Report on Marketing Strategy of Surf Excel

8/2/2019 Report on Marketing Strategy of Surf Excel

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Report on Marketing Strategy of Surf Excel

Presented To

Dr.Ali Askari

Marketing Plan

Presented By

Faizan Raza Khan

Ali Ahmed

Adil Javaid

Ammar Nazeer

Mohammad Uzair

Fakhar


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Acknowledgment

May ALLAH bless me with such kind of dedicated teacher in future.

Thanks to Dr.Ali Askari, under his dynamic guidance I am able to express myself.And I am now at the stage to complete my project. He is beyond my thoughts and

much more than this acknowledgement.

And finally I am thankful that He cooperated with me and appreciated as well. All the

research I have done is due to the skill I required from you. I have tried my best to

provide you the actual facts and figures.

I hope you will surely feel a difference and will appreciate me.

Only your appreciation is my reward.


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Table of Contents

1. Synopsis 4

2. Mission Statement ............. 5

3. Current Marketing Situation..6

o Market

Description..............................................................6

o Product Review

11

o Review of

Competition12

o Review of

Distribution...........................................................14

o Market

Potential..15

4. Swot Analysis.......................................... 16

5. Objectives and Issues ....................................18

6. Marketing Strategies ..............19

Positioning Strategy.....19

Marketing Mix (Product) ....20

Marketing Mix (Price) .22

Marketing Mix (Distribution) .25

Marketing Mix (Promotion) ... 27

Competitive Strategy............31

7. Marketing Research......................................................................................33


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8. Budget............................................................................................................36

9. Control........36

10. Bibliography.......37

Synopsis


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Through this study I obtain information about differentplayers of detergent market.

Through this project I can tell the people about the currentmarket situation of surf excel as viewing the market, which willprovide a picture to how consider the market trends in future.

I am student of Marketing Strategy, so that's why I want toknow about Surf Excel Marketing System.

SURF

Dominating the washing powders markets in Pakistan for four decades; Surfhas continued to change according to consumer needs. Being a pioneer, Surfhad to work hard to gain acceptance in the early days. To educate housewivesabout its use, house to house demonstration were organized in Lahore andKarachi. Free sample and coupons were also distributed to recruit consumer.There has been no looking back since the brand has undergone numerousproduct quality improvements to offer best cleaning results. Over the year, therehas been a shift from cartons to poly ags and emergence of low unit pricepacks.

With continuous technological innovations, the brand has always managed tofight off competition. Surf Excel, which hit the shops recently, has alreadygained a reputation for the best in the market

MISSION STATEMENT


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We are the leading consumer products company in Pakistan, a multinationalwith deep roots in the country.

We serve the everyday needs of all consumers everywhere for foods, hygieneand beauty through branded products and services that deliver the best qualityand value.

Our bands capture the hearts of consumers through outstandingcommunication

Through managing a responsive supply chain, we maximize value fromsuppliers to customers

We are exemplary through our commitment to business ethics, Safety, Health,Environmentalist and involvement in the community.

Current Market Situation


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Market Description

Product Review

A comparison of cost price with sale price of Products in product line.

Surf Excel

Quantity Cost Price in Rupees Sale Price in Rupees

25 grams 4.7 5

50 grams 9.5 10

115 grams 19 20

500 grams 110.50 115

1000 grams 199.50 210

2000 grams 385 405

Unilever Products B.C.G Matrix


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STARPonds skin cream

QUESTION MARK

?

CASH COW

Surf Excel

Sun silk Shampoo

DOG

Lifebuoy Shampoo

Surf Excel:

Surf Excel is a product of Unilever which is at growth stage as it has largemarket.

In Market Surf Excel 50 grams has huge market share with respect to otherSashes.

While demand of 500 grams is very low.50 grams is facilitating the class B and

Lower B.

And 500 grams are facilitating the Class A and Class B+.

A Review of Competition


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Ariel

History

When we talk about P & G then question arises what stands for it,basically it stands for Proctor & Gamble. Basically it came into existencein 1837 in queen city of west.

William Procter quickly established himself as a candle maker. JamesGamble apprenticed himself to a soap maker. Soon they started to workcombine in 1837, a bold new enterprise was born: Procter & Gamble.On

April 12, 1837, William Procter and James Gamble start making and

selling their soap and candles. On August 22, they formalize theirbusiness relationship by pledging $3,596.47 apiece. The formalpartnership agreement is signed on October 31, 1837.

They are also in the process to facilitate on the base of providing washingpowder.

Need

Use for the purpose to wash the cloths

Customer Benefit

Ariel is associating the brand with customer on the bases to give them superior

quality and makes the ground for customer to provide a theme which cause tohave happiness.

TARGET MARKET OF ARIEL


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Ariel has adopted the strategy of market aggregation. ARIEL target marketincludes Middle Class, Upper Middle Class and Upper Classes of thepopulation of Pakistan. The Ladies of Pakistan who are very conscious abouttheir family.

MARKETING POSITIONING

Ariel is considered to be a trusted and premium brand of Pakistan. Procter andGamble is positioning their product in the best of their customer satisfaction. Ascharging money they are positioning their product as best use as well asproviding quality in response.

They are focusing on the quality and they are also in a motive to facilitate thecustomer as providing a whole range which they can.

Price Comparison with different Players


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Brand Name Quantity Price in rupees

Surf Excel 1000 grams 210

Ariel 1000 grams 210

Brite 1000 grams 170

Express Power 1000 grams 125

Bonus 1000 grams 60

A Review of Distribution


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Distributors

Distributors are the institution through which availability of products is possible.Unilevers distributors have a very good relationship with them. and the important thingis that they must integrated into total marketing mix because of time and moneyrequired to setup an efficient channel.

Unilever has Six distributors in Lahore which are as follow.

Allied Marketing at Gulberg II

Shahzad Brothers Enterprises at Murgi Hana

Sigma at Kotlakhpat

Munner & Phips at Sham Nagar

Munner & Phips at Ravi Road

Munner & Phips at Johar Town

DISTRIBUTION STRATEGIES

Unilever uses the following multiple channel of distribution.


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Wholesaler

Distributor

Retailer

Consumer

Company

Consumer

Retailer

Distributor

Company

Unileveruses a lot of distributors and retailers to supply its products in eachmarket where the final customer might reasonably look for it. While appointing adistributor for a particular area, management uses its own judgment to selectsuch a person that has a potential to operate effectively.At present Situation forSurf Excel they are focusing by intensive manners and for new products likeSurf Excel Matic they are focusing the distibution channal by Exclusivemanners.

Effect of Distribution on sales trend


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Designing of channel for Surf Excel

Unilever has adopted the method of intensive distribution for Surf Excelbecause the target market of this product is segmented for washing cloths usingany method.

The customer want to purchase this product from nearest shop as this isconvenience product.

Market Potential

Detergent Market is growing by 16% intensively.

At present Consumer prefer detergent on the base of quality.

Pakistani Peoples are moving from rural areas to urban areas aslife style is changing.

Advertising is promoting the detergents by comparing thefunctionality of different detergents and laundry Soaps.

Increase awareness of usage benefit of detergent.

]

SWOT Analysis


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Strengths

Enjoying economies of scale

Good will in the market

Strong financial position

Surf has become the generic name in detergents

Have Strong distribution channel in Pakistan

Abundant financial resources

Well-known brand name

Well brand image

Committed employees

Weakness

Huge inventory stocks of raw material

Weak spending on R & D

Internal operating problems

Opportunities


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Rapid market growth

Changing customers needs & wants as life style change

To create relation with society on the social marketing basis

Pakistan peoples moves from soap to detergent

Threats

There is very tough competition in detergents markets

Low profit margins

Smuggled brands of CHINA

New competition in the market

Increases in taxes

Increases in prices due to fuel prices

OBJECTIVE


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The objectives of the Surf Excel is

To meet the everyday needs of people everywhere to anticipate theaspirations of consumers and customers and to respond creatively andcompetitively with branded products and services, which raise the quality of life.

Total commitment to exceptional standards of performance and productivity, toworking together effectively and to a willingness to embrace new ideas andlearn continuously.

To maintain highest standards of corporate behavior towards employees,consumers and the societies and world to acquire success.

The major points are as fallows.

Sales growth

Revenue

Market positioning

Enhance Market shares

Customer satisfaction

Goodwill & reputation

Issues


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For Sales growth they need highly intensive distribution andstrong promotions

Unilever is facing competition from P&G as on the base ofdifferent brands market share

Unilever has to maintain its difference from other brands ascreating unique values, that others are not giving with core product.

Sales growth is possible when product remain at fixed price for aspecific time period and this depend on cheapest raw materialhandling and its transporting.

Marketing Strategies

TARGET MARKET OF SURF EXCEL

Surf Excel has adopted the strategy of market aggregation. It is a product byUnilever. SURF EXCEL target market includes Middle Class, Upper MiddleClass and Upper Classes of the population of Pakistan.

Surf Excel target the SOCIAL ECONOMIC CLASS OF A, B+ AND B

Surf Excel has the huge share from major cities.


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MARKETING POSITIONING:

Surf Excel is considered to be a trusted and premium brand because of itsunique association. Unilever is positioning their product in the best of their

customer satisfaction which also differentiate from their competitors. They arecreating environment for people to have a life easy chance.

As regarding the image there is message for the peoples to avoid on theoccasions to restrict when kids are in situation of doing something extraordinary.

They are also positioning as considering the fact of Strongs competition .Sothey are also focusing different type of facilities.

MARKETING mIX


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Product

In product some elements are involved which are Variety, Quality, Size,Features Brand Name, Packaging and Services.

Varity

Surf Excel is at present situation available in two varities

Surf Excel

Surf Excel Matic

Quality

Surf Excel quality is very popular among the peoples as Dominating thewashing powders markets in Pakistan for four decades; Surf has continued tochange according to consumer needs. since the brand has undergonenumerous product quality improvements to offer best cleaning results.


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Brand Name

Surf Excel is not only the product for washing the cloths but also it has createdthe The relation ship with customers as making grounds to promote their kids.

Surf Excel is the brand that is targeting the peoples through believes andvalues. There fore they define there product on the basis of some relatingactivities.

As regarding the image there is message for the peoples to avoid on theoccasions to restrict when kids are in situation of doing something extraordinary.

Parents should encourage them.

Size

Surf Excel is available in different quantities which are as follows

25g, 50sg,115g, 500g, 1kg and 2kg.


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Price

Here the firms have to consider many factors for determining the price.

Selecting the price objective

Analyzing competitors costs,

Prices and offers.

Selecting a pricing method.

Price is simply the cost plus profit of the firm. There are many competitors in themarket. So the firms have to consider about the competitive price whileselecting new price and schemes.

Basic Method of Setting Prices

Unilever is using the following methods for price setting.

Price to Distributors

The company provides products to the distributors forthe prices decided keeping in view the cost, the targetrevenue and competitors prices. All distributors are

being equally treated.

Prices Charged by Distributors to Retailers

Unilever gives margin of certain percentage todistributors so in this way prices to be charged bydistributors to retailers are fixed.


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Prices Charged by Retailers to Ultimate Consumers

Company influences prices charged by retailers. So

retailers are bound to charge fix price to ultimateconsumer

How to set the price of the product

Prices are set by taking into consideration into the prices of the competitors.

As there products are highly quality .so usually they charge highprices. Such like Unilever set low price for Wheel Washing Powderin past. And they are charging price of surf Excel on the base of its

quality.

Prices are set by taking into consideration

What Customer believe for high price & high quality.

There price are high. because they believes in zero defects.

They charge different prices to registered and unregisteredretailers.

Prices are set by taking into consideration the size, type ofproduct.


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List Prices OfSurfExcel

Surf Excel

Quantity Price in rupees

25 grams 5

50 grams 10

115 grams 20

500 grams 115

1 000 grams 210

2000 grams 405

Discounts

A quantity discount is price reduction to those who buy large volumes. This is

given to increase company sales. So that firm can have more revenues.However Unilever is allowing 1% discount to distributors & whole sellers onpurchase of Surf Excel of worth Rs600.

Discounts on payment period

It is a price reduction to buyers who pay their bills promptly. A typical example is2 /10 net 30. Which means payment is due within 30 days and buyer candeduct 2 % by paying the bill within 10 days. But Unilever is not offering suchdiscount. They are dealing on cash basis.

Functional discounts

These are also called trade discount which is offered by this particular firm. Itwill be given to those who perform certain function Such as storing, selling bookkeeping. Surf Excel has own agent or Book keepers. Helium VRCB is companywhich is performing such actions as referring by Unilever


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Credit Terms

Unilever is not operating on the basis of credit terms. The purchaser has to paythe amount within one day.

But listed parties such as Abdul Hameed store, AlGhosia store and Ranastore are being facilitating on 7 days credit.

Place

Registered office

Avari plaza,

Fatima Jinnah Road,

Karachi.

Rahim Yar Khan Factory

Unilever Pakistan limited

Laghari road

Rahim yar khan

Channels

Unilever is focusing on the indirect marketing channels where they sell surfexcel through retailers.

Consumer

Retailer


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Distributor

Company

Locations

As on the basis of Surf Excel Unilever is focusing on all areas through which itis possible to cover different classes needs.

Thats why Unilever products are available at general stores as well asdepartmental stores, eg: Akbari store, Al Fatah & Decent departmental store.

Coverage

Unilever aims to create a long term relationship with customers so they beliefthat this objective will be only fulfill, if they have system to handled the marketsneeds as to reach the product on all areas where its target market exist.

Shelf Spacing

Surf Excel is being position in different departmental store on the base of takingthe a specific area among other brands.

For this purpose Unilever is paying 2 million rupees to Alfatah store asacquiring 40 % area in the detergents.

Assortments

This term refer the situation where products are to be maintain on the basis ofgrading, However Unilever product (Surf Excel) is reliable.

Inventory

As Unilever mostly products are convenience product. So they have to maintaintheir position strong as contains the inventories in huge amounts.Throughwhich it will be possible to facilitate the market on times as placing it afterevery two days.


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Promotion

Promotion consist of a diverse collection of incentive tools, mostly short term,designed to stimulate quicker and greater purchase of particularproduct/services by consumer as the trade.

Unilever Pakistan Limited places their products in local as well as in foreignmarket. They export directly and indirectly. Unilever promote their productsthrough media, and other trade incentives to distributors and wholesalers.

ADVERTISING STRATEGY

MEDIA USE

Unilever Pakistan Limited use radio, TV and Billboards and newspapers foradvertising purposes.

FACTORS FOR DECIDING MEDIA STRATEGY

Which one is more effective

Cost benefit

More access


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PROMOTION CAMPAIGN

INAM HI INAM DOSTI KAY NAMFrom November 2 , 2008 To January 31 , 2009

Promotional activities provides chance to company to communicate with thepotential parties to Beat the drum about it products.

In this scheme company gives the points to whole sellers on the purchasing ofRupees 200. Schdule is as follows.

Brand SKUs Purchasing Points

Surf Excel 25 200 10






The company sets up the store displays and sales officers make sure thatitems displayed are properly arranged so that they can look attractive oneye contact level. There fore Surf Excel is being shown on the hangers ofthe stores as in return of charges for it.


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Promotion Methods

Advertising.

Newspaper:

Jang and Naway Waqt is being used for advertisement in front page.

Television:

All nationwide channels are being used to run the campaign of Surf Excel.

Unilever has to pay the huge amount for it as advertise through differentchannels, eg: ATV & PTV.

ATVAdvertising Tariff

With Effect From 01 July, 2007

Time SlotRates per Minute

07:00am - 03:59pm25,000+GST

04:00pm - 05:59pm50,000+GST

06:00pm - 06:59pm75,000+GST

07:00 pm - 09:59 pm 100,000+GST

10:00pm -11:59 pm50,000+GST

12:00am - 06:59 pm15,000+GST


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Radio:

FM 100, FM 103 and FM 106.2 is now a days being used.

Road Display:

Bill Boards such like at Chuburji chowk is being used where a kid is showing thefunctionality & Purpose of Surf Excel.

Sales Promotion

Incentives:

Last year Surf Excel was sell as giving 1kg mango on the base of purchasing of1kg Surf Excel at selected areas such as Gulberg.

Samples:

Surf Excel is well known brand therefore there is no need to promote it by

samples.

Personal selling

Order takers:

Company has employees who perform the activity of order taking from differentareas to facilitate the retailers. There usually one day company perform theactivity of order taking and very next day they deliver the Surf Excel to thedestination.

Stalls:

Company arranges their stalls in the exhibition at which the products aredisplayed.


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Public relations

Through Events:

Surf Excel is creating the relation ship with peoples as associating asconsidering the kids importantly because they know that when they will capturethe feelings of the kids they have the strong grounds as this segment is morefavorable.

Surf Excel game masti is a chain of public relations which held over year. Lastyear it was hold at Race Course Park.

Now a days there are focusing on making new playgrounds as demanding 1Reon 1 kg packet.


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Competitive strategy

Competitive strategy

In competitive strategy there are some sort of pressure on you, whichhave, you must the capability to face it like they are

Pressure of Buyers:

When there is a lot of sellers lying in the market then buyer has power toinfluence.

Pressure of Suppliers:

One supplier for a company can exploit the company. There fore SurfExcel has 3 Suppliers for the purpose to bargain with them effectively.

Threats of Substitutes:

In the detergent market people have choices as they can take Surf Excel andAriel alternatively.

Threats of new entrance:

New coming brands of China and other smuggled brands are huge threat forSurf Excel.

As concern of competitive strategy the organizations really should focuson following of three strategies

Differential strategy when we see towards the Unilever they have reallyprovide the good quality products to the consumers like packing andbeautiful appearance with beautiful colors and images as well asUnilever focusing on best quality of Surf Excel as charging thepremium on it.


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Cost leadership strategy as concern of matter with the Unilever theyhave really adopted such techniques, which shows that they have reallyfocused on the cost minimization through adopting different techniques &new modern technologies.

Focus strategy as concern of matter with the Unilever. It is amultinational company so they focus the market segments and put totallytheir intentions to major segments.

Market Research on Surf Excel

Introduction:

We are conducting a research survey on Surf Excel to study its growth.

We need to identify what variables are affecting the sales of Surf Excel.

We really appreciate your value able time and expended cooperation filling inthe information because you are the one who can give us to identify thevariables.

We hereby confirm and assure you that your information been given in thissurvey form would be kept strictly confidential and would not be shared with anyone other research members.

Instruction

This questionnaire is about your personal experience so please read

carefully while attempting it.

Q1. Which washing powder you use for washing cloths?

Surf Excel Ariel Brite Bonus Others

Q2. Surf Excel is better than any other detergent orWashing soap?


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StronglyAgree

AgreeSome WhatAgree

Disagree

StronglyDisagree

Q3. Is Surf Excel Matic is a good product forwashing the cloths in the washing machines?

StronglyAgree

AgreeSome WhatAgree

Disagree

StronglyDisagree

Q4. The result of Washing cloths from Surf Excel isdifferent from other detergents?

Strongly

Agree Agree

Some What

Agree Disagree

StronglyDisagree

Q5. There is difference between Surf Excel and Surf Excel

Matic?

StronglyAgree

AgreeSome WhatAgree

Disagree

StronglyDisagree


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Q6. Choose number for ranking detergents.(1st, 2nd ,3rd, 4th )

Surf Excel Bonus Brite Ariel

Q7. Surf Excel Matic should be available in small size packets?

Yes No

Q8. Surf Excel has develop confidence in kids as promoting them?

Strongly Disagree Disagree Some What Agree Agree Strongly Agree

Q9. Surf Excel Matic should be available at general stores?

Yes No

Q10. Surf Excel Matic is in market after awareness about it purpose and function?

Strongly Disagree Disagree Some What Agree AgreeStrongly Agree

P lease F ill T he F ollowingName__________________________________________Occupation_____________________________________ PhoneNumber__________________________________

Result & Findings


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Which washing powder you use for washing cloths?Surf Excel is better than any other detergent or Washing soap?

Is Surf Excel Matic is a good product for washing the cloths in the washing machines?

Surf Excel Matic is in market after awareness about it purpose and function?

Budget

Per kg revenue is 230 and variable cost is 150

While consumption will be 96000 tons.

There fore break even will be = (96000/230-150)*1000

ControlsCompany deals only in those products that are profitable. If there is any indication that any

product is not profitable company analyzes the reasons and step are taken to overcome the reasons.For this purpose Unilever concern with marketing research firm Aftaab Associates

for marketing

research to gain the information about trend of market . Company also takes into consideration thewelfare of the consumers. It takes into account the taste and habits of the consumer.

There fore company has finished the production of Wheel Washing Powder in past.

It also works for the welfare and interest of Pakistan in the following terms:

BIBLIOGRAPHY

Discussion with Muhammad Imran ( Territory manager)


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Discussion with Adnan A.Butt (Sales Supervisor)

CONSUMER SURVEY

Economic survey of Pakistan

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Report on Marketing Strategy of Surf Excel

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