China Media Buy Proposal Jan. 2015
Content • Competitors and consumers analysis • Objective and strategy • Content idea and utilization • Budget allocation 2
Competitor and Consumer Analysis 3
China Parfums Category Overview • Total categories of parfums monitored -26% YOY decrement Dior and Chanel taken market leadership with total share over 70% • Farregamo Parfums spends dropped by -92% and ranked #16 of total • Out of 6x competitors, no spends monitored for Hermes and Chloe Data Source: Nielsen / iResearch (Digital under monitored, only include part of Display & OTV) YTD SEP14BRANDSYTD SEP14FY 2013YTD SEP14YTD SEP14RANKSPENDSSPENDS% VARSOV %1Dior242,766542,950-15%49.7%2Chanel123,788259,582-30%25.3%3Estee Lauder25,9460N/A5.3%4Armani19,44715,22045%4.0%5Kenzo11,7698,51778%2.4%6Lancome10,60289,943-88%2.2%7Bulgari9,84510,46123%2.0%8Hugo Boss9,5786,62872%2.0%9Burberry6,0275,67067%1.2%10Gucci5,9688,611-28%1.2%Others21,89067,466-58%4.5%16Salvatore Ferragamo1,91824,255-92%0.4%17Dolce & Gabbana091-100%0.0%TOTAL487,6261,015,048-25%99.8%UNIT: KRMB 4
Key Competitors: Armani • Media platform focus on Magazine, while its Digital share increased to 24% YTD Sep14 • Product skewed on Si in YTD Sep14, while in YTD Sep14 totally communicated 3x series 80%65%19%24%04,0008,00012,00016,00020,000FY 2013YTD SEP14Media MixOOHMAGNPPTVDigitalK RMB 28%39%33%FY 2013PriveAcqua Di GioiaSiEau Pour Homme4%95%YTD SEP14+45% YOY Data Source: Nielsen / iResearch (Digital under monitored, only include part of Display & OTV) 5
Key Competitors: Bulgari • Magazine skewed strategy; step into digital in 2014 with small SOV share • Product focus switched in 2014; trends observed 1x Female and 1x Male product communicated each year 100%99%04,0008,00012,000FY 2013YTD SEP14Media MixOOHMAGNPPTVDigitalK RMB 48%52%FY 2013Jasmin NoirMan ExtremeAqva AmaraOmnia+23% YOY 31%69%YTD SEP14Data Source: Nielsen / iResearch (Digital under monitored, only include part of Display & OTV) 6
Key Competitors: Gucci • Digital driven strategy; YTD Sep14 cut Magazine spends and increased online investment • Premiere is product focus in 2013 while Guilty in YTD Sep14 54%42%97%02,0004,0006,0008,00010,000FY 2013YTD SEP14Media MixOOHMAGNPPTVDigitalK RMB 88%12%FY 2013PremiereGuiltyFlora-28% YOY Data Source: Nielsen / iResearch (Digital under monitored, only include part of Display & OTV) 95%5%YTD SEP147
Key Competitors: Dolce & Gabbana • Only observed 1x tactical insertion on magazine in 2013 behind Product: Light Blue • No spends monitored in YTD Sep14 100%04008001,200FY 2013YTD SEP14Media MixOOHMAGNPPDigitalK RMB Data Source: Nielsen / iResearch (Digital under monitored, only include part of Display & OTV) 8
• Magazine and Digital are major platforms for Parfums communication • Digital observed as trends with YOY increased budget share • Campaign base for specific product, and focus rotate for iconic series Competitive Highlights 9
Recap – Achievements & C...
