15190423 New Product Development Process of LUX
March 27, 2017 | Author: usmanahmadqadri | Category: N/A
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Description
La unch
Idea generation Opportunity i dentifi cati on an d selection
2. Tactic al Tas ks Concept ge neration
1.Mark eting tas k s
deve lopme nt
Conce pt e valuation
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NEW PRODUCT CATEGORY OF UNILEVER
PRESENTED BY: • • • • • • • •
USMAN AHMAD QADRI SYED ZOHAIB ALI RIAZ UMAIR IFRAN ASAD IQBAL ARSHAD AYYAZ AHSIN MUGHAL SAJID MAHMOOD
PRESENTED T Muhammad Asif 2
1)Introduction……………………....5 I. - Unilever at a Glance…………………………………... ….5 II. – Vitality……………………………………………………..5 III. - Cultural analysis of Unilever……………………………...6 IV. - Unilever’s today………………………………………... ….6 V. - Unilever Pakistan Ltd……………………………………...7 VI. - UNILEVER PAKISTAN PORTFOLIO………………….8
2)-IT’S ALL ABOUT LUX.……… 9 I. HISTORY……………………………………………….9 II. GLAMOROUS AND SENSUAL……………………………….. …10
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3)-BASICS NEW PRODUCT PROCESS OF SUNWASH………… 13 I.
OPPORTUNITY IDENTIFICATION
AND SELECTION………………………………...15 II. CONCEPT GENERATION…………………...…17 III. CONCEPT EVALUATION……………………....21
IV.
DEVELOPMENT…………………… ………24 a. TACTICAL TASKS………………………………………...24 b. MARKETING TASKS……………………………………...24
V.
LAUNCH……………………………… …………..26
4)-Conclusion…………………… 40 4
5)Recommendation…………….41
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In t r o d u c in g i t s n e w p r o d u c t
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Executive Summary Unilever is a multinational consumer product manufacturing giant operating in over hundred countries all around the globe. Unilever Pakistan is the Pakistan of Unilever, where the company holds 60.75% share whereas the Government of Islamic Republic of Pakistan holds 39.25% share. Unilever’s one of the most popular brand is LUX. They segments LUX product SUNWASH according to geographical locations. It further differentiates these segments into Socio Economic Cluster (SEC) which takes into account the criteria of education and profession which ultimately measures the financial ability of consumers. The cluster is divided into five parts starting from A to E. Unilever targets the urban and sub urban upper middle class and middle class segment of the population, who falls under A to C of SEC. Tactical marketing tools, 4P’s, are extensively should be use by the company to market the SUNWASH . Though LUX is produced in Pakistan, Unilever Pakistan maintains the same standard all around the globe. Unilever Pakistan has outsourced its distribution channels to third party distributors which allow them to distribute SUNWASH in massive bulks amounting to around thousands pieces. It undertakes the largest promotional activities in the beauty soap industry. The LUX industry has a few major producers of which Unilever holds market share of slightly less than 50%. Other competing brands like Tibbet, Aromatic and Keya have started to have a strong consumer base, but LUX product of SUNWASH features distribution and promotional activities should be created. Unilever, with the aid of its heavy promotional activities for the product SUNWASH, can be able to penetrate the market. But the other producers in the industry are posing a threat towards Unilever’s market share as they have moved towards the rural masses of the population. Therefore, Unilever Pakistan should undertake further steps such as moving towards the rural and/or poorer segment; attract children (by making a special product for kids) and other innovative promotional activities to retain its command in the industry. 7
OBJECTIVE OF THIS REPORT: This report base on the way the LUX used the basics new product process for the new product SUNWASH which we discuss as a new category entry. In this report we also discuss the outcome of an analysis of marketing strategies used by Unilever Pakistan Ltd. The main purpose of the report is to find what strategies the company uses to market the Sunwash,, in Pakistan; the positive and negative aspects of those strategies. The report further analyzes the position of Unilever Pakistan Ltd. in the toiletry industry in comparison to its competitors. The report discusses the process of using market segmentation of sunwash, target marketing, the product, pricing, promotional and distribution strategies and a competitive analysis.
METHODOLOGY OF THIS REPORT: For accessibility and availability of information we have chosen to work on the strategies of Unilever Pakistan Ltd brand LUX and the product have a SUNWASH. As the company operates in the market with a huge number of products in different industries, we have decided to focus on one of their world wide successful brands LUX and the new product SUNWASH in Pakistan. Most of the information used in this report is from primary sources. The main source of information was the focus group discussion. In addition information was also collected from websites.
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1) - Introduction: 1.1)- Unilever at a Glance: Unilever is one of the world’s largest and leading multinational companies; Unilever commenced their business activities on a larger scale by setting up their first factory in Netherlands, in the year of 1872. Operating in Pakistan for over the last four decades the company is trying to significantly contribute towards the augmentation of the standard of living by bringing world class high quality products at the door step of their customers. The usage of Unilever products by over 90% of the people in PAKISTAN stands a testimony to their successful operation. . Their array of products show that they produce household care, fabric cleaning, skin cleansing, skin care, oral care, hair care, personal grooming, and tea based beverage products under worldwide famous brand names Wheel, LUX, Lifebuoy, Fair & Lovely, Pond's, Close Up, Sunsilk, Lipton, Lipton Taaza, Pepsodent, All Clear, Vim, Surf Excel, and Rexona.
1.2)-Vitality: Unilever’s mission is to add vitality to life. We meet everyday needs for nutrition, hygiene and personal care in LUX product Sunwash that help people to feel good, look good and protect their skin from dangerous sun light and get more out of life.
1.3)-Cultural analysis of Unilever: 9
No matter who you are, or where in the world you’re, the chances are that our products are a familiar part of your daily routine. Every day, around the world, people reach for LUX products.
1.4)-Unilever’s today: Our brands are trusted everywhere and by listening to the people who buy them, we’ve grown into one of the world’s most successful consumer goods companies. In fact, 150 million times a day, someone somewhere chooses a unilever product. Look in your fridge, or on the bathroom shelf, and you’re bound to see one of our wellknown brands. We create market and distribute the products that people choose to feed their families and keep themselves and their homes clean and fresh.
1.5)-Unilever Pakistan Ltd: The Since the time Unilever Pakistan began its operations in 1948, the Company has been closely connected to the Pakistani people and its brands have been an integral feature in their daily lives. In fact, the nature of our business enables our brands to be the pulse and heartbeat of the 164 million people in Pakistan. This is a huge commitment, which makes us responsible and accountable to all our stakeholders and society as a whole and strengthens our resolve to: • • •
Make a positive difference to the lives of low income consumers Create new opportunities for growth Improve the overall quality of life in Pakistan, by promoting education, nutrition, health and hygiene.
The company had a turnover of Rs. 23.3 bn (Euro 309 mn) in 2007, and enjoys a leading position in most of its core Home and Personal Care and Foods categories, e.g. Personal Wash, Personal Care, Laundry, Beverages (Tea) and Ice Cream.
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The company operates through 4 regional offices, as well as 4 wholly owned and 6 third party manufacturing sites across Pakistan.
People’s lives are changing fast. As the way we all live and work evolves, our needs and tastes change too. At Unilever we aim to help people in their daily Lives. so we keep developing new products, improving tried and tested brands and promoting better, more efficient ways of working. We have a portfolio of brands that are popular across the globe- as well as regional products and local varieties of famous – name goods.
This diversity comes from two of our key strengths:
Strong roots in local markets and first – hand. Knowledge of the local culture. World – class business expertise applied internationally to serve consumers everywhere. Focusing on performance and productivity, we encourage our people to develop new ideas and put fresh approaches into practice hand in hand with this is a strong sense of responsibility to the communities we serve. We don’t only measure success in financial terms; How we achieve results is important too .we work hard to conduct our business with integrity– respecting our employees, our consumers and the environment around us. Unilever is one of the world’s leading suppliers of fast-moving consumer goods. Here are some recent highlights from our three global divisions-Foods, home care and personal care. .
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1.6)-UNILEVER PAKISTAN PORTFOLIO: Personal care: Our personal care brands, including Axe, Dove, Lux, Pond's, Rexona and Sunsilk, are recognised and respected around the world. They also offer a new product category in the face wash industry as a product name SUNWASH.They help consumers to look good and feel good – and in turn get more out of life.
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2)-IT’S ALL ABOUT LUX: 13
In the late 19th Century, at Oss in Brabant, the Netherlands, Jurgens and Van den Bergh – two family businesses of butter merchants – have thriving export trades to the UK.
In the early 1870s, they become interested in a new product made from beef fat and milk – margarine – which, they realise, could be mass-produced as an affordable substitute for butter. Later, over in the North of England in the mid-1880s, a successful wholesale family grocery business run by William Lever starts producing a new type of household soap. The product contains copra or pine kernel oil, which help it lather more easily than traditional soaps made of animal fats. Unusually for the time, Lever gives the soap a brand name – Sunlight – and sells it wrapped in distinctive packs.
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LUX established their business in pakistan since 1954. Then LUX want to be pampered, to look and feel great, to enjoy that moment when anything seems possible. And that’s just what LUX offers you on a daily basis at a price you can afford.
2.1)-LUX BRING OUT THE STAR IN YOU: Throughout this time, LUX has been closely associated with many of the most glamorous and sensual women of the age in Pakistan. Lux has been widely advertised in Pakistan ever since the brand was introduced. Pakistani models including Reema Khan, Meera, Aaminah Haq, Babra sharif and various other leading models and actresses have been "Lux models" from time to time. Lux remains the leading soap brand in Pakistan, representing the stylish class of Pakistan. Things started with a TV show called Lux Style Ki Duniya, now with the country's leading models and actors taking part in the annual Lux Style Awards every year. Ali Zafar the famous Pakistani Singer has become the first male model for Lux. Lux soap is also a category leader in Pakistan, the brand being synonymous with glamour. While initially it was also marketed as the beauty soap of the film stars, recently it is focusing more on bringing out the star in ordinary people. Current brand ambassador is Iman Ali. This year LUX came up with an new concept in the face wash industry as its launch new product SUNWASH in Pakistan market.
2.2)-GLAMOROUS AND SENSUAL: We all want to be pampered, to look and feel great, to enjoy that moment when anything seems possible. And that's just what Lux offers you on a daily basis at a price you can afford. Lux has been winning hearts of Pakistani consumers for 50 years. Throughout this time, Lux has been closely associated with many of the most glamorous and sensual women of the age. Marilyn Monroe, Demi Moore and Catherine Zeta-Jones are some of the stars who've appeared in Lux ads. In Pakistan, leading celebrities like Babra Sharif, Meera and Aaminah Haq have endorsed the brand.
Key facts • •
First mass marketed toilet soap launched in 1924 Sold in over 100 countries 15
•
Market leader in various countries including pakistan,Saudi Arabia, Brazil, India
Lux Almond Delight comes with the deep moisturization of exotic Peach, Cream and precious Almond Oil. Lux Nature Pure has nourishing oil of Cade and cumber extracts for a radiant and clear skin. Lux Orchid touch comes with the delicate touch of rare orchids and precious Jojoba Oil, for a softer and fragrant skin. Lux Energising Fruit incorporates the beauty secrets of Fruit Extracts, rich Milk Cream and Honey, for a fresh renewed feeling.
From our range: Orchid touch Almond delight Energising fruit Aqua sparkle
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2.3)-PORTFOLIO ANALYSIS OF LUX: LUX
SUNWASH
DOVE
BCG analysis on the Basis Of sale: Stars are high-growth, high-share business or products. They often need heavy investment to finance their rapid growth. Eventually their growth will slow down, and they will turn into cash cows. Cash cows are low growth, high share businesses or products. These established and successful SBUs need less investment to hold their market share. Thus, they produce a lot cash that the company uses to pay its bill and to support other SBUs that need investment. Question marks are low share business units in high growth markets. They require a lot of cash to hold their share, let alone increase it . management has to think hard
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about which question marks it should try to build into stars and which should be phased OUT.
3) - BASCIS NEW PRODUCT PROCESS
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OPPO ENTIFIC OPPORRTUN TUNITY ITY ID IDEN TIFICATION ATION CO ATIO NN CONC NCEP EPTT GEN GENER ERATIO CO EP TT EV CONC NCEP EVALUATION ALUA TION DEVELO T DEV ELOPPMEN MENT LA UN CHH LAUNC
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Figure 7-2
.
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I. Opportunity Identification and Selection: Unilever’s mission is to add vitality to life. We meet everyday needs for nutrition, hygiene and personal care in LUX product Sunwash that help people to feel good, look good and protect their skin from dangerous sun light and get more out of life. So the LUX offer the new product in the face wash industry. UNILEVER (PAKISTAN) have already face wash and sun block cream products under the brand LUX and PONDS. Meanwhile their R&D department after making a thorough research reported that there was not a single product in the market that provides both functions (face wash&Sunblock) simultaneously. This report put the Unilever product Manager to think over this opportunity. They again and again scanned the market but they did not found such a dual benefit providing product or any product of similar functions. There were many products which comprised of only one function like Nivea (Sun block) and Lux (face wash).There is also an other reason of selecting and exploiting this opportunity that they were already working in same type of cosmetic products and they were aware of all the aspects of these products and it was easy for their team to work with this type of formula product .There are the following LUX strategic planning for the new product Sunwash.
Ongoing marketing planning: At that time they have not any product in Pakistan market which provide the both feature sun block and face wash . Sunwash have no direct competitors as such as our product is unique and one of its type. indirect competitors are many for example (NIVEA sun block ) they have only one attribute is protect our skin from radiant sun rays but they have not any feature of face wash. That is way our product have edge against our competitors. All those who made face washes and sun blocks.(here are many huge brands in this regard so we have a sort of threat).
Swot analysis:
Strength: Sunwash offer under the brand Lux and company Unilever. Provide the both feature sunblock + facewash Low price
Weakness: Fewer budget for marketing activities. 21
Opportunity: New product People trends are shifting
Threats: Strong indirect competitors Lack of awareness
Major source of gathering the idea; Publics: Our publics are interested in our product as it may bring a financial interest to our stock holders, and the other major factor of this is our media public. It’s a very good source for them as it lounges under Unilever’s company and a very respectable brand LUX.
Consultants: Most management consulting firms do new products works because its provide both feature sunwash and face wash.
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II. CONCEPT GENERATION: PREPARATION FOR IDEATION: FINDING THE PEOPLE: LUX hires the people with diverse experience, great enthusiasm for making new product SUNWASH.
Activities: LUX’s Management should arrange the training program for the creative people for making them more productive. Special treatment for example Be tolerant Be supportive Recognize individuality.
Concept: Management given the concept to what is it we want them to produce. Our most recent customer satisfaction survey that consumers would like a sunwash because its protect our skin from radiant sun rays and wash their face. No face wash offers these combination this benefit. The second person was a product manager who said “ I was thinking last week about the features of face wash and noted that all of them are provide only one feature (sunblock or face wash) ate time. Maybe ours could be made face wash how have the both feature (sunblock+facewash)(form). The third person was scientist who had just returned from a technical forum and said, I heard discussion of a new chemical mixing process lemon to cleanse, refresh and purify oil skin. May be it would be useful in our business. (Technology) .
METHODS Concept Generation: 23
•
Problem-based ideation Analytical attribute approaches
•
Quantitative :
•
o
o •
Gap Analysis (Determinant gap map, AR perceptual gap map, OS perceptual map) Trade-Off Analysis (Conjoint Analysis)
Qualitative: o o o o
Analogy Dimensional Analysis Checklists Relationships Analysis
LUX used trade off Analysis: “The process by which customers compare and evaluate brands based on their attributes or features.” Using Trade-off Analysis to Generate concept: Factor utility Scores – SUNWASH Four attribute are uppermost in customer’s minds when they choose a brand of salsa: Face wash cleaner PRICE Color
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Sun block There are 3x3x2x3=54 different types of SUNWASH that can be made by combining the levels of these attributes in all possible ways (medium, white, suggestive, elastic feeling is one way) We design “54”cards, each with a picture and verbal description of one of the combinations. Each respondent customer is then asked to rank the cards from “1” to “54” are like most and “54” are like least.
Concept statement: (Sunblock+facewash) states a difference and benefits the customers or end-users to clean their skin and protect it from the sun rays.
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Conjoint analysisoutput 3
- Sunwash
color
3 Facewashcleaner Utility
Utility2
2 1 green
blue
white
1 Elasticfeeling
Sunblock 3
mild
medium
strong
Utility value
Utility value
1
Dryout
price
3
2
Oil control
2
1 low
HIGH
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Concept Evaluation:
III.
SUCCESS RATE & COST IMPLICATIONS FOR SUNWASH. • STAGE NO. OF PASS COST PER TOTAL • IDEAS RATIO PRD. IDEA COSTS • Idea 64 1:4 RS.1000 RS.64,000 Screening • Concept 16 1:2 20,000 320,000 Testing • Product 8 1:2 200,000 1,600,000 Development • Test Mktg. 4 1:2 500,000 2,000,000 • National 2 1:2 5,000,000 10,000,000 Launch TOTAL 13,984,000 •
. Our this product have both the qualities of sun block and face wash consumers prefer this because now a days people do not have time to carry many thing together. They need everything they are not only quality oriented but also cost oriented.
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We have full confidence on our product and that is because we are not only offer excellent quality, but also at the low cost. We are able to supply this at not much cost as we don’t have to search for supplier not even distributor. But still we manage our prices due to our name in the market so we decide our prices on competitor bases………
As, sun block a 100ml bottle cost 70.00/= And the face wash 100g in 60.00/= So all-together cost 130/= But we give you SUNWASH in just Rs. 120/= For initial 4 months. {We are comparing our prices with ponds as it is under the company name of Unilever} So, briefly speaking we can say that sun wash not only increases yours face beauty but also prevent you from radiant sun rays. It’s not only convenient to carry, time saving but also easy to apply. It’s for all types of skin. So, no one have to worry about their specific skin type.
MAIL CONCEPT TEST FORMAT- PLAIN VERBAL DESCRIPTION OF THE SUNWASH AND ITS MAJOR BENEFITS: LUX would like to get your reaction to an idea for new SUNBLOCK + FACE WASH PRODUCT OF SUNWASH. Please read the description below before answering the questions.
SUNWASH (sun block + face wash) LUX’s SUNWASH dermatologists warn that daily exposure to damaging UV rays is a major cause of skin cancer and premature skin again with such sighs as wrinkling and uneven pigmentation. Daily use of SUNWASH its help protecting our skin from UV rays. This product has both the qualities of Sun block and face wash. SUNWASH cleanse our skin from the dust, and also provide the elastic feeling. SUNWASH may help reduce these harmful effects. Essential moisture is replenished so skin is softer, smoother. Younger, today, and tomorrow.
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1. How different, if at all, do you think this face wash would be from other available products now on the market that might be compared with it? Very different Somewhat different Slight different Not at all different 2. Assuming you tried the product described above and like it, about how often do you think you would buy it? More than once a week About once a week About twice a month About once a mouth Less often Would never buy it
NEW PRODUCT DEVELOPMENT: •
• • • •
SUCCESS RATE & COST IMPLICATIONS FOR SUNWASH. STAGE NO. OF PASS COST PER TOTAL IDEAS RATIO PRD. IDEA COSTS Idea 64 1:4 RS.1000 RS.64,000 Screening Concept 16 1:2 20,000 320,000 Testing 29
Product 8 Development • Test Mktg. 4 • National 2 Launch •
1:2 1:2 1:2
200,000
1,600,000
500,000 2,000,000 5,000,000 10,000,000
TOTAL
13,984,000
IV. DEVELOPMENT STAGE I. SUNWASH TACTICAL TASKS: This describes the way Unilever Pakistan Ltd. use the tactical marketing tools for marketing SUNWASH in Pakistan. The comprises on the basis of four section; The product attributes of LUX product of SUNWASH. Visualizes the price of SUNWASH according to different size. Conceptualizes the distribution channel of Unilever Pakistan Ltd. This section includes a table that shows the location of the company’s warehouses all around the country.
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Finally section discusses the promotional activities that the company undertakes for SUNWASH.
ii. SUNWASH MARKETING TASKS: Pricing: Our pricing is totally based on competitor bases; By our survey we concluded that the face-wash of NEUTROGENA have its importance and the market most obviously the face wash of pears is also famous but usually in females but the face wash of Neutrogena is famous for both males and females. And we are comparing sun block of LAKMEE as it has its own good reputation among the working class. So we design our pricing like this that you can count it very economical.
PRODUCT: Our, this new product has many attributes which can give you many benefits.
L-it not only protect you from dirt and sun but also leave your skin with gloss and no stickiness. L- it’s under the brand name of unilevers so you have no doubt about its quality. L- it’s very economical as unilevers motto is to give you style and quality with the very less price.
Promotion: Being under Unilever we have no threat of distributor as our product does not require any special distributor chain. We distribute it along with the other LUX product. But we promote our product by emphasing on the company’s name which is by Unilever. Instead of by LUX because people have perception about soap towards LUX and that the same reason for the low returns of our shower gel. We don’t have enough budgets so put this product of the left shelves of the big retailers with the poster of
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“Do you want to wash the sun-burning out of your life see the left...” In small retail outlets we don’t use this promotion strategies we just keep the product on right most shelves but to paste the sticker of sun on our shelve with our product. We also put banners on the billboards on the places where we are doing the advertising of our existing product a month before launching our product we done different promotion but after the launch our strategies is totally different. For promotion we also put it in the parlors like mahrose, rose, depliex and bhabhies they also promote it at low cost because it have there own profit as well like we do joint venture so both the parties got good feed backs. Our promotion plan also include free sampling plans also include free sampling of our sachet in college’s and universities. Obviously this is not unilevers strategies to do free sampling but we do this to introduce people about our product as our product is exclusively for the people who remain out from morning to evening.
PLACING: launch
We have decided to this product firstly in the Lahore market as the people in lahore have much trend of working and they also do care about there skin, and style and the life there in LAHORE is so busy. People are always searching for the convenient goods so our product has firstly to introduce in the Lahore . About placing so we regard we sign contract with in this regard we sign contract with firstly in, mahrose (as they have many branches in LAHORE IQBAL TOWN, GULBERG. DEFENCE etc.
RETAIL OUTLET: (Agha’s, naheed , rajneez, imtaiz, s’mart) They have a great retail outlet channel for distribution of the product sunwash among the customers.
V.
LAUNCH :
This describes the category of the selected product. The category is organized into four sections.
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Section 1 Describes the category in which the product fall. Section 2 Describes how Unilever Pakistan Ltd. differentiates the population and categorizes them into different segments for the product SUNWASH. Section 3 Analyzes which segment the company targets and why they target that specific segment. Finally section 4 Describes the process through which the company tries to capture a place in the buyers mind i.e. the product positioning method.
I. Product Category: SUNWASH falls under the new category entry product in the face wash industry in Pakistan.
II. Market Segmentation: Unilever’s LUX sure that the get share in face wash industry in Pakistan. Its can be the highest selling face wash in Pakistan. Moreover some survey reports also reveal the same result. Although LUX is the highest selling beauty soap in Pakistan but for launching new product Sunwash they should have work hard. Moreover as a beauty soap LUX does not even segment its market according to gender for the new product SUNWASH. The product should offer for every one without the gender specification. Figure 5.1 show that Unilever Pakistan Ltd. segments their market according to geographical areas. The population of the country is segmented into three parts which are urban, sub urban and rural area consumers.
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The company further differentiate the geographical segments according to Socio Economic Cluster (SEC) i.e. education and Income. The Table5.1 overleaf shows the Socio Economic Clusters the company uses. The SEC divides the population in five segments starting from A to E, where A categorizes the highly educated and high income earners holders, and sequentially in descending order E categorizes the opposite.
Appendices:
Urban Rich
Urban and Sub Urban Upper Middle and Middle Class
Rural Poor
(Figur5.1): Market Segments 1.
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Socio Economic Clusters B C D E Income Upper Middle Mid Level Lower Middle Low Income Level Income Income Income Education High Level of Educated Educated Educated Very Low Level Education Slightly Less Slightly Slightly Less of Literacy than Cluster A Less than than Cluster C Cluster B (Table 5.1): Socio Economic Cluster Segmentation 1 A High Income
III.
Target Market:
Figure 5.1 shows that urban and sub urban middle class, and rural poor people are the largest part of Pakistan population. A research carried out by Unilever Pakistan for the SUNWASH reveals that urban rich people are more likely to buy imported and expensive products. Moreover rural poor people tend to buy cheap products even without evaluating its quality. However urban and sub urban upper middle and middle class people tend to buy affordable and quality products. SUNWASH is not a highly expensive but an affordable product. That is why the company targets urban and sub urban upper middle and middle class people who are the second highest population of segment of the country.
IV. Product Positioning: Unilever Pakistan Ltd want obtain to a good position in the buyers’ mind for SUNWASH through better product attributes, price and quality, offering the product in a different way than the competitors do. The company offer SUNWASH in the face wash industry in
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Pakistan at an affordable price under high brand rank of LUX. This ultimately helps to position the product in the buyers’ mind as the best quality face wash. The good market share in the face washes industry the company wants to get and want to get the potential customers for the new product SUNWASH. A positioning map of the company is shown Figure 5.2 to describe LUX’s position in the consumers mind on two dimensions, price and quality. Figure 5.2 Has drawn information gathered by conducting a consumer survey. It states that though in comparison to its competitors the price of SUNWASH is same but consumers rate it as the product which gives them the highest quality. This positioning created a strong customer loyalty for SUNWASH, for which to get a good market share in the face wash industry in Pakistan.
POSITIONING MAP
HIGH
P&G Face wash
PRICE Unileve r& Lux face wash
Other brands
LOW
LOW
Perceived quality
HIGH
(Figure 5.2) Positioning Map
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a. MARKETING STRATEGIES FOR THE SUNWASH: Our marketing strategy is promote the new and unique product under unilevers. Under the brand name of lux which have persona of beauty and style. After the great success of lux soap, and shower gel we are now launching a new product.
Sun block+facewash =sunwash
The question arises in your minds is all about why there is a need for this two-in-one product? The answers to these questions are simple and obvious first we talk about our brand persona is of beauty and style.
Style is the word both for males and females its: Something which helps You two carry your personality with confidence it include everything about beauty so it is also important for both the genders the products of Lux are never gender specific so this time we follow our same patterns. Our this product have both the qualities of sun block and face wash we thought about this because now a days people do not have time to carry many thing together. They need everything they are not only quality oriented but also cost oriented. We have full confidence on our product and that is because we are not only offer excellent quality, but also at the low cost. We are able to supply this at not much cost as we don’t have to search for supplier not even distributor. But still we manage our prices due to our name in the market so we decide our prices on competitor bases………
As , sunblock a 100ml bottle cost 70.00/= And the face wash 100g in 60.00/= So all-together cost 130/= But we give you sunwash in just Rs. 120/=
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For initial 4 months.{ we are comparing our prices with ponds as it is under the company name of unilever} So, briefly speaking we can say that sun wash not only increases yours face beauty but also prevent you from radiant sun rays. It’s not only convenient to carry, time saving but also easy to apply. It’s for all types of skin. So, no one have to worry about their specific skin type.
b. TARGET MARKET ANALYSIS OF THE SUNWASH:
(Basically, for whom we made the product) GEOGRAPHICALLY: First we cater Karachi. As we have concept of working women is highly found there in Karachi. Although our product is both for males and female. But as far as catering procedure is concerned so 1st in Karachi. Then in Lahore and finally towards Islamabad
.
AGE: 16-36 (2 group) GENDER: both(males,female) INCOME: 10000 and above OCCUPATION: Working men and women, students SOCIAL CLASSES: upper-lower and middle-upper BENEFITS: convenient ( in-terms of money and time savings)
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c. SEGMENTATION ANALYSIS OF THE SUNWASH: Geographically: Firstly we cater Karachi then to Lahore and finally to Islamabad then our movements towards Multan, Hyderabad and interior region of Sindh and Punjab.
Demographically: Firstly we are trying to cater the age groups of 16+ but by changes our promotion we can cater the people of all 12+ means whole teen- agers we give and the limits of 36 but we can cater the people of 36+ as its goof to use sun screen.
Gender: Already our target is to cater both the genders so no other segment is left to think on that section.
Occupation: We cater the people of good incomes so students and professional but we cater our labors class and those college students who really care about their skin.
Income Level: We are catering incomes of people 10,000+ but we can move down ward as we have sachet.
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Social classes: Same case goes withy social classes we can move up ward as much as we want but think about down ward movement we can only move till middle-lower. As our brand have only this much elasticity in prices.
Life style: All those who are strivers, achievers and social persons, who are ambitious and want to do something all those who really care about there skin and health conscious and sun radiations are also harmful from health point of view.
Behavioral: occasion: regular use
Beliefs: quality, service . availability , economical, convenient.
d.
ACTION PROGRAMME OF THE SUNWASH FOR THE NEXT THREE MONTHS:
Signing a contract with metro-cabs and green buses free sampling at different shopping malls like millennium, park-towers, dolmen-mall, forum (by providing face wash and offering certain gifts on these washes through lucky draws) We decided to do this in our 3rd week of the February but we are dong this in the MAY of our campaign because summer season is commencing and the people trends are more towards shopping SUNWASH at these timing]
2nd MONTH:(JUNE)
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Advertisement at front quarter page of Dawn on Sunday.
3rd MONTH:(JULY) Advertisement in magazine at website. Magazines: Meg monthly Khwateen monthly Akhbar-e-jahan monthly
WEB-SITE:
At Unilever’s own website.
e. PROMOTIONAL BUDGET: 1st MONTH: Signing a contract with metro-cabs and green buses………………………..100000/= free sampling at shopping malls………………………...200,000/=
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2nd MONTH: (JUNE) Advertisement in Dawn…………………225,000/= 3rd MONTH: (July) meg monthly (2 months) [25000+25000]...50000/= khawateen (1 month)…………………..50,000/= Akhbar-e-jahan (monthly)……………….35,000/= Websites…………………………………40,000/= free sampling……………………………..100,000/=
TOTAL BUDGET………………..800,000/=
f. Marketing control:
For taking feed back of our product we should take following steps: 1. Supply a slip to consumer a feed backs slip on there 2nd purchase and
upon this they have chances to win prizes. 2. We are targeting for the sales of almost 500 units per month after 2nd month of promotion we found that out of this estimated amount we were able to sold 450 units so this is a great progress. 3. People not only easy remember the name of our product but also the color of our product which is blue.
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FORMAL STRUCTURE ANALYSIS:
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BOARD OF DIRECTORS » Mr. syedBaberAli » MR. Irtiz aHussain » Mr. ome rH. Karim » Mr. Fatehaliw.vellani
Chairman AND CEO Ms. M usha ra fHa i
Finance and IT Human Resource Supply Chain Home and Personal Care Customer Channel Peter Harvey Paul Keijz er QaysarAlam ThomasDarlow Development N oemanShiraz i
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MARKETING ENVIROMENT AUDIT FOR THE SUNWASH: (Micro and Macro) I. MICRO FACTORS:
Company:
Hierarchy is horizontal. So that our all the managers have good collaboration with each other. So, unilevers hierarchy is very much supportive in this regard.
Supplier:
We have no threat for supplier specifically as we have made a contract with the same supplier who supplies us chemicals and other ingredients of soaps and shampoos and shower gel. So it is beneficial for us to continue start SUNWASH.
Marketing Intermediataries: No threat for distributors/resellers. As we are using our old chain (by which we supply shampoos and soaps) for these all. As far as financial intermediaries are concerned so we are sound in this regard.
Customer: We are well defining with our target market and segments market. As, our product is neither gender specific nor for only one social class. So, that we have enough people to cater with.
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Competitor:
Direct ; we have no direct competitors as such as our product is unique and one of its type.
Indirect; indirect competitors are many. All those who made face washes and sun blocks.(here are many huge brands in this regard so we have a sort of threat).
Publics: Our publics are interested in our product as it may bring a financial interest to our stock holders, and the other major factor of this is our media public. It’s a very good source for them as it lounges under Unilever’s company and a very respectable brand Lux.
II. MACRO FACTORS:
Demographic:
Our birthrate is increasing from last two years. The segment market we cater are the middle-uppers and upper-uppers economical classes. We are not gender specific so it also supports our demography.
Economics:
As the social class we cater are economically sound. And the product we give is also comfortable with respect to prices.
Natural:
Our natural environment is quite sound in this regard. As the raw material we use is neither injurious to health nor damages the environment. Now day’s environmental pollution increases so people are more shifted towards sun block and these types of product.
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Technological environment: Technological we are sound as there is no changes occur accordingly the advancement in technology.
Political environment: Politically we are sound in this regard as no such policies are there that we should adopt or we should not adopt.
Cultural environment: People trend are now shifting towards using face washes and sun-blocks due to self indulgence.
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4)-Conclusion:
The face wash industry of Pakistan consists of a few producers in the industry. The demand for this product is very much vulnerable in terms of pricing. Unilever Pakistan is providing LUX’s SUNWASH at a price which is affordable to most of the people in the country. Face wash is an uprising product in Pakistan as a greater portion of the population, both male and female, are now getting more beauty conscious. As a multinational company Unilever pakistan with heavy promotional activities, has been able to penetrate the market. With six different fragrances, three different sizes, international standard and high quality design, as a product, LUX has been highly successful over the years. Its distribution process is highly efficient. Its promotional activities, like the beauty contest has been a milestone in attracting a huge number of customers. Overall with its marketing activities LUX has been a
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successful brand which offer the very afforable and quality wise face wash in pakistan as a name of SUNWASH. The only place where rival companies are progressing is in giving customers redemption offers. Research revealed that Pakistani customers are highly attracted to this sort of offers. These offers are not sustainable in the long run but still it takes away a considerable part of LUX’s SUNWASH sale in the short run.
5)-Recommendation:
Our team would suggest some recommendations to Unilever Pakistan Ltd. to adopt more successful operation in Pakistan for the new product SUNWASH.Unilever Pakistan Ltd should expand their target market also towards the rural people. They should also conduct different promotional activities in rural fairs and socially responsible promotional activities to attract rural consumers and social awareness. Because SUNWASH has safe our skin from the dangerous sun RAYS, LUX so now provide SUNWASH for safing our skin. LUX should increase their sales of SUNWASH.As Pakistani culture children have a huge say in shopping so they should also promote the product to children like their another Product
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“LUX”. These are the recommendations suggested by our teem members to Unilever Pakistan Ltd. To adopt for successful operationing in Pakistan for getting large market share.
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