Rural Marketing

of Cosmetics

Presented by:
Roopam Goyal
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 Introduction
• Overall growth of the economy has increased.
• Rural marketing is confused with agricultural
marketing .
• The saturation of the urban market .
• Rural marketing strategies are different from
the marketing strategies of urban.

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 Strategies of Rural Marketing
• Client and location specific promotion
• Joint or cooperative promotion..
• Bundling of inputs
• Management of demand
• Developmental marketing
• Unique selling proposition (USP)
• Extension services
• Business ethics
• Partnership for sustainability

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 What should Co.s keep in mind to
get success in rural market?
4A Approach:
• Availability
• Affordability
• Acceptability
• Awareness

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Rise of Indian Beauty Market
• Market size
• Purchasing power of consumers
• Major players
• Marketing
• Rising incomes and demographics shifts spur sales
• Hindustan levers lead remain unassailable
• Focus on innovation and price-segmentation
• Mounting aspirations and an upbeat economy herald a bright
future
• positioning

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 Introduction to Godrej Consumer
product ltd.
• GCPL is a major player in the Indian FMCG
market with a leadership in personal, hair,
household and fabric care segments.
• The company employs 950 people and has
three state-of-the-art manufacturing facilities
at Malanpur (M.P.) Guwahati (Assam) and
Baddi (H.P.)

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 GCPL Product Portfolio
• Soap – Cinthol – Evita – Godrej No. 1 – Fair Glow
• Toiletries – Cinthol Talc – Godrej No. 1 Talc
• – Fair Glow cream
• – Godrej shaving cream
• – Cinthol perfumes
• Hair care – Godrej hair color dye – Renew woman
hair dye – Nupur hair dye – Color soft hair color

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 Godrej no.1 soap
• Godrej No.1 soap was launched in 1922.
• This 86-year-old brand enjoys a volume market share of 6 per
cent.
• It is the 5th largest selling soap in the country and tops in
Punjab/Haryana with a 20 per cent market share.
• Godrej No. 1 soap rely on below-the-line promotions, and for the
past 5 years it has been selling at a 3+1 free offer in the market.
• In 86 years, the brand has spent less than what a major soap
brand would spend in a month of heavy promotions (Rs 12-13
crore), according to the company.

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 Godrej Rural Marketing Strategy (Godrej No. 1
Soap)

• Godrej introduced Godrej No.1 soap enriched with natural

ingredients trusted by millions, the flagship brand of GCPL, is
now the largest selling Grade 1 Soap.
• Grade 1 is the highest standard laid down by the (BIS). Godrej
introduced it in competition with the Santoor, Breeze.
• Godrej in the initial stage introduced it as a mid segment soap
but after sometime it’s price was reduced and targeted to the
rural area.
• Variation strategy: introduced many variants to extend the
product line of soap.

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 Godrej No. 1 Talc and shampoo
• 100 Gms at Rs, 19/-
• 300 Gms at Rs 39/-

Quantity Bottle Sachet

100ml Rs 25 -

7 ml - Rs 1

3.5 ml - Rs.50

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 Distribution Strategy
• rural sales contribute one-third to the company's sales with the
balance coming from the urban market. Godrej Soaps' total
income was Rs 787 Crore in the fiscal 1999-2000.
• has set up a committee to improve and leverage distribution in
the rural markets of less than 5,000 population strata.
• The company has put in place three experiments
• carried out certain experiments in the below 10,000 population
strata rural markets to leverage distribution.
• The company has already set up a system of stockiest and
super stockiest in small towns with population of 10,000 plus

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 Distribution and Supply Chain

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 Promotional tools used by GCPL
• Events- Advertising– Billboard – Hoarding –
Wall painting – Electronic media – Print media -
Sales promotion.
• relied heavily on the mass advertising like on the
TV, radio, and newspaper
• Conducted the events in which the rural people
have the interest. Some of the events are navratna,
yaara nachle, gold awards in Mauritius etc

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 Sales Promotion

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 Promotional strategy
• GCPL has roped in Mona Singh of Jassi jasissi koi nahi
to be the brand ambassador
• “ All that Glitters is not Gold…All soaps are not Grade
1 soaps.”
• campaign educates people the advantages of using
Grade I quality soaps that produce more lather, last
longer and thus is a great value-for-money proposition.
• Godrej Soaps and Jassi both stand for the Sachchi
prakritik sundarta proposition

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 GCPL-Competitive edge
• Quality Policy
• Value for money product
• Distribution network
• Brand image
• Promotional edge
• Innovation strategy
• Strong product line

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 LIFEBUOY
• the world’s largest selling soap.
• Launched in the year 1895
• In 2002 Lifebuoy was relaunched, marking a
new turning point in its history
• The new Lifebuoy is targeted at today’s
discerning housewife
• Lifebuoy is no longer a carbolic soap with
cresylic perfume. It is now milled toilet soap
with a new health fragrance.

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 Lets see the 4 P’s of marketing of
lifebuoy in rural India…..

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 REPOSITIONING
• it is the single largest soap brand — with 20 lac soaps
sold every day and an estimated value of Rs 500 crore
(600 million users annually).
• The relaunch of the 107-year-old Lifebuoy has been
done in a bid to drive growth in a sluggish soap market.
• HLL challenged everything that Lifebuoy stood for -
perfume, formulation, size and shape.
• extending it to talcum powder and also testing a herbal
variant of this power brand.

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 PROMOTION
• TV and print campaigns,
focused attention on the
family health themes.
• conducted consumer
education exercise using
"Germ tests“.
• explored the communication
options during World
Health Day.
• created The Lifebuoy
Swashthya Chetana.

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 • HLL was also offering cross company product
mixes
• HLL used Mahakumbh mela as an opportunity
to change hand-washing and bathing habits in
rural India.
• Cinema van operations

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 PRICE
• Hindustan Lever Ltd (HLL) currently on a price
discount includes 150 gm Lifebuoy Gold (Rs 3 off),
• HLL is also expected to follow suit with its Surf
sachets
• HLL have deliberately introduced small pack sizes.
• Lifebuoy, HLL's largest selling soap brand, recently
introduced a Rs 2 SKU (stock keeping unit) of 18 gm
targeted at the rural market in the Bimaru States.

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 PLACE
• 70% of India's population resides in villages
• HLL has established a single distribution
channel by consolidating categories
• HLL has mounted an initiative, Project
Streamline, to further increase its rural reach
with the help of rural sub-stockiest.

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PRICE

• Fair and lovely sachet costs Rs.10

• Brand extension – “active sunblock” lotion costs
Rs.30 for 25ml & Rs.60 for 50ml

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 FAIR AND LOVELY FOUNDATION

• Economic
empowerment of
women
• Careers
• Enterprise
• Education

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 Education
A. Background
• Scholarships are awarded annually to deserving
young girls.
• For higher education in India – Graduation,
Post-graduation and PhD
• Rs.100,000 scholarship is meant for women
“with an aptitude and ambition to achieve their
goals”

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 B. Communication Goals
• “Reliance
Communications’ R
World” platform
• Did not include the
traditional media – TV &
Print to break free from the
clutter of traditional medium
• Entice the user to fill in
personal details after
sharing the Scholarship and
Fair & Lovely Foundation
information.

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  C. Media Solution & Execution
1. Banner Advertising
2. Fair & Lovely Scholarship Zone
3. SMS Blast
4. IVR
5.  Short Code
6. Reliance Mobile World Website

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 D. What Makes the Idea a
Winner

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 Emami
• FLAGSHIP COMPANY
OF EMAMI GROUP
• PERSONAL BEAUTY
AND HEALTHCARE
BUSINESS
• MANUFACTURES
THROUGH AN
EFFECTIVE
LEVERAGE OF
AYURVEDA

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 ACTIVITY DESCRIPTION
• PARTNERED WITH NGO’S AND BANKS
• OFFERS TWO TYPES OF SELF
EMPLOYMENT SCEMES
- EMAMI MOBILE TRADERS
- EMAMI SMALL VILLAGE SHOPS
• OFFERINGS OF THE SCHEMES

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 BENEFITS TO RURAL
• SPECIALLY TRAINED SELF – HELP
GROUPS
• MARKET SELF MADE PRODUCTS
• SUPPORT SMALL SCALE
MANUFACTURES IN RURAL INDIA

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 MARKETING STRATEGY
• THROUGH SALES - 11000 MOBILE
TRADERS, 2200 SMALL VILLAGE
SHOPS
• COLLABORATIONS WITH ITC e-
choupals
• CONSISTENT GROWTH BY POWER
BRANDS

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 Growth Strategies
• CELEBRITY ENDORSEMENT
• LAUNCHED FIRST ADVERTISING
COMPAIGN
• NEW LAUNCHES
• LEVERAGING ITS AYURVEDA ORIGIN
• GOOD DISTRIBUTION NETWORK

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 REASONS FOR SUCCESS
• SEASONAL DEMAND

• KEY FACTOR FOR SUCCESS

• ENTER OTC MARKETS
• INNOVATIVE PACKAGING
• OUTSOURCING
• WIDE NETWORK FOR DISTRIBUTION

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 • entry in cold cream
market
• natural goodness of time
tested ingredients
• innovative and quality
skin care product
• target customers
• research and development
• packaging and pricing

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 Experience the five fold goodness of Emami Malai
Kesar Cold Cream – the perfect non greasy cold cream
- and face the winter with a soft and glowing skin.So,
go on!
Khul ke ....khilo

• Promotion – create awareness , educating retailers

• Disribution – 3.5 lakhs retail outlets
• Type of demand – seasonal
• Reason for success – association with
ayurveda based products

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 • Introductuon
• Media exposure
- increased literacy
level
• Indirect increase in
disposable income
• Rural youth
- evolving as opinion
leaders

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 TIPS FOR MARKETING
BRANDS IN RURAL INDIA
• Close to the heart of rural people
• pricing has to be value for money
• issues and solutions to it
- pricing
- promotion
- distribution
- brand

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 ETHNIC ROUTE
• Identifying specific values in a cultural context
• Identifying certain beliefs
• Combining elements of specific culture
• Capturing a sense of nostalgia
• Using stereotypes
• Identifying specific cultural traits

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