Introduction
Marico is a Indian consumer goods company providing consumer products and services in the areas of Health and Beauty based in Mumbai•1862 – Kanji Morarji started a small trading business in Mumbai•1948 – Bombay oil industries setup by Mariwala family•1990 – Marico industries Ltd formed
Parachute -Shudhta Ki Shakti• First Branded coconut oil in the country• Journey began 4 decades ago• 50% of the market was unbranded• Hence it was re-launched with sleek pack with innovative
packing • Parachute is one of the top 100 most trusted brand• It is world largest packaged coconut oil brand• Switch from Coconut oil in Tins to Plastic• Coconut Dream centre (R & D) was formed to work on
possible extensions of Parachute brand• Market Share of 48%
STPDProduct Segmentation Target Positioning Differentiation
Parachute Coconut Oil
Hair Care All classes Purity Innovative Packaging
Parachute Advanced
Hair Care Working Women Strong hair LightFragrant
Parachute Jasmine
Hair Care Young and appearance conscious consumer
Non Sticky LightFragrant
Parachute Therapie
Hair Care Image conscious, Metrosexuals
Hair fall solution 45 Days therapy
Parachute Advanced Starz(Shampoo)
Hair Care Children Gentle Shampoo Fun filled fragrance (Strawberry)
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Market Analysis
-Hair oil market is valued at Rs. 6 billion
-Unlike market abroad, India has a large quantity of consumers whose hair care expenditure also includes hair oils
-The penetration level of hair oil is around 87%. Around 50% of the population uses hair oil everyday
-The hair oil market in India is categorised into Coconut hair oil (50%), Amla (18%), Light (17%), Cooling (10%) and Tonics and gels (5%)
Market Analysis
• Total Hair Oil Market: 6 Billion.
• Unlike market abroad, India has a large quantity of consumers whose hair care expenditure also includes hair oils.
• The penetration level of hair oil is around 87%.
• Around 50% of the population uses hair oil everyday.
Coconut Hair Oil, 50
Amla, 18
Light, 17
Cooling10
Tonic & Gels, 5
MARKET ANALYSIS
Competitive Analysis
• In the Coconut category, the largest segment of the hair oil market, Marico’s Parachute is by far the leader. With its other brand, Nihar, its share of the market is close to 50 per cent. Dabur has now made a foray into this segment with Vatika
•In Amla hair oil, Dabur rules the roost with its Dabur Amla which has a market share of 72 per cent
•Amongst light and fragrant hair oils, Bajaj Almond Drops leads the pack
•In cool hair oil, Kolkata-based Emami sits on half the market with Himani Navratna
Competitive AnalysisCategory Market Leader Market share
Coconut Hair oil Parachute 50%
Amla Hair Oil Dabur Amla 72%
Light & Fragrant Hair Oil Bajaj Almond Drops 42%
Cool Hair oil Himami Navratna 65%
Promotion
-Print Media
-Endorsement by celebrities
-Television
-Radio
Sales promotions - 20% extra , festive season promotion
Internet Advertising- facebook
Mall branding
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Advertising Agencies
• BBH India• Ambience D’arcy Ad Agency• Madison Ad Agency
• 50 points- 1 Hair brush free
• 150 points- 100 ml Parachute Hair Oil free
• 250 points- 100 ml Parachute Hair Therapie free
• 1000 points- 1 free visit to “Kaya Skin Clinic”
Parachute Loyalty Programme Har pack per paayiye points …aur points par paaiye aakarshak inaam
Rural Add Campaigns
Parachute Anti Loose Oil Rural Campaign
Brand strategy
Brand Awareness
Brand Performance
Brand Imagery
Brand Personality
Brand Judgments• Brand Quality• Brand Credibility• Brand Feeling• Brand Superiority• Brand Resonance
Media Campaign
Distribution• Channels –
– Distributors – Retailers – Consumers– Retailers includes - Kirana Stores, Supermarkets, Medical Shops,
Co-operative Stores etc.• Coverage –
– All India market • Urban• Semi-urban and • rural markets - primary focus.
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– International• Bangladesh• Middle East• Egypt
Marico’s Distribution Network in India Urban Rural
Sales Territories 135 35
Towns Covered (‘000's) 3.2 11
Distributors 850
Super Distributors - 120
Stockists - 3,600
Retail Outlets – Reach (millions) 1.65 0.85
Place : Distribution Chain
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Pricing
• Pricing Method– Competitive– Promotional pricing (20%
extra)
• Major factors impacting pricing• Copra and oil seed input costs• Packaging costs• Competitors
During Q3FY09, Copra prices remained firm, they were higher 30% YoY.
To offset the sharprise, Marico undertook price increase 5% increase in the retail prices of Parachute in August 2008, in addition to a 5% price increase initiated in April 2008
PricingProduct Prices
Parachute Coconut oil 500 ml - Rs 90200 ml - Rs 3920 ml - Rs 5Mini - Rs 1
Parachute Advansed 375ml – Rs 80212.5ml - Rs 4880 ml – Rs 27
Parachute Jasmine 300 ml – Rs 72150 ml – Rs 46100 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 190100 ml – Rs 99
Parachute Advansed Starzz 100 ml – Rs 54
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