Case Analysis on:
Surface Care Supremacy of Harpic & Road Ahead




      College Name: Symbiosis Institute of Business Management, Bangalore



                                             Team member 1-

                                                        Name    - Arun Rafi

                                                         Email id - rafi.arun@gmail.com

                                                        Phone no - +91 97404 30445

                                              Team member 2-

                                                        Name - Harshvardhan Singh

                                                        Email id- ice.harsh@gmail.com

                                                       Phone no - +91 94806 06537
CASE SYNOPSIS

                                   HARPIC 2009 CASE STUDY - The case so far.

                        Harpic presently remains the market leader in the Lav Cleaning
Harpic has              Category with a 75.5% market share by value of the 180 crore
                                                                                            The most efficient and
transformed a           market segment in India, owing to its successful positioning,
                                                                                            useful aspect of
commoditized            communication and continued focus of the category.
                                    on
                                                                                            branding is creating a
product(in the Indian                                                                       new category.
                        Harpic presently remains the market leader in the Lav Cleaning
consumers mind) into                                                                        Narrowing your focus
                        Category with a 75.5% market share by value of the 180 crore
a brand.                                                                                    to nothing and
                        market segment in India, owing to its successful category
                                               India,
                        creation, positioning, communication and unrelenting focus.         starting something
                                                                                            new - Al Ries
                        Positioned currently as ‘The Powerful Toilet Cleaner”, the toilet
                        specialist caters majorly to the urban market, having a 55%
Success of branding a   penetration by the surface cleaners category. After three decades
                                                    cleaners                                India is central to RBs
commodity depends       of its launch, Harpic had reached a peak market share of 86% by     growth strategy –
upon convincing the     value, making India the biggest market for Harpic across the        Chandra Mohan Sethi,
customer that all       globe. However, the increased penetration levels, increasing        Regional director,
product offerings are
                        segment size, higher category profitability allured good deal of
                                                         profitability                      South Asia and
not the same and
                        competition. FMCG majors like HUL, Dabur & S.C. Johnson             chairman & MD,
meaningful
                        floated their respective surface cleaning products. Positioned      Reckitt Benckiser India
differences exist –
                        both as specialists and all purpose cleaners these products along
Kevin Lane Keller
                        with powerful communication, competitive pricing &    pricing
                        promotional activities were able to garner a share of about 25%
                        of the toilet cleaning category.

                        Harpic now faces decreasing market share, stagnant penetration
                        levels and increasingly tough competition from both national
                        brands and private labels an is challenged to maintain its
                                                  and
                        growth objectives.

                        In this classic market leaders’ dilemma, where the category
                        creator is faced with diminishing profitability, Harpic should
                        reach out to its core brand values to decide the future strategy.

                        Harpic which onc created the commoditized product (toilet
                                       once
                        cleaner) into a brand has to show its brand leadership again. The
                        category leader should focus on its points of difference and use
                        them to grow the category and maintain profitability.Thus we
                        have adopted a multi pronged approach to understand the pain
                        points of the industry, category, and the consumer. Based on
which are the recommendations for achieiving the desired grwth
                        objectives in both urban and rural markets.

                                                   CASE ANALYSIS

                           What does Harpic stand for - Understanding Core Brand Values

History shows that      Our analysis of the problem at hand brought us back to the
the first brand into    basics and the fundamentals of the brand values. Any strategic
the brain, on the       decision should be in line with the core brand values of Harpic.
average gets atleast    Thus understanding the brand’s past and current environment
twice as more           would enable us to find out the pain points along which any
                                                                             which
awareness than the      strategic thinking could be done.
competitor.                                                                                 Like Domex and Mr.
                        The toilet cleaners’ category initially was fragmented in terms
                                                                                            Muscle in Indian
                        of the functional utility they provided. Cleaners did cleaning,
                                                                                            markets, Dettol has
                        disinfectants killed just germs and there were separate products
                                                                                            toyed around with
                        for fragrance. (Refe Annexure 1.1 for a detailed analysis)
                                       (Refer
                                                                                            its 4in1 extension.
      The crucial       Soon, Harpic realized this triple benefit action and became the     “The most powerful
  ingredient in the     specialist in the toilet cleaners category.
                                                 cleaners’                                  concept in
    success of any                                                                          marketing is owning
                        However, over the period the category was cluttered by a host
brand is its claim to   of products around th same positioning and provided similar
                                              the                                           a word in the
authenticity. Hence,    functional utility. Although the Top of Mind awareness for a        prospects mind.
the consumer trusts     toilet cleaner was still occupied by Harpic, other brands fancied   Hence, being
     the category       their share of the pie through aggressive communication,
                                                                aggressive                  everything to
     creator if it is   promotional and pricing activities (Refer Annexure 1.2 for a
                                                    activities.                             everyone is not the
   pertinent to the     comparative chart)                                                  best strategy” – The
       category.                                                                            22 immutable laws
                        Still, it is important to know the ‘forces’ or driving factors
                                                                                            of Marketing
                        behind the choice made by consumer for these different brands.

                        While Domex gives an All purpose cleaner at a low cost, it
                                                   purpose
                        drives consumers on its ‘disinfectant’ positioning and more
                        importantly a low pricing.

                        Sanifresh has been a ‘me too’ product for Harpic and has been
                        garnering high share due to strong promotions and high
                        availability.

                        Mr. Muscle, has barely entered the category and claims to be a
                              uscle,
                        multipurpose cleaner.
In this clutter, Harpic has been successfully able to capture the
                        ‘specialist toilet cleaning’ association. Its points of difference
                        still remain focused on its specialist a    action. A perception
                        mapping of the category shows the high quality perception of
                        the specialist. (Refer Annexure 1.3 for a perception map)
                                         Refer

                         However, gradually this position is being claimed by other
                        brands too competing for the growing category making all these
                        claims and providing the same utility in all aspects.

                        It is believed that as a category gets cluttered by brands with
                        almost similar positioning and functional utility being provided,
                        it leads to frequent brand switching behavior with heavy
                        promotional activities being seen as the only winning edge. The
                        brand equity decreases gradually and the category loses its
The total size of the   profitability in the lo run making it difficult even to survive.
                                             long
household, health
and personal care       This fact, challenges Harpic to look for strategic actions in order
product market in the   to maintain the category and brand profitability. The category
country is evaluated
                        drivers are therefore evaluated to narrow down on the required
at approximately Rs
91,000 crore. The       strategic actions.
growth rate reported
by the sector is of                                 CASE ANALYSIS

around                      Strategic Drivers - What would drive the category now ?
15.9%. Chander
Mohan Sethi, June              Segment Drivers
2009

                        Home care products account 1.2% of the wallet of the Indian
                                  re
                        consumer spending. Home care is one of the fastest growing
                        categories and the potential is high given the low penetration
                        levels. (Source: The Knowledge Company, Technopak)

                        Within the category a good share of 47% is spend on detergents
                                                   share
                        followed by 34% on Home & Toilet Cleaning (HTC).
Category Pie    Kitchen
                                                                 Products
                                                                    19%
Never assume that a             Detergents
customer knows what                47%
he or she wants-                                                        Home &
                                                                         Toilet
Theodore Levitt;                                                        Cleaners
Create new                                                               (HTC)
categories and invest                                                     34%
in new product
development to          The share of spends (39%) on HTC products is similar across all
arouse the want for a   zones of the country. (Refer Annexure 1.4 for a data chart)
product.                Similarly, the pattern is same across all Socio economic classes
                                                                  Socio-economic
                        and town classes in the country. (Refer Annexure 1.5 for a data
                        chart) On an average, the spend is more than 34% on HTC
                        across all town classes. The urban footprint has a penetration of
                        55%, which still has a huge potential.

                        With more people graduating to the consuming and rich class,
                        the category has the potential to grow
                                                          grow.

                              Consumer Drivers


                        The consumer attitudes and behavior have been influenced to a
                        large extent since the introduction of the category. The
                        conventional usage of water, phenyl and other substandard
                        products have been sidelined to a large extent but majorly in the
                                      been
                        urban market.

                        However, the category still needs to resolve some major pain
                        points in both urban and rural markets.

                             Urban Market - Pain Points

                        The category still has not been able to provide complete
                        bathroom (commode + tiles + floors) by a single product.
                        Despite similar claims by new entrants a specialist is still
                        elusive.

                        An ‘I can do all’ product would generally be seen with
                        apprehension as toilet and bathroom cleaning is believed to have
                        different perceptions. Commode cleaning is seen as a tougher
task in terms of stains and germs. Whereas, tiles and floors
which are more frequently used and touched are seen as gentle
clean with effectiveness. Thus a specialist for bathroom
              effectiveness.
cleaning (tiles + floors + outside commode) is required.

The graduating consuming class with increased spending would
need a specialist in the long term.

Even in urban markets, considerable toilets are outside the
house. This fact stops further penetration as either water or
phenyl is used in such places or they are not cleaned at all. Thus
another specialist product is needed here which could bring
increased hygiene awareness with the changed perception of
effective germ attacking solution along with regular cleaning.

Here usage of phenyl can be sidelined by a frontal attack on the
fact that phenyl is effective on stains but not on germ kills.

Heavy promotions also plague the category profitability,
however in the long term a specialist would be preferred even
                                                      ed
on a premium.

      Rural Market - Pain Points

Rural markets still do not see bathroom cleaning as priority
expenditure. However, the increasing disposable incomes in R1,
R2 and R3 cities provide a good opportunity for market
development, provided that the rural consumer conflicts are
resolved by a product along with increased hygiene awareness.

Although the rural consumer spend has increased in personal
                 rural
care and hygiene products (Refer Annexure 1.6 for a data
chart), still for toilet cleaning substandard products are used.
      ,

One major reason for low rural footprint (1 lakh outlets only) is
the fact that 96% toile are outside the homes.
                  toilets

Thus a right product is needed to increase the rural footprint
along with a right communication and affordable price point.

                        CASE RECOMMENDATIONS

      Strategic Actions - Achieving the growth objectives
In this classic market leaders’ dilemma we adopt a multi
                                                                             multi-
                      pronged approach aimed towards strengthening the Brand
                      equity, imagery and positioning and at the same time bringing
                      the brand back on its poised growth track.

                      Harpic has been able to acquire a strong category association
                      and high top of mind awareness over the years and become a
                                 op
                      leading brand.

                      However, the role of a leading brand is to promote the category
                      and not the brand. The most useful aspect of branding is to
                      create a new category which keeps the growth path unending for
                      the brand. This is similar to what Harpic did in 1980’s by          Harpic already has
                      creating the toilet (commode) cleaner category.
                                he                                                        Harpic Powerons , a
Fragrances assuming
                                                                                          gel applicant.
importance across
                      It’s time again for the specialist to be a specialist again. This
household care
                      time in the Bathroom Cleaning Segment. Despite existing
products- Household
care in India by
                      players positioned as toilet or toilet cum bathroom cleaners,
Euromonitor           there is still no bathroom cleani specialist.
                                                 cleaning



                      Harpic has been cleaning the toilet (both squat & western type)
                      since three decades, however, the areas surrounding the
                      bathroom viz. outside commode, floor, tiles remained
                      unattended and were washed either with phenyl, water or other
                      non-specialist products.
                           specialist

                      Also, the increased consumer spending of the rural areas makes
                      it necessary to focus on the rural footprint.

                      Thus a separate urban and rural market strategy is proposed.

                         Urban Market Strategy 1


                      HARPIC BATHROOM CHAMPION, a specialist which just
                      washes the bathroom (outside commode, floor, tiles)
                      complementing the regular usage of Harpic for toilet
                      (commode) cleaning is the suggested line extension.

                                Product Strategy

                             A specialist in only bathroom cleaning
Orange / Yellow color concentrate gel to differentiate
                         between commode and bathroom cleaning
                                Spray bottle
                                Concentrate Gel which gives foam lather implying
                         cleaning action
                                Apply , Wipe , Wash Clean
                                Gentle Clean + Effective Germ Kill + Prominent
                         Fragrance

                                   Pricing Strategy

                         Prices at 50 Rs. For 50 Washes for standard bathroom size. The
                         pricing is in tandem with industry standards for Home and toilet
                         cleaning category.
                                                                                            eb nac dnarb A

Harpic also has Harpic         Communication Strategy                                       tniop a ot dehcterts
power tablets that
are extremely            The communication would be based on its positioning of being       snaem llits ti erehw


effective in cleaning    a specialist in bathroom cleaning. Spray gel, Wipe spread to       eht ot gniht emas eht

stains and marks
inside the commode.      form lather and Wash Clean in just 7 mintues ; emphasizing on      yhw si tahT .remotsuc


Positioned as “deep      the                ease                 of                use.     naem llits lliw cipraH


cleaning without         The communication would resolve the pain point of having a
                                                                                            neve renaelc teliot a

scrubbing” in            clean toilet (commode) but not a clean bathroom. This is where
countries like U.K.      the HARPIC COMPLETE BATHROOM CLEANING             CLEANING         desoporp eht retfa


                         CHALLENGE communication would be used.                             noisnetxe enil



                         Door-to-door below the line would help in creating the
                                  door
                         awareness for a complete bathroom cleaning and not ignoring
                         the surrounding areas of the toilet.

                         (Refer Annexure 1.7 for a print ad for the urban market
                         communication)
                           mmunication)

                            Urban Market Strategy 2


                         Another line extension proposed is the HARPIC 24 HRS
                         CLEAN TABS. A specialist cleaning tablet for urinals and
                         washbasins only.

                                  Product Strategy
Targeted at the affluent class, hotels, restaurants and other
public places; this specialist product aims to disinfect and clean
the urinals and wash basins only.

        Blue colored balls which dispense blue color each time
water is applied.
        Prominent fragrance produces air freshening effect
implying hygienic cleaning.

      Communication Strategy

The product is targeted at the small affluent segment, but it
strengthens the top of mind awareness of specialist toilet
cleaning and positioning of the harpic brand.

     Rural Market Strategy


The Home and toilet cleaning category has not been able to
make a rural footprint. This market segmen would drive the
                                    segment

future growth of the category.

The major pain point in the rural areas are the toilets outside
homes which are either left unattended or are cleaned by
substandard products, especially acid or phenyl.

A frontal attack on acid and phenyl which give cleaning action
but not germ kill should be used.

          Product Strategy

Thus, HARPIC PHENO, a germ + stain cleaner is proposed.
Pheno is a thick concentrate with a super strong odor that
substitutes the fumes cleaning action by ac or phenyl. Its
                                              acid
application is similar to phenyl, where it is diluted in water and
used over the commode, cement floors, walls of the bathroom.

       Thick Concentrate
       Super Strong odor implying cleaning action
       Diluted in water and used for the entire bathroom
Pricing Strategy

1 Re per Wash is the affordable price point suggested.

      Communication Strategy

The positioning is based on the fact that the toilets outside
                                                                  Leadership alone is
homes are more susceptible to germs, diseases and stains.
                                                                  the most effective
Thus, the communication of ‘GHAR KE BAHAR KE KADE                 marketing strategy. A
GANGON KE LIYE’ is proposed (Refer Annexure 1.8 for a
                           proposed. Refer                        study of 25 different
print ad for rural market comm
                          communication)                          categories in 1923
                                                                  showed that till date
                             CONCLUSION                           only three of the
             Brand values,positioning and imagery                 brands i.e Eveready,
                                                                  Manhattan and
A market leaders' more important role is to grow the category.    Palmolive, have lost
Harpic has been the category leader which again has to lead the   their leadership. Yes!
pack while keeping its core brand values, imagery and             In 86 Years!
positioning as a specialist intact. Thus it should focus at
growing the category in the urban as well as rural markets and
 rowing
maintain its strong points of difference as a brand.
ANNEXURE

ANNEXURE 1.1




ANNEXURE 1.2
ANNEXURE 1.3




ANNEXURE 1.4

         (figures in percentage)           Share of Spends on Cleaning Products
        Category                   All         North        South     East      West
        Detergents                 47             50           47       55       42
        HTC                        34             31           37       34       35
        Kitchen Products           19             19           16       11       22
                                           SOURCE: The Knowledge Company , Technopak


ANNEXURE 1.5

         (figures in percentage)         Share of Spends by Socio-economic classes
        Category                         All        SEC A         SEC B        SEC C
        Detergents                        47            46            47           47
        HTC                               34            34            34           35
        Kitchen Products                  19            20            19           18
                                           SOURCE: The Knowledge Company , Technopak
ANNEXURE 1.6

 (figures in percentage)                          Share of Spends by Town Casses
                                  10
Category                   All   mn+   3-10 mn   1.5-3 mn   1-1.5 mn   0.5-1 mn    0.2-0.5 mn   0.05-0.2 mn
Detergents                 47     46        47         52         48         46            51            48
HTC                        34     34        36         33         33         35            35            38
Kitchen Products           19     20        17         15         19         19            15            13
                                                                 SOURCE: The Knowledge Company , Technopak


    ANNEXURE 1.7
ANNEXURE 1.8
Harpic rb case study

Harpic rb case study

  • 1.
    Case Analysis on: SurfaceCare Supremacy of Harpic & Road Ahead College Name: Symbiosis Institute of Business Management, Bangalore Team member 1- Name - Arun Rafi Email id - rafi.arun@gmail.com Phone no - +91 97404 30445 Team member 2- Name - Harshvardhan Singh Email id- ice.harsh@gmail.com Phone no - +91 94806 06537
  • 2.
    CASE SYNOPSIS HARPIC 2009 CASE STUDY - The case so far. Harpic presently remains the market leader in the Lav Cleaning Harpic has Category with a 75.5% market share by value of the 180 crore The most efficient and transformed a market segment in India, owing to its successful positioning, useful aspect of commoditized communication and continued focus of the category. on branding is creating a product(in the Indian new category. Harpic presently remains the market leader in the Lav Cleaning consumers mind) into Narrowing your focus Category with a 75.5% market share by value of the 180 crore a brand. to nothing and market segment in India, owing to its successful category India, creation, positioning, communication and unrelenting focus. starting something new - Al Ries Positioned currently as ‘The Powerful Toilet Cleaner”, the toilet specialist caters majorly to the urban market, having a 55% Success of branding a penetration by the surface cleaners category. After three decades cleaners India is central to RBs commodity depends of its launch, Harpic had reached a peak market share of 86% by growth strategy – upon convincing the value, making India the biggest market for Harpic across the Chandra Mohan Sethi, customer that all globe. However, the increased penetration levels, increasing Regional director, product offerings are segment size, higher category profitability allured good deal of profitability South Asia and not the same and competition. FMCG majors like HUL, Dabur & S.C. Johnson chairman & MD, meaningful floated their respective surface cleaning products. Positioned Reckitt Benckiser India differences exist – both as specialists and all purpose cleaners these products along Kevin Lane Keller with powerful communication, competitive pricing & pricing promotional activities were able to garner a share of about 25% of the toilet cleaning category. Harpic now faces decreasing market share, stagnant penetration levels and increasingly tough competition from both national brands and private labels an is challenged to maintain its and growth objectives. In this classic market leaders’ dilemma, where the category creator is faced with diminishing profitability, Harpic should reach out to its core brand values to decide the future strategy. Harpic which onc created the commoditized product (toilet once cleaner) into a brand has to show its brand leadership again. The category leader should focus on its points of difference and use them to grow the category and maintain profitability.Thus we have adopted a multi pronged approach to understand the pain points of the industry, category, and the consumer. Based on
  • 3.
    which are therecommendations for achieiving the desired grwth objectives in both urban and rural markets. CASE ANALYSIS What does Harpic stand for - Understanding Core Brand Values History shows that Our analysis of the problem at hand brought us back to the the first brand into basics and the fundamentals of the brand values. Any strategic the brain, on the decision should be in line with the core brand values of Harpic. average gets atleast Thus understanding the brand’s past and current environment twice as more would enable us to find out the pain points along which any which awareness than the strategic thinking could be done. competitor. Like Domex and Mr. The toilet cleaners’ category initially was fragmented in terms Muscle in Indian of the functional utility they provided. Cleaners did cleaning, markets, Dettol has disinfectants killed just germs and there were separate products toyed around with for fragrance. (Refe Annexure 1.1 for a detailed analysis) (Refer its 4in1 extension. The crucial Soon, Harpic realized this triple benefit action and became the “The most powerful ingredient in the specialist in the toilet cleaners category. cleaners’ concept in success of any marketing is owning However, over the period the category was cluttered by a host brand is its claim to of products around th same positioning and provided similar the a word in the authenticity. Hence, functional utility. Although the Top of Mind awareness for a prospects mind. the consumer trusts toilet cleaner was still occupied by Harpic, other brands fancied Hence, being the category their share of the pie through aggressive communication, aggressive everything to creator if it is promotional and pricing activities (Refer Annexure 1.2 for a activities. everyone is not the pertinent to the comparative chart) best strategy” – The category. 22 immutable laws Still, it is important to know the ‘forces’ or driving factors of Marketing behind the choice made by consumer for these different brands. While Domex gives an All purpose cleaner at a low cost, it purpose drives consumers on its ‘disinfectant’ positioning and more importantly a low pricing. Sanifresh has been a ‘me too’ product for Harpic and has been garnering high share due to strong promotions and high availability. Mr. Muscle, has barely entered the category and claims to be a uscle, multipurpose cleaner.
  • 4.
    In this clutter,Harpic has been successfully able to capture the ‘specialist toilet cleaning’ association. Its points of difference still remain focused on its specialist a action. A perception mapping of the category shows the high quality perception of the specialist. (Refer Annexure 1.3 for a perception map) Refer However, gradually this position is being claimed by other brands too competing for the growing category making all these claims and providing the same utility in all aspects. It is believed that as a category gets cluttered by brands with almost similar positioning and functional utility being provided, it leads to frequent brand switching behavior with heavy promotional activities being seen as the only winning edge. The brand equity decreases gradually and the category loses its The total size of the profitability in the lo run making it difficult even to survive. long household, health and personal care This fact, challenges Harpic to look for strategic actions in order product market in the to maintain the category and brand profitability. The category country is evaluated drivers are therefore evaluated to narrow down on the required at approximately Rs 91,000 crore. The strategic actions. growth rate reported by the sector is of CASE ANALYSIS around Strategic Drivers - What would drive the category now ? 15.9%. Chander Mohan Sethi, June Segment Drivers 2009 Home care products account 1.2% of the wallet of the Indian re consumer spending. Home care is one of the fastest growing categories and the potential is high given the low penetration levels. (Source: The Knowledge Company, Technopak) Within the category a good share of 47% is spend on detergents share followed by 34% on Home & Toilet Cleaning (HTC).
  • 5.
    Category Pie Kitchen Products 19% Never assume that a Detergents customer knows what 47% he or she wants- Home & Toilet Theodore Levitt; Cleaners Create new (HTC) categories and invest 34% in new product development to The share of spends (39%) on HTC products is similar across all arouse the want for a zones of the country. (Refer Annexure 1.4 for a data chart) product. Similarly, the pattern is same across all Socio economic classes Socio-economic and town classes in the country. (Refer Annexure 1.5 for a data chart) On an average, the spend is more than 34% on HTC across all town classes. The urban footprint has a penetration of 55%, which still has a huge potential. With more people graduating to the consuming and rich class, the category has the potential to grow grow. Consumer Drivers The consumer attitudes and behavior have been influenced to a large extent since the introduction of the category. The conventional usage of water, phenyl and other substandard products have been sidelined to a large extent but majorly in the been urban market. However, the category still needs to resolve some major pain points in both urban and rural markets. Urban Market - Pain Points The category still has not been able to provide complete bathroom (commode + tiles + floors) by a single product. Despite similar claims by new entrants a specialist is still elusive. An ‘I can do all’ product would generally be seen with apprehension as toilet and bathroom cleaning is believed to have different perceptions. Commode cleaning is seen as a tougher
  • 6.
    task in termsof stains and germs. Whereas, tiles and floors which are more frequently used and touched are seen as gentle clean with effectiveness. Thus a specialist for bathroom effectiveness. cleaning (tiles + floors + outside commode) is required. The graduating consuming class with increased spending would need a specialist in the long term. Even in urban markets, considerable toilets are outside the house. This fact stops further penetration as either water or phenyl is used in such places or they are not cleaned at all. Thus another specialist product is needed here which could bring increased hygiene awareness with the changed perception of effective germ attacking solution along with regular cleaning. Here usage of phenyl can be sidelined by a frontal attack on the fact that phenyl is effective on stains but not on germ kills. Heavy promotions also plague the category profitability, however in the long term a specialist would be preferred even ed on a premium. Rural Market - Pain Points Rural markets still do not see bathroom cleaning as priority expenditure. However, the increasing disposable incomes in R1, R2 and R3 cities provide a good opportunity for market development, provided that the rural consumer conflicts are resolved by a product along with increased hygiene awareness. Although the rural consumer spend has increased in personal rural care and hygiene products (Refer Annexure 1.6 for a data chart), still for toilet cleaning substandard products are used. , One major reason for low rural footprint (1 lakh outlets only) is the fact that 96% toile are outside the homes. toilets Thus a right product is needed to increase the rural footprint along with a right communication and affordable price point. CASE RECOMMENDATIONS Strategic Actions - Achieving the growth objectives
  • 7.
    In this classicmarket leaders’ dilemma we adopt a multi multi- pronged approach aimed towards strengthening the Brand equity, imagery and positioning and at the same time bringing the brand back on its poised growth track. Harpic has been able to acquire a strong category association and high top of mind awareness over the years and become a op leading brand. However, the role of a leading brand is to promote the category and not the brand. The most useful aspect of branding is to create a new category which keeps the growth path unending for the brand. This is similar to what Harpic did in 1980’s by Harpic already has creating the toilet (commode) cleaner category. he Harpic Powerons , a Fragrances assuming gel applicant. importance across It’s time again for the specialist to be a specialist again. This household care time in the Bathroom Cleaning Segment. Despite existing products- Household care in India by players positioned as toilet or toilet cum bathroom cleaners, Euromonitor there is still no bathroom cleani specialist. cleaning Harpic has been cleaning the toilet (both squat & western type) since three decades, however, the areas surrounding the bathroom viz. outside commode, floor, tiles remained unattended and were washed either with phenyl, water or other non-specialist products. specialist Also, the increased consumer spending of the rural areas makes it necessary to focus on the rural footprint. Thus a separate urban and rural market strategy is proposed. Urban Market Strategy 1 HARPIC BATHROOM CHAMPION, a specialist which just washes the bathroom (outside commode, floor, tiles) complementing the regular usage of Harpic for toilet (commode) cleaning is the suggested line extension. Product Strategy A specialist in only bathroom cleaning
  • 8.
    Orange / Yellowcolor concentrate gel to differentiate between commode and bathroom cleaning Spray bottle Concentrate Gel which gives foam lather implying cleaning action Apply , Wipe , Wash Clean Gentle Clean + Effective Germ Kill + Prominent Fragrance Pricing Strategy Prices at 50 Rs. For 50 Washes for standard bathroom size. The pricing is in tandem with industry standards for Home and toilet cleaning category. eb nac dnarb A Harpic also has Harpic Communication Strategy tniop a ot dehcterts power tablets that are extremely The communication would be based on its positioning of being snaem llits ti erehw effective in cleaning a specialist in bathroom cleaning. Spray gel, Wipe spread to eht ot gniht emas eht stains and marks inside the commode. form lather and Wash Clean in just 7 mintues ; emphasizing on yhw si tahT .remotsuc Positioned as “deep the ease of use. naem llits lliw cipraH cleaning without The communication would resolve the pain point of having a neve renaelc teliot a scrubbing” in clean toilet (commode) but not a clean bathroom. This is where countries like U.K. the HARPIC COMPLETE BATHROOM CLEANING CLEANING desoporp eht retfa CHALLENGE communication would be used. noisnetxe enil Door-to-door below the line would help in creating the door awareness for a complete bathroom cleaning and not ignoring the surrounding areas of the toilet. (Refer Annexure 1.7 for a print ad for the urban market communication) mmunication) Urban Market Strategy 2 Another line extension proposed is the HARPIC 24 HRS CLEAN TABS. A specialist cleaning tablet for urinals and washbasins only. Product Strategy
  • 9.
    Targeted at theaffluent class, hotels, restaurants and other public places; this specialist product aims to disinfect and clean the urinals and wash basins only. Blue colored balls which dispense blue color each time water is applied. Prominent fragrance produces air freshening effect implying hygienic cleaning. Communication Strategy The product is targeted at the small affluent segment, but it strengthens the top of mind awareness of specialist toilet cleaning and positioning of the harpic brand. Rural Market Strategy The Home and toilet cleaning category has not been able to make a rural footprint. This market segmen would drive the segment future growth of the category. The major pain point in the rural areas are the toilets outside homes which are either left unattended or are cleaned by substandard products, especially acid or phenyl. A frontal attack on acid and phenyl which give cleaning action but not germ kill should be used. Product Strategy Thus, HARPIC PHENO, a germ + stain cleaner is proposed. Pheno is a thick concentrate with a super strong odor that substitutes the fumes cleaning action by ac or phenyl. Its acid application is similar to phenyl, where it is diluted in water and used over the commode, cement floors, walls of the bathroom. Thick Concentrate Super Strong odor implying cleaning action Diluted in water and used for the entire bathroom
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    Pricing Strategy 1 Reper Wash is the affordable price point suggested. Communication Strategy The positioning is based on the fact that the toilets outside Leadership alone is homes are more susceptible to germs, diseases and stains. the most effective Thus, the communication of ‘GHAR KE BAHAR KE KADE marketing strategy. A GANGON KE LIYE’ is proposed (Refer Annexure 1.8 for a proposed. Refer study of 25 different print ad for rural market comm communication) categories in 1923 showed that till date CONCLUSION only three of the Brand values,positioning and imagery brands i.e Eveready, Manhattan and A market leaders' more important role is to grow the category. Palmolive, have lost Harpic has been the category leader which again has to lead the their leadership. Yes! pack while keeping its core brand values, imagery and In 86 Years! positioning as a specialist intact. Thus it should focus at growing the category in the urban as well as rural markets and rowing maintain its strong points of difference as a brand.
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    ANNEXURE 1.3 ANNEXURE 1.4 (figures in percentage) Share of Spends on Cleaning Products Category All North South East West Detergents 47 50 47 55 42 HTC 34 31 37 34 35 Kitchen Products 19 19 16 11 22 SOURCE: The Knowledge Company , Technopak ANNEXURE 1.5 (figures in percentage) Share of Spends by Socio-economic classes Category All SEC A SEC B SEC C Detergents 47 46 47 47 HTC 34 34 34 35 Kitchen Products 19 20 19 18 SOURCE: The Knowledge Company , Technopak
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    ANNEXURE 1.6 (figuresin percentage) Share of Spends by Town Casses 10 Category All mn+ 3-10 mn 1.5-3 mn 1-1.5 mn 0.5-1 mn 0.2-0.5 mn 0.05-0.2 mn Detergents 47 46 47 52 48 46 51 48 HTC 34 34 36 33 33 35 35 38 Kitchen Products 19 20 17 15 19 19 15 13 SOURCE: The Knowledge Company , Technopak ANNEXURE 1.7
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