History of Dettol

April 2, 2018 | Author: Nalla Nallathambi | Category: Market Segmentation, Brand, Promotion (Marketing), Hygiene, Profit (Accounting)


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It has operations in over 60 countries and its products are sold in over 180 countries Decision to launch. liquid hand washes. The brand has stayed contemporary through the launch of new products and offered consumers a breadth of products across categories that can help protect them from germs. . shower gels and antibacterial wipes. It was launched in 1933 in US as Dettol. Formed in December 1999 from the merger of Reckitt & Colman plc and Benckiser N.V. United Kingdom. These include bar soaps.400 Cr. 2007. hand sanitizers.30 Cr. As the world's leading brand of antiseptics and a trusted champion of family health. 1932. by the name of PCMX. the germicide Launched in India in 1936 Turnover: 1991.HISTORY OF DETTOL: Reckitt Benckiser plc is a British multinational consumer goods company headquartered in Slough. Dettol products offer a high standard of germ kill and are recommended by healthcare professionals for their proven ability to keep families healthy. Thus these types of personal care products are targeted to the particular peoples only. With the increase in education and income of the peoples their need for the personal care has also increases. Social It is the main factor when since it comes under the premium soap category. The political Environment in India is changing day by day and they were entertaining new entrants by giving concession on sales tax and they were also giving some incentives to open their soap industries in India all this will adversely affected the sales of the LUX soap industry. The soap producers are also playing lobbying with agencies of government to reduce their production cost. .MICRO AND MACRO ANALYSIS Political There was time when soap industries were under the restriction of raj but after the declaring a new PM Rao government there has been greater competition between the organized sector and unorganized sector. Economic In India soap cost very high as compared to the countries like Indonesia. in Indonesia soap cost 5 INR for 100 gms of a pack but in India it cost 15 INR so for that reason consumers are slightly move to buy the cheap soap because consumers always have rational thinking for the buying behavior. For E. Change in the consumers habits for buying a particular product will also be affected. there has been growing trend in India for adopting western culture of peoples it will very difficult for the LUX soap to survive in this competitive market because new entrants are entering with substitute product like body wash and face wash for all this reason sales of LUX soap has affected sharply. In addition. However.G. Dettol has come up with the antiseptic liquid for laundry. Its of a very universal nature. wounds and cuts. It appeals to the customers who expect a solution with very effective antiseptic properties for cleaning wounds. . Single type of antiseptic liquid for all markets like: household. laundry. so targeting is done keeping in mind the entire section of consumers irrespective of their markets. They are targeting literate people. Behavioural Segmentation: It had targeted both the brand and category users with its “Aapka Dettol KyaKya Karta Hai” campaign. Product specialization – Single product type for all markets. hospitals. and house cleaning.SEGMENTING DEMOGRAPHIC: FAMILY LIFE CYCLE Dettol soap segmentation for family life cycle is no segmentation at all. ranging from 50ml to 500 ml. They have various packing’s for different types of consumers on the basis of quantity consumed. etc. Many hospitals and clinics use it for secondary purpose in semi-urban areas and small towns. TARGETING: They targeted first aid use in households in urban areas. unhygienic. So for the hygiene seeking consumer . and bacterial. Mothers use it for washing household‟s clothes. laundry. and house cleaning. Everyone from a kid to the grandfather can use the antiseptic liquid for various purposes. Psychographic Segmentation: Dettol has segmented our modern days lifestyle which is more outdoors. It‟s a product for the whole family. “Always Stay Protected” Dettol covers whole segments in terms of age. skincare. it‟ll be impossible to miss out the influence of pricing in market capitalization. This sign of the recommendation of IMA makes Dettol more secure and safer.Indian Medical Association. And the diversification of dettol's products into the four categories. increased the customer base of the company because each one of its product is quality-wise different and caters the needs of different people in a much diversified country like India where preferences differs vividly. and geographical area Packaging “green and white” associated with Hospitals and clinics. THE 4Ps OF MARKETING FOR DETTOL: PRODUCT When we start talking about the products of Dettol. Has 83% share in market. FMCG market is generally a very price sensitive market and the effects of increase or decrease in pricing will directly affect the presence of a firm in the market. PRICE: Pricing is one area where Dettol has been consistent.POSITIONING Tag line. earlier they entered the soap market only with one soap and that is the Dettol Original. gender. Now almost they are on the same page with the other competitors' pricing. cool and fresh have in-fact. Dettol‟s packaging is distinct in its very own way. And if the market share in this industry should be studied. the first thing that strikes a chord in our mind is that “Dettol means secure” and we are “100% sure” about that. . The third is the „clouding‟ effect that appears when it is added to water. The second characteristic is its amber gold colour. All their brand products had a very good premium pricing strategy. which led them into fierce price wars with other able competitors like lifebuoy and savlon and others. The green & white colours are associated with hospitals. Actually the heavy competition in the sector forced Dettol to reduce their prices. original. Dettol soaps always come with a recommendation from IMA. Dettol.  Use in washing laundry to disinfect your clothes. in rainy and winter seasons. it has a very strong influence in the market. the effect of economy on the product is comparatively less. And it has been observed that the sale of Dettol is kind of dependent on market conditions. And all the Dettol ads released so far have never been caught in slandering which steps on other brands to endorse their own brand. Later on they developed themselves into a company who is ready to deliver products to almost all range of customers in the industry itself.PLACE: Place in marketing refers to the market and the market conditions. which has many uses for protecting your family from germs Use with bathing water for a completely germ-free bath. the Dettol initiatives like Mother's day(skincare). In the initial days the target customers of Dettol were only the people who require antiseptic soap as necessity.  Use with mopping water to disinfect floors completely. PRODUCT FEATURES Dettol soap is a versatile product. And the tag line of Dettol is something which every person who has seen TV will recognize. when there is a change in weather. people start buying more of Dettol product.“Be 100% sure”. PROMOTION: Promotion is a marketing term which refers to advertising and endorsement of the product. Each day is a global hand wash day have captured the attention of viewers and customers and have also ensured the customers that Dettol is something which everybody can trust at anytime. The diversification of products helped them in increasing their customer base heavily. Since Dettol is safely into FMCG sector. Say. . As far as Dettol is considered. Dettol's advertisements have been always emphasizing only on cleanliness and safety. And moreover. For detailed usage instructions see back label of product. DETTOL INGREDIENTS Ingredients Water Isopropyl Alcohol PinusPalustris Oil RicinusCommunis (Castor) Seed Oil Chloroxylenol Sodium Hydroxide Caramel PRODUCT LEVELS: Function Diluents Solvent Other None None pH Adjuster None . Available in a wide range of sizes from 50 ml to 500 ml. Dettol Antiseptic Liquid must always be used diluted with water. For first aid and personal care uses. high operational costs etc. Due to this in majority of cases during introduction phase products tend to contribute negligibly towards profits.  Basic Product: Dettol Antiseptic Liquid mainly comes in pockets and is Blue. orange in colour. . PRODUCT LIFE CYCLE  During an introduction phase of product life cycle . Core Benefit: Dettol soap acts as an Antiseptic Solution to consumers for hygienic purposes. The consumers await the burning sensation when applied on cuts. expense involved in promotional activities.  Potential Product: Dettol can come up with various new products such as antiseptic shampoos. there are many costs involved in order to introduce the product into the market. oils and antiperspirant deodorants as well.  Expected Product: Dettol Antiseptic Liquid is supposed to provide antiseptic relief to consumers.  Demand has to be created. .  Increase in competitors entering the market.  Competition begins to increase with a few new players in establishing market.  Sales volume peaks and market saturation is reached. MATURITY STAGE  The Maturity Stage is the time when most profit is earned by the market as a whole.  Costs are lowered as a result of production volumes increasing and experience curve effect.  Public awareness increases.  Prices tend to drop due to the proliferation of competing products. Costs are very high.  Profits rise due to an increase in output (economies of scale)and possibly better price.  Introduction of new distribution channels.  Technology is unproven and not standardized.  Increased competition leads to price decreases.  Brand differentiation and feature diversification is emphasized to maintain or increase market share. GROWTH STAGE  The Growth Stage is characterized by rapid growth in sales and profits. Returns decline.  Profit becomes more a challenge of production/distribution efficiency than increased sales.  Prices. MARKET SHARE Dettol .  Sales volume decline.Market Share 100% 80% 60% 40% 20% 0% Antiseptic Soap Liquid soap Product Segments % Market share . profitability diminish.  Products tend to lose their brand power and become commodities.  Investment and capital practically cease.DECLINE STAGE  Costs become counter-optimal. 5 70g 36 70g Price 16 26 Price 55 Price 22 37 MARKETING COMMUNICATION METHODLOGIES: Television is the primary medium for advertising for Dettol soap.COMPETITION Soap Dettol Savlon Medimix Quantity Price Quantity Price Quantity 75g 16 75g 12 75g 125g 24. new soaps etc appear in almost all the leading newspapers around the country. “HEALTH AND HYGIENE ALWAYS COMES FIRST.5 125g 17 125g Liquid Soap Dettol Fem Quantity Price Quantity 250ml 55 250ml Shaving Cream Dettol Old Spice Palmolive Quantity Price Quantity Price Quantity 30g 24. with the launch of any new Dettol product e. dettol prefers TV because of their philosophy that. When it comes to advertising.5 30g 19. The next priority of DETTOL SOAP is Print media. The . CONSUMER PROMOTION Dettol soap also provides additional support by giving away various consumer promotions to provide the consumer with the extra value benefit.” Thus TV is the best media. as you can show how Dettol soap keeps you hygienically clean and protected and gives you daylong protection from body odors.g.5 30g 70g 37. THREATS Other main players in the antibacterial soap category (Safeguard and Lifebuoy) have positioned their brands for everyday use against bacteria – Dettol soap positioning lacksthat desired everyday benefit and experience . Some uncontrollable situational factors that are faced by the Reckitt Benckiser Pakistan and Dettol soap are as follows. MARKETING STRATEGY: Dettol Soap is a major consumer able item and there is a huge demand and potential in this market particularly the anti – bacterial segment.consumer promotion introduced by Dettol soap was that on a purchase of three soaps the consumer will get a saving of Rs 19. As a result. The consumer promotion is as under. Social and Cultural factors: The company has to be very careful in the implementation of its promotional campaigns. SWOT ANALYSIS: STRENGTH The brand is Germ-Kill heritage Strong and adds worthiness Excellent for treating skin irritations Loyal follows “Original” WEAKNESS Shape is not user friendly No Awareness of Variants No perceived as a dynamics Communication not engaging OPPORTUNITY Leverage the powerful brand equity associated with the Dettol Brand to make Dettol Soap an everyday use proposition. Demand: Although the demand for Reckitt Benckiser products is very high but when we talk about the demand of the Dettol soap the demand is growing in the antibacterial category. The anti bacterial market segment has grown year on year by more than 7 % percent due to increased consumer awareness and education on the benefits of antibacterial soaps. The market share of Dettol soap is more than 10 % in Pakistan out of the Rs 11 billion soap market. the pie is growing bigger every year. since the social cultural environment of Pakistan is very conservative and any suggestive advertisements usually face a lot of negative reaction on the part of the consumer. PRODUCT MIX PRICING STRATEGY: Geographic Pricing Premium Pricing Discount and Allowances Price v/s non price competition Dettol soap is priced at retail price of Rs. .00 (115 gms) and Rs. 38.00 (70 gms) which is at a premium of Rs 3 and Rs. 26. 2 to its competition (Safeguard and Lifebuoy). . Access to media for children in rural areas is often limited to radio programs. and informal women‟s group meetings are prime areas to capture the mothers‟ attention. Health centers and community health workers are the most trusted channel of communication on issues to do with hygiene or health.Discounts and allowances RB give a special trade offer on Dettol Soap of 2% during the summer season so as to push to product into retail and an additional discount of 4 % to wholesalers to maximize improved distribution when demand (consumer pull) is maximum. radio is the most commonly used and accessible source of information. Urban kids have greater access to TV. Geographic pricing strategy Dettol soap followsuniform delivering pricing (the same delivering price quoted to all buyers regardless of their location) CHANNEL OF DISTRIBUTION MANUFACTUR ER AGENTS DISTRIBUTOR RETAILERS CUSTOMERS Overall. Teachers are the most trusted channels of communication in the school context. Places of worship. In addition. for the months of June to August –special consumer promotion pack of three Dettol Soaps (in one package) with a Rs. But children‟s exposure to any communication through radio and TV is limited to weekends and holidays. 19 price off on a purchase of three soap bars. Television (TV) accessibility is limited to urban areas. market days. they declared on their label to be effective in removing the germs.and school-focused campaign. CONCLUSION Dettol tops the overall ranking followed by Lifebuoy & Chandrika as most effective in the antibacterial properties. In schools children are also taught hand washing as part of the concept of hygiene. The parents would support this behavior at home. the HWWS campaign cannot work in isolation. Therefore. To conclude Fem is the best value for money as being one of the top performers as well as lowest priced as compared to others. teachers. • The campaign should adopt an integrated approach to incorporate the Ministry of Education. who have a large consumer base. . • The communication program should be based on aspiration messages to connect with children and use peer group education. did not perform up to the mark because they did not contain TCN. such as deforming. Curiously enough. It is surprising that Dettol and Palmolive. Practical Action is in the process of developing dispensers that are designed for hand washing in school.FINDING RECOMMENDATIONS There is need for a community. it requires to be integrated into the whole concept of hygiene in school and existing related programs. This will ensure that soap is incorporated in the school budgets or a provision is made where the parents can be encouraged to contribute. • The project should partner with other stakeholders who can prepare dispensers that minimize soap wastage. • Several other related programs are ongoing in schools. Teachers also relate to hand washing as part of hygiene. and parents. But as we discussed they did not "Kill" the germs. A schoolbased campaign should consider the following: • Soap used in the school should be in liquid form. which might make them safer for their environment.
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