Saturday, September 14, 2019
Osim swot analysis Essay
Introduction to the segment of holistic lifestyle products and their need in todayÃ¢â¬â¢s market Short intro to brand osim and its heritage A short study on what has been osimÃ¢â¬â¢s market standing in asia (this will help ease the swot analysis in the essay) Introducing what the essay will be about Ã¢â¬â will & How osim can survive in the market Starting with strength AsiaÃ¢â¬â¢s no.1 preferred healthy lifestyle brand Since it already has top of the mind recall and customer trust (and loyalty) behind it, it can position itself in America just as it positions itself in the Asian markets. It can position itself as an Asian holistic brand in the American markets. Given its already numero uno status in asia Ã¢â¬â osim can increase its sales by changing up its method of advertising (tvc, print and more outdoor) and creating more brand awareness. Weakness & opportunity Luxury brand Ã¢â¬â expensive turn around and introduce a need to make it seem as a medically beneficial product needed by one and all ItÃ¢â¬â¢s main weakness is that it is priced as a luxury product which ensures that biggest consumer base of middle class looks at it as a luxury rather than a necessity. To take care of this, osim can price itself competitively and concentrate on its product placements (example, residential areas Ã¢â¬â lobbyÃ¢â¬â¢s) it can also try the free product use for a limited period, so people can first hand see the benefits of the product. Given its business model (u.s) osim can also innovate its products to suit the needs of the American consumer. Threats Cheap products which make use of the same technology that osim uses Less priced local products Any competitor who will sell the same array of products at a lower price. Long shelf life of its products (no one will buy a massage chair everyday) threatens the business model itself. Introduce the big question, whether or not you think osim will survive? Answer : yes, it will. Why? Because it places innovation and global market domination as one of its mission statements. A breakaway from the traditional advertising will suit its needs. Expansion of the brand will help with its evolution. OSIM Ã¢â¬â EXPANSION IS THE KEY TO SURVIVAL Technology ushered in the 21st century and with it came countless innovations and products aimed at our well being. With long working hours and even longer waking hours, the health of the average individual has been on a constant decline. This has resulted in a huge market opportunity for many health-based brands, world over, as people today want the comforts of the gym in their homes. And given the lack of products or brands that cover this field extensively has resulted in certain brands having a monopoly over this segment. But as we know, monopoly is no guarantee for a long shelf life in a constantly changing consumer market, so what do these leading brands do in order to survive and extend their brand life is highly imperative. A brand facing these very questions is OSIM Ã¢â¬â AsiaÃ¢â¬â¢s leading health and lifestyle product brand. With monopoly over the health-based product markets in China, Osim rapidly captured markets all over major nations in Asia and established itself as a leading brand in the segment of holistic healthcare. Founded in the year 1980 by Ron Sim, it grew rapidly from its humble beginnings as an electric and household appliances company to a hugely successful health and lifestyle brand as we know it today. The brand underwent a lot of changes initially when founder Ron Sim having discovered the enormous untapped potential of health and lifestyle products in the Asian market, decided to abandon the original electrical and household appliance route of Osim and dove headlong into the health and lifestyle market in Asia. Consumers were very accepting of OsimÃ¢â¬â¢s product offerings and the stock of Osim rose very rapidly in this initial period. But as every coin has two sides to it, OsimÃ¢â¬â¢s business model is in itself a threat to its survival! With health and lifestyle based products having a long shelf life, people are unwilling to buy OsimÃ¢â¬â¢s product offerings repeatedly. An apt example of the same would be the signature massage chairs that they are renowned for, while this product is their no. 1 seller, it also has the longest shelf life, making the time period between a repurchase really long. Other similar weaknesses that threaten the brandÃ¢â¬â¢s very survival are market saturation. As other local products flood the market using OsimÃ¢â¬â¢s innovative technology, consumers are bound to be swayed by the promise of cheap price and good technology. While these problems are unavoidable and run parallel to the brandÃ¢â¬â¢s very nature there is a bigger problem that threatens Osim Ã¢â¬â limited market reach. As mentioned before, Osim leads brand markets all over Asia, especially in China. Enjoying a top of the mind recall value as being Ã¢â¬Å"AsiaÃ¢â¬â¢s no.1 health and lifestyle brandÃ¢â¬ , Osim has all but saturated its own expansion opportunities within the Asian Continent. This fact coupled with the long shelf life of its products and a high price bracket make international expansion the only long term and viable solution for Osim to ensure its survival in the long run. Ironically, Osim recognized this very problem and they had also made a move to correct the very problem in 2005 when they acquired American national level specialty retailer Brookstone such brand is OSIM, asiaÃ¢â¬â¢s leading health and lifestyle brand. Founded in the year 1980 by Ron Sim, it grew rapidly from its humble beginnings as an electric and household appliances company to a hugely successful health and lifestyle brand as we know it today. The brand underwent a lot of changes initially with Founder Ron Sim having discovered the enormous untapped potential of health and lifestyle products in the Asian market saw a huge reversal in OsimÃ¢â¬â¢s sales and revenues as people started buying OsimÃ¢â¬â¢s unique health based products. Based on this performance and the marketÃ¢â¬â¢s reaction to his brand, Ron Osim officially launched brand OSIM in the year 1993. Riding high on its initial success, brand Osim opened up 60 new point of sale product distribution outlets within Asia. Further reaching out it opened up stores across Malaysia and Indonesia too. This aggressive expansion strategy combined with its business model saw brand OSIM garner the top spot in the Asian markets within a short period of time.