Contents Particulars Page number Executive Summary 1 Company Profile 2 List of Products and Brands 4 ITC’s Personal Care Range 6 About Fiama Di Wills 7 An Overview of the Salon Industry in India 9 Objectives of the Project 15 Product Portfolio for Salons 16 Recommended Product Portfolio • For Shampoos • For Conditioners 19 20 Market Segmentation 21 Distribution 25 Training 30 Conclusion 32 Annexure 33 Executive Summary
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Contents
Particulars Page number
Executive Summary 1
Company Profile 2
List of Products and Brands 4
ITC’s Personal Care Range 6
About Fiama Di Wills 7
An Overview of the Salon Industry in India 9
Objectives of the Project 15
Product Portfolio for Salons 16
Recommended Product Portfolio
• For Shampoos
• For Conditioners
19
20Market Segmentation 21
Distribution 25
Training 30
Conclusion 32
Annexure 33
Executive Summary
2Salon Strategy for I.T.C. Hair Care Products
The Primary Objective of the Project is :
• To arrive at a Recommended Product Portfolio for ITC Hair Care Products.• To understand the profile segmentation of salons in Kolkata.• To understand the Distribution Channel of the Referent Brands.• To have a brief idea of the process of training for Salon Professionals.
Firstly an analysis of the benefits and attributes of the products of Referent Brands was carried out. On the basis of the results obtained a Benefit Mapping of the primary categories,i.e., Shampoos and Conditioners, were arrived at based on which a Recommended Product Portfolio for ITC Hair Care Products in salons was arrived at.(on page 8)
Profile Segmentation of Salons
Salons in different areas of the city were visited and on the basis of Brands used in these salons a Sample representative of the Market Segmentation in Kolkata was identified. On the basis of this a matrix was formed to differentiate between the various categories of salons on two parameters, i.e., Location and Starting price range of Basic Services and observations were formed. (On page 10)
Distribution Channel
The distributors of the Referent Brands were contacted to get a brief idea of the Distribution Channel and the key points were identified. (On pages 11& 12)
Training of salon Professionals
An understanding of the Training Process undertaken in Training Institutes of Salon Professionals was formed. Its importance in today’s scenario and how it can be used to create a positive word of mouth for the brand was also identified. ( On page 13)
Company Profile
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3Salon Strategy for I.T.C. Hair Care Products
ITC is one of India's foremost private sector companies with a market capitalisation of nearly US $ 19 billion* and a turnover of over US $ 5.1 Billion. ITC is rated among the World's Best Big Companies, Asia's 'Fab 50' and the World's Most Reputable Companies by Forbes magazine, among India's Most Respected Companies by BusinessWorld and among India's Most Valuable Companies by Business Today. ITC ranks among India's `10 Most Valuable (Company) Brands', in a study conducted by Brand Finance and published by the Economic Times. ITC also ranks among Asia's 50 best performing companies compiled by Business Week.
Agri-Exports, it is rapidly gaining market share even in its nascent businesses of Packaged Foods
& Confectionery, Branded Apparel, Personal Care and Stationery.
As one of India's most valuable and respected corporations, ITC is widely perceived to be
dedicatedly nation-oriented. Chairman Y C Deveshwar calls this source of inspiration "a
commitment beyond the market". In his own words: "ITC believes that its aspiration to create
enduring value for the nation provides the motive force to sustain growing shareholder value. ITC
practices this philosophy by not only driving each of its businesses towards international
competitiveness but by also consciously contributing to enhancing the competitiveness of the larger
value chain of which it is a part."
ITC's diversified status originates from its corporate strategy aimed at creating multiple drivers of
growth anchored on its time-tested core competencies: unmatched distribution reach, superior
brand-building capabilities, effective supply chain management and acknowledged service skills
in hoteliering. Over time, the strategic forays into new businesses are expected to garner a
significant share of these emerging high-growth markets in India.
ITC's Agri-Business is one of India's largest exporters of agricultural products. ITC is one of the
country's biggest foreign exchange earners (US $ 3.2 billion in the last decade). The Company's
'e-Choupal' initiative is enabling Indian agriculture significantly enhance its competitiveness by
empowering Indian farmers through the power of the Internet. This transformational strategy,
which has already become the subject matter of a case study at Harvard Business School, is
expected to progressively create for ITC a huge rural distribution infrastructure, significantly
enhancing the Company's marketing reach.
ITC's wholly owned Information Technology subsidiary, ITC Infotech India Limited, is aggressively
pursuing emerging opportunities in providing end-to-end IT solutions, including e-enabled services
and business process outsourcing.
ITC's production facilities and hotels have won numerous national and international awards for
quality, productivity, safety and environment management systems. ITC was the first company in
India to voluntarily seek a corporate governance rating.
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5Salon Strategy for I.T.C. Hair Care Products
ITC employs over 25,000 people at more than 60 locations across India. The Company
continuously endeavors to enhance its wealth generating capabilities in a globalising environment
to consistently reward more than 3,72,000 shareholders, fulfill the aspirations of its stakeholders
and meet societal expectations. This over-arching vision of the company is expressively captured
in its corporate positioning statement: "Enduring Value. For the nation. For the Shareholder."
List of Products and Brands
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6Salon Strategy for I.T.C. Hair Care Products
ITC has a diversified presence in :
Cigarettes: W. D. & H. O. Wills, Classic Verve, Insignia, India Kings, Classic, Gold Flake, Navy Cut, Scissors, Capstan, Berkeley, Bristol and Flake
Hotels: ITC_Welcomgroup_Hotels,_Palaces_and_Resorts is India's second largest hotel chain with over 80 hotels. Based out of Hotels Division Headquarters at the ITC Green Centre in Gurgaon, ITC Welcomgroup is also the exclusive franchisee of The Luxury Collection brand of Starwood Hotels and Resorts in India .
Paperboards & Specialty Papers:ITC Bhadrachalam Paperboards Limited"ITC Tribeni Tissues Division" Now there are four units under one name --> Paper Boards and Specialty Papers Division, Unit - Bhadrachalam, Tribeni, Bollarum and Kovai.
Agricultural Industry: Agri-Business, Leaf Tobacco, Gold Ribbon, Blue Ribbon, Aqua Kings, Aqua Bay, Aqua Feast and Peninsular Packaged Foods & Confectionery: Kitchens of India, Aashirvaad, Sunfeast, Mint-O, Candyman, Bingo Snacks .
Branded Apparel: Wills Lifestyle, John Players, Miss Players
Toiletries: Essenza Di Wills, Fiama Di Wills, Superia, Vivel Di Wills, Vivel
Greeting Card: Expressions
Information Technology: ITC Infotech
Safety Matches: iKno, Mangal Deep(Discontinued), VaxLit(Discontinued), Delite(Discontinued) and Aim Brands acquired from Wimco (Western India Match Company) (Swedish Matches)
Incense Sticks: Mangaldeep, Spriha
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7Salon Strategy for I.T.C. Hair Care Products
Stationery: Classmate, Paperkraft, Saathi
While ITC continues in its traditional businesses of Cigarettes, Hotels, Paperboards, Packaging and Agri-Exports, it is gaining market share in its nascent businesses of Packaged Foods & Confectionery, Branded Apparel and Greeting Cards.
ITC's wholly owned Information Technology subsidiary, ITC Infotech India Limited, is pursuing emerging opportunities in providing end-to-end IT solutions, including e-enabled services and business process outsourcing.
I.T.C.’S PERSONAL CARE RANGE
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8Salon Strategy for I.T.C. Hair Care Products
In line with ITC's aspiration to be India's premier FMCG company, recognised for its world-class
quality and enduring consumer trust, ITC forayed into the Personal Care business in July 2005. In
the short period since its entry, ITC has already launched an array of brands, each of which offers
a unique and superior value proposition to discerning consumers. Anchored on extensive consumer
research and product development, ITC's personal care portfolio brings world-class products with
clearly differentiated benefits to quality-seeking consumers.
ITC's Personal Care portfolio under the 'Essenza Di Wills', 'Fiama Di Wills', 'Vivel Di Wills'
'Vivel UltraPro', 'Vivel' and 'Superia' brands has received encouraging consumer response and is
being progressively extended nationally.
ITC's state-of-the-art manufacturing facility meets stringent requirements of hygiene and
benchmarked manufacturing practices. Contemporary technology and the latest manufacturing
processes have combined to produce distinctly superior products which rank high on quality and
consumer appeal.
Extensive insights gained by ITC through its numerous consumer engagements have provided the
platform for its R&D and Product Development teams to develop superior, differentiated products
that meet the consumer's stated and innate needs. The product formulations use internationally
recognised safe ingredients, subjected to the highest standards of safety and performance.
About Fiama Di Wills
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9Salon Strategy for I.T.C. Hair Care Products
In September 2007, ITC launched Fiama Di Wills, a premium range of personal care products
comprising shampoos, conditioner, shower gels and soap. This premium range is a unique blend
of nature and science that promises gentle effective care. It is an outcome of 4 years of
extensive research and development by experts at ITC R&D Centre. The packaging for all Fiama
Di Wills products has been developed by a leading European design firm and the fragrances
have been developed by an international fragrance house in France.
Fiama Di Wills Shampoos developed in collaboration with Cosmetech Labs Inc., USA, offers a
range of five variants. Each of these is designed to deliver a specific hair benefit to the
consumer :
• Everyday Mild (with extracts of Thyme & Juniper) is a gentle caring shampoo suitable for
daily use.
• Aqua Balance (with extracts of Magnolia Blossoms &
Watercress) is a gentle moisturizing shampoo ideal for dry,
dull hair.
• Volume Boost (with extracts of Rosemary & Sage) is a
gentle volumizing shampoo ideal for thin, limp hair.
• Silky Strong (with oils of Macadamia Nut and Babassu) helps make hair smooth, silky and
strong and is ideal for weak, damaged hair.
• Shine in Style (with extracts of Chamomile and Green Tea) makes hair shiny and
manageable, easy to style and is ideal for dull to normal hair.
Each of these shampoos can be complemented with Fiama Di Wills Polishing Drops conditioner.
This gentle conditioner enriched with Avocado Oil and Burdock extract promises to make hair
shiny, soft and smooth. It also gives the additional benefits of UV protection as it contains
Sunflower Seed extract, which is a natural UV absorber.
The Fiama Di Wills product line also consists of a 3-variant range of transparent shower gels
which are unique as they come with suspended beads:
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10Salon Strategy for I.T.C. Hair Care Products
• Mild Dew (enriched with soft beads, peach and avocado extracts) is for soft,
moisturized skin.
• Clear Springs (enriched with jojoba beads, sea weed and lemongrass extracts)
is for clear healthy skin.
•
The Fiama Di Wills range of soaps has been launched under the sub -
brand SkinSense. The first variant to be introduced in this range is Soft Green. This is a gentle
caring soap, which helps enhance retention of skin proteins making skin look beautiful and
youthful.
Between February and June 2008, ITC expanded its personal care portfolio with the launch of
Vivel Di Wills and Vivel brands. Vivel Di Wills, a range of soaps, and Vivel, a range of soaps
and shampoos, cater to the specific needs of a wide range of consumers.
Backed by consumer insights, these ranges offer the unique value proposition of providing the
multiple benefits of Nourishment, Protection and Hydration in every single product. Thus providing,
the ever-discerning consumer, complete care.
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Exotic Dream (enriched with glitter beads, bearberry leaves and black currant
extracts) is for stimulating freshness.
11Salon Strategy for I.T.C. Hair Care Products
An Overview of theSalon Industry in India
Market Size
The beauty salon market in India has been growing steadily over the past few years. As
of end FY03, there were an estimated 61,000 beauty salons in towns with over 1 million
population.
For the purpose of analysing the beauty salon industry, Value Notes has used the
following classification of the beauty salon market in India –
Source : Value Notes
Category No. Of Employees Typical Characteristics
Large>8 Large parlours providing a
varied range of services and/or
specialization, premium price range
Medium5-8 Medium parlours, medium
price range
Small3-4 Small parlours, limited service
range
Home1-3 Individuals operating from
home/giving home service
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12Salon Strategy for I.T.C. Hair Care Products
Exhibit 1 :
Population-wise estimate of salons by category (FY 2003)
Some observations:
· Interestingly, half of these parlours are in the ‘home’ category. The large salons (with
more than 6 employees, providing a wider range of services) constitute only 4% of
the total number of beauty salons in the country. The medium size salons (with 3-5
employees, medium price range) are less than 10 percent.
· More than half of the beauty salons are in the major metros - Mumbai, Delhi and
Kolkata (population more than 10 million). The others are balanced almost equally
between the mini-metros (population size 3 to 10 million) and the smaller towns
(population between 1 and 3 million).
· Also, there are a high number of small and home based beauty salons in the metros.
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13Salon Strategy for I.T.C. Hair Care Products
B. Turnover Estimates
The estimated total turnover of the beauty salon market is between Rs. 1493
crores and Rs. 1805 crores (FY03) in cities with more than 1 million population.
Exhibit 2: Turnover Estimates (FY 2003)
Across the town classes, the large beauty salons took up 27% of the revenue inspite of
being substantially lower in numbers as compared to the other categories. Also, of the
total, the metros account for about 60% of the total turnover.
Interestingly, it is the small beauty salons (1-2 employees, offering limited services) that
take up about 42% of the revenues in the metros. Adding the home category (those who
work out of homes/garages etc.), the total revenue generated is over 65% of the total.
In other towns of 1 million + also, they take up a sizeable portion of the revenue.
The home segment, on the other hand, despite being the largest in numbers, takes up
between 15-24% of the total revenue estimated in this market.
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14Salon Strategy for I.T.C. Hair Care Products
So what services are the money grossers for this industry?
Across the categories of beauty salons, haircuts are the most revenue generating
service, accounting for between 25-30% of the total revenues. Hair styling (hair
colouring, perming, streaking etc.) contribute to about 27% of the revenues for the
larger salons, but are very insignificant revenue earners for the other categories. This is
especially true of high-end speciality parlours.
In the medium size parlours, hairstyles lose out as the revenue generators since the skill
sets are generally perceived to be lower in this category. However, facials, being
comparatively price inelastic, make up for 31% of the revenue generation in this
category. This trend also follows to the smaller and home parlours as this is a function
of price rather than volumes.
Exhibit 3 : Revenue from various services across categories
• The product portfolio of the Referent Brands needs to be analysed. An analysis of the
benefits, attributes, advertisement and MRP needs to be done to arrive at the Benefit
Mapping of the Products.
• A Profile Segmentation Definition for the salons needs to be arrived at.
• The Brands & Portfolio of Products of a brand which is available in a Salon on the basis of
the Profile needs to be mapped.
• A Recommended Product Portfolio for ITC needs to be arrived at on the basis of all the
above analysis.
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20Salon Strategy for I.T.C. Hair Care Products
Recommended Product Portfolio
For Shampoos:
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21Salon Strategy for I.T.C. Hair Care Products
For Conditioners
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22Salon Strategy for I.T.C. Hair Care Products
Market Segmentation
Objective:
• A Profile Segmentation definition for the salons needs to be arrived at.
• The Brands & Portfolio of Products of a brand which is available in a Salon on the basis of
the Profile needs to be mapped.
• An Ideal Representative Sample needs to be arrived at to understand how the market has
been segmented and which Referent Brand occupies a stronger foothold in the Kolkata
Market.
Methodology:
• Various salons across the city were visited.
• The brands used in the various salons were identified.
• Various Parameters to differentiate between the salons were identified.
• The parameters included :
Location( whether Commercial or Residential)
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23Salon Strategy for I.T.C. Hair Care Products
Starting Price range of Basic Services
Number of Salon Chairs
Whether it is a Ladies Salon or a Unisex Salon
Customer Profile
• Out of the above mentioned parameters, Location and stranding price range of basic services
were identified to be the most important criteria for classification of Salons.
• On the basis of information gathered a matrix was formed with the parameters of Location
(whether Commercial or Residential) on one hand and starting price range of Basic Services
on the other.
Salons visited:
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24Salon Strategy for I.T.C. Hair Care Products
Sample Matrix[Type the company name]
25Salon Strategy for I.T.C. Hair Care Products
Observations
1. The most premium salons have either Shcwarzkopf or Kerastase Products.
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26Salon Strategy for I.T.C. Hair Care Products
2. L’oreal is found in all types of Salon Profiles and it occupies the highest Market Share.
Even though it is found in Salon Profiles it differentiates itself by keeping a larger range
of L’oreal Products in the Higher Profile Salons. For example, a salon in the 150-250
range will usually always have Serie Expert Products, but salons in the 350 range and
above will have, apart from Serie Expert , Tecni Art & Matrix products also.
3. Schwarzkopf is quite a premium Brand and can be found only in the 350+ and 500+
profile of Salons.
4. Kerastase is extremely premium and is not found much in Kolkata.
5. Wella can be primarily found in the first 2 Profiles only, i.e.,150+ and 350+.
6. L’oreal and Wella occupy a strong foothold in the 350-450 range in Residential as well
as Commercial Area.
7. Wella & Schwarzkopf are found in posh residential areas mainly as well as some can be
found in commercial areas.
Based on the above analysis it can be said that L’oreal occupies a foothold of around
70-72%. The rest comprise Schwarzkopf and Wella, whereas Kerastase has only 2-3
salons in Kolkata.
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27Salon Strategy for I.T.C. Hair Care Products
Distribution
Objective:
To understand the Distribution Process and Distribution Channel of Referent Brands L’oreal
Professionnel, Wella, Kerastase,& Schwarzkopf.
Methodology :
• Various salons across the city were visited to understand the process of Distribution.
• The Distributors of the various Referent Brands were also contacted to get a detailed
understanding of how the Distribution Process is spread out from the company to the
ultimate consumer.
• An idea of the various Sales and Trade Promotion techniques used by the Companies is
also taken note of.
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28Salon Strategy for I.T.C. Hair Care Products
• Apart from the above mentioned a note is also taken of the most popular selling products.
Wella :
• CompanyCNF(Carrying and Forwarding Agent)DistributorSalon
• These CNF’s are located in various zones in the country and they then forward the
products to the distributors in the various cities.
• The order capture is done in a way such that salons in a particular area are allotted days
in a week. The salons call up the distributor with the order they require and on the day of
the week which is allotted to them the order is delivered to them.
• The order capture is done in a way such that salons in a particular area are allotted days
in a week. The salons call up the distributor with the order they require and on the day of
the week which is allotted to them the order is delivered to them.
• Offers- Various Trade Promotion schemes are on offer. There are mainly two types of
offers- Quantity Based Scheme and Price Based Scheme.
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29Salon Strategy for I.T.C. Hair Care Products
Quantity Based scheme is such that on purchase of a particular quantity of products
discounts are offered to the salons. It may also be in the form of commission,etc.
Price Based Scheme is such that on purchase of products worth a certain amount
discounts or price cuts are offered to salons.
• Top Selling Products :
Wella is the world leader in straightening and rebonded hair products.
L’oreal Professionnel and Kerastase
• CompanyCFA(Depot)DistributorSalon
• These CFA’s are located in various parts of the country. The products are forwarded from
these areas to the distributors in the cities.
• There are various distributors in Kolkata to cater to the many L’oreal Salons in different
areas.
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30Salon Strategy for I.T.C. Hair Care Products
• Order capture is done in such a way that the salons call up the distributor and place an
order on the basis of their requirement.
• Offers- Various Trade Promotion schemes are on offer. There are mainly two types of
offers- Quantity Based Scheme and Price Based Scheme.
Quantity Based scheme is such that on purchase of a particular quantity of products
discounts are offered to the salons. It may also be in the form of commission,etc.
Price Based Scheme is such that on purchase of products worth a certain amount
discounts or price cuts are offered to salons.
• Top Selling Products: Volume Hair Shampoo and L’Oreal Hair Spa Treatment are very
popular.
Schwarzkopf
• CompanyCFN’sDistributorSalons
• The distribution channel works in much the same way as in the case of the above two
companies.
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31Salon Strategy for I.T.C. Hair Care Products
• The distributors are allotted certain areas and their market is thus the salons in these
areas.
• The salons call up the distributors or the company to place an order with them. The order
is then transferred on to the distributor.
• Offers- Various Trade Promotion schemes are on offer. There are mainly two types of
offers- Quantity Based Scheme and Price Based Scheme.
Quantity Based scheme is such that on purchase of a particular quantity of products
discounts are offered to the salons. It may also be in the form of commission,etc.
Price Based Scheme is such that on purchase of products worth a certain amount
discounts or price cuts are offered to salons.
• On a Kolkata basis there are around 35 Schwarzkopf salons .
• Top selling Products- Client Specific.
Recommended Distribution Channel
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32Salon Strategy for I.T.C. Hair Care Products
Keeping in mind ITC’s infrastructure and reach the following Recommended Distribution Channel diagram was designed to reach all the major markets of the city in the most appropriate and timely manner :
Suggested Sales Promotion techniques :
• Quantity Based scheme :
o Contests for reaching Target Saleso Commission for sale of Products beyond a specific quantity.o Discounts on purchase in Bulks.
• Price Based Scheme :
o Gifts and Gifts Vouchers for High Performing Salon Clientso Attractive Discounts for consumers in the beginning Phase to attract consumers.
TRAINING
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33Salon Strategy for I.T.C. Hair Care Products
Objective:
To understand the process of training of salon workers and how does it help.
Observations:
All the main players in the Salon Business, L’oreal, Wella, Schwarzkopf have set up their
own Training Institutes where they train people to be Beauticians, Hair Dressers and Salon
Managers. They then work for their respective salons. However, these Training Institutes
provide training not only to people who will work in their salons but also to those who
want to start a salon of their own, or who want to be placed in other salons.
Training has become a very crucial aspect in the Salon Business as it is getting very
competitive. There is a need for trained professionals to keep up with changes in the
technical and service standards. It is important also to keep up the reputation of the salon
and the salon brand used.
The training courses offered are sometimes a 6 month course with internship or an 8 month
course with internship. There are options for both freshers and practicing beauticians and
there are short-term and long-term courses that cover the entire gamut of beauty:
skincare, makeup and hair and range and with all the aspects of salon services and client
care.
Training is given through practical demos with the help of modern salon machines and
equipment. It is conducted in a Professional environment where live demos are also shown.
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34Salon Strategy for I.T.C. Hair Care Products
Regular workshops and seminars are also conducted on a monthly basis or so where the
salon professionals are trained by renowned hair dressers.
These seminars are also conducted when the company is launching new trends hair styles
and also new hair colors. In these workshops the salon professionals are brought up to
date with the trends and introduced to the new products that the company is coming up
with.
Jawed Habib, for instance, has institutes in Mumbai, Kolkata, Hyderabad, Bangalore,
Ahmedabad, Delhi and Kathmandu (Nepal). Shahnaz Husain, in contrast, has some six
schools in Delhi and 56 branches across the country. Lakme has an institute in Mumbai,
where training is imparted to its personnel from time to time. The institute also provides
beauty education to external candidates, something that Jawed Habib and Shahnaz
Husain do too.
L’Oreal, has an academy in Mumbai, Christine Valmy, a school based in New York that
began imparting beauty education in India some two years ago, and Wella, has a tie-up
with popular hair stylist Nalini (of Nalini & Yasmin fame).
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35Salon Strategy for I.T.C. Hair Care Products
Conclusion
The Recommended Product Portfolio (Shampoo, Conditioners, and other Hair Care products) will be used by ITC when they venture in the Salon Business.
After understanding the Market Segmentation and Distribution Procedure used by the Referent Brands I reached the following recommendations:
• Keeping in mind ITC’s brand value in the market and its ability to procure prime
locations in the city I recommend a Low Penetration and High Priced Strategy. The main
reason behind this strategy is to present the range as a Premium Range with high utility.
Exclusivity and adequate national promotional will help to raise the buzz about the
products.
• In the initial stages the salons must be opened in central locations in the city and also in
the Wills Lifestyle stores to reach the target audience.
• Salons can also be opened in I.T.C. Hotels. As most of ITC’s hotels are in the 5-star
category and the Wills Lifestyle Stores targeted at the higher income group the Salons
would be strategically placed to attract the end consumer.
• The main idea is to promote the Salon chain as a high-end lifestyle product.
• Proper training must be provided to the Salon Staff and High end beauticians and Hair
Stylists must be hired. Adequate training must be provided to the staff to ensure the
highest service level.
Training is an important aspect, as it helps the staff to keep in touch with the new trends
in the Industry, as the Industry itself is dynamic.
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36Salon Strategy for I.T.C. Hair Care Products
• It is also important to come up with various Sales Promotion techniques targeting both
the Distributors and the consumers .
AnnexureOBSERVATIONS
Referent Brands- L’Oreal Professionnel, Wella, Schwarzkopf and Kerastase
• Customer Profile
The customer profile differs in various salons across the city . The determinant in most cases is Location. For a residential location :
50% Housewives
20-30% School and College Children
20 % Working Women
Commercial Location
60% Working Women
15% School and College Children
25% Housewives
Salons near or in malls and marketplaces have a mixed customer base and have more footfall.
• Classification of salons can be done on the basis of price of a regular haircut. Price of services in salons in dependent on location and then on brand name.
In residential areas : 200-250
In Commercial areas:350-400
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37Salon Strategy for I.T.C. Hair Care Products
For extremely premium salons like Habib’s and Bridget Jones the prices are higher: 500+
• Distribution:
For most salons whether L’Oreal, Wella , Schwarzkopf there is an agent or middle man involved who is the link with the company. He ensures regular availability of products.
In other cases the saloons call up the company to order the products they require.
• Training:
The professionals working in the salons of L’oreal, Wella , Schwarzkopf are regularly trained in the form of workshops and seminars on a monthly basis. They are trained in terms of new trends and are informed about the new products launched and their uses and benefit