Youth Consumption and Fragrances - Essay Example

Youth Consumption and Fragrances INTRODUCTION The fragrances market is the third largest business after skin care, hair care and colour cosmetics globally. This segment generated total sales of US$30.5 billion in 2006. The consumption of fragrances is an essential component of youth consumption. Young people want to smell good always. Interestingly, the next most important thing for a teen-ager after looking good is that of smelling good. The demand for fragrances by young people for celebrity scents and youth-oriented perfumes has been growing at a steady rate. The premium fragrances chalked up revenue of US$18 billion in the United Kingdom, accounting for 60% of the market. But the new and cheaper mass brands have registered the highest growth in percentage and absolute levels. The perfumes and fragrances segment have targeted the younger age groups particularly the teen segment. The teens whose ages range from 13 years old to 19-years-old have a total population of 860 million all over the world. These teens have a bigger purchasing power than most of the generations before them. The teens’ market is valued at US$250 billionannually worldwide, based on studies done by Euromonitor International. This market segment is a wealthy and sophisticated segment which bodes positive prospects for premium fragrances and celebrity scents. Indeed, celebrity scents have increased the profitability and the resilience of the perfume and fragrances industry on a global sale. Celebrity scents base itself on the established image of an actress or performer and it guarantees a deep consumer base. Hence, this helps fragrance makers to reduce marketing and promotions expenses. Young people look for celebrity scents since they want to imitate their favorite R & B performers, Hollywood actors and actresses and musical artists. Having a good and pleasant smell is a status symbol and an example of making a good impression on one’s friends and on one’s sweetheart. The basic barometer is this: that what smells good is good, and that what smells bad is bad. The fragrance industry exemplifies that fact that smell is a reflection of material culture and it enhances the olfactory senses of persons. The fragrance market as a whole is composed of these sets: (1) soaps and detergents (in which scents are added in a particular way) (34%); (2) cosmetics and toiletries; and (3) others (air fresheners, polishes, foods, and others) which are designed to convey an unconscious scent experience. (41%). The market is equally shared between flavors (51%) and fragrances (49%). Perfumes, fragrances and deodorants are part of a global beauty business that has been pegged at US $160 billion dollars a year with a very high annual growth rate of 7%. The seven percent growth rate is higher than the growth rate of the Gross Domestic Product (GDP) of the world’s developed countries. The estimated global market in 2008 for the perfumes and fragrances segment is pegged at US $15 billion dollars. The Japanese market accounts for US $4.5 billion (Fuji Keizai, 2002, “Fragrance,” p. 145). The industry spends from 20 to 25% of its overall operating revenues on advertising and promotions globally. For instance, a new and good fragrance product which is recently launched can easily hit an income of US $30 million during the first quarter of sales. Thus, perfumes and fragrances is a highly lucrative business segment. Fragrances are the profitable part of the business done by the haute couture houses. These fragrances are inextricably linked to fashion images. These fragrances provide new consumers with an entry point to high fashion products also. Fragrances are a key component of the fashion industry and each fashion house produces (or licenses under its name) a series of perfumes, each of which is targeted at different consumer segments. In a sense, fragrances should be regarded either as part of a single product range, on the one hand, and as positioned against a range of competing brands (such as Chanel, Guess, Givenchy, Calvin Klein, Christian Dior and Shiseido). Marketing strategies are refined and developed as new fragrances are introduced in the global market every year. The classic perfume and fragrances have already built a loyal coterie and base of clientele. YOUTH CONSUMPTION OF FRAGRANCES Youth consumers have little brand loyalty among perfume users who follow trends and fashions. New scents will be tried simultaneously and, if liked, used in rotation, depending on feeling and TPO (time place occasion). The young people also prefer the smaller 15ml and 20ml spray-type bottles (Fuji Keizai, 2002: 154). Both trends, and the concept of time itself, are indispensable components of the fragrance industry. Other perfume brands were perfume brands named after world famous fashion designers such as Giorgio Armani, Nina Ricci, Coco Chanel, Hanae Mori, Salvador Dali, Naomi Campbell, film stars Grace Kelley, Isabella Rossellini, Liz Taylor, Luciano Pavarotti and sports heroes such as Gabriela Sabatini. There are possibly 1,480 fragrances, perfumes and colognes in the United States. Estée Lauder Companies, which has 23 perfume brands, manufactures and markets the Aramis, Clinique, Prescriptives, Bobbi Brown Professional Cosmetics and Donna Karan Cosmetics worldwide. A perfume or fragrance is defined by the proportion of oil essentials it contains and the resulting staying power: Perfume: 15-30% oil essences; 5-7 hours; eau de Parfum: 10-25%; 5 hours. Eau de Toilette: 5-10%; 3-4 hours. In The Book of Perfumes, it classifies fragrances as follows: Floral: flowers; Green: the chypre family of resins, mosses, and ferns, and the green family of leaves, grasses and buds; Woody: sandalwood, etc. plus ferns, bark, lichen, roots, etc.; Fruity: blackcurrant, grape, mango etc.; and Oriental: musk, patchouli, amber and vetyver grass. In addition, Pavia (1995) classifies perfumes into the following brackets: Citrus (Citrus, spicy citrus, woody citrus, aromatic citrus); Floral (Single-fragrance floral, lavender, floral bouquet, green floral, aldehydic floral, woody floral, fruity woody floral); Fern (Fern, sweet oriental fern, flowery oriental fern, spicy fern, aromatic fern); Chypre (Chypre, flowery chypre, aldehydic flowery chypre, fruity chypre, green chypre, aromatic chypre, leather chypre). Another way of classifying it is as follows: Woody (Woody, citrus conifer woody, aromatic woody, spicy woody, leather spicy woody, oriental woody); Oriental (Woody flowery oriental, spicy flowery oriental, sweet oriental, citrus oriental, flowery semi-oriental) and Leather (Leather, flowery leather, leather tobacco). Another book (Kōsui Jiten, 1996, p. 3) categorizes perfumes into 20 different types. Seasonal Nature is composed of the Living Floral, Watery, Summer and Tasty. Life Stages is composed of Baby, Mother’s, Madame, For Bride, Emotions consisting of New Sexy, Love, Happiness and Relaxation. The TPO consists of Formal Career, and Night. Gender Distinctions is composed of Men’s Fragrance and Shared. The perfume per se is grouped as classic, precious and for beginners. A number of perfumes symbolize those associated with a floral bouquet, both in their names (Angel Innocent, Miss Dior, Venus) and in their associations (Amour Amour, Eternity, J’Adore, Youth Dew). In addition, Animale, Flirt, Libertine, Panthère, and Sirene, with associated desires like Allure, Desire, Envy, Fetish, L’Interdit, Magie Noire, Passion, Rapture, and Tabu. FIRST OBSERVATION Place: Shop Name of Employee: Dave Stewart Time: 2:00-3:00 p.m. Consumer Behavior Theory Related to this observation: This observation focus on discovering the concept of consumer motivation. Consumer motivation is an inner state that activates goal oriented behaviour. This means that consumers have to address their needs and analysts have to analyze their motives. The marketer must identify the things that people believe they ‘must’ have. They have an innate and acquired, utilitarian and conscious preference. The person’s consumer drive betrays a degree of arousal. Goals refer to the ends or aspirations that direct the action of these consumers. Involvement refers to the psychological outcome of motivation and the perceived level of personal importance or interest evoked by a stimulus within a specific situation. (Dr. Gretchen Larsen, Lecture Notes) Dave is in charge of the perfumes and fragrances section of a shop which is located in central London. He interacts closely with his regular clients to derive their personal reasons for buying a particular perfume. The young customers of the fragrances section of the shop are in the process of selecting their favorite perfumes. One student, Kate, chose the Eternity perfume. According to her, she is very motivated to buy this brand because she wants the beautiful scent even if it is a little more expensive for her age. Six months ago, when she smelled the perfume, she decided that she will remember this perfume so she can buy it in the future. After six months, she has saved up a big portion of her earnings from a fastfood restaurant to buy this perfume. Her retrieval efforts were facilitated by her familiarity with the scent. At the end of each week, she would pass by the store to smell the perfume. Her ability to buy this expensive perfume means that she is now a bonafide working professional. Furthermore, she had said that spraying the perfume on herself forms a significant part of her daily cultural rituals. She said that the perfume represents best her own set of individual aims and emotions. She likes owning several bottles of perfume. She also said that the perfumes are an essential part of her excellent personal grooming. She also sees her perfume as a symbol of novelty for the modern woman. She thinks she is unique because she perceives herself as different from others. Her main reason for buying this perfume is attain affiliation with her classmates and to enhance her self-esteem which is mainly the drive to maintain a positive view of the self Another student, Karim, said that perfumes are very important for persons who like him are from the Middle East. His favorite perfume is Lauder for Men. He said that it was his dad who had initiated him to know about the Estee Lauder line of perfumes for men. His brothers also wear the same fragrance. Furthermore, he said that the perfumes represent an essential and distinguishing mark of their cultural value. He also said that having a great perfume is part of her cultural value. Perfumes are essential whenever there are festivals and holidays. SECOND OBSERVATION Place: Supermarket Name of Employee: Catherine Plame Time: 3:00-4:00 pm Consumer Behaviour Theory related to the second observation: The teen-agers feel that perfumes and fragrances give them ‘distinction’, that is a higher status within a social group which is indicative of symbolic capital. The teen-agers embrace the embodied distinction which is manifested in their daily behaviour, manner of dress, the way of conducting yourself, speech and behaviour. (Dr. Gretchen Larsen, Lecture Notes) Catherine manages the perfumery section of a small boutique found in a London supermarket. Catherine has a regular list of clients who buy their favorite perfume brands from her regularly. One of her buyers, Ralph, dropped by to purchase a perfume item. Ralph chose Cologne Beyond Paradise by Estee Lauder for men. He states that his family members all chose the Estee Lauder line of perfumes and spray fragrances. By asking in-depth questions, Catherine was able to draw from the client some interesting insights on consumer behavior. For example, Ralph said that he was heavily influenced by the fashion systems and the cultural capital which is set and dispersed by the fashion world. This meaning is first transferred to the consumer goods. Then the meanings are ultimately imbibed by the consumers. Hence, the values of convenience and finesse which is relayed by the fashion industry is relayed to the end- consumer (client) after the same meaning is included in the conceptualization of the perfume (i.e., the meaning has already been transferred to the consumer). Ralph explained his preference for this great product. He said that the perfume is a reflection of his great self-esteem. He says that the perfume has a very positive and uplifting effect on him whenever he wears it. Moreover, he thinks that the perfume helps him to become a better person since it gives him an added sense of self-confidence. He thinks that this perfume reflects a great deal of novelty. He treats his perfume as an anti-depressant. It makes him good and special all the time. Moreover, the perfume is also one form of his means of affiliation with his co-workers in the law firm. The young lawyers in his firm all wear very expensive perfumes. Moreover, the perfume reflects his level of exceptional achievement at this point in time. THIRD OBSERVATION Place: Gym Store Name: Jerome Blasé Time: 4:00-5:00 pm Consumer Behavior related to the third observation: The consumer undergoes a memory experience in which external inputs lead a young consumer to encode information about a particular perfume in his memory. Then the consumer stores the smell of the perfume in his memory. Then the third experience is retrieval when the consumer retrieves the information from his memory. (Dr. Gretchen Larsen, Lecture Notes) The gym store is filled with young athletes who are selecting their personal perfumes and fragrances. Jim, a college varsity player explained his special perfume preferences. He liked the Cologne Intuition by Estee Lauder for Men. He said that this perfume is a very refreshing blend of rosemary, bergamot and lemon. He said that he uses this perfume in a multitude of ways such as diluting it in water, pouring it with another great perfume, drinking it and applying it to one’s whole body. Denise likes Pleasures by Estee Lauder. She thinks that she is a brand loyal member of Estee Lauder products. She said that this is an informal and a voluntary form of membership. She said that the perfume is a useful symbolic capital of her having overcome her poor beginnings from a working class district of London. This perfume is for her a reflection of her current status: she is upwardly mobile. She has been performing well in her work. She wants to improve her social status and upgrade all her accessories and perfumes and fragrances as she goes along. Analysis of the Observations There are four criteria that the teen-agers take into account when assessing their personal perfumes and fragrances: expressiveness, pleasure, and impression. The group observed 50 teen-agers equally distributed between the two sexes and one age group (15-25 years old). Smell was ranked both highest and lowest among the five senses in terms of “being sensitive” (77%) or of being not sensitive at all (23%). The female teen-agers choose their perfumes because of its sweetness, softness, clarity and freshness. The male teen-agers choose their fragrances because of its spiciness, tangyness and coolness. Traditionally, it is the dry, spicy and woody category that has dominated the male end of the fragrance market. In contrast, the female teen-agers look for characteristics of femininity, elegance, classical taste and charm from the perfumes. About 35 teen-agers chose their fragrance because they found it to be gorgeous and distinct. Women’s fragrances are shaped by sweetness based on flowers and fruit. This combination gives rise to an unmistakable sense of femininity. Men’s fragrances are dominated by tangyness taken primarily on spices which gives rise to a heavy and prevailing sense of masculinity. New impressions from the teen-agers regarding fragrances include: clarity, brightness, watery and transparent. The appearance of the perfume includes the color and design of the perfume bottle and the strength of the smell. The age of the brand also matters since newer brands are stronger. The older brands are classic. The personality of the teen-ager must match his/her perfume such as elegant, gorgeous, clever, charming, wonderful, mysterious, romantic, sexy, and extravagant. Interpretation A. Similarities Between Observations The first observation is focused on discovering the concept of consumer motivation. Consumer theory tells us that motivation is an inner state that activates goal oriented behaviour. This means that consumers have to address their needs and analysts have to analyze their motives. The marketer must identify the things that people believe they ‘must’ have. The theory covering the first observation is closely related to the theory governing the third observation. In the third observation, the consumer undergoes a memory experience in which external inputs lead a young consumer to encode information about a particular perfume in his memory. Then the consumer stores the smell of the perfume in his memory. Then the third experience is retrieval when the consumer retrieves the information from his memory. In both cases, the consumer is driven to consume from an inner impulse: the first one is from their needs, the second from the memory. The second observation is also linked to the first observation since it focuses on the “distinction” the consumer experiences after having purchased the perfume. The teen-agers feel that perfumes and fragrances give them ‘distinction’, that is a higher status within a social group which is indicative of symbolic capital. The teen-agers manifest an embodied distinction which is manifested in their daily behaviour, the manner of dressing, the way of conducting themselves in speech and behaviour. The first observation focuses on the consumer needs and this becomes a reality when the consumer feels the “distinction” after having obtained the product in the second observation. The second observation is also linked to the third observation since it focuses on the “distinction” the consumer experiences after having purchased the perfume. The function of the memory is to store the external input, the smell of the perfume to arouse the inner needs of the consumer that moves her to purchase the perfume. The teen-agers feel that perfumes and fragrances give them ‘distinction’, that is a higher status within a social group which is indicative of symbolic capital. In the third observation, the consumer undergoes a memory experience in which external inputs lead a young consumer to encode information about a particular perfume in his memory. Then the consumer stores the smell of the perfume in his memory. Then the third experience is retrieval when the consumer retrieves the information from his memory. B. Differences Between Observations The second observation is different from the third observation since it focuses on the “distinction” the consumer experiences after having purchased the perfume. The distinction stage refers to an after purchase state. The third observation focuses on a situation before the actual purchase of the perfume. The second observation is different from the first observation since it focuses on the “distinction” the consumer experiences after having purchased the perfume. The teen-agers feel that perfumes and fragrances give them ‘distinction’, that is a higher status within a social group which is indicative of symbolic capital. The teen-agers manifest an embodied distinction which is manifested in their daily behaviour, the manner of dressing, the way of conducting themselves in speech and behaviour. The first observation focuses on the consumer needs which is just the first step of the consumer motivation process. The first observation is different from the third observation since it is focused on discovering the concept of consumer motivation. This is the first phase of the consumer behaviour process. Consumer theory tells us that motivation is an inner state that activates goal oriented behaviour. This means that consumers have to address their needs and analysts have to analyze their motives. The third observation focuses on an advanced stage of the consumer behaviour process since the consumer has chosen her product. CONCLUSION Young people are inveterate consumers of commodities. These commodities, in turn, influence social relationships. Hence, the study on consumer motivation is very interesting. The young consumers’ motivations for buying fragrances and perfumes are multiple and hybrid, reflecting the many fragments of their personal roles, of their history, and of their social experiences. The result is intricate and messy; consumer practices are not unified in a pyramidal order, and these are not completely congruent with their social and territorial groupings. The teen-agers have exceptional perfume and fragrance preferences. Their preferences reflect their consumer values and cultural rituals which are distinct and definite. Their personal preferences are distinct as well since there are significant differences between male and female choice of the kinds of perfumes. There is an element of mystery, passion and sensuality in their personal choices. The female students prefer the feminine, elegance, beauty, freshness, exotic and floral fragrance. The male students prefer sensual, spiciness and tanginess. Works Cited Oakes, John, 1996. The Book of Perfumes. Sydney: Harper-Collins. Pavia, Fabianne, 1995. The World of Perfume. New York: Knickerbockers Press. Fujin Gahōsha, 1992. Fusui. Tokyo. Fujin Gahosha, 1996. Kosui Jiten. 1996. Tokyo Read More