Marketing

Jerrin Thankachan
Jerrin ThankachanAudit Associate em KPMG
The way companies like
Godrej, HUL, Marico & Tata
sharpened their competitive
edge
By,
Jerrin Thankachan
S2 MBA , MACFAST
Godrej in soap
• Major brands
 Cinthol
 No.1
 Fair Glow
• Follow the policy of – “To deliver value-for-money
products”.
• There is no dividing line between the urban and
rural markets.
• Brands are sold in the both markets.
• The rural market accounts for 50 per cent of the
soap market
• Fairglow, India's first fairness soap created
marketing history as one of the most successful
innovations.
• A combination of efforts, including aggressive
marketing and distribution, is what helped Godrej
keep the momentum of growth going in the last
few quarters.
• Cinthol ‘ALIVE IS AWESOME’ marketing
campaign got a great support
• Godrej’s existing brands drive freshness
(Cinthol), beauty (Godrej No.1), fairness
(Fairglow) and healthy hair (Shikakai).
• GCPL, have to monitor the moves of Reckitt and
Wipro closely to ensure its second position is not
threatened in any way.
Marketing
HUL in toothpaste category
• Major brands
 Pepsodent
 Closeup
Pepsodent
• Pepsodent , launched in 1993, was the first
toothpaste with a unique anti-bacterial agent to
address the consumer need of checking germs even
hours after brushing.
• Pepsodent packs included a Germ Indicator which
allowed consumers to see the efficacy in fighting
germs .
• They launched a campaign widened the context to
" sweet and sticky " food and leveraged the truth
that children do not rinse their mouths every time
they eat, demonstrating that this makes their teeth
vulnerable to germ attack.
• Pepsodent's most recent campaign aims at
educating consumers on the need for germ
protection through the night.
Closeup
• Closeup is the original youth brand of India. The
first brand targeting youth in the oral care
market, with an edgy and youthful image which
stays relevant till date.
• Ever since its launch in 1975 Closeup was the first
gel toothpaste to be launched in India and has led
the gel toothpaste segment ever since.
• Closeup became the first Gel toothpaste with
Fluoride in the Indian Market!
• The brand umbrella also includes Closeup Lemon
Mint, gel toothpaste with the whitening benefits of
lemon.
• The latest entry in the Closeup stable is Closeup
Milk Calcium – revolutionary new toothpaste with
the goodness of milk calcium.
Marketing strategies of
HUL for urban India
• Adopted TPM to meet zero error zero loss
• Focus on short supply chain 4 distribution
• To meet every needs of people everywhere
• Also use direct selling channel to reach everyone
For rural India
• For long term benefits, HUL started project stream
line
• Appointed 6000 sub stockists that directly covers
about 50,000 villages and 250 million customers
• Integrate economic, environment& social
objectives with business agenda
• Project shakti ,partnership with self help groups of
rural women & covers 5000 villages in 52 districts
in different states
 HUL prioritized opportunities which build upon the
existing assets and capabilities
 HUL is more focused on the innovations
 It follows direct communication from the
customers.
 It believes in expanding the portfolio
 Each category has a different set of supply chain,
production and consumer decision making process
associated with it.
 HUL has done the process of repositioning the
brand
 Close-up: Peppermint splash
 Pepsodent toothbrush: 25%flexibility
Marketing
Marico in edible oils
 Saffola
• Marico Ltd, one of India’s leading consumer goods
companies, has so far successfully kept up with this
increasingly fierce marketplace.
• The company operates in 25 emerging countries in
Asia, Africa and the Middle East, and has
consciously decided not to enter developed
markets.
• To maintain its market position, Marico attempts to
circumvent direct competition with large volume
players whilst keeping expenses at a minimum.
Saffola Oils
New
Saffola
Saffola
Gold
Saffola
Tasty
Saffola
Active
Saffola’s new mantra of
marketing
High on recall
list of consumer
Consumer
research
Health Benefits
 Suffola have „LoSorb Technology’, due to which
oil gets absorbed less, reducing oil consumption in
your diet.
 Suffola oils are ‘Free of Trans fat’.
 Suffola contains Rice Bran Oil (RBO) which
contains Heart healthy nutrients .
 Suffola contains Safflower oil which is a colorless
and flavorless edible vegetable oil extracted from
the seeds of the safflower & well known for
reducing cholesterol levels.
Core competence
 Product Positioning in Niche Segments
 Benefit from Market Expansion
 Focus on Core Products and a neatly defined
Target Group
 Wide distribution channels-access to rural market
 Converted commodity into product
Marketing
Tata in steel business
Tata in steel industry
• Tata Iron and Steel Company Limited, abbreviated
as TISCO is an Indian multinational steel-making
company headquartered in Mumbai and a
subsidiary of the Tata Group.
• Its marketing headquarter is located at Tata
Centre in Kolkata, West Bengal.
• It is the twelfth-largest steel producing company in
the world, Tata Steel is a multinational corporation
with operations in numerous countries.
• Its largest plant is locate in Jamshedpur, Jharkhand.
• Assurance, reliability and superior brand
experience in every segment have always been the
key focus for Tata Steel's brand building
endeavours.
• In addition, the realigned operating strategy takes
into account current realities of the marketplace
and enhancement of customer satisfaction and
relationships with existing clients.
• As opposed to competitors who split and
diversify, Tata Steel is focusing on positive markets
by applying its resources to the core business
where they are most needed. In order to spread the
customer base and maximize leverage from the
economic packages, special initiatives were
devoted to Government funded projects and the
Railways.
• Several new initiatives have been undertaken to
improve customer service in every market
segment.
• Tata Steel had implemented Vehicle Tracking
system (VTS) way back in 2002. In line with the
Company’s endeavour to improve customer
service, approx 1600 Global Positioning System
(GPS) mounted vehicles have been deployed by
transport partners of material movement across the
Country. This is the largest implementation of GPS
enabled fleet in the steel industry.
• To bring about improvement in delivery
reliability, a billboard has been created and
uploaded on CSD webpage to track vehicles on-
line, again a first in the Indian Steel industry.
• Major drive has been taken to reduce service claims
through development of desired infrastructure at
Hubs/Stock yards and deployment of specialised
vehicles.
• In order to create service differentiation, an auto
compliant hub has been developed at Chennai.
• Standard operating procedures for receipt, storage,
handling and delivery of steel materials at all stock
points have been implemented.
• Tata Steel has created transport parks in Jamshedpur
to ease out traffic flow and educate all drivers on
safety and health concerns. As a CSR initiative
approximately 2000 drivers undergo medical check-
up at our facilities every month.
• Outstanding performance by the Company’s
different divisions have surpassed their own brand
standards and created higher quality parameters for
each other.
• For Tata steel redefining steel has come to mean
changing from bulk production to value added
premium products at globally competitive
prices, optimizing raw material
consumption, managing environment by
streamlining operations & leveraging information
technology for greater market agility.
• All this to serve their customers better.
• The pricing strategy adopted by Tata Steel is the
Market Penetration Strategy
• This strategy is based on the assumption
that demands for the product is highly elastic. By
setting relatively low price Tata Steel has managed
to obtain large market share.
• The advantage of this kind of pricing is that it
discourages competition since there is less
opportunity to reap unusual benefits on investment.
In an attempt to ‘decommoditise’ steel, the Company
has introduced several branded steel products to meet
growing market demands. Some of the Brands
produced and marketed by the different Divisions
and Business Units of Tata Steel are:
Marketing
Marketing
1 de 31

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Marketing

  • 1. The way companies like Godrej, HUL, Marico & Tata sharpened their competitive edge By, Jerrin Thankachan S2 MBA , MACFAST
  • 2. Godrej in soap • Major brands  Cinthol  No.1  Fair Glow
  • 3. • Follow the policy of – “To deliver value-for-money products”. • There is no dividing line between the urban and rural markets. • Brands are sold in the both markets. • The rural market accounts for 50 per cent of the soap market • Fairglow, India's first fairness soap created marketing history as one of the most successful innovations.
  • 4. • A combination of efforts, including aggressive marketing and distribution, is what helped Godrej keep the momentum of growth going in the last few quarters. • Cinthol ‘ALIVE IS AWESOME’ marketing campaign got a great support • Godrej’s existing brands drive freshness (Cinthol), beauty (Godrej No.1), fairness (Fairglow) and healthy hair (Shikakai). • GCPL, have to monitor the moves of Reckitt and Wipro closely to ensure its second position is not threatened in any way.
  • 6. HUL in toothpaste category • Major brands  Pepsodent  Closeup
  • 7. Pepsodent • Pepsodent , launched in 1993, was the first toothpaste with a unique anti-bacterial agent to address the consumer need of checking germs even hours after brushing. • Pepsodent packs included a Germ Indicator which allowed consumers to see the efficacy in fighting germs . • They launched a campaign widened the context to " sweet and sticky " food and leveraged the truth that children do not rinse their mouths every time they eat, demonstrating that this makes their teeth vulnerable to germ attack.
  • 8. • Pepsodent's most recent campaign aims at educating consumers on the need for germ protection through the night.
  • 9. Closeup • Closeup is the original youth brand of India. The first brand targeting youth in the oral care market, with an edgy and youthful image which stays relevant till date. • Ever since its launch in 1975 Closeup was the first gel toothpaste to be launched in India and has led the gel toothpaste segment ever since. • Closeup became the first Gel toothpaste with Fluoride in the Indian Market! • The brand umbrella also includes Closeup Lemon Mint, gel toothpaste with the whitening benefits of lemon.
  • 10. • The latest entry in the Closeup stable is Closeup Milk Calcium – revolutionary new toothpaste with the goodness of milk calcium.
  • 11. Marketing strategies of HUL for urban India • Adopted TPM to meet zero error zero loss • Focus on short supply chain 4 distribution • To meet every needs of people everywhere • Also use direct selling channel to reach everyone
  • 12. For rural India • For long term benefits, HUL started project stream line • Appointed 6000 sub stockists that directly covers about 50,000 villages and 250 million customers • Integrate economic, environment& social objectives with business agenda • Project shakti ,partnership with self help groups of rural women & covers 5000 villages in 52 districts in different states
  • 13.  HUL prioritized opportunities which build upon the existing assets and capabilities  HUL is more focused on the innovations  It follows direct communication from the customers.  It believes in expanding the portfolio  Each category has a different set of supply chain, production and consumer decision making process associated with it.  HUL has done the process of repositioning the brand  Close-up: Peppermint splash  Pepsodent toothbrush: 25%flexibility
  • 15. Marico in edible oils  Saffola
  • 16. • Marico Ltd, one of India’s leading consumer goods companies, has so far successfully kept up with this increasingly fierce marketplace. • The company operates in 25 emerging countries in Asia, Africa and the Middle East, and has consciously decided not to enter developed markets. • To maintain its market position, Marico attempts to circumvent direct competition with large volume players whilst keeping expenses at a minimum.
  • 18. Saffola’s new mantra of marketing High on recall list of consumer Consumer research
  • 19. Health Benefits  Suffola have „LoSorb Technology’, due to which oil gets absorbed less, reducing oil consumption in your diet.  Suffola oils are ‘Free of Trans fat’.  Suffola contains Rice Bran Oil (RBO) which contains Heart healthy nutrients .  Suffola contains Safflower oil which is a colorless and flavorless edible vegetable oil extracted from the seeds of the safflower & well known for reducing cholesterol levels.
  • 20. Core competence  Product Positioning in Niche Segments  Benefit from Market Expansion  Focus on Core Products and a neatly defined Target Group  Wide distribution channels-access to rural market  Converted commodity into product
  • 22. Tata in steel business
  • 23. Tata in steel industry • Tata Iron and Steel Company Limited, abbreviated as TISCO is an Indian multinational steel-making company headquartered in Mumbai and a subsidiary of the Tata Group. • Its marketing headquarter is located at Tata Centre in Kolkata, West Bengal. • It is the twelfth-largest steel producing company in the world, Tata Steel is a multinational corporation with operations in numerous countries. • Its largest plant is locate in Jamshedpur, Jharkhand.
  • 24. • Assurance, reliability and superior brand experience in every segment have always been the key focus for Tata Steel's brand building endeavours. • In addition, the realigned operating strategy takes into account current realities of the marketplace and enhancement of customer satisfaction and relationships with existing clients. • As opposed to competitors who split and diversify, Tata Steel is focusing on positive markets by applying its resources to the core business where they are most needed. In order to spread the customer base and maximize leverage from the economic packages, special initiatives were devoted to Government funded projects and the Railways.
  • 25. • Several new initiatives have been undertaken to improve customer service in every market segment. • Tata Steel had implemented Vehicle Tracking system (VTS) way back in 2002. In line with the Company’s endeavour to improve customer service, approx 1600 Global Positioning System (GPS) mounted vehicles have been deployed by transport partners of material movement across the Country. This is the largest implementation of GPS enabled fleet in the steel industry. • To bring about improvement in delivery reliability, a billboard has been created and uploaded on CSD webpage to track vehicles on- line, again a first in the Indian Steel industry.
  • 26. • Major drive has been taken to reduce service claims through development of desired infrastructure at Hubs/Stock yards and deployment of specialised vehicles. • In order to create service differentiation, an auto compliant hub has been developed at Chennai. • Standard operating procedures for receipt, storage, handling and delivery of steel materials at all stock points have been implemented. • Tata Steel has created transport parks in Jamshedpur to ease out traffic flow and educate all drivers on safety and health concerns. As a CSR initiative approximately 2000 drivers undergo medical check- up at our facilities every month.
  • 27. • Outstanding performance by the Company’s different divisions have surpassed their own brand standards and created higher quality parameters for each other. • For Tata steel redefining steel has come to mean changing from bulk production to value added premium products at globally competitive prices, optimizing raw material consumption, managing environment by streamlining operations & leveraging information technology for greater market agility. • All this to serve their customers better.
  • 28. • The pricing strategy adopted by Tata Steel is the Market Penetration Strategy • This strategy is based on the assumption that demands for the product is highly elastic. By setting relatively low price Tata Steel has managed to obtain large market share. • The advantage of this kind of pricing is that it discourages competition since there is less opportunity to reap unusual benefits on investment.
  • 29. In an attempt to ‘decommoditise’ steel, the Company has introduced several branded steel products to meet growing market demands. Some of the Brands produced and marketed by the different Divisions and Business Units of Tata Steel are: