Marketing & Competition Analysis

 Introduction | History

 Top Indian Players | Market Share

 Marketing Objectives | Strategies

 Segmentation | Growth Opportunities

 Understanding Consumer Needs

 Pricing | Marketing Strategy


Competitive Advantages | Promotion/AD Campaign

 Environmental Change and Innovation

 Consumer Satisfaction and Research

 Competitors : Ariel | Recommendation & Suggestions

 Conclusion
 Fabric Wash Market in India
 Total Market Size Rs. 8800 Crores
 Total Volume- 2.3 Million Tonnes +
 98 percent Penetration in India
 CAGR -10 per cent
 Consumption Pattern Increase
55 per cent Urban (14 percent users of Washing Machine)
45 per cent Rural

 Major Players
 HUL
 Nirma
 Ghadi
 P&G

Source : Business Standard, 29-11-07

 History of Hindustan Lever

 1959 – HUL Introduced SURF.

 1970 – Launch of Nirma Power. Brand Lalitajee launched.

 1990 – Emergence of concentrate & Mid price segment powers.

Ad Campaign “ Daag Doonthe rah jaoge” was launched.

 1996 – Surf Excel launched. Ad Campaign “ Jaise bhi Daag ho, Surf Excel hai na”

 2003 – Surf Excel Quick wash launched “ Ad campaigns on Shortage of water across country”

 2005 – Ad Campaign “ Daag Acche hai na “.

 2006 – Rin – Supreme BAR. Ad campaign “ Good news, Bad news “

source : IMRB
 Surf Excel Ariel

To continue market leadership To increase market share

Rating
37.8% in Indian Market 7.7% P&G in Indian Market
  8/7

Approaching New Markets Switch Consumers from Existing

Brands in the present Market
Launching Product Extensions Product Innovation
Maintain Brand Loyalty Increase Brand Loyalty

COMMON MARKETING OBJECTIVES

- Ensure top-of-the-mind recall

- Increase Frequency of Usage
- Launching Variants in the Washing Machine Category
- R&D for new product innovations
SIZE SURF EXCEL SURF EXCEL SURF EXCEL
QUICK WASH BLUE AUTOMATIC
SACHET Rs.2/- Rs.2/- -

200gm Rs.23/- Rs.20/- -

500gm Rs.56 Rs.41 Rs.80/-

1kg Rs.109/- - Rs.155/-

SIZE ARIEL FRESH CLEAN ARIEL SPRING ARIEL FRONTO-MAT

CLEAN
Sachet Rs.2/- Rs.2/- -

200gm Rs.26/- Rs.26/- -

500gm Rs.55/- Rs.55/- Rs.80/-

1kg Rs.107/- Rs.107/- Rs.155/-

 Surf was launched in 1959.  Ariel was introduced in India in
1991.
 Ariel contains unique Fragrance Rating
 A family brand with tough
in detergents with new 7/6
stain removal and caring
image. technology based detergent
- International to Ultra to Excel

 Surf Excel is available in 4

 Ariel is available in 3 variants:
variants: Ariel Fresh Clean
 Surf Excel Blue Ariel Spring Clean
 Surf Excel Quick Wash Ariel Front-O-Mat
 Surf Excel Automatic
 Surf Excel Detergent Bar
 SKU’s – Stock Keeping
Units
Sachet packs (Rs. 2) of Surf and
Ariel are targeting mass market
consumers, convenience and
affordability

 Targeting Upwardly Mobile

group with increase in
disposable incomes  
 
 
 Surf Excel
- Brand Consolidation Strategy Rating
- Change from Rational Appeal to Emotional Appeal 7/6
Marketing messages
Eg. Sasti cheez or achchi cheez me farak hota hai to Daag
Dhoondthe Reh Jaaonge to Daag Acche Hain

 Ariel
- Introduced Variants for consumers at lower prices
- New product offerings like Supersoaker Ariel
 SECOND PRICE WAR
 FIRST SLASH : P&G as new entrant goes with Trial and Shift Consumer
- Ariel 20gm sachets (30% reduction) - Rs2
- Tide sachets (50% reduction) - Re1
Rating
Hindustan Lever Ltd (HLL) followed : 7/5
- Surf Excel sachet (50% reduction) - Rs1.50
 SECOND SLASH : P& G cut prices on large packs, HLL followed

source : India Infoline Report 2004

 HLL – SURF EXCEL P&G - ARIEL

• Largest and the second • Marketed at 100%

most profitable subsidiary
busin(42.6 % Input, 2004) of P&G, USA hence can
hence stakes higher absorb losses

Maintaining Brand Equity Target Market

Fragmentation
• Rin Supreme price
comparable to Surf Excel • Tide v/s Ariel
Blue

• Regional Players

 
 STRENGTHS
SURF EXCEL ARIEL

• Rating
• Strong R&D. Global brand presence.
8/6
• Offers & Schemes.
• Less number of intermediaries in
distribution channel.
• Strong Distribution Channel.
WEAKNESSES

SURF EXCEL ARIEL

• Expenses On Advertising. • Less Offers & Schemes

 OPPORTUNITIES FOR BOTH
Rating
• Penetration in rural areas. Rating
7/5
7/5
• Both Can Increase Their Frequency Of Usage.

• New Consumer Markets

THREATS TO BOTH

• Competition from organized and unorganized players.

• Increased level of price competition.

 Surf Excel Ariel
The Lalitajee Campaign Consumer Attitudes researched new
technology and compact powder for Rating
washing machines 7/5
Ariel Springclean with fresh fragrance
Surf Excel Automatic 'Ariel - Whirlpool Superwash' - buy a
Testimonials by IFB Whirlpool Washing Machine for
Rs.238/- in Equal Monthly Installments
Daag Acche Hain Variants in the market
 Surf
- Experienced Player
- Competitive Advantage with well laid distribution and retail network Final
- Innovative advertising approaches Rating
- Willingness to venture out with new variants
51/40
 Ariel
- Strong first mover advantage in the Pricing War
- Entrenched firmly in minds on basis of superior cleaning quality
- Need to bring out new variants
- focus on aggressive advertising important

 Both need to venture out:

- Explore Rural Markets
- Invest in Research for Niche Products
- Find New Consumer Categories
- Fight Regional Players with a Customized Market Plan