Marketing JnJ STP Sandhya

Johnson & JohnsonBy: Sandhya Deepak

[MBA, 2nd Semester]

Submitted to: Mr. SachinMarketing Faculty

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INTRODUCTION

Operating in over 50 countries with more than 100,000 people, Johnson & Johnson USA has been

ranked 4 times in the “Fortune Top 10” list of the most admired companies in the US.

Johnson & Johnson (J&J) India, a subsidiary of Johnson & Johnson USA, is one of the leading

players in the Indian pharmaceutical and consumer products business. It has employee strength of

over 1,800. It started business in India in 1947 in Bombay with Johnson’s Baby Powder, and, over

time, introduced other products like toothbrushes, Johnson’s Baby Cream and Prickly Heat Powder.

Briefing about this world class company, we can have a glimpse on the following points:-

Global Manufacturer of Pharmaceuticals, Consumer Products and Medical Devices.

Listed in Fortune 500 Companies

Ranked 1st among 50 top Pharmaceutical companies

230 subsidiary companies with operations in over 57 countries.

Well-known consumer products are the BAND-AID Brand line of bandages, Tylenol

Medications , JOHNSON'S BABY Products

Produced its first products in 1886

Incorporated in 1887

ROBERT WOOD JOHNSON served as the first President of the company.

In 1910, JAMES WOOD JOHNSON succeeded him as President.

William C. Weldon is the President (since 2002 Onwards)

COMPANY STRUCTURE

Based on the principle of Decentralized Management.

Executive Committee is the principal management group.

Committee is responsible for the operations and allocation of the resources.

Oversees and coordinates the activities of the three segments.

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Each subsidiary within the business segments is, with some exceptions, managed by citizens

of the country where it is located.

SUBSIDIARY HOLDINGS

Johnson & Johnson is a highly diversified company with at least 230 subsidiaries, which it refers to

as the "Johnson & Johnson Family of Companies". Some of these subsidiaries include:

ALZA Corporation

Baby Center, L.L.C.

Johnson & Johnson, Group of Consumer Companies, Inc.

Johnson & Johnson Health Care Systems Inc.

Johnson & Johnson - Merck Consumer Pharmaceuticals Co.

Johnson & Johnson Pharmaceutical Research & Development, L.L.C.

Pfizer Consumer

J&J in INDIA Spread its roots in India during 1947.

It was Mr. Patrick Whaley who set the foundation.

Launched Johnson’s Baby cream and Prickly Powder.

Product like bellodomma, pharmaceutical tapes were imported from the parent company.

In Sep. 1957, a new company Johnson & Johnson India Ltd. was created and registered.

Recently this company celebrated its 50 years in India.

SEGMENTS OF BUSINESSJohnson & Johnson is organized into three business segments:-

Consumer

Pharmaceutical

Medical Devices and Diagnostics

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ConsumerJ&J manufactures and markets a broad range of products used in the fields like:-

Baby and Child Care

Skin Care

Oral and Wound Care

Women’s Health Care

Nutritional and Over-the-counter

MAJOR BRANDSSome of the major Brands of J&J are:-

BAND-AID (Brand Adhesive Bandages)

CLEAN & CLEAR (Teen Skin Care Products)

JOHNSON’S BABY (Baby Products)

NEUTROGENA (Skin and Hair Care Products)

REMBRANDT (Brand of Oral Care Products)

SPLENDA (No Calorie Sweetener)

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Baby Skin Care:

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BABBY CARE…

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Segmentation and Targeting:Type of SegmentationGeographic Metro Urban Semi

UrbanRural

DemographicAge 0-4 5-8 8-12 12-18 18-25 25-40

40-above

Income Low Middle Upper Middle

Upper +

Gender Male FemalePsychographic Social class Low

Lower Middle Middle

Upper Middle Upper

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Baby Skin Care Products

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Baby Bath Time Products:

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UrbanRural

DemographicAge 0-4 5-8 8-12 12-18 18-25 25-40

40-above


Upper +


Lower Middle Middle

Upper Middle Upper

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Baby Bath Time Products

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Their long-standing commitment to pure, mild and gentle baby skin care has driven us to set a new standard: the BEST FOR BABY NATURALS™ Standard. The JOHNSON’S® Brand employs hundreds of researchers, paediatric health professionals and baby care experts. And have incorporated the insights of this core team into a rigorous new natural baby care standard.

Mother Care:


UrbanRural

DemographicAge 0-4 5-8 8-12 12-18 18-25 25-40

40-above


Upper +


Lower Middle Middle

Upper Middle Upper

In 1940s, Johnson & Johnson framed its famous credo, under the leadership of Chairman Robert Wood Johnson. The Credo made a very bold statement that “We believe that our first responsibility is towards doctors, nurses and patients, to mothers and fathers and all others who use our products and services”. The credo made the company imbibe a customer oriented culture which is now considered as a core competence. When the importance of customer service is impressed upon by the highest level of management, it becomes a culture rather than a peripheral activity of a division.

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Mother Care Products

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UrbanRural

DemographicAge 12-18 18-25 25-40 40+Income Low Middle Upper

MiddleUpper +


Lower Middle Middle

Upper Middle Upper

Clean & Clear is the skin care brand from the house of Johnson & Johnson. The brand was relaunched July 2008 marking the foray of J & J into the highly competitive skin care market in India. It is a global brand of J &J with a presence in over 41 countries.The company has rejuvenated the brand and ads are now running in many TV channels.Clean & Clear is targeting the teens. The brand has launched a series of products like cleansers, oil and acne control creams. etc .The brand is using the cleansers as the flagship product to attract the consumers. It is being positioned as a Teen Skincare expert. The campaigns are more functional oriented and the endorsement by Johnson & Johnson further strengthens the brand positioning.The brand has the tagline "Clean Clear and Confident" which has potential and flexibility for creatives to work on. In fact confidence is a virtue that will attract the attention of Teens. Teenagers

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Clean and Clear Products

SKIN CARE…

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have a view of themself as adults. So confidence can be a platform to attract these young minds into this brand.

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Segmentation and Targeting:

Neutrogena Cosmetics:

Segmentation and Targeting:

Type of Segmentation

Geographic Metro Urban Semi Urban

Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

About Neutrogena

Neutrogena Corporation, a member of the Johnson & Johnson family of companies, is headquartered in Los Angeles, California. The #1 Dermatologist recommended skincare brand, Neutrogena offers some of the world's most loved beauty and skin care lines, and manufactures and markets products in over 70 countries.

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Type of Segmentation


Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

Neutrogena Cosmetics/Hair Care

Neutrogena Cleanser/Moisturizer

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Segmentation and Targeting:Type of Segmentation


Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

For over 100 years, JOHNSON'S® has been the first name in baby care, trusted by mothers and healthcare professionals worldwide to care for the most delicate skin. JOHNSON'S® believes from the moment you're born and throughout your life you need nurturing. That's why they’ve created these JOHNSON'S® skin care products.

Everybody knows that baby skin and adult skin are very different. But only JOHNSON'S® has the experience and expertise to develop moisturizing skincare products that restore your adult skin back to beautiful baby softness.

Savlon®

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Johnson’s Body Care

WOUND CARE…

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JohnsonPlast®



Rural

DemographicAge 2-11 12-18 18-25 25-40 40+Income Low Middle Upper

MiddleUpper +


Lower Middle Middle

Upper Middle Upper

BAND-AID® Brand Adhesive Bandages aims to protect you and your children for years and they are continuously developing new products to help heal the wound fast and heal the hurt faster. They are committed to staying the #1 bandage brand for now and years to come.



Rural

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ORAL HEALTH CARE

Wound Care Products

Oral Care Products

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MiddleUpper +


Lower Middle Middle

Upper Middle Upper

Listerine globally is positioned on the germ killing plank. According to reports, when the brand was first introduced in USA, it got a lukewarm response. To pep up the sales, the brand owners devised an innovative strategy whereby they introduced the medical term for bad breath. The advertisers introduced a faux term Chronic Halitosis to describe bad breath. Consumers fearing that bad breath is a medical condition ran for the mouthwash cure.

In India too, the brand started off as a cure for bad breath. Although the brand had excellent recall, the promotion for the brand was erratic. The brand went on and off in the media and there was no significant effort from the brand to penetrate the market. The brand usage was severely restricted to certain consumer segments and the usage was also not regular.

Listerine is currently running a campaign positioning itself as a "Freshness Bomb". The new campaign is featuring MTV VJ Cyrus.

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WOMEN’S HEALTH CARE

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Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

Stayfree, which was rather complacent from being the market creator and the leader during 1989, was given a tough competition by whisper. By smart brand building, Whisper made Stayfree shudder by garnering 40% share in the market.

The last two years has seen a brilliant marketing fight between Stayfree and Whisper. Johnson & Johnson sharpened their marketing skills and regained its dominant position by waging a price war. J&J knew that P&G was burdened with high cost and it could not lower the price of Whisper. Further Whisper was positioned as a premium brand. The price was enabled Stayfree to retain the leadership position in the Rs 700 crore Sanitary Napkin market in India.

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Women’s Health Care Products

VISION CARE

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Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

Acuvue is a major brand in the Rs 60 crore contact lens market. Although the market is led by Bausch and Lomb with around 70% market share, Acuvue can be termed as the innovation leader in this segment. Acuvue, the brand of the Johnson &Johnson is a pioneer in the disposable contact lens category. Acuvue was the first disposable contact lens brand in India. The brand is the market leader in the disposable lens category.

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Vision Care Products/ Clear lens

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Rural


MiddleUpper +


Lower Middle Middle

Upper Middle Upper

The target market for contact lens category is the SEC A B in metros ages anywhere between 15-35. While the consumers aged below 20 will not have their say in the purchase of contact lens, it is the working youngsters who show the maximum potential for a contact lens marketer.

Primary need that these lenses satisfy is the need for looking good. The brand is positioned as a healthy and convenient brand stressing the comfort factor. The brand has also embarked upon an e-trial initiative to prompt the potential consumers to try out this category. Acuvue was also an innovation leader by coming out with lens that is bifocal and also color lens. One of the major innovations was the Acuvue 1-day lens that was launched in 2006. The new variant is a use and throw lens.

“Whether you want to turn heads every day, make your eyes match your mood, or just change your eye color for a special occasion, ACUVUE® 2 COLOURS™ Brand lenses has a color for you. Ultra-thin and comfortable, ACUVUE® 2 COLOURS™ lenses have ten natural-looking colors to choose from — with or without vision correction”

The target, which these marketers aim are those who will be using computers. Using lens while working on a computer will cause irritation in the eyes. This is just one example of how product problems can obstruct growth. Till the contact lens marketers sort out the product related limitations, the category is going to remain a niche.

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Vision Care Products/ Colored lens

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Marketing JnJ STP Sandhya