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Sign and attach cover sheet to the front of assignment Hand your assignment in to the academic faculty staff on level 9 Assignments must be submitted by 4:00pm on the due date.
Subject Code LB5202
Lecturer’s Name Sangeeta Rai
Tutor’s Name
Subject Name Marketing Management
Due Date
Student Family Name Student Given Name JCU Student Number
ABRAHAM ASHWIN 1 2 8 6 7 9 0 3
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ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 Every year 200 million Himalayan products enter the homes of customer throughout the world. The Himalayan brand in 83 years has expanded its product range in pharmaceutical, personal care, animal health and baby care and nutrition health. The product with its 80+ years of trust and heritage has built its space in the market as herbal personal care product. In the year 1934, the Himalaya launched first herbal antihypertensive drug. With 8 decades the company has shared a close relationship with nature and promoting the health of nature itself. In1999, Himalaya entered the personal care segment with wide range of beauty product rooted in herbal. The company has reach of 89 countries with millions of customers.
The brand personality of Himalaya has been focusing to be part of the industry all throughout with its herbal and natural product range. Product has blend with user needs and has been welcomed by millions of customers. The brand was able to utilize the brand image of trust and heritage of natural product to a large extent. Out of all the personal care product range Himalaya with its distinguished range of herbal product could reach out to customers with ease.
Himalaya Mountain has always been an icon of aspiration and quest of man’s unlock the natures secret. Himalaya brand product herbs are mostly been taken from the regions of Himalaya Mountain which shows the closeness to the name. The cross bars of H mentions the focus towards the herbal healthcare. The teal green reflects the closeness to the nature while orange showed the warmth, vibrancy and the commitment for care.
The Himalaya brands vision throughout the 8 decades had been focusing strongly to provide an herbal wellness for the family with a wide range of products. With the commitment, ethics and trust the brand has built these years has made a path to this fast growing personal care industry. The Brand has always persuaded to integrity, accountability, fairness, transparency and innovation of its product. The mission of the brand has to establish Himalaya as a science-based, problem solving, head to-heel brand, harnessed from nature’s wealth and characterized by trust and healthy lives.
According to the brand image analysis the target audience of the brand has been focused primarily upon the age group of 18 to 45 females for the personal care herbal product. The socioeconomic group’s c1, c2, d and e are the main end users of the product. Product target audience traits are beauty conscious, natural and less harmful product users, and customers with dandruff and long hairs. According to India Brand Equity Foundation (2013), the penetration power of shampoo has been estimated to be around 57% in urban area and 37% in rural area whereas the same statistics is nearly 100% for metro cities in India. The main focus of the company need to tap the power of middle India by reaching out to the crowd. Around 70% of sachets are sold out in south India and bottles in North India.
The main leaders in the personal care industry are Hindustan Unilever Limited and Procter & Gamble Company. According to International Journal of Computing and Corporate Research around 10 to 12 % increase is shown by the anti-dandruff shampoo in the survey done in 2012. The main benefit of the Himalaya shampoo is the notion of contaminated with chemicals which will damage the hair.
The shampoo industry is divided into 3 categories: cosmetic, anti-dandruff and herbal. The leading shampoo with its benefits and characteristics:
ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 Table1: Personal Care Brands
In the spatial map it has clearly shown the unique position for clinic plus shampoo when compared to others. Chik, Nyle, Pantene shampoo has much of unique position. But Dove and Sunsilk have stiff competition. Head and Shoulder and Vatika are thought to be similar category.
Image: Euclidean distance model (Abhinav Journal. (2012))
According to Abhinav Journal research in the year of 2012 80% of the shampoos are sold at urban area and rest in rural area which accounts to be 2700 Crores of rupees (Abhinav Journal, 2012). The number has increased after the number of players in the shampoo industry, duties decreased and easy availability of shampoo in lower price made it possible for the users to reach to the targeted audience. Hair oil is leading the personal care industry with 62.71% followed by shampoo with 32.01% in the year 2010-11. Herbal product market share was around 3000 tons during the year. Loyalty towards a particular brand is very much inconsistent for shampoo industry.
After the surveys performed by the Neilsen (2013) in the Indian market provides information on the middle India to be perfect place to expand the reach of the industry. India Brand Equity Foundation in 2012 gives the penetration of hair oil to be 74.6% and shampoo as 51.6% in Indian market. Indian market has a huge potential to for the FMCG
ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 products. The current brand audit also acknowledges the brand weakness in the field to be inconsistency of the end users and unlimited option available for them to choose. The brand reach has to be widened and marketing strategies need to be open for the current scenario of industry. The industry has at the moment opened up for the FDI that makes the Himalaya brand to speed up the marketing and reach to the middle India.
The brand needs to use the notion of harmful chemicals in the minds of the end user as the benefit for the brand. This message needs to be clearly being reached to users through the ads, campaigns and promotions. The campaign held during May 2013 with the Ambika Pillai had good remarks for the brand. The brand needs more exposure in regards to the shampoo with this kind of innovative campaign which will add up to a brand boosting amongst the younger generation. The brand need to focus more on to the digital side of branding with social media as a powerful tool to reach to the prospective customer in much lesser amount of money and time. The tool should be integrated with a social cause or social event which will club into publicity for the brand. Now the targeted audience (Neilsen, 2013) of the brands is spending more time on the digital space. There is a 41% increase in internet users in India compared to 2011 in 2012 and 25% increase on online advertising.
During the 2013 IPL season according to the surveys the 24 FMCG products were monitored by the Television Commercial Web Analytic Service. After the 31 days monitoring it FMCG product were trending social media pages and there was an increase of likes and tweets mentioning them. This kind of promotion ultimately leads to sales of the product and word of mouth. Focusing more on the promotional campaign and loyalty card for the mother company and gift cards that is available for the end users. The brand needs to create more loyalty programs and events in the locality. These promotions are helpful and building up the structure for the branding. The purchasing power of the people has increased to large extend and this need to be utilized by the Himalaya.
Image2: Sales of Herbal Shampoo (Abhinav Journal. (2012))
ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 Sale of shampoo in Indore locality per day counts upto 10 for Ayur, 9.5 each for Nyle and Vatika, 7 for Seesa and 6.5 for Himalya. The average sale per day of the brand needs to increase by both brand endorsements and proactive attitude of the brands. Himalaya needs to reach to audience with a story telling factor mentioning about the benefits and trust of the brand the customers have kept on. Like the campaign of Garnier Fructis on “I am sorry… I dint care when you were falling”. This kind of innovative campaign can increase the sale and turnover on the go.
The FMCG consumption of India (Neilsen, 2013) is $31 per capita which needs to be increased comparing to the emerging peers. With these numbers that denotes that India is emerging to be FMCG consumptive country. Himalaya needs to perform a brand stretching which provides an innovative touch to the brand in the coming quarter and increase in share prices. Estimates shows that group E users spend around USD 2.4B which will be USD 3.4B in 2015. According to surveys done to shoppers 30% of these consumers’ mentions about the promotions and advertisements as the main factors to buy the product and 50% as word of mouth which the brand need to focus more in to. Himalaya brands needs to focus more on the customer satisfaction and word of mouth. To sum up, after the customer and brand analysis is performed we can see a huge market space available for Himalaya to focus upon and methods that can be implemented to reach to these audience in more effective and targeted way. These methods will focus upon the brands building in strong manner by creating a more consumer oriented products range. The products need to have a brand stretching with new advanced level of packaging and less cost sachets that can be a powerful tool for socioeconomic sector C, D and E to try the products. These ideas with an innovative touch in branding can bring about wonders in the marketing part of the company.
Reference 1. India Brand Equity Foundation.(2013).FMCG. Retrieved from http://www.ibef.org/industry/research- development-india.aspx
2. Abhinav Journal. (2012). Retrieved from
http://www.abhinavjournal.com/images/Commerce_%26_Management/Nov12/16
3. Pharma Information. (2008).Health. Retrieved from
http://www.pharmainfo.net/reviews/survey-herbal-shampoos-indore-city-madhya-pradesh
4. Nielsen (2013). Retrieved from
http://www.nielsen.com/content/dam/corporate/us/en/sitelets/gac/documents/Emerging- Opportunities%E2%80%93Winning-In-Developing-Markets
5. INDIAN SHAMPOO BRAND POSITIONING: MULTI -DIMENSIONAL SCALING APPROACH (2012). Retrieved from http://www.ijccr.com/September2012/3
ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 Student Name:ASHWIN ABRAHAM
Case Study Section Maximum mark Awarded Comments
Content - Case Study
Explanation & application of marketing concepts. 20 Demonstrates understanding of application of concepts in case context. Answers display breadth and depth to the analysis and 40 evaluation. Sound justification (when required). Relevant answers. Depth and breadth of research. Evidence of wider reading 20 through cited sources and new information
Process: 20 Marks 5
Presentation & Layout
Assignment is professionally presented. Figures, tables, appendices are neat, accurate & Communication Style
Essay style approach used for each question –introduction, 5 body, conclusion. Sentences & paragraphs are well constructed; clear & concise ideas; demonstrates a good grasp of the standard writing conventions
Referencing
APA conventions are correctly applied in text; reference 10 listis presented alphabetically with correct APA syntax
TOTAL ASSESSMENT 100 ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2 ADDITIONAL COMMENTS
ASHWIN ABRAHAM 12867903 MARKETING MANAGEMENT 2