1. MM2 TERM PROJECT
Presented By:
Lakshman Singh
Nishant Tiwari
Priyankar Chakraborty
Sreetama Dutta
Praxis Business School MM2 Project - Air Freshener
PRODUCT CATEGORY - AIR FRESHENER
Date: December 12, 2012
2. AGENDA
Praxis Business School MM2 Project - Air Freshener
2
Overview - Air Freshener In Indian Market
Product Category
Market Segments
Prominent Brands In Each Segment
Air Freshener In Institutional Markets
Air Freshener Price Market Segment Study
Brand Positioning For Each Brand
SWOT Analysis For “Dabur India Ltd” And “Odonil”
Brand Extension – Proposal
Marketing Mix
Reasons For Choosing “ODONIL BREEZE” Car Air Freshener
Bibliography
3. OVERVIEW
Praxis Business School MM2 Project - Air Freshener
3
Air care market growing at an average of 20% year on year
The air freshener has 3% penetration in air freshener market
Air care market size is Rs 300-crore in India
INDIAN MARKET SIZE
Rs. 300-crore
CONSUMER MARKET SIZE
66.03% (198-Crore Approx)
DIRECT SALES TO
INSTITUTIONS MARKET SIZE
33.97% (101.9-Crore Approx)
Source: http://www.thehindubusinessline.com/industry-and-economy/marketing/article3621054.ece?ref=wl_industry-and-economy
http://www.business-standard.com/india/news/fresh-%5Caer%5C-in-air-care-market/483708/
4. Praxis Business School MM2 Project - Air Freshener
4
537
924
1300
663
1178 1373
610
869
1403
1269
3003
4274
2007 2008 2010
Number of urban households by SEC spending every month on air
fresheners (in 000s)
SEC A SEC B SEC C Urban Inda
Number of households using the category has been increasing across all the
SECs.
In urban India, the consumer base had increased by 236% from 2007 to 2010.
Source: IMRB wallet monitor studies of 2007, 2008 and 2010 (The Marketing Whitebook 2012-2013)
5. Praxis Business School MM2 Project - Air Freshener
5
25 27 2728
46 44
32
46
50
25
37
41
2007 2008 2010
Average monthly household spends on air fresheners by Zone (in Rs)
East West South North
The average spend on the category has increased to Rs 44 in 2010 from Rs 30
in 2007.
The buyers in the South Zone on an average spend more than the other Zones.
Source: IMRB wallet monitor studies of 2007, 2008 and 2010 (The Marketing Whitebook 2012-2013)
6. PRODUCT CATEGORY
6
42%
15%
14%
9%
2%
18%
Main Brands and Company Manufactured them with Shares 2010
Odonil - Dabur India Ltd
Ambi Pur - P&G Home Products Ltd
Premium - Helene Curtis India Ltd, JK
Air Wick - Reckitt Benckiser (India) Ltd
Lovin - Midas Care Pharmaceutical Pvt Ltd
Others
Praxis Business School MM2 Project - Air Freshener
Source: http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-lease-of-life/
7. MARKET SEGMENTS
Praxis Business School MM2 Project - Air Freshener
7
AIR FRESHNER
MARKET SEGMENTS
TYPES
Aerosols/Sprays
Electric Air
Fresheners
Gels and Candles
Car Air Fresheners
Fridge Fresheners
Bathroom
Fresheners
PRICE
High-End Segment
Mid-End Segment
BENEFITS
Odour Removal
Active Fragrance
Hanger Pack
Net Pack
Dispensers
Canister
PACKAGING
8. PROMINENT BRANDS IN EACH SEGMENT
Praxis Business School MM2 Project - Air Freshener
8
Aerosols
/Sprays
Electric Air
Fresheners
Gels and
Candles
Car Air
Fresheners
Fridge
Fresheners
Bathroom Fresheners
Glades
Aer
Air Wick
Renuzit
Air Wick
Renuzit
Glade Ambi Pur
Aer
Premium Odonil
Premium
Segment Mid Segment
Aer
Air Wick
Ambi Pur
Odonil
Premium
Hanger
Pack
Net Pack
Dispensers &
Canister
Odonil Odonil
Air Wick
Odonil
Aer
Odour
Removal
Active
Fragrance
Odonil Ambi Pur
Aer
TYPES OF AIR FRESHENERS
PRICE SEGMENT PACKAGING SEGMENT BENEFITS SEGMENT
9. AIR FRESHENER IN INSTITUTIONAL MARKETS
Praxis Business School MM2 Project - Air Freshener
9
Hotels
Corporate Houses, Factories
Malls
Hospitals
Railways
Public Bathrooms
Show Rooms
Theaters
Government Institutions and Buildings
R5 Diversey has high presence in Institution market and Odonil has high
presence in consumer market.
10. PRICING - SEGMENT
Praxis Business School MM2 Project - Air Freshener
10
High-End Segment Mid-End Segment
Most prominent air freshener brands have similar pricing, Hence, we have segregated in
the high-end segment and mid-end segment, in terms of pricing.
B2B Segment
11. Praxis Business School MM2 Project - Air Freshener
11
PRODUCT
-Premium
- Available in 3
variants
- Easy to use
(per packaging)
PLACE
-Launched in
metros
PROMOTION
-Perfumed print
ad
-Carried out BTL
promotions and
activations
PRICE
- Premium
Category
PACKAGING Company: Godrej Consumer Products Limited
Tagline/ Slogan:“The Way It Smells, and The Way It
Spells”
Positioning: A delightful experience, aer aims to bring alive
consumer experiences to enhance their personal space at home
STUDY OF THE BRAND
12. Praxis Business School MM2 Project - Air Freshener
12
PRODUCT
-Available in
various flavors
and varieties
PLACE
-Targeted urban
and semi-urban
households
PROMOTION
-Excellent brand
promotion by
advertising
media and
prints
PRICE
-Standard price
segment
PACKAGING Company: Reckitt & Benckiser (India) Limited
Tagline/ Slogan:“It’s Good To Be Home”
Positioning: To transform your home to a great environment
making it happy and joyous
STUDY OF THE BRAND
13. Praxis Business School MM2 Project - Air Freshener
13
PRODUCT
-Known for
quality
- Available in
various
varieties
PLACE
- Excellent
distribution
network
PROMOTION
-High
advertisement
compare to
other brands
PRICE
- Premium
Category
PACKAGING Company: Procter & Gamble Home Products Limited
Tagline/ Slogan:“A Touch Of Freshness To Your Home, and
Car”
Positioning: Eliminates tough odours and freshens the air as if
washed
STUDY OF THE BRAND
14. Praxis Business School MM2 Project - Air Freshener
14
PRODUCT
- Available in a
variety of
exciting
fragrances
PLACE
- Targeted
urban and
semi-urban
households
PROMOTION
- TV advertising
PRICE
- Average price
PACKAGING Company: Dabur India Limited
Tagline/ Slogan:
Positioning: Complete air freshening brand for every space in
your home
STUDY OF THE BRAND
15. Praxis Business School MM2 Project - Air Freshener
15
PRODUCT
- Quality
fragrance
- Easy to use
PLACE
- Lack
availability
PROMOTION
- Hardly does
any promotion
PRICE
-Average price
PACKAGING Company: JK Helene Curtis India Limited
Tagline/ Slogan:“Home, Fresh Home”
Positioning: Feel fresh and bring home freshness
STUDY OF THE BRAND
16. Praxis Business School MM2 Project - Air Freshener
16
PACKAGING
Company: S.S.B Enterprises
Established in the year 2011, the first commercial aerosol
plant for contract manufacturing in Andhra Pradesh
Does direct marketing in terms of promotion
Positioning: The brand is positioned using the baseline
" Fragrance Your Imagination". The company believes
that perfumes relaxes the drivers and enhance comfort
level. Since there is little competition, there is little
promotion for this brand.
STUDY OF THE BRAND
17. SWOT ANALYSIS – DABUR INDIA LIMITED
Praxis Business School MM2 Project - Air Freshener
17
S
TRENGTHS
W
EAKNESSES
T
HREATS
PPORTUNITIES
O
• Strong Brand Image and
Product Development Strength
• Strong Distribution Network
and an Extensive Supply Chain
• Products present in over 60
countries and distribution
through 5000 distributors and
2.8 million outlets
• Dabur products has stiff
competition from big
domestic players and
international brands
• Tap rural markets and
increase penetration in
urban areas
• Increasing purchasing power
of people thereby increasing
demand
• Mergers and acquisitions to
strengthen the brand
• Intense and increasing
competition amongst other
FMCG companies
• FDI in retail thereby allowing
international brands
• Competition from unbranded
and local products
18. SWOT ANALYSIS - ODONIL
Praxis Business School MM2 Project - Air Freshener
18
S
TRENGTHS
W
EAKNESSES
T
HREATS
PPORTUNITIES
O
• Available in easy-to-use &
convenient packaging, such
as 'Hanger Pack', 'Net Pack'
, 'Dispensers' and ‘Sprays’
• Established brand support
• Reasonable price
• Available in a variety of
exciting fragrances
• Lack of knowledge about the
home fragrances
segment, mainly
agarbattis, which are
considered the original home
fragrances
• Availability of cheaper
substitutes
• Expand brand portfolio and make
it a complete air freshening
brand by bringing in car Air
Fresheners
• Tie up with
hotels, restaurants, airlines
companies
• Bringing in home fragrances in the
form of candles and
gels, agarbattis.
• Develop customized fragrances for
hotels and stores
• Aggressive competition from
multinational giants
• Unexpected spike in input
costs
• New entrants
20. MARKETING MIX
Praxis Business School MM2 Project - Air Freshener
20
PRODUCT
PRICE
PROMOTION
PLACE
Name: “Odonil Breeze”
Packaging: Plastic bottles with adjustable lids
Features: Bottles with 4 compartments containing different
fragrances
Comparable Pricing in line with competitors
Free samples to customers in Car Showrooms, garages and car
parking lots in malls
Ads in TV and Newspapers
A three-pronged approach for distribution:
General Trade
Modern Trade
Car Accessories Showrooms
21. SURVEY
Praxis Business School MM2 Project - Air Freshener
21
Car
67%
Gel
33%
Incense Sticks
0%
Sample Size: 21
Following are the conclusions from the survey
Q Which are the following brands are you aware of?
Odonil
AirWick
Aer
Glade
100% people were aware about Odonil.
Q If Odonil comes in following formats, which one will you
go for?
Car Air Freshener
Gel
Incense Sticks
67% people would like to go for “Car Air Freshener”
Odonil AirWick Aer Glade
100.0%
90.5%
52.4%
4.8%
22. REASONS FOR CHOOSING “ODONIL
BREEZE” CAR AIR FRESHENER
Praxis Business School MM2 Project - Air Freshener
22
Odonil has 42% market share in Air care market, which makes
Odonil very popular. Therefore, no need of extensive advertising.
Dabur has strong distribution network and an extensive supply
chain
Expand brand portfolio and make it a complete air freshening
brand by bringing in car air freshener.
Number of households using the category has been increasing
across all the SECs
Air care market growing at an average of 20% year on year
Established brand support
23. BIBLIOGRAPHY
Praxis Business School MM2 Project - Air Freshener
23
http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-
lease-of-life/
http://pitchonnet.com/blog/2012/07/10/godrej-re-enters-the-air-care-market-
with-aer/
http://www.dabur.com/Products-Home%20Care-Odonil
http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-
lease-of-life/
http://www.premiumhomefresh.com/Premiumlavender.aspx
http://marketingpractice.blogspot.in/2008/03/airwick-its-good-to-be-home.html