SAFFOLA COOKING OIL

THE REPOSITIONING JOURNEY

PPBM-B Group 2: Atibhi (131) | Nikita (150) | Prashanth(156) | Priyanka(313)| Thejasvi (331)
AGENDA
Introduction to the case
Timeline of Saffola
Challenges faced by Saffola
Repositioning strategy
Literature:
Positioning your product
Discovering new points of differentiation
Case analysis
Conclusion
 INTRODUCTION
BOIL
MARICO
Bombay Oil Industries Ltd.(BOIL) is the
predecessor of Marico Consumer
Products
Fatty Acids &
Chemicals
Spice Extracts

Three main divisions: Consumer Products,

Fatty Acids & Chemicals and Spice Extracts Nature Care

Harsh Mariwal, MD of Marico Limited

joined BOIL in 1971 Health Care

In 1990, BOIL was restructured and

Consumer Products Division was made
into a separate company MARICO
Flagship Brands:
Hair Oil - Parachute
Edible Oil- Saffola

3
 SAFFOLA STRATEGY- 1990s

Target Segment: Product

45+ years, male, SEC
A (Graduate/ Post-
Graduate with no. of
durables ore than 8)
Price
Positioning: Brand
for the healthy heart
Promotion
Safolla kardi- Premium Pricing
Saffola Active- Lower in cost
Fear Factor: played on
the fear factor in patients
giving them a sense of
Marketing campaigns- new campaign security on its usage
in 2000 Hospital Campaign
Indirect promotions- Saffola Healthy Loyal customers
heart foundation
NEW CHALLENGES
Stagnating sales
Increased competition from: Sundrop, Gold Winner
Growing health consciousness didnt materialize into consumers switching from
competitor brands to Saffola
Involvement of doctors: strong brand position but narrow segment
Entrenched as therapeutic and medicinal brand
Used by only heart patients
Premium price
CONSUMER STUDY

High recall with Light, refined and Problem-solution

Expensive
customers healthy brand

Medicinal in Saffola Tasty had

Did not smell or
Good for heart nature, not meant low advertisement
taste good
for kids recall
 KAPFERERS BRAND PRISM

CURRENT DESIRED
PRISM PRISM

RELATIONSHIP
RELATIONSHIP

Scientific

CULTURE
Scientific

CULTURE
Savior Problem Solver Healthy Health conscious
Providing Fear inducing Happy Family values
Solution Proactive
Protective care
Protective
Fulfilling
Repositioning for Growth
Key Findings
Engaging in
Strong brand physical
Low on aspirational and emotional activity
count Take
Various age
Detached and authoritative responsibility
groups
Built a culture of fear to stay healthy
Saviour and solution provider
relationship
Saffola Upbeat,
Happy healthy positive, no
Action people
Nutriblend heart related
Ad connotations
Healthy heart healthy living
Fear care and happiness
Therapeutic proactive Saffola - Sehat se jeena hai
45+ individual entire family
Optimistic, forward looking brand
 Marketing Activities
Tie up with gyms, sports clubs

Enter multiple
touch points in
consumers
environment

Tapping into network of subject matter experts - doctors

Result of Sehat Se Jenna Hai campaign

Growth came from

15% existing user base that was
experimenting with the
Growth
new variant
 POSITIONING YOUR PRODUCT
Positioning Strategies Determining positioning Strategies

Identify the competitors

Attribute Price-quality
Determine how they are perceived and valued

Determine competitors positions

Use/ application Product user Analyze customers

Select the position

W.r.t.
Product class Monitor the position
Competitor
DISCOVERING NEW POINTS OF DIFFERENTIATIONS
Examining customers entire experience with a product or service- Consumption
chain
Uncovers opportunities to position the offerings in ways that neither companies
themselves nor their competitors thought possible
Two approaches that can help company identify new PODs
Mapping the consumption chain
Analyzing the customers experience
MAPPING THE CONSUMPTION CHAIN
Set of questions to help identify new consumer-based points of differentiation
1. How do people become aware of their need for your product and service?
2. How do consumers find your offerings?
3. How do consumers make their final selection?
4. How do consumers order and purchase your product or service?
5. How is your product or service delivered?
6. What happens when your product or service is delivered?
7. How is your product installed?
8. How is your product or service paid for?
9. How is your product stored?
10. How is your product moved around?
11. What is the consumer really using your product for?
12. What do consumers need help with, when they use your product?
13. What about returns or exchanges?
14. How is your product repaired or serviced?
15. What happens when your product is disposed of or no longer used?
 ANALYZING THE CUSTOMERS EXPERIENCE
Applying 5 simple questions at each link in the chain
What?
Where?
Who?
When?
How?
Back to the Drawing Board
Move from Sehat Se Jeena Hai Kal Se

Women or couples in SEC A and B in the age group of

Target Segment 25-45 yrs
Age group ranging from children to senior citizen
Busy executives in the metros

Heart to Healthy Living

Marketing Strategy failed due to strong association the first step to a healthy heart
Positioning with heart The hopefully healthful lifestyle segment
Could not achieve shift from Therapeutic to Shift from culture of fear to culture of trust
Preventive mode

Sub-Brand Saffola Gold was born

Brand Saffola Nutriblend was discontinued
Focused Brand Saffola Nutriblend Saffola and SaffolaTasty continued to serve its loyal
customer base
 Back to the Drawing Board
Brand DNA Revisited
Physique and Personality aligned
Culture of fear to culture of
trust
Brand Customer relationship
from savior to quick-fix
insurance to anxieties
Self-image redefined from quick-
fix to carefree
360-degree marketing approach
Strong below-the-line
Sponsored annual Laughter
Olympics
Dial a Dietician program
Product placements in popular
TV shows to connect with
concerned housewife
Brand Extension
Extension in the functional food
category under the brand name
Saffola Functional Foods
Aimed at providing nutrition
under Saffolas trusted expertise
Thank You