Evoe Spring Spa- Decision Report

Evoe Spring Spa- Decision Report[pic 1]

13th September, 2015

Memo

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Evoe Spring Spa

Date: August, 2010

From:Executive Assistant, Evoe Spring Spa

To: Messrs Gopal Raman, Anil Kumar and SumitGupta, Co-Founders,

       Evoe spring Spa

Subject:Report on positioning strategy of Evoe Spring Spa which would resonate

With consumers and communicate the proposed strategy of spa to them.

Enclosed here is the report on positioning strategy of Evoe Spring spa out of the three available options and communicate the proposed strategy of spa. This report also includes the evaluation of the available options and impact on target consumer and other barriers.

Executive Summary

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Evoe spring spa is due to launch on 1st January, 2011 and is entering into the Wellness market and Spa. In 2010 Indian wellness market reached INR 490 billion, whereas the spa segment was valued at INR 4billion to 5billion with CAGR of 20%. The people of urban cities and upcoming cities are more prone to be the customers of Spa industry but currently they are constrained by affordability, cultural and trust barriers. So it is very important for company entering this segment to position itself to meet consumer core values to create a brand image.

This report contains evaluation of different positioning concepts available with the management, and to choose the appropriate positioning strategy that will resonates with the customer values. A few criteria have been formulated to evaluate positioning strategy and to target consumers. “Affordable Health” has been recommended as the positioning strategy by evaluating against the criteria.

Table of Contents

Situation Analysis        

Problem Statement        

Options Available        

Criteria for Evaluation        

Evaluation of the Options        

Recommendation        

Action Plan        

Appendix        

Situation Analysis

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The ever growing Health market can be differentiated on the states of services, Reactive approach involving medical treatments for illness and a Proactive approach oriented towards wellness of health. Spas plays a major role in wellness services with services ranging from therapeutic treatments to massages, facialetc. Out of US$2 trillion global wellness market spa industry accounts for approximately US$60 Billion. In contrast the emerging spa industry in India accounts for only INR 4-5 Billion (US$ 80-100 Million) of INR 490 Billion (US$10 Billion) worth wellness market (2010 Data). But increase in the health and image conscious urban city Indian consumers will drive for an annual 20 percent growth in wellness market.