Case Study: LEGO is entering the girls segment with LEGO Friends (http://friends.lego.com) The main target of LEGO products is the 512 year-old age group, but LEGO has a diversified range of products and licences to keep its brand appeal high across various age groups. For example, as part of its Duplo range, LEGO has The Winnie the Pooh licence from Disney that is tailored to the preschool age range. As children grow older, other licences become more popular. LEGO has Pirates of the Caribbean, for example, which is especially popular among 5 12 year-olds. For older age groups, LEGO offers the Technic range, among others, aimed more at 1216 year-olds. LEGO products do not have a firm gender distinction in the same way as dolls or action figures, but its main product lines appeal mostly to boys. This was the main trigger for the LEGO managements decision to launch LEGO Friends, which was designed to appeal primarily to girls. Introduced in January 2012, the theme includes unique mini-doll figures, which are about the same size as the traditional minifigures but are more detailed and realistic. The sets include pieces in pink and purple colour schemes and depict scenes from suburban life set in the fictional town of Heartlake City. The Friends product range replaces LEGOs previous female-oriented theme, LEGO Belville, which had been in production since 1994. Other related LEGO product ranges for girls have included Homemaker (19711982), Paradisa (19911997) and Scala (19972001). The LEGO Friends story centres on the everyday lives and personalities of five girls in a fictional hometown called Heartlake City. Each of the friends has a distinct personality and interests, such as animals, performing arts, invention and design, that are reflected in the models. Building sets reflect different parts of town where the girls adventures take place downtown, the suburbs, the beach, camping grounds and mountains. The launch of LEGO Friends generated some controversy, with critics claiming that the new product line panders to gender stereotypes. LEGO has also released accompanying products branded under the Friends name. In June 2012 a book was released based on the Friends theme: Lego Friends: Welcome to Heartlake City. Here, girls can meet the LEGO Friends as they hang out at all the hotspots, such as the tree house, beauty parlour, idyllic whispering woods and their favourite caf. In terms of sales, LEGO Friends has done surprisingly well since the launch. The LEGO Group sold twice as many LEGO Friends as expected in the first six months. As a result, LEGO increased production to meet the demand for leGo Friends in the important pre-Christmas period.

Questions for Discussion:

[1] Please suggest an STP approach that would lead to the introduction of LEGO Friends.