GRAP2412 - UNDERSTANDING ADVERTISING MEDIAGroup 2

Nguyen Phuc Thuy Linh - s3153987

Individual Assignment FMCG productStage 1

Product: Kleenex® Toilet Paper for Kids

Due date: 7 August 2009

REFERENCE

‘3218.0 - Regional Population Growth, Australia, 2007-08’ 2009, Australian Bureau of Statistics, 23 April, viewed 27 August 2009, <http://www.abs.gov.au/ausstats/abs@.nsf/Products/3218.0~2007-08~Main+Features~Victoria?OpenDocument#PARALINK3>

‘3235.0 - Population by Age and Sex, Regions of Australia, 2008’ 2009, Australian Bureau of Statistics, 11 August, viewed 27 August 2009, <http://www.abs.gov.au/ausstats/abs@.nsf/Products/3235.0~2008~Main+Features~Victoria?OpenDocument>

‘An analysis of the proposed CPR Scheme’s potential impact on employment and the local community’, Forest Work, viewed 29 July 2009, <http://www.forestworks.com.au/multiversions/5585/FileName/Scott%20Whicker%20-%201%2030pm%20-%20Tues.pdf>

‘Bath tissue strategy targets mature and emerging markets’, Kimberly-Clark Investor Newsletter, viewed 30 July 2009, <http://www.kimberly-clark.com/investors/viewer.aspx?s=web&article=1Q2004/3_bathtissue.inc>

‘Case study: Kleenex’ 2003, Cavill, viewed 2 August 2009, <http://www.cavill.com.au/pages.asp?area=9&page=140>

‘Cottonelle® Kleenex® for Kids’, Australian Family, viewed 31 July 2009, <http://www.australianfamily.com.au/greatGiveaways/images/kleenex.jpg>

‘Executive Bios | Robert van der Merwe’ 2007, Checkpoint System, viewed 30 July 2009, <http://www.checkpointsystems.com/default.aspx?page=robertvandermerwe>

‘Imported toilet paper will now cost more’ 2009, News, 2 January, viewed 1 August 2009, <http://www.news.com.au/couriermail/story/0,,24864641-953,00.html>

‘Internet Usage Statistics in Australia’, Search Engine Guy, viewed 30 July 2009, <http://www.searchengine-guy.com.au/websitepromotion/internet-usage-statistics.html>

‘Kimberly-Clark: Cottonelle’ 2009, One to One interactive, viewed 2 August 2009, <http://www.onetooneinteractive.com/portfolio/2009/02/24/kimberly-clark-cottonelle/>

‘Kimberly-Clark introduces Cottonelle for kids’ 2006, Asia Paper Markets, viewed 30 July 2009, <http://www.asiapapermarkets.com:8080/apm/apm/common/mktbuzz_archiveweek4_February2006.jsp>

‘Kleenex Wipes’ 2009, Red Ant, viewed 29 July 2009, <http://redant.com.au/portfolio/kleenex-wipes/>

‘Metropolitan Melbourne: Dwelliographic Profile’ 2001, Department of Sustainability and Environment (DSE), viewed 2 August 2009, http://www.dse.vic.gov.au/CA256F310024B628/0/D17CEB4D9E4B6C98CA2572AE00111E01/$File/Metropolitan+Melbourne.pdf

‘Profile of ABC Tissue Products’, Career One, viewed 29 July 2009, <http://www.careerone.com.au/research-companies/abc-tissue-products>

‘Sorbent’, Super Brands, viewed 29 July 2009, <http://www.superbrands-brands.com/volII/brand_sorbent.htm>

‘Summary of Kimberly-Clark Corp. 2008’, 2009, Yahoo!Finance, viewed 30 July 2009, <http://biz.yahoo.com/e/090227/kmb10-k.html>

‘Top 100 grocery brands’, 2008, RMIT Vietnam Blackboard, viewed 30 July 2009, <http://blackboard.rmit.edu.vn/courses/1/GRAP2413/content/_63237_1/UAM.42.TopBrands(Adnews).pdf?bsession=444310&bsession_str=session_id=444310,user_id_pk1=4438,user_id_sos_id_pk2=1,one_time_token=159B5398337D2C62F8836B2ECFE681AF>

‘Top brands’, 2006, AC Nielsen Australia, viewed 30 July 2009, <http://au.nielsen.com/news/documents/AdNewsTop100lowres.pdf>

Cottonelle® Kleenex®, viewed 29 July 2009, <http://www.kleenexpuppy.com.au/about/about-kleenex-cottonelle/>

Kleenex® Tissue, viewed 29 July 2009, <http://www2.kleenex.com/au/range/>

Marino, M. and Colebatch, T., 2005, ‘Melbourne's population booms’, The Age, 24 March, viewed 2 August 2009, <http://www.theage.com.au/news/National/Melbournes-population-booms/2005/03/23/1111525222758.html >

Petcovitz, D. 2006, How much toilet paper is enough?, Boing Boing - A Directory of Wonderful Thing, viewed 31 July 2009, <http://www.boingboing.net/2006/04/18/how-much-toilet-pape.html>

The Newspup, 2009, ‘Silk Touch campaign biggest for Kleenex in 14 years’, Marketing, 18 May, viewed 29 July 2009, <http://www.marketingmag.com.au/news/view/silk-touch-campaign-biggest-for-kleenex-in-14-years-1260>

Walker, J. and Robinson, N., 2007, ‘Population pushing Melbourne to top’, The Australian, 12 November, viewed 2 August 2009, <http://www.theaustralian.news.com.au/story/0,25197,22741975-601,00.html >

1. THE SITUATION ANALYSIS

1.1 Size and market share

In Australia market, Kleenex brand name is more and more popular with customers, hold the

highest market share 54,1% - from mid May, 2009 - since 2006 (The Newspup, 2009). They are

very familiar with four kinds of facial tissue of this trademark, including Everyday, Everyday Plus,

Special Care and To Go (http://www2.kleenex.com/au/range/) and it is easy to understand that

every month, Kleenex tissue usually takes around 50% of tissue market share among Australian

consumers (‘Kleenex Wipes’, 2009).

However, with toilet paper product which named Cottonelle®, Kleenex faces a competition rather

severely from the big competitor Sorbent®, Cottonelle® owns 31% market share of toilet paper

industry (‘An analysis of the proposed CPR Scheme’s potential impact on employment and the

local community’) while Sorbent® holds 39% share (‘Sorbent’); and the other competitors own

small parts in the whole industry, such as ABC Tissue Products only holds 17,9% market share

(‘Profile of ABC Tissue Products’).

1.2 Sales history, costs and profit

Kleenex® Cottonelle® is a new type of toilet paper of Kleenex brand name because it owns an

interesting secret formula from year 2002 to discriminate with the same products of competitive

brand names: Unique Air-Weave texture. With a special texture, it helps the product increase the

thickness, absorbency and cushions of softness.

from http://www.kleenexpuppy.com.au/about/about-kleenex-cottonelle/

Air-Weave texture process

On the other hand, Cottonelle® also cares to particular customers who are really naughty and

active to discover the world around them: children; and to adapt to this age, besides using Air-

Weave texture, Cottonelle® still creates new design spectacularly and at the same time, guides them

how to ‘stop and tear’ timely by an image of puppy from 2006.

from http://www.kleenexpuppy.com.au/kleenex-kids/stop-tear-puppy-print/

Both of them help Cottonelle® improve range in ‘Top 100 Grocery Brand in Autralia’ from 2002 to

2007 in sales history, although the brand name always comes up against competing from the main

opponent: Sorbent®. However, developing in range does not help Cottonelle® increase in sales, the

brand name often sales at level $m150-250.

02/03

Rank

04/05

Rank

2007

RankBrand Manufacturer Sales $m

21 18 16 Cottonelle® Kimberly-Clark 150 - 250

14 15 21 Sorbent® SCA 150 - 250

(‘Top brands’, 2006 and ‘Top 100 grocery brands’, 2008)

According to ‘Summary of Kimberly-Clark Corp. 2008’ 2009, one of the reasons why net sales

grew up is that current favorite among customers, achieving to 6.3% whereas operating profit

decreased 2,6% because of the inflation last year.

Here is the financial report in 2008 of the company:

Overview of 2008 Results

The Corporation continued to experience significant raw material cost inflation in 2008.

• Net sales increased 6.3 percent because of higher net selling prices and sales volumes and favorable currency effects.

• Operating profit declined 2.6 percent and net income and diluted earnings per share decreased 7.3 percent and 1.2 percent, respectively.

• The benefits of top-line growth, along with cost savings of $171 million, were more than offset by inflation in key cost components totaling more than $725 million, an increase in strategic marketing spending of about $95 million and higher levels of selling and administrative expenses, mainly to support growth in developing and emerging markets.

• Cash flow from operations was $2.5 billion, an increase of 3.6 percent.

Analysis of Consolidated Net Sales

Year Ended December 31 2008 2007 2006 (Millions of dollars) Personal Care $ 8,272 $ 7,563 $ 6,741 Consumer Tissue 4,354 4,216 4,051 Toilet paper 2,394 2,259 1,931 K-C Professional & Other 3,174 3,039 2,813 Health Care 1,224 1,207 1,237 Corporate & Other 79 41 33 Intersegment sales (82 ) (59 ) (59 )

Consolidated $ 19,415 $ 18,266 $ 16,747

(‘Summary of Kimberly-Clark Corp. 2008’)

Generally, toilet paper Cottonelle® also contributes a small part in profit for whole Kimberly-Clark

in Australia by non-stop improving techniques to create familiar image in customer mind. Then

now, target audience does not limit in adults, it expands to kids and in economic regression, this is

other way to attract clients via stimulating their demand in the inflation time like now.

1.3 Use of advertising and creative strategies

With a popular image of the yellow Labrador puppy, Kimberly-Clark has different names for their

toilet paper basing cultural of each country or even each confidential because according to Van der

Merwe, who was in Group President of Kimberly-Clark from 1994-2005 (‘Executive Bios | Robert

van der Merwe’ 2007), said that ‘Strong brands are a prerequisite for sustainable market share

growth and above-average profitability, and Kimberly-Clark continuing to leverage our brand

strength’ (‘Bath tissue strategy targets mature and emerging markets’), such as toilet paper in

United Kingdom called Andrex®, Petalo® in Mexico, Scottex® in Europe and Cottonelle® in

America and Australia. Therefore, advertising is not simple how to advertise on prints, on TV or on

websites, it also begins from a brand name: easy to spell, easy to remember and meaning concerned

to product or service.

Hence, when Cottonelle® introduced new product for kids in Australia market, which named ‘Stop

and Tear’ in early 2006, the name of this new kind has represented its feature: it would aid children

how much to use toilet paper via easy way with cute pictures of puppy and its paws. Even though,

there is website which as presents product for adult customers and as has funny activity to teach

kids save toilet paper through games <http://www.kleenexpuppy.com.au/kleenex-kids-games/>.

Using website is very effectively for advertising in this time because over a half of Australian

population use Internet 59,5% (‘Internet Usage Statistics in Australia’)

So why has producers had a strategy plan for ‘Stop and Tear’ toilet tissue? Australian customers

have been familiar with Cottonelle® but most of them usually complain their children do not know

how much enough to use it. Making a small survey with 600 parents who have kids from age 4 to 9,

moreover 60% said that their children use to much toilet paper whenever going to a bathroom since

they do not when they should stop to tear (‘Kimberly-Clark introduces Cottonelle for kids’, 2006).

Adopting this demand, Cottonelle® expects the new product would serve customers better as well

as reinforce the position of brand among the premium bath tissue category.

There are three types of package for choosing:

Package Price ($)

4-pack 3.19

6-pack 4.49

12-pack 7.99

(‘Kimberly-Clark introduces Cottonelle for kids’, 2006)

1.4 Media plan, media strategies and competitive media expenditure

for ‘PUPPY AD INVASION’ in year 2006

1.4.1 Marketing objectives:

- When Cottonelle® for Kids was introduced to the market in February, 2006, the brand name has

decided to make a campaign ‘Puppy Ad Invasion’ in 1 year to keep building loyalty among

customers and especially expand target audience to children in age of toilet training.

- Helping kids use toilet paper on the right way

1.4.2 Communication objectives

Creating brand awareness among customers by the advantage of product feature, customers has

been familiar with using toilet paper and they usually have a tendency to care about the quality of

the product more than other characters of it. So now, with the new and straight product as

Cottonelle® for Kids, it is a nice occasion to present special thing of it: having printed paw to help

kids where to stop and tear toilet paper.

1.4.3 Plan

- A Television advertising campaign (in 16 seconds) to the value of $1 million was paid by

Kimberly-Clark Australia's agency

 

- Using website <http://www.kleenexpuppy.com.au/kleenex-kids-games/stop-and-tear/> to present

product through ‘Stop & Tear’ game to attract kids

- Using ad on local newspapers to introduce the product

1.4.4 Results

- At the end of this campaign (in year 2007), Cottonelle® did not reach the market share as in the

marketing objectives wanted and still ranged at #2 after Sorbent®.

- Besides that, children has been familiar with this product through the game on website and

increasing number of web using to 33% at 30+ minutes, 19% at 10-30 minutes, 45% for up to 10

minutes per day.

- With using Cottonelle® for kids, they are going to know how to use toilet tissue on the exactly

amount, and besides that, with interesting printed on the product, toilet training is now diverting and

easy to comprehend for children.

(Collect from ‘Case study: Kleenex’ 2003 & ‘Kimberly- Clark: Cottonelle’ 2009)

1.4.5 Key learning

According to this campaign, I have recognized that Cottonelle® had made the best of

communicating, in particular their website to attract customers. They knew how to attack their new

target customers: children from age 4-9 and also always make parents worry many things about

them, even small thing as using toilet tissue. I think they use TVC or newspaper just announce to

parents that there is a new product which is suitable for their demands in training kids; and another

reason is that at this age, children are easy to learn and remember new things via activities not a

theory in a book. With the powerful of website, including nice design, cute images and simple to

use, it is really a fantastic way to build brand awareness among customers, especially kids. On the

other hand, Cottonelle® has been successful in aiding parents to teach children ‘stop and tear’ toilet

paper correctly.

In my opinion, they had not succeeded in market share, but they had succeeded in parents’ mind

and perhaps they gain market share in the near future.

2. CREATIVE STRATEGY PLAN

2.1 Target audience

Although this is a product for kids, my advertising plan focuses to adults because they are usually

interested in ad so that I decide my primary target audience is them: parents who have children from

age 4-9.

2.1.1 Demographic

- Parents/ single mom/ single dad who are age from 28-40

- Having children from age 4-9

- Having a job

- Earning upper income since Cottonelle® for Kids is in premium category of Kleenex®

brand name

2.1.2 Geographic

In my plan, I would choose Melbourne to apply my plan because this city has the highest population

rise, including immigrations, compared with other Australian cities, such as Sydney, or Brisbane.

(Marino M. and Colebatch T., 2005)

Or according to ‘Population: capital city growth rate up!’ 2008, Melbourne SD (statistical division)

had the largest population growth of all Australian capital city SDs, increasing by 61.700 people in

2006-2007, followed by Sydney SD (52.000 people). And it also accounted for 81% of Victoria's

population growth between June 2007 and June 2008 (‘3218.0 - Regional Population Growth,

Australia, 2007-08’ 2009)

Moreover, Melbourne does not only have the highest risen population (compared with other cities

in Australia), but also its people are young and the number of kids has taken great of amount.

Children grow up average about 1.7% per years (Walker J. and Robinson N., 2007). There is an old

figure to illustrate the number of young population in the city from 1991-2001:

from ‘Metropolitan Melbourne: Dwelliographic Profile’ 2001

And in recent years (2008), when comparing with the whole state (Victoria), it is easy to recognize

that amount of children as well as my target audience (from age 28-40) keeps increasing (‘3235.0 -

Population by Age and Sex, Regions of Australia, 2008’ 2009):

AGE AND SEX DISTRIBUTION (%), Victoria - 30 June 2008

My target audience (from age 28-40) took nearly 40% among Melbourne population. Its population

in 2008 was 3.9 millions people (‘3235.0 - Population by Age and Sex, Regions of Australia, 2008’

2009), so that my target audience hold 1.560.000 people in the whole city population.

2.1.3 Psychographic insight

With the young age, only in the age going to kindergarten and elementary school, kids become to be

familiar with the world around them and are studied how to live in it. They can do every thing to

make their parents angry, such as putting ‘why’ questions about any thing they meet; and certainly,

it will take a lot of time of parents to explain for them. So for saving time and effective in training

kids, it is the best way to use product which is produced suitably for their age. Catching this point,

Cottonelle® designed a product for children to help parents save time to show them how to use and

make toilet training funnier.

2.1.4 Purchase motives

Parents will not feel unhappy when seeing their kids waste toilet tissue and besides that Cottonelle®

also ensures about quality of the product: thickness, softness and light fragrance without causing

uncomfortable for users.

2.1.5 Customers’ attitude towards the brand

Cottonelle® is so familiar with Australian people despite of holding at #2 in market share. And with

producing new kind of products for kids, it is really a great opportunity to compete with their main

competitor - Sorbent® to hold share in toilet tissue industry.

2.2 Product insights

2.2.1 Features

Cottonelle® for Kids is suitable for children, who are age from 4 to 9, are in time of toilet training

but are still needed to assist how to gain good hygiene habits whenever entering the bathroom.

from http://www.australianfamily.com.au/greatGiveaways/images/kleenex.jpg

2.2.2 Advantages

In Cottonelle® for Kids product, there are graphics about ‘show-me-where-to-tear’ that show

children conveniently tear the right number of tissue per using times. Including six thematic puppy

designs, the toilet paper has small printed paw onto each roll which takes children to an image of

the image of the yellow Labrador puppy on every third or fourth sheet of paper; so when seeing a

small dog, they only stop and tear a tissue.

It is really an interesting intuitive concept because it helps parents easily teach their children how to

use and on the contrary, kids are easily to understand.

from http://www.kleenexpuppy.com.au/kleenex-kids/stop-tear-puppy-print/

2.2.3 Benefits

- So soft to use

- Being suitable for toilet training and even making it is funnier.

- With kids can not count, they only see a picture of a puppy and tear off at it.

- Lightly fragranced but the tissue itself is not directly scented.

from http://www.kleenexpuppy.com.au/kleenex-kids/stop-tear-puppy-print/

2.2.4 Application

With concept ‘easy-to-use’, so an illustration is very simply for kids to know and copy from a

picture to ‘stop-and-tear’ at the right position as well as exactly amount of using.

from http://www.boingboing.net/2006/04/18/how-much-toilet-pape.html

http://www.kleenexpuppy.com.au/kleenex-kids/

2.3 SWOT analysis

Strengths Weaknesses

- High quality: owning Unique Air Weave

Texture formula to increase more strength,

thickness and also create cushion of thickness.

- Helping kids how to use an appropriate

amount of toiler paper.

- Making toilet training is more interesting and

easier to understand for children

- Owning Kleenex® Puppy website

<http://www.kleenexpuppy.com.au/> to assist

kids to combine learning and playing via funny

games

- Taking PEFC certification to save environment

Facing an object about environment from Green

Peace organization although having PEFC

certification, they have slogan ‘Kleenex =

Kleercut’ <http://www.kleercut.net/en/> and

celebrate ostracism campaign begin from

schools.

Opportunities Threats

- Pioneer in the market about producing

commodity for kids

- Supporting from parents to teach their children

In 2009, Australian Government has agreed to

import toilet paper from China and India

because it costs as 40% of normal local price.

- Attracting kids through interacting game on the

website

(‘Imported toilet paper will now cost more’

2009)

- Highly competing from Sobent® despite that

brand name have not had product for kids yet, it

still ranges at #1 in market share.

3. CREATIVE CONCEPT & RESEARCH POSSIBILITIES FOR MEDIA USE

3.1 Product: This is a toilet tissue for kids from age 4-9 but the target audience is adults , just

using adults because they tend to care an ad to know about a product then buy it to use for their

kids, not for them.

3.2 Key message: ‘stop and tear exactly’

3.3 Key visual: in my ad, there are two rolls of toilet tissue, one is Cottonelle® for Kids and

the other is another brand name. The advertisement separates two columns; one side is for other

brand name, and in this area, too much toilet tissue pulls out. While in part of Cottonelle®, the

Labrador puppy will use his front paw to let everyone know where stop and tear: follow the printed

paws on the toilet paper and then tearing when seeing the puppy image. And my headline in the ad

is that ‘Which one is more convenient for your house?’

3.4 Tone of voice: it is friendly voice to create sympathy for target audiences.

3.5 Visual style: I use decisive color for my ad is white, since white also stands for cleanness.

3.6 Special advertising tactics: I will put demonstration as well as comparison way in

my ad.

- Demonstration: use a puppy to illustrate way of using

- Comparison: compare advantage feature of Cottonelle® for Kids with the other brand

name toilet tissue

Moreover, I will put coupon to receive trial product on the bottom of the ad. Customers only

tear it and bring to Cottonelle® tent in supermarkets to take that product; certainly, I will limit time

of this promotion, maybe in 1 month.

3.7 Mediums:

I choose magazine, especially family magazine or mom magazine to advertise because my product

is for kid so with specific magazine like them, I am easily to attract target customers. On the other

hand, I need high quality of paper to create interesting from readers.

The same as magazine, if making a short clip on television, I continue to choose family channel and

popular channel which high rating in Melbourne to attract viewers and make the advertising plan

successfully.