Neutrogena is one of today’s industry leaders in the facial cleansers and has been introducing new products that differentiate themselves in the market. Recently, Neutrogena launched its latest product, SkinID. This product delivers a customized acne solution to the mass market, something that is unique to the current products available to consumers. This new acne solution system boosts that after using the breakthrough skin care evaluation tool that acts similar to an office visit with a dermatologist, it recommends the best combination of products right for each individual skin type.
This product specializes in customization and goes back to the early strategy of niche marketing that Neutrogena used to establish their place in the cleanser market. This strategy proved to be successful as the Neutrogena Company grew and was bought out by Johnson & Johnson in 1994. Market leadership can be explained by the growing number of companies attempting to emulate Neutrogena’s products and success. By just visiting their website the level of niche marketing is evident when the site is immediately divided up by target market segments: teens, woman and men.
This method has proven profitable for Neutrogena as evidenced by Johnson & Johnson’s annual report which stated that, “The Skin Care franchise sales grew by 10. 8% to $3. 4 billion in 2008. ” Another aspect of Neutrogena’s strategy that’s has attributed to the success of their cleanser product lines is effective marketing. Neutrogena has used celebrity endorsements as a way to establish an identity for their brand and products. Some celebrities include Hayden Panettiere, Vanessa Hudgens, Jennifer Garner and Jennifer Love Hewitt.
By using young, fresh faces to promote the brand, people equate youth, beauty and flawless skin with the Neutrogena products. This not only helps sell products but helps to create brand loyalty among the target users. This type of advertising has been successful for Neutrogena. By analyzing the competition and understanding how Neutrogena has found success, Garnier could better position their new product line and attempt to capture some market share from Neutrogena. By combining proper positioning and advertising, Garnier could establish their new product line as a household staple, rivaling popular brands like Neutrogena for market share.