HIMALAYA HERBAL TOOTHPASTE MARKET ANALYSIS

AND CUSTOMER SEGMENTATION, TARGETING, AND

POSITIONING FOR INDONESIAN MARKET

MARKETING MANAGEMENT ASSESSMENT

By:

Azam Perbasa (29318393)

Monika Noor Karima (29318400)
Muhammad Akhirul Hakim (29318348)
Muhammad Rizki Prasetyo Adi (29318420)
Narita Risdianovi (29318411)
Rachmadivanie (29318396)

Master of Business Administration Program

School of Business and Management
Institut Teknologi Bandung
2019
 THE HIMALAYA DRUG
COMPANY

MARCH 06, 2019

As presented by Avengers Consulting

Azam Perbasa
Monika Nurkarima
Muhammad Akhirul
Hakim
Muhammad Rizki
Prasetyoadi
Narita Risdianovi
Rachmadivanie
Avengers Consulting Page 1

HIMALAYA HERBAL TOOTHPASTE (A):

TOOTHPASTE MARKET ANALYSIS IN INDONESIAN

RESEARCH BACKGROUND

In March 2019 Mr. Manal, the owner of Himalaya Drug Company visits Indonesia. He
thinks Indonesia has a potential market for one of his products. He really wants to introduce
Himalaya to enter Indonesian market, especially Himalaya herbal toothpaste product to
penetrate Indonesian market.

Before he entries in Indonesian market, he starts to look for a marketing consultant,

because he wants to know about Indonesian toothpaste market. so, he got a recommendation
from one of his relations to consult about the research market, how to enter his product. He
decides to be an Avengers Consultant client.

After both do some agreement and had a deal as Himalaya’s consultant, Avengers had
to do some research to know about market analysis and costumer segmentation, targeting, and
positioning for Indonesian market.

ORAL CARE INDUSTRY IN INDONESIA

Dental and Oral Health is an essential part of overall health. Poor oral hygiene can lead
to dental cavities and gum disease. Maintaining healthy teeth and gums is a lifelong
commitment. The earlier you take care of oral hygiene habits, such as brushing teeth twice a
day and flossing, the easier it’ll be to avoid costly dental procedures and long-term health
issues.
Riset Kesehatan Dasar (Riskesdas) from Ministry of Health Indonesia shows that the
dental and oral health conditions of Indonesian citizen tend to be unhealthy. The results of a
health survey involving 2,132 dentists were obtained, 57.6% of the Indonesian population
admitted to having dental and oral problems and only 10.2% received dental medical
treatment.1 Dental and oral health problems can come from various factors such as caries,
gingivitis, swollen gums, periodontitis, breath is no fresh, and the buildup plague.

1Indriyani Astuti, Kesehatan Gigi Masyarakat Indonesia Mengkhawatirkan,

http://mediaindonesia.com/read/detail/195562-kesehatan-gigi-masyarakat-indonesia-mengkhawatirkan, (accessed March
01, 2019, 05.09 PM).
Avengers Consulting Page 2

TOOTHPASTE INDUSTRY IN INDONESIA

In terms of oral care category, one of the business key in oral care industry is toothpaste.
In Indonesia, toothpaste industry has grown fast in the past several years to follow the trend of
population growth and improvement of the people's awareness of tooth health. Producers
expanded their production capacity to meet growing market demand in the country as a result
of the population and economic growth. From the chart served below from Top Brand Award,
Pepsodent has become the market leader in Indonesia toothpaste industry for several years.

Source: Top Brand Awards Index 2018 Fase 2, http://www.topbrand-award.com/top-brand-survey/survey-

result/top_brand_index_2018_fase_2.

HIMALAYA COMPANY PROFILE

The story of Himalaya began in 1930. When Mr. M. Manal. the founder of Himalaya
riding through the forest of Burma saw restless elephants being fed the root of a plant,
Rauwolfia serpentina, which helped pacify them. Fascinated by the plant’s effect on elephants,
he wanted to scientifically test herb’s properties.

At a time, when herbal products were considered skeptical, our founder’s belief in
herbal healing was very good for the future. He felt that if people were offered safe and
effective herbal medicines, they would accept them as their health care.

The Himalaya Drug Company had been in the pharmaceutical field for several
decades.2 In order to enter the consumer markets, the company had launched Ayurvedic

2“Company Profile,” Himalaya Herbal Healthcare, www.himalayahealthcare.com/abouthimalaya/cprofile.htm, (accessed

March 01, 2019, 05.20 PM)
Avengers Consulting Page 3

Concepts, which known as a popular form of alternative medicine in India that was based on
herbal ingridients. In the late nineties, Ayuverdic Concepts targeted the young urban
professional population, in attempt to create awareness of the brand. In the early years of the
twenty-first century, Ayuverdic Concepts was brought under the Himalaya umbrella brand for
several categories such as soaps, shampoos face washes, health supplements, baby products,
etc.3

HIMALAYA HERBAL TOOTHPASTE

The Himalaya Drug Company has various products, including personal care, nutrition,
wellness, himalaya for moms, animal health, and baby care. Himalaya’s personal care series
were born from the potential research of their pharmaceutical products. Himalaya’s product
offer the goodness of natural solutions for everyday use, with no side effects. Made from herbs
that are gentle and safe, our personal care includes skincare, haircare, oral care, and healthcare
products.

In 2010, 40 per cent of Himalaya’s turnover was from customer product. It had several
exclusive outlets throughout the country, and had shop-inshop counters in modern retail outlets.
Himalaya’s lead offering in toothpaste category was Himalaya Dental Cream, with natural
ingridients like neem, extra Toothache Tree, pomegranate, etc. It offered several benefits
including tightening and reducing swelling of gums, stopping gum bleeding, preventing
toothache and decay and controlling bad breath. 4 They started advertising this toothpaste in
above-the-line media with its concept “Indulge like.a child, brush like an adult.”

METHODOLOGY

Recognizance Research

This section takes into consideration sites in Indonesia, contributed to Himalaya company
especially in toothpaste market. The selected data collection sites are thirty-three provinces in
Indonesia.

3 S Ramesh, Kumar & Nitya Guruvayurappan, “Himalaya Herbal Toothpaste: Category and Brand Involvement in An
Emerging Market,” Harvard Business Review, 9B11A032, (2011), page. 4.
4 Ibid.
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Data Collecting Technique

We used some secondary data collection method. The data were collected by many
sources that we choose such as Badan Pusat Statistik (BPS), Nielsen, Mckensey, World Bank,
and Ministry of Health Indonesia.

Data Analysis and Interpretation

Before entering Indonesian market, we must be knowing well about demographic in

Indonesia. Benchmarking is finding the competitors of this product and analyze the culture of
Indonesian people relating with brushing in their teeth. The indicators of those data are using
perceptual map, porter five forces, segmentation analysis, positioning statement and business
canvas model.

MARKET ANALYSIS

Indonesia has economic growth recorded of 6,2% from the population 268.610.856
person with consumer economic condition index for 128.101 point and for household expenses
per capita growth in 928.538 at the high rate in 2018.

Indonesia Consumer Survey Index; Consumer Confidence

Index

Source: Consumer Survey Index; Consumer Confidence Index,

https://www.ceicdata.com/en/indonesia/consumer-confidence-index/consumer-survey-index-consumer-
confidence-index.
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In Asia - Pacific Oral Care Market in 2017, for house expenditure categories, the
toothpaste is higher consumption rather than other oral care products. The Global Oral Care
Market is expected to reach USD 54.6 billion by 2023, witnessing a healthy CAGR during the
forecast period. Asia-Pacific holds the major share in the global Oral Care market.

Source: Asia-Pacific Oral Care Market – Segmented by Product Type, Distribution Channel and Geography –
Grow Trends, and Forecast (2018-2023), https://www.mordorintelligence.com/industry-reports/asia-pacific-oral-
care-market.

The strong consumption has supported the growth of demand of consumer goods
include toothpaste. Toothpaste industry in Indonesia has grown fast in the past several years
influences by improvement of the people awareness of tooth health. According to Balitbangkes
Kemenkes in 2018 proposition of the behavior everyday brushing teeth in the 94.7 point.
 Avengers Consulting Page 6

The consumption per capita for toothpaste in Indonesia costumer around 250 gram and
for the price about 5 USD each. According to Nielsen Retail Measurement Services in 2018,
there has potential market share for several toothpaste brands. For example PT Ultra Prima
Abadi with Formula brand reached volume 2,975 ton to 3,276 ton, meaning that it has reach
10.1%.

SHORTLISTED ALL TOOTHPASTE BRAND IN INDONESIA

Company Brand Brand Type Type Target Consumer Brand Proposition Price Tier
With long-lasting fresh breath and whiter teeth, make you more
Ever Fresh Gel Young Adults, mostly urban Economy
confident. Intense Freshness, Intense Closeness!
Close up Gel Longlasting Freshness Breath and Whitening Natural Teeths Popular
Icy White - Winter Blast Young adults
Power White Gel Young adults For Smile so desirable, other cant help but get Closer to you Premium
Protect and take care of your milk teeth and make them strong and
Kids Paste Children Economy
healthy
Sensitive Expert Paste Consumers with sensitive teeth Reduce sensitivity in your teeth with only 30 seconds Popular
Cavities Preventer Paste Young adults Prevent cavities because of food and beverages Popular
Unilever Indonesia
With the latest technology that can give complete oral care for
Expert Protection Premium
Paste Family your family
Pepsodent Charcoal Giving back your natural white teeth Economy
Gel Young adults
With many herbal ingridients that can give you fresh feeling and
Action Herbal Economy
Paste Young adults bacterial protection
Having 3 excellences, prevent cavities, whitening your teeth and
Action 123 Paste Young adults Economy
giving freshness
Whitening Paste Young adults Whitening teeth in 2 weeks Economy
Center Fresh Gel Young adults Prevent cavities and extra sensation Economy
Health teeth care : prevent cavaties and long lasting freshness
Paste Family Popular
Fresh Spring Mint breath
Cleans teeth more cleanly and helps restore the natural white color
Ciptadent Maxi White Paste Family Popular
of teeth.
Natural herbal ingredients which can fight tooth decay bacteria,
Maxi Herbal Paste Popular
Young adults eliminate bad breath, and protect gum health.
Lion Wings Indonesia
With a double stain remover power formulation, effectively helps
Zact Paste Involved oral care customers: adults Economy
reduce tooth stains due to coffee, tea and cigarettes.
with Japanese technology provides comprehensive tooth protection
Systema Paste Young Adults Popular
and mouth freshness.
make the little one's toothbrush time become more excisting -
Kodomo Kids Paste Children Economy
Kodomo my bestfriend.
Time to gain more confidence with Formula, a toothpaste with the
Orang Tua Group Formula Paste Family Economy
latest technology.
Niche: Consumers with sensitive helps relieve pain caused by sensitive teeth while providing
Glaxo Smith Kline Sensodyne Paste Premium
teeth protection from feeling sore due to sensitive teeth.
Contains beneficial enzymes to restore the natural function of saliva
Enzim Paste Adults Economy
PT. Enzim Bioteknologi in controlling the balance of bacteria in the oral cavity.
Internusa Does not contain detergent so it does not damage the saliva and
Enzim Kids Paste Children Economy
does not cause dry mouth.
Believe in the proof. Entrust oral health with experts, Darlie!
PT. Hawley & Hazel Distribution Indonesia Darlie Paste Family Popular
#SenyumDarlie
PT. Colgate Palmolive Indonesia Colgate Paste & Gel Young Adults Colgate Total reduces the amount of bacterial plaque for 12 hours. Popular
After shortlisting all toothpaste brand in Indonesia, we know that there are seven large
companies that have been in the toothpaste business. The company that leads today is Unilever
Indonesia with Pepsodent. They have many variants of toothpaste product in Indonesia.
Followed by Lionindo Jaya with Ciptadent and Close Up which is also part of Unilever
Indonesia.
Avengers Consulting Page 7

From the shortlisted toothpaste brand in Indonesia, it shows the differences between
each other brand such as type of the product, target market, brand proposition and price tier.
This shortlisted toothpaste brand was made by collecting the data from each brand website,
analyzing the advertisement and also searching for the price.

PERCEPTUAL MAP

This perceptual map show us the distribution of all toothpaste brand in Indonesia based
on their price tier in the market (x-axis) and their brand proposition which showing the benefit
of the product (y-axis). The price tier divided into three categories, economic, popular and
premium. Economic tier is the toothpaste product which have price below 20.000,00, popular
tier is from 20.000,00 up to 30.000,00 and the premium tier is above 30.000,00. The benefit of
the product divided into two, emotional benefit and functional benefit. Emotional benefit is
shown in the brand proposition of the product that giving emotional effect, such as freshness
and make your confidence increasing. Functional benefit is shown in the brand proposition of
the product that giving the customer needed for their oral care problem, such as sensitive teeth.
Avengers Consulting Page 8

From this toothpaste brands perceptual map, many toothpaste products, (20 out of 24
products), was concern to give emotional benefit to their customers and the price tier is from
economic to popular, only one product was categorized as premium tier (Close up Power
White).

PORTER’S FIVE FORCES

Michael E. Porter, develop the influential five forces model to understand the potential
benefits of various industries and how the company can position their respective firms to gain
and maintain competitive advantage. The stronger the five forces, the lower the potential
industry’s potential profit, making the industry less attractive to competitors. The weaker the
five forces, the greater the industry’s potential profit, making the industry more attractive.
Companies should be positioned in such a way to loosen the constraints of strong forces and
utilize the strength of the weak. The goal of crafting a strategic position to enhance the
companies ability to achieve a competitive advantage. This tool enables the company to
understand their industrial environment and also shape their company’s strategy.

Source: Five Forces Model, Michael E. Porter, Competitive Strategy, (New York: The Free Press, 1980), page.
4.
Avengers Consulting Page 9

1. Bargaining power of suppliers (LOW)

• On the toothpaste industry in Indonesia, there are several product with various
kind of types. So, The Himalaya Drug Company will enter competitive market
of toothpaste in Indonesia which is consumers can choose their product freely.
As for Himalaya Dental Cream, the ingredients of 100% natural can be option for herbal
toothpaste. Herbal toothpaste also can be references to healthier life, as the listed that Indonesia
have serious dental and mouth problems.

• Graph of Proportion of Dental and Mouth Problems and Getting Medical

Services in Indonesia by Province 2018

Source: Riset Kementrian Kesehatan Republik Indonesia 2018.

In Indonesia, we can see that the condition of dental mouth problems in Indonesia is
quite high. This is an opportunity for the The Himalaya Drug Company to enter the Indonesian
market as a solution for dental and oral problems.
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In the data below, we can see the willingness to consume on personal care is quite high.
So it will be chance for Himalaya Dental Cream to entering the market with their unique and
differentiation ingredients in herbal toothpaste.

Average per capita expenditure per month according to

group of goods (rupiah), 2013-2017
Keperluan pesta dan upacara
Pajak pemakaian dan premi asuransi
Barang yang tahan lama
Pakaian, alas kaki, dan tutup kepala
Biaya kesehatan
Biaya pendidikan
Aneka barang dan jasa
Perumahan, bahan bakar, penerangan, air

0 50 000 100 000 150 000 200 000 250 000 300 000

2017 Kota+Desa 2016 Kota+Desa 2015 Kota+Desa 2014 Kota+Desa 2013 Kota+Desa

Source: Indonesia’s Central Bureau of Statistics.

Graph Indonesia – Share of Each Sector in Household Total Consumption, by

Consumption Segment (%)

Source: Datatopics Worldbank On Indonesian Consumption,

http://datatopics.worldbank.org/consumption/country/Indonesia.
Avengers Consulting Page 11

COMPARISON OF TOOTHPASTE AVERAGE

INDONESIA AS OF FEBRUARY 2019

30,000

25,000

25,000

25,000
20,000

20,000

17,000
15,000

15,000

15,000
14,000
12,000

10,000
For Himalaya Dental Cream, we can summarize from the price comparison above can
be an opportunity to enter the Indonesian market. The average price of toothpaste in Indonesia
ranges from 15,000-25,000 and based on consumption data in personal care the community
still considers it natural to buy Himalayan Dental Care especially with ingredients that are
100% safe.

2. Buyer Power (HIGH)

Purchasing power parity on this toothpaste market is high based on consumption on
toothpaste (mirroring as personal care) is rising by year to year.

Value of Consumption on Personal Care to Total

Consumption in Indonesia, February 2019
0.3500
0.3000
0.2500
0.2000
0.1500
0.1000
0.0500
0.0000 Persentase thd Total (4)
SABUN MANDI…

VITAMIN…
OBAT…
PEMBERSIH/PE…
HAND BODY…

PARFUM

SABUN WAJAH
ALAS BEDAK

LIPSTIK

CONDITIONER
KAPAS

BEDAK BAYI
BEDAK

PASTA GIGI
DEODORANT

MINYAK RAMBUT

PELEMBAB

SHAMPO
SIKAT GIGI
SABUN MANDI

Source: Survey Konsumen Bank Indonesia February 2019 (Unpublished)

We can see that consumption on toothpaste quite high rather than others. It is stated
26,51% on total spending.
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3. Threat of New Entrants (HIGH)

On this toothpaste industry, there are low entry barriers to enter the Indonesian market.
There are several toothpaste with different types and prices. The Himalaya Drug Company,
will enter the market as a herbal toothpaste which there are no competitors on this toothpaste.
So, it will be uniqueness of Himalaya Dental Cream. Customer can choose Himalaya Dental
Cream as their herbal toothpaste, not only on the its flavor but also the whole ingredients are
100% vegetarian. To enter the Indonesia market, The Himalaya Drug Company has to
understand the Indonesian consumer market.

Graph Annual Consumer Spending in Indonesia

Source: Canback Global Income Distribution Database (C-GIDD); Indonesia’s Central Bureau of Statistics;
2011 McKinsey Survey of 5,500 Indonesian Consumers; McKinsey Global Institute Analysis

Yet, Indonesian market is very complex. As a multinational company, The Himalaya

Drug Company have to understand the preferences. Based on the data result from McKinsey
Survey, they divided Indonesian preferences market into:

Brand Preferences
Indonesian are more attached to the brand than any country. But, the customers rarely
aware of brand ownership. So multinationals aren’t at a disadvantage, provided they can
develop a brand position that resonates with local buyers.
Avengers Consulting Page 13

Urban Dynamics
Indonesia scattered over 17,500 islands where tastes and preferences vary.
Understanding their dynamics and differences is crucial. Many product groups have achieved
substantial levels of household penetration nationally but that regions vary in meaningful ways.
Successful companies will increasingly need to localize products and value propositions while
crafting portfolios of local and global brands. That may sometimes require partnerships with
local players. Successful companies will increasingly need to localize products and value
propositions while crafting portfolios of local and global brands. 5

Product penetration varies dramatically across products and regions.

Source: McKinsey Survey of 5,500 Indonesian Consumers; McKinsey Global Institute Analysis

By embracing the nation’s complexity and diversity, global companies can position
themselves ahead of Indonesia’s rising consumer wave.

4. Threat of Subtitutes (HIGH)

• The most contentious ingredient in toothpaste is fluoride. Over the years, a
smaller group of holistic dentists have raised concerns about potential
neurotoxicity of fluoride in toothpaste. While too little fluoride is linked to tooth

5 Arief Budiman, Heang Chhor, & Rohit Razdan, Understanding The Diversity of Indonesia’s Consumers,
https://www.mckinsey.com/featured-insights/asia-pacific/understanding-the-diversity-of-indonesias-consumers
(accessed March 01, 2019, 07.34 PM)
Avengers Consulting Page 14

decay, a recent study found that drinking water might actually contain too much
of it, which could cause dental and bone disease, especially fluoride in really
high amounts.
• Therefore to reduce the use of toothpaste that contains fluoride, replace the oral
care product with natural and without chemical ingridients can be an option. It
may be benefit for The Himalaya Drug Company, well-known as herbal
company, to provide their product to consumers in Indonesia. Also, it is
important for the company to convince consumers that the ingridients used to
make the product safe for consumption and does not harm consumers. In order
to compete in Indonesian market, the company should keep improve their
manufacture and marketing aspects.

5. Rivalary Among Existing Competitor (HIGH)

• According to data result from Nielsen for toothpaste category 2015-2018, top
foue manufactur in toothpaste market are Unilever Indonesia (Pepsodent and
Close Up), Lionindo Jaya (Ciptadent), Orang Tua Group (Formula) and Glaxo
smith Kline (Sensodyne). Unilever dominate the market with 2 brands:
Pepsodent and Close Up and become the most powerful competitior for The
Himalaya Drug Company.

INDONESIAN CUSTOMER CHOICE ON TOOTHPASTE 2015-2018

90.00%
80.00%
70.00% 78.70%
60.00% 70.80%
64.60%
50.00%
40.00% 47.70%
30.00%
20.00%
10.00% 14.50%
7.50%7.20%7.80% 4.50%4.70%4.50% 6.70%5.30%5.20% 5.10% 4.80%
0.00%
2015 2016 2017 2018
PEPSODENT CIPTADENT CLOSE UP FORMULA

Source: Indonesian Customer Choice on Toothpaste 2015-2018, Nielsen (Unpublished)

Avengers Consulting Page 15

• Although is easy to produce the product, the toothpaste industry is a very high
barrier to gain share in the industry. But, since Himalaya’s lead offering in the
toothpaste category was Himalaya Dental Cream, with natural ingridients like
neem, extracts of Toothace Tree, pomegranate, etc, it will be a new market for
Indonesian customer. Targeted the young urban professional in attempt to create
awareness of sustainable environment.

SUPPORTING FACTORS AND OPPORTUNITIES

Several supporting factors listed below to entering the Indonesia Market such as:

1. Indonesian toothpaste consumption per capita is quite big (250 gram)

2. Based on Perceptual Map, there are still many chances to sell toothpaste products in
functional benefit both economic, popular or premium tier. Make product in emotional
benefit also still good chances but the option is only product with emotional benefit with
popular tier or premium tier. Because in emotional benefit with economic tier already
many competitors play in that area.
3. To give value proposition for the quality contain 100% Herbal from the Himalaya Brand
would reach niche market concern customer needs in healthy life with low chemical
consumption.

The opportunity to expand Himalaya to Indonesian market is still big chances, because we
see in perceptual map, many competitors are focusing to play in same area (emotional benefit
and economic tier). There are many area that Himalaya can penetrate the product such as
functional benefit with economic to premium price tier or emotional benefit with popular to
premium price tier.

SUGGESTION
Our suggestion is to enter Indonesian market, because there are still many chance and
big opportunity to fulfill the needs of toothpaste in Indonesia. Based on the population
Indonesia has potential market and potential target customers compare other to Asian countries.
The Himalayan Company need a Proper Business Partner, whenever trying to reach
Indonesia deep market finding proper stakeholder partner who have more experience,
compliance through governance regulation in retail industry. Entering new market would be
better adopting penetration pricing strategy and developing market impact compare with
existing brand.
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HIMALAYA HERBAL TOOTHPASTE (B):

SEGMENTATION, TARGETING, AND POSITIONING FOR
INDONESIAN MARKET

SEGMENTATION ANALYSIS

Market segmentation is to identify and delineate market segments or “sets of buyers”

which would then become targets for the company's marketing plans. The market can be
subdivided by geographic, demographic, psychological, psycho‐graphic or behavioural
variables.

GEOGRAPHIC SEGMENTATION

Source: Indonesia’s Central Bureau of Statistics Based on Basic Health Research conduct by Health Research
and Development Institute of Ministry of Health on 2007 and 2013.

From this map, we can see the combination of distribution population density of
Indonesia in 2017 with their habitual brushing teeth everyday in 2013. In general, we can know
the potential area is the area with high density population and having high percentage of
brushing teeth everyday, because there will be bigger volume and bigger market for our
product. In this map, we can see some area which categorized as a potential market (more than
90% brushing teeth everyday and high density population) such as West to East Java, Bali,
North and West Sumatra, Lampung, South Kalimantan, West Nusa Tenggara, Gorontalo and
North Sulawesi.
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CUSTOMER PERSONAS

For Himalaya, we can divide the segmentation as below ;

1. Housewives

Housewives focus on parenting and taking care of her home. They had behavior of
buying that suit the whole family needs. They buy on home product including the toothpaste
that can covered up all the function for their family.
Housewives are family oriented that also impacting buying decision. They usually been
thinking on trying on new product that can give all the function on a reasonable price. With her
life as a wife and mother they also want to give the best care for their family.

Source: Indonesia’s Central Bureau of Statistics

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In Indonesia, based on data Indonesia’s Central Bureau of Statistics there are

39.918.919 housewives out of 268.610.856 population as per 2018. Means that Himalaya can
target the segment about 14% of total Indonesian population.
Tendecy housewives to buy new product are low because they will considering the
benefit of the product for themselves nd their family. The Himalayas can be an option where
housewives allocate expenses to buy toothpaste that leads to a healthier life for their family.
2. Workers
This workers segment divided by gender, male or female.Usually in productive age for
searching money. They are busy with working life and not really concern about what they are
consume,. Its habit leads to unhealthy life an tend to reduce their endurance. When choosing
personal care product to fulfill their needs, they consider the price, reputation, and the function
of the products. The quantities of the products they buy usually just for themselves.

Source: Indonesia’s Central Bureau of Statistics

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In Indonesia, based on data Indonesia’s Central Bureau of Statistics there are

109.541.583 workers out of 268.610.856 population as per 2018. Means that Himalaya can
target the segment about 40,78% of total Indonesian population.
Tendecy workers to buy new product are quite high. The Himalayas can be an option
where workers allocate expenses to buy toothpaste with healthy ingridients to balance their
unhealthy consumtion.

3. Elders
This Elders segment is mostly already married people and divided by gender, male or
female. They are not in productive age for searching money. They are really concern about
what they are consume to make them stay healthy. They are usually avoid chemical ingridients.
When choosing personal care products, they consider the the function of the products that
specifically fit their needs. The quantities of the products they buy usually just for themselves.
Source: Indonesia’s Central Bureau of Statistics

Source: Indonesia’s Central Bureau of Statistics

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In Indonesia, based on data Indonesia’s Central Bureau of Statistics there are

12.301.599 elders out of 268.610.856 population as per 2018. Means that Himalaya can target
the segment about 4,58% of total Indonesian population.
Tendecy elders to buy new product are low because they have specific needs for their
health. The Himalayas can be an option where elders allocate expenses to buy toothpaste with
showing all the health benefit that elders can get.

TARGET MARKET
Based on customer personas, we can conclude that our target market are housewives
and workers. We see 2 target market, housewives and workers having the same need and
purpose whichs is trying to find and consume products with healthy benefit. The elders also
want to find the product with healthy benefit to but they have specific need, that’s why we do
not choose them as the target market. Housewives and workers also have big volume as target
market. Based on previous perceptual map, Himalaya can penetrate the products such as
functional benefit with economic to premium price tier or emotional benefit with popular to
premium price tier. In order to showing our healthy and natural ingridients features, we suggest
to make the product especially Himalaya Dental Cream in emotional benefit with popular price
(considering the capability of Indonesian buyer).
From the geographic map segmentation, the potential market (more than 90% brushing
teeth everyday and high density population) are West to East Java, Bali, North and West
Sumatra, Lampung, South Kalimantan, West Nusa Tenggara, Gorontalo and North Sulawesi.
We suggest to penetrate Himalaya product to our target market in these area because these area
have high awareness of brushing teeth.
To reach these two target market, we suggest to use direct and indirect marketing, direct
marketing for housewives such as making health event in modern market and for workers in
offices to make brand and product awareness. For indirect marketing such as approaching the
dentist and hospital to distribute our product and also advertising through television and
advertising board on the streets.
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POSITIONING STATEMENT

“For healthy life seekers, Himalaya Dental Cream is herbal toothpaste for you. Its
ingridients balance your body needs. Unlike other toothpaste Himalaya Dental Cream is
natural, non-chemical and healthy.”

THE BUSINESS MODEL CANVAS

Avengers Consulting Page 22

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Avengers Consulting Page 24

            This paper is compiled by Avengers Consulting GM 8 SBM 2019. The company would like to
acknowledgement the contribution of Rachmadivanie and Muhammad Akhirul Hakim in providing
description about brand competitor in Indonesia oral care industry and perceptual map analyst,
also the work of Monika Noor Karima and Azam Perbasa for the Porter’s Five Forces Framework and
Positioning Statement Creator. The market analyst data with complimentary data gathered by
Narita Risdianovi. Segmentation is processed and analyst together with Muhammad Rizki Prasetyo
Adi as the team leader. All team member conducted in decision making, also share equal weight in
composing the paper and provide a plagiarism statement for this work.