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1 | Page DOVE vs FIAMA DI WILLS Group 8 Marketing Management - II Soumendu Mukherjee 2014PGP374 Shikha Gandhi 2014PGP354 Rishabh Kumar 2014PGP304 Kiran P R 2014PGP163 Kavya Kambala Durga 2014PGP153

Hindusthan Unilever Limited

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Page 1: Hindusthan Unilever Limited

CONTENTS

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Soumendu Mukherjee 2014PGP374

Shikha Gandhi 2014PGP354Rishabh Kumar 2014PGP304Kiran P R 2014PGP163

DOVE vs FIAMA DI WILLS

Group 8Marketing Management - II

Page 2: Hindusthan Unilever Limited

SL. NUMBER TITLE PAGE NUMBER

1. BRIEF INTRODUCTION TO COMPANY 3

2. PRODUCT CATEGORY 3

3. BRAND and RIVAL BRAND 4

3.1 PRODUCT 6

3.2 PRICE 9

4. BIBLIOGRAPHY 10

1.BRIEF INTRODUCTION TO THE COMPANY

Hindustan Unilever Limited (HUL) is India's largest Fast Moving Consumer Goods

Company with a heritage of over 80 years in India and touches the lives of two out of three

Indians.

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HUL was established in 1933. Then it was known as ‘Lever Brothers’ and, in 1956, became

known as Hindustan Lever Limited, as a result of a merger between Lever Brothers,

HUL works to create a better future every day and helps people feel good, look good and get

more out of life with brands and services that are good for them.

With over 35 brands spanning 20 distinct categories such as soaps, detergents, shampoos,

skin care, toothpastes, deodorants, cosmetics, tea, coffee, packaged foods, ice cream, and

water purifiers, the Company is a part of the everyday life of millions of consumers across

India. Its portfolio includes leading household brands such as Lux, Lifebuoy, Surf Excel, Rin,

Wheel, Fair & Lovely, Pond’s, Vaseline, Lakmé, Dove, Clinic Plus, Sunsilk, Pepsodent,

Closeup, Axe, Brooke Bond, Bru, Knorr, Kissan, Kwality Wall’s and Pureit. Its product

categories are officially divided into Food & Drink, Home care, Personal care and Water

purifier.

HUL is a subsidiary of Unilever, one of the world’s leading suppliers of fast moving

consumer goods with strong local roots in more than 100 countries across the globe with

annual sales of €49.8 billion in 2013. Unilever has 67.25% shareholding in HUL which has

an annual turnover of INR 27408 crores (financial year 2013 - 2014).

Hindustan Unilever's distribution covers over 2 million retail outlets across India directly and

its products are available in over 6.4 million outlets in the country.

2. PRODUCT CATEGORYHUL’s products are categorized into - Food & Drink, Home care, Personal care and Water

purifier. We are going to emphasize on the Personal care category. HUL’s personal care

category include products like soaps, hair cream, shampoo, deodorants, toothpaste etc. Major

brands in this category are its evergreen products Lux, Lifebuoy, Dove, Pears, Clinic plus,

Axe.

Personal products (PP) account for 28% of sales and that will keep increasing in the years

ahead on the back of new product launches, new category creations and brand extensions.

Hair care or shampoo is clearly HUL's mainstay in PP. With brands like Clinic Plus, Sunsilk

and Dove, the consumer products giant has a share of just under 46% of the shampoo market.

The other pillars of growth are skin care where, in the premium fairness category in urban

areas, HUL has almost 38% of the market in the bag.Meantime, HUL has also been entering

other categories. Over the past year, for instance, it extended the Dove brand into face wash

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and launched the Sure brand of antiperspirant deodorants for men. Fair & Lovely (FAL) has

also been extended to FAL Multi Vitamin Face Wash and to the Anti-Marks Eraser Pen.

3.BRAND AND RIVAL BRANDDOVE: Dove was developed in United States of America (USA) in 1957 as a soap which

contained 25% of moisturizing cream which was a innovative soap for American women.

Dove today is not only a US-based soap bar but it has now transformed itself to Unilever’s

most successful and largest global brand. In early 1990s dove was launched in more than 55

countries and by 1996 it was launched by Unilever in almost 80 countries. Dove was

launched in 1995 in India with soap bar and introduced wide range of products into skin care

and cosmetics, hair care , deodorants , personal washes. Dove with wise marketing effort has

become Unilever’s top profile brand in terms of revenue generation.

DOVE

Parent Company HUL

CategoryPersonal Care brands- Haircare , Personal wash, Cosmetics and Skincare

Sector FMCG

Tagline/ Slogan Everyday Moisture is the key to beautiful skin

USP Deep Moisturizer for Dry Skin

STP

SegmentDemographic (Women (mainly) ad Men) ,High income and middle class groups

Target Group Women and men of all ages

Positioning Positioned as a beauty and moisturising bar (soap)

FIAMA DI WILLS Fiama di wills is a personal care brand owned by ITC and launched in

India in 2007 which has diversified product portfolio offering personal care, hair care with

natural science technology for both Indian men and women. Fiama is premium leading brand

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of ITC with a turnover of USD 6 billion. Fiama Di Wills has taken an innovative leap

forward with the new range designed to delight consumers with advanced skin care benefits.

Fiama Di Wills

Parent Company ITC

Category Personal Care brands- Haircare & Skincare

Sector FMCG

Tagline/ Slogan Beautiful you, today, tomorrow

USPThe Fiama Di Wills range combines the goodness of nature and science, providing gentle and effective care.

STP

SegmentDemographic (Women (mainly) and Men) ,High income and middle class groups

Target Group Women of all ages, Adult men

PositioningBathing as an experience with gel bars and shower gels, innovative

3.1 PRODUCT

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a)Core, Actual and Augmented Product Comparisons

Body Wash :

Brand Dove Fiama Di Wills

Core Product Body Wash & Cleansing Action Body Wash & Cleansing

Action

Actual

Product

Soap Bar & Body Wash Soap Bar & Shower gel

Augmented

Product

1/4th Moisturizing cream formula,

hydrating milk for extra soft skin, pH

neutral

Gel bars, various fragrances,

skin conditioners,

rejuvinating skin care,

couture spa range

Hair Care:

Brand Dove Fiama Di Wills

Core Product Hair Cleansing and hair care Hair Cleansing and Hair Care

Actual

Product

Shampoo, Conditioner, Oils Shampoo, Conditioner

Augmented

Product

Hair repair, Split End Rescue, various

fragrances for oils, oil-shampoo

combined, anti-dandruff, dryness

care,daily shine, hair fall rescue serums,

deep repairing masks and hair tonics

Colour Damage repair, anti-

hair-fall, total damage repair,

Serums for each of these

In addition to the above, Dove also has body lotions,face wash ranges and deodorant ranges.

Body Lotions core product is skin care, the actual product is body lotion, and the augmented

product is lightening effect to beat summer heat, deep care complex, non-sticky effect etc.

Face wash core product is face cleansing, the actual product is a face wash tube, and the

augmented product is high mostuirizer content in the face washes for soft face.

The core product for deodorant is removing bad odour due to sweat, the actual product is a

deodorant spray, the augmented product includes go fresh deodorants of various fragrances which

provides long lasting freshness and anti-perspirant deodorant for reducing sweat.

b) Brand Relationship

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Comparison of Product Depths :

Dove’s product mix consists of various items of different features and types. Its body wash

category includes beauty bar and body wash. It has three types of beauty bars and body

washes, namely cream beauty bathing, gentle exfoliating and fresh moisture. The soap bars

are availaible in weights of 50gm, 75gm and 100gm. The body wash is availaible in only

one quantity variant of 200ml. Hence Dove’s product depth in body wash category is 12.

Its Hair care category consists of four types of products – Shampoo, Conditioner,

Treatments and Oil. It offers seven flavours of shampoo which are available in sizes of

180ml, 340ml and 650 ml. It also offers six varieties of conditioners which are available in

sizes of 90ml and 180 ml. Its treatments category includes six items which includes seruma

dn treatment masks; which are available in one size only. Oil category has three products

which are available in 90ml bottles. Thus its Hair care category product depth counts to 42 .

Unlike Dove, fiama di wills offers only a limited variations for its products. It has broadly

two categories – body wash and hair care. Its body wash category inludes gel shower bar,

shower gel and spa couture. Gel shower bar and spa couture is available in five flavours

(75g and 125g). Its shower gel has the same five varieties available in 200ml bottles each.

Fiama Di Wills also has speciality men’s soaps(75g and 125g) and shower

gels(250ml).Hence depth of Body wash counts to 28. Its Hair care category has three types –

Shampoo, Conditioner and Serum. These all are available in three flavours. Thus the Hair

care product depth counts to 9.

Interesting Observations: The product variety for dove in soaps is lesser than that of fiama di

wills. However, in hair care range, Dove has introduced specific solutions for specific hair

problems whereas Fiama Di Wills does not have that much variety in this category

Survey Results

Natural Ingredients 7.5 8.2

Skin Friendly 8.8 9.2

Value for Money 8.2 8.5

Smell 7.8 8.5

Shape 8.6 9.5

Moisturizing Ability 9.0 8.0

Lasting of freshness 9.0 7.5

Lasting of equal sized soaps 7.0 5.5

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Customer Response :

The above survey was conducted where 70 customers rated the two soaps based on the mentioned

attributes on a scale of 0-10. The results clearly indicate that there is a mixed response for the two

products and no clear winner emerges. Dove is preffered as a moisturizing soap which lasts longer

and provides long lasting freshness whereas Fiama Di Wills is preferred due to its better looks and

design, better fragrances and presence of more natural ingredients. The value for money is a bit

higher for Dove than for Fiama Di Wills. However both are rated low in durability as they both

dissolve faster as compared to normal soaps inspit of both being premium products.

BRAND CONNECTION MATRIX EMOTIONAL CONNECTION

FUNCTIONAL CONNECTION LOW HIGH

HIGH Fiama Di Wills DoveLOW --- ---

From the above matrix, it is evident that the technical innovation Fiama Di Wills has resorted to,

has made it the product which delivers the functions it promises. Similar is he case with Dove

which provides long-lasting moisturizing of skin. However Dove has a greater emotional connect

with its customers due to its promotion strategies of involving common women ( their end-users )

instead of celebrities as in the case of Fiama Di Wills.

c) Recommendations for improving market penetration

DOVE :

Dove is promoted only as a moisturizer soap for dry-skin. However, in India there

is a large number of women having oily skin. Hence Dove should try to penetrate

this large market of oily-skinned women by introducing special soaps to prevent

oilyness.

Dove should try to increase its variety of flavours (currently only 3) as compared to

Fiama (5) to satisfy varying customer desires of changing flavours,i.e. innovate

Because it is a mild soap, it can be extended to child care soaps. It will have an

advantage over Fiama as Fiama is a standard soap.

FIAMA DI WILLS :

Weak line logic of various flavours and only certain flavours sell more. Fiama

should try to differentiate well between flavours or discontinue certain flavours.

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Hair care solutions are very limited as compared to Dove. It can introduce more

specific solutions for various hair-problems to compete with Dove.

3.2 PRICE

DOVE:

It follows perceived-value pricing strategy which is based on providing certain benefits to

consumers in all range of their products.

Its pricing is also based on quality, as it provides the effect of a cream in a soap, hence it is

high priced as compared to a standard soap

Its pricing also depends on its target customers, who are upper middle class and upper class

working women.

It was initially launched in India at a price of Rs.50 for 50g in 1995, it failed to attract many

upper class customers also. Hence it underwent a price-jump and reduced its price to

Rs.28.

It found great success in the Indian market thereafter and attracted upper middle class and

upper class customers. This reduction was led by the fact that it costed higher than

standard soaps but just high enough to be sold well as a premium soap.

FIAMA DI WILLS:

It follows perceived-value pricing strategy which is based on providing certain benefits to

consumers in all range of their products.

It has maintained a constant price since its introduction in 2007.

It is in the premium category range offering exquisite bathing experiences, hence it offers

quality based pricing.

Its packaging and shaping is quite expensive, thus increasing its variable cost per unit.

Hence apart from quality, it also prices high to recover the variable costs.

The final price is determined by marketing activities, which is high in case of Fiama Di

Wills due to its celebrity endorsements unlike Dove which advertises working women.

Competitve Current pricing as of 2014

PRODUCTS DOVE (INR) FIAMA DI WILLS (INR)

Soaps (75 gm) 44 36

Shampoos (Anti dandruff) 145 (180 ml) 129 (200ml)

Body wash(200ml) 150 165

Moisturizer(400 ml) 350 Not present

Deodrants 185(169 ml) 250(200ml) (Men)

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Spa Soaps(125 gm) Not present 75

Face wash(100 ml) 150 Not present

Fitness of existing strategy for product:

DOVE

Since Dove is in the last part of its growth stage, it has not increased its prices much till

now.

Dove is following a maximum market penetration strategy by keeping prices fixed and

trying to improve customer base and awareness by marketing activities.

As it has not yet spread full awareness about shampoos, hence it is offering free 50g soaps

with 180ml anti-dandruff shampoos.

It has also started selling bundles of 3x100g soaps at a price discount of Rs.10 to increase

mass purchases.

It offers sachets for both shampoos and conditioners.

FIAMA DI WILLS

It is still in its introductory stage, but it has maintained constant prices.

Great packaging and shaping has helped its high prices to survive in the market.

Not many bundled offerings in supermarkets and retail chains, neither too many high

volume discounts offered.

Recommendations for improving market penetration :

Both companies can follow psychological pricing in order to increase sales. This means

selling at Rs.49 what is sold at Rs. 51 and so on.

Dove has not changed its prices at all for quite some time. Some discounted offers at times,

especially in summers when its demand is comparatively lower, might help.

Since there is not much difference in the moistuirizing ability between Dove and Fiama ( as

projected by the survey ratings in pg. ), hence Dove should try to price closer to Fiama in

order to compete better.

Fiama Di Wills is still in its introductory stage. Hence it should bundle its products to

penetate more in the market.

Fiama Di Wills can offer sachets of shampoos in order to enable customers to test their

products.

BIBLIOGRAPHY:

1. Marketing Management- A south asian perspective -14e-Kotler, Keller, Koshy and Jha.

2. http://www.hul.co.in/brands-in-action/detail/Dove/303749/

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3. http://www.fiamadiwills.com/

4. http://www.mbaskool.com/brandguide/fmcg/805-dove-soap.html

5. http://www.mbaskool.com/brandguide/fmcg/1209-fiama-di-wills.html

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