs around 70php (depending on markets). The product is
used for everyday living whereas people take a bath at least once a day. Special
concerns would be the side-effects to a person that is not suited with papaya.

2. What do they need, want and demand

Needs are the basic requirements and include food clothing and shelter. An
extended part of needs today has become education and healthcare. Hygiene is a
part of our daily living. The skin is the most predominant physical organ that
requires your attention.
 Wants are a step ahead of needs and are largely dependent on the needs of
humans
mans themselves. For example, people need to take a bath,, but some wants
soaps that smell good. The primary target market chooses to bath with a good
soap. They want the best for ttheir skin.

Demands are wants for specific products that are backed by an ability and
willingness to buy them. The Primary Target Market would choose Likas Papaya for
it is made of 100% organic herbs enriched with Natural Papaya Enzyme,
Enzyme it makes
complexion become fair, it is Acne
Acne-Free
Free or helps acne, it has no strong odor and
harsh ingredients and it whitens the skin and keeps it smooth and young looking.
3. What are they choices

Direct and indirect products that address my PTMs NWD

List of Competitor products/brands: Variables that affect choice of

product, brand:
1. Silka Papaya
(Whitening/Herbal
Whitening/Herbal Papaya) 1. Germ Protection
2. RDL Papaya 2. Skin Lightening
(Whitening/Papaya)
Papaya) 3. Exfoliation
3. Kojie San (Whitening) 4. Acne Relief
4. Safeguard (Germ 5. Insect-sting
sting pain Relief
Protection) - Indirect 6. Help reduce scars
7. Leaves skin smooth
8. Organic or Herbal
9. Chemical-free
free
10. Protect 24 hours
11. Removes body odor
12. Saves money

Positioning Maps
 Kojie
Functional Benefit Silka RDL Likas Safeguard
San
Germ protection
Skin lightening
Exfoliation
Acne relief
Insect-sting pain rel
Help reduce scars
Leaves skin smooth
Removes body odor
Organic or Herbal
Protect 24-hours
Chemical-free
Saves Money

4. Where is the opportunity

Identify the gap between customers and competition

Where is the market opportunity? Aside from Women whose conscious for
their skin, herbal soap target those who are allergic to chemical soaps and have
sensitive skin.

What NWDs are not being addressed? Herbal soap is not a chemical soap
that barely promotes Germ P Protection. Most of the mothers look for soap with germ
protection for their family.

What can be the un

unique selling proposition
tion for the product? Likas Papayas
Tagline is Kagandahan
Kagandahan moy nakakabighani
nakakabighani,, which is reflecting through its benefits
through using the soap, cleansing and moisturizing in a natural way and without the
risk of chemicals.
5. How big is the market

Estimated Market Size using Publicly Available Data

The market for personal hygiene in the Philippines increased at a compound

annual growth rate of 5.4% between 2004 and 2009. The soap category led the
personal hygiene market in the Philippines, accounting for a share of 51.3%.
(Source: http://www.researchandmarkets.com/reports/1450563/)

Estimated Market Size using Company Data

Likas Papaya: The First Filipino pure organic herbal soap, manufactured by
Trinidad Cosmetics Laboratory. Winner of the 2003 National Consumers Quality
Award for Hall of Fame Best Papaya Herbal Soap. Winner of 2003 Asia-Pacific
Excellence Awards for Outstanding Papaya Herbal Soap Brand.

Likas Papaya has been the traditional market leader in beauty and herbal soap
since 90s. At its peak having a great total market share in the beauty care industry
in the Philippines, fake Likas Papaya arises just to ride on its popularity. Look out
for the hologram which proves authenticity.

Estimated Market Size using Customer Data

Filipino Shoppers are now more self-conscious especially women, they are
prioritizing beauty and hygiene products more according to Kantar Worldpanel, the
world leader in consumer knowledge and insights based on consumer panels. Data
revealed that purchases of personal care items increased by 11 percent in June
2015 from a year ago, outpacing growth in other megasectors such as food,
beverage and household care.

Megasector % Growth (June 2015 vs June 2014)

Personal care 11%

Household care 7%
Food 6%
Beverage 5%
Total FMCG (Fast-Moving Consumer Goods) 7%

(Source: http://www.kantarworldpanel.com/ph/news/filipino-shoppers-now-more-
self-conscious)
 Market research on what Filipinos purchase in Non-Food section and with
particular brands:

1. Tide Nature Fresh

2. Safeguard Soap
3. Ponds White Balance Detox cream
4. Likas Papaya Herbal Soap
5. Modess Sanitary napkins
6. Ariel Ultra Downy
7. Colgate
8. EQ Diapers
9. Surf Dishwashing liquid
10. Belo Soap/Beauty essentials

Most of the Top 10 in the nonfood category is actually regular brand favorites
which introduced value-for-money packs.

(Source: http://business.inquirer.net/money/topstories/view/20080127-115169/I-
know-what-you-bought-last-year)

Decided Market Size in Pesos

Bath Soap usage in the Philippines: 70 million Filipinos take a bath once a day
(at least). A135 grams @ P70 bar of Likas Papaya can last for 2-3weeks (approx.
18 days). P70/18 days = P3.89 per day. 70,000,000 x P3.89 x 365 days = P99.3B.

6. Product

Photo of Product Category (and how product looks vs. competition)

Competitor Product Shot

Direct Indirect

Product Description

Each Likas Papaya soap is orange orange-schemed

schemed and carries the Mystica Logo
throughout its packaging. The Mystica Logo is reflectorized which emanates
rainbow rays and shines in the light. It comes in a clean orange bar. There is no
visible bits or bubbles insid
inside it. It is sold in bar form and packed in a box. The soap
is not sold in as scraps, or as overruns. It weighs exactly 135 grams. It has no
strong odor & has no harsh ingredients

Likas Papaya is e enriched

nriched with Papaya enzyme and blended with tropical
herbs to whiten the skin; for clearer and fine skin complexion. It is made of 100%
organic herbs enriched with Natural Papaya Enzyme that whitens your skin and
keeps it smooth and young looking. Complexion becomes fair and acne-free.acne Its
organic herbal content is s so gentle and does not inhibit the natural oil production
activity of the skin therefore it keeps young looking and your face free of aging lines.
After use, it does not leave any greasy residue on the skin.
7. Price

Likas Papayas 135 grams is around 70php depending on stores nationwide.

Silka Papayas 135 grams is around 50php. Kojie Sans 135 grams is around
70php. RDL Papayas 135 grams is around 30 40php. Safeguards 135 grams is
around 30php.

Cost based pricing; include a profit percentage with organic product cost, add
a percentage to an unknown product cost, and blend of total profit and product cost.

Competition based pricing; price is the same as the competition (for high
quality product), set price to increase customer base, and seek larger market share
through price.

Customer based pricing; use price to support product image, set price to
increase product sales, design a price range to attract many consumer groups, set
price to increase volume sales, and price a bundle of the herbal soap to reduce
inventory or to excite customers.

8. Promo

Mass: Sales Promotion, Personal: Word of Mouth

The main tool of Likas Papaya in maintaining its position in the market is the
Word Of Mouth. It already established a name in the Soap Industry. There are many
blogs in the Internet that boosts up Likas Papayas Integrity. Those testimonials
would persuade consumers to use Likas Papaya.
 Competitors use commercials to enter Soap Industry and to create awareness for
their product.

9. Place
Likas Papaya is widely distributed nationwide. It is available in supermarkets,
drugstores, convenient stores, retail outlets, malls, beauty shops etc.

Distribution strategy will involve a combination of distributor and direct sales.

Distributors like resellers, especially spas that promote organic products, and
distributed among retail outlets as stated above. Direct Sales would be from sales
agent and from factory distribution.

10. Generic winning strategy of mix

Low Cost Producer: Likas Papaya would not be considered as a low cost
producer but the cost of the product is worth of your budget for a healthy skin.

Supply and Distribution Leverage: Trinidad Cosmetics Laboratory has already

established all over the Philippines so they have a large leverage on supply and
distribution. The company is also penetrating other countries in Asia and also in
the US.

Differentiation: When it comes to organic herbal soap, particularly papaya

soap, one would always think of Likas Papaya. It is a trusted brand with some tried
to copy it but still the most known Papaya Soap Brand in the country.

Niche: Likas Papaya has dominated the niche market on natural

(herbal/organic) personal care of women of 18-35 years old that is most conscious
for the extensive care of their skin.