launching a new shampoo

Company

LOGO

SUPER SHAMPOO

Introduction

Suresh Venkataraman a successful marketer in Southern part of India.

He was Fascinated by the power of consumer products in “ Rural Market”.

He decided to launch a new cosmetic product with a brand named “Super Shampoo”

He wanted to make this brand successful but with limited fund.

FMCG Facts In India

Household Care Laundry, Soaps & detergents, floor cleaners etc.

Personal Care Oral care(tooth paste/tooth powder & tooth brushes), Hair Care(hair oil, Shampoo)etc.

Food & Beverages Cereals, Bakery products, tea, coffee, dairy products.

Source: www.ibef.org

Bharat Vs India

Mission 101.1 Target low to reach on top. Still deprived of luxury

goods. First “BHARAT” then

“INDIA”. Want less for more.

Emerging INDIAIncome Per Year Households (in

Millions)

Less than Rs 90,000

101.1

Rs 90,000-Rs 200,000

91.3

Rs 200,000-Rs Rs 500,000

10.8

Rs 500,000-Rs 1,000,000

2.4

More than Rs 1,000,000

1.2

Source: "The Marketing Whitebook," BusinessWorld, 2007-08

Power of “S”

Invention of sachets “revolutionized “ the

FMCG market. It opened B2C untapped

market in rural areas. Unaffordable products

became affordable for common people.

Luxury comes in “Sachets”. Reduced overall cost.

Market Leader In Hair Care

Clinic Plus39%

Head & Shoulder

22%

Chik31%

Sunsilk3%

Clinic All Clear3%

Pantene1%

Other1%

Brands Used

Affecting Factors

POLITICAL

1. Transportation and infrastructure development in rural areas helps in distribution network.

2. SEZ policies in rural

areas

ECONOMICAL

1. The FMCG sector is a 4th largest sector of Indian

SOCIAL

1. Rural employment

2. Volume-driven growth in rural market.

3. Major young population can increase revenue .

TECHNOLOGICAL

1. Technology has been

simplified and available in the

industry.

2. Foreign players helps in

high technological development.PEST

Analysis

STRENGHTS

1. Low operational

costs

2. Established distribution networks in

both urban and rural areas.

3. Presence of well-known brands in

FMCG sector.

WEAKNESS

1. Lower scope of investing in technology and achieving economies of

scale.2. Low exports levels

3. Counterfeit Products.

OPPORTUNITIES

1. Untapped rural market2. Rising income levels

3. Large domestic market-.4. High consumer goods spending THREATS

1. Slowdown in rural demand

2. Tax and regulatory structure

SWOT

Analysis of 4P’s

Product Price

Place Promotion

Packaging

WHY SUPER Shampoo?

Product Super shampoo will be

based on “Shikakai”. Characteristics of producing

more foam. Jasmine Essence

Price 1Rs shampoo to target lower

income group. “More for Less” Strategy. 50% more for 1Rs. Competitive Price

comparing with other brands.

Continue…..

Place Untapped “rural market”. 160million households. Major player of economic

growth. Business of around US$ 425

million.

Promotion “Super” the name itself. Retailers are the biggest

promoters Following “Word-Of-

Mouth” Strategy. Indirect Advertisement by

others.

5th P- Packaging

Costly bottles. Help in reducing cost. Attractive Packaging. Easy recognition. Easy to carry & transport.

Conclusion

Success

Super Shampoo

Sachet

“Value for Money” proposition

Supported by distribution penetration

“Word-of Mouth” publicity.

More for less strategy.“Win-Win” situation.

Thank You