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ARUN RAJ KUMAR P 10070 K SWETHA NANDANA 10082
PRAVEEN SHARMA 10094SHYLESH V 10106
VISHAL ROY 10118
Group - 9
Sunday’s Newspaper
Kaalu Prasad 27/172Chief Officer Bangalore Co. 5 LPASeeks fair ,good looking, well-qualified, employed girl from decent family.Ph: 9916783884
fair
Introduction to Skin Care Industry
• The skin care market in India is around 3500 Cr • Growing at 15-20% per year• Fairness cream market alone constitutes for 2000 Cr• Fair & Lovely enjoys as much as 53% of the fairness
market share with sales of 1100Cr
Total Skincare Market in Crores Rupees0
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Fair & LovelyOther Fairness CreamsRest of Skincare products
Fair & Lovely
• 32 years of excellence• 1100 Crore Brand• Market Leader with 53% market share in India• Present in 40 countries• World's first and largest Fairness cream brand
Evolution of the Brand
• Phase 1:o Beauty cream capable of providing fairness within 8 weekso "Get noticed by the man of your life.“
• Phase 2:o Catered to younger college going womeno Self confident and contemporary
• Phase 3:o Offering emotional benefits to achievers o Career Oriented Ladies
Company Profile
• Type Public company BSE:HUL• Industry FMCG• Founded 1933• Headquarters Mumbai, India• Key people Harish Manwani (Chairman)
Nitin Paranjpe (CEO and MD)• Products Home & Personal Care, Foods
Water Purifier• Revenue 20,869.57 crore (2009-2010)• Employees Over 65,000 direct & indirect employees• Parent Unilever Plc.
Product Line of HUL Product-mix Width
Product-Line Length Product-Line Length
Soaps Laundry Beverages Oral Care Foods
Dove Surf Excel Bru Close-Up Kissan
Liril Rin Brooke Bond Pepsodent Annapurna
Lux Wheel Lipton Knorr
Pears
Rexona
Lifebuoy
Hamam
Breeze
Hair Care Deodorants Skin Care Cosmetics Ayurvedic
Sunsilk Naturals Axe Fair N Lovely Lakme Aayush
Clinic Rexona Ponds
Denim Vaseline
Aviance
Fair & Lovely : Product Lines
• Fair & Lovely – Anti Marks For Blemish-less Fair Skin• Fair & Lovely – Ayurvedic Balance• Fair & Lovely – Multi Vitamin For Clear Fair Skin• Fair & Lovely – Max Fairness For Men
Major Competitors
• Cavin Kare’s Natural Fairever• Godrej’s FairGlow• Emami’s Naturally Fair• Emami's Fair and Handsome
53%
8%6%
6%
27%
FAIRNESS CREAM MARKET SHARE
Fair & LovelyFaireverfairglow naturally fairothers
History of Fair & Lovely
• 1st one to discover the skin lightening action of ‘Niacin Amide’
• Formulated in 1972• Launched in 1978• Introduced the concept of visible fairness in a safe
and reversible process• Contained no bleach or harmful ingredients
Success of Fair & Lovely• 2003 - rated as Twelfth Most Trusted Brand In India by
ACNielsen ORG MARG.• 2004 - identified as a SUPER BRAND.• Consumers now perceive the brand as empowering, achieving
and transformative.• A lot of its detractors have vanished, thanks to the launch of
Fair & Lovely Ayurvedic and new variants.• Recently - rated as The Ninth Most Trusted Brand In India,
after the largest survey conducted ever - The Nielsen Company. ( Dated 1st September 2010).
Historical Perspective
• “Radha Kyun Gori… Main Kyun Kala ?”
• Revived - Age Old Fascination !
• 20% users – Men.
Failures• Tried to capture Fairness Soap market - launched Fair &
Lovely Soap - failed miserably.
• Had launched numerous other products like Anti Aging Cream, Skin Clarity Cream, Active Sunblock Lotion etc. - most of them were withdrawn within short periods of time.
• Failed badly in its attempt of capturing Premium Segment - Fair & lovely Radiance Cream.
• Fair & Lovely Menz Active - lost out to its biggest competitor Emami’s Fair & Handsome.
Study with 4Ps
• PRODUCT
• Fair & Lovely – Anti Marks For Blemish-less Fair Skin• Fair & Lovely – Ayurvedic Balance• Fair & Lovely – Multi Vitamin For Clear Fair Skin• Fair & Lovely – Max Fairness For Men
PRICE
• Pricing Objectives
o Survivalo Market share • Pricing methods
o Mark-up pricingo Product line pricingo Promotional pricing
PRICE
Products 25 grams 50 grams 100 grams
Multi-Vitamin Rs 38 Rs 74 Rs 145
Ayurvedic Rs 38 Rs 74 Rs 145
Max Fairness For Men Rs 38 Rs 74 Rs 145
Anti Marks Rs 46 Rs 89 Rs 175
PLACE
• About 2900 stockists• Total coverage: 6.3 Million outlets• Direct coverage: 1 Million outlets
Distribution frameworkHUL
Carrying & Forwarding Agencies
Redistribution Stockists
Wholesalers
Urban Retailers
Rural Retailers
Consumers
PROMOTION• During Launch Phase –
o Building efficacy and safety as it was the first brand that was offering real, tangible fairness.
• Thereafter, –o Era of romantic movies so Fair & Lovely concentrated on women
and getting for them their dream man - considered an achievement then
o Concentrated on married women looking to keep spark alive in the relationship.
• Destiny Phase –o About achieving one’s dreams and desires - key communications
- Airhostess , commentary & Ayurveda ad.
PROMOTION• T.V. Promotion
Always casts common faces - enables people to relate - realistic.
• Latest - “clear fairness”.
• New tagline –“Gorepan se kahi zyaada, saaf gorapan.” - in stark contrast to : “zindagi roshan kare” and “badle aap, badle zindagi” – all of them playing up how fairness could change one’s destiny.
PROMOTION• Campaigns :
USP :o Power of beauty.o Fairness in 4 weeks.oMaximum fairness with the power of 8.o For Flawless Fair Skin.o Change your story – Fair & Lovely Menz Active.
Sales Promotion
• 1st one to introduce “Fairness Meter” - to judge fairness.
• Other tactics like “20% extra!! More value for same cost” have worked wonderfully well.
• Sponsorship.
• Fair & Lovely Scholarship programme 2007 on Reliance Mobile or R World (Aug 14- Sep 17,45,000 Responses)
The Fair & Lovely Foundation • Set up to give an opportunity to women as possible to help
realize their dreams. • An initiative that will empower women.• Focuses on education, career and entrepreneurial skill.• Emphasizes majorly on the low income groups - majorly operates
in India & Bangladesh.
• Success Stories – • Shikhar – to explore & share success stories of women achievers.• Suvarna – to identify athletic talents- guided by P.T. Usha.• Swayam - initiative in the area of education- enabled women to
open own schools.
Threats:
• Excessive Competition.
• Had its share of negative publicity, with women’s groups calling the ad regressive.
• Increasing inclination of consumers towards premiumisation.
Weaknesses:
• Chunk of products were launched, most of them remained unpopular.
• Decline in market share from 90% to 53%.
• Inability to attract premium segment.
• Inadequate promotion of Men’s cream.
Opportunities:
• Huge untapped market around the world.
• Men fairness market - growing at a rate of 25% every year.
Strengths:
• High awareness level.• Large Distribution Network of HUL.• Innovative Promotion Pattern.• Most trusted brand for young women in
India.• World's 1st & largest Fairness cream
brand.• Present in 40 countries.
SWOT Analysis
Present Products New Products I. Market Penetration (Intensive Growth) III. Product Development (Intensive)
Present Market
Convert nonusers into users
When they related success to fairness, they attracted even those persons who were primarily only success oriented & cared less about looks and appearances.
Product reformulation strategy
Ayurvedic Fair & Lovely
Increase frequency of usageo Proposed to apply twice a day.
Product feature addition strategy
o Multi- Vitamin cream
Increase the frequency of purchaseo Reversible effect made constant regular usage a
prime requisite.
New product development strategyo Fairness cream for men.
II. Market Development (Intensive) IV. Diversification
New Market
Expand geographically
o Present in 40 countries.
Related
o Soap
o Active Sunblock LotionTarget new segments
o Anti Ageing
Ansoff’s Model
Segmentation
Age :• Age group of 15-40.
Gender :• Female –
Fair & Lovely – Anti Marks Fairness Cream, Anti Marks For Blemish-less Fair Skin, Ayurvedic Balance, Multi Vitamin For Clear Fair Skin, Multi Vitamin Winter Fairness Cream.
• Male –Fair & Lovely – Max Fairness For Men, Menz Active Cream.
Income :• Low (up to 40,000 p.a.), lower middle ( 40,001 – 80,000
p.a.), middle ( 80,001 – 120,000 p.a.)
Psychographic
By communicating a message that Fairness leads to : Beauty - to Good husband – to Self-confidence - which shapes a good career
Benefits• Segments its customers based on their requirement, related to
fairness and skin care. • Along with Fairness solution, it also offers dark circles treatment,
aging signs solution and Vitamin procurement for skin care.
Positioning
• Fight for consumer mind.
• Positioned - "Get noticed by the man of your life.“ - Later, for achievers – “Redefining Beauty”.
Targeting
• Middle class Indian women who want fairer skin.
• Of late - products under the brand - extended to target the consumers seeking specific benefits apart from fairness by introducing Ayurvedic Fairness cream, Anti-Marks cream and Multi vitamin cream.
Recommendations• Major reason for failure of Fair & Lovely Men’s Active - inadequate promotion. Thereby, we recommend the signing up of celebrities for its further endorsements to compete with Emami’s Fair & Handsome, which is promoted by Shah Rukh Khan.
• Psychology- “Men are wary of walking into a fancy and cosmetic store and prefer to pick up products from chemists and hypermarkets.” - Should be placed in vicinities of other products’ for men like After Shave, Shaving Gels etc.
• No product in the market which offers Total Solution Fairness for the body as a whole, specifically for men. Such a product for economic segment could be a viable option.
Thank You….!!!