1. AIRBAKE ALL-CLAD ARNO ASIAVINA CALOR CLOCK IMUSA KRUPS LAGOSTINA MIRRO MOULINEX PANEX ROCHEDO ROWENTA SAMURAI SEB SUPOR TEFAL T-FAL UMCO WEAREVERMARKETING PLAN FOR SEB IN THAILAND ESCP Europe Marketing Business case Tobias Siebold Songmei Han Purnima Rao Luigi Dufour Fengxiang Ling Shaoxin Xu Yimeng Liu31. January 2014

2. AGENDA COMPETITIVE ANALYSIS SDA COOKWARE KEY STRATEGIC DECISIONS CONSUMER STRATEGY PRODUCT STRATEGY BRAND STRATEGY KEY IMPLEMENTATION DECISIONS PRODUCT PRICE DISTRIBUTION COMMUNICATION1 3. COMPETITIVE ANALYSIS 1. SDAGroupe SEB addresses 58% of the SDA MarketGroupe SEB Market share by Product Family2013Electric Fan0%Rice Cooker0.2%Iron8.5%Water Purifier0%Blender6.1%Vacuum Cleaner0.4%Air Purifier0%Jar Pot0%Hair Dryer0%Juicer7%Toaster Oven0%Other categories2% 2 4. COMPETITIVE ANALYSIS 1. SDA SDA Brand awareness 60%Awareness50% 40% 30% 20% 10% 0% SharkLionTunaTigerMonkey Moulinex Tefal Rowenta Krups BrandsMain CompetitorsOperational StrategyProduct StrategyDistribution StrategyCommunication StrategyPricing StrategyLionProduction Sourced in ChinaLeading in Blender and IronsMainly Modern Trade High number of promotersNo ATL investmentMedium to highSharkProduction Based in Indonesia and Japan(ASEAN taxes)Leading in Rice cookers Wide range in rice cookersTraditional and Modern Trade High number of promotersSignificant ATL Investments High Promotional ActivityLow to Medium3 5. COMPETITIVE ANALYSIS 2. COOKWAREGroupe SEB addresses 38% of the cookware marketGroupe SEB Market share by Product Family2013Stainless Steel0%Non-Stick8%Pressure Cookers1%4 6. COMPETITIVE ANALYSIS 2. COOKWARE Cookware Brand Awareness90% 80%Awareness70% 60% 50% 40% 30% 20% 10% 0%PonySeabassElephantTefalBrandsPandaSpontaneous Brand Awareness Aided Brand AwarenessProductCompetitorBrand PositioningOperational StrategyProduct StrategyDistribution StrategyCommunication StrategyNon StickPandaHigh EndLocal ManufacturingFocus on NonStick Almost Absent from Stainless SteelChannel Management Focus on Modern Trade Weak in HypermarketsVery Low ATL Focussed on magazines5 7. AGENDA COMPETITIVE ANALYSIS SDA COOKWARE KEY STRATEGIC DECISIONS CONSUMER STRATEGY PRODUCT STRATEGY BRAND STRATEGY KEY IMPLEMENTATION DECISIONS PRODUCT PRICE DISTRIBUTION COMMUNICATION6 8. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY7 9. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGYHow to identify Groupe SEBs target markets in Thailand8 10. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY Suggested criteria for market segmentation:Suggested segmentationSegments we focus onProfessional users End-consumersProfessional users End-consumersRural consumers Urban consumersRural consumers Urban consumersIncome Age Behavioral criteriaIncome Age Behavioral criteria 9 11. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY Macro segmentation: Professional versus end consumers Professional users HoReCa Channels 1. Hotels, 2. Restaurants 3. Catering 7000 6000 5000 4000 3000 2000 1000 02005 2010 2014 Source: Datamonitor10 12. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY Meso-segmentation: Rural versus urban users Urban Population: 34.8% of total population. Growing Urban population. Different Characteristics and preferences in the two regions. 34.5 34 33.5 33 32.5 32 31.5 31Urban Population (%) Source: World bank indicator11 13. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY Micro segmentation: End, urban consumers can be segmented further in terms of 1) their willingness to pay and 2) the benefits they look for.Net Disposable Income per Household,US$(Absolute)Customer NeedsBudget SegmentCheap PriceFunctionality SegmentQuality Reliability Time SavingFamily SegmentHealth and Nutrition Value for money ReliabilityEnthusiastic Segment16000Market SegmentPleasure Reliability14000 12000 10000 Net Disposable Income per Household,US$(Absolu te)8000 6000 4000 2000 0 2009201020112015Source: Datamonitor12 14. KEY STRATEGIC DECISIONS 1. CONSUMER STRATEGY TargetingMarket segment attractivenessUnattractiveAverageAttractiveWeak Actual companys strengths in serving the marketBudget SegmentRuralAverageOlder populationCatch Them YoungStrongEnthusiasticFamily and Functionality SegmentsPrimary Targets: Family FunctionalitySecondary Targets: Enthusiastic, Young BeginnersSegment Attractiveness FactorsUrbanRuralSize34.8%65.2%AccessibilityModern TradeTraditional ChannelsGrowthIncreasingDecliningNorth and Northeast lagging behind.Competitive IntensityHighVery HighSource: World Bank88 % of the 5.4 million poor live in rural areas.13 15. KEY STRATEGIC DECISIONS 2. PRODUCT STRATEGY14 16. KEY STRATEGIC DECISIONS 2. PRODUCT STRATEGYHow to rethink Groupe SEBs product assortment in Thailand15 17. KEY STRATEGIC DECISIONS 2. PRODUCT STRATEGYEntry Level/Must-have120% 100%Distinctive16% 14% 12%80% 60% 40% 20% 0%Stage210% Additional Level8% 6%Stage14% Distinctive Level2% 0%Stage1Entry Level Vacuum Cleaner Toaster oven ActiFry 2 to 1 .Market penetration Blender Juicer Market growth Non-stick Group SEB maket share Iron Fan Rice Cooker16 18. KEY STRATEGIC DECISIONS 3. BRAND STRATEGY17 19. KEY STRATEGIC DECISIONS 3. BRAND STRATEGYHow to rethink Groupe SEBs brand portfolio for Thailand18 20. KEY STRATEGIC DECISIONS 3. BRAND STRATEGYMoulinex Consumer AttitudeTarget CategoriesTefalRowentaKrupsLagastinaAll CladPragmatic Multi Tasking ActiveInvested Cook good things Pleasure in cookingSensitive to High Performance BalancedPassionate Connoisseur PerfectionistCurious Open Minded Educated EpicureanElitist ProfessionalFood PrepFood Prep Cookware Linen Care Electrical CookingHome Cleaning Fans Personal Care Linen CareCoffee Food Prep Electrical CookingFood Prep Cookware Electrical CookingFood Prep Cookware Electrical CookingTarget Segment: High Performance Product Categories: NO Food Prep and CookwareTarget Segment: Perfectionist Categories: NO CookwareTarget Segment: Experimenter Categories All CategoriesTarget Segment: Elitist Categories All Categories 19Target Segment: Pragmatic Categories Only Food PrepTarget Segment: Family Segment (Super Woman) Product Categories: All Categories 21. KEY STRATEGIC DECISIONS 3. BRAND STRATEGYValues/Personality/Char acter: Substantiators (RTB): Handle DesignPoP: Multi-purposeHealthyMaking Everyday SpecialDesignEfficientDurability Brand Mantra: QualityRed Innovative French OriginPoD: Magazine & outdoor advertising Executional Properties/Visual Identity:20 22. KEY STRATEGIC DECISIONS 3. BRAND STRATEGY Developing Tefal in the Thai market: Brand Mantra: Healthy and Easy Cooking to Live a Better Life POPs: Durability, Quality, Multipurpose in SDA PODs: Thermo Spot, Innovative healthy technology, French design, High performance and Be the RED brand! 21 23. KEY STRATEGIC DECISIONS 3. BRAND STRATEGY Why red? Semiotics of red: Thai culture identifies red with Sunday + red identifies passion for cooking and life.Belongingness to red: Red is the color of Tefal (and of Groupe SEB more broadly).Distinctiveness of red: Within this product category red grants easy recognition for consumers.22 24. KEY STRATEGIC DECISIONS 3. BRAND STRATEGY Why is red relevant? Semiotics of red: Thai culture identifies red with Sunday + red identifies passion for cooking and life.Tefal makes cooking so easy that we can cook Sunday specials everyday. Belongingness to red: Red is the color of Tefal (and of Groupe SEB more broadly).Red stimulates brand awareness in an easy and convenient way. Distinctiveness of red: Within this product category red grants easy recognition for consumers.If consumers make their choice on the point of sale, then red helps brand recognition and stands out on the shelves 23 25. AGENDA COMPETITIVE ANALYSIS SDA COOKWARE KEY STRATEGIC DECISIONS CONSUMER STRATEGY PRODUCT STRATEGY BRAND STRATEGY KEY IMPLEMENTATION DECISIONS PRODUCT PRICE DISTRIBUTION COMMUNICATION24 26. KEY IMPLEMENTATION DECISIONS 1. PRODUCT25 27. KEY IMPLEMENTATION DECISIONS 1. PRODUCTIt conveys the brand message.ALL PRODUCTS IN RED (Or at least their package)3 Ps of communication 1. Passion 2. Performance 3. Practicality It helps recognition at the point of sale. 26 28. KEY IMPLEMENTATION DECISIONS 2. PRICING27 29. KEY IMPLEMENTATION DECISIONS 2. PRICINGProducts with high penetration rate may be more attractive if there are products in the low high market ranges.Product LevelPricingObjectiveEntry LevelSales promotion: make the price attractive (blender and cookware) Enter the market Products trial, brand buildingStable marketKeep a premium price (rice cooker and fan) Pay for value Make margins28 30. KEY IMPLEMENTATION DECISIONS 3. DISTRIBUTION29 31. KEY IMPLEMENTATION DECISIONS 3. DISTRIBUTION Tefals products need to stand out at the point of sale.Positioning of products at checkout counters and easily accessible positioning on shelves. While traditional distribution channels are out of reach for Tefal, we suggest e-commerce in case of fair internet penetration rate in rural areas.SDACookwareProduct RangeHypermarketsHypermarketsEntry Mid LevelDepartment StoresDepartment StoresMiddle High end Products Middle High EndElectrical Specialists E-CommerceE-CommerceLow - MiddleNO traditional channel: too expensive30 32. KEY IMPLEMENTATION DECISIONS 4. COMMUNICATION31 33. KEY IMPLEMENTATION DECISIONS 4. COMMUNICATION ATL communication BTL communicationToolsTarget Value for money French origin Innovation Time saving HealthyContentMedia Broadcast In-store Digital E-commerce32 34. KEY IMPLEMENTATION DECISIONS 4. COMMUNICATIONATL ToolsBTL ToolsTV Advertising Celebrity Chef EndorsementsPromotions 30 Day Money Back Guarantee Schemes Exchange offers Viral marketing Opinion Former In store promoters and Demonstrations Events 33 35. 2/18/201434 36. 35