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Essay by   •  June 20, 2011  •  4,250 Words (17 Pages)  •  1,055 Views

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Ego to Axe

Whats in a name?

The world had never known anything like him before. He had lightning-quick hands, a razor-sharp jab and the ability to absorb the impact of enormous punches. His name was Cassius Clay and he was a world phenomenon in boxing. Then in 1964 at the age of 22 he shed his world-famous identity and took on a new one in honour of his newfound faith. He called himself Mohammed Ali. He looked the same and he fought the same, but was he really the same? Would this change made to his persona change who he essentially was? Change is an essential part of any brand's life. Competition in the 21st century is enormously tough, and in order to survive, brands have to constantly reinvent themselves in order to remain attractive to consumers and secure a place in their purchase set. The younger the target market, the more this is the case. Given this occurrence, then, one could argue that consumers are used to the constant change in the marketplace, but how far can marketers push this without running the risk of consumers wondering if, after all the changes have been made, their brand is still their old favourite?

This was the dilemma faced by Unilever, manufacturer of South Africa's no. 1 male deodorant brand, Ego. Over the past 16 years Ego had slowly been brought in line with its global counterpart, Axe. It had adopted Axe's positioning, its pack design, its advertising, but never its name. Now, the last vestiges of the local brand were about to be "axed" with the adoption of the global brand's name (a process known as brand migration). But was Unilever playing with fire? Would this turn out to be a case of pushing a brand just too far?

Ego had already taken on Axe's pack design, positioning and advertising but the transition to the new brand name held the greatest challenge yet.

Axe is the largest male toiletry brand in the world. It is sold in over 62 countries, worth almost $US1 billion and still growing. From a business perspective, it made sense to bring Ego completely in line with the global megabrand and relaunch the brand as Axe, since the logistical advantages of synergising brands around the world are enormous. But how would consumers react to their brand changing its most fundamental component - its name - and what effect would this have on the market share of South Africa's no. 1 male deodorant?

The origins of Ego

What underpins the Ego brand is the male sex's primal urge to attract a mate. Modern man might have swapped his animal skins for Loxion Kulcha gear and his club for a cellphone, but accessories aside, his core desire is still to attract the attention of the opposite sex. By definition, then, anything that appeals to this inherent need has got to have a captive audience! And hence the success of the Ego brand. Launched in South Africa in 1974, it was positioned as the young man's partner in the seduction game: "The deodorant with sex appeal!". When launching Ego, Unilever entered the least profitable sector in the male deodorant market: the fragrance sector. Up until this point, the market was very focused on efficacy: deodorants were positioned as hardworking and effective in banishing underarm odour. Ego, however, introduced the element of fragrance. Deodorant was no longer simply a barrier against natural body odour, it also enhanced it. It no longer merely stopped one repelling people (women), it now helped one attract them - it became an instrument in the dance of seduction! The appeal of the brand's positioning was enormous and soon the fragrance sector began competing more fiercely with the established efficacy sector, until it eventually overtook it.

Whilst Ego was rising through the ranks in the South African deodorant market, another Unilever brand, Axe, was doing the same in other countries around the world. Launched in France in 1983, this brand was unique in that it was launched with the specific intention of being a global brand. Every element of the mix, therefore, was designed so that it would be cross-culturally appropriate. In 1986, in keeping with Unilever's global rollout strategy, Ego was relaunched with the French Axe design. Then in 1998, the Axe global positioning was fully adopted and the "Ego Effect" campaign utilising a variant strategy commenced. The recent name transition from Ego to Axe was the final piece of the puzzle, but potentially the most hazardous.

Going global: the way of the future

From every business angle it made sense to transform Ego into Axe. There are so many advantages to global brands from a cost, time and effort point of view: Extensive research on key variables that determine the image of the global brand can be done centrally.It facilitates worldwide advertising and promotional development.Product development can be done centrally and then rolled out to the various regions, therefore tapping into specialised resources and obviating duplication.Sourcing of raw materials and components is easier.Local imitation is more difficult because of the large amount of resources dedicated to development.Manufacturing can be limited to just a few factories thus achieving better economies of scale.

In addition, Unilever SA had the opportunity to put its world-class Durban-based manufacturing plant to greater use and supply internationally. But in order to do so, it needed to harmonise its brands with international ones. Axe would provide this opportunity. The bottom line when it comes to business, however, is whether the consumer likes the brand or not. Despite being able to tick all the abovementioned boxes, if the consumer showed complete dislike of the Ego-Axe migration, Unilever would have had to abandon the notion of brand migration instantly.

Getting the max on Ego/Axe users

Whilst users of the brand span a wide age range (14-50), the core target market is 16-25-year-old LSM A and B, 2 with significant penetration being seen in LSM C. This target market is on the verge of discovery: they are trying new fashions, new music, new styles and new partners. They are trendy and image conscious and it is important to them to be seen in the right places and making the right moves, especially by the opposite sex. The mating game is at its most active, whether it be in fantasy or in reality.

"Axe dictionaries" were distributed with FHM magazine, containing tips, Axe language and score cards for the guys to track their conquests.

Amidst all this, Ego's brand image is to be seen as an icon of coolness and youth. This means that the brand needs

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