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Marketing Project Report on Lux Soap:

Marketing Project Report on Lux Soap By: MEENAKSHI JHA PGDM=201007 GSBA

Contents: :

Contents: Company Profile – HUL Distibution Channel - HUL Product Mix – HUL Overview – Lux Soap Marketing Mix SWOT Analysis Competitor Analysis Market Segmentation Recommendation Reference

Company Profile - HUL:

Company Profile - HUL

Company Profile - HUL:

Company Profile - HUL A 52% owned subsidiary of Anglo Dutch giant Unilever. India – 1888 India largest FMCG company Touching 2 out of 3 Indian consumer 20 distinct categories – Home and personal care products, food and beverages. HLL – HUL 100 factories – India – Manufacturing its diverse product range Headquarter: Mumbai Market share – Toilet soap category – 54.3%

Revenue Percentage::

Revenue Percentage:

Distribution Channel - HUL:

Distribution Channel - HUL

Distribution Channel - HUL:

Distribution Channel - HUL 2000+ Suppliers and associates 4000 Redistribution stockists Covering 1 million retail outlets Reaching 250 million rural consumers

Product Mix- HUL:

Product Mix- HUL

The width of the HUL Product mix::

The width of the HUL Product mix: The width of the product mix refers to the number of different product line the company carries E.g: Personal wash Laundry Skin care Oral care Deodorants Colour cosmetics Ayurvedic personal and health care

Slide 11:

Shampoo Tea Coffee Foods Ice cream Width = 12

The lenght of the HUL Product mix::

The lenght of the HUL Product mix: The Lenght of the product mix refers to the total number of items in the product mix. E.g: Personal wash: Lux, Lifebuoy, Liril, Hamam, Breeze, Dove, Pears, Rexona Laundry: Surf excel, Rin, Wheel Skin care: Fair & Lovely, Ponds, Vaseline, Aviance Oral care: Pepsodent, Close up Deodorants: Axe, Rexona Colour cosmetics: Lakme Ayurvedic personal and health care: Ayush

Slide 13:

Shampoo: Sunsilk, Clinic Tea: Broke bond, Lipton. Coffee: Bru Foods: Kissan, Annapurna, Knorr Ice cream: Kwality walls Width = 30

The Depth of the HUL Product mix::

The Depth of the HUL Product mix: The depth of the product mix refers to the number of variants of each product offered in the line E.g: If close up toothpaste comes in three formulation and in three sizes, close up has a depth of 9 (3*3) The Consistency of the HUL Product mix: The consistency of the product mix refers to how closely related the various product lines are in the use, production requirement, distribution channel or in any other manner. HUL Product line are not consistent because of its large width.

Overview : Lux Soap:

Overview : Lux Soap 1916 – Laundry soap 1925 – Bathroom soap India – 1929 First brand ambassador: Leela Chitnis (1929) Market share is almost equal to Lifebuoy

Marketing Mix::

Marketing Mix:


Product: Product Classification: Tangible Non durable good Lux and other soaps fall into the category of convenience good.

Product Life Cycle::

Product Life Cycle: Maturity Stage

Prominent Variants::

Prominent Variants: Lux almond Lux orchid Lux fruit Lux saffron Lux sandalwood Lux rose Lux international Lux chocolate Lux aromatic extracts Lux oil and honey glow etc.


Logo: Labelling: Lux trade character or logo is present prominently in the package Female model Displayed graphically – Key ingredients

Slide 23:

Packaging: Different colors – Different variants( Saffron – Saffron variants & Pink – Rose extracts etc. ) Package size – 100gm, 120gm, 150 gm Launched – Mini Lux – 45gm - Rs 5

Slide 24:

Price: Competitive prices: Neither high nor low

Slide 25:

Place: HUL distribution network – key strength (Which helps reach out its product across the length and width of the vast country) 2000+ Suppliers & Associates 7000 Stockists Direct coverage in over 1 million retail outlets


Network: Factory – Company warehouses – Distributor – Market Factory – Wholesaler & Big retailers (Bulk orders) – 30% Sales


Promotion: Active since 1929

Slide 28:

Featured all top actress of their times.

Slide 29:

Idea: if it is good enough for a film star, it is good for me.

First Male Brand Ambassador: :

First Male Brand Ambassador:

South India::

South India: 1970 – Jayalalitha Shriya Sharan

Sales Promotion::

Sales Promotion: Lux gold star offer: 22 Carat Gold coin in the Soap – First 10 caller (Extra 30 gm gold) Lux star bano, Aish karo contest: A special promotional pack of lux soap – Scratch card -50 lucky winner got the chance to meet Aishwarya rai.

SWOT Analysis:

SWOT Analysis


Strengths: Strong market research (Door to door sampling – once in a year – Rural and Urban area.) Many variants (Almond oil, Orchid extracts, Milk cream, Fruit extracts, Saffron sandalwood oil and Honey) Strong sales and distribution network backed by HUL Strong brand image

Slide 36:

Dynamically continuous innovations – New variants and innovative promotions (22 carat gold coin promotion – “Chance Hai”) Strong brand promotion but relatively lower prices – Winning combination. Mass appeal/Market presence across all segments ( 15% of soap market)

Weakness: :

Weakness: Mainly positioned as beauty soap targeted towards women, lack unisex appeal Some variation like the sunscreen, international variant did not do well in the market Not much popular in rural areas


Opportunities: Soap industry is growing by 10% in India Beauty segments compounded annual growth rate (CAGR) is very high Liquid body wash is currently in growth stage – Lux should come out with more variants in this segment Large market share – Strong hold over the market

Threats: :

Threats: High internal competition (Pears – Beauty segment) New entrants (Vivel) Maturity stage – threat of slipping down to decline stage – if constant reinvention is not carried out

Competitor Analysis:

Competitor Analysis

Internal Competitor::

Internal Competitor: Lifebuoy: 1895, 18% Market shares External Competitor: Godrej consumers products limited (GCPL): 2 nd Largest soap maker after HUL 9.2% Market share Brands: Cinthol, Fairglow, Nikhar

Slide 42:

Wipro: Brand: Santoor (No 1 in AP) and Chandrika ITC: 1.75% growth in initial five months Brand: Superia, Fiama di wills and Vivel Sold in six states

Market segmentation:

Market segmentation

Market segmentation of Lux:

Market segmentation of Lux Gender: Female Age: 16-35 Income: Middle income group (Rs. 15 to 20) Highest selling beauty soap in urban area (Rural area: Lifebuoy) Expensive – Affordable, Target Area: Urban and Sub urban – Upper middle and middle class people

Product Positioning of Lux:

Product Positioning of Lux Created Good Position – Buyers mind – Better product attributes, price and quality Offering product in a different way Offering – improved quality of the product – affordable price with high branding – to position the product as a best quality beauty soap in buyers mind. Market share of HUL: 54.3% Market share of LUX: 15% Better Positioning – Market leader of beauty soap




Recommendation: Ayurvedic variant Lux kids special soap Target rural area Target male customers





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