Introduction Sunlight soap is an iconic brand and one of the most enduring products around today. Originally created by the Lever Brothers Corporation in 1884, Sunlight soap was the first household soap to be cut, wrapped and sold in a carton. The product arose from William Hesketh Lever’s determination to revolutionize Victorian England's standards of cleanliness and hygiene (Unilever 2010). Sunlight soap went on to be one of the first internationally marketed products and dominated the early soap market throughout the British Empire (Stephen 1991). Sunlight Soap also has a long history in Australia, which began when the entrepreneurial William Lever began producing sunlight soap in Sydney in 1895. The early success of sunlight soap in the Australian market was due mainly to intensive advertising campaigns that proved to be very successful and managed to position the product as a metaphor of value (Stephen 1991). Remnants of former signs, slogans and advertising initiatives and memorabilia are popular today among collectors. Sunlight soap is made and distributed in Australia today by the Australian owned company Pental, who has been providing the Australian and New Zealand markets with household products for over fifty years, including familiar brands such as Lux, Aim toothpaste and Marther Gardner’s wool wash (Pental 2010). Situational Analysis Market analysis In recent decades’ sales of not only Sunlight Soap, but also the whole ‘bar soap’ market has been in decline, as traditional products are being replaced by newer technology such as shower gels and liquid cleaners. Market share is being eroded as consumers’ move towards more advanced products that offer benefits such as additional minerals and moisturisers, a range of fragrances and pump action dispensers. (need reference, xxxx). Despite recent advertising and pricing efforts to boost sales and retain market share that is being lost to the influx of new products, consumers are seemingly unresponsive with a 5.5% drop in sales for 2002 (Retail World, 2003). Sunlight Soap stands in an advantageous position with regards to the economic choice between Sunlight Soap and its more expensive shower gel competitors. Sunlight soap can also promote the pure and simple make up of the product since it contains no heavy perfumes or strong colours that are characteristics of the more advanced products. According to Pental, Sunlight soap still sells over 1 million packs of soap annually, and given the 100 year history, this speaks highly of the quality of the product (Pental 2010). Economic Environment The recent global economic downturn has led to consumers looking to reduce discretionary spending (reference); this opens up opportunities for low cost necessities to reclaim some of the market share lost to the more expensive substitutes. Political and Legal environment The ACCC has regulations in place to ensure correct labelling and product information is accessible to all customers through text on the packaging. Further, recent outbreaks of the potentially life threatening influenza strains has resulted in legislation emphasising the importance of basic hygiene. Social and cultural environment The recent trend towards more environmentally sustainable products (reference) could be exploited by Sunlight soap, as it is a simple product packaged in cardboard. Australians also typically personify the ‘Tall Poppy Syndrome’; given the long, tough track-record Sunlight Soap has acquired perhaps an underdog status may prove marketable. Technological environment The recent technological advance in the industry has place pressure on the more traditional soap products. The benefits of low technology soaps, such as low risk from long term use and portability should be emphasised. Competitor analysis Sunlight Soap is a product most readily associated with the Bar-Soap market, an older segment of the Cleaning Products Industry. Recently we’ve seen a rising interest (reference) in newer segments of this industry such as liquid soaps, powder detergents and alcohol-based sanitisers. Along with these substitute products there is also a large range of bar-soap products already on the market as large firms like Palmolive, Dove and Neutrogena fight for market control. Customer analysis SWOT analysis Strengths Sunlight soap has a long history of success It is relatively cheap It is simple and portable Minimal packaging Well recognised brand Pure soap Australian made and owned Weaknesses Opportunities Necessity Large market share of close substitutes Slower economic conditions Technologically inferior to new products Low product awareness in younger generations Low novelty appeal Communal use form Threats Competitive market New technological advancements Lots of close substitutes Objectives The goal of Sunlight Soap is to improve the products positioning as a trusted and iconic brand in the personal and household cleaning markets. The increasing popularity of shower gels, household cleaning sprays and powders reflects the decreasing popularity of bar soaps for its intended functions. Indirectly this shows that marketing directors were unresponsive to the threats of competitors who were targeting customers segments after additional benefits which were not delivered by Sunlight Soap. The perceived benefit of Sunlight Soap is similar to its competitors in the sense that people purchasing these products are after the same basic need of personal hygiene and as a cleaning utensil. Therefore, it is important that a target market be indentified and Sunlight Soap be sold as a niche item within a larger heterogeneous market base. Through exposure to several target markets of different sizes and demographics we intend to improve the product positioning for long-term standing as the consumer choice within the market. With Sunlight Soap retaining a long history of brand choice within the Australian soap market we intend to reinforce the heritage of the product to the marketable segments. Further, with Australian tourism reaching numbers of 1.6 million a year we feel this would be the perfect time to advertise the “Real Australian Experience” provided by Sunlight Soap. Spreading viral iconic advertisements over Facebook and Youtube may lead to a global phenomenon of product realization similar to the success of products such as ‘Old Spice Body Wash’. Using these products as an example we intend to replicate similar viral feeds with Sunlight Soap. In addition, we will also be strategically targeting pensioners, young mothers and a variety of other segments through advertising the economically beneficial properties of the product relative to substitute products on the market. Our goal is to increase market share of the bar-soap market by 30% within an 18 month stretch. Similarly we intend to increase market share within the entirety of the ‘Soaps and Hygiene’ market by 15% over the same period. However, throughout the period weekly feedback and modifications to the marketing approach should be undertaken based on consumer feedback to ensure the intended message is being broadcast as strongly as possible. These market gains will be achieved through the fore-mentioned advertising avenues and the innovative modifications to the products branding. Rough estimates on industry averages put each viral cast at a cost of around $20,000 and a further $50,000 for each advertisement aired on Television. However, given the profitability of a strong viral campaign an emphasis will be placed on quality over quantity with each viral broadcast intended to leave a humorous and long-lasting message. Consumer Market Segmentation 1. Geographical Segmentation Sunlight soap is focused mainly in the Australian market which is sold in retail outlets all over the country. While in a warm temperate climate consumers have a need for soap and body products for personal hygiene. In addition to Australia’s hot conditions there is a large population of locals, tourists and other individuals who use hygiene products which provide a dense market opportunity. 2. Demographical Segmentation Most individuals have a need for soap and older generations of soap users are aware of sunlight soap’s history in the market as well its presence as well known brand. Also young consumers value hygiene and the environment and so look to more natural products to support being ‘green’. Sunlight bar soap is affordable to consumers with any set of income or education as it is a necessity. 3. Psychographic Segmentation Sunlight soap would appeal to all lifestyles including families, back backers, adventurists, young adults, etc. Individuals with attitudes for more natural products and for Australian owned soap are a key segment of consumers. The soap brand Sunlight provides the consumer with good-quality soap and the brand itself is appealing to a range of consumers. 4. Behavioural Segmentation Benefits received by purchasing sunlight bar soap are its multiple uses, relatively cheap, natural ingredients, effective hygiene use which provide the expectations for consumers as well as their needs. Additionally the ‘Sunlight’ brand is known in the soap market which customers would remain loyal to the brand because of its reliability the past decades. There is a medium volume usage as soap is bought as a necessity however it stands in competition with shower gels and other products. Target Market In order to achieve the goals of improving market share, sales and Sunlight Soap needs to be positioned and promoted as: - an economic choice in the soap range for personal and household cleaning purposes. - as a plain bar soap (no frills option) with a history in the Australian home - a environmentally friendly option in regards to packaging (In comparison with shower gels, who use plastic bottles, Sunlight Soaps packaging is paper of a substantially less size) Targeted to: - Families/Singles with low income - Consumers not interested in the associated benefits with other products, that offer fragrances and flavours. - Consumers who will understand and appreciate the historic relevance of the product. - Environmentally conscious consumers. References Pental. (n.d.). Retreived September 1, 2010, from http://www.pental.com.au/home Unilever. (2010). Sunlight. Retrieved September 1, 2010, from http://www.unilever.com/brands/homecarebrands/sunlight/index.aspx Stephen, Ann. (1991). Selling Soap: Domestic Work and consumerism. Labour History, 61, pp. 57-69.