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Product Category Soaps Current Market Marketing Essay

2963 words (12 pages) Essay in Marketing

5/12/16 Marketing Reference this

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Hindustan Unilever Ltd continued to dominate the competitive landscape in 2010, with almost 51 of value sales. The company has a strategy of straddling all price points and deploying a full portfolio, supported by advertising for all of its brands. Godrej Consumer Products was placed second, with over 10% of value sales, followed by Wipro, Reckitt Benckiser, with its Dettol brand, and ITC Ltd, with its recent launches of Vivel.

Headlines

Soap sales grow by 11% in 2010, to almost Rs105 billion.

The H1N1 flu scare positively impacts good hygiene habits.

Liquid soap sees the fastest growth of almost 50% in 2010.

Unit prices of bath products e.g. bar soaps, liquid soap rise in 2010.

Unit prices of bar soaps rise by 6% in 2010, as companies pass on the impact of increased raw materials prices to consumers.

Hindustan Unilever remains the top player in 2010, due to its strength in bar soap.

Soap is projected to grow by a constant value CAGR of 4% between 2010 and 2015.

Lux

http://upload.wikimedia.org/wikipedia/commons/0/0f/Lux_logo.jpg

Introduction

Lux is the world’s most iconic beauty bar and has a 90 year history of glamour and pleasure. The most beautiful and iconic stars of the world have been Lux ambassadors over the years, from Leela Chitnis to Madhuri Dixit,  Aishwarya Rai and Katrina Kaif.

As of today, Lux is the market leader in several countries including Brazil, India, Thailand and South Africa.

Developed by Unilever, Lux (soap) is now headquartered in Singapore.

History/Origin

The brand was founded by the Lever Brothers (today known as Unilever) in 1899. The name changed from “Sunlight Flakes” to “Lux” in 1900, a Latin word for “light” and suggestive of “luxury.”

Lux toilet soap was launched in the United States in 1925 and in the United Kingdom in 1928.

In 1924, it became the first mass market toilet soap in the world.

Subsequently, Lux soap has been marketed in several forms, including handwash, shower gel and cream bath soap.

Made with fine-texture, rich in fragrance, and manufactured using a method created in France, the first Lux toilet soap was sold for 10 cents apiece.

Tagline/ Slogan

Lux believes that ‘beauty is a female instinct that shouldn’t be denied’ and showcases the pleasure that every woman enjoys from using her beauty, encapsulating that idea in a simple phrase: ‘Declare your beauty’. Lux International has the tagline is “Not Just Soap, Its Skin Care”.

Advertisement/promotion

It is noted as a brand that pioneered female celebrity endorsements. Since the 1930s, more than 400 of the world’s most famous female celebrities have been associated with Lux. Sarah Jessica Parker and Aishwarya Rai are some actresses featured in Lux advertising campaigns.

Variants/types of unit

Lux Peach & Cream

Lux Strawberry & Cream

Lux Fresh Splash

Lux Purple Lotus & Cream

It comes with sizes of 100g, 120g, 150g and 200g.

Also offers mini Lux of 45gm at Rs5. 

Key facts

The largest selling soap brand in the world.

The No.1 soap brand in India.

A $ 1 billion brand present in many countries across the globe

Godrej No.1

http://sandalwoodparadise.com/images/GodrejNo1_Jasmine.jpg

Introduction

Godrej No.1 is the 3rd largest soap brand in India (by volume) and is the largest selling grade 1 soap in India. It is the biggest brand (by sales turnover) for Godrej Consumer Products Ltd and the choice of 36 crore Indians! Godrej No.1 is sold across 18 Lakh outlets across the nation, and is even exported to other nations.

History/Origin

Godrej No.1 was launched in 1998, with a single variant – Rose. Over the years, more variants were launched, which gave the Indian soap consumer a wider choice with a better soap. Godrej No.1 today has a range of 9 variants with various natural beauty ingredients & fragrances.

Godrej No.1 was recently relaunched in April 2010, with an objective of improving the user experience even further. The relaunch involved a complete change in the soap shape, packaging & communication.

Tagline/ Slogan

“Kya aapka sabun hai great 1”; “Khubsoorti ko aur kya chaiyen”

Advertisement/promotion

The current communication of Godrej No.1 showcases below aspects of the new avatar of No.1.

Shape Development

The new shape of Godrej No.1, inspired by Nature itself (In the shape of a leaf), was developed using state-of-the-art technology by design experts. Not only does the shape look more aesthetic, it also substantiates No.1’s promise to deliver premium value at an accessible price.

http://www.godrejno1.com/images/nackedsoap.jpg

Natural Oils

Only the new Godrej No.1 has “Natural Oils”, which nourish your skin to make it soft & glowing. This is sure to inspire appreciation even at the most unexpected moments in your life! 

“Natural Oils” are present in all Godrej No.1 variants – one can easily check the front of the soap pack to identify the Natural Oils logo.

http://www.godrejno1.com/images/oildrop.jpg

Variants/types of unit & Prices

Strawberry Soap

Godrej No. 1 launches ‘Strawberry & Walnut Soap’ which combines the skin care benefits of Strawberry and moisturizing qualities of Walnut. This variant marks the launch of the first ‘beaded’ soap by Godrej Consumer Products. The variant offers consumers the benefit of moisturized, baby-like soft skin.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

70 gms (Pack of 4) at Rs. 30/-

90 gms (Pack of 3) at Rs. 30/-

90 gms (Pack of 4) at Rs. 40/-

Lime & Aloe Vera Soap

Godrej No. 1 launches ‘Lime and Aloe Vera Soap’, for Fresh Soft Skin. Lime which keeps you feeling fresh has been combined with the gentleness of Aloe Vera, which retains the skin’s moisture to keep it soft. The combination of these ingredients leaves your skin feeling Fresh and Soft.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

90 gms (Pack of 4) at Rs. 40/-

90 gms (Pack of 3) at Rs. 30/-

70 gms (Pack of 4) at Rs. 30/-

40 gms singles at Rs. 5/-

Strawberry Soap

Godrej No. 1 launches ‘Strawberry & Walnut Soap’ which combines the skin care benefits of Strawberry and moisturizing qualities of Walnut. This variant marks the launch of the first ‘beaded’ soap by Godrej Consumer Products. The variant offers consumers the benefit of moisturized, baby-like soft skin.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50/-

70 gms (Pack of 4) at Rs. 30/-

90 gms (Pack of 3) at Rs. 30/-

90 gms (Pack of 4) at Rs. 40/-

Sandal Soap

Godrej No1 Sandal has the goodness of Sandal and Turmeric which makes skin soft and radiant. Godrej No. 1 Sandal was launched, in August 1999. The natural ingredients sandal and turmeric have traditionally been highly popular and trusted for skin care. Carefully chosen, these Godrej No. 1 ingredients enhance the beauty of skin when they simply have a regular bath.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

40 gms at Rs. 5 /-

Coconut & Neem Soap

Godrej No1 Coconut & Neem Soap packs the benefits of coconut oil, neem and tulsi which have been traditionally trusted for special skin care. Godrej No. 1 Coconut & Neem was launched November 1999. Godrej No. 1 ingredients enhance the beauty of the users’ skin when they simply have a regular bath.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

40 gms at Rs. 5 /-

Ayurvedic Soap

Godrej No1 Ayurvedic Soap has the goodness of 21 proven Ayurvedic herbs to make your skin soft and radiant. In November 2002, the Ayurvedic variant was launched in select markets. This was the first foray of Godrej No. 1 in Ayurvedic products.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

Rose Soap

Godrej No1 Rose has the fragrance of roses and renders your skin smooth and fragrant. Godrej No 1 – Rose was launched in Feb 1998. Godrej No 1 was the first beauty soap in Godrej’s portfolio.

It is available at an affordable price of,

115 gms (Pack of 4) at Rs. 50 /-

90 gms (Pack of 3) at Rs. 30 /-

90 gms (Pack of 4) at Rs. 40 /-

70 gms (Pack of 4) at Rs. 30 /-

Jasmine Soap

Godrej No1 Jasmine Soap combines the natural goodness of Jasmine and milkcream to keep your skin alluringly beautiful. A mesmerizing effect that lingers on….. In April 2004 the Jasmine variant was launched. Godrej No.1

It is available at an affortable price of… 

115 gms (Pack of 4) at Rs. 50 /- 

90 gms (Pack of 3) at Rs. 30 /- 

90 gms (Pack of 4) at Rs. 40 /- 

70 gms (Pack of 4) at Rs. 30 /- and 

40 gms at Rs. 5 /- 

Dettol

http://www.herbalhealthpharmacy.com/images/4197/dettol-soap-twin-pack-2x100g.jpg

Introduction

Dettol is the trade name for a line of hygiene products manufactured by Reckitt Benckiser.

As a brand, it is ranked the 48th most-trusted one in India by The Brand Trust Report 2011.

History/Origin

The brand has been well known for years. Dettol is Rs 300 crore and 70 year old brand of Reckitt and Benckiser. Launched in 1936 as an antiseptic lotion, the brand became a generic name for antiseptic lotion and then extended into soaps. From its launch to 1980’s the brand had a dream run with virtually no competitors.

Tagline/ Slogan

“Cool Protection That Refreshes”!

Advertisement/promotion

Dettol has used all best ways to market its products and position them deep in the minds its customers. The feature of dettol soap is its typical smell reminding everybody of its antiseptic quality and hygiene. Its various advertisements say that in every season, while taking bath, before having meal, dettol soap is a must.

Variants/types of unit

Original Soap

New and Improved Dettol Original Soap is specially formulated for everyday use. Dettol Original Soap is 10 times better at fighting germs compared to ordinary soaps. So give Dettol’s trusted protection to the entire family. It is available in two sizes of 75g and 125g.

Skincare Soap

Dettol Skincare Soap offers the perfect balance between your beauty and protection needs. Dettol Skincare Soap is formulated specifically to ensure that you don’t have to compromise on your beauty needs to get Dettol’s trusted protection. It is available in two sizes of 75g and 125g.

Cool Soap

New and Improved Dettol Original Soap is specially formulated for everyday use. Dettol Original Soap is 10 times better at fighting germs compared to ordinary soaps. So give Dettol’s trusted protection to the entire family. It is available in two sizes of 75g and 125g.

Re-Energize Soap

With the freshness of oranges & Dettol’s trusted protection from germs, New Dettol Re-energize soap leaves you feeling health, fresh & re-energized every day. It is available in two sizes of 70g and 120g.

Nirma Soaps

http://www.superbrandsindia.com/images/brand_pdf/consumer_1st_edition_2004/nirma/nirma-sonali.jpg

Introduction

Nirma’s foray into the toilet soaps category was launched with Nirma Bath Soap, a carbolic soap which positioned itself against the largest selling carbolic soap brand, Lifebuoy, from the Hindustan Lever stable – at half the latter’s price. The more up market Nirma Beauty Soap with four perfume variants, also became an instant success and is the third largest selling brand in the country, today.

History/Origin

Toilet soap market in India was dominated by a very few MNCs which could monopolistically price their product. In 1992, sensing a strong need to expand the market through Penetrative Pricing, Nirma entered this market with the launch of ‘Nirma Bath Soap’, which is a carbolic (Red) soap. Although the carbolic soap segment is on decline, Nirma Bath has generated larger volumes each year.

Tagline/ Slogan

“Soundarya sabun Nirma”

Advertisement/promotion

Nirma’s promotion strategy, too, has many firsts to its credit. The company pioneered product sponsorship through the electronic media. Besides, the company has developed a unique advertising strategy – new products are launched with no advertising support. Once the distribution glitches are sorted out and the product reaches the shelves of retailers, the company begins to advertise it. The umbrella branding strategy helps to give new products instant recall without increasing the advertising expense.

Variants/types of unit

Nirma Bath Soap

Packed in a red color wrapper and available in 75 gram and 150 gram pack sizes, this soap has a Total Fatty Matter (TFM) of 60 %.

Nirma Beauty Soap

With its market promise to offer “Better Products, Better Value, Better Living,” Nirma introduced ‘Nirma Beauty Soap’ in the year 1992. Available in three different variants and pack sizes, this soap has a TFM content of 70%. Due to its admirable perfume and a higher TFM content, this brand, within a short span of five years, had achieved the status of the third largest selling toilet soap brand and still continues its outstanding performance.

Nima Rose

Nima Bartan Bar also addresses the emerging market of scouring bars. It is being offered in 200g and 400g pack sizes. From initial launch days, it has got huge market success and consistently performing well.

The remarkable and phenomenal market response received by Nima Rose soap within just two months of its launch once again proved the merits of Nirma’s commitment towards its consumers. Nima Rose soap has got an exceptionally soft rose fragrance – which remains around body for a long time even after bath. The high TFM content of this product allows a consumer to have pleasant bath. This brand had carved a niche in its segment by achieving leadership position just within two months of its launch. It is available in 100g and 150g pack sizes.

Nima Sandal

Over the period, Indian toilet soap market has fragmented & has seen emergence of prominent floral fragrance segments as Sandal, Rose, Jasmine, etc. Nima Sandal is a one of such product in floral segment. This toilet soap has 80% TFM content, with rich & exotic fragrance. It promises benefits of Sandal oil & Turmeric powder. It is a premium product from Nima stable and is available in 100g and 150g packs.

Comparisons of different brands

Company wise Soap Shares 2006-2010

% retail value

2006

2007

2008

2009

2010

Hindustan Unilever Ltd 

53.5

54.3

51.7

51.0

Godrej Consumer Products Ltd 

8.7

8.9

9.3

10.0

10.3

Wipro Ltd 

6.8

7.3

7.4

8.2

8.8

Reckitt Benckiser (India) Ltd 

4.6

5.0

5.5

7.0

7.9

Nirma Ltd 

7.3

6.6

5.6

5.1

4.3

ITC Ltd 

1.7

2.9

3.4

Soap Brand wise Shares 2007-2010

% retail value

Company

2007

2008

2009

2010

Lux 

Hindustan Unilever Ltd

14.6

15.3

13.8

13.7

Lifebuoy 

Hindustan Unilever Ltd

12.7

13.3

12.6

11.8

Santoor 

Wipro Ltd

6.9

7.1

7.9

8.5

Dettol 

Reckitt Benckiser (India) Ltd

5.0

5.5

7.0

7.9

Godrej No 1 

Godrej Consumer Products Ltd

5.2

5.4

5.8

6.0

Cinthol 

Godrej Consumer Products Ltd

3.6

3.7

4.0

4.0

Hamam 

Hindustan Unilever Ltd

3.5

3.8

4.0

4.0

Breeze 

Hindustan Unilever Ltd

6.2

5.6

4.0

3.6

Dove 

Hindustan Unilever Ltd

1.2

1.5

2.6

3.6

Pond’s 

Hindustan Unilever Ltd

4.3

3.9

3.6

3.3

Pears 

Hindustan Unilever Ltd

2.3

2.7

2.8

2.9

Nima 

Nirma Ltd

3.1

2.6

2.7

2.3

Nirma 

Nirma Ltd

3.5

3.0

2.3

2.0

Vivel 

ITC Ltd

0.9

1.3

1.6

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