Segmentation, Targeting & Positioning: A Case Study of Vitacimin

ReVITAlize VITACIMIN

Segmentation, Targeting & Positioning

A Case Study – Presented in FEUI Depok

Disclaimer:

The presented contents and materials in this document, are merely used for

academic discussions only and not to be used for commercial purposes

without any permit from the author. This document is reserved by Intellectual

Property of the author.

About TAKEDA Pharmaceutical Company

• Takeda is a research-based global company with its main focus on pharmaceuticals

• Takeda has been established since 230 years ago, founded in Osaka, Japan.

• As the largest pharmaceutical company in Japan and one of the global leaders of the industry, Takeda is committed to strive towards better health for patients worldwide through leading innovation in medicine.

• Takeda's ethical drugs are marketed in around 100 countries worldwide

Mission:

“We strive towards better health for patients worldwide through leading innovation in medicine”

Vision

“Takeda’s vision is to embody global pharmaceutical leadership through innovation, culture and growth guided by an unwavering commitment to significantly improve the lives of patients”

｜Click > Insert > Header & Footer | DDMMYY 1

http://www.takeda.com/index.html

Product Picture

MNF LDATE

A11G2 VITAMIN C COMBINATIONS

SUPER ESTER C TCN Feb-93

REDOXON ZINC B/S Jul-00

SUPREME ESTER C TCN

A11G1 VITAMIN C PLAIN

VITACIMIN TAK Apr-71

VITALONG C TRC BNO Jan-86

XON-CE KLB Jan-92

VICEE D.V Sep-88

Vitamin C Products Launch Year Comparison

PORTFOLIO STRATEGY


Market / Product Expansion Grid

• Current and future product position to determine the best strategy

6

Product Development Diversification

Market Penetration Market Development

new

Existing

new Existing

new

PRODUCT

MARKET

Ansoff’s Market/Product

Expansion Grid

Vitacimin &

New Variants

Market Penetration & Development Strategies

7

Market Penetration Market Development

Vitacimin &

New Variants

Current Users

Increase Usage Frequency

Current Competitors Users

Increase switching from

competitors to our products

Lapsed Users

Retention & loyalty strategy

Non Users

Increase Brand Awareness

New Market Segment

Increase Brand Awareness

New Geography

Increase distribution

VITACIMIN MARKET LANDSCAPE

• IMS Data

VITAMIN Market in Sales Value


64,214

48,654

38,446

-

10,000

20,000

30,000

40,000

50,000

60,000

70,000

08Q

4

09Q

1

09Q

2

09Q

3

09Q

4

10Q

1

10Q

2

10Q

3

10Q

4

11Q

1

11Q

2

11Q

3

11Q

4

MA

T1

2Q

1

Valu

e E

UR

’000

A11A MULTIVITAMINS + MINERALS

A11B MULTIVIT WITHOUT MINERAL

A11D VITAMIN B1 & COMBINATION

A11G VIT C INC.MINERAL COMBS

A11E VITAMIN B COMPLEX

A11X OTHER VITAMINS

A11C VIT A & D INC. COMBS

A11F VITAMIN B12 PLAIN

27%

20%

6%

0%

5%

10%

15%

20%

25%

30%

08Q

4

09Q

1

09Q

2

09Q

3

09Q

4

10Q

1

10Q

2

10Q

3

10Q

4

11Q

1

11Q

2

11Q

3

11Q

4

MA

T1

2Q

1

MS

%

A11A MULTIVITAMINS + MINERALS

A11B MULTIVIT WITHOUT MINERAL

A11D VITAMIN B1 & COMBINATION

A11G VIT C INC.MINERAL COMBS

A11E VITAMIN B COMPLEX

A11X OTHER VITAMINS

A11C VIT A & D INC. COMBS

A11F VITAMIN B12 PLAIN

+15%

-2%

+3%

Total VITAMIN market in total value EUR 283 mio, growth +8%, driven by Multivitamin & Minerals

VITAMIN C Market in Sales Value


19,371

19,074

5,394

0

5,000

10,000

15,000

20,000

25,000

08Q

4

09Q

1

09Q

2

09Q

3

09Q

4

10Q

1

10Q

2

10Q

3

10Q

4

11Q

1

11Q

2

11Q

3

11Q

4

MA

T1

2Q

1

Un

its’0

00


SUPER ESTER C

REDOXON ZINC

SUPREME ESTER C


VITALONG C TRC

VITACIMIN

XON-CE

+14%

+17%

-5%

50% 50%

14%

0%

10%

20%

30%

40%

50%

60%

08Q

4

09Q

1

09Q

2

09Q

3

09Q

4

10Q

1

10Q

2

10Q

3

10Q

4

11Q

1

11Q

2

11Q

3

11Q

4

MA

T1

2Q

1

MS

%


SUPER ESTER C

REDOXON ZINC

SUPREME ESTER C


VITALONG C TRC

VITACIMIN

XON-CE

Total VITAMIN C market in total value EUR 38.4 mio ,growth +3%, driven by Vitamin C Plain at +14% growth.

VITACIMIN growth outperforms, at 17%

MARKETING RESEARCH

• Vitamin Consumers - IPSOS

• Consumers Demographic - Roy Morgan

• Real Consumers survey – Internal

• Indonesia Shopping Behaviour – MARS

12

© 2

011 I

psos

What is the incidence of taking Vitamin C?

Because of its several benefits, Vitamin C intake among Takeda’s target market is

widespread — indicating a big market for VITACIMIN

Total

(100%)

Not Consumed in P1Y (5%)

Consumed in P1Y (95%)

Not Consumed in P3M (3%)

Consumed in P3M (92%)

Not Consumed in P1M (6%)

Consumed in P1M (86%)

Base: All respondents

Incidence of consuming Vit.

C Supplement

NOTE:

P1Y; Past 1 Year

P3M: Past 3 Months

P1M: Past 1 Month

A8c – A10 : Which brands of Vitamin C have you consumed in past 1 year, past 3 months, past 1 month?

13

© 2

011 I

psos

Ready to Drink as 1st

option for other format of

VITACIMIN

The chewable candy format dominates the Vitamin C market since VITACIMIN is the market leader.

The chewable candy format is appealing to a wide group of Vitamin C users and also projects a fun, practical & ‘young’ image; although it is expensive, RTD is seen as young, fun, effective & refreshing

CHEWABLE EFFERVESCENT READY-TO-

DRINK (RTD) TABLET

Profile Wider segment Females

SEC A

Young

Single Young

Why Prefer

to Use Practical Practical Practical Practical

Image

Practical to use

Consumed daily

Fresh sensation

Fun to consume

Expensive

Refreshes

Easily absorbed

Immediate reaction

Expensive

Refreshes

Easily absorbed

Immediate reaction

Practical to use

Bad taste

Personifi-

cation

Fun/cheerful

Teenagers

Serious

Smart

Adults

Active

Fun/cheerful

Teenagers

Serious

Adults

14

© 2

011 I

psos

Key Learning -1

The usage & purchase behavior of the leading brands vary depending on their format---

the ‘non-medicine type’ which are the chewable candy and the Ready-to-Drink have

generally the same characteristics versus the “medicine type’ which are tablets and

effervescent as shown below:

VITACIMIN XONCE YOU C1000 ENERVON C REDOXON

Product

Format

Chewable

candy

Chewable

candy

RTD

(Ready To

Drink)

Tablet Effervescent

How

Consumed

71%

occasional

61%

occasional

63%

occasional

53%

occasional

51%

occasional

Consumption

Frequency 5x/wk 4-6x/wk 4x/wk 5x/wk 4-6x/wk

Place of

Purchase

Warung

Pharmacy Warung

Mini market

Warung

Pharmacy

Drugstore

Pharmacy

Drugstore

Planned vs

Impulse

Impulse,

54%

Impulse,

56%

Impulse,

63%

Impulse,

24%

Impulse,

34%

Purchase

Frequency 11x/month 11x/month 12x/month 6x/month 5x/month

15

Price Index

VITACIMIN Xonce Vitalong C Enervon C Redoxon Double

Action You C1000*

Manufacture Takeda PT Kalbe Farma

Tbk

PT Bernofarm Mediafarma Bayer Consumer

Care

PT.

Djojonegoro

C-1000

Formulation Chewable

tablet

Chewable tablet Capsul Tablet Effervescent

tablet

Drink

Package strip @2 tab strip @2 tab Bottle @30 cap Bottle @30 Tube @10 tab Bottle

Price per

tab

Rp475 Rp440 Rp700 Rp747 Rp2,229 Rp5,000

Dosage 1 1 1 1 1 1

Price / day

(daily dose)

Rp475 Rp440 Rp700 Rp747 Rp2,229 Rp5,000

Index 100 93 147 157 469 1,053

Formulation Ascorbic acid

500mg

Vitamin C 250 mg,

soft powder of Na

ascorbate 250 mg

Vitamin C 250 mg,

soft powder of Na

ascorbate 250 mg

Vit B1 50 Mg,

Vit B2 25 mg,

vit B6 10 mg,

vit B12 5 mcg,

vit C 500 mg,

niacinamide 50 mg,

Ca pantothenate 20

mg

Vitamin C 1000 mg,

zinc 10 mg.

Vitamin C

1000 mg,

Niacinamide 2

mg,

Sodium 45

mg,

Sugar 14 g,

Carbohydrate

s 14 g,

Energy 60

kcal.

16

© 2

011 I

psos

36

18

8

18

9

2

40

40

34

31

26

15

21

39

47

39

46

54

Vitacimin

Redoxon

YOU C1000

Enervon C

Xonce

Vicee

Top of Mind Other Spontaneous Aided

Vit. C users are aware of several brands; VITACIMIN has an advantage in terms of

SPONTANEOUS awareness with Redoxon following from afar

Base: All Respondents (UnWTD n=550; WTD n=550)

A1 : What brands of Vitamin C do you know of? (S) DO NOT AID

A2 : What other brands of Vitamin C do you know of? What else? Anything else? (M) DO NOT AID

A5 : By looking at these cards, which brands of Vitamin C do you know of? What else? Anything else? (M)

76

49

58

35

42

In : %

97

88

97

81

89

Which brands are mostly remembered? -1

71

17

17

© 2

011 I

psos

Brand Map (Total)

Brand map also reveals that VITACIMIN is highly associated to being suitable

for all family members, safe for daily consume, fun to consume, affordable. Redoxon on the

other hand is perceived more “serious”--- recommended by doctor & pharmacist; Xonce & Vicee are not

associated to any factors

Base: All

Respondents

(UnWTD n=550;

WTD n=550)

B3. Which brand applies to……

Practical to consume

Avaibl in various formats

Good taste

Doctor recommend

Fam/friends recommend

Pharmacist recommend

Affordable price

Being advertised

Purchased everywhere

Avaibl in various f lavors

Maintain immune systm

Efectiv maintain stamina

Suitbl for all fam members

Can be consumed everywhere/anywhere

Contains several vitamins

By famous company

Famous brand

High quality

Fun to consumeSafe for daily consumed No side ef fects

Redoxon

Vicee

Vitacimin

Xonce

Main Title

%

Effervescent

tablets

Chewable

tablets

Normal

tablets

Bottled

drinks Other

14-17 y.o 4.4 15.7 9.6 10.7 1.8

18-24 y.o 19 25.7 20.2 19.4 24.3

25-34 y.o 32.5 28.1 33.1 36.4 38.2

35-49 y.o 24.4 22.7 26.2 26.9 19.6

50-64 y.o 19.2 6.9 10.2 6 15.4

> 65 y.o 0.5 0.9 0.8 0.6 0.7

TOTAL 100 100 100.1 100 100

Roy Morgan’s Research – Type of Vitamin Used

by Age Groups (Redefined)

• The 76% of Vitamin Chewable tablets users are range from 18 to 49 y.o

15.7

25.7

28.1

22.7

6.9

0.9

0 10 20 30 40 50

14-17

18-24

25-34

35-49

50-64

65 and over

Other

Bottled drinks

Normal tablets

Chewable tablets

Effervescent tablets

Raw Data

Summary of Indonesia Shopping Behaviour

Survey 2012 – OTC Category, MARS

• OTC products are more to occasional products which purchased if needed. And mums

play a key role in choosing the OTC products to be used by her family.


58% find the

OTC when

Family is

sick

59%

purchases

OTC when

needed

74% buy OTC

products in

retail

Purchase

locations:

Pharmacy

45%, Mini

stall 35%

Decision makers

in purchasing OTC

products:

mums/wives 73%

, dads/husbands

25%

buyers:

mums/wives

57% ,

dads/husbands

34%

users:

dads/husbands

35%

Mums/wives 35%

Children 29%

The Face of Respondents

20

MARKETING STRATEGY

• SEGMENTATION

• TARGETING

• POSITIONING & DIFFERENTIATION

Total Population

(100%)

Non Middle Class Population (43%)

Middle Class Population (57%)

Non (~%) FAMILY routine

expense on health (29%)

Not consumed vitaimin or

supplement (43%)

Consumed Vitamin or

Supplement (57%)

Not consumed Vitamin C Supp in

P3M

(8%)

Consumed Vitamin C

Supp in P3M (92%)

Segmentation based on Vitamin C consumptions


234 mio population

63 mio households

133 mio population

36 mio households

27 mio population

10 mio households

15 mio populations

6 mio HH

14 mio population

5.5 mio households

Segments for

market

education

Segments for

market

penetration

Source: internal calculation based on

Secondary data; MARS Indonesia Shopping

Behaviour, Markplus Middle Class

Monitoring, BPS

Targeting


Family

Dad 40-45 y.o

Mum 35-45 y.o

Children 12-18 y.o

Vitamin /

Supplement Users

Vitamin C Supp

Users

1st 2nd

3rd Spill

over

Market education Market penetration

Family

Progra

ms

Mass

Progra

ms Individual Male & Female, 16

– 35 y.o

Positioning & Differentiation


FUN

HEALTHY

FIT

Tablet

Enervon C

Beauty

Bottle

Chewable

1-3 takes in one week Expensive

Mid expensive

Family

Individual

FMCG like OTC like VITACIMIN

Healthy

RTD

You C

1000

Twice a day

Stamina

Nourish Skin

Protection/

Immunity

Redoxon Young-Middle

age groung

Wider age group

XonCee

Thank you

www.dannykosasih.com

@dannykosasih

Documents

Segmentation, Targeting & Positioning: A Case Study of Vitacimin