Consumer Behavior and POND's (an Application of Concepts)

August 13, 2017 | Author: Aneeka Niaz | Category: Advertising, Marketing, Business Economics, Business, Market (Economics)
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Master in Business Administration...


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Consumer Behavior and POND’s

Subject: Consumer Behavior Submitted to: Ma’am Rabia Khand Submitted by: Aneeka Niaz MBK-M-12-04 MBA (B&F) Morning 3rd Semester

Date of submission: 17-12-2013


POND’s Pond's makes sure that you don't forget to smile at the mirror every day and praise your own beauty!

POND’s promise: The POND’s promise has remained the same across 58 countries for over 167 years: “To deliver beauty transformations through revolutionary product innovations that make a real difference to women's skin and the way they live their lives”.

A rich heritage: CARING FOR YOUR SKIN SINCE 1846 POND’S HISTORY: POND’s Cream was invented in the United States as a patent medicine by pharmacist Theron T. Pond (1800–1852) of Utica, New York, in 1846. Mr. Pond extracted a healing tea from witch hazel which he discovered could heal small cuts and other ailments. The product was named "Golden Treasure." After Theron died, it would be known as "POND’s Extract." In 1846, the "T.T. Pond Company" was formed with Pond and other investors. Soon after, he sold his portion of the company because of failing health. He died in 1852. In 1914, the company was incorporated under the name "POND’s Extract Company". In 1886, POND’s began to advertise nationally. They advertised under the name of POND’s Healing until 1910.

1910s: By 1910, POND’s was a well-established brand among Americans. Concentrating mostly on their vanishing cream, the POND’s company began an ad campaign that would become notorious because of the celebrities involved in it. "POND’s Healing" took a back seat to "POND’s Vanishing Cream", as "POND’s Healing" and "POND’s Cold Cream" would be announced in small print under the "POND’s Vanishing Cream" advertisements. By 1914, mentions of "POND’s Healing" were taken off the ads, and the POND’s company began to advertise "POND’s Vanishing Cream" and "POND’s Cold Cream" together, making sure to explain each cream's different purposes on the new ads. One particular ad line read "Every normal skin needs these two creams". As a result of the new campaign, "POND’s Vanishing Cream" had a 60% increase in sales during 1915, and "POND’s Cold Cream" had a 27% increase.

1920s By 1922, sales of the products had gone down, as many believed that such an easily available product could not perform as well as other, "designer" products. Because of this, the POND’s

Company then targeted royalty, politicians and people of high class stature to become advertisers for the company. In addition, these ads were printed in magazines to give customers a feeling that they really were getting a quality product for a fair price. In 1923, Queen Marie of Romania visited the United States, and she enjoyed the product so much that in 1925 she wrote to the POND’s Company requesting more supplies. Her letter was, in turn, used for advertisement, and Her Majesty joined the list of celebrities who had previously sponsored the products. Around the time of Queen Marie's visit to the United States, the POND’s Company began to place samples of their products at their magazine ads, and the characters of "Peter" and "Polly POND’s" were created, as part of their campaign to induce normal people into buying their cream again. The marketing strategies proved successful, as sales of the POND’s facial creams went up again. Now POND’s is a brand of beauty and health care products, owned by the multinational company Unilever.

UNILEVER MISSION STATEMENT: “Vitality is at the heart of everything we do. It's in our brands, our people and our approach to business.

POND’S IN PAKISTAN: Over the years no one has cared for women skin more than POND’s. Since 1991, UPL extended its brand portfolio to serve better. No wonder it has been passed on from generations to generations with the same affection that the product stands for. However, with time POND’s has evolved according to your changing needs thanks to the POND’s Institute a state of the art research center. Inspired by women needs, the POND’s Institute over the years has undertaken several research projects with women to better understand of what they think and want for their skin.


The rich and luxurious lather of the Radiance Revealed Facial Foam gently clean your skin while restoring its natural, youthful glow.

POND’s Age Miracle: Deeply cleanses skin to remove dead skin cells and impurities “Thing of beauty is a joy forever: its loveliness increases; it will never pass into nothingness”. A woman can surely keep one secret – the secret of her age

POND’s Flawless White Range:

With POND’s Flawless White range, skin will become radiantly white and clear of spots and blemishes. Flawless White delivers fairness in just few days.

POND’s Flawless White Naturals: Containing the extraordinary Camellia Leaf Extract, this foaming cleanser deeply cleanses the skin to wash away dirt and oil. Use every morning and evening as the first step to the skin care routine.

POND’s Flawless White Natural day cream:

Reveals your natural fairness! Your natural fairness is hidden by a layer of dark skin cells - POND’s White Beauty cream helps to remove these cells to give your complexion a pinkish white glow.

PONDs moisturizing cold cream:

Moisturize with POND’s to keep your skin from getting dry.

POND’s face wash range

EVALUATION OF CONSUMER BEHAVIOR: Ponds are making new differences by introducing products which meets high customer expectations. POND’s, has been listening to women’s needs and desires for 150 years and delivering new products customized to their needs POND’s facial skin care product line has been designed so that there is something for every woman, whether she is 20 or 60 years old. POND’s facial skin care products include such as Day and night creams, special treatments, eye creams, and facial masks, exfoliating cream, facial Cleansers, make-up removers and toners. POND’s has different product lines for both young women whose skin needs a lot of moisture and also older women who are concerned with aging. POND’s is moving towards molding consumer behavior and making sustainability, a driver of everything, so that each time a consumer chooses one of POND’s products, it improves their life, their community and the world we all share. Their innovations build leading brands and develop capacity to meet consumer needs for nutrition, hygiene and personal care and Building better lives for sustainable future.

RESEARCH METHODS AND PROCESS: A combination of qualitative and quantitative approaches was pursued. In-depth interviews with consumers were used to discover relevant attributes of POND’s skincare products. A consumer survey was employed to measure relative importance and relative performance of the identified attributes – a basis for determining POND’s customer perceived value.

CONSUMER NEEDS AND WANTS: Products survival, profitability and growth in a highly competitive market depends upon its ability to identify and satisfy unfulfilled consumer needs better and sooner than competitors.

By innovations in its product range POND’s is trying their best to fulfill consumer needs. Women of modern world are greatly conscious about their beauty and their age, by introducing POND’s age miracle range and other beauty products POND’s made a distinctive image in the minds of women as a product which fulfill women beauty needs better and sooner than others.

SEGMENTATION OF POND’S: One of the methods to have deeper understanding on consumer behavior is by using market Segmentation. POND’s has large market segment as it targets housewives, students, professionals with its extensive care and treatment products. It has earned huge reputation because of the results it is delivering. In the early 1950’s the target group that POND’s was aiming are the ladies above 30yrs of age. POND’s is aiming at the super premium segment. Currently POND’s target ladies above 20 years

TARGETING OF CUSTOMERS: The next challenge for the marketer is to select one or more segments to target with an appropriate marketing mix.

POND’S TARGETED DEMOGRAPHICS: Gender: Women Age Group: 25-65 Location: Metros, Cities & Larger towns Income Slab: 50 thousand and above. Psychographics: Confident decision makers Love to socialize, go outdoors and enjoy life.

BRAND POSITIONING: To pull the emotional connect of the POND’s and promote POND’s Age Miracle as the best choice for Anti-Ageing cream among women and other beauty products as a products which cares for women beauty POND’s build a distinctive image in the minds of women. Pond's uses the baseline "As beautiful as you want to be” It is one of the best baselines currently on air. It tries to redefine beauty as something more than superficial. Today Pond’s has spread its wings to cover anti- ageing, skin lightening, oil-control, moisturizing and other skin requirements and used as a synonym for skin care made for the beauty conscious well grounded, self-assured, and confident women.


The baseline of POND’s cold cream quote; Googly Woogly Woosh.

POND’s have used campaigns and events.

The song 'Roop ki Dhoop' has been created as the beauty anthem

POND’s uses the baseline quote; as beautiful as you want to be “.

Conduct different events to create and capture the beautiful moments in the life of the

Women. Another strategy is surprise gifts i.e. Buy any 100 gm. or 400 gm. POND’s talc pack, tear off the contest strip and see what luck has in store for you.

CONSUMER PERCEPTION ABOUT POND’S: The beauty practices have changed over time. Earlier hygiene was only an issue with common woman, beauty reasons were limited to royalty and super stars. Today, women are becoming increasingly conscious about their beauty. Women are becoming increasingly conscious about their personality in society and thus, inclination towards beauty and wellness products. POND’s’ philosophy depicted through advertisements have generated immense confidence among women. Many popular advertisements such as “googly woogly woosh” show people seeing innocence and having close moments by pinching cheeks. The important aspect of their marketing agenda is that they meet the goals in practical way by celebrating womanhood. It depicts its products as instrumental in making people happier, contented. It energizes to create and see surprises again in life.

BRAND EXTENSION: Brand extension strategies are used largely by companies because they believed that the brand extension strengthens the brand positioning improves the brand awareness and enhances the quality associations and increases the trial rate by reducing the perceived risk involved in the new product. It is reported that more than 80% of new products additions are using brand extensions strategies. A brand extension into same product and new product category enhances and improves their market share and brand equity in the long run. New products are getting relatively easy acceptance among the target audience. A good brand association reduces the chances of failure of new product launch.


POND’s brand is operating in premium product segment so it is targeting particularly premium customers who are ready to pay for quality.

Widening product range under POND’s brand.

Engaging in building brand loyalty by various promotional programs.

A good research and development center in place which is constantly trying to innovate new products.


Started off with creams.

The evolution of skin care market gave them an opportunity to stretch into:-

 Talcum powder  Lotion  Face wash  Black head remover strips

FUTURE BRAND EXTENSION OPPORTUNITIES OF POND’s 1. Beauty Soaps: Ponds as an established skin care brand have an opportunity to expand itself in the field of beauty soaps. Many other established brands like Dove have been successful with such extension in their product portfolio. Ponds also have a benefit of its umbrella brand of Unilever Pakistan Limited for marketing their products. 2. Perfumes/ Deodorants: Ponds can also enter into the category of body sprays like perfumes and deodorants. Pond products are well known for its fragrance. They have a nice opportunity to establish as a brand through extension into the category of body sprays. 3. Hair Care : Brands like Dove, L’Oreal, Lakme, etc. are some examples of brands that have been successful in extension of their brand in the category of hair care products. 4) Foot care: They also have an opportunity to win a market share by introducing foot care products for women especially in winter season.

BRAND INNOVATIONS: POND’s’ new products meet advanced requirements of women in India which include fairness, anti-aging and skin rejuvenation. As compared to many other beauty products, POND’s has continued its research and brought scientific and advanced skin solutions. Their continued journey shows rapid innovations from cold cream, vanishing cream to wrinkle free creams, skin lightening, skin glowing and brightening creams. Their products are free from any dye, harmful chemicals, bleach agents and use nutritional, therapeutic and cool agents to provide us exceptional results as promised. Their cleaners, also signifying their horizon not limited to beauty externally, give hygiene a priority. It is now easy to remove dirt and pollutants with antibacterial face wash.


POND’s Men is the latest innovation of POND’s Institute, as a result of a series of research about men’s skin and consumer research regarding the needs of modern men. As a brand that always prioritize scientific research and consumer needs, POND’s found out that men and women’s skin difference are not only from the skin anatomy. “The main problems are the tired and dull looking face, so they need different face skin care with women. They want to look both bright and energized. The modern men needs are different due to their lifestyle, which demand them to look best and energized every time. These are why POND’s Men develop POND’s Men Energy Charge as the top variant, which makes their face both bright and energized to help men in creating maximum first impression at all time”.

LAUNCHING OF NEW PRODUCTS BY POND’S: Following are the points considered by POND’s while launching new Products: Meet a genuine consumer need: Products that meet a genuine consumer need have a basis for long-term consumer interest and purchase. Sometimes those needs are latent and are created with an innovation in the market. As POND’s create a need for aged women by launching its new product with the name of “POND’s AGE MERICAL RANGE” and new beauty products for men. Strong price-value relationship: Consumers generally want to make the best buying decision possible for the money. If the product solves a need and performs well but the cost is too high, the customer will look elsewhere. That is why the price of the POND’s new products are in proportion to the problem or need it meets. Proper positioning and differentiation: Many times there is a great product that performs well, but the message to the customer is wrong. Precise positioning of the product to the customer can make the difference between success and failure. POND’s products have a unique positioning in customers minds that differentiate it from other products. Carefully targeted advertising. Once the proper message is determined and to whom it should be communicated, sometimes the media used doesn't communicate the message well, doesn't reach the target market, or is too poorly targeted to reach the target economically. The message and the media need to be carefully planned.

CUSTOMER RETENTION STRATEGY: Their products on the go helped women and girls around world to keep clean of dirt, cleanse it, and get rid of oil.

There is also emergence in trend of beauty regimen practices which made people opt for their specific products. POND’s’ diverse solutions are perfect for different skin types and each woman can find consultant online to seek personal solutions for the skin of her type. Their websites are developed for different countries to signifying different needs and comes with online help guidance. In social sync, they have around 700 beauty experts around the world on Facebook and Twitter to raise awareness about their brand and beauty practices.

BRAND PERSONALITY: Beauty is not only about skin but celebrating a persona. This persona is identified as loving wife, doting daughter, caring mother, strong boss and helpful friend in society. Women in Pakistan choosing POND’s products have come a long way in reflecting these qualities and thus, associated with brand image of themselves. It is a brand that has tried to evolve with the changing persona of Pakistani Women. Due to ever-increasing demands, POND’s has emerged as trusted leader by creating innovative scientific product so that women can lead and build better world.

BRAND IMAGE IN CUSTOMER MIND: POND’s have a strong image in customers mind with following characteristics: 

Consistent Quality.

Constantly Improving.

Changing with times.

Latest technologies.

Effective ingredients.

Unique fragrances.

Reasonable Price.

BRAND LOGO: In 1960s the distinctive POND’s Tulip logo is born, and has stayed with POND’s ever since.

POND’s Tulip Logo

POND’S COMPETITORS ANALYSIS: POND’s has competitions from, 1. Johnson & Johnson 2. L’Oreal 3. Garnier 4. Olay Regarding cosmetic products, consumers often associate price with high quality and safety. Therefore, price is important to the image of the product and perception of consumers toward the brand. As a result, the actual competition happens among products belonging to the same range of price. Because of time and resource limit, we only select Olay UV Whitening Cream UV and Ever soft White Effects as two main direct competitor of POND’s Flawless White since they are premium but attainable products belonging to the medium price range (Rs.1000 to 1500).


A brand that has tried to evolve with the changing persona of Women.

This is a brand that has celebrated Women's courage and personality.

POND’s also became a generic name in the winter care market.

POND’s is one of the most trusted brands among the women.

MARKETING MIX FOR POND’S: THE PLACE: 'Place' is concerned with various methods of transporting and storing goods, and then making them available for the customer. Getting the right product to the right place at the right time involves the distribution system With distribution being restricted to specialty beauty and wellness chains (which are very few in number) and through lifestyle stores, the POND’s premium products are being made available at 100 distributor outlets, which should go up to 200 by the year end, across the top 30 cities. THE PRICE: Pricing is the most important factor in our marketing mix. Price is really determined by the discovery of what customers perceive is the value of the item on sale. Researching consumer’s opinions about pricing is important as it indicates how they value what they are looking for as well as what they want to pay. POND’s pricing strategy will be such that is fair to the customers, as its objective is to attain customer loyalty.  Objective is to attain customer loyalty.  Fair to the customer.

 Price ranges from 400-500.  Acceptable by customer.

PROMOTION STRATEGY: A sales promotion strategy is an activity that is designed to help boost the sales of a product or service. It includes, Advertising campaign, Public relation activities, A free sampling campaign, A gift campaign, Demonstrations and exhibitions, Prize giving competitions, Temporary price cuts, and Through door-to-door sales, telemarketing, personal sales letters, and emails.

FACTORS EFFECT SALE PROMOTION STRATEGY: A sales promotion strategy is important to a business boosting its sales. While developing a sales promotion strategy for the product it is important to keep the following points in mind. Consumer attitudes and buying patterns, Brand strategy, Competitive strategy, Advertising strategy, and Other external factors that can influence your products availability and pricing.

STRATEGY USED BY POND’S A 'pull' sales promotion strategy: This strategy focuses more on the consumer instead of the reseller or distributor. This strategy involves getting the consumer to 'pull' or purchase the product/services directly from the company itself. This strategy targets its marketing efforts directly on the consumers with the hope that it will stimulate interest and demand for the product. This pull strategy is often used when distributors are reluctant to carry or distribute a product. For Example: Ponds offer low introductory prices to the customers like in case of their new product AGE MIRACLE, They give some complementary gifts.

THE PRODUCT: The product is the central point on which marketing energy must focus. Finding out how to make the product, setting up the production line, providing the finance and manufacturing the product are not the responsibility of the marketing function. However, POND’s is concerned with what the product means to the customer. Marketing therefore plays a key role in determining such aspects as:   

The function of the product - products must address the needs of customers as identified through market research. Product sizes - 20 Grams 50 Grams 100 Grams 400 Grams. Appearance of the Product - in line with the requirements of the market firstly the POND’s cream bottles consisted of small, glass bottles with a round cap. The bottles could be recognized by their distinctive colors, usually in green, blue or white and red. That bottle design is still in use by the POND’s brand. Product range - The product range and how it is used is a function of the marketing mix. The range of POND’s products is broadened or extended for tactical reasons, such as matching competition or catering for seasonal fluctuations. Alternatively, it is also repositioned to make it more acceptable for a new group of consumers as part of a longterm plan.

POND’S FLAWLESS WHITE PRODUCT LIFE CYCLE: On the introduction stage and during its first launching, POND’S only product was POND’S Cleansing Face Soap. Along with its progress, in growth stage up till maturity stage, POND’S has created innovation in producing night cream and fleck remover cream which has succeeded in the market, called: POND’S FLAWLESS WHITE.

The new flawless Radiance Range

POND’S FLAWLESS WHITE PROMOTIONAL STRATEGIES & TACTICS: 1st Strategy: Enhance POND’S brand loyalty and trustworthiness amongst its customers and new customers. Tactics: 1. Promotion: Creating events based on customer care. For example: skin tests in various department stores attended by public figures. These events should be made as astonishing as possible to attract attention. 2. People: These events should be served by beautiful SPGs (Sales Promotion Girl) who have adequate knowledge in POND’S products. 3. Physical Evidence: The set building and decoration of the events should be made suitable for POND’S target market. Mostly with the colour of pink, red, and white; similar to the packaging of POND’S products. 2nd Strategy: Increase in sales to a great extent. Tactics: 1. Price: With the exact same price, POND’S should make a “BUY 2 GET 1 FREE” promo. This would make the customers purchase not only one single product, but two at the same time. 2. Distribution: Broaden the distribution of POND’S products also in less popular towns and in smaller cities throughout the country by building sales agents. 3. People: Because POND’S is new to these cities, the sales agents and also the new customers should be provided with product-trainings. This would make the products become user-friendly and create a bond between POND’S and its customers. 3rd Strategy: Increase the brand image of POND’S as well as to increase sales by creating the extravagant event of Miss POND’S 2014. Tactics: 1. Promotion: This event of the year should be made extravagant and shown live on television stations. The registries could only enter into the competition by filling a form attached to POND’S products. This aim to increase sales. 2. People: The public figures who have starred in various POND’S advertisements should be brought together in this event. The winner of Miss POND’S 2014 would be the ambassador of POND’S of the year.

ADVERTISEMENT: Advertising is the means of informing as well as influencing the general public to buy products or services through visual or oral messages. A product or service is advertised to create awareness in the minds of potential buyers. Advertising is actually brand-building through effective communication and is essentially a service industry. It helps to create demand, promote marketing system and boost economic growth. Thus advertising forms the basis of marketing

POND’S ADVERTISEMENT CAMPAIGNS: By 1910 the POND’s company began an ad campaign under the name "POND’s Vanishing Cream", as "POND’s Healing" and "POND’s Cold Cream" would be announced in small print under the "POND’s Vanishing Cream" advertisements. By 1914, mentions of "POND’s Healing" were taken off the ads, and the POND’s company began to advertise "POND’s Vanishing Cream" and "POND’s Cold Cream" together, making sure to explain each cream's different purposes on the new ads.

POND’s print ad for vanishing cream, 1910

1917 advertisement

CONCLUSION: After analyzing all the things have conclude that the promotional strategy is very important tool of marketing in today’s market scenario. It is very helpful to improve the image of company/product in the eyes of customers. Promotional strategy is a best medium to send the message to the customers by advertisement. Advertisement is important to build the image of product in the eyes of customers. Without advertisement or sales promotion we cannot reach the customers and send them to message. These strategies are also important to increase the sale of products of any company.


E-mail messages Magazines Newspapers Television ads

FIGURE AND GROUNDS: To boost Sales across Metros, cities and larger town. To acquire higher market share POND’s is using advertisements with effective figures and grounds which prove helpful to get advertising Objectives. For example advertisement for POND’s age miracle with effective figure and ground plays a role in increasing the sale of the product. Scene 1: Two couples sitting in a house & talking about their NGO 1st Guy: “We need two young face to represent our NGO, kyun k logo ko aaj kl sirf youth hi chahiye.” 2nd Guy: “Actually people only listen to the young & only understand their language.” Both wives look to each other & one of the wife say that you don’t need to worry about young face, soon you will get them bas hum dono pe chhor do.” (After a month) Creative – Storyboard Creative – Storyboard Scene 2: (Written below the video “After a month”): Both the couples represent their NGO in a college with full enthusiasm Husband of 1st lady to the other husband: “Confidence dekh rahe ho in dono mein.” 2nd husband: “Age ke saath confidence bhi wapis aa gaya.” (Both smile looking to each other) SWOT ANALYSIS OF POND’s: A SWOT analysis determines a ptoduct’s position by examining 4 factors · Strengths · Weaknesses · Opportunities · Threats Strengths and weaknesses are said to be internal, that is, controlled by the company. Opportunities and Threats are outside the company's control and are therefore said external.


POND’S has many good quality products which care for and restore the skin’s natural balance. The varieties include Cleanser Shaker, Facial Foam, and Night Cream.

POND’s products are free from toxic and mercury.

POND’s products are easy to be found in department stores.

The packaging of POND’S products are eye-catching, suitable for its target market who are feminine and place beauty in priorities.

Excellent advertising and branding as POND’s is one of the most recognized brands


POND’S FLAWLESS WHITE only has one size of packaging. This may trouble the consumers who would like to buy a bigger size one, and the new consumers who would like trials.

It has only one fragrance.

The distribution of POND’S FLAWLESS WHITE is not quite well-spread. It has not reached traditional shops in the remote villages of the country.

The price of POND’S FLAWLESS WHITE is quite high.

Intense competition in the cosmetics industry from international brands


POND’S is popular in customers which would bring trustworthiness if POND’S is to launch another chain of its products.

POND’S still has a large opportunity to market its products to areas and countries throughout the world.

Expansion of cosmetics industry into semi-urban and rural areas of the country

Targeting audience from all age groups


Affordable price of internationally well-known cosmetics.

There is a growth in the number of people who put their trust more on skin-care doctors.

There are people who misuse the packaging of POND’s to be exchanged with other products with less quality.

High price for the products can limit potential consumers

Cosmetic Care still not a market in rural parts of the country

Availability of cheaper products from other brands in the market

Conclusion: With these developments, there is no surprise in fact that there is an increase in share value of Ponds in market. The story that started earlier than 167 years by introducing first-ever skin cream has seen tremendous growth. It is exceptional in way that it has continued its well-marked niche in the cosmetic line by adding new smiles every day.

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