Question

Topic: Strategy

Non-traditional Approach To Market Soap

Posted by fordwincher on 4/20/2009 at 9:26 AM ET 250 Points
Hello experts,


I'm in a bit of a quandary. I have a soap product from Israel that my company would like to distribute in the Middle East region. However, we cannot sell it as a product from Israel or else we'll get in trouble with the Ministry of Interior in UAE where we are based.

To be safe, we thought of saying it is from Palestine but the product's owner vehemently says no.

The product, an olive soap, is available in the US, Europe, and some parts of Asia. It is a very good product and a bit rare. The oil used comes from the second pressing of the olives. It is then mixed with herbs or plants for additional beautifying properties.

We thought of WOM as the only marketing approach but I am convinced that there must be other ways to promote this product.

Hope to receive helpful suggestions from you guys.


Many thanks!
Susan
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RESPONSES

  • Posted by ilan on 4/20/2009 at 9:31 AM Member
    Susan,
    You will have to create a new packaging for the product, without mentioning the country of origin.
    Use the term "Mediterranean" for promoting the product, after all, olives are only from that region. Focus on the second pressing, and all other product attributes without any location.
  • Posted by Jay Hamilton-Roth on 4/20/2009 at 9:52 AM Member
    Have you seen other products that are from Israel and sold in the region with the blessing of the Ministry? Start by seeing how the other companies avoided the trouble.
  • Posted by ilan on 4/20/2009 at 9:55 AM Member
    A second thought was obviously to treat this product as a private label soap.
    You can ask the Israeli company to create a special mold for the bar, and special packaging with Arabic sounding name, package design and copy.
  • Posted by wnelson on 4/20/2009 at 11:03 AM Accepted
    Susan,

    You any want to check the laws in UAE to understand what freedom you have with respect to country of origin. In the US, the rules are pretty specific. The country of origin is the place where most of the value is added. For instance, in automotive, Toyota can import most parts from Japan and then assemble the pickup truck in the US and the country of origin is US because most of the value is added in the US - it's not a "car" until it's put together. In the case of your soap, the materials and manufacturing is from Israel. If the laws in the UAE are similar, it wouldn't matter if you dressed it in a UAE wrapper - it's still UAE. And in the case of "pretending" the soap comes from another country - like Palestine - I would wonder if this would be illegal. It would be in the US. Misrepresenting customs information is illegal and subject to fines and imprisonment. If there is a law against selling Israeli products in UAE, then even doing so via WOM could be a violation.

    So what is the law? You can't import and resell Israeli products in the UAE or you cannot advertise a product from Israel? Are you required to declare country of in advertising? If you are not sure, I believe you should find out! If you do know it, could you please let us know so we can pinpoint our answers better?

    I hope this helps.

    Wayde
  • Posted by jplacroix on 4/20/2009 at 9:56 PM Accepted
    Susan,

    you need to be transparent since the truth will sooner or later come to the surface. I know you are focused on the Middle East but have you considered alternative markets which will not create such a challenge. The organic and natural categories are on the growth curve and this product would be well positioned in North America or Europe.

    An alternative approach would be to sell the ingredients to a processor who would be responsible for the branding, marketing and distribution. Since the product cost would only represent a fraction of the cost of doing business, you may be able to go around the limitations in the UE market. Funds from sales within this market could be invested for marketing and distribution outside the UE.

    I have worked on aromatherapy and organic brands and understand the rejuvenating powers of olive oil for the skin. Maybe you could consider a line of olive oil based skin care products that would include shampoos and other HBA categories.

    Wishing much success

    Jean-Pierre Lacroix
  • Posted by fordwincher on 4/21/2009 at 2:00 AM Author
    Thank you all for your comments and suggestions.

    There is an unwritten law in the Middle East that bans selling of products from Israel. It stems from a 60+ yr old political dispute.

    It would've been acceptable if the owner allows us to say it is a product from Palestine but since he is adamant not to, we'll have to respect his wishes and look for alternatives.

    He does have an office in Netherlands and we can use this angle instead. However, when you look at their website www.GamilaSecret.com, it doesn't reflect Netherlands even if it doesn't mention Israel at all.

    We are very aware that we need to treat this delicately. The product is already available in several countries around the globe. I work for a holding company that introduces products with great potential in the Middle East hence I'm keen on finding alternatives on how to market this without stepping on anybody's toes. We are not into manufacturing anything. For retail biz such as this, we are a regional distributor at most.

    I am seriously considering re-packaging and re-branding it that will be acceptable to the Arab market.

    But, I am also trying to find ways on how to market this so I don't go back to the owner with only one option to consider.

    So, if you all have more to suggest, I am very much willing and open to consider them.


    Many thanks!
    Susan
  • Posted on 4/22/2009 at 7:43 AM Accepted
    Dear Susan,

    I hope you will be doing well. I have read different opinions from different experts. but my opinion is a bit bitter.
    I would like to ask few question?
    Why you are going to distribute this product in the middle east without analysing consumer insights and without considering negavite external factors.

    It is necessary to analyze consumer behaviours, their need, wants and one should consider poticatical factors, public factors & envirmental factors. Many products has been out from the market just because of relegious issues developed by competitors.

    Now there is only wayforward, if you want to continue with same brand you need to demodify product as per consumers need of middle east. The wants Halal product for usage.
    You should convince product owner to get approved this product from south african halal foundation and print Hala logo on packaging. you can place sticker on it "Made for Middle East"

    Faisal Ayoubi
    ESFOR Strategists
  • Posted on 4/23/2009 at 4:01 AM Member
    This is a wonderful opinion. The things mentioned are unanimous and needs to be appreciated by everyone.

    bleapeheal

    Car Quotes: https://www.carquotes365.com
  • Posted by fordwincher on 4/23/2009 at 4:22 AM Author
    Dear All,

    Thank you for your contributions. Clearly this business venture needs mutual agreement on how it will be established before operations commence.

    We are now back in the drawing board to define what needs to happen and based on what will be the outcome, I'll know the direction of where this is going.

    Your valuable inputs may have saved our company from unnecessary risks. I sincerely appreciate this forum and the members of MarketingProfs community.


    With deepest gratitude,
    Susan

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