Negli scorsi cinque anni, il lancio di nuovi prodotti e il cambiamento nello stile di vita dei consumatori hanno fatto emergere un crescente interesse nei confronti del concetto di “beauty from within” (“bellezza dall’interno”). Il fenomeno, a cui le aziende hanno risposto con la creazione della “nutricosmetica” (integratori e cibi per la bellezza di pelle, capelli e unghie), è basato sull’idea che il consumo di specifici nutrienti possa agire sul nostro aspetto esteriore.
L’obiettivo di questa ricerca è di indagare come il rapporto dei consumatori con il mondo della bellezza sta evolvendo e rispondere quindi alla seguente domanda:
“Quali sono le strategie di marketing che le aziende dovrebbero adottare per introdurre nuovi segmenti di mercato all’uso di nutricosmetici?”
Nutricosmetics: Designing effective marketing strategies to exit the niche and target a sizable market”
1. Nutricosmetics:
Designing effective marketing strategies to
exit the niche and target a sizable market
Research paper : Empiric research run on western consumers
Author: Claudia Aiello
December 2015, Milan
2. 1. Introduction to the research topic: Nutricosmetics as a business question mark
An increased interest towards the concept of beauty from within is accused in the western markets
CONSUMERS’ LIFESTYLE UNSUCCESSFUL BUSINESS ATTEMPTS
#Healthy#PurifyingDrink
#DIYBeauty
#Fruitpower
#FashionSoupes
Skin moisturizing yoghurt
(Danone,France, 2007)
Skin fortifying Drink
(Nestlé, US, 2009)
Beautyifying chocolate
(Mars, US, 2007)
Nutricosmetics brand
(Inneov, Join venture
L’Oréal and Nestlé,
Europe, 2015)
Anti-ageing cereal bars
(Barilla, Italy, 2007)
3. Nutricosmetic is based in the belief that beauty can be addressed from within by consuming specific active
nutrients
2. Nutricosmetics in western markets: current situation
‘80, Japan
Modern technologies gave
birth to nutraceuticals
$ 4 bln
Global Annual sales T2015*
’80s, Denmark
Imedeen, the first
nutricosmetic brand, is
born
#2
#1
#3
#4
#5
Pushing the growth:
Consumer Health industry’s shift towards
prevention
+ 4%
Growth rate 2013-2014*
*Euromonitor International, 2013
4. WESTERN BUSINESSES ARE FACING A PIVOTAL POINT
Today’s business essentials
Anti-age
supplements
for + 30 years-old
women
The drivers of tomorrow
Young men
and women*
SELECTIVE *Euromonitor International, 2013
MASS
5. RQ: “Which are the specific marketing approaches manufacturers should adopt to introduce new demand
segments to the use of nutricosmetics?”
RESEARCH DESIGN
I. Exploratory research: Understanding consumer’s attitudes and marketing practices towards food
supplements and nutricosmetics;
II. Descriptive research (Italy): Online Survey design and quantitative data collection;
III. Data analysis: Factor Analysis, Cluster Analysis and Correspondence Analysis;
IV. Findings: Demand Clusters, consumers preferences towards beauty foods (Matrix construction);
V. Managerial implications: marketing strategies for growth (Short-term and Long-term);
Impact of regulatory
changes
Price and distribution
issues
Exploring novel
concepts
Overcoming consumer
scepticism
KEY MARKET’S GROWTH BARRIERS*
3. Research design
6. #1
4. Research Findings 1/3: Purchasing habits and category perception
If you say supplements they think about…
Vitamin C
Calcium
Carotene
#2
#3
The main way I discover about new beauty products I
try…
47%
Friends
45%
Supermarket
31%
Commercials
If I have to look for information on nutricosmetics i first think about…
#1 #2
39%
Internet
31%
The Doctor
12%
Asking the Seller
#3
If I want to buy beauty foods I mainly consider…
#3
Herbal shops
#1
#2
Pharmacies
Internet
What about using nutricosmetics?
“They do not substitute my current beauty practices”
“Men would address more beauty concerns than women by them”
“”Women would consider them for beauty concerns that topical products can not
completely solve”
7. “The wavering perfectionists or
eternal undecided?”
“The charmed spontaneous”
“The disoriented triers”
“The committed explorers”
“The enthusiastic naturalists”
4. Research Findings 2/3: Demand clusters
About the evaluation driver towards
dietary supplements, according to the
importance given to….
1. The internal product’s formula
2. Marketing experiential features
3. Endorsing elements
4. Origins of the product
32%
18%
20%
16%
14%
CLUSTER 1
CLUSTER 2
CLUSTER 3
CLUSTER 4
CLUSTER 5
8. 4. Research findings 3/3 : Hypothesis confirmation and disconfirmation
Hp1: Consumers towards the choice of nutricosmetics products prefer those having the highest degree of natural image.
Hp2: Nutricosmetics are perceived as complementary to current cosmetics products.
Hp3: Consumers, towards the decision of purchasing beauty foods, trust more brand having a previous experience in the
nutritional domain.
Hp4: People who are already used to the consumption of food supplements will be overall more willing to try
nutricosmetics.
Hp5: Beauty food’s products people consider part of their cultural habits or icon products will be less likely to be tried as a
beauty food compared to other products.
Hp6.1: 1/Due to the low consumer’s confidence over the products category of nutricosmetics, the online channel is a
prescriptive pre-purchase channel today but it is expected to become a distribution one in the future.
Hp6.2 :The behavior of looking for nutricosmetics in specific channels depends on consumer
targets.
HP7: Women are more willing to introduce nutricosmetics into their daily routine than men.
In other words, they accept the solution of beauty from within for an average higher number of
beauty concerns than men;
Not Confirmed
Confirmed
9. 5. Managerial implications 1/3
The Nutricosmetics Branding Matrix (NBM):
Guidelines for product branding decisions
10. 6. Managerial implications: Consumers’ acquisition guidelines
SHORT-TERM
ACTIONS: Leveraging on the young “GATEKEEPERS” of
cluster 4b (25-35) to convert new consumers
Fast expansion moves
BUSINESS OBJECTIVE: To grow volumes
INGREDIENT BASED - PRODUCT PACKAGING: Experiential on the
front (impulse buying cluster 2) and iconographic (clear on its content)
on the back (high involvement cluster 4).1
2
NEW PRODUCT BENEFITS: Targeting impure skin’s imperfections and
dark circles due to the intense lifestyle of millennials and threatening
environmental conditions
3
CHANNEL AND PROMOTION: supermarket’s strategic placement of the
product next to the current ones addressing the same body part (as a
complementary solution with those for external use) and product
bundling.
4DIGITAL STRATEGY: Since today the market is a one way ROPO ( Research
Online Purchase Offline) , and it is not ready for e-tailing, in order to spread the
knowledge about the category, integrated digital camoaigns (such as insight
based viral videos, investments in SEO and SEM) are necessary to build brand
equity and drive traffic to the website.
5. Managerial implications 2/3: Consumers’ acquisition guidelines
*Inspired to the “Innovation adoption curve” by Everett M. Rogers
SHORT-TERM
11. LONG-TERM
ACTIONS: Adopting specific marketing tactics to attract new
consumers’ segments (cluster C1 and C5)
Revitalization by offer segmentation
OBJECTIVE: To expand margins
1
2
FULLY MAN LINES AND BRANDS: Targeting genders specific beauty
concerns.
3
4
DIGITAL STRATEGY: The market will develop towards a more complex
purchasing funnel (Research Online Purchase Offline plus Rsearch Offline
Purchase Online). At this point new services like e-tailing and life-style
integrated digital services to be connected with consumers’s health evolution
(ex. smart bands, apps like Nike running) will be the key to reach a competitive
advantage.
BENEFIT BASED - PRODUCT PACKAGING: In order to get a
simplification of the category ( cluster 1).
BIO-NUTRICOSMETICS: Developing products with claims like « free-
from, vegan, vegetarian etc..» to further proceed with market
segmentation (cluster 5).
CHANNEL AND PROMOTION: Developing concept stores and corners
for the nutricososmetic category in order to actuate a « standing
alone » store placement. I fact at this stage the category is expected to
have entered consumers’ consideration set.
5
5. Managerial implications 3/3: Consumers’ acquisition guidelines
LONG-TERM
*Inspired to the “Innovation adoption curve” by Everett M. Rogers
12. 7. APPENDIX 1/3: Sample description
0
20
40
60
80
100
120
140
160
180
18-24 25-35 36-46 46+
Frequencies
Age ranges
330 respondents
0
20
40
60
80
100
120
Frequencies
Region of provenience
75%
distribution
0
5
10
15
20
25
30
35
40
45
First level
degree
Second level
degree
High school Middle school Other
Frequencies
Education level
% Involved in beauty and wellness
practices
70%
30%
60%
They use between 3-5
beauty products daily
(34% of the sample)
44% use dietary supplements
40% use nutricosmetics
Genders’ quota
Respondents’ age distribution Respondents’ education level distribution
Respondents’ provenience distribution
13. “Wavering perfectionists or eternal undecided?” “The charmed spontaneous”
“The disoriented triers”
“The committed explorers”“The enthusiastic naturalists”
32% 18%
20%
16%14%
CLUSTER 1 CLUSTER 2
CLUSTER 3
CLUSTER 4CLUSTER 5
They are consumers between 25-35 years old.
Independent professionals who put a low budget
on beauty and have never tried dietary
supplements and functional drinks before.When
they are faced with the situation of evaluating
dietary supplements ,they lever on the product’s
origins and consider mainly its natural content. In
terms of information providers they rely on Radio
and social medias.
They are more adult consumers (+ 46). Dependent
employees who are involved in beauty but put a middle-low
budget on it (mass market consumers) . They currently
consume dietary supplements and functional drinks. When
they are faced with the situation of evaluating dietary
supplements ,their evaluation process is very ponderated (
they struggle to prioritize). This is likely to bring to the
paralisis of choice if marketing lacks of support. In terms of
information providers they rely on TV and news papers.
They are consumers between 18-24 years old. Mostly students
or interns, they are highly involved in beauty but put a low
budget on it (mass market consumers) . They are the most
recurrent consumers of dietary supplements and functional
drinks. When they are faced with the situation of evaluating
dietary supplements ,their evaluation process is unloaded since
they rely on bare marketing features. In terms of information
providers they are multichannels (internet, radio, TV social
meadias) and they use the least newspapers.
They are consumers between 18-35 years old.
Mostly students, they are moderately involved
in beauty and are the lowest spenders on it .
They are not used to dietary supplements’
consumption and functional drinks but they did
it in the past. When they are faced with the
situation of evaluating dietary supplements
,their evaluation process is transferred on
someone else. They tend to ask for advices and
simplify their choices looking for external and
convenient endorsing factors. In terms of
information providers they consider TV and
news papers.
7. APPENDIX 2/3: Demand Clusters
They are consumers between 25-35 years old. Independent
professionals or hausewives, high involved in beauty, who put a
middle-high budget on it. More than any other cluster they practise
esthetic treatments and they are worried about ageing. They
consumer periodically dietary supplements for hair and skin and
they result to be the current consumers of nutricosmetics. When
they are faced with the situation of evaluating dietary supplements
,they are highly involved and they deep study the internal features of
the product they buy. In terms of information providers they rely on
internet and newspapers.
14. "It attracts me"
"It disturbs me"
"It is a joke or does it
really exist?"
" I would try it!"
"This brand should not
produce this kind of
product"
" I am concerned about
its taste"
"It think it might be
dangerous""I don't think it works"
"When should it be
used?"
" I would NEVER try it!"
"This product's type is
not adapt to have
benefical effects" Clarins
DanoneL'Angelica
Erbolario
Barilla
Nescafé
J&J
Jeannie
Nivea
L'Oréal
-1,000
-,500
,000
,500
1,000
1,500
-1,500 -1,000 -,500 ,000 ,500 1,000
IncoherentproducttypevsIncoherentbrandimage
Attractive/To be tried vs Disturbing/Not to be tried
What do consumers think of beauty
foods?
7. APPENDIX 3/3: Branding effects
*Products have been creatively designed combining brands and products from different sectors (following the findings of the exploratory research)