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DECLARATION
I,…….ABU SUFIYAN………Roll No…1019370003… student of MBA IVth
Semester, Year 2011-12, hereby declare that the Research Project Report titled
...... STUDY OF MARKETING STRATEGY IN FMCG SECTOR………….being
submitted in partial fulfillment for the award of MBA degree by MTU , Noida is
my original work of Research and it has not been submitted to any
Institute/University for the award of any degree.
Date:
Place:
Student Name & Sign
ACKNOWLEDGEMENT
A truly independent project is a contradiction in terms. Every project involves contribution of
many people. This project also ears the imprints of many people and it is a pleasure to
acknowledge all of them.
I take this opportunity to convey my heart filled thanks to my project guide “Akanksha singh ”
who has been a source of guidance and has rendered constant encouragement to complete this
project.
I extend my gratitude to United College of Engineering & Research Gr. Noida
authorities, classmates and friend who were helpful at every step.
Last but not the least would be falling short of duties if I don’t mention. My sincere thanks to all
the staff members for providing me with great help.
(BIKRAM DAS)
PREFACE
In spite of the theoretical gained through classroom study, a person is incomplete if not subjected
to practical exposure of real corporate world and may have to face hurdles, which will be
difficult to overcome without any first-hand experience of business.
In the context, research program has been designed to make the person aware of the happenings
of the real business world. The research entitled” STUDY OF MARKETING STRATEGY IN
FMCG SECTOR” of has been done at as a completion part of MBA programme.
I whole heatedly appreciated the harmonic atmosphere provided to me by the staff of marketing.
The data has collected at primary source through interviews with the customer & discussions
with the retailer of different -different sections. The data which used in this project report are
secondary data. These secondary data so obtained were mostly collected from the management.
It would not have been possible to complete my research report in a manner. I reckoned & within
such a limited time. For this nice obliged to them.
TABLE OF CONTENT
Introduction of topic
Literature Review
Objectives & Scope of study
Research methodology(Hypothesis if any will be included here)
Findings
Conclusion
Suggestions & Recommendations
Bibliography
Annexure
INTRODUCTION OF TOPICS
Products which have a quick turnover, and relatively low cost are
known as Fast Moving Consumer Goods (FMCG). FMCG products are those
that get replaced within a year. Examples of FMCG generally include a wide
range of frequently purchased consumer products such as toiletries, soap,
cosmetics, tooth cleaning products, shaving products and detergents, as well
as other non-durables such as glassware, bulbs, batteries, paper products, and
plastic goods. FMCG may also include pharmaceuticals, consumer electronics,
packaged food products, soft drinks, tissue paper, and chocolate bars.
Indiaʹs FMCG sector is the fourth largest sector in the economy and
creates employment for more than three million people in downstream
activities. Its principal constituents are Household Care, Personal Care and
Food & Beverages. The total FMCG market is in excess of Rs. 85,000 Crores. It
is currently growing at double digit growth rate and is expected to maintain a
high growth rate. FMCG Industry is characterized by a well established
distribution network, low penetration levels, low operating cost, lower per
capita consumption and intense competition between the organized and
unorganized segments.
The Rs 85,000-crore Indian FMCG industry is expected to register a
healthy growth in the third quarter of 2008-09 despite the economic downturn.
The industry is expected to register a 15% growth in Q3 2008-09 as compared
to the corresponding period last year. Unlike other sectors, the FMCG
industry did not slow down since Q2 2008. the industry is doing pretty well,
bucking the trend. As it is meeting the every-day demands of consumers, it
will continue to grow. In the last two months, input costs have come down
and this will reflect in Q3 and Q4 results.
Market share movements indicate that companies such as Marico Ltd
and Nestle India Ltd, with domination in their key categories, have improved
their market shares and outperformed peers in the FMCG sector. This has
been also aided by the lack of competition in the respective categories.
Singleproduct leaders such as Colgate Palmolive India Ltd and Britannia
Industries
Ltd have also witnessed strength in their respective categories, aided by
innovations and strong distribution. Strong players in the economy segment
like Godrej Consumer Products Ltd in soaps and Dabur in toothpastes have
also posted market share improvement, with revived growth in semi-urban
and rural markets.
What are Fast Moving Consumer Goods (FMCG)?
Products which have a quick turnover, and relatively low cost are known as Fast Moving
Consumer Goods (FMCG). FMCG products are those that get replaced within a year. Examples
of FMCG generally include a wide range of frequently purchased consumer products such as
toiletries, soap, cosmetics, tooth cleaning products, shaving products and detergents, as well as
other non-durables such as glassware, bulbs, batteries, paper products, and plastic goods. FMCG
may also include pharmaceuticals, consumer electronics, packaged food products, soft drinks,
tissue paper, and chocolate bars.
A subset of FMCGs are Fast Moving Consumer Electronics which include innovative electronic
products such as mobile phones, MP3 players, digital cameras, GPS Systems and Laptops. These
are replaced more frequently than other electronic products.
White goods in FMCG refer to household electronic items such as Refrigerators, T.Vs, Music
Systems, etc.
In 2005, the Rs. 48,000-crore FMCG segment was one of the fast growing industries in India.
According to the AC Nielsen India study, the industry grew 5.3% in value between 2004 and
2005.
Indian FMCG Sector
The Indian FMCG sector is the fourth largest in the economy and has a market size of US$13.1
billion. Well-established distribution networks, as well as intense competition between the
organised and unorganised segments are the characteristics of this sector. FMCG in India has a
strong and competitive MNC presence across the entire value chain. It has been predicted that
the FMCG market will reach to US$ 33.4 billion in 2015 from US $ billion 11.6 in 2003. The
middle class and the rural segments of the Indian population are the most promising market for
FMCG, and give brand makers the opportunity to convert them to branded products. Most of the
product categories like jams, toothpaste, skin care, shampoos, etc, in India, have low per capita
consumption as well as low penetration level, but the potential for growth is huge.
The Indian Economy is surging ahead by leaps and bounds, keeping pace with rapid
urbanization, increased literacy levels, and rising per capita income.
The big firms are growing bigger and small-time companies are catching up as well. According
to the study conducted by AC Nielsen, 62 of the top 100 brands are owned by MNCs, and the
balance by Indian companies. Fifteen companies own these 62 brands, and 27 of these are owned
by Hindustan Lever. Pepsi is at number three followed by Thums Up. Britannia takes the fifth
place, followed by Colgate (6), Nirma (7), Coca-Cola (8) and Parle (9). These are figures the soft
drink and cigarette companies have always shied away from revealing. Personal care, cigarettes,
and soft drinks are the three biggest categories in FMCG. Between them, they account for 35 of
the top 100 brands.
THE TOP 10 COMPANIES IN FMCG SECTOR
S.
NO.
Companies
1. Hindustan Unilever Ltd.
2. ITC (Indian Tobacco Company)
3. Nestlé India
4. GCMMF (AMUL)
5. Dabur India
6. Asian Paints (India)
7. Cadbury India
8. Britannia Industries
9. Procter & Gamble Hygiene and Health Care
10. Marico Industries
The companies mentioned in table, are the leaders in their respective sectors. The personal care
category has the largest number of brands, i.e., 21, inclusive of Lux, Lifebuoy, Fair and Lovely,
Vicks, and Ponds. There are 11 HLL brands in the 21, aggregating Rs. 3,799 crore or 54% of the
personal care category. Cigarettes account for 17% of the top 100 FMCG sales, and just below
the personal care category. ITC alone accounts for 60% volume market share and 70% by value
of all filter cigarettes in India.
The foods category in FMCG is gaining popularity with a swing of launches by HLL, ITC,
Godrej, and others. This category has 18 major brands, aggregating Rs. 4,637 crore. Nestle and
Amul slug it out in the powders segment. The food category has also seen innovations like
softies in ice creams, chapattis by HLL, ready to eat rice by HLL and pizzas by both GCMMF
and Godrej Pillsbury. This category seems to have faster development than the stagnating
personal care category. Amul, India's largest foods company, has a good presence in the food
category with its ice-creams, curd, milk, butter, cheese, and so on. Britannia also ranks in the top
100 FMCG brands, dominates the biscuits category and has launched a series of products at
various prices.
In the household care category (like mosquito repellents), Godrej and Reckitt are two players.
Goodknight from Godrej, is worth above Rs 217 crore, followed by Reckitt's Mortein at Rs 149
crore. In the shampoo category, HLL's Clinic and Sunsilk make it to the top 100, although P&G's
Head and Shoulders and Pantene are also trying hard to be positioned on top. Clinic is nearly
double the size of Sunsilk.
Dabur is among the top five FMCG companies in India and is a herbal specialist. With a turnover
of Rs. 19 billion (approx. US$ 420 million) in 2005-2006, Dabur has brands like Dabur Amla,
Dabur Chyawanprash, Vatika, Hajmola and Real. Asian Paints is enjoying a formidable presence
in the Indian sub-continent, Southeast Asia, Far East, Middle East, South Pacific, Caribbean,
Africa and Europe. Asian Paints is India's largest paint company, with a turnover of Rs.22.6
billion (around USD 513 million). Forbes Global magazine, USA, ranked Asian Paints among
the 200 Best Small Companies in the World
Cadbury India is the market leader in the chocolate confectionery market with a 70% market
share and is ranked number two in the total food drinks market. Its popular brands include
Cadbury's Dairy Milk, 5 Star, Eclairs, and Gems. The Rs.15.6 billion (USD 380 Million) Marico
is a leading Indian group in consumer products and services in the Global Beauty and Wellness
space.
INTRODUCTION ON MARKETING STRAGY
‘‘Marketing strategy is a process that can allow an organization to concentrate its limited
resources on the greatest opportunities to increase sales and achieve a sustainable.’’
A marketing strategy allows an organization to concentrate its limited resources on the greatest
opportunities to increase sales and its competitive advantage. Often companies will spend a ton
of money on promotional activities that don't get results. Instead take a closer look at your
product, packaging and pricing; your customer; and what makes your company stand out. When
you are clear and confident on your offerings, you can spend less on your marketing strategy and
achieve better results.
Marketing strategies of fast moving consumer goods
The current recession is the most brutal economic downturn in a lifetime. One industry where the
consequences of the recession are felt particularly hard is the fast-moving consumer goods
(FMCG) industry. In the past, this industry was dominated by such well-known manufacturer
brands as Ariel detergent, Nescafé coffee, Philadelphia cream cheese, Flora margarine, and
Pampers nappies. However, in recent decades, so-called private labels or store brands – brands
owned by retail giants such as Wal-Mart, Tesco, Carrefour and Aldi – have made huge inroads,
especially in western Europe and the US. Today they control 20 per cent of the US FMCG
market, 35 per cent in Germany, and more than 40 per cent in the UK Much of the loss of market
share of manufacturer brands is initiated in economic downturns. Faced with a pressing need to
save money, shoppers turn to (cheaper) store brands. They discover that the quality is good and,
consequently, many stick with the brand when the economy improves again.
Types of Marketing Strategy
One of the most important concepts of the marketing planning process is the need to develop a
cohesive marketing strategy that guides tactical programs for the marketing decision areas. In
marketing there are two levels to strategy formulation:
1-General Marketing Strategies
2-Decision Area Strategies
General Marketing Strategies
These set the direction for all marketing efforts by describing, in general terms, how marketing
will achieve its objectives. There are many different General Marketing Strategies, though most
can be viewed as falling into one of the following categories:
1-Market Expansion
2-Market Share Growth
3-Niche Market
4 Status Quo
5-Market Exit
Market Expansion
With this strategy marketers look to grow overall sales in one of two ways:
Grow Sales with Existing Products – With this approach the marketer seeks to actively
increase the overall sales of products the company currently markets. This can be
accomplished by:
1. getting existing customers to buy more
2. getting potential customers to buy (i.e., those who have yet to buy)
3. selling current products in new markets.
Grow Sales with New Products – With this approach the marketer seeks to achieve
objectives through the introduction of new products. This can be accomplished by:
1. introducing updated versions or refinements to existing products
2. introducing products that are extensions of current products
3. introducing new products not previously marketed.
2-Market Share Growth
This strategy looks to increase the marketer’s overall percentage or share of market. In
many cases this can only be accomplished by taking sales away from competitors.
Consequently, this strategy often relies on aggressive marketing tactics.
3-Niche Market
This strategy looks to obtain a commanding position within a certain segment of the
overall market. Usually the niche market is much smaller in terms of total customers and
sales volume than the overall market. Ideally this strategy looks to have the product
viewed as being different from companies targeting the larger market.
4-Status Quo
This strategy looks to maintain the marketer's current position in the market, such as
maintaining the same level of market share.
5-Market Exit
This strategy looks to remove the product from the organization’s product mix. This can be
accomplished by:
1-selling the product to another organization
2-eliminating the product the company's product offerings
Decision Area Strategies
These are used to achieve the General Marketing Strategies by guiding the decisions within
important marketing areas (product, pricing, distribution, promotion, target marketing). For
example, a General Marketing Strategy that centers on entering a new market with new product
may be supported by Decision Area Strategies that include:
Target Market Strategy – employ segmenting techniques
Product Strategy – develop new product line
Pricing Strategy – create price programs that offer lower pricing versus competitors
Distribution Strategy – use methods to gain access to important distribution partners that
service the target market
Promotion Strategy – create a plan that can quickly build awareness of the product
Achieving the Decision Area Strategies is accomplished through the development of detailed
Tactical Programs for each area. For instance, to meet the Pricing Strategy that lowers cost
versus competitors’ products, the marketer may employ such tactics as: quantity discounts, trade
in allowances or sales volume incentives to distributors.
The Strategic Planning Process
In the 1970's, many large firms adopted a formalized top-down strategic planning model. Under
this model, strategic planning became a deliberate process in which top executives periodically
would formulate the firm's strategy, then communicate it down the organization for
implementation. The following is a flow chart model of this process:
This process is most applicable to strategic management at the
business unit level of the organization. For large
corporations, strategy at the corporate level is more
concerned with managing a portfolio of businesses. For
example, corporate level strategy involves decisions about which
business units to grow, resource allocation among the business
units, taking advantage of synergies among the business
units, and mergers and acquisitions. In the process
outlined here, "company" or "firm" will be used to denote a
single-business firm or a single business unit of a diversified firm
.
Mission
A company's mission is its reason for being. The mission often is expressed in the form of a
mission statement, which conveys a sense of purpose to employees and projects a company
image to customers. In the strategy formulation process, the mission statement sets the mood of
where the company should go.
Mission
|V
Objectives
|V
Situation Analysis
|V
Strategy Formulation
|V
Implementation
|V
Control
Objectives
Objectives are concrete goals that the organization seeks to reach, for example, an earnings
growth target. The objectives should be challenging but achievable. They also should be
measurable so that the company can monitor its progress and make corrections as needed
Situation analysis
Once the firm has specified its objectives, it begins with its current situation to devise a strategic
plan to reach those objectives. Changes in the external environment often present new
opportunities and new ways to reach the objectives. An environmental scan is performed to
identify the available opportunities. The firm also must know its own capabilities and limitations
in order to select the opportunities that it can pursue with a higher probability of success. The
situation analysis therefore involves an analysis of both the external and internal environment.
The external environment has two aspects: the macro-environment that affects all firms and a
micro-environment that affects only the firms in a particular industry. The macro-environmental
analysis includes political, economic, social, and technological factors and sometimes is referred
to as a PEST analysis .
An important aspect of the micro-environmental analysis is the industry in which the firm
operates or is considering operating. Michael Porter devised a five forces framework that is
useful for industry analysis. Porter's 5 forces include barriers to entry, customers, suppliers,
substitute products, and rivalry among competing firms.
The internal analysis considers the situation within the firm itself, such as:
Company culture
Company image
Organizational structure
Key staff
Access to natural resources
Position on the experience curve
Operational efficiency
Operational capacity
Brand awareness
Market share
Financial resources
Exclusive contracts
Patents and trade secrets
A situation analysis can generate a large amount of information, much of which is not
particularly relevant to strategy formulation. To make the information more manageable,
it sometimes is useful to categorize the internal factors of the firm as strengths and
weaknesses, and the external environmental factors as opportunities and threats. Such an
analysis often is referred to as a SWOT analysis
Strategy formulation
Once a clear picture of the firm and its environment is in hand, specific strategic alternatives can
be developed. While different firms have different alternatives depending on their situation, there
also exist generic strategies that can be applied across a wide range of firms. Michael Porter
identified cost leadership, differentiation, and focus as three generic strategies that may be
considered when defining strategic alternatives. Porter advised against implementing a
combination of these strategies for a given product; rather, he argued that only one of the generic
strategy alternatives should be pursued.
Implementation
The strategy likely will be expressed in high-level conceptual terms and priorities. For effective
implementation, it needs to be translated into more detailed policies that can be understood at the
functional level of the organization. The expression of the strategy in terms of functional policies
also serves to highlight any practical issues that might not have been visible at a higher level.
The strategy should be translated into specific policies for functional areas such as:
Marketing
Research and development
Procurement
Production
Human resources
Information systems
In addition to developing functional policies, the implementation phase involves identifying the
required resources and putting into place the necessary organizational changes.
Control
Once implemented, the results of the strategy need to be measured and evaluated, with changes
made as required to keep the plan on track. Control systems should be developed and
implemented to facilitate this monitoring. Standards of performance are set, the actual
performance measured, and appropriate action taken to ensure success.
ADVERTISIN G
'Advertising' is not easily defined, though many people have tried. Narrowly, it means clearly
identifiable, paid for communications in the media, which aim to persuade, inform or sell. But
the word is also used to cover a much broader range of activities from design to public relations -
by what are often the same organizations, using similar skills.
The main players
Advertising is not a single industry, but spreads untidily across at least three separate kinds of
employer organization those who are
use it (the advertisers);
make it (the advertising agencies); and
display it (the media).
A number of other, more specialized organizations eg market research companies are also
involved.
Different sorts of advertising
Using its narrower definition, advertising takes two main forms
'display', and 'classified'.
Display advertising embraces TV and radio commercials, posters, and large display spaces in the
press , newspapers and magazines. (The press media also carry a huge volume of classified
advertising small space commercial, recruitment and personal ads.)
Then there are direct mail and circulars advertisements using the letterbox as a medium.
Direct response advertising (also called 'direct marketing', ie using the ad in place of a retail
outlet) cuts across these divisions. It variously employs direct mail, send away coupons in the
press, and phone numbers on radio and TV as the customer's means of contact. At the broadest, a
whole gamut of other activities eg sales promotion, exhibitions, design and packaging, and
even marketing itself are seen as 'advertising' too.
The aggregation of such tools, along with media advertising, price and distribution, are often
called the marketing mix.
Because all these activities require more or less the same skills (often using the same people),
and serve similar objectives, this booklet aims to provide some information about all of them.
However the word 'advertising' from here on means display advertising unless otherwise stated.
Advertising audiences
Finally, we also categories advertising in terms of those to whom it is directed its audience. Two
most obviously contrasted audiences are consumers (the general public) and businesses.
Within these two big audience categories, advertisers use much more exact definitions of their
desired audience (or 'target group'). These describe a consumer target in terms of, for instance,
age, class, sex, region, behavior, and lifestyle. A business target can be defined by his or her
company size, its type of activity, and the buyers' or decision takers' own particulars.
Advertising objectives
If advertising takes varied forms, the objectives of individual advertisers are even more diverse.
Very often they are commercial marketing objectives for instance
to enlarge the profitable sales of someone's goods or services. But to say such ads simply aim to
'sell the product' is an oversimplification. They may be to slow down a brand's gradual decline,
or simply to get the public to reappraise its opinion of a particular company or organization, or
just to provide information.
Moreover noncommercial advertiser’s government departments, charities, political parties and
trade unions will have entirely different objectives from, say, a cat food or computer
manufacturer. Advertising objectives do not lend themselves to generalization.
The best general way to look at advertising systematically is as a useful but expensive means
(and not the only one available) to achieve various ends. Incidentally, unless you know the actual
objectives and results of a particular advertisement you've seen, it's unwise to judge it as 'good'
or 'bad'. The only criterion is whether the value of its effect was worth, or more than worth, its
cost.
Briefly, once an advertiser (the client) identifies needs for which advertising is the best solution,
he briefs independent specialists (typically an advertising agency) to plan the details and create
the advertising.
When approved, this is displayed in the agreed medium (for instance television) at an agreed
cost. Research specialists commonly test the advertising beforehand and/or try to measure its
effects afterwards.
An advertising programme of this kind is generally called a campaign, and usually includes a
series of advertisements, in a number of broadcast channels or printed media. The campaign is
usually based on statistical calculations of what percentage of the target group will see it
(penetration) how many times on average (frequency). Other variables are how skillfully the
media have been bought, the size of the commission or fees paid to the advertising agency, and
the cost of producing the ads themselves. At first reading this will sound rather imprecise and
complicated. But with experience, it is possible to say fairly accurately what a particular
campaign is likely to cost or, conversely
PROFILE OF HUL(HINDUSTAN UNILEVER
Hindustan Unilever Limited (HUL) (BSE: 500696 ) is India's largest consumer goods company
based in Mumbai, Maharashtra. It is owned by the British-Dutch company Unilever which
controls 52% majority stake in HUL. Its products include foods, beverages, cleaning
agents and personal care products.
HUL was formed in 1933 as Lever Brothers India Limited and came into being in 1956 as
Hindustan Lever Limited through a merger of Lever Brothers, Hindustan Vanaspati Mfg. Co.
Ltd. and United Traders Ltd. It is headquartered in Mumbai, India and has an employee strength
of over 16,500 employees and contributes to indirect employment of over 65,000 people.The
company was renamed in June 2007 as “Hindustan Unilever Limited”.
Lever Brothers started its actual operations in India in the summer of 1888, when crates full of
Sunlight soap bars, embossed with the words "Made in England by Lever Brothers" were
shipped to the Kolkata harbour and it began an era of marketing branded Fast Moving Consumer
Goods (FMCG).
Hindustan Unilever's distribution covers over 2 million retail outlets across India directly and its
products are available in over 6.4 million outlets in the country. As per Nielsen market research
data, two out of three Indians use HUL products.
BRAND
HUL is the market leader in Indian consumer products with presence in over 20 consumer
categories such as soaps, tea, detergents and shampoos amongst others with over 700 million
Indian consumers using its products. Seventeen of HUL’s brands featured in
the ACNielsen Brand Equity list of 100 Most Trusted Brands Annual Survey (2011). The
company also happens to have the highest number of brands in this list, with six brands featuring
in the top 15 list.
The company has a distribution channel of 6.3 million outlets and owns 35 major Indian
brands. Its brands include:
Food brands:
Annapurna salt and atta
Bru coffee
Brooke Bond (3 Roses, Taj Mahal, Taaza, Red Label) tea
Kissan squashes,ketchups, juices and jams
Lipton tea
Knorr soups & meal makers and soupy noodles
Kwality Wall's ice cream
Modern Bread , ready to eat chapattis and other bakery items
Homecare Brands
ActiveWheel detergent
Cif Cream Cleaner
Comfort fabric softeners
Domex disinfectant/toilet cleaner
Rin detergents and bleach
Sunlight detergent and colour care
Surf Excel detergent and gentle wash
Vim dishwash
Personal Care Brands:
Aviance Beauty Solutions
Axe deodorant and aftershaving lotion
LEVER Ayush Therapy ayurvedic health care and personal care products
Breeze beauty soap
Clear anti-dandruff hair products
Clinic Plus shampoo and oil
Close Up toothpaste
Dove bar & skin cleansing, hair care range,lotions & Creams and anti-perspirant deodorants
Denim shaving products
Fair & Lovely - fairness products
Hamam
Lakmé beauty products and salons
Lifebuoy soaps and handwash range
Liril 2000 soap
Lux soap
Pears soap
Pepsodent toothpaste
Pond's talcs and creams
Rexona soap
Sunsilk shampoo
Sure anti-perspirant
Vaseline petroleum jelly, skin care lotions
Products OF HUL(HINDUSTAN UNILEVER):
Bru (coffee):
Bru, launched in 1969, created history in the first year of launch by growing to a
record market share of 21%. Ever since, it has grown from strength to strength.
Bru has been instrumental in virtually creating the entire Instant Coffee category as it
exists today. It has been at the forefront of most innovations in the Instant Coffee
category - whether in coffee-chicory blends, refill packaging, vending operations, or
more recently the Low-unit-price packs.
The Bru franchise also includes the Bru Roast & Ground, India's most popular Roast
& Ground Coffee brand, and Bru Malabar Roast & Ground which is available in
select geographies.
Clinic Plus(shampoo)
Clinic Plus Health shampoo was launched in India in the year 1987. It is India's largest selling
shampoo, offering the five most important hair health benefits: strengthens weak hair, prevents
hair breakage, softens rough dry hair, shine for thick and healthy hair, and contains anti-dandruff
ingredient.
The franchise also includes Clinic All Clear Total, first introduced in 1996. It is a dual shampoo
– it not only fights the last dandruff flake, but also adds back lost nutrients to make hair healthy
and beautiful. Clinic All Clear Total is a dandruff solution for everyday use.
Close-up(tooth paste)
Closeup is the original youth brand of India. The first brand targeting youth in the oral care
market, with an edgy and youthful image which stays relevant till date. Ever since its launch in
1975, Close-up has broken every rule in the book on how toothpastes should behave!
Closeup was the first gel toothpaste to be launched in India and has led the gel toothpaste
segment ever since. In 2004, Closeup was re-launched with a bang. And this time it was packed
with the power of Vitamin Fluoride System – a powerful mix of Vitamins, Fluoride, Mouthwash
and Micro whiteners, the perfect combination of ingredients for fresher breath and stronger,
whiter teeth.
Closeup became the first Gel toothpaste with Fluoride in the Indian Market. The brand umbrella
also includes Closeup Lemon Mint, gel toothpaste with the whitening benefits of lemon.
The latest entry in the Closeup stable is Closeup Milk Calcium – revolutionary new toothpaste
with the goodness of milk calcium in an industry-first core-in-sheath format, with white milk
calcium nutrient on the inside and a refreshing blue gel on the outside.
Fair & Lovely(fairness cream)
A woman's passion for beauty is universal and catering to this strong need is Fair & Lovely.
Based on a revolutionary breakthrough in skin lightening technology, Fair & Lovely was
launched in 1978.
The Hindustan Lever Research Centre (it is among the largest research establishments in India's
private sector, including pharmaceutical companies, with facilities in Mumbai and Bangalore)
deployed technology, based on pioneering research in the science of skin lightening to develop
Fair & Lovely. The formulation is patented. Its formulation acts safely and gently with the
natural renewal process of the skin, making complexion fairer over a period of six weeks.
Fair & Lovely is formulated with optimum levels of UV sunscreens and Niacinamide that is
known to control dispersion of melanin in the skin. It is a patented and proprietary formulation,
which has been in the market for 25 years. Niacinamide (Vitamin B3) is a water-soluble vitamin
and is widely distributed in cereals, fruits and vegetables - and its use in cosmetic formulations
has been known for various end benefits. The UV components of the formulation are
scientifically chosen and used at optimum levels to provide wide spectrum protection against UV
rays of the sun. Specifically, this patented formulation offers a high UVA protection, which is
more relevant to Asian skin than plain SPF protection creams sold in the West. All the active
ingredients in the Fair & Lovely formulation function synergistically to lighten skin color
through a process that is natural, reversible and totally safe.
The brand today offers a substantive range of products, including Ayurvedic Fair & Lovely
Fairness cream, Fair & Lovely Anti-Marks cream, Fair & Lovely Oil control Fairness Gel, Fair
& Lovely for Deep Skin and Fair & Lovely Fairness Soap. The latest has been the Perfect
Radiance, a complete range of 12 premium skincare solutions from Fair & Lovely.
Hamam(Bathing soap)
Launched in 1934 in India.
Hamam has always been a reliable option for consumers over years. The brand has withstood
the test of time and has given the consumers the confidence and assurance of being a soap that is
safe on skin. Hamam is manufactured in the most modern soap plants world-class quality control
system. Hamam contains polyols, which are known to be good moisturizers. Hamam also
contains Aloe Vera, Tulsi and Neem extracts.
Hamam soap is made from a blend of vegetable oils. The optimum grade of Palm oil and coconut
oil is mixed in the right proportion to give a soap that is lasting, gives lather which is stable and
can effectively remove oil, dirt from the surface of the skin.
Kissan(jam)
Acquired by Hindustan Lever Limited in 1994, the Kissan category consists of deliciously
wholesome products for kids to grow up.
The Kissan range consists of ketchup and other sauces, jams, squashes and ready-to-drink
products. For mothers and children, Kissan is today one of the most trusted brands in the
country. Kissan continues to be a pioneer in the categories that it operates in.
Annapurna Salt
Annapurna Salt, first introduced in 1997, was relaunched in 2001 with a
breakthrough technology, patented in India and several other countries. This
technology helps encapsulate iodine with salt. It thereby prevents the loss of
iodine from salt, either during its storage and transportation or cooking.
Iodine deficiency is a serious health issue in India. About 278 million people are
at risk of iodine deficiency disorders. Iodine deficiency not only leads to goiter,
but also has an impact on the mental development of growing children.
The International Council for Control of Iodine Deficiency Disorders (ICCIDD)
has endorsed Annapurna Salt. Annapurna has also taken initiatives to educate
consumers about the benefits of iodine and its effect on the mental development
of growing children.
Launched nationally in 1998, Annapurna Atta is made with patented technology.
It absorbs more water than ordinary atta when kneaded, resulting in softer
chapatis.
In 2001, it was fortified with iron and vitamins. The benefit is very relevant
because over 60% of women and children are iron deficient.
Kwality Wall(ice cream)
Kwality Wall's, launched in 1995, is the company's master brand for ice cream.
Kwality Wall's has combined state-of-the art technical know-how of Unilever - the
global leader in ice cream - with a deep insight of the Indian market, to deliver a
range of superior quality products under its international brands.
Key launches include Cornetto, Feast, Viennetta, and a range of Sundaes, and also
exciting eats for children specifically, like Lime Punch or Sunshine Zing Cone.
Kwality Wall's ensures that while each of its offerings is unique in taste and
flavour, they are also accessible to more consumers through breakthrough cost
reengineering and value delivery.
Lifebuoy(Bathing soap)
Making a billion Indians feel safe and secure by meeting their health and hygiene
needs is the mission of Lifebuoy.
The world's largest selling soap offers a compelling health benefit to the entire
family. Launched in 1895, Lifebuoy, for over a 100 years, has been synonymous
with health and value. The brick red soap, with its perfume and popular Lifebuoy
jingle, has carried the Lifebuoy message of health across the length and breadth of
the country.
The 2002 and 2004 relaunches have been turning points in its history. The new mix
includes a new formulation and a repositioning to make it more relevant to both
new and existing consumers.
Lifebuoy is now a milled toilet soap with a new health fragrance and a
contemporary shape. The new milled formulation offers a significantly superior
bathing experience and skin feel. This new mix has registered conclusive and clear
preference among existing and new users.
The new Lifebuoy is targeted at today's discerning housewife with a more inclusive
"family health protection for my family and me" positioning. Lifebuoy has made a
deliberate shift from the male, victorious concept of health to a warmer, more
versatile, more responsible benefit of health for the entire family.
At the upper end of the market, Lifebuoy offers specific health benefits through
Lifebuoy Gold and Plus. Lifebuoy Gold (also called Care) helps protect against
germs which cause skin blemishes, while Lifebuoy Plus offers protection against
germs which cause body pouder.
Surf Excel(Detergent powder)
A pioneers in the Indian detergent powder market, Surf Excel has constantly upgraded
itself over the years, to answer the constantly changing washing needs of the Indian
homemaker. Today Surf Excel offers outstanding stain removal ability on a wide range
of stains. This means that mothers now have the freedom to let their kids experience
life without worrying about stains.
Surf Excel quick wash is powered with a path-breaking technology- it reduces water
consumption and time taken for rinsing by 50%. It is a significant benefit, given the
acute water scarcity in most of India.
Surf Excel is available in 3 variants: Surf Excel Blue, Surf Excel Quick Wash and Surf
Excel Automatic. So whatever be the need, Surf Excel hai na.
Sunsilk(Shampoo)
Launched in 1964, Sunsilk is the largest beauty shampoo brand in the country. Positioned as the
'Hair Expert', Sunsilk has identified different hair needs and offers the consumer a shampoo
that gives her the desired results.
The benefits are more compelling and relevant since the variants are harmonized in terms of the
product mix - fragrance, colour and ingredients are all well linked to cue the overall synergy. The
range comes in premium packaging and design. The accent is on "It knows you, and hence
knows exactly what your hair needs".
P&G (Procter & Gamble): Profile
The Procter & Gamble Company (P&G), incorporated in 1905, is focused on providing
consumer packaged goods. The Company’s products are sold in more than 180 countries
primarily through mass merchandisers, grocery stores, membership club stores, drug stores and
high-frequency stores, the neighborhood stores, which serve many consumers in developing
markets. As of June 30, 2011, P&G was organized into two Global Business Units (GBUs):
Beauty and Grooming and Household Care. The GBUs contain a total of six segments: Beauty;
Grooming; Health Care; Snacks and Pet Care; Fabric Care and Home Care; and Baby Care and
Family Care. Sales to Wal-Mart Stores, Inc. and its affiliates represent approximately 15% of its
total revenue during the fiscal year ended June 30, 2011 (fiscal 2011). On December 30, 2011,
Helen of Troy Ltd. acquired PUR water purification products business (PUR) from the
Company.
Beauty
The Company’s female beauty brand, Olay is a facial skin care brand. It also operates in
fragrances market, through its Dolce & Gabbana, Gucci and Hugo Boss fragrance brands.
Grooming
Its male personal care products include deodorants, face and shave preparation, hair and skin
care and personal cleansing products. P&G’s electronic hair removal devices and small home
appliances are sold under the Braun brand in a number of markets around the world. Its primary
focus in this area is electric hair removal devices, such as electric razors and epilators, where it
holds approximately 30% of the male shavers market and 50% of the female epilators market.
Health Care
In the healthcare market it operates in various categories, such as feminine care, gastrointestinal,
incontinence, rapid diagnostics, respiratory, toothbrush, toothpaste, water filtration, other oral
care. Its personal care products include nonprescription heartburn medications behind Prilosec
over the counter (OTC) and in respiratory treatments behind Vicks.
Snacks and Pet Care
In snacks and per care, the Company operates through its Pringles, Iams and Eukanuba brands.
The vast majority of its pet care business is in North America.
Fabric Care and Home Care
This segment is comprised of a variety of fabric care products, including laundry detergents,
additives and fabric enhancers; home care products, including dishwashing liquids and
detergents, surface cleaners and air fresheners, and batteries.
Baby Care and Family Care
The baby and family care products include baby wipes, diapers, paper towels, tissues and toilet
paper. The Company’s family care business is predominantly a North American business
comprised primarily of the Bounty paper towel and Charmin toilet paper brands.
Head & Shoulders Shampoo
Head & Shoulders shampoo is specially formulated to give you beautiful, healthy
and dandruff-free hair.
Available in Classic Clean Shampoo and 2 in 1, Ocean Lift Shampoo and 2 in 1,
Citrus Breeze Shampoo and 2 in 1, Refresh Shampoo and 2 in 1, Restoring Shine
Shampoo and 2 in 1, Extra Volume Shampoo, Smooth & Silky Shampoo and 2 in 1,
Dry Scalp Care Shampoo and 2 in 1, Sensitive Care Shampoo and 2 in 1 and
Intensive Treatment.
Head & Shoulders Conditioners
Head & Shoulders conditioners are designed to give your hair a radiant shine
and help reduce flakes.
Available in Classic Clean and Dry Scalp Care.
NEW! Head & Shoulders Intensive Solutions
Contains 2% Pyrithione Zinc for maximum strength without a prescription
Clinically designed to help prevent seborrheic dermatitis, severe dandruff and
other dandruff related problems
Features a clean, refreshing fragrance
Leaves hair shiny and manageable
Tide® Liquid
3X the stain removal power for about 25 cents a load*. Tide
Liquid combines all the great stain fighting qualities you've
come to expect in Tide Powder with the pretreating ease of a
liquid detergent.
Available in Tide Clean Breeze Liquid, Tide Mountain Spring
Liquid, Tide Tropical Clean Liquid, Tide Original Scent and
Tide Liquid Free
Tide Powder
Tide Powder detergents get to the bottom of dirt and stains to
help keep your whites white and your colors bright.
For great stain removal in any temperature, Quick
Dissolving™ Tide is formulated to immediately start
dissolving — even in cold water.
Available in Tide Clean Breeze Powder, Tide Mountain
Spring Powder, Tide Tropical Clean Powder, Tide Original
Scent and Tide Powder Free.
Tide with Febreze™ Freshness
Helps clean away stains and odors with ease
Tide with Febreze Freshness gives you the great cleaning you expect
from Tide, now with the Febreze freshness you love.
Specially formulated to help target and remove common odors that
get trapped in fabrics, and then deposit "freshness actives"
Available in Tide with Febreze Freshness Liquid Spring & Renewal,
Tide with Febreze Freshness Powder Spring & Renewal, Tide with
Febreze Freshness Liquid Meadows & Rain and Tide with Febreze
Freshness Liquid Citrus & Light
Tide Coldwater
Deep Clean. Save Green. Tide Coldwater provides a deep clean in
the care of cold water, making it the coolest way to clean.
Removes even stubborn stains better than the leading competitive
liquid detergent in warm water
Saves energy and money by lowering your heating bills
Helps colors stay brighter and whites stay whiter
Provides a cool new scent experience
Available in Tide Coldwater Fresh Scent Liquid, Tide Coldwater
Glacier Liquid, Tide Coldwater Fresh Scent Powder and Tide
Coldwater Glacier Powder.
Tide with a Touch of Downy®
Tide with a touch of Downy presents outstanding Tide clean with a
touch of Downy softness and freshness.
Available in Clean Breeze Liquid, April Fresh Liquid, Soft Ocean
Mist Liquid, Clean Breeze Powder, April Fresh Powder and Soft
Ocean Mist Powder
Tide with Bleach
Clean even what's unseen. Tide with Bleach will clean your clothes
and help keep your colors bright and your whites white.
Available in Original, Mountain Spring and Clean Breeze scents
Tide Liquid with Bleach Alternative
The smart alternative to chlorine bleach. Tide Liquid with Bleach
Alternative uses active enzymes to break down and remove stains
while whitening whites.
Because it is not chlorine based like liquid bleach, it also is safe to
use on colors too. In fact, the Tide BrightLock™ formula actually
reduces chlorine in the wash to help keep bright colors from fading.
Available in Tide with Bleach Alternative Liquid Original, Tide with
Bleach Alternative Liquid Clean Breeze and Tide with Bleach
Alternative Liquid Mountain Spring
Tide HE
Get the most out of your high-efficiency washer. Tide HE is
specially formulated to unlock the cleaning potential of high-
efficiency washers.
Standard detergents can cause over-sudsing when less water is used,
and using less detergent sacrifices cleaning power. Tide HE provides
excellent cleaning with the right level of sudsing.
Available in Tide HE Powder Original, Tide HE Liquid Original,
Tide HE Liquid Clean Breeze and Tide HE Liquid Free
Oral-B®
For more than 50 years, Oral-B® has produced the highest-quality dental
hygiene products for you, your family and dental professionals worldwide.
Trust the brand more dentists use themselves worldwide.
Power Toothbrushes
Oral-B power toothbrushes offer exceptional features and performance
benefits. In fact, an independent landmark study has concluded that
only the oscillating-rotating power toothbrush technology, pioneered
by Oral-B, offers superior cleaning compared to manual toothbrushes.
Power Brush Heads
Oral-B offers 12 advanced power brush heads designed for different
needs. Choose the perfect one based on your desired brushing
experience: deep clean, extra soft, whitening, floss-like clean,
traditional brushing and cleaning around braces or other dental work.
Manual Toothbrushes
At Oral-B we develop products that are used and trusted by dental
professionals worldwide. From infants to adults, Oral-B makes a
manual toothbrush to meet your family's needs.
Kids' Products
Kids change a lot during the developmental years. Oral-B Stages®
kids' products are designed to meet their special oral care needs at
every stage.
Literature Review
A time analysis of three product development process cases conducted during the pilot
phase of the researcher’s Ph.D. study within the UK fast moving consumer goods
(FMCG) industry revealed that over 98% of the total cycle time (total elapsed time
between the start and end stages of the product development process) of each case
comprised complete inactivity. This was surprising because a fast time to market
capability was expected to be highly valued, especially within the low and medium
innovation level cases where the resultant products were not competing on their
innovative merits.
A review of the literature to explore this problem further revealed that little had been
written about the design and organization of development processes in the UK FMCG
industry. It also revealed that the great majority of the new products developed by this
industry were of these lower innovation types (Ernst & Young/ ACNielsen, 1999), and
that no study had been conducted that attempted to explain the causes of the cycle time
performance of these processes. In addition to its obvious academic merits, such a study
would yield benefits to the community of FMCG product development practitioners. It
would explain the root causes of delay and hence facilitate meaningful interventions to
these processes to enable sustained improvements to their cycle time performance.
However, a pre-requisite to being able to explain these causal relationships it is necessary
to first be able to adequately describe the development processes themselves. This is
conventionally achieved via a stage model, which is a diagrammatic representation
describing the discrete stages that an organization typically conducts when conceiving,
developing and introducing a new product or other innovation.
The literature review had revealed no such stage model that had been presented
specifically for the UK FMCG industry, and those stage models that were presented did
not accord with the product development processes witnessed during the pilot cases. The
first major research question of the study was consequently established to be what is the
sequence of main stages for lower innovation product development processes in the UK
FMCG industry? This paper attempts to make four contributions to the theory on organizational
innovation. It characterizes a dominant paradigm that has emerged within this body of
literature; presents a detailed explanation of a UK FMCG product development process
that has previously been lacking; develops a new stage model that better describes
development processes in this industry and suggests four additional forms of
representation to supplement this stage model in order to facilitate the improved
communication, control and performance of such development processes.
The paper is presented in five parts. The first part establishes the theoretical framework
on stage model research. The second part explains the research methodology designed to
achieve the research objectives. The case study evidence is considered in part three, with
the Tesco food product development process being advanced as a representative process
then explained in some detail. Part four compares the descriptive power of the literature
against the case evidence collected. The final part develops an alternative stage model
for the UK FMCG industry and recommends multiple forms of representation to
supplement the stage model.It is this question that forms the subject of this paper
A review of the academic and technical literature on the subject of organizational
innovation reveals that an orthodoxy has emerged amongst scholars and practitioners.
Their convergent views form a dominant paradigm that emphasizes the high innovation,
low volume development environments of durable goods manufacturers from the
Automotive and Electronics/ IT industries (Francis, 2004).
Numerous research reviews, critiques and evaluations have been written to characterize
and categorize this extensive literature. Amongst these, Wolf (1994) identifies Stage
Model research as a distinct genre, which he characterizes as conceptualizing innovation
as a series of discrete stages that unfold over time. Its purpose is to determine whether
the innovation process involves identifiable stages, and if so, what they are and what their
order is.
The stage models illustrated in Table II are the yield of a sample of representative and
influential publications from within the generic product development literature, and are
presented as being representative of this background literature. These models confirm
that at a level of abstraction it is possible to identify common process stages between
these models even though they individually display a different scope, emphasis and level
of detail. Three broad process phases are also identifiable. These are referred to within
this paper as the Product Independent, Product Development and Post DevelopmentEvaluation
phases respectively.
The Product Independent phase refers to those process stages that are not directly and
wholly attributable to a single development project. These include strategic planning,
capability development, process improvement and general technological research and
development activities. The Product Development phase includes all those product
specific process stages required to design and introduce a new product. This typically
encompasses the idea generation through to commercialisation or launch stages of that
development process. Finally, the Post Development-Evaluation phase encompasses all
the process stages that might occur after the formal launch of a product. This includes an
evaluation of the performance of the development process itself, which is sometimes
referred to as a postmortem review. It also includes the evaluation of the new product’s
performance in the marketplace.
ITC (Indian Tobacco Company)
ITC is an Indian public conglomerate company headquartered in Kolkata, West Bengal, India.[2] Its diversified business includes four segments: Fast Moving Consumer Goods (FMCG),
Hotels, Paperboards, Paper & Packaging and Agri Business. ITC's annual turnover stood at $7
billion and market capitalization of over $33 billion. The company has its registered office in
Kolkata. It started off as the Imperial Tobacco Company, and shares ancestry with Imperial
Tobacco of the United Kingdom, but it is now fully independent, and was rechristened to Indian
Tobacco Company in 1970 and then to I.T.C. Limited in 1974.
The company is currently headed by Yogesh Chander Deveshwar. It employs over 26,000 people
at more than 60 locations across India and is listed onForbes 2000. ITC Limited completed 100
years on 24 August 2010.
ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging,
Agri-Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel,
Personal Care, Stationery, Safety Matches and other FMCG products. While ITC is an
outstanding market leader in its traditional businesses of Cigarettes, Hotels, Paperboards,
Packaging and Agri-Exports, it is rapidly gaining market share even in its nascent businesses of
Packaged Foods & Confectionery, Branded Apparel, Personal Care and Stationery.
List of products & brands
In FMCG, ITC has a strong presence in :
Cigarettes : W. D. & H. O. Wills, Gold Flake Kings, Gold Flake Premium, Navy
Cut, Insignia, India Kings, Classic (Verve, Menthol, Menthol Rush, Regular,Citric Twist,
Mild & Ultra Mild), 555,Benson & Hedges, Silk
Cut, Scissors, Capstan, Berkeley, Bristol, Lucky Strike, Players and Flake.
Foods: (Kitchens of India; Aashirvaad,Minto,Sunfeast,Candyman,Bingo,Yippee, Sunfeast
Pasta brands in Ready to Eat, Staples, Biscuits, Confectionery, Noodles and Snack Foods);
Apparel: (Wills Lifestyle and John Players brands);
Personal care: (Fiama di Wills; Vivel; Essenza di Wills; Superia; Vivel di Wills brands of
products in perfumes, haircare and skincare)[3]
Stationery: (Classmate and PaperKraft brands)
Safety Matches and Agarbattis: [Ship (through ownership
of WIMCO); iKno; Mangaldeep; Aim brands]
Other businesses include:
Hotels : ITC's hotels (under brands including WelcomHotel) have evolved into being India's
second largest hotel chain with over 80 hotels throughout the country. ITC is also the
exclusive franchisee inIndia of two brands owned by Sheraton International Inc.- The
Luxury Collection and Sheraton which ITC uses in association with its own brands in the
luxury 5 star segment. Brands in the hospitality sector owned and operated by its subsidiaries
include Fortune[disambiguation needed ] and WelcomeHeritage brands.
Paperboard, Specialty Paper, Graphic and other Paper;
Packaging and Printing for diverse international and Indian clientele.
Infotech (through its fully owned subsidiary ITC Infotech India Limited which is a SEI
CMM Level 5 company)
Marketing strategies of ITC (Indian Tobacco Company)
ITC is one of India's foremost private sector companies with a market capitalisation of over US $ 33
billion and a turnover of US $ 7 billion. ITC is rated among the World's Best Big Companies, Asia's 'Fab
50' and the World's Most Reputable Companies by Forbes magazine, among India's Most Respected
Companies by BusinessWorld and among India's Most Valuable Companies by Business Today. ITC
ranks among India's `10 Most Valuable (Company) Brands', in a study conducted by Brand Finance and
published by the Economic Times. ITC also ranks among Asia's 50 best performing companies
compiled by Business Week.
ITC has a diversified presence in Cigarettes, Hotels, Paperboards & Specialty Papers, Packaging, Agri-
Business, Packaged Foods & Confectionery, Information Technology, Branded Apparel, Personal Care,
Stationery, Safety Matches and other FMCG products. While ITC is an outstanding market leader in its
traditional businesses of Cigarettes, Hotels, Paperboards, Packaging and Agri-Exports, it is rapidly
gaining market share even in its nascent businesses of Packaged Foods & Confectionery, Branded
Apparel, Personal Care and Stationery.
Cigarettes
ITC is the market leader in cigarettes in India. With its wide range of invaluable brands, ITC
has a leadership position in every segment of the market. ITC’s highly popular portfolio of
brands includesInsignia, India Kings, Lucky Strike, Classic, Gold Flake, Navy Cut,
Players, Scissors, Capstan, Berkeley, Bristol, Flake, Silk Cut, Duke & Royal.
The Company has been able to consolidate its leadership position with single minded focus on
continuous value creation for consumers through significant investments in creating & bringing to
market innovative product designs, maintaining consistent & superior quality, state-of-the-art
manufacturing technology, & superior marketing and distribution. With consumers & consumer
insights driving strategy, ITC has been able to fortify market standing in the long-term, by
developing & delivering contemporary offers relevant to the changing attitudes & aspirations of
the constantly evolving consumer.
ITC's pursuit of international competitiveness is reflected in its initiatives in overseas markets. In
the extremely competitive US market, ITC offers high-quality, value-priced cigarettes and Roll-
your-own solutions. In West Asia, ITC has become a key player in the GCC markets through its
export operations.
ITC's cigarettes are manufactured in state-of-the-art factories at Bengaluru, Munger, Saharanpur,
Kolkata and Pune, with cutting-edge technology & excellent work practices benchmarked to the
best globally. An efficient supply-chain & distribution network reaches India's popular brands
across the length & breadth of the country.
ITC's 'Superia Soap & Shampoo' (Marketing Strategy)
Personal Care Brand:- ITC's 'Superia Soap & Shampoo'
(Marketing Strategy)
Personal Care Products:
-Personal care or toiletries is the industry which
manufactures consumer products used for personal hygiene.
-ITC's aspiration to be India's premier FMCG company, recognised for its
world-class quality and enduring consumer trust, ITC forayed into the
Personal Care business in July 2005.
-The business continues to communicate with the consumer through multiple
channels, including TV, digital social-networking, print/outdoor advertising,
point of sale merchandising, trade schemes, one-on-one consumer interactions,
etc.
-Responding to the growing demand for its products, the business added capacity
at its plant at Haridwar in Uttarakhand and commissioned a new plant at
Manpura in Himachal Pradesh.
-The business continues to invest in building a strong portfolio of brands and
products through well-defined research and development strategies backed by
the Company's dedicated and state-of-the-art R&D सें�टर.
Superia Soap:
-The Superia range of soaps and shampoos have been launched to cater to the
large popular market in the personal care category.
-The products under the Superia brand are made from scientifically developed for
mulations enriched with natural ingredients that have traditionally been
known to be good for the skin and hair.
-The range offers consumers access to some of the best-in-class products in
vibrant attractive packaging.
-Superia Soaps enriched with natural ingredients give radiant glowing skin.
Superia Soaps are available in four variants :
1. Fragrant Flower: with the fragrance of Rose & Lavender Oil.
2. Soft Sandal: with the fragrance of Sandal & Almond Oil.
3. Natural Glow: with Neem & Coconut Oils.
4. Healthy Glow: with Orange Oil.
Superia Shampoo:
Superia shampoos with triple conditioners and natural ingredients bring a
natural shine to hair. Superia shampoos are available in two variants:
1. Shiny Black with Triple Conditioners and the natural goodness of Hibiscus &
Brahmi extracts.
2. Vibrant Green with Triple Conditioners and the natural goodness of Amla &
Arnica extracts.
3. Another addition to the Superia shampoo portfolio, Superia Maxi Protect
Active Health shampoo contains Dandruff Fighter along with Vitamins & Soya
Protein. It fights multiple types of dandruff causing.
Segmentation:
-The Superia range of soaps and shampoos in the mass market segment have gained
wide acceptance and is now being extended beyond its test markets. We expect
the Personal Care segment to be one of the key growth drivers for ITC going
ahead and expect further launches in the segment.
-This is ITC personal care brand for the popular segment or the masses and
offers products like soaps and shampoos. Find below an ad for this brand:
Notice the use of a common girl as a model and the Hindi tagline
�Balo Mein Chamak, Superia Shampoo� i.e. �Shiney Hair, Superia Shampoo�.
One more tagline for the brand is �Aise Chamak, Ke Duniya Bole, Pehle Aap�
i.e. �Shine so much that the world says you first� which is typically
targeted to the middle class.
Pricing Strategy Superia Soap:
The pricing of the company is such that it caters to the need of all income
groups of people but special provision has been kept for Low and middle income
group. The company follows the Going rate pricing that is the price of the
product depends upon the competitors price. The firm chooses pricing more or
less the same as Market leader.
Superia Soap
Rs 10 - 92 g
Rs 30 - 92*3
Rs 12 - 125 g
Rs 50 - 116*4
Promotions Strategy of ITC:
A particular budget is allocated for the promotion of the products, the local
promotion scheme is decided by the Area Sales Manages, it give its suggestion
to the District office and that is forwarded to the Head Quarter in Kolkata.
Agarbattis
As part of ITC's business strategy of creating multiple drivers of growth in the FMCG sector,
the Company commenced marketing Agarbattis (Incense Sticks) sourced from small-scale
and cottage units in 2003. This Business leverages the core strengths of ITC in nation-wide
distribution and marketing, brand building, supply chain management, manufacture of high
quality paperboards and the creation of innovative packaging solutions to offer Indian
consumers high quality Agarbattis. With its participation in the business, ITC aims to enhance
the competitiveness of the small and medium scale sectors through its complementary R&D
based product development and strengths in trade marketing and distribution.
The pouch format of packaging is increasingly becoming popular. Mangaldeep has launched
three variants – Champa, Tarangini & Malligai in the pouch format catering to various market
needs. The products have received encouraging response from consumers.
Fragrance of Temple is a flagship sub brand in the Mangaldeep portfolio with Superior
fragrance and high quality sticks in an industry-first canister pack. The canister pack also
contains a metal agarbatti stand which has been highly appreciated by consumers.
Mangaldeep Dhoop, made with Natural Ingredients, is available in specific markets and is
fast creating a key presence in North India. New launches include Sandal & Mogra variants
as well as 3-in-1 offering in a single pack.
Nestlé boycott
The Nestlé boycott is a boycott launched on July 7, 1977, in the United States against the
Swiss-based Nestlé corporation. It spread quickly throughout the United States, and expanded
into Europe in the early 1980s. In Canada, the controversy lasted from 1978 to 1984. [1] It was
prompted by concern about the Nestle's promotion of breast milk substitutes (infant formula),
particularly in less economically developed countries (LEDCs), which campaigners claim
contributes to the unnecessary suffering and even deaths of babies, largely among the poor.[2] Among the campaigners, Professor Derek Jelliffe and his wife Patrice, who contributed to
establish the World Alliance for Breastfeeding Action (WABA), were particularly instrumental in
helping to coordinate the boycott and giving it ample visibility worldwide.
Marketing strategies of Maggie noodles of Nestlé boycott
Maggi noodles is a brand of instant noodles manufactured by Nestlé. Maggi has been the highest sold noodles in India. It is a product of Nestle Brand. It took several years and lots of money for nestle to establish its noodles brand in India Maggi was invented in Europe by a person named Jullius Maggi.In India it was launched in 1980s by Nestle group of companies. Maggie had merged with Nestle family in 1947.Maggie has faced lot of hurdles in its journey in India…. The basic problem the brand faced was the Indian psyche. i.e Indians used to be conservative about the food habits so noodles faced a lot of problem in promoting sales. Initially nestle tried to to position the Noodles in the platform of convenience targeting the working women. However, the sales of Maggi was not picking up despite of heavy Media Advertising.To overcome this NIL conducted a research,which revealed that it was children who liked the taste of Maggi noodles and who were the largest consumers of the product.so they came up with Maggi- 2 minute noodles with price of Rs. 2.10 with a close of 100% margin. NIL shifted its focus from working women and targeted children and their mothers through its marketing. NIL's promotions positioned the noodles as a 'convenience product', for mothers and as a 'fun' product for children. The noodles' tagline, 'Fast to Cook Good to Eat'was also in keeping with this positioning. They promoted the product by 1.Distributing free samples. 2.Giving gifts on return of empty packets.3.Dry sampling-distributing Maggi packets 4. wet sampling - distributing cooked Maggi.5.Availability in different packages 50gm,100gm,200gm,etc.. and6.Effective Tagline Communication.
Market position of Maggie:1.No.1 in instant noodles and sauces.2.No.2 in healthy soups.3.Market share of noodles- 80%4.current sales-5.5crores boxes in India
Britannia - Eat Healthy, Think Better
A biscuit manufacturing company launched its business with a marginal capital of Rs295 in 1892 in a non descript house in Calcutta. What can one do with Rs.295.00 in today's world ?
There was no electricity, the burning wood was used as the main fuel. But the taste of the biscuit manufactured was the most influencing factor to the general public. Gupta brothers acquired the factory and ran it in the name of V.S.Brothers.1910 was the year when electricity was ushered in and there was a great deal of activities accompanied in the manufacturing of Biscuits. An English man by name Homes joined as a partner in the year 1918. The company acquired the name "Britannia Biscuit Company ". The infra-structure facilities , machineries, gas ovens were imported from Britain in two years time. Britannia got the name and became famous for using gas for the first time in Asia in manufacturing Biscuits.
Britannia inculcated the culture of eating biscuits in the minds of Indian people in a big way with the slogan "Eat Healthy, Think Better " . A production centre was established in Mumbai also. Perceiving the opportunities for a rapid growth, Peek Bern in U.K. made a substantial investment in Britannia.
During the second world war , Biscuits were specially manufactured for the British Govt. which were deported for these of soldiers engaged in the war. In the period 1945- '50, after the world war II, Britannia saw its capital to grow to a sprawling Rs.128 lakhs, which meant to them 8 folds the capital they had in 1940. Britannia shifted its gear in the marketing of Biscuits from Parry & Co to themselves from 1975 onwards. The company took a new birth in the name "BRITANNIA INDUSTRIES LIMITED " The sales touched a peak of Rs.100 Crores in 1983.
Britannia celebrated its Platinum Jubilee in the year 1992. It is now in the hands of well known Wadia Group jointly with the world wide Groupe DANONE. " GOOD FOR HEALTH; GOOD FOR TASTE; FINEST IN BRAND; AFFLUENT IN PRICE"ARE THE STRATEGIES employed by Britannia for its towering stature today.
Marketing Strategies :-Milk-Biskies are made specially for children. Britannia TIGER Biscuits are made for boys and girls in the age group of 7to14. Britannia is quick to realize the wants of Teenagers, it brought a special brand for this group in the name "Little Hearts" which became super hit in no time. Britannia's next strategy was to introduce a new brand with a question tag " Sweet or Hot "
biscuit. It was branded as "50-50-Biscuit". When the decision is referred to the 3rd umpire in cricket, we all see "50-50" blinking in the screen, it is also a way to impress the biscuit brand's name in the minds of cricketing world. Marrie Gold is an universal brand introduced by Britannia which is sought after in tea time and when travelling, thus making the demand for this brand as the highest which is also due to an affluent price.
Promotional Strategies:-"Eat Britannia, Go for World Cup" was the theme adopted in 1999 .People bought the biscuit packs and searched for the lucky scratch for flying to England to see world Cup Cricket match.The sales bounced 37% high on account of this strategy.The scheme came alive again during the world Cup Match in 2002-2003 in South Africa. " Lagan - the super hit movie " brought fame to Britannia Biscuits also as 40000 buyers of Britannia Biscuit packs were invited to see and a small lucky group to play the game with the movie Stars of Lagan. What a novel way to promote a product - a perception in correct proportion indeed !!
Summary:-* Britannia Industries have a base of 23000 share holders with a paid up capital of 23890163 shares of Rs10/each today.
* Largest company in India in food processing industries where product range also includes Breads and Cakes.
* Manufacturing and sourcing locations spread across the length and breath of the country.
* Tens of Thousands of outlets having one of the largest distribution net work in the country.
* Britannia Biscuits enjoy a brand loyalty in Export Houses also.
* When it TIGER brand was introduced in the market , Britannia supplied Note Books, Scales, Pencils to Children in the name of its new brand free of cost.
* Britannia now owns an ultra modern manufacturing facility. It has built up a big consultancy centre also.
* Biscuits sold in a year when kept in pile formation one above the ones may scale 10 times higher than the Everest Peak.
" Eat Healthy, Eat Britannia " !!!!!!