PRODUCT STRATEGY AND

BRAND MANAGEMENT
PROJECT PHASE- II

SUBMITTED TO:
Dr. M. R. Suresh

SUBMITTED BY:
Group A3

Nilina Lizbeth Babu-16030

Sindhu S-16048

Harikrishnan KS-16075

Meghana Banka-16084

Shruti Adapa-16166

Ziaulla Sheriff-161803
Contents
ORGANIC LIPSTICK ............................................................................................................... 2
PIC MODEL .......................................................................................................................... 2
Why Organic Lipstick? .......................................................................................................... 3
Competitors ............................................................................................................................ 3
The benefits sought by the organic Lipstick .......................................................................... 4
The products other than organic lipstick that meet these needs............................................. 5
End user experience of organic lipstick: ................................................................................ 5
ORGANIC SOCKS ................................................................................................................... 6
PIC MODEL .......................................................................................................................... 6
From the focus group Discussion we have got the following inputs: .................................... 7
WHY ORGANIC SOCKS? ................................................................................................... 7
Following are the products:

1. Organic Lipstick
2. Organic Socks

Company Chosen: Fab India

ORGANIC LIPSTICK

PIC MODEL

Background: Situation analysis

The business is about coming up with an organic lipstick. This strategy has been developed
because today most of the women are being more independent and everybody cares about their
personality and lipstick is not just a product its a womans best friend. Women of almost all
the ages use them, it makes them look more attractive. The ingredients used in a lipstick vary
with different manufacturer. The demand of the product have increased as they are made of
natural ingredients and are safe as compared to the competitors.

Though women never eats lipstick intentionally but every time they eat or drink anything some
amount of lipstick also gets digested. So, any woman would be worried about the same since
it is indeed made of harmful chemicals such as antioxidants, wax, pigments, fragrances etc.
Reports suggests that on an average they consume about 3 to 4 pounds of lipstick in the entire
life.

So, health conscious women would probably switch to a safer and natural or organic alternative
which would not pose any kind of risks to their health.

If they use organic lipstick which would not have coal tar ingredients or artificial colours or
even crushed insects then women can stop worrying about eating it up. The ingredients would
be rather focused on the organic plant extracts.

Focus:

Ingredients used should be 100 percent natural base so that there are no side effects and also
prevents from lip cracking or blackening of lips. So we can use these features in deriving value
in bringing the lipstick to the target market which is women. So, women who do not want to
risk their health would be advantages for the company. The lipstick would be both
technologically and commercially feasible since the demand from the target market would be
sufficient.

Companys marketing capabilities: The main strategy is to use integrated brand awareness
and competitive pricing effectiveness. Thus most of the lipsticks could be priced lower than
the other brands

Goals-Objectives:

Short term goals of the company: The lipstick should be affordable and attractive and have
different shades so as to cater to all the target customers

Long term goals: The intention of the company should be to build the market for a long term
and convert the non-users to loyal customers and retain them later.

Guidelines:
Entry into the market: Position the lipstick as a natural good quality product

Cost: The pricing should be such that it is affordable and less than those products offered by
other companies so that the customers will be interested in buying the product

Product quality: No compromise should be done when it comes to quality since it is a personnel
and skin care product.

Why Organic Lipstick?

According to the brainstorming sessions it was observed that people were more inclined
towards the organic lipstick, they found the concept good as the product will stays for longer
hours, comes in a variety of colours. Women do not care much about brands if they are getting
good quality products that are good for their skin and overall health. But since it is a personal
care product we need to focus on advertisement and positioning of the product in the minds of
the consumers.

Competitors
1. Lotus Herbals:
It is known for a wide range of ayurvedic and herbal skin care cosmetic products. It is
known for best quality and herbal ingredients, free from chemicals and animal testing. The
 product is Lotus Herbal- Pure colours lip colour. This is a range of moisturizing lip colours
with natural extracts of Jojoba which acts as an anti-oxidant and Aloe Vera which has good
healing properties and a soothing fragrance.
Price Ranges from Rs. 100 to Rs 500 with a variety of different shades for quantity of
around 4 grams
2. Rubys Organic Lipstick:
This ranges around Rs 800 to Rs 990 comes in different flavours such as Apricot, Raisin,
and Roseate for 3.7 grams of quantity. The products have bio-active ingredients that
nourishes and cares for skin. This lipstick carries most of the benefits of a lip balm but stays
for longer hours like a lipstick. It has a semi-matte finish of colours which will suit every
skin type. It consists of butter of mango and shea that helps in softening lips and along with
that it has the right blend of antioxidants and almond oils and castor as well.
3. Soul Tree Lipstick:
This brand is Indias only brand with the BDIH Germany certification. The ingredients of
this is mostly organic ghee and honey as it is known for healing, moisturizing and
lightening effects. Honey is good for softening and sweet almond for nourishment and
revitalising. It has no synthetic colours fragrances or any preservatives. The price ranges
around Rs 500 to Rs 600 for 4.5 grams.

The benefits sought by the organic Lipstick

The following are the benefits that will be sought by the end users when they choose organic
lipsticks

1) Organic lipsticks are made from natural fruit extracts or vegetable extracts and are
devoid of chemicals like lead, chromium etc. which are known to cause all sorts of
diseases. Therefore even if this lipstick is consumed while swallowing food or drinking
liquids it is safe unlike the non-organic lipsticks
2) The natural base in the lipstick will nourish the lips and keep the lips healthy and moist
3) As all the ingredients are derived from organic plants and phytonutrients are used in the
lipstick the lipstick can be re-applied any number of times. This would not cause any
allergies of chapping of lips which is caused when using the non-organic lipstick.
4) Chemical accumulation is also eliminated due to the use of organic lipsticks
5) Some women have sensitive skin and lips which means that they would not be able to
use lipstick like the other women do. Such women can use organic lipstick which will
be able to improve the condition of their lips
 6) Organic lipsticks are eco conscious and are ethically tested lipsticks. Hence it can be
assured that these lipsticks are not tested on animals unlike the chemical ones.

The products other than organic lipstick that meet these needs
The products that meet these needs are

1) Lip balm
Natural lip balms are made out of beeswax, coconut oil, shea butter and essential oils
which are all very healthy ingredients for the nourishment of the lips.
2) Lip Gloss
Lip Gloss is made with similar ingredients like lip balm along with a few colours. Often
Lip Gloss is used instead of Lip Balms. It gives the lips a plump look.
3) Petroleum Jelly
It is made out of natural wax and essential mineral oils that are able to lock the moisture
on the lip. It also gives the lip a glossy texture.

End user experience of organic lipstick:

There are many reviews which were given by organic lipstick. Some of them are:

1. The organic lipstick is free from all the harsh chemicals and synthetic permitted
pigments. So it will not affect the health of the customer.
2. Usually the lipstick becomes dry after a point. But by using the organic lipstick, It
will not dry even after a certain period of time.
3. The organic lipstick has natural ingredients. The skin has a tendency to absorb some
components whenever we apply anything on it. Because of these lipsticks some
nutrients are entering in the skin which will protect it from harmful chemicals.
4. Many customers also felt that it reduces premature aging. As the product has the
features of protecting the skin from sun rays, it will protect the skin from all types of
sun tan related issues.
 ORGANIC SOCKS

PIC MODEL

BACKGROUND: Organic cotton is far better than the conventional cotton clothing and there
is a huge surge in the buying pattern of Organic clothes. The conventional cotton uses about
16% of the worlds insecticides and 7% of the pesticides. The organic cotton helps in
minimizing the impact on the environment and it also improves the lifestyle. This will re-iterate
our idea of responsible manufacturing and value based shopping. In addition to the already
existing organic products, The Company has decided to introduce Organic socks. A lot of
people who suffer from allergy are regular users of socks and they are very particular about the
quality. Not only allergic people, even the diabetic patients are regular user of socks and they
are also very particular about the quality of the socks. Organic cotton are not only safe for the
skin but they are also very comfortable.

FOCUS: To add to the existing footwear brand the company tends to introduce Organic socks.
There is absolutely no major competition for this product. There are a few companies which
offer organic socks but they are very small in comparison with FabIndia and FabIndia tends to
tap this market and become the market leader.

GOALS-OBJECTIVES:

Short term goals- To produce the organic cotton socks with the desired compositions (98%
cotton and 2% spandex)

Long term goals: To introduce it in all FabIndia outlets across the country.

This will be achieved by building our R&D team and upgrading our manufacturing facilities.
Also a lot of emphasis has to be given in marketing the product since this is new to the
company.

GUIDELINES: Care will be taken in identifying the procurement of organic cotton from the
suppliers. It will be achieved by introducing new machinery and skills to manufacture socks
and also to collaborate with our technical team to ensure the composition of Organic cotton
and Spandex as it is very crucial.
From the focus group Discussion we have got the following inputs:
1) Concentrate on the health conscious people, not sports as it will not match with the
brand i.e FabIndia.
2) Bad odour which is one of the major issues will be solved by introducing Organic cotton
socks.

WHY ORGANIC SOCKS?

1. Environment-Friendly
It results from an agriculture and environmental friendly method. Producing organic cotton
uses lower carbon due to lesser fuel and energy consumption. Because it goes through a
chemical free production process, it also prevents water contamination. The health of workers
are also not compromised. Lastly, the use of excessive fertilizers and pesticides also cause
irreparable damage to the environment.

2. Safety Standards
Organic clothing products are safer as manufacturers adhere to very rigid and stricter
manufacturing standards. This is not only to minimize negative impact to the environment
but to ensure customer value as well by subscribing to very high ethical standards such as
Fairtrade Cotton, Better Cotton Initiative, FLO International and other global movements that
promote organic cotton.

3. Cheaper Production Cost

It is cheaper to produce as it does not only do away with dangerous and toxic chemicals, it
also only grows natural cotton seeds instead of processed ones. Everyone knows that BT (or
genetically modified seeds) are more expensive to buy and need chemicals to make non-
organic cotton resistant to pests and diseases. The absence of chemicals negate the use of
storage facilities which increases farming costs too.

4. Avoid Allergies and Skin Concerns

There are no chemical retentions from organic cotton clothing; thus, people with allergies or
with specific chemical sensitivity will greatly benefit from using organic cotton in clothing
fabric. It feels better on your skin too even if you are not suffering from allergies or chemical
sensitivities. In addition, most of those who are loyal to organic cotton clothes swear that it
smells better than the usual cotton types.