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Lux : Celebrating BeautyBrand : Lux

Company: HUL

Lux is a super brand that celebrated beauty across the world since 1925. The soap which

was endorsed by the beautiful film stars came to India in 1929. Lux has been the largest

selling personal wash brand in the country.

Lux has effectively managed its PLC through careful brand building and changing the

product in line with the changing consumer. The brand is being positioned as the

favorite soap of Film stars has been consistent in terms of communication and

positioning. The brand is also the classic example of successful celebrity endorsement.The first celebrity to endorse the brand was Leela Chitnis . From Leela to Aishwarya ,

From Madhuri to Madhubala, Lux has been endorsed by more than 50 film stars ( a sort

of record isn't it). But in all these communications, the celebrity never shadowed the

brand.

Lux was always changing with the times. Whether it be in terms of the product or in

terms of promotions, the brand kept the consumers excited. Lux has two basic

extensions in terms of segments. Lux beauty soap and International Lux.Lux was initially a premium brand. Lux was being projected as an aspirational brand

and the endorsements by stars further reinforced the positioning. The increasing

competition in the soap category forced Lux to rethink on its targeting strategy. The

brand had a choice either to compromise on market share and uphold the premium

positioning or to retain the market share and dilute the positioning. Lux wanted to

ensure that the brand be positioned as premium but also did not wanted to compromise

on the share. Thus born International Lux which is the premium variant and the

affordable segment was catered by Lux beauty soap.Lux beauty soap is available in Four variants : Exotic Flower Petals, Fruit Extracts,

Almond and Sandal. Lux has a common ingredient of Milk cream in all the variants.

Although the brand enjoyed success and has sustained its leadership position, of late

this brand has been facing issues of stagnation. The stagnation is caused by the plethora

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of brands competing for the market share and the scope for differentiation has reduced

to almost nil. Together with the rush for celebrities to endorse anything from salt to

cars, Lux is finding it difficult to sustain growth in this cluttered market.

In 2005 Lux celebrated its 75th anniversary sparking of a controversy. Deviating its

tradition of roping in Bollywood Divas , this time none other than Shah Rukh Khan

endorsed Lux. The ads created instant controversy with marketers discussing whether

the brand has suddenly become MALE. Paul Newman also has endorsed Lux soap which

shows that Lux makes such stunts to excite the market. Whatever be the controversy,

the brand again succeeded in creating excitement in the market. Some argue that HLL

was testing a new positioning to appeal to male users while others say that it was a one

time endorsement to break the clutter. For marking the 75th year Lux came out with a

celebration range endorsed by Kareena Kapoor . The Celebration range too created news

because of its variant : Chocolate Seduction. These innovative products created lot of

excitement that ensured that Lux remained in the top of mind of the consumers.

Another variant which was introduced was the Lux with Orchid which looked cool in

terms of packaging and looks.

Over these years, the positioning of Lux also evolved. Earlier the brand used the

positioning " Beauty soap of Film stars" . But as the customer evolved, the positioning

lost its charm because customers began to doubt whether the film stars actually used

this brand. Taking a cue from the customers, Lux changed the positioning appealing to

the need for becoming a star. The new positioning is communicated with the tagline

-Bring out the star in you."Although worldwide the brand is being endorsed by film

stars, the actual package usually contains picture of international models and not film

stars.

Lux, will launch its new variant Indulgence which is a pale peach colored translucent

soap with tiny, glittering pearly beads sprinkled evenly and visibly across the translucent

soap. It is made of extracts of peach and avocado and contains glycerin that helps to

keep the skin soft, supple and moisturized. The beads of glittering pearls acts as an

agent to enhance the smoothness of the skin and keep it glowing and radiant all day

through.

Lux wants the agency to make fresh and innovative creative and strategic proposals to

position this beauty soap as the ultimate soap for a glowing, radiant and supple skin. It

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wants to reinforce the beauty element strongly since the market has a fair share of such

soaps that Lux has to contend with.

Pepsi

PepsiCo, Incorporated (Short for Pepsi Company) (NYSE: PEP) is a large conglomerate with

interests in manufacturing, marketing and selling a wide variety of carbonated and non-

carbonated beverages, as well as salty, sweet and grain-based snacks, and other foods. Besides

the Pepsi-Cola brands (including Mountain Dew), the company owns the brands Quaker Oats,

Gatorade, Frito-Lay, SoBe, Naked, and Tropicana.

PepsiCo owns five different billion-dollar brands. These are Pepsi, Tropicana, Frito-Lay, Quaker,

and Gatorade. The company owns many other brands as well.

PepsiCo is a world leader in convenience foods and beverages. Its world renowned brands are

available in nearly 200 countries and territories. PepsiCo entered India in 1989 and has grown to

become the countrys largest selling food and beverage companies. PepsiCo India and its

partners have invested more than U.S.$700 million since the company was established in the

country in 1989.

PepsiCos Profile :PepsiCos Profile Revenues in 2007 is more than $39 billion. Share in Indiancarbonated soft drink market is 37 bottling plants in India, of which 16 are company owned and

21 are franchisee owned. PepsiCos Frito Lay snack division has 3 state of the art plants. It has

more than 185,000 employees across the world. In India, PepsiCo provides direct employment to

4,000 people and indirect employment to 60,000 people including suppliers and distributors.

CEO : Mr.Sanjeev Chadha. India Headquarters : Gurgaon.

Brand Image of Pepsi : Pepsi is a brand that every youngster relates to. But this definitely

doesnt mean that other age groups are not its users. Thus Pepsis brand image is its hip, cool,

lively and refreshing attitude.

Advertising Strategy of Pepsi : Pepsis target audience are mostly teens and young adults and

their advertising reflects this in every possible way. The company changes its advertising

strategy and image to reflect the target's interests. Pepsi makes sure that the advertisements

reflect to the target audiences interests and nostalgia.

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The advertising strategy includes cool, hip promos to attract more of the target audience. The

advertising is mostly creative and has different elements like music and sports other than

bollywood. Pepsi.com also plays an important role in advertising and attracts target audience by

giving access to options like downloads, gaming, music mixing applications etc..

Some of Pepsis successful Campaigns are Yeh Dil maange more, Bubbly Campaign,Youngistan Campaign Yeh hai Youngistaan Meri Jaan

About Youngistan Campaign: This campaign has two new celebrities Ranbir Kapoor and

Deepika Padukone who acted in the two most-talked about Hindi films in 2007, to accompany

brand ambassador Shah Rukh Khan. This time Pepsi wanted an all-encompassing theme.

Youngistan reflects the mood of Indias youth, which is today keen to take the ropes and drive

India, says Punita Lal, executive director, marketing, PepsiCo.

Youngistan, hopes to cash in on the buzz surrounding todays youngsters. Youngistan is not so

much a place and it is a state of mind of todays youth. While the term is new, what it stands for

the GenNext attitude is not new.

Segmenting pattern : Demographics: The Campaign targets teens and young adults of metros

and phase II cities. Psychographics: The campaign attempts to capture the youth of today by

focusing on their personality, lifestyle and attitude of youth through the advertisement

Targeting Strategy : The Youngistaan Campaign uses undifferentiated targeting strategy to

reach out to its target audience. That is, it launched youngistaan campaign for all the target

audience in the same way.

Positioning: The campaigns positioning is done on the basis of user approach i.e. a personality

based approach where a users image or association rubs off on the brand image. The user could

be a celebrity or an ordinary user. For this campaign Pepsi used the three most popular

celebrities of the last year i.e. Shahrukh Khan, Ranbir Kapoor, Deepika Padukone

Placement of the Campaign : The campaign was first launched on T.V during the tri-series

matches in February. The campaign is launched with a 360-degree activation across radio,

outdoor, modern trade, Web and wireless platforms. Pepsi has launched a website for Youngistan

inside the Pepsi Cool Zone and is planning to make it a responsive peer group site where

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youngsters can visit and make comments on any topic. Pepsi Youngistan is also sponsoring

Wassup Youngistan on MTV, a show where youth can voice their thoughts.

Advertising Agency for Youngistan :Advertising Agency for Youngistan JWT ( J. Walter

Thompson), ranks as the largest advertising agency brand in the U.S. and as the fourth-largest

full service network in the world. It was the first agency to be associated with anthropology and

the study of consumer behavior.

Competitors for Youngistan. : Competition for Pepsi has always come from its arch rival Coca

Cola. Coke kept up with Pepsis Youngistan by launching a campaign Jashn Mana le staring

Hrithik Roshan. Sprite, a subsidiary of Coca Cola company has also launched an ad campaigncalled Hindustan, mocking the Pepsis Youngistan campaign.

Pepsi having attracted the youth with its funky campaign, now wishes to launch a new campaign

using the same targeting strategy in India with a youngistan, Hindustan appeal. The new

campaign must show the popularity of the product with the youth across India and still retaining

the cool, funky and refreshing appeal. It seeks a new creative pitch for a fresh, innovative

campaign.