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Case Study

3/9/2020 1
History

 In 1940s Switzerland scientists from Swiss drug company
Hoffman-La Roche discovered the wonders of Panthenol.
Used for treating burnt skin and damaged hair.
 In 1945s Hoffman-La Roche partnered with The Vitamin
Pope, Dr. Gustav Erlemann created the first Pantene hair
care formula, laying the foundation for Pro-V Science.
 In 1985 It was Acquired by Procter & Gamble (P&G)

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Cont.

 In 1986, Pantene launched an advertising campaign that
had beautiful models saying, "Don't hate me because I'm
beautiful".
 In the early 1990s, Pantene began a rapid expansion into
more countries across the world.

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Introduction

 In 2003 the share of Pantene, the market leader declined
from 22.5% to 20% which worried Procter & Gamble the
owner of Pantene brand. P&G hired Nielsen to conduct
market research to identify the cause of decline and
suggest a marketing strategy.

 What do you know about Nielsen ?

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Nielsen

 Nielsen was founded in 1923 by Arthur Charles Nielsen in
United States for conducting quality tests and offering
consulting for industrial products and provided solutions to
clients marketing problems.
 The market leader of the $31 billion global market research
(MR) industry in 2010.
 Specialized in consumer products and services, included Retail
Measurement Services(RMS),Media Measurement
Service(MMS)
 Decided the population, questions to be asked.

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Cont.

 In 2011, Nielsen went public and was listed on the New
York Stock Exchange under the name of Nielsen
Holdings.
 the market leader with 16% market share, followed by
Kantar (12%), IMS Health (7%), GfK (6%)

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Pantene Problem

 Steep fall in the market share from 22.5% to 20% in 2003
 wondered what caused the decline:-

- lack of distribution intensity


- promotions by competitors
- unfavorable consumer perception.

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Nielsen Solutions

Nielsen apply one of comprehensive solutions “Winning
Brands” which analyzed the brand from multiple
perspectives category issues;
brand challenges: equity, loyalty, personality
marketing mix: price, promotion, distribution and consumer
behavior

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Winning Brand

combined “Winning
Brands” with its
syndicated research to
recommend integrated
marketing strategy for
stemming the decline
in market share.

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Brand Equity

Nielsen then calculated
equity of different brands
and found that Pantene
had the highest equity
(3.5) followed by Sunsilk
(1.9) and Garnier (1.4).

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Category Typology

Nielsen started off by analyzing
the shampoo category. The
category had market
penetration of 98% and was
growing at the rate of 2.8%
annually. Two dimensions
involvement and
experimentation It found that
consumers were highly
involved with shampoos and
purchased multiple brands
experimentally.

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Drivers of Equity

Nielsen identified the
relative importance of
drivers of equity in the
shampoo category and
compared them with its
normative data base for
FMCG It found that
association was the most
important driver followed
by awareness
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Purchase Trigger

Nielsen then
looked at the
triggers that
activated the
purchase of
Pantene

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Thanks

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