Surf Excel & ARIEL : Surf Excel & ARIEL Marketing & Competition Analysis Main areas covered : Main areas covered 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 Introduction : Introduction 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
P&G Source : Business Standard, 29-11-07 History of Hindustan Lever : 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 “ Washing Powder Market IN India : Washing Powder Market IN India source : IMRB MARKETING objectives : MARKETING objectives 8/7 Rating 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 PRICE CHART : PRICE CHART Segmentation : Segmentation Surf was launched in 1959.
A family brand with tough stain removal and caring image.
International to Ultra to Excel
Surf Excel is available in 4 variants:
Surf Excel Blue
Surf Excel Quick Wash
Surf Excel Automatic
Surf Excel Detergent Bar Rating 7/6 Ariel was introduced in India in 1991.
Ariel contains unique Fragrance in detergents with new technology based detergent
Ariel is available in 3 variants:
Ariel Fresh Clean
Ariel Spring Clean
Ariel Front-O-Mat Growth Opportunities : Growth Opportunities 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 Create Competencies to match Opportunities : Create Competencies to match Opportunities Surf Excel
Brand Consolidation Strategy
- Change from Rational Appeal to Emotional Appeal Marketing messages
Eg. Sasti cheez or achchi cheez me farak hota hai to Daag Dhoondthe Reh Jaaonge to Daag Acche Hain
- Introduced Variants for consumers at lower prices
- New product offerings like Supersoaker Ariel Rating 7/6 Environmental Change and Innovation : Environmental Change and Innovation 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
Hindustan Lever Ltd (HLL) followed :
- Surf Excel sachet (50% reduction) - Rs1.50
SECOND SLASH : P& G cut prices on large packs, HLL followed Rating 7/5 source : India Infoline Report 2004 Slide 12: HLL – SURF EXCEL
Largest and the second most profitable busin(42.6 % Input, 2004) hence stakes higher
Maintaining Brand Equity
Rin Supreme price comparable to Surf Excel Blue
Regional Players P&G - ARIEL
Marketed at 100% subsidiary
of P&G, USA hence can absorb losses
Target Market Fragmentation
Tide v/s Ariel Competitive Advantages : Competitive Advantages Rating 8/6 SWOT ANALYSIS SURF EXCEL
Offers & Schemes.
Strong Distribution Channel. ARIEL
Global brand presence.
Less number of intermediaries in distribution channel. Strengths Weaknesses SURF EXCEL
Expenses On Advertising. ARIEL
Less Offers & Schemes Consumer Satisfaction & Research : SWOT ANALYSIS Opportunities For Both Threats To Both Competition from organized and unorganized players.
Increased level of price competition. Penetration in rural areas.
Both Can Increase Their Frequency Of Usage.
New Consumer Markets Consumer Satisfaction & Research Rating 7/5 Rating 7/5 Understanding consumer needs : Understanding consumer needs Rating 7/5 Slide 27: 51/40 FinalRating Surf
- Experienced Player
- Competitive Advantage with well laid distribution and retail network
- Innovative advertising approaches
- Willingness to venture out with new variants
- 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 Slide 28: Anshul Garg