3. • Company was established in India in 1947 as the Indian branch of
cheseborough-pond’s Inc.
• Pond’s (India) Ltd., was manufacturing and marketing toiletries and
cosmetics with an annual gross sale turnover of Rs160 millions in
accounting year 1978-79.
• Few products of pond’s company are:
• Dreamflower talc
• Pond’s cold cream
• Pond’s vanishing cream
• Pond’s face powder
• Angel face compact powder
• Vaseline white petroleum jelly
Case facts
4. • Pond’s products were market-leaders with shares ranging from 20%-
25% with estimated 25 million consumers.
• The company profit after tax in 1977-78 was 2.4million with a
dividend of 12%.
• The company employed 430 people directly and 60,000 households
indirectly.
• The production of cold cream market in India (organized sector) is
estimated about Rs60 million in 1978.
• Pond’s cold cream, being one of the early entrants in cold cream
market.
10. BCG MATRIX OF PONDS
STAR
PONDS GOLD
ANTI-AGEING CREAM
PONDS RADIANCE
PONDS WHITENING
QUESTION MARK
PONDS BODY LOTION
CASH COW
PONDS TALC
PONDS FACE WASH
PONDS COLD CREAM
DOG
13. Competitive rivals within an industry
• Fast industry growth rate
• Relatively few competitors
• Low storage cost
14. BARGANING POWER OF SUPPLIERS
• Input have little impact on costs
• Low cost of switching supplier
• Critical production inputs are similar
15. BARGANING POWER OF CUSTOMERS
• Buyers require special customization
• Large no. of customers
• Limited buyer choice
16. THREAT OF NEW ENTRANRS
• High capital requirement
• High sunk costs limit competition
• Strong brand name are important
• Customers are loyal to existing brands
17. THREAT OF SUBSTITUTE PRODUCTS
• Substitute has lower performance
• Substitute is lower quality
• Substantial product differentiation
• Limited no. of substitutes
18.
19.
20.
21. STRENGTHS
• Pond’s has many good quality products which care for and restore the
skin’s natural balance
• Excellent advertising and branding as Pond’s is one of the most
recognized brands
• The packaging of Pond’s products are eye-catching, suitable for its
target market
• Sponsorship of events, beauty pageants etc helps the brand grow
• Excellent distribution of Unilever helps the brand Ponds reach out to
many people
22. WEAKNESS
• Most products have limited packaging sizes, which may be
inconvenient for some consumers
• Intense competition in the cosmetics industry from international
brands affects market share growth for Ponds
23. OPPORTUNITY
• Expansion of cosmetics industry into semi-urban and rural areas of
the country
• Targeting audience from all age groups
• Leveraging the existing brand name of Ponds and Unilever to boost
their business further
24. THREAT
• High price for the products can limit potential consumers
• Cosmetic Care still not a market in rural parts of the world
• Availability of cheaper products from other brands in the
market
• Fake imitations can affect Ponds business