Institute of Business Administration, University of Dhaka

Case: Kaya Skin Clinic

Course Name: Strategic Brand Management

Submitted to:
Khaled Mahmud sir
Associate Professor, Institute of Business Administration (IBA),
University of Dhaka.

Date of Submission: 28th September, 2021

Submitted by: Group 6

Name ID
Ahsan Kibria 64
Tasnimul Hasan 79
Mahbube Rabbani 86
Md. Tanjil Kabir 107
1. What processes are involved in Kaya Skin Clinic's delivery of services? Based on
information provided in the case and in YouTube videos of Kaya Skin Clinic Middle East,
provide a blueprint, or outline, of the services provided.

Kaya has turned out to be one of the most favorite skin care among the customers. The reasons
for this being:
a. Quality of the service

b. Providing unique service

c. Different types of stores for busy and working people.

The process or services that are provided by Kaya Skin Clinics are given here.

• A range of solutions are available to meet the demands of clients.

• Skin care consumers receive attentive individualized care and attention.

• Dermatologists offer the consumer with a strategy for the service procedure.

• Kaya features a new "Shop in Shops" concept. Kaya clinics provide items to working ladies
who don't have a lot of time to buy.

• Aspects of culture—the main focus was on Arab culture.

• As the world becomes more digital, Kaya is focusing on digital interaction to enhance brand
recognition on social media.

Blueprint or outline of the service provided:

2. What variables in business would make loyal customers? What is Kaya’s loyalty
program? What are the four main types of loyalty program?

What variables make customers loyal

1. Product/ Service quality: The first thing a customer looks for is the maximum value for
his or her money in exchange of good quality product or service.
2. Reputation: Reputation of the company creates loyal customer.
3. Rewards: Discounts, points and occasional rewards produce loyal customer.
4. Convenience: While purchasing different conveniences like payment system, availability
and so on are expected
5. Customer service: Good customer service may lead toward loyal customer
6. Personal relationship: Personal relationship with the service provider creates a strong
loyalty.
Four main types of loyalty programmes
Rebate Program: The rebate is often a percentage of the total purchases within a period of time.
This is usually done in some form of gift certificate in order to bring customers back into the
store, but can also be in the form of cash.
Discount Program: A discount program offers a certain percentage or dollar amount off of a
purchase. This can apply to a specific product or an entire purchase. This program usually
applies instant benefits to customers during check out.
Points Program: For this program, points are used as currency in order for customers to keep
track of their rewards.
Frequency Program: This program is applied to encourage customers to come back frequently.

Kaya’s Loyalty Program

Kaya’s loyalty program ‘Kaya Smiles’ has five levels-platinum, gold elite, gold, blue, aqua blue.
These levels depend on frequency of visits and level of transactions. So, Kaya’s loyalty program
is the outcome of frequency and point program

3. Suggest ways of achieving customer-centricity by implementing CRM initiatives. How

can kaya follow such initiatives?

CRM, or customer relationship management, is a company-wide business strategy designed to

reduce costs and increase profitability by solidifying customer satisfaction, loyalty, and
advocacy. There are three key elements to a successful CRM initiative-

 People
 Process
 Technology

Ways of achieving customer-centricity

1. Ensuring customized service depending on the demands of the customer. Kaya is already
following this method under their ‘Kaya Smile’ program.
2. The process should be most suitable for customers, environment and other important
pertinent issues. Kaya is providing customized services. They provide customized
services for different type of customers. But Kaya does not provide ‘home service’. This
can be introduced.
 3. Advanced technology always attracts customers while receiving service or under
treatment. Kaya has been able to use advanced technology since its inception. But
technology is something that always keeps changing. Kaya has to ensure its technological
advancement in all aspects of their products and services.
Customer Relationship Management helps to track information. Kaya can implement CRM
initiatives by many ways such as-
a. Customers records’ can be stored online
b. There should be Wi-Fi facility so that customers expense more time there.
c. Campaigns should be organized to know the needs of customers.
d. SAP CRM technique should be practiced.

4. What are the different methods of customer segmentation? How dose Kaya implement
customer segmentation?

The 4 basic types of market segmentation are:

1.Demographic Segmentation
2. Psychographic Segmentation
3. Geographic Segmentation
4. Behavioral Segmentation
1. Demographic segmentation

Demographic segmentation might be the first thing people think of when they hear ‘market
segmentation’. This is perhaps the most straightforward way of defining customer groups,
but it remains powerful. Demographic segmentation looks at identifiable non-character traits
such as age, gender, ethnicity, income, level of education, religion, profession/role in a
company.

2. Psychographic segmentation

Psychographic segmentation is focused on your customers’ personalities and interests. Here

we might look at customers and define them by their personality traits, hobbies, life goals,
values, beliefs, lifestyles.

3. Geographic segmentation
 Geographic comparison is often one of the easiest to identify, grouping customers with
regards to their physical location. This can be defined in any number of ways like country,
region, city, postal code.

4. Behavioral segmentation

Behavioral segmentation is possibly the most useful of all for e-commerce businesses. As
with psychographic segmentation, it requires a little data to be truly effective – but much of
this can be gathered via your website itself. Here we group customers with regards to their
spending habits, purchasing habits, browsing habits, interactions with the brand, loyalty to
brand.

Kaya segments its customers by their loyalty and frequency of visits so it can be said that the
segmentation is behavioral segmentation. Customers who visits clinic at least once in two
months categorized as new joiners, who visits once per quarters is active clients, customers who
have high chance of lapsing is on-the-brink customers and who stopped visiting the clinic is
lapsed customers.

5. Evaluate the success of Kaya’s international branding strategy.

Kaya Skin Clinic has done a fantastic job when it came to international branding. When they
expanded to the Middle East in 2003 in Dubai, they were facing a new challenge as they were
going international. Other than the logo and the colour, there was no similarities between the
brands with the Indian brand of Kaya Clinic. People who didn’t know that Kaya is originally
from India, would never guess it and Kaya Skin Clinic was mainly regarded as a local brand
among the people of Dubai.
The look of the outlet was adhered to the culture’s taste and even the perfume used was Oudh,
which is very popular in the Middle East. They even segregated the websites of India’s and
Middle East’s clinics so far that if someone from Middle East searches for them, the Middle
Eastern website will be available first and not the Indian one, which made the possible customers
of Middle East easier to access or contact with them. All of the staff, i.e. the dermatologists,
beauty therapists and other employees were multilingual. All of these contributed in making the
people feel that it is one of their own brand.
In terms of international branding strategy, other than making the people feel that it is a local
brand, they also showed advertisements of television and were quick to understand the
emergence of Social Media. They used the Social Medias to show their advertisements and make
them aware of the uniqueness in order to persuade them into making an appointment with them.
Overall their international branding strategy was a complete success and worked perfectly. It
resulted in Kaya’s expansion of their brand to 23 stores in 12 years among other cities of United
Arab Emirates (UAE) and Kingdom of Saudi Arabia (KSA). Later they also expanded to Qatar
and Oman. Around 100,000 men and women in UAE, KSA, Qatar and Oman relies on Kaya for
their skin care processes is the result of effective branding.

6. Should the customization of expert services and customer friendliness work for the
brand, or should the company redefine Kaya brand?

When a brand succeeds other brands start to imitate them and their process, this is a sign of a
successful brand. This happened with Kaya as well, after their immediate success other brand
started to imitate their processes and technologies and started to offer the same services which
resulted in almost no differentiation among the brands. The customization of expert services and
friendliness of the employees of the brand was their main differentiation, however, since other
brands starts to offer the same service, a brand like Kaya has to come across a new challenge
which is if they should redefine their brand or remain the way they were up until then.
In my opinion, yes, Kaya should redefine their brand and they must market the fact that they
were the first player in the market and should also market their heritage among the Middle
Eastern people. Middle Eastern people are generally rich and do not care about the expense and
mostly focus on service. Which is why, Kaya should now use their brand equity in order to still
have the loyalty of the customers.
A bigger and better brand can show their brand name through their retail space and that is what
they should do as well. They can offer bigger retail space, seating comfort, offerings, luxury
items, using new technologies etc. in order to differentiate from the other local brands. People
who have the luxury always want better service and comfort and Kaya must use this in order to
remain in the market as the leader.
Kaya should also keep investing in R&D to figure out new technologies and processes while
keeping tabs of what the competitors are doing new. Innovation is usually welcomed by the
customers and is regarded a superiority over the competitors. Kaya should also be open to
expanding to new locations if there is a location where other brands are doing well in order to
gain more and more customers to their clinic.
Redefining is a must in the competitive skin care market of Middle East as there needs to be a
unique selling point (USP) of a brand. According to the market research, bigger retail space
resonates with the people which is why this would be a move suitable according to the situation.