FACULTY OF BUSINESS AND MANAGEMENT MKT

558 DIGITAL MARKETING

A1: INDIVIDUAL ASSIGNMENT

MACROENVIRONMENT ANALYSIS ON WATSON

PREPARED FOR:
MDM RATNAWATIE PANIE

PREPARED BY:
CHRISTYNCE PAISON
2022961491

GROUP:

SR243 4B

DATE SUBMISSION:
10 NOVEMBER 2023
TABLE OF CONTENT

NO. CONTENT PAGES

Acknowledgement v
1.0 Introduction
1.1 Definition 1
1.2 History of Watson 1-2
1.3 Product marketing through Watson 2
2.0 Consumer Profile: Classification Variables
2.1 Age 3
2.2 Gender 3
2.3 Income 3
2.4 Product range 4
3.0 Consumer Profile: Character Variables
3.1 Beliefs 5
3.2 Attitudes 5
3.3 Intentions 5
4.0 Impact of macro-environment to Watson
4.1 Political impact on Watson 6
4.2 Economic impact on Watson 6
4.3 Social impact on Watson 6
4.4 Technology impact on Watson 7
4.5 Environmental impact on Watson 7
4.6 Legal impact on Watson 7
4.7 PESTEL Analysis Diagram 8
References 9
Appendix 10 - 11
Acknowledgement

I would like to express my special thanks of gratitude to my lecturer, Mdm. Ratnawatie Panie
who gave me the golden opportunity to do this wonderful project for my
individual assignment, which also helped me in doing a lot of research and I came to know
about so many new things. I am thankful to them.

Secondly, I would also like to thank my parents and friends who helped me a lot in finalizing
this project within the limited time frame. Any attempt at any level cannot be satisfactorily
completed without the support and guidance of my parents and friends.

Thank you.

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1.0 Introduction

Wipro Group’s top scientists integrating ancient wisdom of Qi theory into advanced
science research on Asian Women’s skin, to create a globally unique proprietary formula,
the Bio-Energy Complex.

Bio-essence was launched in the year 2002, and since the launch, the brand has always
been on the forefront of innovation in facial skincare. The focus has been to develop
effective products catering to consumer needs and offering a variety of products that help
consumers achieve and maintain youthful, healthy skin. The brand prides itself on high-
quality products that live up to their promises and product efficacy claims. The brand has
grown consistently to become the No.2 Skincare brand in Malaysia and No.1 in
Pharmacies.

1.1 Definition

Bio-Energy Complex™️is the unique formula that transforms the skin’s ability to
repair, renew and replenish itself. By enhancing the intake of oxygen, it helps the
skin breathe, changing cells from inactive to energized state. This product
Provides positive energy that activates skin cell energy. Also, Increase oxygen
intake of skin cells by 39%. Other than that, it can boost cellular energy to its
optimal level to increase energy circulation & enhance absorption.

1.2 History of Watson

Watsons Personal Care Store was established in Hong Kong, in 1841. Watsons is
the largest health care and beauty care chain store in Asia with over 15,000 stores

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 in 24 markets. Has become the largest health and beauty retailer in Asia, Watsons
presently running over 6,800stores and over 1,500 pharmacies in 12 Asian
and European markets, including China, Singapore, Thailand, Malaysia, the
Philippines, Indonesia, Korea, Turkey, Ukraine, Hong Kong, Taiwan, and
Macao. Today, Watsons operated more than 350 stores in Malaysia
successfully and served more than 50,000 customers per day.

1.3 Product Marketing through Watson

Wikipedia stated that marketing is defined by the American Marketing Association

as "the activity, set of institutions, and processes for creating, communicating,
delivering, and exchanging offerings that have value for customers, clients,
partners, and society at large”, (Wikipedia). Over the years, Watson expanded
steadily in their business and now they already have more than 4,000 stores
around the world. Yet, Watson will continue to challenge themselves by
expanding their business by provide a lot of attractive marketing either through
physical stores or website. As a drug store which focused more on women, Watson
website loved to make sale up to 50% on skincare products.

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2.0 Consumer Profile: Classification Variable

2.1 Age

Humans can be categorized into several stages according to their age. Those who
need a specific facial cleanser are from the teens (12 to 18 years old), followed by
the young adults (18-35 years old) and the middle-aged adults (36 to 55 years
old). Adolescents or teenagers are the category that causes skin issues
more quickly. When the skin system matures, teenagers enter a new world
of skin care problems. More than 85% of teenagers have this common skin
problem. Thus, with the wide range of facial wash produced by Bio-Essences
Skincare, it will assist with any issue faced by the consumers.

2.2 Gender

Characteristics of male skin are different from female skin which sometimes need
a different treatment. For instance, male skin leans to be oilier than females
because of the testosterone and regular shaving stimulates the skin and can cause
inflammation which makes the skin more sensitive and reacts more quickly.
Nonetheless, Bio-Essences facial wash can be used by both men and women. This
is because the ingredients used to produce Bio-Essences products have been
verified by dermatologists.

2.3 Income

Level is one of the most targeted people in market. For those who are higher
income level able to purchase any kind of products or brands whether local or
import products. Bio-Essences can compete the other brand because everyone can
purchase their product especially lower income level. At this point, people who
are in the range of lower income able to be used and experience international
product at lower and reasonable price plus with a good ingredient.

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 2.4 Product Range

Good skin has four main types which is regular, dry, oily, and mixed skin. Skin
type is genetically determined. However, the condition of our skin can vary
considerably based on the specific internal and external conditions to which it is
exposed. As Bio-Essences has six range of facial wash, this can attract
people to buy their products. This facial wash, help in moisturise the skin,
100% soap-free face wash softly washes away the make-up and
impurities.

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3.0 Consumer Profile: Character Variable

3.1 Beliefs

Beliefs is a subjective trait that is considered to affect customer behaviours,

participating in the purchasing decision process. Watson is one of the most
popular drug stores to consider with a secure product. As well as strong quality
selection, every customer trust that every item sold at Watson follows the same
expectations. Therefore, people believe that any items they purchase is
authentic, safe, and secure. For the products such as Bio-Essences facial wash,
customer believes purchased either walk in or through the website are the same
thing.

3.2 Attitudes

Attitudes can be known or see after a person use a product. Thus, those people
who used Bio-Essences facial and it gives them a good result such as moisturize
their skin well, reduce the redness, and suit well to their sensitive skin will
recommend it to other people. Through the review, we able to see good attitude of
a consumer when they repurchased the products.

3.3 Intentions

Basically, purchase intention represents to what consumers think they will buy
(Blackwellet.al, 2001). For those who has intention to buy a suitable facial wash
for their sensitive skin, they will choose to buy Bio-Essences Kind to Skin
Refreshing Facial Gel Wash. This is because this facial wash is 100% soap-free
that suitable for those who have a sensitive skin and help in removes dirt, oil, and
impurities.

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4.0 Impact of macro-environment to Watson

4.1 Political impact on Watson

A country’s political stability is crucial to a stable economy. Changes of

government in a country will drive a country to political instability. Thus, it will
impact business online and offline in the country. Government changes can jolt
both online and offline business. This is because a change in government will lead
to changes in their rules, policy, laws, and tax payments. Watson markets a
range of brands and products in their website will face are duction in
stock. Thus, political stability is a major factor in the success of a firm.

4.2 Economy impact on Watson

Economic is very important for a business. The economic environment will affect
both the performance of the company and the decision-making process of the
customer. Moreover, bad economic of a country will also impact the import and
export of the country. Due to bad economic in a several countries, it will increase
unemployment rate thus, people will limit their purchasing power. Watson website
will also be affected by reducing in number of customers and will lead to
decrease in revenue.

4.3 Social impact on Watson

Consideration must be given to the effects that the goods and services the
businesses carry to market have on society. Some aspects of the manufacturing
cycle or all products or services that are detrimental to humanity will be omitted to
demonstrate that social responsibility is accepted by the business. Watson which is
one of the most well-known businesses in health and beauty industry has a good
perception by their customers.

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 4.4 Technology impact on Watson

The enhancement of technology provided by the Watson website allows them to

provide their clients with a reliable service. A good management and
organization of the recent technologies that Watson’s website used, help their
customers quickly and easily browse then purchased every product and brands.
This will also have a positive effect on their website, which will contribute to their
market being improved.

4.5 Environmental impact on Watson

Green issues in the world today play a significant part in marketing.

Many of all the governments around the world have been concerned about
green marketing practices which they have sought to control. Watson have
enhanced their day-to-day business. Now on, they began becoming
environmentally conscious as they decided not to supply their consumers with
plastic bags.

4.6 Legal impact on Watson

A stable legal structure is necessary if any company is to thrive. Thus, a country

must have a stable and working legal framework and regulations that
support consumers as well as producers equally. For Watson, they have
restricted and limited in their operation where only safe and good products
marketed by them. Products that contain excessive ingredients and chemicals are
not permitted to be sold in their stores and website.

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 4.7 PESTEL Analysis Diagram

Diagram 1: PESTEL Analysis

(1444 Words)

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References

1. Akhilesh Chandra Pande (2015), The business management: The role of consumer
(Retrieved from:
https://cberuk.com/cdn/conference_proceedings/2015iciee_india49.pdf)

2. Bio-Essences: Brand Story (Retrieved from https://bio-essence.com.my/brand-story/)

3. Bio-Essences: Our Secret Ingredient (Retrieved from:

https://bio-essence.com.my/#:~:text=Our%20Secret%20Ingredient,that%20activates
%20skin%20cell%20energy.)

4. Bio-Essences: About product (Retrieved from

https://www.watsons.com.my/who_we_are)

5. Bio-Essence: Product, Terms of service (Retrieved from

https://www.bioessence.com/home/common/terms-of-service)
6. Brickell: Know the between female and male product (Retrieved from
https://brickellmensproducts.com/blogs/grooming-manual/know-the-difference-
between-womens-and-mens-skin-care)

7. Indeed: Career Guide (Retrieved from https://www.indeed.com/career-advice/career-

development/general-environment)

8. Jenecca Racho, Dermstore: Skin care product types

(https://www.dermstore.com/blog/skin-care-101/)

9. Tutorial Point: Beauty & Skincare; specific group (Retrieved from

https://www.tutorialspoint.com/beauty-and-skincare-tips-for-specific-age-groups)

10. Watson: We are Watson (Retrieved from: https://www.watsonsasia.com/)

11. Watson: Product category (retrieved from https://www.watsons.com.my/product-

categories/c/1?text=:elabExclusiveBrand:elabExclusiveBrand:Exclusive)

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Appendix

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