This document summarizes Unilever's marketing strategies for targeting low-income consumers in Brazil from 1997-2007. It discusses Unilever's large market share in detergent powders in Brazil, the characteristics of low-income consumers in northeastern Brazil, and the implications and benefits of targeting this consumer segment. It also describes Unilever's brand portfolio, including its premium Omo brand and cheaper Campeiro brand, and introduces a new brand called Campeiro Plus aimed at low-income consumers by providing better cleaning power at a similar price point to competitors.

1. Unilever in Brazil (1997-2007) Marketing Strategies for Low-Income Consumers

2. Agenda International Marketing Case - Unilever in Brazil Introduction to the Brazilian Market Why the Low-Income Segment Should be Targeted Implications of Targeting the Low-Income Segment Brand Portfolio and Positioning xxx xxx

3. Agenda International Marketing Case - Unilever in Brazil Introduction to the Brazilian Market Why the Low-Income Segment Should be Targeted Implications of Targeting the Low-Income Segment Brand Portfolio and Positioning xxx xxx

4. High Success in the Overall Brazilian Detergent Powder and Laundry Soap Market Brand Portfolio Omo (powder premium brand) Minerva (sold as powder & laundry soap) Campeiro (cheapest powder brand) International Marketing Case - Unilever in Brazil 81% market share in detergent powder category Vs. 15% market share of P&G, the next biggest competitor

5. Low- Income Consumers in Northeastern Brazil Constitute a Large but very Specific Customer Segment International Marketing Case - Unilever in Brazil Demographic Background 48 million low-income consumers 28% of Brazil‘s total population 40% illiterate Per capita income of $ 2,250 53% live on less than two minimum wages Laundry and Detergent Use Patterns Clothes washed frequently due to few clothes and more time Pleasurable activity (washing in a public laundry, river, or pond; meeting and chatting with friends)

6. Agenda International Marketing Case - Unilever in Brazil Introduction to the Brazilian Market Why the Low-Income Segment Should be Targeted Implications of Targeting the Low-Income Segment Brand Portfolio and Positioning xxx xxx

7. Fierce Competition and Multiplication Effect To Other Product Categories International Marketing Case - Unilever in Brazil Detergents are Cash Cow Competition Fuel for growth in the food and personal care categories P&G drawing on worldwide R&D and marketing expertise is closing up and will attack in this segment Threat of small local brands targeted at low- income consumers 1 2

8. Particularly the Detergent Powder Market is Highly Lucrative and Growing but Competitive International Marketing Case - Unilever in Brazil 17% annual growth rate High barriers to entry Market $106m with share of $79,5m 6% annual growth rate Low barriers to entry Market $102m with share of $19,38m Detergents Powder Market Laundry Soap Market 3 4

9. Agenda International Marketing Case - Unilever in Brazil Introduction to the Brazilian Market Why the Low-Income Segment Should be Targeted Implications of Targeting the Low-Income Segment Brand Portfolio and Positioning xxx xxx

10. More Positive Effects of Targeting the Low-Income Market in the Short- and Long-Term International Marketing Case - Unilever in Brazil Long-Term Implications Short-Term Implications With the right strategy, low income consumers will be ready to pay for a new brand and Omo buyers will not move Becoming a leader in low-income consumer marketing Money has to be invested and therefore diverted from premium brands to low price brand Gaining momentum and first mover advantage in a fast growing market

11. Agenda International Marketing Case - Unilever in Brazil Introduction to the Brazilian Market Why the Low-Income Segment Should be Targeted Implications of Targeting the Low-Income Segment Brand Portfolio and Positioning xxx xxx

12. Current Brand Portfolio International Marketing Case - Unilever in Brazil

13. Why Brand Extension required International Marketing Case - Unilever in Brazil

14. International Marketing Case - Unilever in Brazil Price Index

15. International Marketing Case - Unilever in Brazil Price Index

16. Positioning Statement Who we are Major manufacturers in Food, Home care and Personal care What business are we looking NE Brazilian Fabric Wash Market Who is the Target Market Low income groups of NE Brazil Need of the Target Market A Detergent powder(like Omo) at an affordable price with better characteristics than detergents like Campeiro Competitors Invicto , Pop, Campeiro The USP The Cleaning ability comparable to a Laundry soap International Marketing Case - Unilever in Brazil

17. Positioning Statement “ To the women who give cleanliness the highest priority. Campeiro Plus is a detergent powder which gives you a better cleaning power with much less effort than the similar priced competitors.” International Marketing Case - Unilever in Brazil

18. Thank You Very Much For Your Attention!