State Analysis
Pestel Analysis
Market Analysis
Target Consumers
Demographics
Personas
New Location
Luxury Report
Site Description
Area Factors
Area Competition
Store Initiatives
Assortment Plan
Features
Company Overview
In 1961 three artists—Desmond Knox-Leet, Christian Gautrot, and Yves Coueslant—opened a small boutique in Paris where they created and displayed art. In 1968, the trio debuted their parfums and home fragrances which quickly took off.
Now known as Diptyque, this French luxury brand offers consumers a wide range of unique perfumes, scented candles, and home decor. Currently, Diptyque has storefronts in sixteen different countries, while also offering international shipping.
The Oval
The distinct oval shape of the Pretorian shield is found in one of the original diptyque fabrics. The furthest things from soldiers, but true fans of ancient culture, the founders converted it into their hallmark. The decision was made: their paper shield would proudly bear the names of their candles, and of all their creations to come.
The Etchings
For the first fragrances, Desmond drew the feelings and memories that inspired him in panoramic illustrations. He then explored his creation, isolating details in the diptyque oval. A delicate souvenir is discovered on the back of the label when turning the bottle around: his message in the bottle. Each Eau de Toilette has its own special scene, specific memory, or imaginary journey that its corresponding drawing describes.
Capital uk llp
Manzanita Capital acquired Diptyque in 2005, and heads other companies such as Byredo, Space NK, Susanne Kaufmann, Malin+Goetz, Evelom, and Kevin Aucoin.
Manzanita
Expansion
By opening a storefront in Morocco, the company is not only introducing itself to a new country but a new continent. Diptyque plans on taking advantage of the existing luxury market and opening a storefront. Diptyque will bring the same level of sophistication and cultural celebration to our Morocco expansion. We will ensure that the Moroccan culture is correctly and respectfully integrated into our storefront. Our high-quality products and rich history will allow our consumers to feel a sense of exclusivity when shopping with us. The high volume of tourism and our current global brand awareness will allow us to excel in this market.
Product
Presentation
Product presentation is near always woven with elements of nature (often florals), interior design integrations, and eclectic objects that pertain to the theme of a given scent.
Products are artfully organized, often with intentional, warm lighting. This creates a homey feel within the physical store while highlighting each product.
Product Mix
Storefronts
Each Diptyque location is unique from the next and is designed with the zeitgeist of its locale in mind. Still, each location embodies the distinct spirit of the brand; although each location varies between contemporary and more classic or whimsical interiors.
Hong Kong
New York
NY Pop-up
LA Pop-up
Official Retailers
Social Media
Diptyque is active on most social platforms, and makes use of shopping services via Facebook and Instagram. Worth mentioning is their YouTube channel, where they seize the opportunity to dive deeply into their ever-developing brand heritage. In addition to “how-to” videos, promotions, and anniversary celebration, Diptyque goes as far as to create musical ensembles to pair with the stories of their scents.
Instagram following: 900,000
Facebook following: 300,000
YouTube views: 1,400,000
Price Matrix
Perceptual Map
Direct Competitors
Founded in 1990, Jo Malone London is a British lifestyle brand known for its unique fragrance portfolio and luxury products. Jo Malone provides elegant yet playful concepts where the scent is used with abandon. The brand is owned by The Estee Lauder Companies.
Founded in 1643, Trudon is the oldest French manufacturer and produces candles of great quality according to its time-honored traditions. Trudon values, history, design, and quality and inserts those values in each product. The company is privately held.
Founded in 1828, Guerlain is most known for exploring, innovating, and perfecting its skincare, fragrances, and makeup lines. They meticulously craft all of their bottles and containers with their skillful hands. The brand is currently owned by LVMH.
Strengths Weaknesses
• Distinctive branding
• Custom scents and patterns
• Broad product assortment
• Strong heritage
• Global presence
• Strong impression amongst youth
• Celebrity following
SWOT
• Growing competition in the fragrance industry
• Limited adoption of new social media marketing strategy
• High price point
• Products are typically considered to be discretionary purchase
Opportunities
Threats
• Sustainability and supply chain transparency as a trend
• Home, wellness, and self-care is rapidly growing in popularity
• Brand collaborations
• Influencer Collaborations
• Digital experiences
• Shortage of fragrance resources due to climate changes and certain labor practices
• Ongoing supply chain issues due to bottlenecks from pandemic
• Limited travel from economic stress
Differentiation
Diptyque paints authentic stories with its products through the appreciation of art and travel. Their distinct fragrances are most reputable because each scent reinterprets a memorable destination and has its own character. In addition, Diptyque continues its storytelling with unique label designs for each fragrance. Diptyque is also one of the only fragrance brands to create sub-brands within their umbrella. Each sub-brand represents another story for customers to experience.
Metrics
Morocco: State Analysis
Ranked: #6
Score: 52.2
Market Attractiveness: 31.5
Market Saturation: 66.5
Official Language: Modern Standard Arabic
Currency: Moroccan Dirham
GDP Growth: 5.73% (2021)
Distribution Channel: Directly Operated Store
Competitors: Cote Bougie, ULILI, and BronzeVerre
Pestel Analysis
Political
Morocco has a constitutional monarchy that has been led by King Mohamed VI since 1999. The country has two legislative bodies, the Upper House, elected through electors, and the Lower House, which are directly elected.
Currently the corporate tax rate is 31% and is reduced to 28% if the company has a net profit that is less than 100 million dollars. The sales tax rate in Morocco is 20%.
Morocco’s largest trading partner for imports and exports is France. France controls more than 60% of the foreign direct investment in Morocco. Since our products will be exported from France, this simplifies the process for merchandise retrival.
Economic
Consumer trading trends are critical for companies and heavily influence their performance. Higher consumer spending trends are always preferred since they lead to higher purchases and higher rates of consumption. These trends can be influenced by the product quality and marketing strategies.
Morocco is able to flourish due to its low inflation rates. A low inflation rate can increase the consumers’ confidence and increase spending trends. Not only does this boost the economy, but increases overall disposable income.
Morocco’s moderate interest rates help companies and individuals take out loans. Lower interest rates can lead to higher purchase and consumption patterns which could ultimately boost sales for a brand.
Social
Morocco’s high middle class tends to encourage the younger population to become a loyal consumer as well. There has been an increase in interest in adopting health and wellness trends. This has led to a shift in consumers purchasing patterns and consumption decisions.
This determines the frequency and nature of purchases made. Many of these decision-makers are strongly influenced by the brand’s marketing as well reviews/recommendations from family and friends.
The amount of highly educated population in Morroco has risen to 79%. Due to this increase in Morocco consumers tend to prefer quality. They tend to be knowledgeable about what their products are promising and delivering. This allows for unique competitive positioning and placement.
Technological
Most of the population in Morocco own a smartphone with internet accessibility and have access to tablets and computers. Consumers are constantly using the internet for their personal social lives as well as for their professional responsibilities. The increased internet usage in Morocco can reflect a progressive and educated population which could be beneficial to the brand. This has helped Morocco to improve its quality and delivery for marketing purposes.
Population segments from youth to middle-aged people widely make use of social media. Due to the increased use of social media, businesses are able to collect information and data on their consumers. Social media is also used by brands in this country to communicate promotions and highlight different recruitment opportunities.
The country has demonstrated a high rate of technological development and advancements in recent years. This has allowed many Moroccan businesses to incorporate more of an omnichannel integration to help increase the efficiency of their business. These advancements continue to enhance the business operations while enhancing each consumer’s experience.
Environmental
Consumers in the country have had an increased focus on recycling and environmental sustainability. Many brands are introducing recyclable product lines to benefit consumers.
Consumers across all markets in the country are increasingly preferring products and services that are environmentally friendly. Many companies are now introducing green products to keep up with the consumer’s demand. Since 78% of the land in Morocco is made up of desert, the community has felt the effects of climate change. Climate change has resulted in an impact on the water resources causing temporal scarcity and irregularity. Morocco has now started to conserve their water underground in aquifers. This ensures that there is enough water to meet the needs of agriculture, residents, and businesses.
Morocco was ranked 11th in the Global Sustainability Index which examines the policies and actions regarding the environment of every nation. Morocco has created a sustainable development model that is rooted in renewable energy. Morocco aims to generate 52% of its electricity needs from renewable energy by 2030. The country is also a leader in solar power, it is the home of the world’s biggest solar power farm known as Noor Quarzazate.
Legal
Health and safety laws remain to be a poor link in the health system despite the existence of regulations concerning the protection of their workers. The country continues to rework the current regulations that are currently set in place.
Regarding employment, there are country-wide regulations to ensure companies follow proper contracts pertaining to employment. These various contracts involve every aspect of employment and ensure a healthy relationship between all parties involved. These employment laws are enforced by government bodies.
As far as technological infrastructure, Morocco has a dual legal system that consists of two different secular courts. One secular court is based on French legal traditions while the other is based on Jewish and Islamic traditions. This system includes appellate courts, communal courts, district courts, courts of the first instance, and a Supreme Court. The Supreme Court is divided into five different chambers which include civil appeals, social, constitutional, criminal, and administrative.
Market Analysis
Morocco is home to approximately 36 million people and is located on the northwest coast of Africa. According to A.T. Kearney’s Global Retail Development Index, Morocco is ranked the 6th most attractive market to expand into. The country ranked 52.2 overall and scored 31.5 for market attractiveness. In 2021, Morocco’s gross domestic product (GDP) reached 117 billion USD and is projected to reach 122 billion USD in 2022. The country profits the most from its tourism sector, which contributed $8 billion USD to the economy before the pandemic.
There are many factors that have led to the growing and successful market in Morocco. One factor is the technological infrastructure in the country that is constantly developing and advancing. This allows businesses to easily promote and make consumers aware of their brand on various social media platforms. Another factor is the country’s response to the consumer’s demands of sustainability. Morocco continues to offer green and recyclable products to its consumers while continuing to use its sustainable development model. The increase in the country’s middle-class residents has also allowed the country to flourish and expand.
Target Consumers
Demographics
Psychographics
Rather than targeted specific ages, Diptyuqe specifically claims to prefer attracting a like mindset. For this particularly expansion initiative, the primary target consumers are Gen Z and Millenials since the younger generation makes up over 40% of the Moroccan population. There is a mix of French and Spanish influence, but is mostly dominated by ArabBerer culture.
Consumers of Diptyque often come from high networth families and have access to education. Most earn a minimum of 367,000 MAD, having ample disposable income to indulge in nondiscretionary, luxury products. Most live in metropolitan areas or travel to the port city from other African and southern European countries.
Diptyque’s target consumers possess an achiever and experiencer mentality. They strongly value family, heritage, and the home space.
These consumers enjoy making new connections in the melting pot they are so accustomed to. They are often highly social and tend to host events in their homes with other high networth individuals. Their interests tend to be intertwined with travel and culture.
These target consumers value artistry, self-care, and self-expression. They do not mind spending money on leisure activities or on others.
Behavioral
Our targeted consumers are naturally interested in the discovery of new experiences. They turn to foreign brands belonging to large multinationals. The best retention for these consumers is loyalty programs providing priority services and product customization.
With the rapid access to the internet, our consumers purchase via E-Commerce in addition to the mall and markets. They are part of a growing population that participates in social media. They follow their favorite brands and enjoy discovering new ones.
Kawtar Ba-Mohamed Ahmed Ezz
Age: 25 Status: Single
Occupation: Blogger Education: B.A.
Income: $263,000 USD
Interests: Traveling, shopping, cooking, family, content creation
Kawtar is a young, single woman residing in Grand Casablanca, Morocco. She has a successful YouTube channel with nearly 1.5 million subscribers, offering lifestyle advice and product recommendations entirely in Arabic. As one of the most popular influencers in Morocco, Kawtar is highly creative and is quick to adopt new trends, yet maintains certain traditional values.
Age: 39 Status: Married
Occupation: Diplomat Education: J.D.
Income: $539,000 USD
Interests: Cricket, travel, politics and social justice, family Ahmed works as a diplomat and must travel often for his job. He and his family reside in Cairo, Egypt. Ahmed frequents the Casablanca area for his work, and will always bring back gifts for his wife and children on every trip. He enjoys purchasing unique items that will stylistically align with he and his wife’s tastes—goods that are classic with a modern twist.
Casablanca, Morocco
“...The grandiose architecture concocted by the French colonialists—sinewy Art Nouveau edifices, cool Art Deco town houses, collage-like Neo-Moorish palaces— has made [Casablanca] a giant museum.”
Luxury Report
Currently, the total luxury market of Morocco is estimated at 600 million dollars, with an estimated 10% increase yearly.
Not only is the city of Casablanca on the coast but it is also home to North Africa’s busiest international airport. This opens the market to not only locals and regional visitors but also international tourists.
In CPP’s latest luxury report it revealed that 40% of the luxury products sold are sold to regional tourists from other African countries. 60% of luxury goods sales made are to residents in cities throughout Morocco.
The Morocco Mall
20 meters from the oceans in downtown Casablanca, Morocco this destination houses over 600 brands spanning over 3 levels. With retail space totaling 70,000 square meters, the Morocco
Mall is a significant new destination for entertainment and shopping. Over 17 million patrons visit this mall each year.
The mall has become a monument of national pride, and a symbol for the country’s ability to absorb global trends and developments without losing its identity.
Area Factors
The Morocco Mall hosts 188 retail spaces, and lends itself to event operations year-round.
Other features of the mall include entertainment and lifestyle attractions, such as theatres, skating rinks, food courts, and an aquarium.
Popular transporation includes local foot traffic, car services, and public transit such as buses and trams.
Morocco Mall Competition (direct)
Morocco Mall Competition (indirect)
New Design
Each Diptyque location is unique from the next and is designed with the zeitgeist of its locale in mind. Still, each location embodies the distinct spirit of the brand; although each location varies between contemporary and more classic or whimsical interiors.
The new site location will embody the architectural fusion of its locale, combining elements of the Moorish traditional and Art Deco features. Maximal textiles, eclectic prints, and bold colors will speak to larger Morocco. All the while, Art Deco accents and modern updates that call to both the eclecticism of Casablanca and to Diptyque’s French roots.
Wallpaper
A part of Diptyque’s new home decor collection, this wallpaper pattern painted in gouache was imagined for furniture fabrics. With its tones of vibrant blues, it echoes the graphic play of Moroccan Zellige mosaics of the ancient Roman and Byzantine empires.
Diptyque’s home décor category is slowly expanding. Wallpapers at the latest the be released, this one in particular relating directly to the Morocco expansion in both aesthetic and heritage.
Moucharabieh
Mashrabiya describes a style of openwork partition allowing natural or forced ventilation frequently used in the traditional architecture of Arab countries. This would be used for ornate product backdrops.
Art Deco
“...The grandiose architecture concocted by the French colonialists— sinewy Art Nouveau edifices, cool Art Deco town houses, collagelike Neo-Moorish palaces—has made [Casablanca] a giant museum.”
Floor Plan
Marketing
Channels
Digital Communication
Cost: $75,000 USD Objective: The visuals of the products and store can be shared by the brand. Visuals could include the store concept, product photography, behind the scene, interviews, etc, and would clearly communicate the aesthetic of the new store.
Effectiveness: The effectiveness of the Instagram posts would be tracked through the use of any hashtags as well as the overall interaction with the posts through likes, shares, and reposts.
Frequent posting of content and advertisements would allow the launch to gain a following as well as establish visibility. Instagram also provides the opportunity for the brand to communicate directly with consumers and gain immediate feedback.
Cost: $75,000 USD
Objective: The store concept and designs will be shared with our consumers announcing the date of our launch. This platform allows us to connect with our consumers and share’ their thoughts and images regarding this campaign onto our page.
Effectiveness: The effectiveness of the Facebook posts will be tracked by monitoring the clickthrough rates to our website, the brand hashtags, and the conversions.
E-Commerce Website Cost: $150 USD Objective: Moroccan inspired product images will be on the landing page of the already established website as a way to advertise the new store location. There will be a link leading to a separate page discussing more about the location.
Task: On the landing page of the Diptyque e-commerce website, visuals of the new store location will be advertised, enticing consumers to want to learn more. The link provided on the homepage will lead the consumers to a separate page discussing the new location, the inspiration, and more about the launch date. Advertising the new store on the homepage will allow for every site visitor to be aware of the new launch and gain awareness.
Effectiveness: The effectiveness of the website advertisements will be measured by tracking how many people click on the link leading to the new location page. The amount of time each visitor spends on this page viewing the various elements will also be tracked.
Magazine
Cost: $20,000 USD per ad per publication
Objective: Magazine advertisements would increase brand awareness and visibility as well as greater segments of the population, including audiences that are interested in home fragrance as well as those interested in trendy luxury items.
Task: The magazine ads would include campaign images featuring the products and store aesthetic. The advertisements would feature a call to action to visit the Diptyque store.
Effectiveness: The effectiveness of the magazine advertisements would be measured through the circulation of the various publications, the number of subscribers they have, as well as the total magazines purchased.
Street Billboard Cost: $15,000 USD per 4-week run
Objective: Billboards would be utilized to provide outside advertisements to a greater audience, both on the sides of buildings and on the street, such as in a shopping center. These avenues of advertising would allow for a greater number of people to be aware of the store opening, including those who would not know about it otherwise.
Task: The billboards would feature images from our Moroccan-inspired wallpaper that displays one or more products. The images would clearly convey the aesthetic and mood of the store, grabbing the attention of a larger and more diverse audience.
Effectiveness: The locations of the street billboard would be determined through research on locations that receive the most relevant traffic; how many people would pass by the ads, what are the demographics of the passersby, and how many vehicles would encounter the advertisements.
Airport Billboard
Cost (Digital/LED): $3,500 USD per display per 4-week period
Objective: Due to Casablanca’s high tourism rate billboards will be utilized to provide the countries tourist with information on the new Diptyque store. This will allow for a greater number of people to be aware of the store, including those who would not know about it otherwise.
Task: The airport billboard will feature Moroccan inspired product images as well as the launch date. Similar to the street billboards described above, the images would clearly convey the aesthetic and mood of the store, which will grab the attention of a more diverse and larger crowd.
Effectiveness: The effectiveness of the airport billboard can be measured by the amount of tourists we see at the new location.
Mall Billboard Cost (Backlit Billboard): $1,200 per month
Objective: Billboards will be utilized within the Morocco Mall to let the local consumers know about the new store that will be coming to the mall. This avenue will allow for a greater number of locals to be aware of the new store location opening.
Task: The billboard located inside of the Morocco Mall will feature Moroccan inspired product images accompanied by the launch date. Similar to the street and airport billboards described above, this will allow for a greater number of people located in the community to be aware of the store.
Effectiveness: The effectiveness can be measured by the number of locals we see at the new location.
Launch Party Cost: $200,000 USD
Objective: The launch party is intended for the press, editors, and influencers to get an inside look at the new store concept and take a piece of it home with them. They are encouraged to share the content onto their desired platforms.
Task: This event will take place at the Museum of Villa des Arts which is located in Casablanca, Morocco. Due to the founders’ love of art, this will be the perfect location for our guests to learn more about Diptyque. The guests will be offered horderves and champagne as they browse local artists’ creations as well as some of Diptyque’s art. The guest will be able to learn more about the company, inspiration, and the aesthetic of the new store. Each guest will leave with a gift including a Diptyque candle and other supporting products that were produced by local artisans in Casablanca. We intend for this party to get the luxury community excited about the new store location.
Effectiveness: The effectiveness of this event will be based on how many of our guests share their experience and the new store on their platforms whether that be social media, magazines, articles, etc. This can also be measured by the new attention/ following we receive on our platforms.
Activity Map
Financial Plan
Sales Forecast Justification
• The markup percentage is at .75 because that is the typical markup for beauty/ fragrance
• Due to the country’s high tourism the Morocco Mall experiences higher traffic during the high season. High tourism in Casablanca is from March-May and September - October
• Although the majority of the population in Morocco don’t celebrate Christmas a lot of tourists come to the country to vacation during the holidays, leading to higher foot traffic in the mall
• Major holidays that bring families together include: Yennayer (Jan), Eid-Al-Fitr (May), Eid Al-Adha (July)
• These holidays can cause an increase in foot traffic in the store because consumers want their houses to look and smell nice when gathering with family or they may bring a gift with them when going to another family member’s house
• The store size and market allow for great success
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