Group 10
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Topics Marketing Mix Of Parachute Coconuts Hair oil
• Background • 4Ps (Marketing Mix) – Product – Price – Place – Promotion
• STPD • Success and Failure 2
Parachute – Parachute – The Brand Portfolio Parachute
Coconut Oil
Creams / Shampoos/ Gels
Oil Variants
Parachute Advansed Parachute Jasmine
Parachute Therapie
Parachute Night repair Cream
Parachute Advansed Starzz
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Background - Marico • 1862 – 1862 – Kanji Morarji started a small trading business in Mumbai • 1948 – 1948 – Bombay oil industries setup by Mariwala family • 1990 – 1990 – Marico industries Ltd formed
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Parachute – Parachute – Shudhta Ki Shakti • • • •
First Branded coconut oil in the country Journey began 4 decades ago Switch from Coconut oil in Tins to Plastic 1996 – 1996 – Makeover at 2 levels – Rational - Nourishment, proteins and vitamins – Emotional - Nurturing, caring and mothers mothers love • Coconut Dream centre (R & D) was formed to work on possible extensions of Parachute brand • Market Share of 48%
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STPD Product
Segmentation
Parachute Coconut Oil
Hair Care
Target
All classes
Positioning
Differentiation
Purity
Packaging Weight test
Parachute Advansed
Hair Care
Working Women
Strong hair
Parachute Jasmine
Hair Care
Parachute Therapie
Parachute Advansed
Light
Young and appearance conscious consumer
Non Sticky
Hair Care
Image conscious, Metrosexuals
Hair fall solution
45 Days therapy
Hair Care
Children
Gentle Shampoo
Fun filled fragrance (Strawberry)
Fragrant
Light Fragrant
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Products •
Parachute coconut oil – Premium edible grade coconut oil – Positioned on the platform of purity – Innovations in packaging for user friendliness and aesthetics
•
Parachute Advansed – Contains essential oils of ylang-ylang to give it a rich and deep fragrance – contains essential oils of ylang-ylang to give it a rich and deep fragrance – With regular use hair strength is known to increase by up to 16% – When applied pre-wash, pre-wash, Parachute P arachute Advansed reduces protein loss up to 28% and restores the health of hair
•
Parachute Jasmine – Light, fragrant oil that can be used everyday to nourish and style your hair fl owing and fragrant hair – Gives healthy, non-sticky, free flowing
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Products (..cont’d) •
Parachute Aftershower – – – –
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Non-sticky Anti-dandruff, Works 24x7 Makes hair 50% stronger Styles hair
Parachute Therapie – Unique scientific formulation – Developed after 6 years of intensive research, product development and consumer trial – helps control hair fall naturally
•
Parachute Advansed Starz – – – –
Made from natural ingredients Coconut Proteins - For gentle nourishment Vitamin Shakti - Fortify and strengthen hair Strawberries - A yummy fragrance that children love.
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Pricing • Major factors impacting pricing • Copra and oil seed input costs • Packaging costs • Competitors • Pricing Method – Competitive – Promotional pricing (20% extra) •
Pricing Strategy – Economy / Value??
Durin g Q3FY09, Q3FY0 9, Copra prices r e m a i n e d f i r m , t h ey ey were hig her 30% YoY. To o f f s e t t h e s h a r p rise, Marico u n d e rt rt o o k p r i c e increase 5% increase i n t h e r e t ai ai l p r i c e s o f P ar a r ac ac h u t e i n A u g u s t 2 00 00 8, 8, i n a d d i t i o n t o a 5 % p r i c e i n c r e as as e i n i t i a t ed e d i n A p r i l 2 0 08 08 9
Pricing Product
Prices
Parachute Coconut oil
500 ml - Rs 90 200 ml - Rs 39 20 ml - Rs 5 Mini - Rs 1
Parachute Advansed
375ml – Rs 80 212.5ml - Rs 48 80 ml – Rs 27
Parachute Jasmine
300 ml – Rs 72 150 ml – Rs 46 100 ml – Rs 29
Parachute Aftershower
150 ml – Rs 80 (Antidandruff) 50 ml – Rs 37 (Antidandruff) 150 ml – Rs 62 (Regular) 50 ml – Rs 35 (Regular)
Parachute Therapy
190 ml – Rs 190 100 ml – Rs 99
Parachute Advansed Starzz
100 ml – Rs 54
PLACE •
Channels – Channels – – Distributors – Distributors – Retailers – Retailers – Consumers – Retailers includes - Kirana Stores, Supermarkets, Medical Shops, Co-operative Stores etc.
•
Coverage – Coverage – – International
– All India market
• Bangladesh • Middle East • Egypt
• Urban • Semi-urban and • rural markets - primary focus.
Marico’s Distribution Ntwork in India
Urban
Rural
Sales Territories errito ries
135
35
Towns Covered (‘000's)
3.2
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Distributors
850
Super Distributors
-
120
Stockists
-
3,600
Retail Outlets
Reach
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Place : Distribution Chain
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Success • Relevance to the New Age Consumers through Innovation in Packaging and New Product Development • Parachute - achieved a volume growth of about 8% in volume over Q3 FY09 in rigid packs • Parach Parachute ute’s ’s shar share e in the coconu coconutt oil oil categ category ory for the 12 months ended December ’09 was 45.9%.
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Failure •
PARACHUTE STARZ STARZ - Shampoo for Kids category Diversion from Core Product Offering TV commercial – commercial – insufficient Buzz about the Product amongst the Kids Print Ads & ads on Bus Shelters failed to market the product adequately.
•
Parach Parachute ute’s ’s Brand Brand Equity Equity did did not not work work in the the Bran Brand d Extens Extension ions s like like Hair Hair Gel, Gel, Shampoo and Hair Cream + Gel –
Parachute :After Shower Hair Gel The Yuvi – Yuvi – Shreesanth Ad – Ad – Impression Ek din me nahi banta Parachute Cream Gel: Mother & Son Ad - Starz Cream Gel - Health + Style
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Promotion Print Media - Magazines, 2 day print adds for parachute therapie, therapie, news papers. Wall painting Endorsement by celebrities like Deepika Padukone, Diya Mirza, Yuvraj, Sreesanth Television - 1 hr champi kiya, Gorgeous Hamesha (parachute Advansed) Radio - 45 Day hair fall solution,- parachute therapie Sales promotions - 20% extra , festive season promotion Internet Advertising- facebook Mall branding
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Cont…. • • •
Rural add campaingns- Parachute Anti Loose Oil Rural Campaign Bangladesh, Convert loose oil buyers into Parachute pouch customers-Tamilnadu Success stories of add campaingns
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25% conversion from loose coconut oil usage to Parachute Pouch Pack,
•
Van campaingns in the villages with more than 100000 population
• Anti loose oil A total of 12,061 courtyard meeting, 1070 Baul performances performances and 490 school campaigns were conducted to reach 25,98,311 rural audiences. Hair therapie- one day print add (Delhi) 75.3% of the registered customers were sattisfied sattis fied with the concenpt of 45 days therapie
Cont…
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