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MARKETING MIX OF NIRMA
INTRODUCTION:
 Nirma is a group of companies based in
the city of Ahmedabad in western India
that manufactures products ranging from
cosmetics, soaps, detergents, salt, soda
ash, LAB and Injectibles. Karsanbhai Patel,
a well known entrepreneur and
philanthropist of Gujarat, started Nirma as
a one-man operation. Today Nirma has
over 15000 employees and a turnover of
over Rs. 3550 crores. In 2004, Nirma's
detergent approached 800,000 tonnes –
one of the largest volumes sold in the
world – under a single brand 'NIRMA'.
Company Profile
 Starting as a one-product, one-man outfit from a 100 sq ft
(9.3 m2) room in 1969, Nirma became a very successful
company within three decades.The company had multi-
locational manufacturing facilities, and a broad product
portfolio under an umbrella brand – Nirma.The company's
mission to provide, "Better Products, BetterValue, Better
Living" contributed a great deal to its success.
 Nirma successfully countered competition from HLL and
carved a niche for itself in the lower-end of the detergents
and toilet soap market.The brand name became almost
synonymous with low-priced detergents and toilet soaps.
 However, Nirma realized that it would have to launch
products for the upper end of the market to retain its
middle class consumers who would graduate to the
upper end.
 The company launched toilet soaps for the premium
segment. However, analysts felt that Nirma would not be
able to repeat its success story in the premium segment.
 In 2000, Nirma had a 15% share in the toilet soap
segment and more than 30% share in the detergent
market. Aided by growth in volumes and commissioning
of backward integration projects, Nirma's turnover for
the year ended March 2000 increased by 17% over the
previous fiscal, to Rs. 12.17 bn.
 Nirma Limited CEO, CFO, Executives & Contacts
 Shrenikbhai Lalbhai
Non-Executive Independent Director Shri. Shrenikbhai K.
Lalbhai is Non-Executive Independent Director of Nirma
Ltd. Shri. Shrenikbhai K. Lalbhai is an industrialist.
 Rakesh Patel
Non-ExecutiveVice Chairman of the Board Shri. Rakesh K.
Patel is Non-ExecutiveVice Chairman of the Board of
Nirma...
THEORY OF MARKETING MIX (4P’S)
"Marketing mix" is a general phrase used to describe the
different kinds of choices organizations have to make in the
whole process of bringing a product or service to market.
The 4 Ps is one way – probably the best-known way – of
defining the marketing mix, and was first expressed in 1960 .
The marketing mix and the 4 Ps of marketing are often
used as synonyms for each other. In fact, they are not
necessarily the same thing.
The 4Ps are:
Product (or Service)
Place
Price
Promotion
•Advertising
•Public relations
•Sales Promotion
•Direct marketing
•Sales force
•Distribution Channel
•Coverage
•Assortments
•Place Available
•Inventory
•Transport
•List price
•Discounts
•Allowances
•Payment period
•Credit terms
•Product Variants
•Quality
•Design
•Features
•Brand name
•Packaging
•Sizes
•Services
•Warranties
•Returns
Product Price
PromotionPlace
Using the 4Ps Marketing Mix
Model
 The marketing mix model can be used to help you decide
how to take a new offer to market. It can also be used to
test your existing marketing strategy. Whether you are
considering a new or existing offer, follow the steps
below help you define and improve your marketing mix.
1. Start by identifying the product or service that you want
to analyze.
2. Now go through and answer the 4Ps questions – as
defined in detail above.
3. Try asking "why" and "what if" questions too, to
challenge your offer. For example, ask why your target
audience needs a particular feature. What if you drop
your price by 5%? What if you offer more colors? Why
sell through wholesalers rather than direct channels?
What if you improve PR rather than rely on TV
advertising?
 Try asking "why" and "what if" questions too, to
challenge your offer. For example, ask why your target
audience needs a particular feature. What if you drop
your price by 5%? What if you offer more colors? Why sell
through wholesalers rather than direct channels? What if
you improve PR rather than rely onTV advertising?
 Tip:
Check through your answers to make sure they are based
on sound knowledge and facts. If there are doubts about
your assumptions, identify any market research, or facts
and figures that you may need to gather.
4. Once you have a well-defined marketing mix, try "testing" the
overall offer from the customer's perspective, by asking
customer focused questions:
 Does it meet their needs? (product)
 Will they find it where they shop? (place)
 Will they consider it's priced favorably? (price)
 And will the marketing communications reach them?
(promotion)
5. Keep on asking questions and making changes to your mix
until you are satisfied that you have optimized your
marketing mix, given the information and facts and figures
you have available.
6. Review you marketing mix regularly, as some elements will
need to change as the product or service, and its market,
grow, mature and adapt in an ever-changing competitive
environment.
PRODUCT
PRODUCT QUALITY
 Various dimensions of multi personality brand Nirma are
as follows:
 a) Sincerity
 b) Robust
 c) Competence
 d) Performer
 e) Ruggedness
 f) Powerful (ab jyada shakti Nirma)
PRODUCT DESIGN
 It has a simple product design, it is designed as
per fine motor skills. The detergent cake are
designed in such a way that the entire cake is
under proper handling. It is not very large on thin
that it cannot be handled. Innovations are not
done in design of the product.
FEATURES
 Available in abundance
 Is able to delivery value what is asked from it
i.e., proper cleanliness
 An unique feature of nirma detergent cake
are that they don’t dissolve easily with water
like other. Durability is high in terms of
soaking.
BRAND NAME
 The brand got its name from “NIRUPAMA” i.eThe
daughter of Mr.Karsanbhai Patel(MD of Nirma)
 Thus Brand name came into existence NIRMA
PACKAGING
 For individual packaging is simple it is
available in pouchs.
 For bulk purchases units are packed in boxes
for wholesalers.
SIZES
PRODUCT 25 gm 125g 250g 500g 1000g 2000g
Nirma powder  
Nirma d.cake  
Super Nirma powder   
Super d.cake  
Nirma popular  
Nirma d.cake  
RETURN AND WARRANTY
 There is no return policy as per the
information given by customer care
Ahmedabad and other retailer stores
 This a consumable durable so there is no
warranty
PRICE
Highlights..
 Initially, Nirma targeted rural area in 1970-1990’s.
 Later on they they shifted their focus to lower and
middle urban areas.
 From both sides that is company as well as the
customer there should be value proposition for
money.
 They don’t provide allowances.
 Credit terms was acceptable in cash as well as
cheque form dated maximum for a week and
minimum 3 days.
 They have adopted Perceived value pricing method
and value pricing method.
Price to customers
Quantity Amount (Rs.)
250 gms 10
500gms 20
1kg 37
2kg 80(rs.10 super nirma soap
free)
Price to Retailers and
Distributors
Retailer Wholesaler
List price(for 1kg-
37Rs.)
34Rs. 32.745Rs.
Discount 10% 11.5%
Allowances - -
Payment period 1 week Have to pay on
next day
Credit terms Have to pay
cheque or cash
Cash or cheque
PLACE
Principal Channel [Nirma
Products]:
 Lowest Cost system in India
 Speed in distribution
 Flexibility
The NIMA range of products is marketed through a parallel
marketing network that comprises of more than 2000
distributors.
Parallel Channel [Nima
Products]:
 Wider Reach
 Speedy Market
Intelligence
 Competitive edge &
Better focus
 Complementing
Principal Channel
Distribution Channel
 Availability of different
retail outlets across the
nation
 To enhance trade
relations
 To build up the retailer
base by providing
incentives
 To develop programmes,
schemes etc
Channel Coverage
 400 distributors covering more than 2 million
retailers
 About 80% of Nirma’s distributors are
exclusive
 Maintaining depots at Andhra Pradesh,Tamil
Nadu and Karnataka
Assortments
 No. of products:
1. NirmaWashing Powder
2. Nirma Detergent cake
3. Nirma soaps
4. Nima soaps
5. Salt
6. Nirma Clean Dish Bar
7. Nirma Bartan Bar
Location
 In Gujarat, the registered offices of Nirma
products are located at the following places:
i. Ahmedabad
ii. Rajkot
iii. Mehsana
iv. Baroda
v. Bhavnagar
Inventory
 SodaAsh
 LinearAlkyl Benzene
 Packaging
 Soaps
 Detergents
 Edible & Industrial Salt
 AlphaOlefin Sulfonate
 SulfuricAcid
 Glycerin
 Single Super Phosphate
 Infusions
 Injectables
 CriticalCare Products
 Medical Disposables
Transport Margin for channel partners
 ThroughAutorickshaws
 Nirma uses the low-cost
operations priority (along
with other competitive
priorities) to strategic
advantage
NCCL
Nirma
Nima
PROMOTION
Nirma : A Journey
Backyard of a Small
House
Becoming One of
World’s Largest and
Most Integrated
Detergent Comp.
15-20 Packets – A day
Over 80000 Tons
Annually with 38%
Market Share
A DREAM A REALITY
From To
The Nirma Family
Marketing Communications and
Brand Equity
Sender Decoding
Media
ResponseFeedback
RECEIVEREncoding
Noise
Message
Promoter Perception
Mediums
BuyingFeedback
ConsumerPositioning
Competition
Promotion
The Communication Channel : A
Basic Approach
NIRMA ADVERTISING THROUGH
THE ERAS
NIRMA Advertising Through the Eras
The 1970-80’s
• NIRMA did not have a cost in
its initial budget for
advertising.
• Initial Advertising was word
of mouth marketing and
educating rural people about
the use of detergents.
• By the late 70’s as televisions
slowly started to spread into
rural India, so did the Nirma ad
campaign, with its simple
message and catchy jingle.
NIRMA’s Ad Campaign Analysis
Analysis
Parameters
1970-80’s 1990’s Latest
Communicatio
n Objectives
Category Need Brand Awareness Consolidate Market
Milk the Brand
Target
Segment
Rural Segment
Housewives (25– 40 y)
Rural + Urban
Young Girls
Housewives (18 – 40 y)
Urban Housewives
+Working Women
(18 – 50 y)
Symbolism
Used
Little Girl,
Housewife , Whiteness
Modern Girls
Modern Buildings
Underwater
Swimmers, Opera
Music
Creative
Strategy
Keep It Simple
Product-in-use Exp.
Transformational
Appeal
Transformational
Appeal
Core Benefits Create Need,
Value for Money
Market Penetration Repositioning
Consumer
Response
Awareness,
Knowledge, Purchase
Knowledge, Liking,
Preference, Purchase
Liking, Conviction,
Purchase
Some facts about NIRMA’s Ad
Campaign
 “Dudh si safedi NIRMA se aaye, Rangin kapda
bhi khil khil jaaye. Sabki pasand NIRMA”..the
same jingle has been used since the last 35
years.
 Same radio spot has been used consistently
since the last 28 years.
 Strategy used to create an emotional
attachment with the consumers.
THE LAUNCH OF SUPER NIRMA
Super Nirma –
Advertisement Analysis
Target Audience Consumers shifting towards more
sophisticated form of washing.
Communication Objective To meet the consumer's growing aspirations
and to allow consumers to upgrade to a better
quality product.
Communicati
on Design
a) Message
Strategy
“get clothes cleaner” - Rational results of use
experience
b) Creative
Strategy
“Super Mummy” can clean any kind of dirt from
clothes.
c) Message
Source
Boy is building conviction that the clothes can
be cleaned.
NIRMA MEDIA MIX
Nirma Media Mix
Introduction Stage
•OBJECTIVE
•Reach Geographical dispersed buyers
•METHOD USED
•Advertisement
•Radio
•Wall painting
•Vans/Trains
•Direct and Interactive marketing
•Personal Selling
•Expert Channel –Changing Washing Habits.
•Product Demonstration
•Sales promotion
•Prize Draw
• Introduce bucket scheme to promote product hamper
•Money back guarantee promotion scheme
Nirma Media Mix
• OBJECTIVE
•Increase penetration
• METHOD USED
•Advertisement
•Radio andTV advertisement
•Bill boards
•Word Of Mouth
•Personal
•Distributor Influence
Growth Stage
Nirma Media Mix
• OBJECTIVE
• Maintain Market Share
• METHOD USED
•Advertisement
• Advertisement utilizing popularity of theT.V. Soaps
• Advertisement emphasizing experience of using Nirma.
• Packaging- New and Improve look
• Logo, New Seal package
• Enhance Distribution network to increase influence.
• New Product- Super Nirma
Maturity Stage
Today NIRMA as a Brand …
 One of theWorld’s largest and most
integrated manufacturer of detergent and
toiletries
 One of the largest Player of Indian detergent
market with a share of 38%.
 Second largest toilet soap marketer of the
country with a share of 20%.

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Nirma final ppt

  • 2. INTRODUCTION:  Nirma is a group of companies based in the city of Ahmedabad in western India that manufactures products ranging from cosmetics, soaps, detergents, salt, soda ash, LAB and Injectibles. Karsanbhai Patel, a well known entrepreneur and philanthropist of Gujarat, started Nirma as a one-man operation. Today Nirma has over 15000 employees and a turnover of over Rs. 3550 crores. In 2004, Nirma's detergent approached 800,000 tonnes – one of the largest volumes sold in the world – under a single brand 'NIRMA'.
  • 3. Company Profile  Starting as a one-product, one-man outfit from a 100 sq ft (9.3 m2) room in 1969, Nirma became a very successful company within three decades.The company had multi- locational manufacturing facilities, and a broad product portfolio under an umbrella brand – Nirma.The company's mission to provide, "Better Products, BetterValue, Better Living" contributed a great deal to its success.  Nirma successfully countered competition from HLL and carved a niche for itself in the lower-end of the detergents and toilet soap market.The brand name became almost synonymous with low-priced detergents and toilet soaps.
  • 4.  However, Nirma realized that it would have to launch products for the upper end of the market to retain its middle class consumers who would graduate to the upper end.  The company launched toilet soaps for the premium segment. However, analysts felt that Nirma would not be able to repeat its success story in the premium segment.  In 2000, Nirma had a 15% share in the toilet soap segment and more than 30% share in the detergent market. Aided by growth in volumes and commissioning of backward integration projects, Nirma's turnover for the year ended March 2000 increased by 17% over the previous fiscal, to Rs. 12.17 bn.
  • 5.  Nirma Limited CEO, CFO, Executives & Contacts  Shrenikbhai Lalbhai Non-Executive Independent Director Shri. Shrenikbhai K. Lalbhai is Non-Executive Independent Director of Nirma Ltd. Shri. Shrenikbhai K. Lalbhai is an industrialist.  Rakesh Patel Non-ExecutiveVice Chairman of the Board Shri. Rakesh K. Patel is Non-ExecutiveVice Chairman of the Board of Nirma...
  • 6. THEORY OF MARKETING MIX (4P’S) "Marketing mix" is a general phrase used to describe the different kinds of choices organizations have to make in the whole process of bringing a product or service to market. The 4 Ps is one way – probably the best-known way – of defining the marketing mix, and was first expressed in 1960 . The marketing mix and the 4 Ps of marketing are often used as synonyms for each other. In fact, they are not necessarily the same thing.
  • 7. The 4Ps are: Product (or Service) Place Price Promotion
  • 8. •Advertising •Public relations •Sales Promotion •Direct marketing •Sales force •Distribution Channel •Coverage •Assortments •Place Available •Inventory •Transport •List price •Discounts •Allowances •Payment period •Credit terms •Product Variants •Quality •Design •Features •Brand name •Packaging •Sizes •Services •Warranties •Returns Product Price PromotionPlace
  • 9. Using the 4Ps Marketing Mix Model  The marketing mix model can be used to help you decide how to take a new offer to market. It can also be used to test your existing marketing strategy. Whether you are considering a new or existing offer, follow the steps below help you define and improve your marketing mix. 1. Start by identifying the product or service that you want to analyze. 2. Now go through and answer the 4Ps questions – as defined in detail above. 3. Try asking "why" and "what if" questions too, to challenge your offer. For example, ask why your target audience needs a particular feature. What if you drop your price by 5%? What if you offer more colors? Why sell through wholesalers rather than direct channels? What if you improve PR rather than rely on TV advertising?
  • 10.  Try asking "why" and "what if" questions too, to challenge your offer. For example, ask why your target audience needs a particular feature. What if you drop your price by 5%? What if you offer more colors? Why sell through wholesalers rather than direct channels? What if you improve PR rather than rely onTV advertising?  Tip: Check through your answers to make sure they are based on sound knowledge and facts. If there are doubts about your assumptions, identify any market research, or facts and figures that you may need to gather.
  • 11. 4. Once you have a well-defined marketing mix, try "testing" the overall offer from the customer's perspective, by asking customer focused questions:  Does it meet their needs? (product)  Will they find it where they shop? (place)  Will they consider it's priced favorably? (price)  And will the marketing communications reach them? (promotion) 5. Keep on asking questions and making changes to your mix until you are satisfied that you have optimized your marketing mix, given the information and facts and figures you have available. 6. Review you marketing mix regularly, as some elements will need to change as the product or service, and its market, grow, mature and adapt in an ever-changing competitive environment.
  • 13. PRODUCT QUALITY  Various dimensions of multi personality brand Nirma are as follows:  a) Sincerity  b) Robust  c) Competence  d) Performer  e) Ruggedness  f) Powerful (ab jyada shakti Nirma)
  • 14. PRODUCT DESIGN  It has a simple product design, it is designed as per fine motor skills. The detergent cake are designed in such a way that the entire cake is under proper handling. It is not very large on thin that it cannot be handled. Innovations are not done in design of the product.
  • 15. FEATURES  Available in abundance  Is able to delivery value what is asked from it i.e., proper cleanliness  An unique feature of nirma detergent cake are that they don’t dissolve easily with water like other. Durability is high in terms of soaking.
  • 16. BRAND NAME  The brand got its name from “NIRUPAMA” i.eThe daughter of Mr.Karsanbhai Patel(MD of Nirma)  Thus Brand name came into existence NIRMA
  • 17. PACKAGING  For individual packaging is simple it is available in pouchs.  For bulk purchases units are packed in boxes for wholesalers.
  • 18. SIZES PRODUCT 25 gm 125g 250g 500g 1000g 2000g Nirma powder   Nirma d.cake   Super Nirma powder    Super d.cake   Nirma popular   Nirma d.cake  
  • 19. RETURN AND WARRANTY  There is no return policy as per the information given by customer care Ahmedabad and other retailer stores  This a consumable durable so there is no warranty
  • 20. PRICE
  • 21. Highlights..  Initially, Nirma targeted rural area in 1970-1990’s.  Later on they they shifted their focus to lower and middle urban areas.  From both sides that is company as well as the customer there should be value proposition for money.  They don’t provide allowances.  Credit terms was acceptable in cash as well as cheque form dated maximum for a week and minimum 3 days.  They have adopted Perceived value pricing method and value pricing method.
  • 22. Price to customers Quantity Amount (Rs.) 250 gms 10 500gms 20 1kg 37 2kg 80(rs.10 super nirma soap free)
  • 23. Price to Retailers and Distributors Retailer Wholesaler List price(for 1kg- 37Rs.) 34Rs. 32.745Rs. Discount 10% 11.5% Allowances - - Payment period 1 week Have to pay on next day Credit terms Have to pay cheque or cash Cash or cheque
  • 24. PLACE
  • 25. Principal Channel [Nirma Products]:  Lowest Cost system in India  Speed in distribution  Flexibility The NIMA range of products is marketed through a parallel marketing network that comprises of more than 2000 distributors.
  • 26. Parallel Channel [Nima Products]:  Wider Reach  Speedy Market Intelligence  Competitive edge & Better focus  Complementing Principal Channel
  • 27. Distribution Channel  Availability of different retail outlets across the nation  To enhance trade relations  To build up the retailer base by providing incentives  To develop programmes, schemes etc
  • 28. Channel Coverage  400 distributors covering more than 2 million retailers  About 80% of Nirma’s distributors are exclusive  Maintaining depots at Andhra Pradesh,Tamil Nadu and Karnataka
  • 29. Assortments  No. of products: 1. NirmaWashing Powder 2. Nirma Detergent cake 3. Nirma soaps 4. Nima soaps 5. Salt 6. Nirma Clean Dish Bar 7. Nirma Bartan Bar
  • 30. Location  In Gujarat, the registered offices of Nirma products are located at the following places: i. Ahmedabad ii. Rajkot iii. Mehsana iv. Baroda v. Bhavnagar
  • 31. Inventory  SodaAsh  LinearAlkyl Benzene  Packaging  Soaps  Detergents  Edible & Industrial Salt  AlphaOlefin Sulfonate  SulfuricAcid  Glycerin  Single Super Phosphate  Infusions  Injectables  CriticalCare Products  Medical Disposables
  • 32. Transport Margin for channel partners  ThroughAutorickshaws  Nirma uses the low-cost operations priority (along with other competitive priorities) to strategic advantage NCCL Nirma Nima
  • 34. Nirma : A Journey Backyard of a Small House Becoming One of World’s Largest and Most Integrated Detergent Comp. 15-20 Packets – A day Over 80000 Tons Annually with 38% Market Share A DREAM A REALITY From To
  • 39. NIRMA Advertising Through the Eras The 1970-80’s • NIRMA did not have a cost in its initial budget for advertising. • Initial Advertising was word of mouth marketing and educating rural people about the use of detergents. • By the late 70’s as televisions slowly started to spread into rural India, so did the Nirma ad campaign, with its simple message and catchy jingle.
  • 40. NIRMA’s Ad Campaign Analysis Analysis Parameters 1970-80’s 1990’s Latest Communicatio n Objectives Category Need Brand Awareness Consolidate Market Milk the Brand Target Segment Rural Segment Housewives (25– 40 y) Rural + Urban Young Girls Housewives (18 – 40 y) Urban Housewives +Working Women (18 – 50 y) Symbolism Used Little Girl, Housewife , Whiteness Modern Girls Modern Buildings Underwater Swimmers, Opera Music Creative Strategy Keep It Simple Product-in-use Exp. Transformational Appeal Transformational Appeal Core Benefits Create Need, Value for Money Market Penetration Repositioning Consumer Response Awareness, Knowledge, Purchase Knowledge, Liking, Preference, Purchase Liking, Conviction, Purchase
  • 41. Some facts about NIRMA’s Ad Campaign  “Dudh si safedi NIRMA se aaye, Rangin kapda bhi khil khil jaaye. Sabki pasand NIRMA”..the same jingle has been used since the last 35 years.  Same radio spot has been used consistently since the last 28 years.  Strategy used to create an emotional attachment with the consumers.
  • 42. THE LAUNCH OF SUPER NIRMA
  • 43. Super Nirma – Advertisement Analysis Target Audience Consumers shifting towards more sophisticated form of washing. Communication Objective To meet the consumer's growing aspirations and to allow consumers to upgrade to a better quality product. Communicati on Design a) Message Strategy “get clothes cleaner” - Rational results of use experience b) Creative Strategy “Super Mummy” can clean any kind of dirt from clothes. c) Message Source Boy is building conviction that the clothes can be cleaned.
  • 45. Nirma Media Mix Introduction Stage •OBJECTIVE •Reach Geographical dispersed buyers •METHOD USED •Advertisement •Radio •Wall painting •Vans/Trains •Direct and Interactive marketing •Personal Selling •Expert Channel –Changing Washing Habits. •Product Demonstration •Sales promotion •Prize Draw • Introduce bucket scheme to promote product hamper •Money back guarantee promotion scheme
  • 46. Nirma Media Mix • OBJECTIVE •Increase penetration • METHOD USED •Advertisement •Radio andTV advertisement •Bill boards •Word Of Mouth •Personal •Distributor Influence Growth Stage
  • 47. Nirma Media Mix • OBJECTIVE • Maintain Market Share • METHOD USED •Advertisement • Advertisement utilizing popularity of theT.V. Soaps • Advertisement emphasizing experience of using Nirma. • Packaging- New and Improve look • Logo, New Seal package • Enhance Distribution network to increase influence. • New Product- Super Nirma Maturity Stage
  • 48. Today NIRMA as a Brand …  One of theWorld’s largest and most integrated manufacturer of detergent and toiletries  One of the largest Player of Indian detergent market with a share of 38%.  Second largest toilet soap marketer of the country with a share of 20%.

Editor's Notes

  1. Communication Objective – Category Need, Brand Awareness, Brand Attitude, Brand Purchase IntentionMessage Strategy – Points of parity & difference