Lux Soap

110,009
-1

Published on

Published in: Health & Medicine, Business
11 Comments
37 Likes
Statistics
Notes
No Downloads
Views
Total Views
110,009
On Slideshare
0
From Embeds
0
Number of Embeds
4
Actions
Shares
0
Downloads
4,490
Comments
11
Likes
37
Embeds 0
No embeds

No notes for slide

Lux Soap

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

    Clipping is a handy way to collect important slides you want to go back to later.

×