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. . I am a B2B manager of this company for April 2010 to March 2011 Submitted to: Mr. Rakesh Chaudhry
Submitted By: Amit Singh PG20082605 Group 1
Objective Reckit Reck itt t Be Benc ncki kise ser' r's s ob obje ject ctiv ive e is to gene ge nera rate te ab abov ove e in indu dust stry ry av aver erag age e prof pr ofit itab able le gr grow owth th by:
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Focu Fo cusi sing ng on bu buil ildi ding ng th the e po powe wer r br bran ands ds in hi high gh growth grow th cat categor egories ies Geogr Ge ograp aphi hic c ex expa pansi nsion on of th the e po port rtfol folio io Continuous Continu ous innovat innovation ion Highe Hi gher r in inves vestm tment ent in bra brand nd bui build lding ing Marg Ma rgin in ex expa pans nsio ion n an and d ca cash sh co conv nver ersi sion on to fu fund nd rein re inve vest stme ment nt in co core re br bran ands ds an and d to gr grow ow re retu turn rns s to sha shareho reholder lders s. Selecti Sel ective ve add- on acqu acquisit isition ions s
Some So me un uncon contr trol ollab lable le situa situati tion onal al fa facto ctors rs that that ar are e fac faced ed by the Reck Re ckit itt t Be Benc ncki kise ser r an and d De Dett ttol ol so soap ap ar are e as foll follow ows s,
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Demand : Al Alth thou ough gh th the e de dema mand nd fo for r Re Reck ckit itt t Be Benc ncki kise ser r pr prod oduc ucts ts is very hig very igh h but wh when en we ta talk lk abou about t th the e de dema mand nd of th the e De Dett tto ol soap so ap th the e de deman mand d is gr grow owing ing in the the an anti tibac bacter teria ial l ca cate tegor gory y.
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Competition : Th Ther ere e wa was s no di dire rect ct comp compet etit itor or of De Dett ttol ol so soap ap at th the e ti time me of la laun unch chin ing g but to toda day y ; tw two o br bran ands ds ar are e dir irec ectl tly y competing Dettol . Safeguard (P & G ) and lifebuoy (Unilever ) are dir direct ect comp competi etitors tors
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Legal these ese are th the e un unce certa rtain intie ties s th that at are /political: th
extreme extre mely ly va varia riabl ble e in th the e pol polit itica ical l co condi nditio tions ns of In India dia . Const Co nstan ant t po polit litic ical al in inst stabi abilit lity y doe does s af affec fect t th the e com compa pany ny in term te rms s of bu buil ildi ding ng ne new w re rela lati tion ons s wi with th ne new w go gove vern rnme ment nts s al all l the th e ti time me.
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Socia So cial l and Cu Cultu ltura ral l fac facto tors rs : th the e com omp pan any y ha has s to be ver ery y
caref ca reful ul in the im imple pleme ment ntat ation ion of it its s pr prom omoti otion onal al ca camp mpaig aigns ns
In the mind of the consumer, antibact ba cter eria ial l so soap ap sh shou ould ld ha have ve th the e following:
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A prod produc uct t wh whos ose e co core re fu func ncti tion on is to cl clea ean n ski sk in, making it so sof fter and smoother, while leav le avi ing a fe feel elin ing g of fr fres eshn hnes ess s be behi hind nd. Go Good od perf pe rfu ume an and d fo foam am co comb mbin ine e to de deli live ver r th this is freshness freshn ess experi experience ence. Like Dettol has given it’ s slogan of “ Dettol prot pr ote ect cts s aga gain inst st a wi wide de ran ange ge of un unse seen en germ ge rms s, in incl clud udin ing g ba bact cter eria ia an and d vi viru ruse ses s”
As per my point of view: A l l Ho s p i t a l s o f t h e C i t y o r T o w n A l l Ho t e l s o f t h e C i t y o r T o w n A l l Sc h o o l o r C o l l e g e s o f t h e C i t y o r Town All Al l Res esta taur uran ant t of the ci citi ties es.
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& Trends •
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R B i s c o n s c i ou s o f t h e c h a n g i n g c o n s um e r n ee d s a n d t re n d s a n d is consta con stantl ntly y con conduc ductin ting g mar market ket rese re sear arch ch to as asse sess ss op oppo port rtun unit itie ies s an and d t h r e a t s . Q u a l i t y o f t h e p r o du ct i s t h e nu m be r 1 p ri o ri t y a s we l l as research on new variants. The next plan pl anne ned d va vari rian ant t is De Dett ttol ol He Herb rbal al soap.
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In India, soaps are ava vai ilab able le in five mi mil llion ret re tai ail l sto tor res, ou out t of whi hic ch , 3 .75 mil ill lion reta re tai il st stor ores es ar are e in th the e ru rura ral l ar area eas s. Ther Th eref efor ore e, av avai aila labi bili lity ty of th thes ese e pr prod oduc ucts ts is not an is issue. 70% of Ind India's pop population res re sid ides es in the rur ura al ar are eas ; henc nce e arou oun nd 50% of th the e soa oap ps are sold in the rural marke ket ts . The major player ers s in Soap market are HLL , Nir irm ma , P&G an and RB RB . The overa rall ll soap marke ket t is growin ing g by 10 % whil wh ile e th the e an anti tiba bact cter eria ial l se segm gmen ent t is gr grow owin ing g by 7%. Hence, there is is a lot lot of of po potential in in th the mark ma rket et fo for r gr grow owth th an and d ad addi diti tion onal al br bran and d penet pen etrat ration ion an and d bra brand nd bu buil ildin ding g.
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De tt ol soa p i s a b ra nd of Rec kit t Benc nck kiser India Ltd and it has bee een n oper era ating in India since 193 933 3. Dettol is the lea ead der in the antisep ept tic ma mar rket with 85 per cent market share. is the No. 1 antibacterial soap worldwide; it is the only bar soap regi re gis ste tere red d wi with th th the e FD FDA A is on one e of Un Unil ilev ever er's 's ol olde dest st brands. Lifebuoy has a market share of 16 %.
Base Ba sed d on th the e co comp mpet etit itiv ive e an anal alys ysis is , Re Reck ckit itt t Ben Be nck ckis ise er found ou out t tha hat t ther ere e are a lot of oppo op port rtun unit itie ies s wh whic ich h wi will ll he help lp th the e Ne New w De Dett ttol ol soap so ap ca capi pita tali lize ze a gr grea eate ter r ma mark rket et sh shar are e. v Ext Exten ensi sive ve Ma Mark rket et Gr Growt owth h v Mar Marke ket t Pe Penet netra ratio tion n and Ma Marke rket t Exp Expan ansio sion n. v Ach Achie ievi ving ng Hi High gh Gr Gros oss s Ma Marg rgins ins v Hig High h Cu Cust stome omer r Ser Servi vices ces an and d Sa Sati tisfa sfact ction ion v New Pr Produ oduct ct De Devel velop opmen ment t and En Entre trepr prene eneur urshi ship p. For Ex. New Ne w De Dett ttol ol Fr Fres esh h [St Stay ay Pr Prot otec ecte ted d, Sa Saty ty Fr Fres esh h wi with th ne new w De Dett ttol ol] •
T h e p r o d u c t is o f f e r e d i n 5 v a r i a n t s ( 2 skus – 115 Gm Gms and 70 Gm Gms): Original: Co Cont ntai ains ns es esse senc nce e of th the e De Dett ttol ol
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antise ant isepti ptic c solutio solution n Skincare : Co Cont ntai ains ns mo mois istu turiz rizer er fo for r Sk Skin in care. Active : Co Cont ntai ains ns Ac Acti tive ve cl clea eani ning ng ag agen ent t fo for r Active Act ive cle cleani aning ng. Fresh : Co Cont ntai ain ns Fr Fres esh h sce cent nt fo for r a Fr Fres esh h feeling. Sensitive : Con Contai tains ns Ski Skin n-friendly friendly ingr in gred edie ient nts s fo for r Se Sens nsiti itive ve sk skin in.
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Dett De ttol ol is po posi siti tion oned ed as a pr prem emiu ium m br bran and d wh whi ich the th e mot mother ch chooses fo for 100 100 % pro rot tec ecti tio on agai ag ain nst al all l ge germ rms s an and d ba bact cter eria ia fo for r he her r fa fami mily ly .
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The Th e pr prim ima ary po posi siti tion onin ing g vi vis s a vi vis s pr prod oduc uct t attr at tri ibu bute te is th that at De Dett ttol ol So Soap ap ha has s th the e es esse senc nce e of De Dett tto ol Solution, the no . 1 antis ise eptic brand in th the e wo worl rld d tr trus uste ted d by fa fami mili lies es ev ever eryw ywhe here re for fo r ove ver r a ce cent ntur ury y.
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As Dettol is a premium brand , it is priced at a prem pr emi ium to it its s co comp mpet etit itor ors s (Sa Safe fegu guar ard d an and d Lifebuoy).
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Detto tol l soap is pr pri iced at reta tai il pri ric ce of Rs. 38. 00 (115 gms) and Rs. 26. 00 ( 70 gms) which is at a premium of Rs 3 and Rs. 2 to its competition Safeg fegua uard rd an and d Lif Lifeb ebuo uoy y). (Sa
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RB give a special trade offer on Dettol Soap of 2 % d u r i n g t h e s u m m e r s e as o n so a s t o p u s h t o prod pr oduc uct t in into to re reta tail il an and d an ad addi diti tion onal al di disc scou ount nt of 4 % to wh wholesalers to to max maximize lo loading in in the th e ch chan anne nel l an and d im impr prov oved ed di dist stri ribu buti tion on wh when en dem de mand (cons nsu umer pull) is max axi imum. In addition, for the months of June to August – RB runs ru ns a sp spec ecia ial l co cons nsum umer er pr prom omot otio ion n pa pack ck of th thre ree e Dettol Soaps ( in one package) with a Rs. 19 price off of f on a pur urch cha ase of thr hree ee soa oap p bars.
There Ther e ar are e 2 pr prim imar ary y ch chan anne nels ls of di dist stri ribu buti tion on fo for r Dettol Dett ol soa soap p:
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The com compa pany ny se sell lls s th the e pr produ oduct cts s to it its s ap appo poin inted ted di distr strib ibut utor ors s and su sub b di dist strib ribut utors ors th that at are re respo sponsi nsibl ble e fo for r the distr dis tribu ibuti tion on of pr pre e -defin defined ed geo geogr graph aphic ical al ar area eas s wh who o distr dis tribu ibute te it fu furt rthe her r to who whole lesa saler lers s an and d /or ret retail ailer ers s.
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The com compa pany ny pr prov ovide ides s dir direct ect de deliv liver ery y to se sele lect ct la larg rge e custo cus tomer mers s li like ke in insti stitut tutio ional nal bu buye yers rs of ke key y ac acco count unts s which which sell se ll direc directl tly y to the cons consum umer er or to small small retai retaile ler rs / en end dconsumer .
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The fiv The ive e va vari rian ant ts pro rovi vid de an id idea eal l p r o d uc t m i x i n t e rm s o f c on s um er n e e d s i . e . O r i g i n a l w it h D e t t o l Solu So luti tion on, Sk Skin inca care re wi with th mo mois istu turi rize zer r, Acti Ac tive ve wi with th ac acti tive ve cl clea eani ning ng ag agen ent t, fres fr esh h wi with th fr fres esh h sce cen nt an and d Se Sens nsit itiv ive e for sensitive skin. A new launch of Dettol Herbal Soap, which takes the tally of soaps to six variants.
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Repo posi siti tion on De Dett ttol ol so soap aps s ra rang nge e as a pr pref efer erre red d “Re ever ev eryd yday ay us use e so solu luti tion on fo for r th the e wh whol ole e fa fami mily ly”
Announce new & improved Dettol soap. Pr Prot otec ecti tion on ag agai ains nst t a wi wide de ra rang nge e of un unse seen en ge germ rms s ncl luding bacte ter ria & viruses). (inc Better ex experience ( lather / perfume / feel- on- skin). Show all 5 variant nts s of new Det ett tol so soa ap.
DETTOL DETT OL pref efer ers s TV be beca caus use e of th thei eir r ph phil ilos osop ophy hy th that at; HEAL ALTH TH AN AND D HY HYGI GIEN ENE E AL ALWA WAYS YS CO COME MES S FI FIRS RST T.” “HE
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over ov er 12 mi minu nute tes s pe per r ch chan anne nel l pe per r day
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Dettol Dett ol so soap ap ha has s a ve very ry ag aggr gres essi sive ve ap appr proa oach ch in prin pr int t ad adve vert rtis isin ing g wi with th th the e la laun unch ch of th the e ne new w De Dett ttol ol soap so ap ad ads s ap appe pear ar in al almo most st al all l th the e le lead adin ing g ne news wspa pape pers rs aroun und d the coun unt try e.g. Ti Time mes s of India, Da Dai inik ja jagr gra an HT etc.
Detto tol l soa oap p is a Rs 1 bil illi lio on bra ran nd annual all ly and so the mar marketing bud budget all allocated to it ap approx 20 % of total to tal Ne Net t re reven venue ue.
For Fo r th the e ye year ar …..
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2011 Adver Adv ertis tising ing Str Strate ategy gy ::-
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Main target for the year is Hospitals, Hotels and Big colleges. For them •
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we going to road ro ad sh show ows s. Distrib Dis tribute ute Fre Free e Sample.
I n c as e o f H o t e l s w e o f f e r t h e m disc di sco oun unt t on ou our r be best st se sell lli ing pr pric ice e. Or we offer them 4% discount on p r o d u c t f o r w h o l e y e a r, w h i c h w e offer to our whole sellers.
Budget for the year … •
In ca case se of ad adve vert rtis isem emen ent t.. Activity
For Fo r Sh Show ows s
Amt. Per Total activity 40,000 (3 times) 1,20,000
For sam For sample ple 1 0 000 ( 6 t ti imes) distribution For Kio Kiosk/ cafe 20000 (3 ti times)
TOTAL
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60,000 60,000 2,40,000
Sales Forecast for the Year … For the Year… In 1st Month we are going to adve ad ver rti tis se in al all l tar arg get eted ed ar are eas. But after 1st Month our target is a t l ea s t 1 0 Hospitals Hospi tals/Hotel/Inst Instituti itutional onal area per pe r mo mont nth h. I t m ea n s i n w h o l e y e a r o u r t a r g e t is near about 100 to 150 institutes. W h i c h a r e re a d y t o u se o n l y D e t t o l products.
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Sales of the year Customers Unit Units s pe per r Units in a Pe Per r un unit it Total month year cos ost t (Aft fte er Discount) Hotel (100 Soap: 100 Soa oap ps: 1100 19. 20 Rs. 21,12 120 0 Rs. rooms) units Liquid: 38. 40 Rs. 63,36 360 0 Rs. Liq Li quid: 150 1650 Hospitals units Soap: 200 Soap: 2200 19. 20 Rs. 42,24 240 0 Rs. units Liquid: 38. 40 Rs. 84,48 480 0 Rs. Liq q uid Institutes Li Soap So aps s :50200 2200 Soap: 550 19. 20 Rs. 10 1056 560 0 Rs. units units Liq iqu uid: 550 38. 40 Rs. 21,12 120 0 Rs. Liquid Liq Total 2,42 42,88 880 0 Rs. -----uidss 50 Soap: 3850 -----Units Liquid: 4400
This Th is is th the e es esti tima mati tion on of
only on ly one one in inst stit itut utes es of
ever ev ery y se segm gmen ent t ….
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Total Exp. On the Advertisement in a year… (Rs. 2,40,000) + Extra Expenses ( R s . 60 , 00 0 ) I n co me o f t h e y ea r … F r om 3 inst in sti itu tut te ave vera rage ge in inc com ome e (Rs. 2,40,000), Our estimation for sale is 5 0 t o 6 0 i ns t i tu t es . So in income is is (2,42,480 * 50 = 1,21,24,000)
Profit = 1,21,24,000 – (3,00,000 + Manufa Man ufactu cturin ring g cos cost t)
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Lets assume for Soap its 18 Rs . Liquid its 36 Rs . The Th en To Tota tal l un unit it Soap: 3850*50 = 1,92 ,500 *18 = 34 ,65 ,000 Liquid: 4400*50 = 2,20,000 *36 = 79 ,20 ,000 Total Tot al Ma Manu nufa fact ctur urin ing g co cost st : 34,65,000 + 79,20,000 = 1,13 ,85 ,000
1,21,24,000 – (3,00,000 + 1 ,13 ,85,000 ) =
4,39,000Rs .
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