RIN DETERGENT : TO

POSITION OR REPOSITION
GROUP 10 SEC C

OVERVIEW : FABRIC WASH MARKET

3 types of fabric wash product

Laundry soap NSD Detergent

NSD Bar

Growth of NSD bar segment is 29% in 1988

OVERVIEW : FABRIC WASH MARKET

Fabric Wash Market Share
Laundry Soap NSD Powder 1% NSD Bar

5%

94%

OVERVIEW : DISH WASH MARKET

3 types of Dish wash product

Hard soap Bar Detergent Liquid Dish Wash

Total Market sales of 60000 TON

OVERVIEW : DISH WASH MARKET

Dish Wash Market Share
Hard soap Bar 0% Liquid Dish Wash

20%

80%

OVERVIEW : PRICING
Price Range For Fabric Wash
60 60

Price Range For Dish Wash

50

50

40

40

30

30

20

20

10

10

0 Laundry Soap NSD Powder NSD Bar

0 Hard Soaps Bar Liquid Wash

OVERVIEW : PRODUCT INFORMATION-RIN

RIN is only NSD bar in market RIN is solid blue NSD bar introduce in market in 1984 Media advertising by thundering and lightning bolt Sales of RIN for first three years never crossed 700 ton.

Failure of several consumer promotion schemes till 1985

No consumer promotion scheme from 1985 to 1988

OVERVIEW : DISTRIBUTION STRATEGY

12+1 scheme for traders

Trade meetings
100% coverage in retail outlets
315

distributors to 60,000 retail outlets

Good incentive for distributors like

Increase Travel

in margin from 2.91% to 3.33%

expense reimbursement up to 0.2 % of retail value of goods

ordered

No change in retailer margin

Remain

at 7.4 % of retail price

RIN RE-LAUNCHED

Introduction of 250 gm. size and 125 gm. size (130 gm. Size
discontinued)

Reduction of variable cost of RIN by Rs1/Kg due to production

efficiency

Launch of new media campaign against laundry soap RIN Portrayed as a superior washing product
Cleaner
Brighter Economical

SALES GROWTH
Sales of RIN BAR
1800 1600 1400 1200 1000 800 600

400
200 0 1984 1985 Target Sales volume 1986 1987 1988 Actual Sales Volume

RIN RE-LAUNCHED CONTD..

you get much more out of RIN than you pay for.

Re-launch of RIN Was

SUCCESSFUL with sale finally crossing

100O tons mark in 1987

Still a far way to go to utilize 5000 tons plant capacity

Consumer Survey conducted to ascertain consumer perception and

usages of RIN

THE COMPANYS DILEMMA

Consumer Survey Result (% of sample population)
70 60 65

50
40 30 20 10 15 20

0
Uses for soap Solely use for Fabric Washing Solely use for dishwashing Use for both

THE COMPANYS DILEMMA CONTD..

Wrong Positioning of brand ???

The colour of the bar

First All All

dishwashing bar introduced was blue in colour

the current dishwashing bars are also bluish in colour existing laundry soaps are unwrapped and yellow or white in colour

Wrong shelf positioning

RIN

was shelved with wrapped personal soap or complete separately

FUTURE COURSE OF ACTION

Reposition the existing product in dishwashing category Cost reduction by 33% will lead to higher profit margin
Price

can be reduced, however prices already lower then existing dish washer

products

Try to know the consumer expectation from Fabric washing soap through survey

Launch new product in Fabric washing with different colour Proper shelving of product in retail outlets

Name the new bar as SURF/SUNLIGHT to take brand advantage and to

show association with Fabric wash segment

SUGGESTION FOR PROMOTION

Start new campaign for both dishwashing and fabric washing product

Re-launch the promotional campaigns Introduce a trial bar with small size of fabric wash bar More advertisement on print media Provide incentives to retailers (like 12+1 scheme) Increase the retailer margin (not increased since introduction)

QUESTIONS ????

THANK YOU..