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Lux Soap
 

Lux Soap

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    Lux Soap Lux Soap Presentation Transcript

    • Marketing Project Report on Lux Soap
              • By:
              • Amit Kumar Sinha
              • PGDMRM-002
              • IPE, Hyderabad
    • Contents:
      • Company Profile – HUL
      • Distibution Channel - HUL
      • Product Mix – HUL
      • Overview – Lux Soap
      • Marketing Mix
      • SWOT Analysis
      • Competitor Analysis
      • Market Segmentation
      • Recommendation
      • Reference
    • Company Profile - HUL
    • Company Profile - HUL
      • A 52% owned subsidiary of Anglo Dutch giant Unilever.
      • India – 1888
      • India largest FMCG company
      • Touching 2 out of 3 Indian consumer
      • 20 distinct categories – Home and personal care products, food and beverages.
      • HLL – HUL
      • 100 factories – India – Manufacturing its diverse product range
      • Headquarter: Mumbai
      • Market share – Toilet soap category – 54.3%
    •  
    • Revenue Percentage:
    • Distribution Channel - HUL
    • Distribution Channel - HUL
      • 2000+ Suppliers and associates
      • 4000 Redistribution stockists
      • Covering 1 million retail outlets
      • Reaching 250 million rural consumers
    • Product Mix- HUL
    • The width of the HUL Product mix:
      • The width of the product mix refers to the number of different product line the company carries
      • E.g:
      • Personal wash
      • Laundry
      • Skin care
      • Oral care
      • Deodorants
      • Colour cosmetics
      • Ayurvedic personal and health care
      • Shampoo
      • Tea
      • Coffee
      • Foods
      • Ice cream
      • Width = 12
    • The lenght of the HUL Product mix:
      • The Lenght of the product mix refers to the total number of items in the product mix.
      • E.g:
      • Personal wash: Lux, Lifebuoy, Liril, Hamam, Breeze, Dove, Pears, Rexona
      • Laundry: Surf excel, Rin, Wheel
      • Skin care: Fair & Lovely, Ponds, Vaseline, Aviance
      • Oral care: Pepsodent, Close up
      • Deodorants: Axe, Rexona
      • Colour cosmetics: Lakme
      • Ayurvedic personal and health care: Ayush
      • Shampoo: Sunsilk, Clinic
      • Tea: Broke bond, Lipton.
      • Coffee: Bru
      • Foods: Kissan, Annapurna, Knorr
      • Ice cream: Kwality walls
      • Width = 30
    • The Depth of the HUL Product mix:
      • The depth of the product mix refers to the number of variants of each product offered in the line
      • E.g: If close up toothpaste comes in three formulation and in three sizes, close up has a depth of 9 (3*3)
      The Consistency of the HUL Product mix:
      • The consistency of the product mix refers to how closely related the various product lines are in the use, production requirement, distribution channel or in any other manner.
      • HUL Product line are not consistent because of its large width.
    • Overview : Lux Soap
      • 1916 – Laundry soap
      • 1925 – Bathroom soap
      • India – 1929
      • First brand ambassador: Leela Chitnis (1929)
      • Market share is almost equal to Lifebuoy
    • Marketing Mix:
    • Product:
      • Product Classification:
      • Tangible
      • Non durable good
      • Lux and other soaps fall into the category of convenience good.
    • Product Life Cycle: Maturity Stage
    • Prominent Variants:
      • Lux almond
      • Lux orchid
      • Lux fruit
      • Lux saffron
      • Lux sandalwood
      • Lux rose
      • Lux international
      • Lux chocolate
      • Lux aromatic extracts
      • Lux oil and honey glow etc.
    • Logo: Labelling: Lux trade character or logo is present prominently in the package Female model Displayed graphically – Key ingredients
    • Packaging: Different colors – Different variants( Saffron – Saffron variants & Pink – Rose extracts etc. ) Package size – 100gm, 120gm, 150 gm Launched – Mini Lux – 45gm - Rs 5
    • Price:
      • Competitive prices: Neither high nor low
    • Place:
      • HUL distribution network – key strength (Which helps reach out its product across the length and width of the vast country)
      • 2000+ Suppliers & Associates
      • 7000 Stockists
      • Direct coverage in over 1 million retail outlets
    • Network:
      • Factory – Company warehouses – Distributor – Market
      • Factory – Wholesaler & Big retailers (Bulk orders) – 30% Sales
    • Promotion:
      • Active since 1929
      • Featured all top actress of their times.
      • Idea: if it is good enough for a film star, it is good
      • for me.
    •  
    • First Male Brand Ambassador:
    • South India: 1970 – Jayalalitha Shriya Sharan
    • Sales Promotion:
      • Lux gold star offer: 22 Carat Gold coin in the Soap – First 10 caller (Extra 30 gm gold)
      • Lux star bano, Aish karo contest: A special promotional pack of lux soap – Scratch card -50 lucky winner got the chance to meet Aishwarya rai.
    • SWOT Analysis
    • Strengths:
      • Strong market research (Door to door sampling – once in a year – Rural and Urban area.)
      • Many variants (Almond oil, Orchid extracts, Milk cream, Fruit extracts, Saffron sandalwood oil and Honey)
      • Strong sales and distribution network backed by HUL
      • Strong brand image
      • Dynamically continuous innovations – New variants and innovative promotions (22 carat gold coin promotion – “Chance Hai”)
      • Strong brand promotion but relatively lower prices – Winning combination.
      • Mass appeal/Market presence across all segments ( 15% of soap market)
    • Weakness:
      • Mainly positioned as beauty soap targeted towards women, lack unisex appeal
      • Some variation like the sunscreen, international variant did not do well in the market
      • Not much popular in rural areas
    • Opportunities:
      • Soap industry is growing by 10% in India
      • Beauty segments compounded annual growth rate (CAGR) is very high
      • Liquid body wash is currently in growth stage – Lux should come out with more variants in this segment
      • Large market share – Strong hold over the market
    • Threats:
      • High internal competition (Pears – Beauty segment)
      • New entrants (Vivel)
      • Maturity stage – threat of slipping down to decline stage – if constant reinvention is not carried out
    • Competitor Analysis
    • Internal Competitor:
      • Lifebuoy: 1895, 18% Market shares
      External Competitor:
      • Godrej consumers products limited (GCPL):
      • 2 nd Largest soap maker after HUL
      • 9.2% Market share
      • Brands: Cinthol, Fairglow, Nikhar
      • Wipro:
      • Brand: Santoor (No 1 in AP) and Chandrika
      • ITC:
      • 1.75% growth in initial five months
      • Brand: Superia, Fiama di wills and Vivel
      • Sold in six states
    • Market segmentation
    • Market segmentation of Lux
      • Gender: Female
      • Age: 16-35
      • Income: Middle income group (Rs. 15 to 20)
      • Highest selling beauty soap in urban area (Rural area: Lifebuoy)
      • Expensive – Affordable,
      • Target Area: Urban and Sub urban – Upper middle and middle class people
    • Product Positioning of Lux
      • Created Good Position – Buyers mind – Better product attributes, price and quality
      • Offering product in a different way
      • Offering – improved quality of the product – affordable price with high branding – to position the product as a best quality beauty soap in buyers mind.
      • Market share of HUL: 54.3%
      • Market share of LUX: 15%
      • Better Positioning – Market leader of beauty soap
    • Recommendation:
    • Recommendation:
      • Ayurvedic variant
      • Lux kids special soap
      • Target rural area
      • Target male customers
    • References:
    • References:
      • www.capitaline.com
      • www.hul.com
      • www.google.com
      • www.wikipedia.com
      • www.mbaparadise.com
      • www.fmcg.com
    •  
    • Questions???