Shield Corporation is re-launching its baby diaper brand Shield Diaper after its initial decline. Shield Diaper aims to be a total solution provider in the baby care category. The Pakistani disposable diaper market is growing at 8-10% annually and is highly seasonal. Shield Diaper will face major competition from established brands like Pampers and Diapy. For success, Shield Diaper will require significant promotion and an innovative product to gain market share from competitors and create a strong brand identity. The target consumer is children aged 0-3 years, while the target purchasing agent is young-to-middle aged mothers who are influenced by family in their buying decisions.

2. Hajvery University
Principles of Management
Assignment # 4
Presented By:
Engr. Shoaib Mughal (312-3302)

4. Company Introduction, Diaper History, Promotions
01
Decline Reason, Competitors, Market Growth
02
SWOT & PESTLE Analysis, Two year Marketing Plan
03
Product Segmentation, Targeting
04
05

5. Shield Corporation Ltd.
Shield® Corporation Ltd. established in 1975 as a Public Limited Company was
listed on the Stock Exchange in the same year. Shield® by virtue of its vast range
is the leader in Oral and Baby Care segment. All the products manufactured
complying sophisticated European Technologies fully comply with the International
Standards.
Shield® is committed to the protection of the environment and for the strict code
enforcement and regulations of ISO 14000 systems is skilled, seasoned, and
young. They are focused and dedicated to make Shield® a renowned, growing and
leading company not only locally but globally as well, and also a responsible
corporate citizen. For last two decades, Shield® has shown a success track record
and launched a variety of Quality Products and set new milestones in the market
with an ultimate objective of „Care‟. For that reason, all the intermediaries have
always shown a satisfactory trend with the operations and marketing activities of
the company.

6. VISION:
Our vision is to be an organization offering value to everyone in the family, known for its
innovative, groundbreaking & responsible marketing approach where people love their
jobs & feel proud to be a part of Shield.
Mission :
our mission of caring and protecting human life. The „Care‟ is the core spirit, which has
made Shield® as a recognized household name in Pakistan. approach has been the
forefront in every managerial decision and this has been incorporated in every step of the
system, so in other words, every step is directed towards the ultimate goal of „Customer
Care‟.

7. The first idea for the disposable baby diaper came in 1947 by Vic Mills, which eventually
became the Pampers baby diaper. Pampers was launched in the spring of 1961.
Interestingly, the first baby diaper did not have means for attachment. This was
problematic for the consumer because one needed to have tape ready for each diaper
change.
The disposable diaper industry felt the innovation for the baby diaper in the 1970s.
Adding an elastic stretch to the waist of disposable diapers in the early 1980s helped the
fit of the diaper. The 1990s added many new features to the baby diaper, such as
mechanical tapes in the form of Velcro, and other types of hook and loop. Pamper is the
market leader in this category and introduce new features in their diapers.
In August 2000, P&G launched “PAMPERS” in Pakistan. Currently the major competition
is in between Pampers, Baby Master, Diapy and others.

8. Product Concept:
The product concept of diapers is to prevent the leakage of urine and stool.
There are two types of diapers:
Cloth diapers Disposable diapers

9. Presently, in this market all the companies related to baby diapers have
employed both push & pull strategy.
After a long standing in the market, Pampers has created very strong brand equity.
Intense price competition is from the imported/smuggled brands, which retailers
prefer a lot because of the high margins.
Purchasing behavior depends upon the quality, consistent market presence.
In the diapers category number of players like P&G, Diapy & Z&J (Baby Master)
gained the „trust‟, which the consumer has gave after a long period of time because
these companies didn‟t have link with baby category before in Pakistan market.

10. Having a child is an emotional thing for the parents, so they are very
conscious about their child health. Here consumers are quite careful
and take serious and cautious steps and choose those brands which
have goodwill and established in their mind.
The young mothers take advices/instructions from their mothers,
mother-in-laws; close family members and friends, who are also
mothers. So there is strong presence of Word-of-Mouth network.
Mothers are the main purchasers of the products, target purchasing
agent and they make the final decision.
A high profile market requiring heavy promotion through mass media.
Seasonality factor is present in this category.

11. Shield launcher their diaper by the name of Shield Diaper on April, 2011. But due to
some factors Shield Diaper was decline.
GST ISSUES AT LAUNCH:
 Around the time of launch GST was implemented by the Govt.
 Baby Master responded by selling 60,000 cartons on old price because of GST
being levied.
SEASONAL IMPACT:
 Demand in off-season is substantially low.
 The Peak season for Diaper sales is between October & March.
 Shield launched their diapers in April‟11 & found a lot of resistance from trade
since they were already overstocked with different Diaper brands.

12. COMPETITORS REACTION:
 Re-launch of Pampers in new packaging and a lot of media noise
 MRP (pickup price) reduction of Pampers from Rs. 239 to Rs. 199 (17%
reduction).
 12+1 scheme by Baby Master
LAKE OF ADVERTISEMENT & MARKETING:
 During the launching of Shield Diaper Marketing department failed to have good
marketing and advertisement strategy.

13. Shield® as the market leader in the Baby Care segment plans to be the total solution
provider in this category. Shield® is going to Re-launch their Baby Diaper, which
offers: Frontal Tape: Velcro system that allows unlimited opening and closing. Soft
Touch, cloth like, Breathable Back Sheet. Internal Gel Layer: Allows immediate
absorption of urine thus avoiding skin irritation. Elastic Leg Cuff: Fit on baby‟s thighs
to prevent leakage.

14. The major competitors of Shield Diaper:

15. Estimated annual value is Rs. 4,408,992,000/-.
 Market growing rate should be 8% to 10%.
The movements of the products have trough and crests.
SEASON PERIOD
Winter: September to March
Summer: April to August
Approximately 35% sales decrease in April to August.

16. 1. Small ~ 35%
2. Medium ~ 35%
3. Large ~ 15%
4. Extra Large ~ 15%
Regular Pack ~ 40%
Economy Pack ~ 60%

17. Strengths:
 The products have a mass-market appeal.
 Shield enjoys a very well established distribution network in the
country approximately 250 distributors in Pakistan.
 Shield as a mega brand enjoys a very good reputation in terms of
Brand Equity in the market amongst consumers especially in the
mothers. Higher management is confident & highly supportive.
Weaknesses:
 As far as Diapers is concerned, the company does not have experience in this range.
 As this range needs lot of promotion and awareness support, so large amount of budget
should be allocated to take a considerable share from pampers and Diapy to create a
brand identity in the market.
 The machine can only produce basic diapers, and it is inactive in term of innovation.

18. Opportunity:
 Consumption rate of this range is comparatively higher than the present feeding range.
 This will provide a base to enter into new segment in the Baby Care segment like Diapers
Rash Cream, Baby Wipes etc.
 Consumption rate of this product is high. (Diaper life is not more than 10 hours)
 This range is catering to the same target market in which we are presently targeting,
which ultimately enhances the overall company‟s image and portfolio.
 Increasing awareness generated by companies to shift from cloth nappies to disposable
diapers through various Commercial/ public service TVCs.
 There are still a number of areas which require additional improvement. One such area is
that of leakage reduction. The pursuit of leakage free diapers makes the trial of new
diaper brands an attractive proposition.
 Leveraging Shield baby cares existing capabilities in the baby care market towards the
diapers category.

19. Threat:
 Pampers is very well entrenched in the mind and market. They
are the market leaders. Secondly, when they face the challenge
from Shield they would react very aggressively. Diapy, which is
again a very strong brand enjoy very strong Brand Equity in
their respective market.
 New entrants ( influx of low cost Chinese brands).

20. Politically
There are some politically factors. Like
- Tax policies.
- Political stability
- Fiscal policies
- Trade and tariff limitation
NOTE: But unfortunately in Pakistan- consumer protection
laws are not very strong.
Economically
These are some Economically factors.
- Economic stability
- Economic growth
- Interest rates
- Inflation rates
- Exchange rates

21. Socially.
 - Population growth rate
- Age distribution
- Career attitudes
- Consumer behavior
- Religion and culture itself
Technologically
- Distribution and communication channels
- Technology incentives
- Automation
- Rate of technological change
- Environmental and ecological aspect
- Barriers to entry
- Production level
- outsourcing decisions

22. Legally
The law would be impact any industry and business.
- Consumers protection Laws.
- Safety Standers laws.
- Labor laws.
Environmental
The environmental factors include.
- geographical location,
- Climate, weather
- Other such factors that are not just limited to climatic conditions.

24. Segment 1 Consume 6 to 7 diapers a day
Segment 2 Consume 2 to 3 diapers a day
Segment 3 Consume 1 diaper in a day usually at night.
Segment 4 Here diaper use occasionally especially attending the parties.
Principal Benefit: Leakage protection and dryness
Gender: Unisex
Area: Urban and Rural areas
Decision Making Units (DMUs):
a. Buyer: Mother
b. Influencer: Grand Mother and Family Members
c. Consumer: Child
d. Decider: Mother
Segmentation:

25. Targeting:
As stated in the DMUs, the target consumer is child, but being minor he/she
cannot take any sort of decision and totally dependent on his/her family, where
buying decision is taken by the „purchasing agent‟.
The ‘target purchasing agent’ is:
Age Group: Young mothers to middle adulthood
Age Range: 25-40
Information Source: Parents; family members; television; News paper.
Therefore, the communication mix, promotion and packaging should be designed
to appeal the purchasing agent, who is mostly mother of the user.

26. “For young mothers looking for value for money in buying quality diapers for
their babies from a trusted source that provides the basic hygiene for the
healthy growth of their babies.”

27. Shield® Diapers packaging is designed with eye catching colors and
keeping the same theme as of its existing feeding range.

28. FEATURE PAMPER DIAPY BABY MASTER SHIELD
Velcro √ √ √ √
Back Sheet
Non-Woven
PE √ PE √
Wetness
Indicator
- - √ -
Perfume cum
lotion
√ - - -
„√’ indicates the presence of the feature.

29. VISION:
“To become the best personal and household care company and amongst
the most trusted names in product categories we decide to be in.”
Market
Penetration
Product
Development
Market
Development Diversification
STRATEGY:
Present
Present
New
New
M
a
MARKETING
MARKETING OBJECTIVES:
Proposed strategies and plans are
based upon the following basic marketing
objectives
It should be penetrate and achieve 7%
of market share in the Baby Diapers
Category in the launching year 2013.
It should be available in the nook and
corner of the country in 2 months after
the launch.
It should be increase the range and to
establish Shield as a „Total Solution
Provider‟ in the Baby care segment.

30. Industry Pricing Map:
Shield should be initially charge Rs. 18.29 per diaper in regular size and
Rs 17.50 per diaper in Bachat Pack.

31. Company Size Unit in PB Retail Prices Per Unit Cost
Diapy Regular 7 135 19.29
Baby Master Regular 7 135 19.29
Dryfur Regular 7 125 17.86
Happy Nappy Regular 7 120 17.14
Pampers Regular 10 199 19.90
Shield Regular 7 135 18.29
Diapy Economy Pack 24 430 17.92
Happy Nappy Bachat Pack 14 220 15.71
Baby Master Bachat Pack 14 270 19.29
EQ Economy Pack 18 260 14.44
ABC (Ezigrip) Economy Pack 14 260 18.57
Shield Bachat Pack 14 250 17.50
Pampers Value Pack 20 370 18.50
RegularPackValuePack

32. Shield currently following contractual VMS
system because “Premier Group "is an
official partner of Shield as Distributors
with 250 branches in Pakistan.
DISTRIBUTION OBJECTIVES:
Product to be made available in all present towns in entire
Pakistan in two months after its launch.
Cover 23,000 outlets in launch year.
Focus will be at retail level then to wholesale.

33. Distribution Strategy:
Three phases of distribution should be employed to ensure that Diapers should be in the
right place at the right time and in the right quantity.
New dealers should be appointed in case of conflict of interests.
To fulfill the above mentioned objective, the launch month is divided into following phases:
Month
Day 1 - Day 07 ASM Towns
Day 7 - Day 14 ASM + SO Towns
Day 14 – Day 25 ASM Town Whole sale + SD's
ASM Base Towns
SO Base Towns
Others
April 2013 April 2013April 2013

34. Shield Distributor W/S
Retail
DISCOUNT STRUCTURE:
Shield should be offered some discount structure.
Shield to Distributor: 9.5%
Distributor to Whole Sellers: 5%
Retail
Upto 750/- – 1999/- Discount 1%
Upto 2000/- – 2999/- Discount 2%
Above 3000/- Discount 3%

35. The promotion strategy will initially revolve around informing customers about the
product and generate trials.
Above-the-line Activity:
Television Commercials: To create awareness & recall, TV commercials play a
very important role but we are designing different ad‟s with certain objectives
FM Radio: Presently FM Radio has high listenership specially the music segments
by the housewives in the morning while executing daily tasks in kitchen and other
household activities

36. Print Media – Newspapers/Magazines: Advertisement will
be placed in newspapers/magazines.
Billboards – Billboards will be placed at selected locations
to create awareness & Recall of the product.

37. Below-the-Line Activity:
1.Merchandising:
To enhance the visibility and effective display of Shield
Diapers
2.Door to Door Selling (DDS):
The main objective of this activity is to create
awareness about the brand and increase the trail.
3.Sampling in Maternity Homes:
To create one to one close contact and an emotional
bound between the Mothers and Shield.
4.Shop Converter Activity:
To provide information about the Shield diapers to the
customer visiting the shops.
5.Shopping Mall Activity:
To provide information about the Shield Diapers
through sampling to the mothers at shopping mall.