This paper discusses the customer segments and personas of Dove products available at Woolworths, an Australian retail chain. It covers demographic and psychographic segmentation, and personas of millennial customers. It also suggests strategies for positive customer feedback.
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Running head: CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Customer Experience and Management of Dove Name of the Student Name of the University Author note
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1 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Table of Contents Introduction:....................................................................................................................................1 Two customer segments Dove and their profiles:...........................................................................1 Demographic segmentation:............................................................................................................2 Psychographic segmentation:..........................................................................................................4 Personas of consumers of Dove products:...................................................................................4 Millennial customers type 1: Hipennial:......................................................................................4 Millennial customers type 3: Old school:....................................................................................5 Millennial customers type 3: Gadget Guru:.................................................................................6 Millennial customers type 4: Clean and Green millennial:.........................................................7 Millennial customers type 5: Millennial Mom or family oriented:.............................................8 Millennial customers type 6: Anti-millennial:.............................................................................9 Considering the voice of customers to form experience strategy and customer feedback:...........10 Proposition of value for customer segments:.................................................................................12 Suggested experience and journey maps of upper class people and working people:..................13 Conclusion:....................................................................................................................................13 References:....................................................................................................................................14
2 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Introduction: Creation of positive customer experiences play a very important role in creation of value by products for customers and consequent revenue generation. Today, creation of value is not only dependent on the marketers but also the retail chains. The paper would visit this concept with Woolworths as the retail and Dove as the brand. Two customer segments Dove and their profiles: The researcher would consider two customer segments which avail Dove products at the outletsof the Woolworths. The two segmentsunder considerationare thedemographic segments and psychographic segments. Dove is a brand of range of premium beauty products owned and marketed by Unilever and available at the outlets of the Woolworth’s retail chain. The product line of Dove consists of premium toilet soaps, shampoos, conditioners, deodorants and creams. The products under the brand name of Dove come with their signature fragrances which are very mild yet appealing. The packages of the Dove products are of subtle colours like white and sky blue which give them a sophisticated appeal. This sophisticated attribute enables Dove to attract the premium customers. The products for both men and women marketed under the brand name of Dove are attributed with superior quality. The products are made from both vegetative and animal origin raw materials. The products under the brand name of Dove are thus in demand due to customers of both upper class and middle class. The Woolworths is an Australian chain of supermarket which sells a variety of consumer goods like fruits, vegetables, meat products, alcohol and bakery products. The super market chain sells organic and inorganic products. As a result, its customer base consists of both upper class customers and middle class customers. This immense customer base enables the super
3 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE market hold highest position and renders it immense revenue. This middle class and premium customer bases makes the Australian retail chain attractive to top international consumer goods companies to sell their products. The retail chain provides a strong base to the British-Dutch consumer goods company, Unilever. Unilever sells several of its premium products at the outlets of the Woolworths to get access to middle and upper class consumer base in order to earn immense profit. One can also point out from the discussion that the customer profile of Dove is well aligned with the customer profile of the Woolworths. The Woolworths sells Dove products both for men and women. The products of Dove available at the retail chain include soap bars, shower gels, creams, shampoos and hand washes. The following are the customer segments and profiles of the Dove which Unilever sells at the outlets of the Woolworths: Demographic segmentation: The demographic segmentation of the customer segments of Dove consist of Australia and overseas. The skincare products of Dove are available in Woolworth’s branches both within Australia and overseas. Thefirstattribute of the customer profile of Dove is that they consist of both men and women. The products under the brand Dove are available at various outlets of the Woolworths supermarket. Thesecondattribute of the customer profile of Dove is its customers are mostly middle and upper class people. It can be pointed out that Woolworths, being one of Australia’s leading retail chains sell high quality products. It sells organic products and finished goods of leading consumer companies. Thus its consumer base too consists of upper class consumers. These consumers have sufficient disposable income to purchase expensive skin care
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4 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE products. This is aligned with the increasing per capita income among the people in Australia. Figure1. Graph showing GDP per capita of Australai (Source:tradingeconomics.com, 2018) Thethirdattribute of consumer profile of Dove products at the outlets of Woolworths is that they are mostly working people who have sufficient income to afford intensive skin care products. It can be pointed out that Unilever carries continuous research and development in terms of Dove products. Alfonso, Tynes & Johannessen (2016) point out that long hours of work and pollution create stress on skin. The employed people suffer from skin problems like dryness and acne which can culminate into more serious skin problems. The company has developed Dove products which target these specific needs of the customers like keeping their skin hydrated during the day. Again, there are products which enable consumers in dealing with problems like acne and eczema. These products manufactured to target specific skin problems thus require immense investment from Unilever. This makes them very expensive which enables only the middle and upper class afford Dove products.
5 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Psychographic segmentation: The consumers at Woolworth’s outlets who purchase Dove products can be segmented psychographically on the grounds of their lifestyle and personality. The consumers of Dove products are mostly employed and lead a high standard of lifestyle. They lead a very hectic lifestyle due to their pressing professional commitments which in turn have negative effect on their skin. They use the intensive skincare products of the brand to fight these skin problems which they suffer from due to hectic lifestyle and professional stress. Thus, lifestyle wise the consumer profile of Dove products can be divided professionals and employed people who suffer from skin problems due to their hectic lifestyle and resort to Dove products to take intense care of their skin.The next criteria of segmentation within psychographic segmentation is the frequency of consumers using Dove products. Most of the consumers visit Woolworth’s outlets to obtain Dove products for regular use. A sizeable portion of the consumer base use Dove products to deal with their skin problems (unilever.com, 2018). Personas of consumers of Dove products: Millennial customers: Millennial customers type 1: Hipennial: The consumers of this persona are assertive and proactive while making purchase decisions. They are dominating in nature and are specific about their needs. One can align this persona with educated upper class customers who have knowledge about products they use. However, the consumers of decisive Danielle group usually rely on products they are aware of and prefer using products they know. Thus, they lack the spirit to innovate and are usually sceptical about using unfamiliar products. As far as Dove is concerned, the millennial consumers of the hu persona visit Woolworth’s stores to acquire the product. They visit Woolworth’s outlets
6 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE since they are aware about the branded skin care products like Dove which are available in the stores. They are specific about using Dove products and usually prefer it on regular basis to deal with the skin problems which they encounter due to their lifestyle needs. Figure2. Figure showing Hipennial customer persona (Source: Gadiyar et al., 2017) Millennial customers type 3: Old school: The customers belonging to old school millennial type are disconnected, confident, independentandself-directed.Thesecustomersareconfidentabouttheirneedsandare independent in making purchase decisions. The customers of this category powing to their knowledge and confidence tend to interact less with the sales persons. Dove, on the other hand is a high engagement brand because it offers a wide of products from soaps, skin creams, body washes, shampoos to conditioners both form men as well as women. This means that the sales Hipennial Use Dove products due to their high quality Use them regularly to skin problems Hseitate trying new products Educated and broactive consumers haviong product knwoledge
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7 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE persons at the Woolworths should make attempts to engage he customers of this category to offer them appropriate products. Fi gure3. Customer persona diagram for Collaborative Claire (Source: Gadiyar et al., 2017) Millennial customers type 3: Gadget Guru: The customer persons of the customers belonging to the gadget guru category are free spirited and confident. A very important aspect of their persona is that they are innovative in purchase and prefer purchasing new variants of products. The next important aspect of their persona is that they are confident about their needs and what they want to buy. The sales persons at the Woolworths stores should provide these customers about the new variants of skin care Old school Confident Have global knowledge about Dovwe products Lacks association with products Specific about their needs
8 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE products which the retail chain is selling under the brand Dove (Wooldridge, 2015).b. They must inform these customers about the bundling and discount offers which the retail chain is providing on products of Dove. The sales personnel can also introduce these customers to the online app of the retail chains where these customers can place orders to purchase Dove products. This strategy would engage the gadget guru category of customers and they would feel more associated with the brand Figure4. Mapping of gadget guru customers persona (Source: Cottrill, C. D. (2015) Millennial customers type 4: Clean and Green millennial: A very significant aspect of the persona of clean and green millennial is that they emphasis on sustainability and consequently on green sourcing of raw materials. The next aspect of their buying behaviour of these customers is that they prefer leading healthy lives and thus, consuming products which are environment friendly in nature. As far as Dove is concerned, the Gadget Guru Likes consuming new products Specific about needs Innovative Prefers using apps to purchase
9 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE brand already offers sustainable and environmental products which contain natural ingredients like milk. Thus, the sales personnel at the Woolworths should show these customers the new and innovative products of Dove. They should also stress on the environmental friendly sourcing of the raw materials like lemon grass and aloe which Unilever engages into to manufacture Dove products. This way the sales personnel at the Woolworths would succeed in creating positive impression on these customers and sell them products by Dove. Figure5. Persona of clean and green millennial customers (Source: Schoolman et al., 2016) Millennial customers type 5: Millennial Mom or family oriented: The customers belong to the millennial mom category are usually seniors customers who family oriented. They are confident and digitally well aware. They prefer leading healthy lives and workout. An analysis of their persona would show that these customers are well established career wise and belong to the upper or middle class of the society. As far as the brand Dove is Creation of strong impression is important Confident Stress on sustainable products Emphasis on environment friendly sourcing of raw materials
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10 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE concerned, it is highly aligned with the persona aspects of the millennial mom or family oriented customers. Unilever offers premium skin care products which suits the tastes of the family oriented customers. Moreover, products under the brand name Dove are dermatologically tested and sans harmful chemicals, thus does not harm the skin of the users. These attributes of Dove products encourage the family oriented customers to purchase the products at the outlets of the Woolworths. Figure6. Persona of millennial mom customers (Source: Nguyen, Özçaglar-Toulouse & Kjeldgaard, 2018) Millennial customers type 6: Anti-millennial: The customers belonging to anti-millennial persona are conservative and prefer confining them to the locally available products. They do not generally prefer using new and innovative sustainable products which multinational companies like Unilever offer at international retail chains like Woolworths. The sales person at Woolworths should offer them conventional Dove Well established and wealthy Family oriented Millennial moms Prefer using products sans harmful chemicals and leading healthy lifestyle
11 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE products which they are already acquainted. However, keeping in line with the sustainability aims of Unilever and Woolworths, the sales person at the latter must encourage these customers tousesustainableproductsunderthebrandnameofDove(representedbythegreen background). Figure7. Anti-millennial customer persona (Source: Nguyen, Özçaglar-Toulouse & Kjeldgaard, 2018) Considering the voice of customers to form experience strategy and customer feedback: The sales personnel at Woolworths should consider the voice of customers while forming a strong and positive experience strategies and positive customer feedbacks. The international Australian retail chain should useIDICmodel in forming positive customer experience in order to gain positive customer feedback. The retail chain as far as creation of positive customer experience with Dove is concerned shouldidentify, differentiate, interact and customise Sales person should sell Conventional but envrionment friendly productReluctatant to try new products Not concerned anbout sustainability Local in consumption pattern Conservative and reluctant in using new products
12 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE (IDIC) the product offerings. The retail chain shouldidentifythe customer segments to whom it can market the products of Dove. For example, Dove is a premium product under the ownership of Unilever which covers skincare products like soap bars, creams and body washes. Thus, the appropriate customer segment would be upper and middle class customers having millennial persona aged between 16-35 years and family oriented customers between 35 to 55 age bands. The next step of the IDIC model isdifferentiationof the product under question from its competitors. First of all, Unilever uses appropriate brand positioning to differentiate Dove from its other premium skincare range Lux. The company promotes Dove as a premium quality brand offering a vast range of skincare products targeted at working consumers. Dove products comes in variants more related to fruits and leaves like aloe and strawberry. The Dove products render premium fruit skincare benefit to its customers which no other products can offer. The next component of the IDIC model is interaction which the model should consider to create strong customer experience strategy. The Woolworths should promote Dove products more strategically on its website and also in its stores. The last aspect of the model is to customise the product offering to create positive customer experience. The Woolworths should use customer satisfaction creation strategies like product bundling to enhance value of customer purchase.
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13 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Figure8. IDIC model (Source: Peppers, D., Rogers, M., & Kotler, P. (2016) Proposition of value for customer segments: The Woolworths retail chain must use appropriate customer touch points to create value for its customer segments as far as Dove products are available. The retail chain can use various channels like mobile phones, websites, print, sales persons (people), marketing channel and other services like offers from banks on use of credit to purchase products at the Woolworths. For example, the retail chain promotes ordering of Dove products using its official app. The can be promoted using the official website and print media. The sales persons can customise products like offering product bundling and discounts to enhance value creation of customers. identifyDifferentiateInteractCustomise
14 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Figure9. Customer touch points of Woolworths (Source: Lim, Al-Aali & Heinrichs, 2015) Suggested experience and journey maps of upper class people and working people: Products BenefitsExperience Features The value proposition canvas shown above shows how products can create value for customers. The brand under study, Dove can create value for the two customer profiles, the upper class customers and the working customers by providing them superior skin care. Dove products should create additional benefits like hydration to maximum customer experience. Customers websites mobile apps Print Other services(credit card offers) products people(sales team of Woolworths) Marketing offers Customers WantsFears Needs
15 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Steps of forming customer centric organisation: 1. Obtain customer voice. 2. Use the feedback of customers in forming product strategies 3. Provide round the clockassistance to customers. Conclusion: TheWoolworthsshouldusemorestrategicandaggressiveproductofferswhile marketing Dove products. This would create more value for them and generate more revenue for the retailer and Unilever. This would enable it to strengthen its brand image of the Woolworths and enable it to market products by other multinational companies as well. This would enable it to generate more revenue and strengthen its market position.
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16 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE References: Australia GDP per capita | 1960-2018 | Data | Chart | Calendar | Forecast. (2018). Retrieved from https://tradingeconomics.com/australia/gdp-per-capita Alfonso, J. H., Tynes, T., & Johannessen, H. A. (2016). P144 Does a potential healthy worker survivoreffectbiastheassociationbetweenoccupationalskinexposureandskin problems? a three-year follow-up study of the general working population of norway. Dove. (2018). Retrieved fromhttps://www.unilever.com/brands/personal-care/dove.html Gadiyar, A. R., Bagchi, H., Kumar, N., & Karmakar, R. (2017).U.S. Patent Application No. 14/885,368. Wooldridge, A. L. (2015).Electronic Waste in the United States: Using Q Methodology to Analyze SustainableAttitudesof Millennials(Doctoraldissertation,OklahomaState University)..3 Cottrill, C. D. (2015). Location privacy preferences: A survey-based analysis of consumer awareness, trade-off and decision-making.Transportation Research Part C: Emerging Technologies,56, 132-148. Schoolman, E. D., Shriberg, M., Schwimmer, S., & Tysman, M. (2016). Green cities and ivory towers: how do higher education sustainability initiatives shape millennials’ consumption practices?.Journal of Environmental Studies and Sciences,6(3), 490-502. Nguyen, N. N., Özçaglar-Toulouse, N., & Kjeldgaard, D. (2018). Toward an understanding of young consumers' daily consumption practices in post-Doi Moi Vietnam.Journal of Business Research,86, 490-500.
17 CUSTOMER EXPERIENCE MANAGEMENT OF DOVE Peppers, D., Rogers, M., & Kotler, P. (2016). Managing customer experience and relationships. Lim, J. S., Al-Aali, A., & Heinrichs, J. H. (2015). Impact of satisfaction with e-retailers’ touch points on purchase behavior: the moderating effect of search and experience product type.Marketing Letters,26(2), 225-235.