Harpic marketing mix


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Harpic brand marketing mix study

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  • By maintaining consistent pricing levels, Harpic convinces its customers that regardless of the change in fragrance formula, the strength of the product in toilet cleaning is the same, thus sustaining the core value.Some products are priced slightly above the standard price. For example, Harpic Ultra Power toilet cleaner costs Rs.4 more than other variants of 500ml. The price by itself convinces the customer that this specific product has a stronger cleaning effect than the others.Thus we can conclude that Harpic follows Value based pricing. Though the production costs might be different and not in proportion as the selling prices, the value of the product gets conveyed through the prices.
  • Inferences:Harpic knows that Houswives are the decision makers in purchasing, and wastes no effort in targeting any other class of customers.Incorporating Hussain has been a wise move, since he has been popular in the housewives through TV serials.
  • Harpic marketing mix

    1. 1. GROUP 25: Ananth Divya Goyle Nachiketas Waychal Neha Khullar Reeti Nageshri INDUSTRY PRESENTATION
    2. 2. HARPIC: READY FOR THE CHALLENGE?  Harpic, the leading toilet cleaning brand of Reckitt Benckiser India Ltd, was launched in India in 1984 and has seen tremendous growth from 2000 in Lavatory industry  It has a commanding market share of 80%  But its growth story attracted other low cost national and international players slowing down its growth in last couple of years  To defend its falling market, Harpic Brand team chalked out strategy to increase its penetration, consumption while ensuring its market mix  It attempts at allocating investments that are optimized for maximum returns for its brand growth
    3. 3. Situation Analysis Company •RB world’s no.1 in household cleaning has its brands divided into 6 categories •Surface care, fabric care, dishwash, home care, health and food •Operates in 60 countries and sells in 180 countries with revenues of 9.56 billion pounds in 2012 •Harpic is a lavatory care product with options such as liquid toilet bowl cleaners, toilet bowl blocks, cistern blocks, wipes and tablets Context •Toilet cleaning industry traditionally dominated by unbranded Phenols (Rs. 500 crore market) and braded cleaner only Rs 50crore •Liquid cleaners is the dominant category in the segment with 93 per cent share. In- cistern blocks growing at a faster pace. •Liquid segment is dominated by Harpic with 70% market share •Top 23 metros accounts for 52% share •Large number of customers use low- grade alternatives such as acids, bleaches and phenyls (37%) •Market penetration under 10 but is growing fast Competitors •Major players: •HUL – Domex (APDC) •Reckitt Benckiser - Harpic •Dabur Balsara - Sanifresh •Cavinkare - Tex •Henkel - Bref •Sara Lee - Kiwi Kleen •S C Johnson - Mr. Muscle •Local low cost acids and phenyls Consumer •In India, cleaning is a daily routine but toilet cleaning is less frequent (3-4 times a month) •Traditionally, Indians associate cleanliness more with visual cues rather than hygiene than the westerns who focused on Germ – free. •Brand initially faced slow acceptance as its substitutes like residual detergent water, phenyl, acids, detergents, bleach overpowered •Harpic was expensive, 5 times of acid which was perceived as a strongest cleaning agent. •A premium product for the working women Collaborator •CharlesdeGiorgio, a leading distributor handles the stores and warehousing for Reckitt Benckiser •RB has joined The Sustainability Consortium (TSC), an independent global organization that creates sustainability standards for consumer products. •Successful collaboration between retailers, suppliers and producers will enable the company deploy transformational changes on sustainability •It has also partnered with global charity Save the Children to help protect young children from diarrhea with its heath and hygiene products.
    4. 4. SWOT S TRENGTHS W EAKNESSES O PPORTUNITIES T HREATS Negative Internal factors External factors Positive •Strong backing of the company •Market leader in toilet care category •Good brand promotion by advertising and other media •Good distribution channel that ensures brand presence •One of the most popular brand in the cleansing market •Tough competition means limited market share growth •Fake products with similar names affects brand presence •Still major market not tapped •Should extend in rural market •Bring variety and innovation in products •Local players offering at low price •Substitutes such as detergents available for cleaning •Increase in low cost private labels •New innovative products coming in the market
    5. 5. COMPETITOR ANALYSIS Domex (HUL): with 18% market share, was launched as all purpose disinfectant cleaner To tap the small market and compete against phenyls HUL reduced the price of Domex from Rs.42 to Rs.22 per bottle As a frontal attack on Harpic, it relaunched as Specialist Toilet Cleaner with parity pricing, angle necked bottle and new communication. Sanifresh (Dabur):It uses volume gain strategy with heavy discounting but has very low presence in mass media and hence low market share Mr Muscle (SC Johnson & Co.): Launched in 2009, it has heavily relied on advertising on TV Its positioning is based on surface care – science of tough cleaning so promotes for use in toilet bowl as well outside surface and toilet floor
    6. 6. PRIMARY RESEARCH Number of respondents surveyed: 60 Method of surveying: Store visits, telephone calls, online surveys 34 26 Female Male Gender of respondents 33% 32% 20% 15% Age Group 18-24 25-34 35-49 50+ 30% 8% 62% Living with With family With friends Hostel/PG 23 37 Working Not working Working/Non-working 13 47 Indian Western Type of cistern
    7. 7. PRIMARY RESEARCH 9% 21% 2%5% 63% Awareness of toilet cleaning products Toilet care tablets In-cistern devices Rim blocks Rim liquids Toilet liquids 5% 3% 51%13% 28% Awareness of different Harpic products Tablet Rim block Flush matic Other accessories (brush, etc) None 71% 23% 4% 2% Source of Awareness TV ad Word of mouth Newspaper ad Other
    9. 9. IDENTIFYING THE EXISTING SEGMENTS IN THE MARKET Nurturers Married women (working or homemakers) that take care of the household needs Buy the best for the family in a budget Seekers Young, unmarried working adults; living alone away from home; Adapting to domestic responsibility Variety seeking behaviour and are looking for discounts Learners Rural customers who are still learning about the importance and means of toilet cleaning Price sensitive customers who are still using local substitutes (if at all) Planners Institutional buyers who make purchase decisions for the company and factory Large-scale systematic buying behaviour, do not change brand preference frequently
    10. 10.  Harpic, the leading toilet cleaning brand, was launched in India in 1984 and has seen tremendous growth from 2000 in Lavatory industry  It has a commanding market share of 80%  But its growth story attracted other international players slowing down its growth in last couple of years  To defend its falling market, Harpic Brand team has been chalking out strategy to increase its penetration, consumption by existing users while ensuring its market mix  It attempts at allocating investments that are optimized for maximum returns for its brand growth
    11. 11. 4 P’s  Product  Price  Promotion (Communication strategy)  Place (Distribution)
    12. 12. PRODUCT Harpic is available in India as Liquid cleaner, Rim block and flushmatic products: Liquid Cleaners:  Harpic power opti thick 200 ml  Harpic Citrus arrow 500 ml / 1 Ltr  Harpic Power Plus Original 200/500/750ml / 1 Ltr  Harpic Power Plus Rose 500 / 750 ml  Harpic Fresh Pine 500 ml / 1 Ltr  Harpic Fresh Floral Toilet Cleaner 500ml  Harpic Ultra Power Toilet Cleaner 500ml  Harpic Plus Bleach 500 ml Automatic Cleaners:  Harpic Flushmatic Blue 100g  Harpic Flushmatic Aquamarine Blue 50g  Harpic Flushmatic Pine 50/100g  Harpic Jasmine Toilet Rim Block 26g  Harpic Pine Toilet Rim Block 26g
    13. 13. PRODUCT CONTD… 1. Harpic has adhered to the core value of providing an effective cleaner. However, it’s also giving consumers added value attribute of replacing the regular disinfectant odor with a range of pleasant fragrances. 2. Consumer is free to choose the fragrance of his own choice, while retaining the confidence for the “Harpic” brand. 3. The launch of Flushmatic products is an innovative jump in the Lav Cleaner product range. 4. This has been developed to target that segment of consumers which looks forward to try and gradually adapt to new kind of products.
    14. 14. Points of Parity / Points of Difference  All Lav cleaner liquid products in India are packaged in tilted neck shaped bottles. This has almost become an identity of Lav cleaners.  Harpic “Ultra Power”s packaging has been strategically designed so to make it comparable with Domex Zero Stain: the strong looking lav cleaner.  Harpic is available in different fragrances: this move was initiated by Harpic itself. Other competitors are still seen catching up.  Harpic offers a wide range of products: liquid, tablets and cleaning accessories. This makes Harpic look like a complete package for toilet cleaning. This remains a quality unique to Harpic.
    15. 15. PRICE  Harpic toilet cleaner liquid bottles are available in the price range of Rs. 26 to Rs. 117, depending on the size and variant of cleaner.  One noticeable characteristic of these products is that the price remains constant throughout all the fragrances in given variant category.  The prices for Harpic power cleaner for ALL the fragrances are:  200 ml Rs. 26  500 ml Rs. 63  750 ml Rs. 89  1 Ltr Rs. 117  The Toilet Rim Block & Flushmatic products are priced as:  26 g (Rim Block) Rs. 52  50g Rs. 43  100g Rs. 75
    16. 16. PROMOTION Broad observations from Harpic communication through commercials:  Harpic has been targeting Housewives in its TV commercials since the very beginning  “Harpic: smart choice” is the message conveyed through these commercials  Every advertisement of Harpic shows dirty toilets that become clean after Harpic usage.  Hussain: the Favourite Pati and Favourite devar award winner from Star Plus serials was the brand ambassador till August 2013  Now he is replaced by Vishal Malhotra.
    17. 17. PLACE (DISTRIBUTION) Harpic (Reckitt & Benckiser) has maintained top notch quality in supply chain by:  Leading the execution of NPD / EPD (New/Existing product development supporting supply chains) and the continuous gross margin improvement programs namely Squeeze and X-trim in Supply  Leading activities such as harmonization / standardization, benchmarking, sourcing studies in order to identify and develop further opportunities in South East Asia for Lav Care Category. Availability:  Harpic products are available at all kinds of retail outlets like:  Super markets  Grocery stores  Online retail websites  It’s supply is so designed that it meets the demand of all types of locations, ranging from Tier 1 cities, to semi- urban and rural towns.