| Read the attached case and address the questions at the end in a carefully crafted essay not to exceed four (4) pages. Make sure to read Case Study Analysis Guidelines in the modules. Make sure all questions are answered thoroughly and completely. Case study must be written in your own words, i.e., from your thoughts, insights, reflections, ideas, and analysis, but supported with e-text materials and/or outside sources to substantiate, validate your thoughts. Be sure to cite all sources inclusive of the article and e-text. Check for the correct forms of verbs, capitalize proper nouns, and make sure you are using the correct word or phrase. Sometimes what we say and what we hear is different from the way something must be written. Requirements and Format Length: not to exceed four (4) pages double-spaced, typed, 12 pt. font, 1” margins. APA format Case study must be written in your own words, i.e., from your thoughts, insights, reflections, ideas, and analysis, but supported with e-text materials and/or outside sources to substantiate, validate your thoughts. All phrases and para-phrases must use in-text citations (APA style) and with full references on the reference page. Research materials should be high-quality sources such as those available through the library’s online databases. Supplementary materials (such as tables, figures, screenshots), can be present in appendices that are not included in the page limit, but their contribution to the report should be integrated within the main text. An electronic copy of the case analysis must be submitted via Turnitin. Case Study: Axe Brings Down the Hammer In the body fragrance and personal care marketplace, there is one product that overshadows all others—Axe, a brand primarily targeted toward young men. Owned by the multinational Unilever, which is headquartered in England and the Netherlands, Axe has gone from a small European brand to a $2.5 billion global brand with phenomenal growth (13.6 percent in the previous year). Axe holds 76 percent of the body fragrance market, 58 points higher than its nearest competitor Old Spice, and just two years, its other major competitor, Tag from Procter and Gamble, shut down. Without question, the key to Axe’s success has been its excellence in marketing. As other companies do, Axe sponsors events that are aimed at connecting with young men by sponsoring video games, hosting branded videos on Collegehumor.com, and hosting an online comic book i n which fans can contribute plot twists and even be included within the narrative itself. Axe, however, takes things one-step further by tying all of its marketing efforts to an incredible level of research. Axe’s core, target demographic is men aged 20 to 25. It does not try to “age” with the group, meaning that they focus primarily on that 20 to 25 group and does not chase its customers as they age. The company operates a relentless research system that focuses on this segment and tries to understand everything about its culture—its fads, its trends, its likes and dislikes, who it likes to spend time with, what they like to spend time on—so that it can constantly stay on top of what communicates well with their core customers. In essence, Axe wants to know what young men like, and understand how they can target those likes. More importantly, Axe understands that trends, as with anything else, will change. Axe marketers know that what appealed to the 20 to 25 demographic five years ago will not appeal to the current 20 to 25 group, and that whatever is popular now will likely be out of style in another five years. One part of Axe’s attempt to understand young people is to hire young people. Called “Trendslators” within the company, these young people join various marketing research teams and help explain and translate the newest trends, the latest fads, and the hottest memes that are spreading around the globe. Axe also makes extensive use of field trips into college towns and other young-male dominated social gatherings. It is during these trips that marketers gain firsthand experience of what is important to young men, and how they might communicate with them to sell more Axe. A few years ago, Axe created the Detailer, a loofah-type body sponge that guys could use in the shower (with Axe body soap, naturally). Though marketers liked the product, they were afraid that sales would be quite low because the product might be perceived as too dainty, and because guys generally felt resistance talking about grooming habits. After talking to a large number of young men, they created a somewhat risqué campaign showing two women using the Detailer to clean sports equipment. Filled with puns and double entendres, the campaign struck a chord with guys’ sense of humor and the Detailer has sold quite well. The marketers also used a field trip to broaden its customer base. When Axe was first introduced in the U.S., it did not sell well to African Americans. Marketers thus took a trip to Howard University, one of the largest and most prestigious historically black colleges, and spent some time shopping with a fraternity. There, they found that these men would enjoy talking about jeans much like women—which brands ran big, which ran small, which had brighter colors, and so forth. Thus the marketers found out that African American men could talk about their style and grooming with a level of confidence unseen in other male groups. Shortly thereafter, they developed a new line, called “Unlimited,” that was aimed at the confident, empowered African American male, and it too has sold quite well. Axe’s research skills have also led to a significant shift in its advertising strategy. Early on, marketers found that guys and girls would spend time in separate groups. This knowledge led to advertising that focused on how guys could use Axe to get close to girls. A typical commercial of this time showed a cheerleader, driven insane by Axe, tackling a football player wearing the fragrance. More recently, however, researchers found that guys and girls are spending time together, and getting involved in more transient relationships, that is, being friends, hooking up, and then just going back to being friends. So Axe shifted its advertising strategy, playing to both men and women. The newer commercials show women being more demanding, telling guys to groom themselves better, and more empowered to take charge of the budding romance. Questions 1. Based on details presented here, how does Axe use marketing research so that management can make better decisions about how to sell its products? 2. How does Axe use observation and ethnographic research to improve its marketing plan? 3. How could Axe use internet research methods to broaden its understanding of young men’s culture? References Jason Feifer,“Axe’s Highly Scientific Typically Outrageous and Totally Irresistible Selling of Lust,” Fast Company, August 8, 2012, http://www.fastcompany.com/3000041/axes- highly- scientific-typically-outrageous-and-totally-irresistible-selling-lust(Accessed August 13, 2013) |
