Post on 20-Feb-2015
transcript
[OVERVIEW OF BRAND ARCHITECTURE]
-by-Arkaprava Ghosh
NAVRATNA OIL: BRAND OUTLOOK• Largest brand of EMAMI Ltd.• 2010 saw a 25% volume growth driving 30%
revenue growth• 15-20% growth momentum can be sustained on
the back of new variants launched with aggressive promotions in North India
• Market size of Rs. 5507 mn ($117 mn)• Market leader with 48% market share• Rated as one of the most trusted brands by ORG
Marg• Commissioned some of the most visible brand
ambassadors (Amitabh Bachchan, Shahrukh Khan, and Mahesh
Babu, Chiranjeevi and Upendra for South)Source: KRC research
POSITIONING OF NAVRATNA OIL BRAND
• “COOLING” is the core equity of the brand• With the induction of AMITABH BACHHAN as endorser of the
brand NAVRATNA OIL saw a major shift in communication as a “stress buster”
Navratna tel ki maalish se neend aa gayi
Navratna tel lagaiye , sardard tension dur
bhagiye
POSITIONING OF NAVRATNA OIL BRAND
Homogenous Preference Benefit:
COOLING EFFECT
relieving headache
granting sound sleep
aids to increase memory
Eliminates tiredness
prevent premature hair fall
application on minor cuts and burns
Clustered Preference Benefit
Packaging promotes it as a unique blend of 9 herbs with multiple benefits
BRAND SEGMENTATION:
• TARGET GROUP: 18+ SEC A.B.C.D ; SEC R1-R4• Initially brand was targeted for predominantly male • Key issue : unable to tap the female consumer market• To rectify that NRO has recently launched an ad with
housewives
Key phsycograpi
c
•Lifestyle of consumer :
•need to succeed leads to a race with which comes unlimited and every going stress and anxieties for the modern man
• Brand setbacks were mainly faced in UP & BIHAR where “HIMGANGE” ruled the market owing to its heavy margins
• “HIMGANGE” offered cumulative margins of 40% whereas “NAVRATNA” was able to offer just 18%
• The target population there also found HIMGANGE to be “more effective”
LAUNCH OF NAVRATNA EXTRA THANDA OIL
AWARENESSAFFORDABILITY
ACCEPTABILITY
Navratna as a brand with the top class brand ambassadors had a huge awareness all over India
Not being a huge brand himgange could not afford to spend on media and totally relied on distribution and word of mouth
Competitor pricing strategy was followed
Prices & margins remained the same , so no scope for comparison remains
•Endorser: Amitabh Bacchan a “Upiite”•Superior feel and packaging•Excellent availability
Low packaging and feel led himgange to lose its market share to NRXT
NAVRATNA EXTRA THANDA HIMGANGE
MARKET GAP
• Cool oils are just 15% of the total hair oil category
•Normal hair oil users do not prefer the strong fragrance & stickiness of cool oilsKEY ISSUE
NAVRATNA LITE OIL launched with a mild fragrance and non stickiness
TG: 25+ ALL SEC’s predominantly females
1QFY10' 2QFY10' 3QFY10' 4QFY10' 1QFY11'
16% 16%
30%
0%
15%
Navratna oil revenue growth (YOY)
YoY growth
Steep fall in sales in 4QFY10’ can mainly be accounted to high sales during 4QFY09(the company reintroduced the Re.1 sachet). Growth targets are set to rise by 1QFY11’
Source:IIFL research
BRANDS SKU MRP
COMPETITOR SNAPSHOT
HIMGANGE
3ml 150ml 25
100ml 47200ml 78500ml 175
BANPHOOL3.5ml 1100ml 48200ml 88
HIMTAJ100ml 48200ml 88400ml 145
HIM RAHAT100ml 48200ml 85400ml 155
RAHAT ROOH
50ml 25100ml 47200ml 88500ml 195
HIMANAND200ml 72400ml 150
BHIMSAR100ml 30200ml 50400ml 150
DULHAN
3.5ml 150ml 25
100ml 45200ml 80500ml 175
NAVRATNA TODAY
• Cool oil category is growing at 10-15% on an annual basis• Target of over 19% growth for NAVRATNA OIL for 2010-11
fiscal• Focus on strengthening and popularisng NAVRATNA LITE OIL &
NAVRATNA COOL TALC• Re 1-sachet of Navratna oil, aimed at semi-urban and rural
markets, contributes around 30 per cent of total sales of Navratna Oil products
BOROPLUS BRAND PORTFOLIO
BOROPLUS
SKIN CARE ESSENTIALS
HEALTHY & FAIR WINTER FAIRNESS
PRICKLY HEAT POWDER
ICE
NON ICE
INTENSIVE SKIN THERAPY
ANTISEPTIC CREAM
BOROPLUS ANTISEPTIC CREAM: BRAND OVERVIEW
• Established in 1984• Market size of Rs. 2694 mn ($57 mn)• Leader in the antiseptic cream market with a 74% share• Largest selling antiseptic cream not only in India but also in Ukraine, Russia and Nepal• Sales grew by 15% in FY 10• Growing at CAGR of 18% in last 5 years• Boroplus Brand has been ranked 77th in the Brand Equity Survey conducted by The Economic Times, India
MARKET SNAPSHOT
76%
24%
MARKET SHARE(ALL INDIA BASIS)
BOROPLUS BOROLINE
KEY MARKETS UP , MP , Chhattisgarh , Rajasthan , Bihar , Orissa
Urban India(35% )
Rural India(75%)
WEAKEST MARKET West Bengal ; mostly dominated by BOROLINE
Target consumer
18+ SEC: B,C,D,E (urban)SEC: R1 – R4 (rural)
“BORO” segment is a 269 crore market of which 169 crores is dominated by BOROPLUS
Major competitor BOROLINE dominates 69 crores of the total pie
Source: interview with boroplus brand team
BRAND POSITIONING• Branded as Himani Boroplus to align it with the ayurveda lineage• The equity of BoroPlus is rooted in “antiseptic”• Brand building on its strengths • Antiseptic: Anti germ – Keeps skin Hygienic and clean• Herbal• Problem solution (for cuts & burns)
• Positioned Boro Plus AC as ‘Your Personal First-Aid box’.
• Re-position the other Boro Plus offerings on the platform ‘Dedicated Skin Care’
BRAND POSITIONING
Need gap
•Despite being a power brand, Boroplus was not present in the categories that had become popular
•market offerings to niche segment i.e. Teens in this case
With rising per capita incomes , BOROPLUS decided to upgrade its consumers to new offerings with 2 new launches in 2010
Healthy & fair winterness creamMoisturizing + protection + fairness
Intensive skin therapynourishing knees, elbows and ankles
EXTENSION OF BRAND EQUITY TO OTHER
CATEGORIES
BRAND STRATEGYresearch had revealed that there was a need for a low unit product (LUP) in the antiseptic category
TAPPING THE GAP
Emami launched the 8 gm variant of Boroplus priced at Rs 5 in October 2002
AFFORDABLE PRICE POINT
TRIGERRING IMPULSE
PURCHASE
Boroplus from 2003 started a surge in its rural marketing :
Decorated vans have been travelling from village to village in Uttar Pradesh, Madhya Pradesh and West Bengal selling & promoting the brand
GAP IDENTIFICATION
•Boroline ‘s distribution was strong only in west bengal in key areas like Kolkata•Gap was there in distribution to the rural areas
PRESTIGE
MASSTIGE
MASS
BRAND SNAPSHOT
• Winter care is a Rs 8 bn segment consisting of creams , lotions & petroleum jelly
• Accelerated turnover for Boroplus winter lotion from Rs.8.5 Crore (2007-2008) to Rs.14 Crore (09-10)
• Launched in october 2006• “Boroplus” as a brand was growing
at 14% ; hence the objective was to increase its penetration by diversifying into new areas
• Kareena kapoor as brand ambassador
Source: saket govind. Former brand executive , linkedin.com
BRANDS VARIANTS SKU MRP SCHEMES
PONDS triple vitamin moisturising lotion
100 ml 45 300 ml 99 50 gm ponds face wash free
NIVEA
moisturising fresh lotion 75 ml 74 UV protection lotion 250 ml 198
moisturising body lotion75 ml 84
250 ml 179 400 ml 249
AYUR herbal moisturizer 100 ml 40 200 ml 75
VASELINE
vaseline total moisturizer 100 ml 45buy 2 @99 rs and get 1 free alongwith vaseline
25g( modern trade offer)
vaseline white 100 ml 45
dove soap 30g free(retail offer)300 ml 110
vaseline pink 100 ml 60
vaseline green 100 ml 49400 ml 160
LAKME lakme peach milk 120 ml 125 pears pure 80 gm soap DABUR gulabari moisurizing lotion 50 ml 20
VLCClavang moisturiser 100 ml 115
200 ml 205
honey moisturiser 100 ml 170 200 ml 275
GARNIER body coccon moisturiser lotion 250 ml 145 Rs 25 off
BOROPLUS advanced winter lotion
6 ml 5 100 ml 39 emami pure skin swiss apple 45 gms free300 ml 115 emami pure skin swiss apple 75 gms free
BRAND POSITIONINGBRANDS SPECIFICATIONS REASON TO
BELIEVEEMOTIONAL CONNNECT
PONDS Glycerin , triple vitamin
Triple vitamin B,C,E gives a glow to skin
Woman needs to be beautiful
VASELINE Glycerin , retinol , grape seed extracts , soya,oat protein
Total protection for 24 hours
Healthy skin ; happy skin
BOROPLUS Glycerin , badam , saffron , milk cream
2 X softer and silkier skin
Testimonials from men: soft skin to drive your man crazy
BOROPLUS PRICKLY HEAT POWDERBRAND SNAPSHOT
• Brand extension of the FLAGSHIP BRAND “ boroplus”
• Launched in 1992• The PHP category is a
specialized category valued at more than Rs.240 crore
• PHP segment contributes about 20% to the total talcum market in India
• BPPHP has just a 11% share in the PHP pie
BRAND SNAPSHOT
• MARKET VALUE AT Rs 180 crores•Grew by 34% in FY10•Grown at a CAGR of 13% in Last 3 years
MARKET GROWTH
Aag bujha de thandak la de
Target consumer
AGE :15-44 SEC : A,B,C
BRAND POSITIONINGConsumer insight : consumers desire a sensation of cooling toMigrate the feeling of burning & pricking caused by prickly heat
“Cooling” thus emergedas the major differentiator for the new brand
Key distinguishers of the launch communication:
•By highlighting the acute burning sensation suffered during an attack of prickly heat
•By creatively exploiting the instant and unique cooling sensation that BPPHP provides
for relief
RESULTS:BPPHP quickly garnered 4 % of the total market share and became the 3rd
largest in the category after “NYCIL” & “DERMI COOL”
TACKLING COMPETITIONThe then only competition
present was dermi cool
KEY ISSUE:Customer conversion from “dermicool “To BPPHP very low
Boroplus in its launch offer gave a 1+1 scheme& continued with that offer till 2007
However, Nycil & DermiCool were perceived to be delivering better than BPPHP on ‘relief from pricking / burning and itching / scratching’ To get further
Conversions
BPPHP changed their “REASON TO BELIEVE” from cooling To “INSTANT RELIEF WITHIN 10 SECONDS”
To increase market share the company perceived customer benefits ; absorption of sweatwith fragrance , ‘relief from prickly sensation’ remaining the core equity
TACKLING COMPETITION
• Diversifying their portfolio Launch of 2 new non ice variants :
“FRENCH SANDAL” & “FRENCH LAVENDER”
Results End 2001
BPPHP ‘s share remained stagnant despite new launches and the 1+1 free scheme
•Company research showed that customers perceived the 1+1 offer to be low class brand image
•Sales of non-ice category was also dropping since to the users PHP category had become synonymous with cooling
47%
38%
14%
market share in % (end 2009)
nycil dermicoolBPPHP
COMPETITOR SNAPSHOT
BRANDS VARIANTS SKU MRP EMOTIONAL CONNECT
NYCIL
excel150 gm 58 child emerging as winner
deo fresh150 gm 58 husband-wife connect
lavender 150 gm 58
DERMI COOL
regular150 gm 57
sweltering heat dermi cool's coolness equal to freshness
sandal150 gm 60
lime150 gm 57
cucumber slice 150 gm 60
BRAND COMMUNICATION POST 2007• 2008 saw 1+1 free scheme being taken off from
the market and Rs. 7 price off schemes were launched on the icy cool variants
• To trigger impulse purchase , a 20 gm variant of the icy cool powder was launched
• “REASON TO BELIEVE” statement was changed in 2008 form cool relief to the “5 power formula”
• In 2009 , the non ice variants were taken off from the market ; since fragrant cooling was the demand for the summer
• 2010 saw BPPHP targeting children with its hugely popular “ALL IZZ WELL” ad
BIRTH OF THE BRAND
• With not-so-good sales turnover of BPPHP , the company thought of diversifying in the talc category under its flagship brand “NAVRATNA”
KEY IDEA :To introduce the idea of coolness along with sweat absorption & Fragrant deo properties
Year 2006 saw the launch of “NAVRATNA COOL TALC”
Emami banked on the fact that navratna being a market leader will attract that segment of customers towards this product
BRAND HIGHLIGHTS 2009-10• The brand registered an astounding growth of
over 100%• An extensive all-India TV campaign with
commercials of Shahrukh Khan and Mahesh Babu for A.P. was launched in April 2009
• commercial launched in Tamil Nadu featuring superstar Surya in March 2010
• launch of a new `Sandal' variant in Maharashtra and the southern states of A.P., Tamil Nadu, Karnataka and Kerala
• New 50g SKU was introduced across India in `Regular' and `Active Deo' variants
• Talcum powder is a Rs 6 bn category
• NRCT sales crossed Rs 500mn in FY10 registering 80% growth YoY
• HUL is the major competitor having 65% share but has not renovated in the recent past
• Another large player is Johnson & Johnson with 15% market share but operates mainly in the baby care segment
PONDS65%
J&J15%
NRCT
4%OTHERS
16%
MARKET SHARE (%)
NRCT HAS AROUND 20% SHARE IN THE PHP CATEGORY WHERE ITS MAJOR OMPETITOR IS DERMICOOL
BRAND POSITIONING
FILLING THE NEED GAP
A offering what the body really craves for in the sweltering heat - icy cool breeze, a long lasting freshness and the feel of a slight drizzle
The cool talc category was the first of its kind in the market & “cooling factor” is the Core equity and differentiating factor for this brand
The brand banks heavily on the success of its flagship product “Navratna oil” and the Launch aim was to get the thanda oil users to use this product
NRCT’s launch saw a revamp in the packaging of NRO & promotion of the NRCT through navratna oil packs
By 2006 end the brand had given a YoY growth of 20% and was a 10 cr. brand
Duniya ka sabse chota AC
BRAND POSITIONINGDuniya ka sabse chota AC
Southern states like AP , Tamil Nadu and western states like Maharashtra prefer the application of sandal after bath as “sandal “ is believed to have a cooling effect on the body & keeps the mind relieved
With this in mind Emami has launched a “navratna cool sandal talc”And positioned it as “coolness with the goodness of sandal”
COMPETITOR SNAPSHOT
BRANDS VARIANTS SKU MRP EMOTIONAL CONNECT
PONDS
magic 100 gm 36
smell drive the men crazy
400 gm 97
sandal 100 gm 40
300 gm 93
orange extract 100 gm 36
400 gm 97
dreamflower20 gm 5
100 gm 36
400 gm 95
NIVEA
musk talc 100 gm 39
pure talc 100 gm 39
400 gm 99
AXEdenim 100 gm 50
400 gm 99pulse 100 gm 50
BRAND DIFFERENTIATION
• Market leaders like PONDS were connecting to the customers with “ khushboo jo deewana bana de”
• Emami in order to gain further market share in 2007 launched a new variant
“NAVRATNA COOL TALC 24 hrs ACTIVE DEO”
CORE EQUITY
Cooling + freshness + fragrance
KEY ISSUE
•The talcum powder industry growth in India has been stagnant now
•With the huge penetration of deodorants , customers are slowly upgrading themselves and warming up to the use of deodorants to battle odor
RUBEFACIENT CATEGORY SNAPSHOT
2006 2007 2008 2009
sales (in Rs.cr)
158.5 187.7 199.1 201.4
25
75
125
175
225
sales (in Rs.cr)
Axi
s Ti
tle
2006 2007 2008 2009
69.6 68 67.7 70.6
30.4 32 32.3 29.4
URBAN MARKET SHARE(%)RURAL MARKET SHARE(%)
HIMANI FAST RELIEF
• Market share increased from 11% to 13%• Grew by 6% in FY10.• However, the Brand has grown at a CAGR of 20%
in last 5 years.• Brand revamped with enhanced formulation in
new packaging as Himani Fast Relief ultra fast formula
• New TVCs got wide appreciation and won 3 awards, including Silvers for Best film and best direction and Bronze for Music in Goa Fest 2009
• Amitabh Bachchan is the Brand Ambassador• Widely accepted in the states of Delhi, UP and
Punjab Source: annual report 08-09
COMPETITION
2006 2007 2008 2009
HFR 18 21.2 24.9 28
MOOV 75.6 85 90.3 93.2
IODEX 89.8 90.3 90.7 91
5152535455565758595
BRANDWISE SALES (Rs cr)
Axi
s Ti
tle
Source: prateek kanodia IBS HYDERABAD, dissertation report 09
13%
40%
45%
2%
MARKET SHARE(%)
HFR MOOVIODEX OTHERS
Despite growth , HFR has still a very low market share in the rubificient category
Himani Fast Relief currently has a single ointment form product for pain relief solutions available in different sizes.
The competitors in the pain relief category have different forms of products available such as Sprays and Gels
HFR’s presence across all pain relief verticals is lacking
To capture market share of IODEX , The 10 gm SKU was launched in 2008
KEY MARKETS: BIHAR , MAHARASHTRA , MP , UP
PRODUCT
HIMANI FAST RELIEF
MOOV IODEX VOLINI
ConceptAyurvedic Pain Relief Ointment
Ayurvedic Pain Specialist
Ayurvedic Pain Balm
Pain Reliever Gel
CompositionPudina ka Phool Gaultheria ka Tel KapoorNilgiri ka Tel Tarpin ka Tel Ointment base – Waxes, Color & Oils
Oil of wintergreenPudina ka PhoolNilgiri ka Tel Tarpin ka Tel
Oil of wintergreenPudina ka PhoolNilgiri ka Tel Tarpin ka Tel Lavang ka Tel
Linseed OilDiclofenac SodiumMethyl SalicylateMentholGel Based
Sizes Available2 gm5 gm10 gm15 gm25 gm50 gm
Ointment:5 gm15 gm25 gm50 gmSpray: 35 ml, 80 ml
Balm: 10 gm, 20 gm, 50gmPower Cream: 5gm, 10gm
Gel: 15gm, 30gm, 50gmSpray: 35ml, 55ml
Positioning The Fastest & Most Effective Pain Reliever
Backache Specialist “Quick Action, Fast Relief”
“Asli Aram, i.e. Real Pail Reliever”
COMPETITION
OINTMENT GEL SPRAY
LINE EXTNSION
HFR in July 2010 , came up with a non sticky product formulation“fast relief MAX” but was still unable to cater across the categories
KEY ISSUE
Lack of differentiation with its competitors in presence across all forms/categories
GROWING WITH CONSUMER CONNECT
• Rubificient is a category across which product formulations and the feel more or less remains the same
CONSUMER ATTENTION
•Trade schemes•advertisements
While other brands harp upon their “reason to believe” as relief from painHFR projects a unique concept of man becoming a machine & hence the usage of the product to keep the machine going
You are in pain You cannot work Use XYZ product & you are free from pain
You work & work like a machine
You break down in pain Use HFR to cope with increasing pressure
More rational
More emotional connect
NEW PRODUCT LAUNCHES
EMAMI VASOCARE PETROLEUM JELLY
CATEGORY SIZE: Petroleum jelly has a market share of Rs. 264 crore
HUL’s Vaseline has a virtual monopoly in the petroleum jelly segment with annual sales of Rs 1.2 bn
The brand owing to its monopoly had not renovated in years
October 2008 added a new competitor to the segment
Sales in FY10’ : Rs 70m-80m , registering a 100% growth in volume in sales YoYCurrently has a 2.6% market share
HUL VASELINE EMAMI VASOCARE
CONCEPT for dry, chapped lips ; cuts & burns
for dry, chapped lips ; cuts & burns
COMPOSITION 100% petroleum jelly Petroleum jellyAloe veraChamomiletulsi
SIZES 8 gm ; 25 gm ; 50 gm ; 100 gm 8 gm ; 25 gm ; 50 gm
POSITIONING Taking care of your skin Herbal ingredients make vasocare five times more effective in healing and lubricating
KEY DIFFERENTIATING
FACTOR
•Usage of herbal ingredients
•Distinct green colour of the petroleum jelly gives it an ayurvedic feel
•Pleasant fragrance enhances usage experience
VASOCARE’S RTB: 5 X more effectiveThe brand is marketed to a wide demographic, while emphasizing everyday usage
EMAMI PURE SKIN GLYCERINE BAR
•Launched in 2008 in line with the winter season
•Glycerine soap category is a Rs 4 billion segment
•Sales in FY-10 : Rs 40m-50m
TARGET GROUP:18-35 years SEC A1, A2, B1, B2
FOCUS MARKETS
AP , WB , Gujarat , Kerala ,Maharashtra, Orissa
BRAND POSITIONING & ESSENCE
Pure skin made from all natural & pure ingredients like swiss apple , almonds, olives ,saffron etc.
Fruity fragrance and undertone smell
Superb transparency available in 3 mood uplifting fragrances• Swiss apple & almond• Saffron &turmeric• Olive & aloe vera
The brand points out on contemporariness with its “DO THE GLISS” campaign
BRANDS VARIANTS SKU MRP
PURE SKIN
SWISS APPLE & ALMOND
75 gm, 45 gm 27,16SAFFRON & TURMERIC
OLIVE & ALOE VERA
PEARS
PURE & GENTLE
125 gm 40
80gm 26
45gm 13
GERM SHIELD 80gm 27
OIL CLEAR 80gm 27
SANTOOR 125gm 29
SAVLONGENTLE MOISTURISING 125gm 32
NATURAL MOISTURISING 125gm 32
CHASME 100gm 16
VIVEL
MILD DEW 115gm 30
CLEAR SPRINGS 115gm 30
CREAM WITH GLYCERINE 100gm 18
•Pricing of pure skin is at par with pears
Competitors other than pears are resorting to market penetration
strategy
Various promotions offers from competitors like santoor has a 1+1 free
scheme
Pure skin is coupling itself with its flagship brandto get the boroplus user segment to use this soap
BRAND POSITIONING
Pure skin as mainly concentrated itself on the fragrance factor and usage of natural ingredients
Pears on the other hand has varied itself across various benefit points:•OIL CONTROL• GERM SHIELD
POSITIONING DIFFERENTIATION EMOTIONAL CONNECT
SANTOOR younger skin sandal+glycerine father-daughter-mother equation
PEARS innocence pure glycerine mother-daughter equation
VIVELmoisturisation with
protection milk cream+glycerineno tvc as of yet , prints show milk cream to
lock moisture in body
PURE SKIN YOUTH "do the gliss"glycerine , swiss apple , aloe
vera, olives be young
CHASME ,SONALI beauty pure glycerine
no tvc's ; hoardings just have a picture of beautiful woman
COMPETITIONBRAND EXTENSIONS
PEARS
SANTOOR
Hand wash Face wash
Shower gel
deodrants
PURE SKIN Since newly launched , its absent in all these categories ; pure skin could bank On its fruity fragrance & natural ingredients to expand in these categories