IPA Effectiveness Awards	1998
	Institute of Practitioners in Advertising, 44 Belgrave Square, London SW1X 8QS, UK Tel: +44 (0)171 235 7020  Fax: +44 (0)171 245 9904

It means I can put my hand up a chicken one minute and feed my baby the next: How Carex made this possible

THE SITUATION

Today Carex is one of the fastest growing brands in the personal wash category. Year on year it outperforms the liquid soap market by 19% and is now the number one liquid soap brand with sales of over £8.9 million in the last year (52 w/e Feb 98: Source IRI INFOSCAN).

This paper sets out to demonstrate how an advertising campaign not only helped to launch a liquid handwash but in doing so, transformed a commoditised category and created an entirely new premium added value category. It shows how brand advertising ensured that Carex handwash has been able to maintain leadership of this new antibacterial category for over four years elevating it to overall market leader in Summer 1995.

Until 1993 the liquid soap market in the UK had been stagnating. Sales had been relatively flat for a number of years. To compound the situation, own label products were increasingly commoditising the market. There was a distinct lack of innovation.

Liquid soaps firmly positioned themselves in the bathroom and were differentiated by cosmetic properties such as fragrance or colour. Silvrikin Supersoap was the key brand in a market distinguished by extensive repertoire purchasing (see Figure 1 ).

Significantly for Cussons, liquid soap products did not offer any distinctive functional benefits to the consumer. Cussons identified the opportunity for an antibacterial moisturising liquid handwash based on the success of similar brands in the US. They developed Carex handwash, an everyday product with a unique proposition based on rational as well as emotional consumer benefits which promised to tackle dirt, germs and lingering smells in a single handwashing, leaving consumers with fresh clean hands.

TABLE 1: DIFFERENTIAL POSITIONING OF CAREX AT LAUNCH

ADVERTISING OBJECTIVES

The brand concept was new to most consumers, whose frame of reference for liquid soaps was firmly established on aesthetic and emotional benefits. The launch communication task was to introduce a new product, with new benefits and a new set of brand values to a public who were not yet aware of the product need.

In terms of brand values Carex was to reflect:

• efficacy
• modernity
• no fuss

Cussons wanted to establish a brand personality that was friendly, modern, approachable, sensible and relaxed. A brand that would avoid being dismissed by the cynical as a Howard Hughes product.

The advertising had a number of clear objectives to achieve.

• To educate consumers about the importance of removing germs from hands
• To generate awareness of new Carex antibacterial and moisturising handwash as the solution
• To encourage trial of the brand among liquid soap users and non users

The targeting strategy

Extensive attitudinal and psychographic research among users of antibacterial cleaners and liquid soaps identified the opportunity for a hygiene product. The product concept was tested among a sample of housewives and it appealed to both heavy users of bar soaps and those already using liquid soap products. Therefore the concept had the potential to attract new and existing users to the brand.

Further analysis on TGI established a relatively broad core target audience, defined as ABC1 housewives, 20-44 years with children. This group frequently came into contact with germ sensitive situations such as baby care, waste disposal, care of pets and food preparation and would be the primary purchase decision makers.

The creative challenge

The innovative positioning aims of the brand summarised in the chart below raised a number of creative issues (see Figure 2).

Carex was the first toiletry product to claim the 'antibacterial' function in the United Kingdom. This posed a unique communication challenge. Development research undertaken in February 1993 concluded that consumers were unclear as to what an antibacterial product could offer and in what context it was to be used. The antibacterial need was latent among the target market, however, when explained effectively, the 'antibacterial' proposition provided the rationale for the superiority of Carex over 'ordinary soaps'. The antibacterial claim provided non users with a reason to reassess the functional relevance of liquid soaps.

This was new territory for most consumers. Products in other germ kill markets such as Dettox and Domestos had tackled germs in the environment, Carex was more intimate in its focus on personal hygiene. The creative proposition had to effectively communicate a rational and serious message sensitively and without being alarmist.

This was achieved by establishing a delicate balance between antibacterial and moisturising benefits, reassuring consumers that Carex would clean and care for hands. If the commercial could communicate Caring Protection, the 'care you need' story could be developed into the stronger 'care you want' message (see Figure 3).

The totality of this communication strategy ensured the long term strength and extension potential of the brand.

The creative solution

Research of three initial concept ideas illustrated the importance of the tone and personality of the advertising. There was a need to be explicit about the product's benefits without losing the balance of the proposition. This would prevent the perception that 'it's just like soap' or 'its like Dettol'.

The more traditional informative approach quickly led to alarm among consumers (Mike Imms Research 1993). The solution was to create an empathetic creative style that housewives could relate to. It did not make them feel guilty about cleanliness but gave them a positive solution which could make them feel good about themselves in their role as 'Mum'.

The commercial also challenged consumer conventions in a number of ways. It directly challenged the traditional consumer experience of liquid soap usage by placing the product in a kitchen environment. This environment was more synergistic with the antibacterial proposition as it was in the kitchen that Mum was acutely aware of her lack of control over the arrival and transmission of germs. It was a familiar place at the heart of the home where there was a real job to do. Carex could make the difference.

Importantly, the commercial challenged consumer convention by using someone with little experience in the kitchen. A husband. Consumers recognised and became involved with the incompetent character while the latent need for the product was realised through the demonstration of the messy everyday household chores.

The potency of the message is encapsulated in the demonstration of a sequence of scenarios which took the viewer through a purification process; from the dirty jobs through to the preparation of food. Carex is then presented as the simple solution.

The final core creative ingredients were:

Humour and music, carefully employed to balance the serious, germ removing message.

A focus on the kitchen, involving the consumer in a sequence of familiar situations where everyday germs are present.

The creation of a unique brand personality which was approachable, friendly, trustworthy and down to earth.

The executional style put germs in perspective, had the right tone of voice and set antibacterial in an everyday context. The product is thus sensitively demonstrated, the benefits communicated and the brand values established. Everyday people, everyday situations, everyday solution.

The launch creative continued to be both relevant and successful throughout the period. TABS tracking confirmed the continuing relevance of the creative despite considerable pressure from competitive liquid soap launches such as Dettol and Sanex. Even in 1996, after three campaign bursts, 49% of those aware of the advertising said it made them a little or a lot more likely to purchase the product in the near future.

Source: HPI Tracking September 1996

Brand penetration and awareness increased beyond expectations but there was still a large number of new users to encourage into the category. Therefore the liquid soap communication issues and objectives remained the same.

The media strategy

As the anti-bacterial liquid soap category did not exist in 1993, Cussons decided to test the product concept before committing to a national launch.

TV was chosen to provide a broad base of awareness. The planned weight of activity reflected the need to create awareness of a new category (not simply a brand launch into an existing category).

The Carex Liquid Soap test campaign ran between July and September 1993. A two-weeks-on/two-weeks-off strategy was employed, to provide campaign longevity and to enable the supermarkets to re-stock if the product was selling well.

The Anglia TV region was chosen as the test area. A total of 886 (housewives with children) TVRs were transmitted (reaching 90% of the target audience and 88% of all housewives.) The launch airtime used 30" and 10" executions in equal rotation.

The success of the Anglia test prompted Cussons to roll-out to a national campaign. Tracking research undertaken to assess the campaign concluded, 'that the advertising for Carex had had a large impact on the market' communicating with greatest effect among the core target audience. A national campaign structured to identically match the test launch was delivered in March 1994. A total of 881 (HW with children) TVRs were delivered in three two week bursts across March, April and May.

The positive results again enabled Cussons to invest behind further activity later in 1994. 632 TVRs were run in September. The airtime was now increasingly skewed towards reaching working housewives and working mums. The core users of Carex were becoming noticeably mid-upmarket (ABC1C2) and biased towards the South East. Channel 4 peak airtime was identified as being vital to delivering a working audience and was used more extensively in the September burst.

The lower weight of ratings (versus launch) was driven more by budget restrictions than by media planning considerations.

The next Carex Liquid Soap activity ran between July and September 1995. The campaign weight returned to 860 (designed to reach 90% of mums, working mums and 85% of all housewives.) The airtime was now much more concentrated into peak airtime (5.30pm-11.00pm). Over 70% of all airtime was delivered in peak. Some 40% of all airtime fell between 8.00pm and 11.00pm reflecting the need to reach a working audience.

Tracking identified that awareness of Carex and Carex advertising dipped significantly between bursts. As Cussons did not have the budget to sustain year-round TV activity, alternative media strategies were investigated in 1995.

Magazines were introduced as a secondary medium to the core TV activity. They were introduced in order to communicate and strengthen the efficacy messages of the campaign in the light of launches by Dettol and the expected launch of the US product Safeguard. The campaign used a mixture of family and working housewife titles - a combination of women's weeklies, practical housewife monthlies and glossy monthlies.

The increasing importance of London (28% of Carex Liquid Soap sales in 1996) led to a revised TV strategy in 1996. London (and the South East) were upweighted versus previous activity. The 1996 campaign ran July-September again employing the successful two-weeks-on/two-weeks-off strategy.

Due to the impressive impact of the first magazine campaign money was re-apportioned from TV into magazines. The TV burst delivered 640 TVRs while the press spend was increased 50% (see Figure 4).

EVALUATION

Analysis of liquid soap sales shows that Carex has been largely responsible for the impressive incremental growth of the liquid soap market. The campaign was fundamental in establishing Carex as a leading brand and has been central in the development of an entirely new antibacterial category (see Figure 5).

Subsequently no less than 15 handwashes offering the same antibacterial product proposition have been launched and the antibacterial liquid soap category alone is worth over £12 million a year. A survey of the packaging of these 'me too' products illustrates that Carex has dictated the visual cues of this new antibacterial category.

Qualitative evidence suggests that the Carex advertising played a significant part in establishing the need for 'germ cleanliness' on a mass market platform.

Consumers frequently express their need for this type of product by 'playing back' the scenarios featured in the advertising.

It means I can stick my hand up a chicken one minute then feed the baby the next

Fifth Dimension bodywash development research

This brand strength has continued with Carex leading the branded market and own label's share dropping significantly over the period.

TABLE 2 : CURRENT LIQUID SOAP BRAND SHARES

By the end of 1994 Carex had had sales of £2,348,444 and awareness peaked at 43% rising to a peak of 59% awareness and £707,288 sales p.m. after the 1996 burst. Data supplied by IRI INFOSCAN and TABS ad tracking service illustrates the impact of the liquid soap advertising on brand awareness and hence sales, with a strong correlation between advertising periods and peaks (see Figure 6).

Furthermore, analysis of the relationship between advertising spend, brand awareness and sales illustrates the increasing efficiency of the campaign over time. Despite a drop in investment, awareness continues to build and sales growth increases.

TABLE 3

TABS advertising tracking proved that it wasn't just the brand name that was being communicated effectively. Consumers recognised the unique rational and emotional benefits of the proposition and its status as a leading brand (see Figure 7).

Quantitative research conducted by MAI (1994) also identified that it was the advertising that was driving category penetration.

Those who were aware of the advertising were significantly more likely to buy the product in the future, and rated it more highly on the key attributes than non-ad awares.

The competitive advantage enjoyed by Carex has been a function of the strong brand identity created by the campaign. New Solutions Brand Consultancy concluded from consumer research that;

Antibacterial is the key driver for Carex trial, often prompted by the advertising which highlights a latent need.

Research conducted in 1994 also proved that consumers were translating the key campaign messages into a belief that Carex was the superior choice.

It (the advertisement) makes me think that washing your hands with ordinary soap is not good enough.

Source : C1C2 Housewife (Fifth Dimension)

Even brands such as Dettol liquid soap launched in April 1995 with its vast heritage in germ removal have not been able to shake Carex from its dominance of the liquid soap market, even three years after its launch. Carex has broken through and struck an enormous chord with the consumer.

But this is not the end of the antibacterial story. As consumers have become more comfortable with the benefit of antibacterial products, manufacturers have seized the opportunity to expand into a huge range of product categories. Prominent examples include the introduction of over 60 products in the Sainsburys' Microban range for which they expect to get 70% penetration. The marketability of 'antibacterial' benefits has been recognised by established brands such as Colgate and Sensodyne. In recent years brands such as these have promoted antibacterial ingredients which have been in their product for a number of years.

This has not just been a marketing phenomenon, independent research data shows how the antibacterial revolution initiated by Carex changed the washing behaviour of the UK population. Hygiene has become an important issue for a lot of people, supported by the fact that 18% of the population use an antibacterial washing product (Cussons Personal Wash Usage and Attitude Study 1997).

ISOLATING THE EFFECTS OF THE ADVERTISING

In order to understand the precise financial contribution of the liquid soap campaign we need to isolate the effect of the advertising.

Data published by AGB shows that the lift in Carex's rate of sale was not due to distribution changes (see Figure 8).

Analysis of pricing shows that Carex has cost on average 15% more than the market and currently costs 25% more than any own label antibacterial liquid soap. This suggests that Carex is not price sensitive. In addition Carex's share of voice has remained relatively constant throughout the period, so competitor activity could not have impacted on sales of Carex.

In order to isolate the exact advertising effect, we tried to identify all contributory factors relating to sales. By eliminating all other effects the remaining sales can be proven to be due to advertising.

Using IRI INFOSCAN sales data we assumed that any sales for a brand are made up out of two components:

1. Long-term sales (base level) - the sales the brand will have if no other activity was happening in the market.
2. Short-term sales - short-term fluctuations in sales due to the brands and competitor marketing and sales activity in the market.

Base level (long-term) sales are made up out of three components:

• Natural sales levels achieved before advertising (through word of mouth and distribution)
• Distribution gains over the advertised period
• Long term advertising effects

Short-term sales are made up out of three components:

• Price promotions
• Short-term advertising effects
• Other in-store activity (ours and competitors) and Out of Stock

Distribution effects can be isolated by using weighted ROS instead of actual sales data. As weighted ROS (average sales per average shop) is given by IRI INFOSCAN this can be used to split base level of sales from short-term sales effects.

National advertising for Carex started approximately six months after launch. At this time distribution was still building, but by using the ROS levels base sales excluding distribution base levels of sales pre and post advertising can be determined.

The base level of sales (before advertising) could be determined by picking the sales level at a time when price activity in the market was minimal.

Using ROS the difference between the original base levels and actual sales levels were therefore due to pricing activity and advertising (both long and short term). Increases in the base level after advertising are deemed to be due to advertising effects as price effects are part of short term effects and distribution is already excluded from ROS. The clear increases in base levels of ROS show the long-term effects of advertising for Carex (see Figure 9).

Price effects (short term) were eliminated using price sensitivity analysis. This determined the sales (ROS) effect of each 1% drop in price for Carex compared to the market average. By comparing it to the market average the Carex product price was put in direct relation to our competition and therefore this also took into account competitors' price activity on our sales.

By subtracting the base level sales and the sales due to pricing activity we can determine the sales effects of advertising over a campaign (short-term effects).

Another interesting effect of the advertising was that because the brand had increased its relevancy (and brand status) due to advertising, promotional activity after advertising was more efficient than before advertising. This meant that identical promotions for the Carex brand delivered almost double the returns after advertising. New variants launched after the advertising immediately benefited from this increased efficiency.

To determine the actual sales levels the sales ratios found using ROS were applied to value sales and distribution gains could be taken into account. All distribution gains have been excluded from the effect of advertising. In reality some of these gains will have been due to advertising but as the exact percentage is difficult to determine it has been excluded from this analysis (see Figure 10).

This equates to £3.4 million in the 12 months to May 1997 compared to an average yearly advertising investment of £1.5 million. If Cussons had invested their £1.5 million a year advertising budget in a building society savings account from March 1994 to May 1997, they would only have made £659,915 over the period.

FOUNDATIONS FOR GROWTH

The Carex Liquid Soap advertising has been responsible for reinstating premium branded products in a market characterised by lack of innovation. Furthermore, it has helped to revolutionise the personal wash market with its creation and leadership of an entirely new mass market product genre, Antibacterial.

The long term monetary value of Carex to Cussons has still to be fully demonstrated. By investing in the creation of a completely new brand through advertising, they have created a burgeoning market and a brand leader with a strong brand identity capable of extension into a number of other personal wash arenas.

As early as 1995, Cussons identified Carex's NPD potential. Through qualitative development research, a 'bodywash' concept was developed which would enable the brand to move into new areas of the home. The 'Carex Personal Wash' challenge would be to translate the brand's 'kitchen based' functional benefits into relevant and motivating 'bathroom based' benefits. In the 12 months to April 1997, there had already been £7,691,936 of Carex Personal Wash sales with the launch of bar, bath foamwash and bodywash products.

This will be the true value of the Carex advertising to Cussons. By making 'antibacterial' products a mass market proposition the advertising created the opportunity to extend Carex into the wider personal wash arena. This will be achieved by building on the unique brand identity established by the advertising.

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© IPA, Institute of Practitioners in Advertising, London 1998