International Marketing Strategy: Slimming World in Hong Kong

This report provides a comprehensive analysis of Slimming World's international marketing strategy, specifically focusing on its potential entry into the Hong Kong market. The introduction highlights Slimming World's background, its Free Foods concept, and the rising obesity issue in Hong Kong. The report justifies the entry into the Hong Kong market by emphasizing the increasing demand for slimming products, good profitability, availability of distribution channels, and low competition. It outlines Slimming World's aims and objectives for the Hong Kong market, including weight management and promoting physical activity. The report then delves into market segmentation, targeting, and positioning, covering criteria for selecting market segments, segmenting consumer markets geographically, demographically, psychographically, and behaviorally. Different target marketing strategies are evaluated, including undifferentiated, differentiated, concentrated, and micromarketing. Furthermore, the report discusses differentiation and positioning strategies, exploring product, service, channel, people, and image differentiation. A positioning map is included to visualize the brand's position. Finally, the report recommends potential market entry methods, such as mergers and acquisitions, franchising, and joint ventures, and provides criteria for selecting the most appropriate method. The report concludes with a detailed examination of how Slimming World can successfully position itself in the Hong Kong market.

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International Marketing strategy

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1. Introduction
Slimming World is UK based weight management organisation. The company was
established in 1969. There are more than 4500 slimming world trained consultants.
The company received the Investors in People Award in 1997. Slimming World Free
Foods is the revolutionary research of Slimming World. Free Foods are low in fat
and energy density ((Souchon, et. al. 2016). A person feels satisfied with relatively
few calories. The company focuses on the health conscious consumers.
1.1. Reasons for Entry Hong Kong Market
1.2. About the Brand
According to the report of World Health Organisation, obesity is a major problem of
the population of Hong Kong. The western fast food culture is the main reason
behind overweight. In this scenario, the awareness of health is increasing and the
entry of Slimming World free food will gain importance. As slimming food would
help to fight with obesity.

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1. New and high market demand: The demand for slimming products is
continuously increasing in Hong Kong (Papadopoulos & Heslop, 2014). As, it
has contributed 9% growth rate in 2011.
2. Good profitability: The slimming products are meal replacement products and it
has recorded highest value growth 17% in 2011. The meal replacement
products are more expensive which is helpful to the company in gaining more
profits.
3. Availability of existing distribution channels to sell the selected food and drink:
The Marks and Sparks have availability of British food. It is easy for the
company to launch products at such platform (Amine, 2015).
4. Low existing competition: There is low existing competition in the market
because there are very few firms of slimming foods in Hong Kong. With the
low competition there is no price pressure.
1.3. Aim and Objectives
The aim of Slimming World Free Foods is to enter in market of Hong KONG.
Mainly, the objectives of the company are:
1. Maintain weight of women during pregnancy.
2. Regulate and control weight by free foods.
3. To introduce physical activity through Body Magic programme.
2. Justification and Evaluation of the Selected Target Market
The modern strategic marketing includes segmentation, targeting and positioning.
2.1. Segmentation
Market segmentation is used by the companies to subdivide market into segments having
similar needs, interest, tastes and characteristics. It helps in reaching customers with products

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that match their needs more efficiently and effectively (Clark, et. al. 2016). The chosen
market depends on the following aspects:
2.1.1. Criteria for Selecting Market Segments
The market segmentation identifies customers who more like to purchase product that is
suitable for them. It minimises excess of resources as well as time spent on marketing
inappropriate products to the customers.
The following factors are selected for market segments.
Table 1: Criteria for Selecting Market Segments
Criteria Definitions Justification and Evaluation
Measurable The market segments can be
measured in terms of sales
volume.
Kowloon is the urban city and
has the largest population in
Hong Kong. The market research
can be conducted to measure
willingness of people to consume
slimming food.
Accessible It is important to consider
channel of access before
segmenting a market, such as
outdoor advertising, television
commercials, , transportation,
telecom, social media campaign
and more.
Apart from grocery stores and
UK supermarkets, the slimming
foods can be accessed by social
media like Facebook, instagram
and mobile applications
(Armstrong, et. al. 2015).
Durable Longevity is important in a
segment. It should be durable
with clearly defined
characteristics.
People are health conscious and
Slimming food is healthier than
any other food. The prospective
consumers are going to consume
it daily.
Substantial A viable market segment is a Due to health consciousness, the

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standardised group with defined
characteristics such as age group,
brand perception etc.
demand for slimming food is
going to rise.
Unique A perfect market segment should
have internally similar
preferences and differentiable
and unique externally.
The Slimming food can be
cooked, the guidance is provided
for that. It also has ready to eat
option. The company also
provides week plans to reduce
weight.
2.1.2. Segmenting Consumer Markets
Table 2: Criteria to Segment Consumer Markets
Criteria Definitions Justification and Evaluation
Geographic
segmentation
Geographic segmentation splits
the market based on different
geographical units, such as
i. Nations
ii. Regions
iii. States
iv. Counties
v. Cities
The selling in Hong Kong
suggests that there is large
number of white collar customers.
They are highly educated and
health conscious. The people of
the country are familiar to the
brand.
Demographic
segmentation
Demographic segmentation
focuses on people and segments
market on the basis of
customer’s age, need, gender,
size of family and more. The
The demographic segmentation is
identified on the basis of:
(i) Age: Teenagers to
mid age customers,
as they are more

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market segmentation is done on
the basis of demographic
variables like:
i. Age
ii. Gender
iii. Income
iv. Education
v. Social Class
vi. Nationality
conscious for
health.
(ii) Gender: Both male
and female.
(iii) Income: Middle to
high.
(iv) Education: Middle
to highly educate.
(v) Social class:
Health conscious
class or groups.
(vi) Nationality:
Chinese

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Psychographic
segmentation
The marketer takes time to know
current and past customers
before doing psychographic
segmentation. It is difficult to do
segmentation psychographic
because the characteristics used
to segment are less real such as
social class, values and
personality.
Psychographic variables include:
i. Interests
ii. Opinions
iii. Personality
iv. Self-Image
v. Activities
vi. Values
vii. Attitudes
The psychographic segmentation
is done on the basis of:
(i) Interests: People
who are suffering
from obesity.
(ii) Opinions: The
people believe in
maintaining weight
(Kraus, et. al.
2016).
(iii) Personality: The
people who want
to see themselves
fit.
(iv) Self-image: People
like to do workout
and having healthy
slimming food.
(v) Activities: People
consume slimming
food to improve
their health.
(vi) Values: People
value slimming
food to achive
good health. So,
they do not mind
buying such food.
(vii) Attitudes: People
are looking to
exchange for
western food.
Behavioral The behavioral The behavioural segment can be

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segmentation segmentation segments market
on the basis of knowledge,
attitude and response to a
specific product.
It includes:
i. Usage Rate
ii. Benefits from manufactured
goods
iii. Brand Perception
iv. Price Awareness
v. Incidents and holidays
vi. User Status (First time and
regular)
evaluated as:
(i) Usage rate:
Unlimited use as
enrich in proteins.
(ii) Benefits from
manufactured
goods: The food
benefitted in
toning and
slimming.
(iii) Brand perception:
The people are
going to have
loyalty for the
brand as it is a
established UK
brand and has
achieved many
awards.
(iv) Price awareness:
The price is higher
because of good
fats and high
quality.
(v) Incidents: People
make it a part of
routine and have it
regularly.
(vi) User status: It is a
part of routine diet.

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2.2. Targeting
The consumers are conscious in Kowloon for health as their obesity percentage is
continuously increasing. The slimming World Free Food is enrich in proteins and
less in carbs. The slimming food contains less fat and contains high level of energy.
The features of slimming food are:
(i) The food contains no preservatives.
(ii) It contains high quality and enrich in vitamins
(iii) The food is ready to eat.
2.2.1. Target Marketing Strategies
A target market is a group who most like to buy products and services of a company. There is
different type of marketing strategies which focuses on the entire market. The company
makes choice of one or more segments at the time of targeting market.
Table 3: Target Marketing Strategies
Target
Marketing
Strategies
Definitions Justification and Evaluation
Undifferentiat
ed marketing
The
undifferentiate
d marketing
strategy
segments the
The company focuses on the mass market
philosophy because it considers common type of
product than the different products for all
(Skarmeas, Zeriti & Baltas, 2016).

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market like
just one big
market and
considers no
individual
segments. The
expectation of
all consumers
is covered in
one type of
product. The
company
focuses on
Mass market
philosophy.
Differentiated
marketing
The
Differentiated
marketing
strategy
considers
several
prospective
markets and
designs
specific
marketing
mixes for
different
segments.
– It’s goal
is to
achieve
The differentiated marketing strategy has helped
company to produce products to understand need
of different segments. It has helped in generating
profits and increasing sales volume.

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10
higher
sales
volume
and
profits.
– This
strategy
is
expensiv
e than
undiffere
ntiated
marketin
g
Concentrated
marketing
– The
company
identifies
various
segments
but
targets
just one
segment.
– It targets
single
market
which
captures
small
share of a
market.
– Suitable
for the
– The company focuses on the particular
segment of market.
– The company could target single market
sucha s food industry. It has choosen diet
food from food industry (Samaha, Beck &
Palmatier, 2014).
– The company has done expenditure on
research and development to focus more on
customers.
– But this strategy is less attractive and results
in low profits.

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11
companie
s with
limited
resources
– Focuses
on
research
and
developm
ent to
meet
need of
customer
s.
– More real
and
efficient
Micromarketi
ng
Micromarketi
ng strategy
segments on
individual
level. It tailors
products and
services
according to
the taste and
need of
specific
individuals.
– Local
marketin
g
– Advertisi
The company make use of strategy to focus on
the individual specifications.
- Marketing research
- Advertisement