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Final report on 
Unilever 
By 
Abdul ahad 
Badar Munir 
M.Asif 
Hira Fatimah
History 
• Lever brothers is founded by 
WILLIAM HESKETH LEVER in 1890 
• Key player in food & household product industry 
• Historically grew through acquisitions 
LEVER BROTHERS, THE OLD NAME OF UNILEVER 
CHANGED INTO UNILEVER AFTER THE MERGER OF 
LEVER BROTHERS & MARGARINE UNIE IN 1930
History contd. 
UNILEVER IS A MULTI NATIONAL COMPANY 
IT IS ONE OF THE LARGEST CONSUMER 
GOODS COMPANIES IN THE WORLD 
ITS BRANDS ARE ON SALE IN 151 
COUNTRIES
History contd. 
Unilever (Pakistan) Limited Formerly known as Lever 
Brothers (Pakistan)Limited is by far the largest and most 
experienced fast moving consumer goods (FMCG) 
organization in Pakistan 
The major tea brands are Brooke Bond Supreme, Lipton 
Yellow Label, Pearl Dust and A-1 Karak Chai (formerly A-1 
Kenya mixture chai). Unilever has a dominant 35% market 
share in tea industry and is the leading player in the 
packaged tea market 
,company owns two of the most widely recognized brands 
'Lipton Yellow Label' and 'Brooke Bond Supreme'.
Unilever Staff 
TODAY UNILEVER EMPLOYEES 179,000 PEOPLE IN 
150 COUNTRIES WORLDWIDE 
TODAY UNILEVER EMPLOYEES IN PAKISTAN ARE 
1677 
Mission statement of Unilever is “ Unilever's mission is 
to add Vitality to life” 
Over 400 products but focuses mostly on 14 products
Unilever CEO and board of directors 
PAUL POLMAN” 
CEO OF UNILEVER (FROM OCT. 08) 
CEO UNILEVER PAKISTAN 
MR.EHSAN A.MALIK 
CEO IN PAKISTAN
Board of directors
Unilever brand umbrella
BCG MATRIX
STARS PRODUCTS OF ULP 
High growth rate & high market share 
• Lux 
• Sunsilk 
• Wall’s 
• Fair & lovely 
• Rafhan 
• Energile
Cash Cows 
Low growth rate & high market share 
• Surf excel 
• Ponds 
• Lipton 
• Close up 
• Blue band 
• Lifebuoy soap 
• Rexona 
• Knorr
Dogs 
Low growth rate & low market 
share 
•Wheel 
•Supreme tea 
•Lifebuoy shampoo
Question Mark 
High growth rate & 
low market share 
•Clear shampoo 
•Rin 
•Comfort
Discovery of Tea 
• In 2727 B.C Chinese Emperor Shen-Nung was boiling 
drinking water when a few leaves of a wild tea tree blew 
into the royal bowl. He discovered that the leaves imparted 
a delightful flavor to his water; and so it became his favored 
drink. 
• It is probable that tea was first cultivated in China, though it 
is possible that people in Thailand and Burma have used it 
for as long as the Chinese have.
Tea in Pakistan 
• Tea is the beverage made when the processed leaves 
Native to Southeast Asia, the tea plant, Camellia sinensis, 
is a small 
• In Pakistan, tea is only blended and packed, but not 
produced. Three basic categories of tea are marketed in 
Pakistan which are:-Mixture-Danedar-Chura Danedar is 
also known as leaf tea while Chura is known as dust tea. 
There are around five hundred flavors available in tea. The 
rural areas of Sindh are considered to be heavy consumers 
of dust tea. Punjab has a high consumption of leaf tea.
Contd. 
• It is estimated that Pakistanis consume over 130 million kg 
of tea worth over 4 billion rupees every year. 
• There are around five hundred flavors available in tea. 
• It's leaves have the chemicals, caffeine and tannin growing 
at an annual rate of 6%.Tea is an aromatic stimulant, 
containing various polyphonies, essential oils and caffeine. 
The concentration of caffeine in tea ranges from 2.5% to 
4.5% and it is this caffeine content that makes tea a useful 
stimulant. 
• The tea industry of Pakistan constitutes the target market 
of nearly half of 
the population and yearly consumption is 130,000 tons
Contd. 
• upper middle class in volume of 
1,950,000,middle class in volume of 5,200,000, lower middl 
e class in volume of3,900,000, lower class 1,300,000, 
calculated in percentage as 15%, 40%, 30%,and 10% 
respectively. The preference of buyers shows the concern 
in quality, aroma, strong newsstands the nature of tea type. 
• Pakistan is ranked as the third largest importer of tea in the 
world. 
• In 2003, as much as 109,000 tones of tea were consumed 
in Pakistan.
Lipton
Lipton 
• Lipton was created at the end of the 19th century by Sir 
Thomas Lipton 
• . Over a hundreds years on, Lipton now possesses 
thousands of acres of quality tea gardens in East Africa 
• The Lipton tea business was acquired by consumer goods 
company UNILEVER in a number of separate transactions, 
starting with the purchase of the US and Canadian Lipton 
business in 1938 and completed in 1972 when Unilever 
bought the remainder of the global Lipton business 
• In 1991, Unilever created a first Joint Venture with 
PepsiCo, the Pepsi Lipton Partnership, for the marketing of 
ready to drink (bottled and canned) teas in North America
Sir Thomas Lipton, founder of Lipton Tea.
Lipton Contd. 
• Under the slogan~ DIRECT FROM THE TEA GARDEN TO 
THE TEA POT, he made tea a popular and approachable 
drink for everyone high quality but reasonable priced 
• The Lipton tea are his heritage and they are more popular 
than ever. 
• LIPTON TEA is now WORLD LEADER and present in 
more than 150 countries 
• Lipton world of tea blending in Pakistan and around the 
world means only two things; 
Quality & Reliability.
Lipton Tea Mission 
• “Our purpose in Lipton is to meets the every 
day needs of people everywhere to anticipate 
the aspiration of our consumers and 
customers to respond creatively and 
competitively with products which raise the 
quality of life”
Lipton Tea Objective 
• The aim is to provide quality tea that is safe for the health 
and energizing for the mind and body with an unforgettable 
flavor. 
• Lipton has to retain its position as a market leader against 
all its competitors especially TAPAL who is its challenger 
• It has to interact directly with the consumers in order to be 
aware of the requirements and expectations of its 
consumers 
• It has to maintain its brand 
name and loyalty.
Lipton products
Lipton products Contd.
Target Market of Lipton 
• Commercially they target the urban 
areas of Pakistan who come in the 
category of average middle class or 
above. 
• Lipton’s target market involves 
specifically females in Pakistan.
POSITIONING 
• Initially the single idea behind Lipton is 
“Light premium priced tea with best quality ” 
For global citizen. 
• Later, they re-positioned itself specifically addressed local 
customers by old melody 
Chai chahye. Kaun sy janab 
Lipton he to hay hmm lajawab 
• Then they positioned its tea. The tea which 
“Clear The Mind”
Re- Positioning 
After that in 2009, new campaigns was launched 
which communicated that; 
It contains thiamine which sharpens the mind, 
so their message then was 
‘SIP OF INSPIRATION’.
Now the brand has transitioned towards a simpler 
message 
‘DRINK POSITIVE’ 
The idea is to communicate what a sip of Lipton 
can do, which is ‘bring a positive outlook in you 
and u will live healthy life’.
4P’s of Marketing 
Product 
Lipton Yellow Label has a brand image in the mind 
of consumer as hand picked close to the bud for 
best quality tea and finest taste. Lipton is the 
market leader in Danne Dar category of tea. They 
believe that quality is a way of life to us.
PRICE 
Lipton Yellow label never 
compromised on quality so they 
adopted value based pricing. 
• 100gm : Rs 65 
• 200gm : Rs 125 
• 500gm : Rs 280 
• 1000gm: Rs550
Placement 
• Lipton Yellow label has distribution network 
across Pakistan. 
• Its popularity in Pakistan make it No1 Brand in 
country. 
• It is available at more than 180000 outlets in 
Pakistan 
• Lipton has its Head quarter in Karachi and 650 
distribution offices all over the Pakistan
Promotional Tools 
• The Lipton does it promotion in following ways: 
• Advertisement 
• Personnel selling 
• Sales Promotions 
• Internet Marketing 
• Publicity 
• Co branding
S W O T 
STRENGTHS WEAKNESS OPPORTUNITIES THREATS 
•Internal analysis •External analysis •S~O Positive 
•W~T Negative 
The SWOT analysis is an extremely useful tool for understanding and decision-making 
for all sorts of situations in business and organizations
Lipton tea 
STRENGTHS 
•Already a market leader and a well known and 
reputed brand. 
•Extensive knowledge of local culture and 
tastes. 
•Wider product range with technological.
•Strong company image. 
•Strong brand portfolio. 
•Success of the slogan. 
•Quantity and variety. 
•Effective and attractive packaging. 
•High quality man power.
•Highly profitable non 
credit sales. 
•Strong Financial 
Position. 
•Highly innovative.
WEAKNESSES 
High prices of products. 
Substitute` s products. 
Policy of spending for the social 
responsibility. 
Distribution relatively weaker in areas other 
than Sindh (IN PAKISTAN)
Highly dependent on Lipton` s equity. 
Having too many brand extensions 
can dilute and confuse consumer 
perception and give fresh and new 
competitors to seize market share.
Lipton tea 
OPPORTUNITIES 
 Alliance with Pepsi to 
access massive distribution 
network. 
Presence of big, well known 
partners drives demand 
further.
Expansion in other 
beverage markets. 
Research and 
development. 
Expansion in other 
areas of country 
(PAKISTAN).
Declining markets for other 
beverages such as soft drinks. 
Greater awareness of health benefits 
of tea. 
Rising literacy. 
High rate of population growth.
THREATS 
•Overcrowded and small market 
with about 200 other brands 
which might cause significant 
demand reduction. 
•Lipton `s profit margin is 
exposed to rupee devaluation 
•High inflation with in country can negatively 
impact the new brands.
Marketing strategies 
Lipton is currently using 
total market strategy. 
By adopting reduce price strategy we can make more and 
permanent customers. 
We have to acquire new technology 
for production to meets the needs of customers 
Sales promotions like prizes, lucky draw schemes 
introduced to attract more customers. 
We celebrates customer satisfaction day on regular basis 
and we know about the feedback of the customers 
regarding the products and image of the company.
Distribution Channel 
Distribution channel of Lipton is
SALES PROMOTION 
• Lipton, the world’s leading tea brand, launched 
three month long Dip & Win consumer promotion 
campaign in June 2013.
• Price discount and allowances like 
Lipton recently launched a consumer promotion campaign 
announcing a massive price off (up to Rs 60 for its largest SKU 
of 950g). The concept is based on the message of TABDEELI
MARKETING CHANNELS 
• TV 
• Newspaper 
• Broaches 
• Magazines 
• Bill boards 
• Special promotions or packages 
• Internet marketing 
• Bus branding 
• Merchandising 
• Sponsorship
Conclusion 
Lipton is one of Pakistan’s leading and most loved brands. 
Their strong brand equity appeals to customers with its 
unique history and availability in more than 150 countries 
worldwide so consumers know and trust it. 
Lipton plays the role of an energetic brand that aims to 
redefine the meaning of tea in people’s lives. So Lipton is 
fulfilling its promise by 
Lipton tea providing great taste, aroma, flavor and color to 
their customer around the world.
Brooke Bond SUPREME
History 
• Brooke Bond & Company was founded by Arthur 
Brooke who was born at 6 George Street, Ashton-under- 
Lyne, Lancashire, England in 1845. He opened his first tea 
shop in 1869 at 23 Market Street, Manchester. Arthur 
Brooke chose the name because it was his 'bond' to 
customers to provide a quality tea, hence Brooke Bond. 
The firm expanded into wholesale tea sales in the 1870s. 
• Brooke Bond's most famous brand is PG Tips, launched in 
1930.The company merged with Liebig in 1968, 
becoming Brooke Bond Liebig, which was acquired 
by Unilever in 1984.
Founder of Brooke Bond Co.
Brooke Bond Supreme in Pakistan 
• Brooke Bond’s supreme blending expertise in tea blending 
together juicy leaves for the unique rich color, medium 
sized grains for the correct strength and top leaves for that 
irresistible aroma in the perfect combination to give that 
unmatchable in every single cup supreme tea 
• Brooke Bond supreme is a part of life for the Pakistani 
consumer bringing family closer together with its rich taste 
and traditions
Attributes of 
Supreme
Marketing Objectives 
• • Achieve target sales of 4000 kg/day. The strategy used to 
accomplish this objective would be to advertise by using all media 
vehicles selected, which will position Brooke Bond supreme to be the 
best quality beverage among target market. 
• • 
• After six months strategy of supreme will shift from selective 
distribution to intensive distribution slowly, there by maximizing the 
• number of retailers. 
• • 
• Once the awareness has been created, the main objective will be to 
increase the market share. The aim will be to achieve an increase in 
the market share of approximately 15% in the first year.
Market Development and Strategy 
• Market Development: 
• supreme is using market development to 
increase it’s sales volume, by entering in a new market of people 
who thinks tea is harmful for body. by a new advertisement of 
supreme using new slogan. 
• ‘’supreme tasty he nae healthy bhe ha’’ 
• žForward integration: 
• Supreme is using forward integration 
strategy to increase its sales volume in Pakistan , by maintaining good 
relation with distributers and retailers and by giving bounce 
• Multi-variables: 
• supreme targets whole tea drinkers in Pakistan no 
matter from any sex , age , income group and family size
Marketing Mix Strategy 
• little variety and variation Products
Price 
• The pricing strategy put to work is Markup Pricing Technique which states that after 
calculating the cost, required margin in percent should be include to determine the 
price, Moreover competition pricing is also considered. Therefore the price is 
marginally high than that of competitors to educate the consumers that the quality of 
the product is improved and of high quality. For an instance price of 100g is 
calculated as follows. 
• cheap price as compared to their rivals 
• Cost for 100 grams Rs 16.0 
• Packaging cost per box Rs 0.5 
• Distributors profit margin Rs 3.6 
• Retailers profit margin Rs 3.0 
• Total Rs 23.3 
• Gross Margin Rs 2.8 
• Total Price Rs 26.0 
• Pricing of other packages are 200gms for the price of Rs. 56/-, teabags 50 pc sare 
priced at 65, teabags are priced at Rs 125/- jar is priced at Rs 100Rs
Place 
• The company is using a two-level channel, where Company will hire a 
distributor who will work on commission basis and further more the 
distributor will sell the product to customer which will ultimately be sold to 
end-consumers. That is the channel of distribution would be from the 
manufacturer to the distributor to the retailer. 
• Geographically Supreme places itself in urban areas e.g 
Multan 
Hyderabad 
Quetta 
Peshawar 
Karachi 
Lahore 
Islamabad
Promotion 
• Television 
• Internet 
• News papers 
• Magazines 
• Word of mouth with slogans like “ yahi toh hy 
apna pan” 
• Introducing celebrities for their product sale 
• Giving discounts to attract consumers 
• Less advertisement
Advertisement 
• Supreme advertise its 
product as the sign of 
relation bonding 
• Celebrities also called for 
their product sales 
promotion
Competitive situation 
• Lipton and tapal Danedar are given tough time to the 
Brooke Bond Supreme. 
• Strengths 
• Weaknesses 
• Opportunities 
• Threats
Strengths 
• Supreme is having strong 
company image 
• Have sound and experienced 
management 
• Strong and long-term 
relationships with distributors, retailers and 
wholesalers 
• Outstanding marketing, sales and R&D 
Departments
Weaknesses 
• Lack of product assortment 
in supreme tea 
• Little advertisement and 
seldom promotional activities 
• Competition with a family brand Lipton
Opportunities 
• Variety can regain its position 
• High rate of population growth 
• Proper check and balance on smuggled tea 
• Variation in taste and quality 
• Through advertisement
Threats 
• Existing and new competitors like Tetly, Tapal etc 
• Inflation rise which reduces disposable income of 
consumers 
• Increase in the import duty which discourages production 
and consumption as well 
• Intensive and high marketing 
• strategies of rivals cause decrease in 
Supreme sale
BCG matrix 
• The product comes under dogs 
( low growth and low market share 
Supreme basically targets the middle 
class 
of population which 
makes a sense to bring 
relation closer at tea time
Distribution channels 
• Supreme use conventional distribution channel in which 
involves distributors,wholesalers,retailers, and then product 
reached to final consumer
Major reasons of declining 
• Lack of product assortment 
• Fierce competition 
• Lack of product variety as compared to Lipton 
and Tapal 
• Change in consumer performance
Supreme sales analysis
"We are at Tapal are committed to 
create powerful brands for our diverse 
consumer base."
• The Core 
• Tea Beverage 
• The Actual Product 
• Packaging and labeling: 
• Branding: Red color, aspect of refreshing, hard pack 
and soft pack both. 
• Trade name: Tapal Dander, a TAPAL product 
• Brand personality Freshness, Healthy, Innovative, 
etc. 
• Brand equity: Tapal Danedar provides a quality, 
consistent, innovative and accessible tea reputation.
• Tapal follows high-medium price 
strategy in which it offers high quality 
tea at reasonable prices. 
• Tapal also follows a Going Rate Pricing 
strategy, in which it bases its price 
largely on competitors’ price that is 
Unilever. 
• Unilever being the market leader always 
sets the price, and then Tapal 
accordingly allocates its prices, always 
lower than that of Unilever. 
• Besides taking the competition into 
account, Tapal does cost plus pricing
• In the beginning the company sole aim was 
to capture the tea market of Karachi, as 
they were already in tea business here, 
only and then strategically build there 
network to other cities of Pakistan. 
• Now Tapal has a distribution network 
spread across Pakistan, from Karachi to 
Khyber with over 410 distributors, 
Extensive training programs are provided 
for the devoted sales personnel. The 
popularity of its fine brands is unabated, 
making it the No.1 national tea company in 
Pakistan.
Tapal has a wider distribution coverage in 
the South where as Unilever has better 
distribution in the North. Therefore, Tapal’s 
main objective is to increase their sales in 
the North. It ensures that it places its tea in 
the same outlets as its competitors in order 
to maximize availability. The distribution 
coverage of Tapal is as follows: 
Karachi 14% 
Lahore 34% 
Islamabad 18% 
Sukkur 22% 
Hyderabad 12% 
Tapal caters to its customers by providing 
Tapal Danedar and Family Mixtures to more 
than 140,000 outlets in Pakistan, which 
include superstores, department stores etc
Major Activities
Transformed Soft Pack to Hard 
Pack with the use of the 
following communication 
platforms 
•Sales Briefing Sessions 
•Pack Revealing Ceremony 
•Press Conference 
•Press Advertisement 
•Radio Commercial Airing 
•Bill Board Advertisement 
•Shop Signage's
Thematic campaign was also 
launched with complete ATL and BTL 
support 
The TVC was aired on 
•GEO Entertainment 
•GEO News 
•HUM TV 
•ARY Digital 
•ATV 
•Express News 
•KTN 
•APNA
Promotion of tapal: 
A large part of their advertisement and compaigns 
reflects its local market Pakistan. 
They have got a strong position in Pakistan b/c of 
their strong advertisiment.
• A CP was offered in the month of 
March which ran nationally across 
all channels 
• A “Glass Mug” was offered free 
with every box of DD TB 200g 
• The CP was put forward with the 
following support 
– POS material 
– Radio Commercial 
– Mobile Backlighted Vans
Target market 
target market of Lipton: 
Lipton has targeted its market successfully and it has 
selected the following sections of the international market to 
be targeted. 
 Geographically 
Age group 
Gender 
Social class
Target market of Tapal: 
Tapal has targeted its market successfully and it has 
selected the following specific sections of Pakistani 
market and some sections of international market: 
Geographically 
People of all behaviors 
in Pakistan 
Age group 
Social class
MARKET POSITIONING 
POSITIONING OF LIPTON: 
Some of successful steps taken by Lipton in order to 
position its target market are following: 
Acquired by Unilever. 
Joint ventures with Pepsi 
Received a Corporate Green Globe Award
POSITIONING OF TAPAL: 
Tapal has positioned its target market by its excellent performance from the 
very beginning. Some of its achievements, due to which people started 
preferring Tapal’s products are: 
 Pakistan Advertising Society (PAS) Award 2011- Campaign of the Year: Tapal 
Danedar “Har Mizaaj se Ashna” 
 All Pakistan Newspaper Society (APNS) Award 2010- Best Print 
 Pakistan Advertising Association Excellence Awards 2005
Tapal Sales Volume
Sales Volume of Tea
Annually sales of tea in Pakistan's tea market
PERSIL POWER 
One Stubborn Stain on Unilever’s 
Reputation
OUTLINE 
UUnniilleevveerr PPrrooffiillee 
PPeerrssiill && PPeerrssiill PPoowweerr 
PPeerrssiill PPoowweerr AAcchhiieevveemmeenntt 
PPeerrssiill PPoowweerr FFaaiilluurree 
CCoonnsseeqquueennccee aanndd SSoolluuttiioonn 
MMaarrkkeettiinngg LLeessssoonnss 
1 
2 
3 
4 
5 
6
COMPETITOR
Persil arrival 
• called PERSIL-a soap for washing clothes. In the mid- 
1990s, the total UK market for soaps and detergents was 
worth US 2,6billion usd and 
was fabric washing,worth£960 million and 67,5 per cent of 
the total sector. The competition between 
the two leading companies within the sector Unilever and 
Procter &Gamble, was intensive and led to a quest for 
more and more innovative brand offerings 
• the product hit the market place in May 1994, it proved so 
powerful that under certain conditions it didn’t only destroy 
stains, it destroyed clothes as well.
PERSIL & PERSIL POWER 
Launched in 
early 90s 
PERSIL = Per 
borate + 
Silicate 
PPeerrssiill PPoowweerr 
ccoommppeetteess AArriieell
PERSIL POWER ACHIEVEMENT 
MAKE 
DIFFERENTIATION 
HIGH 
CONSUMPTION 
MOST 
SIGNIFICANT 
OVERTOOK 
ARIEL 
22 33 
THING 
11 44
PERSIL POWER FAILURE
Failure Details of Persil 
• When Unilever’s star brand Persil announced the launch of a 
powerful 
new formula, called Persil Power, many consumers got excited 
by the product’s apparent ability to fight any stain. However, 
when the product hit the market place in May 1994, it proved so 
powerful that under certain conditions it didn’t only destroy 
stains, it destroyed clothes 
• A patented manganese component called an ‘accelerator’ which 
was put in the powder – also proved to be its fatal flaw. As soon 
as stories of disintegrated clothes started to emerge, Procter & 
Gamble ploughed their resources into an accusation-laden 
publicity campaign which not only damaged Persil Power, but 
also had implications for Unilever itself. Consumers soon 
understood that the product could damage materials at high 
temperatures, and that if they bought Persil Power they risked 
destroying their clothes.
CONTD. 
• .At the start of 1995 Unilever replaced Persil Power with 
Persil New Generation. The overall cost was estimated at 
more than £200 million. Now, however, the whole episode 
is almost forgotten in the UK customer’s mind, and Unilever 
has bounced back with its launch of detergenttablets.Indee 
d, the Persil brand has now regained leadership
CONSEQUENCE & SOLUTION 
 Consequence: Most retailer rejects Persil. 
Persil 
Power 
Persil New 
Generation 
$200 
million
MARKETING LESSONS 
Accept that no brand is an 
exception 
Test products in all 
conditions
Thank You!

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Final report on unilever for MBA from NCBA&Eians

  • 1. Final report on Unilever By Abdul ahad Badar Munir M.Asif Hira Fatimah
  • 2. History • Lever brothers is founded by WILLIAM HESKETH LEVER in 1890 • Key player in food & household product industry • Historically grew through acquisitions LEVER BROTHERS, THE OLD NAME OF UNILEVER CHANGED INTO UNILEVER AFTER THE MERGER OF LEVER BROTHERS & MARGARINE UNIE IN 1930
  • 3. History contd. UNILEVER IS A MULTI NATIONAL COMPANY IT IS ONE OF THE LARGEST CONSUMER GOODS COMPANIES IN THE WORLD ITS BRANDS ARE ON SALE IN 151 COUNTRIES
  • 4. History contd. Unilever (Pakistan) Limited Formerly known as Lever Brothers (Pakistan)Limited is by far the largest and most experienced fast moving consumer goods (FMCG) organization in Pakistan The major tea brands are Brooke Bond Supreme, Lipton Yellow Label, Pearl Dust and A-1 Karak Chai (formerly A-1 Kenya mixture chai). Unilever has a dominant 35% market share in tea industry and is the leading player in the packaged tea market ,company owns two of the most widely recognized brands 'Lipton Yellow Label' and 'Brooke Bond Supreme'.
  • 5. Unilever Staff TODAY UNILEVER EMPLOYEES 179,000 PEOPLE IN 150 COUNTRIES WORLDWIDE TODAY UNILEVER EMPLOYEES IN PAKISTAN ARE 1677 Mission statement of Unilever is “ Unilever's mission is to add Vitality to life” Over 400 products but focuses mostly on 14 products
  • 6. Unilever CEO and board of directors PAUL POLMAN” CEO OF UNILEVER (FROM OCT. 08) CEO UNILEVER PAKISTAN MR.EHSAN A.MALIK CEO IN PAKISTAN
  • 10. STARS PRODUCTS OF ULP High growth rate & high market share • Lux • Sunsilk • Wall’s • Fair & lovely • Rafhan • Energile
  • 11. Cash Cows Low growth rate & high market share • Surf excel • Ponds • Lipton • Close up • Blue band • Lifebuoy soap • Rexona • Knorr
  • 12. Dogs Low growth rate & low market share •Wheel •Supreme tea •Lifebuoy shampoo
  • 13. Question Mark High growth rate & low market share •Clear shampoo •Rin •Comfort
  • 14. Discovery of Tea • In 2727 B.C Chinese Emperor Shen-Nung was boiling drinking water when a few leaves of a wild tea tree blew into the royal bowl. He discovered that the leaves imparted a delightful flavor to his water; and so it became his favored drink. • It is probable that tea was first cultivated in China, though it is possible that people in Thailand and Burma have used it for as long as the Chinese have.
  • 15. Tea in Pakistan • Tea is the beverage made when the processed leaves Native to Southeast Asia, the tea plant, Camellia sinensis, is a small • In Pakistan, tea is only blended and packed, but not produced. Three basic categories of tea are marketed in Pakistan which are:-Mixture-Danedar-Chura Danedar is also known as leaf tea while Chura is known as dust tea. There are around five hundred flavors available in tea. The rural areas of Sindh are considered to be heavy consumers of dust tea. Punjab has a high consumption of leaf tea.
  • 16. Contd. • It is estimated that Pakistanis consume over 130 million kg of tea worth over 4 billion rupees every year. • There are around five hundred flavors available in tea. • It's leaves have the chemicals, caffeine and tannin growing at an annual rate of 6%.Tea is an aromatic stimulant, containing various polyphonies, essential oils and caffeine. The concentration of caffeine in tea ranges from 2.5% to 4.5% and it is this caffeine content that makes tea a useful stimulant. • The tea industry of Pakistan constitutes the target market of nearly half of the population and yearly consumption is 130,000 tons
  • 17. Contd. • upper middle class in volume of 1,950,000,middle class in volume of 5,200,000, lower middl e class in volume of3,900,000, lower class 1,300,000, calculated in percentage as 15%, 40%, 30%,and 10% respectively. The preference of buyers shows the concern in quality, aroma, strong newsstands the nature of tea type. • Pakistan is ranked as the third largest importer of tea in the world. • In 2003, as much as 109,000 tones of tea were consumed in Pakistan.
  • 19. Lipton • Lipton was created at the end of the 19th century by Sir Thomas Lipton • . Over a hundreds years on, Lipton now possesses thousands of acres of quality tea gardens in East Africa • The Lipton tea business was acquired by consumer goods company UNILEVER in a number of separate transactions, starting with the purchase of the US and Canadian Lipton business in 1938 and completed in 1972 when Unilever bought the remainder of the global Lipton business • In 1991, Unilever created a first Joint Venture with PepsiCo, the Pepsi Lipton Partnership, for the marketing of ready to drink (bottled and canned) teas in North America
  • 20. Sir Thomas Lipton, founder of Lipton Tea.
  • 21. Lipton Contd. • Under the slogan~ DIRECT FROM THE TEA GARDEN TO THE TEA POT, he made tea a popular and approachable drink for everyone high quality but reasonable priced • The Lipton tea are his heritage and they are more popular than ever. • LIPTON TEA is now WORLD LEADER and present in more than 150 countries • Lipton world of tea blending in Pakistan and around the world means only two things; Quality & Reliability.
  • 22. Lipton Tea Mission • “Our purpose in Lipton is to meets the every day needs of people everywhere to anticipate the aspiration of our consumers and customers to respond creatively and competitively with products which raise the quality of life”
  • 23. Lipton Tea Objective • The aim is to provide quality tea that is safe for the health and energizing for the mind and body with an unforgettable flavor. • Lipton has to retain its position as a market leader against all its competitors especially TAPAL who is its challenger • It has to interact directly with the consumers in order to be aware of the requirements and expectations of its consumers • It has to maintain its brand name and loyalty.
  • 26. Target Market of Lipton • Commercially they target the urban areas of Pakistan who come in the category of average middle class or above. • Lipton’s target market involves specifically females in Pakistan.
  • 27. POSITIONING • Initially the single idea behind Lipton is “Light premium priced tea with best quality ” For global citizen. • Later, they re-positioned itself specifically addressed local customers by old melody Chai chahye. Kaun sy janab Lipton he to hay hmm lajawab • Then they positioned its tea. The tea which “Clear The Mind”
  • 28. Re- Positioning After that in 2009, new campaigns was launched which communicated that; It contains thiamine which sharpens the mind, so their message then was ‘SIP OF INSPIRATION’.
  • 29. Now the brand has transitioned towards a simpler message ‘DRINK POSITIVE’ The idea is to communicate what a sip of Lipton can do, which is ‘bring a positive outlook in you and u will live healthy life’.
  • 30. 4P’s of Marketing Product Lipton Yellow Label has a brand image in the mind of consumer as hand picked close to the bud for best quality tea and finest taste. Lipton is the market leader in Danne Dar category of tea. They believe that quality is a way of life to us.
  • 31. PRICE Lipton Yellow label never compromised on quality so they adopted value based pricing. • 100gm : Rs 65 • 200gm : Rs 125 • 500gm : Rs 280 • 1000gm: Rs550
  • 32. Placement • Lipton Yellow label has distribution network across Pakistan. • Its popularity in Pakistan make it No1 Brand in country. • It is available at more than 180000 outlets in Pakistan • Lipton has its Head quarter in Karachi and 650 distribution offices all over the Pakistan
  • 33. Promotional Tools • The Lipton does it promotion in following ways: • Advertisement • Personnel selling • Sales Promotions • Internet Marketing • Publicity • Co branding
  • 34. S W O T STRENGTHS WEAKNESS OPPORTUNITIES THREATS •Internal analysis •External analysis •S~O Positive •W~T Negative The SWOT analysis is an extremely useful tool for understanding and decision-making for all sorts of situations in business and organizations
  • 35. Lipton tea STRENGTHS •Already a market leader and a well known and reputed brand. •Extensive knowledge of local culture and tastes. •Wider product range with technological.
  • 36. •Strong company image. •Strong brand portfolio. •Success of the slogan. •Quantity and variety. •Effective and attractive packaging. •High quality man power.
  • 37. •Highly profitable non credit sales. •Strong Financial Position. •Highly innovative.
  • 38. WEAKNESSES High prices of products. Substitute` s products. Policy of spending for the social responsibility. Distribution relatively weaker in areas other than Sindh (IN PAKISTAN)
  • 39. Highly dependent on Lipton` s equity. Having too many brand extensions can dilute and confuse consumer perception and give fresh and new competitors to seize market share.
  • 40. Lipton tea OPPORTUNITIES  Alliance with Pepsi to access massive distribution network. Presence of big, well known partners drives demand further.
  • 41. Expansion in other beverage markets. Research and development. Expansion in other areas of country (PAKISTAN).
  • 42. Declining markets for other beverages such as soft drinks. Greater awareness of health benefits of tea. Rising literacy. High rate of population growth.
  • 43. THREATS •Overcrowded and small market with about 200 other brands which might cause significant demand reduction. •Lipton `s profit margin is exposed to rupee devaluation •High inflation with in country can negatively impact the new brands.
  • 44. Marketing strategies Lipton is currently using total market strategy. By adopting reduce price strategy we can make more and permanent customers. We have to acquire new technology for production to meets the needs of customers Sales promotions like prizes, lucky draw schemes introduced to attract more customers. We celebrates customer satisfaction day on regular basis and we know about the feedback of the customers regarding the products and image of the company.
  • 45. Distribution Channel Distribution channel of Lipton is
  • 46. SALES PROMOTION • Lipton, the world’s leading tea brand, launched three month long Dip & Win consumer promotion campaign in June 2013.
  • 47. • Price discount and allowances like Lipton recently launched a consumer promotion campaign announcing a massive price off (up to Rs 60 for its largest SKU of 950g). The concept is based on the message of TABDEELI
  • 48. MARKETING CHANNELS • TV • Newspaper • Broaches • Magazines • Bill boards • Special promotions or packages • Internet marketing • Bus branding • Merchandising • Sponsorship
  • 49. Conclusion Lipton is one of Pakistan’s leading and most loved brands. Their strong brand equity appeals to customers with its unique history and availability in more than 150 countries worldwide so consumers know and trust it. Lipton plays the role of an energetic brand that aims to redefine the meaning of tea in people’s lives. So Lipton is fulfilling its promise by Lipton tea providing great taste, aroma, flavor and color to their customer around the world.
  • 51. History • Brooke Bond & Company was founded by Arthur Brooke who was born at 6 George Street, Ashton-under- Lyne, Lancashire, England in 1845. He opened his first tea shop in 1869 at 23 Market Street, Manchester. Arthur Brooke chose the name because it was his 'bond' to customers to provide a quality tea, hence Brooke Bond. The firm expanded into wholesale tea sales in the 1870s. • Brooke Bond's most famous brand is PG Tips, launched in 1930.The company merged with Liebig in 1968, becoming Brooke Bond Liebig, which was acquired by Unilever in 1984.
  • 52. Founder of Brooke Bond Co.
  • 53. Brooke Bond Supreme in Pakistan • Brooke Bond’s supreme blending expertise in tea blending together juicy leaves for the unique rich color, medium sized grains for the correct strength and top leaves for that irresistible aroma in the perfect combination to give that unmatchable in every single cup supreme tea • Brooke Bond supreme is a part of life for the Pakistani consumer bringing family closer together with its rich taste and traditions
  • 55. Marketing Objectives • • Achieve target sales of 4000 kg/day. The strategy used to accomplish this objective would be to advertise by using all media vehicles selected, which will position Brooke Bond supreme to be the best quality beverage among target market. • • • After six months strategy of supreme will shift from selective distribution to intensive distribution slowly, there by maximizing the • number of retailers. • • • Once the awareness has been created, the main objective will be to increase the market share. The aim will be to achieve an increase in the market share of approximately 15% in the first year.
  • 56. Market Development and Strategy • Market Development: • supreme is using market development to increase it’s sales volume, by entering in a new market of people who thinks tea is harmful for body. by a new advertisement of supreme using new slogan. • ‘’supreme tasty he nae healthy bhe ha’’ • žForward integration: • Supreme is using forward integration strategy to increase its sales volume in Pakistan , by maintaining good relation with distributers and retailers and by giving bounce • Multi-variables: • supreme targets whole tea drinkers in Pakistan no matter from any sex , age , income group and family size
  • 57. Marketing Mix Strategy • little variety and variation Products
  • 58. Price • The pricing strategy put to work is Markup Pricing Technique which states that after calculating the cost, required margin in percent should be include to determine the price, Moreover competition pricing is also considered. Therefore the price is marginally high than that of competitors to educate the consumers that the quality of the product is improved and of high quality. For an instance price of 100g is calculated as follows. • cheap price as compared to their rivals • Cost for 100 grams Rs 16.0 • Packaging cost per box Rs 0.5 • Distributors profit margin Rs 3.6 • Retailers profit margin Rs 3.0 • Total Rs 23.3 • Gross Margin Rs 2.8 • Total Price Rs 26.0 • Pricing of other packages are 200gms for the price of Rs. 56/-, teabags 50 pc sare priced at 65, teabags are priced at Rs 125/- jar is priced at Rs 100Rs
  • 59. Place • The company is using a two-level channel, where Company will hire a distributor who will work on commission basis and further more the distributor will sell the product to customer which will ultimately be sold to end-consumers. That is the channel of distribution would be from the manufacturer to the distributor to the retailer. • Geographically Supreme places itself in urban areas e.g Multan Hyderabad Quetta Peshawar Karachi Lahore Islamabad
  • 60. Promotion • Television • Internet • News papers • Magazines • Word of mouth with slogans like “ yahi toh hy apna pan” • Introducing celebrities for their product sale • Giving discounts to attract consumers • Less advertisement
  • 61. Advertisement • Supreme advertise its product as the sign of relation bonding • Celebrities also called for their product sales promotion
  • 62. Competitive situation • Lipton and tapal Danedar are given tough time to the Brooke Bond Supreme. • Strengths • Weaknesses • Opportunities • Threats
  • 63. Strengths • Supreme is having strong company image • Have sound and experienced management • Strong and long-term relationships with distributors, retailers and wholesalers • Outstanding marketing, sales and R&D Departments
  • 64. Weaknesses • Lack of product assortment in supreme tea • Little advertisement and seldom promotional activities • Competition with a family brand Lipton
  • 65. Opportunities • Variety can regain its position • High rate of population growth • Proper check and balance on smuggled tea • Variation in taste and quality • Through advertisement
  • 66. Threats • Existing and new competitors like Tetly, Tapal etc • Inflation rise which reduces disposable income of consumers • Increase in the import duty which discourages production and consumption as well • Intensive and high marketing • strategies of rivals cause decrease in Supreme sale
  • 67. BCG matrix • The product comes under dogs ( low growth and low market share Supreme basically targets the middle class of population which makes a sense to bring relation closer at tea time
  • 68. Distribution channels • Supreme use conventional distribution channel in which involves distributors,wholesalers,retailers, and then product reached to final consumer
  • 69. Major reasons of declining • Lack of product assortment • Fierce competition • Lack of product variety as compared to Lipton and Tapal • Change in consumer performance
  • 71.
  • 72.
  • 73. "We are at Tapal are committed to create powerful brands for our diverse consumer base."
  • 74.
  • 75.
  • 76. • The Core • Tea Beverage • The Actual Product • Packaging and labeling: • Branding: Red color, aspect of refreshing, hard pack and soft pack both. • Trade name: Tapal Dander, a TAPAL product • Brand personality Freshness, Healthy, Innovative, etc. • Brand equity: Tapal Danedar provides a quality, consistent, innovative and accessible tea reputation.
  • 77. • Tapal follows high-medium price strategy in which it offers high quality tea at reasonable prices. • Tapal also follows a Going Rate Pricing strategy, in which it bases its price largely on competitors’ price that is Unilever. • Unilever being the market leader always sets the price, and then Tapal accordingly allocates its prices, always lower than that of Unilever. • Besides taking the competition into account, Tapal does cost plus pricing
  • 78. • In the beginning the company sole aim was to capture the tea market of Karachi, as they were already in tea business here, only and then strategically build there network to other cities of Pakistan. • Now Tapal has a distribution network spread across Pakistan, from Karachi to Khyber with over 410 distributors, Extensive training programs are provided for the devoted sales personnel. The popularity of its fine brands is unabated, making it the No.1 national tea company in Pakistan.
  • 79. Tapal has a wider distribution coverage in the South where as Unilever has better distribution in the North. Therefore, Tapal’s main objective is to increase their sales in the North. It ensures that it places its tea in the same outlets as its competitors in order to maximize availability. The distribution coverage of Tapal is as follows: Karachi 14% Lahore 34% Islamabad 18% Sukkur 22% Hyderabad 12% Tapal caters to its customers by providing Tapal Danedar and Family Mixtures to more than 140,000 outlets in Pakistan, which include superstores, department stores etc
  • 81. Transformed Soft Pack to Hard Pack with the use of the following communication platforms •Sales Briefing Sessions •Pack Revealing Ceremony •Press Conference •Press Advertisement •Radio Commercial Airing •Bill Board Advertisement •Shop Signage's
  • 82. Thematic campaign was also launched with complete ATL and BTL support The TVC was aired on •GEO Entertainment •GEO News •HUM TV •ARY Digital •ATV •Express News •KTN •APNA
  • 83. Promotion of tapal: A large part of their advertisement and compaigns reflects its local market Pakistan. They have got a strong position in Pakistan b/c of their strong advertisiment.
  • 84. • A CP was offered in the month of March which ran nationally across all channels • A “Glass Mug” was offered free with every box of DD TB 200g • The CP was put forward with the following support – POS material – Radio Commercial – Mobile Backlighted Vans
  • 85. Target market target market of Lipton: Lipton has targeted its market successfully and it has selected the following sections of the international market to be targeted.  Geographically Age group Gender Social class
  • 86. Target market of Tapal: Tapal has targeted its market successfully and it has selected the following specific sections of Pakistani market and some sections of international market: Geographically People of all behaviors in Pakistan Age group Social class
  • 87. MARKET POSITIONING POSITIONING OF LIPTON: Some of successful steps taken by Lipton in order to position its target market are following: Acquired by Unilever. Joint ventures with Pepsi Received a Corporate Green Globe Award
  • 88. POSITIONING OF TAPAL: Tapal has positioned its target market by its excellent performance from the very beginning. Some of its achievements, due to which people started preferring Tapal’s products are:  Pakistan Advertising Society (PAS) Award 2011- Campaign of the Year: Tapal Danedar “Har Mizaaj se Ashna”  All Pakistan Newspaper Society (APNS) Award 2010- Best Print  Pakistan Advertising Association Excellence Awards 2005
  • 91. Annually sales of tea in Pakistan's tea market
  • 92. PERSIL POWER One Stubborn Stain on Unilever’s Reputation
  • 93. OUTLINE UUnniilleevveerr PPrrooffiillee PPeerrssiill && PPeerrssiill PPoowweerr PPeerrssiill PPoowweerr AAcchhiieevveemmeenntt PPeerrssiill PPoowweerr FFaaiilluurree CCoonnsseeqquueennccee aanndd SSoolluuttiioonn MMaarrkkeettiinngg LLeessssoonnss 1 2 3 4 5 6
  • 95. Persil arrival • called PERSIL-a soap for washing clothes. In the mid- 1990s, the total UK market for soaps and detergents was worth US 2,6billion usd and was fabric washing,worth£960 million and 67,5 per cent of the total sector. The competition between the two leading companies within the sector Unilever and Procter &Gamble, was intensive and led to a quest for more and more innovative brand offerings • the product hit the market place in May 1994, it proved so powerful that under certain conditions it didn’t only destroy stains, it destroyed clothes as well.
  • 96. PERSIL & PERSIL POWER Launched in early 90s PERSIL = Per borate + Silicate PPeerrssiill PPoowweerr ccoommppeetteess AArriieell
  • 97. PERSIL POWER ACHIEVEMENT MAKE DIFFERENTIATION HIGH CONSUMPTION MOST SIGNIFICANT OVERTOOK ARIEL 22 33 THING 11 44
  • 99. Failure Details of Persil • When Unilever’s star brand Persil announced the launch of a powerful new formula, called Persil Power, many consumers got excited by the product’s apparent ability to fight any stain. However, when the product hit the market place in May 1994, it proved so powerful that under certain conditions it didn’t only destroy stains, it destroyed clothes • A patented manganese component called an ‘accelerator’ which was put in the powder – also proved to be its fatal flaw. As soon as stories of disintegrated clothes started to emerge, Procter & Gamble ploughed their resources into an accusation-laden publicity campaign which not only damaged Persil Power, but also had implications for Unilever itself. Consumers soon understood that the product could damage materials at high temperatures, and that if they bought Persil Power they risked destroying their clothes.
  • 100. CONTD. • .At the start of 1995 Unilever replaced Persil Power with Persil New Generation. The overall cost was estimated at more than £200 million. Now, however, the whole episode is almost forgotten in the UK customer’s mind, and Unilever has bounced back with its launch of detergenttablets.Indee d, the Persil brand has now regained leadership
  • 101. CONSEQUENCE & SOLUTION  Consequence: Most retailer rejects Persil. Persil Power Persil New Generation $200 million
  • 102. MARKETING LESSONS Accept that no brand is an exception Test products in all conditions