OFFER FOR THE SGH CEMS BUSINESS
PROJECT FOR SPRING 2014
(STARTING END FEBRUARY / BEGINNING MARCH 2014)
Company:
Daymon Worldwide is the full-service global retail branding and sourcing partner that works
directly with the world’s leading retailers and manufacturers to provide customized branding
solutions that drive sales and profitable growth across multiple categories and channels.
Daymon’s expertise includes branding & strategy, insights & measurement, private brand
development, global sourcing and shopper marketing.
Our employee-owned company, which celebrated its 40th anniversary in 2010, operates across
more than 10 channels of trade, in partnerships with 100+ retailers, 4,000+ manufacturers and
has 22,000 associates worldwide, with offices in 21 countries on six continents.
The key to our success has been the empowerment of our great people to take risks, lead change
and make a “Daymon Difference” in the world of brand building.
Website: www.Daymon.com
Business project topic:
Business
objective:
Health & Beauty Future opportunities for Retail
project The project aims to understand what are the key components for retailers
invest in Health & Beauty and what will be the future opportunities for
retailers to develop this area?
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Business
description:
What makes a Grocery Retailer decide to invest in Health & Beauty?
What is their positioning and strategy in this area?
What are the opportunities in terms of Private Brand development?
What are the reasons that make retailers to develop their own brand?
In order to have an integrated vision of different retailers
the project will consider the leading European grocery and specialist
retailers for Spain, France, UK, Germany and Poland.
project Grocery retailers have been investing and developing Health & Beauty
Programs using different strategies such as:
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in store investment: extending the offer and personalized services, by
changing the store layout in order to create the perfect shopping
experience positioning H&B categories as destination for consumers;
developing a strong Private Brand program as a critical tool to be
differentiated from competitors;
Investing in a specialized chain developing a different banner.
The reasons why are many and can be related with: profitability,
consumers loyalty, higher transactions in store, improving image by
providing a new store experience, having a multi-channel presence
through the investment into E-commerce.
Profiling Health &Beauty business, is still dominated by specialist
retailers and focusing on the European retailers, some of them with a
multi country footprint: Alliance, AS, Watson, dm and others, facing a
more competitive environment from the direct channel, online channel
and grocery retailers.
The demise of a former leading European Drug retailer, Schlecker has
created a white space of opportunities for retailers that are trying to reach
their former consumers, by investing in assortment and promotions.
Some consequences:
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Rewe, a supermarket chain invested in cosmetics in some stores,
Netto also reacted by increasing the assortment
Dia bought the stores in Spain and Portugal and launched a new H&B
banner.
H&B concept is in constant change, if we consider the European
retailer latest trends:
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Discount beauty stores has new format, filling the white space between
drugstores, upper scale perfumeries and the smaller assortment of a
grocery store. Having a discount profile with a basic layout with cost
focus, with a large private brand offering price at a good quality,
allowing higher margins and profits.
E-Commerce is increasing in H&B, has an example Amazon identifies
this category as opportunity for future growth and they have taken
already some steps into this investment such has the new 50+ Active &
Healthy Living store and its Men’s Grooming sub-shop.
Influence of Social Media, in setting up the trends, the brand
awareness, enriching the shopping experience.
Developing brand experience, for example, Boots have been innovating
on the services provided to consumers: strengthen other offers such
has food, with the endorsement of the celebrity Jamie Oliver, offering
new services through The Boots Opticians AppIs designed to increase
awareness of eye care and health
Developing store execution using merchandising, range, environment,
use of colour and lighting extremely high, consultants to give advice on
skin care and make up and engaging shoppers
Across worldwide retailers are investing in their Private Brand program
into Health & Beauty categories:
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In France, Intermarché chain has launched a cosmetic range called
Labell Paris, with the motto low prices, expertise and accessibility”;
In Spain, Corte Ingles, has launched a new range of cosmetics, named
All Intense.
In UK, Tesco created a health&beauty range called “Pro Formula”
covering skin and hair care;
Aldi has launched a new private brand range for professional hair care
Carrefour, launch in 2012 it’s upmarket beauty private label line “Les
Cométiques” design Paris, where the company name it’s only
mentioned in a hider context, saying the products is available
“exclusively at Carrefour”. Recently this retailer invested in a new Make
Up range.
Chains like Lidl and DM increased the Private Brand offer with a Men
range.
Mercadona Private Brand range of cosmetics is being innovating
regularly
Private Brand continues to grow and the key questions are:
 What are the advantages for their own brand investment in categories
where PB penetration has been historically lower that food categories?
 What is the decision making that triggers the investment in Private
Brand?
 How are retailers positioning their own brands?
Students’ gain (as skills Students will gain knowledge in Retail Business with special focus on
and knowledge):
Health & Beauty Channel, private brand strategy as well as category
Business
outcomes:
management and market diagnostic and insights.
They will develop analytical skills as well as strategic agility, innovation
mangement and dealing with ambiguity. Working in a Team and
presentation skills are key components.
project Characterization of the H&B universe considering the leading grocery
retailers and competitive universe focusing on specialist retailers;
 What are the factors that lead retailers to invest in H&B, considering
different strategies and positioning;
 What are the categories retailers are investing in shelve space,
assortment depth, merchandising and what are the future
opportunities?
 Who sets up the trends? With country specifics understand where the
H&B trends are coming from: social media? friends and family
networking? Big cities? Well know public figure?
 How are consumer trends shaping the retailer business model of H&B?
 What is the Private Brand development strategy:
 Brand Positioning: corporate brand, fancy brand approach, a mix?
 How is the decision making when thinking of category development?
 Consumer evidences that Private Brand has a relevant role to play in
Health & Beauty?
Requirements:
Good analytical and organization skills.
Interest in Marketing and consumer insights
A diverse Team with ability to understand markets as: Poland, Spain,
Germany and France.
Expected number of 4 to 5
students/participants:
Address:
Cristina Abreu – EMENA HR Director
Responsible
person/people in the
Rita Manso – EMENA Marketing Director
company:
Contact
person
/people
in
the
company (if not the
same as above):