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A Project Report Submitted in Partial Fulfillment of award of MBA Degree Market Analysis Of Everyuth Derma Care Range At Zydus Cadila Submitted to Mr. Aniruddh Pandharkar Product Manager, CPD Submitted by Lakshmi Nair Varuna Singh AES Post Graduate Institute of Business Management Ahmedabad 2
CONTENTS Page Acknowledgement Preface List of Figures List of Tables Chapter 1: Introduct ion About the Company-Zydus Cadila Cadila Healthcare Limited Skin Care Market Sk in Care Facts Skin Care Product Range Major Competitors Chapter 2 : Strategic Ma rketing Techniques Study of 4 P’s of the Marketing Mix 4 P’s of the Derma Care Range Product Price Place Promotion SWOT Analysis Factors included in a SWOT Analysis Confrontation Matrix Simple Rules for Successful SWOT Analysis SWOT Analysis fo r the Derma Care Range Chapter 3 : Retailer Analysis of the Derma Care Range Res earch Objective Research Methodology 5 6 7 8 9 10 13 17 18 20 23 24 25 28 28 29 30 31 33 34 35 36 37 39 40 40 3
Data Analysis and Interpretation Limitations Chapter 4 : Conclusions And Recomme ndations Glossary Annexure Webliography 41 51 52 55 57 58 4 .
Lastly we thank our fam ily members.ACKNOWLEDGEMENT Many people have guided and influenced us in preparing this project. we are grateful to Dr. AESPGIBM for giving us an oppor tunity to experience the corporate way of working and in the process help us lea rn. Rajendra Sharma and Ms. without which this project would not have been possible. Abhiroop Chatterjea. Aniruddh Pandharkar. Our special thanks to our project guide Mr. friends and classmates who supported us. Marketing Executive for their wholehe arted support and invaluable guidance. Kalro. H. Jinal Parikh and all o ur faculty members who guided us throughout the project. Director. First of al l. Sr. CPD and Mr. A. Lakshmi Nair Varuna Singh 5 . Product Man ager. We also thank Mr.
These sections are sequenced i n a way to give a comprehensive idea of work done. Strategic Marketing techniques. The project report is divided into four sections. During the preparation of this project report. The first section gives a complete overview of the Skin Care Market. and Retailers’ Analysis. Sections encompass of Introdu ction. 6 . The second section gives an o verview of the Strategic Marketing Techniques. During this tenure w e initially studied various aspects of Market Research and then actively partici pated in the process of Marketing Analysis. the final step towards the completion of first year of MBA course. The third and fourth section give s an overview of the Retailers’ Analysis which helps in drawing the conclusions of the study conducted and recommends few marketing strategies. This project is a part of First Year study. all Marketing Researc h concepts were studied and implemented. 2006 and concluded on 15th July. It has been a rich experience to work in a technically advanced environment of Z ydus Cadila. The project duration of 8 weeks comm enced from 15th May. 2006.PREFACE It is indeed a happy moment for us to present this project report. Proper care w as taken while organizing the report so that it would be easy to understand and comprehend.
7 .5LIST OF FIGURES Figures Fig 1 Fig 2 Fig 3 Fig 4 Fig 5 Fig 6 Fig 7 Fig 8 Fig9 Fig 10 Fig 11 Fig 1 2 Fig 13 Fig 14 Fig 15 Fig 16 Particulars Derma Care Sun Protection Range Derma Care Complexion Enhancement Range Derma Care Skin Repair Range The Marketing Mix Dermacare complete Range add Dermacare sun block range add Satellite area analy sis Vastrapur area analysis Jivraj area analysis Paldi Mahalaxmi area analysis N avrangpura area analysis Naranpura area analysis Sardar Patel area analysis Raip ur area analysis Gulbai Tekra area analysis Overall Ahmedabad market Scenario Pg .No.
LIST OF TABLES Table 1 Table 2 Table 3 Revenue Segmentation for the year Jan 05-06 Everyuth Pro duct Range Prices of the various products of the Derma Care Range Table 4 Table 5 The Distribution Channel of Derma Care SWOT Analysis of Derma Care Range 8 .
CHAPTER 1 INTRODUCTION 9 .
To thrive in this evolving environment. Under such circumstances. the concept of total healthcare now forms the com mercial heart of the group s operations and activities. as a whole new identity Zydu s . The decade also marked the beginning o f a new economic framework and a shift in government policies. Spearheading the combined activities of the group. Cadila was ranked the third largest pharmaceutical company i n India. Moving beyond pharmaceuticals. Coup led to this was the enormous task fighting the myth and malady by cutting across the barriers of communication so as to reach out to people and to ensure the mo st effective cure in the shortest possible time. Patel. determined to co ntribute his share by setting up a pharmaceutical company. with tenacity of purpose and unfailing zeal to achieve perfection in quality. a need arose for the country to be self-sufficient in a ll spheres Healthcare at this time was the sole domain of a few pharmaceutical giants. the name combines the ethos of the Greco-Roman God Zeus and the dawn of a new era. 10 . By the early 1990s. it became imperative for Cadila to restructure and stream line its business operations. 1992.(ORG -December 1991. Having broken free from the bon dage of dormant history. Ramanbhai B.ABOUT THE COMPANY. 1993).ZYDUS CADILA The dawn of 50 s ushered in an era of awakening. Thus in 1995. A phonetically powerful word. Cadila was founded in 1952 by Mr. Cadila Laboratories emerged as Cadil a Healthcare under the aegis of the Zydus group. an entrepreneur. Zydus like Zeus also symbolizes the group s aspirations to contribute to the welfare of the people and to society at large.
a specialty division. (which was the largest M&A in I ndian pharmaceutical sector). pain management and anti-infective segments. Penegra. which focuses on the gastrointestin al segment. Organizational architecture of Zydus Group Zydus Cadila -. gast ro intestinal and women’s healthcare and is amongst top three in the respiratory.a specialty division. Zydus Neurosciences -. Some of the alliances that have been successfully forged by Zydus include allian ce with Mallinckrodt. Zydus Biogen -. Diane 35and Mifigest among others. Amlodac. Zydus Medica -.the flagship division focusing on anti-infectives and pain manag ement. Zydus is aiming to be one of the top 10 global generics compani es by 2010 and a global research driven company by 2020.the largest hypertensive brand in the country. Ocid. Ciprobid. P antodac. anticonvulsants. as well as the acquis ition of companies like German Remedies in 2001. which focuses on the cardiovas cular segment. a leading US generic company. Primolut-N. 11 . Zydus has made an aggressive entry in the regulated global gene ric market with operations in France and US. It also is a leading producer of ni che and complex bulk drugs. Atorva.a specialty division. Nucoxia.Zydus today has a leadership position in key segments like cardio vascular. apart from the 25 other emerging ma rkets worldwide. Zamban Group of Italy. Dexona.a specialty division. JV wi th Altana Pharma of Germany and Mayne Pharma of Australia. Su gar Free. Some of the well-known brands of Zydus Cadila includ e Aten . Enew. which focuses on the biolog icals. In recent years. Zydus Alidac -. Dulcolax. therapy areas include anti-d epressants. anti-psychotics and tranquilizers. acquisition of Al Pharma in France among others. GRD.
a 100% subsidiary whose main focus areas include cardiovascular and pain man agement. Dial for health India Limited -.a division that exclusively markets vaccines like Vac Typh an d HB Vac. Recog nizing the fact that a happy workforce is a productive workforce. Zydus Cadila e nsures the well being of all its members. The life force at Zydus Cadila is the dedication of its employees.a division that ma rkets herbal remedies for cold and cough.a division that has a significant presen ce in OTC and Skin care. respiratory tract dis orders. Micro marketing Division -.a key s trategic business unit of Zydus Cadila that manufactures a range of modern bulk actives in the therapeutic areas of anti-ulcerants. anti-diabetics.a division t hat focuses on generic drug marketing.a 100% subsidiary that provides forward integration in the areas of distribution and e-commerce by setting up e-pharmacies. GI tract disorders and other general disabilities. Consumer Products Division -. Phytosurge Division -. Bulk Drugs -. with its basket of brands like Sugar Free (Low calorie sugar substitute). Recon Healthcare Limited -. anti-histaminics etc. A fact underlined in its core belief 12 We build People to build our Business. Dietrim (Fat Soaker ) and EverYuth range of skin specialities. blood banks and hospitals. Zydus Cadila understands and respects their individual needs and provides them with a range o f facilities to help them grow as professionals in various facets of life. Sugar Free D’lite (low calorie soft drink). quinolones. liver disorders. psycholeptic drugs. Zydus Pathline -.Zydus Vaccicare -.a division that man ufactures and markets diagnostic reagents and instruments for the pathological l aboratories. antidepr essants. .
D’lite • EverYuth Orange Peel Off Skin Vitalizer • EverYuth Wa lnut & Apricot Facial Scrub • EverYuth Clearskin Complexion Mask • EverYuth Sunblock Lotion • EverYuth Exfoliating Face Wash • Complexion Crème The Consumer Division of Cadila Healthcare Limited also has a strong presence in the low calorie dietetic segment with brands like Sugar Free .13 billion. Sugar Free . is ava ilable in pellet and powder form. It has pioneered the growth of some of the most fru itful ventures.a healthy low cal sugar substitute. Cadila Healthcare Limited’s parent organisation Zydus Group is one of the fastest growing integrated healthcare companies with a turnover of Rs.CADILA HEALTHCARE LTD. The Consumer Division of Cadila Healthcare Limited is one of the fastest growing departments of the company.a low calorie soft drink mix and Dietrim . It is a leader in the low calorie sweetener ma rket with more than 13 . Consumer Products Division • Sugar Free • Sugar Free .a f at soaker. In the dietetic segment. Sugar Free D’lite . Zydus Group is the 5th largest player in the Indian domestic formulations market and a lso has a global presence. Cadila Healthcare came into being under the aegis of the Zydus Group in 1995.a low calorie su gar substitute.
Face Mask s. EverYuth is a leading skincare brand of the Consumer Division of Cadila Healthca re Limited – the flagship company of Zydus Group. Made from a rare Japane se plant called Konjac. Offering 85% lesser calories than all other soft d rinks. Sun Block Lotions. It is a u nique first of its kind ‘fat soaker in the Indian market. Sugar Free D’lite. Lemon. Sugar Free D’lite is available in 5 flavors namely Orange. where it is the fastest gr owing Face Wash brand. EverYuth has a str ong presence in advanced skincare segments like soap-free Face Washes. Its brand Orange Skin Vitaliser was the first peel-off ma sk to be launched in India and since then it continues to hold a leadership posi tion in this segment.a 100% natural dietary fiber. Passion F ruit and Mango. Specially designed to fulfill every woman’s skincare needs. Face Cleanser etc. works by way of forming a viscous gel after consumption. This produ ct is available in select markets.70% market share. when introduced was the first low calorie sof t drink in the Indian market. the EverYuth range also includes products like Skin Essential Moisturising Lotio n & Crème. Enriched with the power of natural ingredients. It absorbs all the excess sugar and fat s consumed and also helps to cut down on your fat and calorie intake. Scrubs etc. The percentage contribution of th e various product ranges towards the total revenue of the family and towards the total cosmetic sales from January 2005 to January 2006 is as under: 14 . Dietrim . EverYuth has more than 50% market share in the Face Mask & Scrub market and 12% market share in the Face Wash segment. EverYuth occupies a unique distinction of being a skincare brand from a healthc are company . Dietrim was launched in the weight management segment.
Product Variant/sku SKU contrib.1% 13% 79% 8% 8% 13% 78% 22% 24% 23% 0% 79% 21% 22% 14% 44% 56% Table 1 0% 1% . 19% 13% 57% 10% contrib.7% 23. 24% contrib. 26% 15% 64% 17% 4% 22. to total cosmetic sales For month Till month For month Till month contrib. to family Family contrib. OSV 9g 30g 50g 90g Product WFS Variant/sku 7g 50g 100g 200g Product CFP Variant/sku 9g 50g 90g Product FW Variant/sku 50ml 100ml Product MST Variant/sk u 60g 120ml crème Product SSL Variant/sku 60ml 120ml #DIV/0! #DIV/0! 0% 87% 13% 82 % 18% 16% 73% 11% 16% 62% 19% 4% 18% 14% 56% 12% contrib.
Dermatologically tested and conforming to international standards, the new EverY uth Derma Care range has been specially created to suit Indian skin & weather co nditions. Enriched with internationally proven active & natural ingredients and formulated to effectively restore & improve the natural health of the skin, the new EverYuth Derma Care range will empower you to effectively tackle the skin pr oblems of darkening, pigmentation, acne & aging, which are triggered by the sun. Understanding your special skincare needs, EverYuth Derma Care range of specialt y products are classified into three categories - Protection, Enhancement & Repa ir. 16
SKIN CARE MARKET India is one of the fastest growing markets for skin care products, and the targ et of most cosmetic majors is women between 18-35, with a monthly income of Rs 1 0,000 and above. Indian cosmetic industry is heading for a complete makeover, rediscovering the l ongforgotten herbal formulas and beauty secrets. Those in the business say the g oing has never been better for the Indian beauty industry. Estimated at Rs 1800 crore, the industry is growing at 25 per cent annually, while the growth rate of herbal cosmetics sector, estimated at Rs 400 crore is much higher - at 40 per c ent. The natural and ayurvedic sector has seen a phenomenal growth in the last 2 -3 years. The Indian cosmetic companies are just trying to rediscover, what was lying forgotten and untapped for a very long period. More and more companies are entering this lucrative market with a wide range of products. This market surely works on the doctrine “Consumer is the King”. The leadi ng players in this industry are Hindustan Lever Ltd., Ponds India Ltd., Lakme, E mami Ltd, Cavincare Ltd, Godrej Consumer Products Ltd., Lotus Herbals India Ltd. , Procter and Gamble Hygiene and Healthcare Ltd., Cadila Healthcare Ltd. The lat est entrant in the skincare market is Amway India Ltd. 17
SKIN CARE FACTS The skin is amazingly versatile and complex. It is the largest organ of the body and also serves countless essential functions and performs a large variety of r oles. This resilient covering makes you waterproof and leak proof, and helps to protect your internal organs from the environment. Interesting Facts The skin of an average-sized adult covers an area of more than 7 square feet and weighs about 5 kg. The skin is thickest on the soles of the feet, and thinnest around the eyelids, lips and genitals. Why do you need Sun Protection? You need sun protection 365 days a year… Sun contains harmful UVA (aging rays) & UVB (burning rays) that can darken your skin in just 15 minutes… Surfaces such as water, sand and concrete reflect & inten sify sun exposure, because of which you can get sunburned even when you cover yo ur skin or take shelter in the shade. 90% of skin aging happens due to damages caused by sun s harmful UVA (aging rays ), which penetrates more deeply into the dermis. UVA is considered to be the chi ef culprit behind wrinkling, leathering and other aspects of photo aging. Up to 80% of the sun s UVA & UVB rays can even penetrate dense clouds, which is why yo ur skin needs specialist sun protection, every time you step out. 18
blemishes and discolouration. Fairness c reams only superficially lighten your complexion. Exposure to sun s ultraviolet light. accounts for 90% of the symptoms of premature skin aging. The sun is the single most important factor responsible for causing premature ag ing and increasing the risk of skin cancer. which were commonly believed to be due to aging. Which is why. pigmentation. you need enhanced skin lighteners to keep your skin clea r & flawless. 80% of wrinkles & fine lines on your skin are a result of exposure to ultraviolet rays of the sun.. while repairing acne you need to take extra-special care.Wrinkles & Acne. Unprotected sun exposure and harsh Indian climatic conditions not just darken your skin but also damage it by causing dark spots. Why do we need skin repair? Most common skin problems can be traced to the Sun Extreme hot & humid weather c onditions of India. without treating your skin fro m within. l eading to clogged pores & acne.. Many skin changes. along with the sun s harmful UVA & UVB rays have been observ ed to be the primary cause of two main common problems that women face inevitabl y . Excessive heat and humidity cause your sebaceous glands to produce more sebum. Which is why.Why do you need Complexion Enhancement? Sun damage goes beyond skin darkening. 19 . are a ctually a result of prolonged exposure to UV radiation. wh ich contains UVA & UVB rays. Acne can become worse in extreme climate because sweating increases oil production.
SPF 15 (for sensitive skin and c hildren) Daily Matte Sun Block Crème.SPF 30 (for dry skin) Daily Sun Block Lotion.SKIN CARE PRODUCT RANGE Derma Care Sun Protection Range This range is the only advanced sun block range that offers up to 97% sun protec tion for more than six hours. Everyuth Dermacare sun bl ocks are formulated to be absolutely non greasy and completely sweat resistant.SPF 30 (for a ll skin types) Sensitive Skin Sun Block Lotion. This range consists of: Daily Sun Block Crème. A blend of internationally proven sun block agents and natural active ingredients that soothes the skin.SPF 30 (for all skin types) Fig 1 20 .
from within.SPF 25 (for all skin types) Light And Clear Skin Lightening Crème (for pigmented and blemished skin) Fig 2 21 . When used in conjunction they will give you a flawless glowi ng complexion. these specialty products also help in treating skin problems of pigmentation and blem ishes. while also providin g sun protection. It consists of: Daywear Matte Fairness Lotion.Derma Care Complexion Enhancement Range Everyuth Derma Care’s Enhancement Range consists of two unique breakthrough formul ations that will give your complexion a matte fair radiance. Enriched with internationally proven active ingredients.
these products empower to regain beauty and self confidence.Derma Care Skin Repair Range Everyuth Derma Care Repair Range consists of two unique advanced formulations th at help to undo the damages and restore the natural health of skin. This range consists of: Age Defence Anti-Aging Crème (for matured and wrinkled skin) Acne Contol Gel (for acne prone skin) Fig 3 22 . Enriched wit h internationally acclaimed active ingredients.
60) Lotus Fairn ess Cream Lotus Acne Control Cream The Lakme Sun Expert Range consists of: ▪ ▪ ▪ ▪ Lakme Sun Expert Sunscreen Lotion (SPF 1 5 . 25. 40. The 20) ion ial Garnier Skin Care Range consists of: ▪ ▪ ▪ ▪ ▪ ▪ Garnier Skin Naturals Sun Control (SPF Garnier Light (Antimarks & Fairness Cream) Garnier Fainess+Dark Spot Prevent Cream Garnier Wrinkle Lift Garnier Eye Contour Gel Garnier Pure (Anti bacter cream) The Lotus Herbals Skin Care Range consists of: ▪ ▪ ▪ ▪ Lotus Sun Protection Gel (for sen sitive skin) Lotus Sun Protection Cream (SPF 10.MAJOR COMPETITORS Dermacare. the newly introduced range is mainly targeted at the higher middle cl ass and the creamy layer of the society. 20.for all skin types) Lakme Sun Expert Sunblock (SPF 25 – for sensitive skin) La kme Sun Expert Sunscreen Souffle (SPF 20 – for oily skin) Lakme Skin Brightening G el 23 . and the Lakme Sun Expert. Therefore its major competitors are Garnier skin care range. 30. Lotus herbals In dia. Hence it falls in the higher price rang e.
CHAPTER 2 STRATEGIC MARKETING TECHNIQUES 24 .
personal selling. subjec t to the internal and external constraints of the marketing environment. The Concept of the Marketing Mix.STUDY OF 4 P’S OF THE MARKETING MIX The major marketing management decisions can be classified in one of the followi ng four categories: ▪ ▪ ▪ ▪ Product Price Place (distribution) Promotion These variables are known as the marketing mix or the 4 P s of marketing. Fig 4 25 . packaging. display. Borden published his 1964 ar ticle. The ingredients in Borden s marketing m ix included product planning. physical handl ing. The te rm "marketing mix" became popularized after Neil H. pricing. These four P s are the parameters that the marketing manager can control. branding. and fact finding and analysis. advertising. distribution channels. promotions. servicing. The goa l is to make decisions that center the four P s on the customers in the target m arket in order to create perceived value and generate a positive response.
He re are some examples of the product decisions to be made: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Brand name Functionality Styling Quality Safety Packaging Repairs and Support Wa rranty Accessories and services Price Decisions Some examples of pricing decisions to be made include: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Pricing strategy (skim. etc.) Suggested retail price Volume discoun ts and wholesale pricing Cash and early payment discounts Seasonal pricing Bundl ing Price flexibility Price discrimination 26 . penetration. physical products as well as services.Product Decisions The term "product" refers to tangible.
Some examples of dis tribution decisions include: ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Distribution channels Market coverage (inclusive. Marketing commun ication decisions include: ▪ ▪ ▪ ▪ ▪ ▪ Promotional strategy (push. or exclusive distri bution) Specific channel members Inventory management Warehousing Distribution c enters Order processing Transportation Reverse logistic Promotion Decisions In the context of the marketing mix. selective. the communication of information about the pr oduct with the goal of generating a positive customer response. that is. pull.Distribution (Place) Decisions Distribution is about getting the products to the customer.) Advertising Personal selling & sales for ce Sales promotions Public relations & publicity Marketing communications budget 27 . promotion represents the various aspects of marketing communication. etc.
100 g Daily Sunblock Lotion SPF 30 50 ml.4 P’S OF THE DERMACARE RANGE Product The term ‘product’ for the Derma Care Range and the Clear Skin Complexion Mask inclu des: Product SKU Daily Sunblock Crème SPF 30 50 g. 100 g Daywear Matte Fairness Lotion SPF 25 100 g Light & Clear Skin Lightening Crème 50 g Age Defence Anti-Aging Crème 50 g Acne Control Gel 50 g Table 2 28 . 100 ml Sensitive Skin Sunblock Lotion SPF 15 100 ml Daily Matte Sunblock Crème SPF 30 50 g.
Price The prices of the various products of the Dermacare Range are follows: Product SKU MRP (Rs.) 90 Daily Sunblock Crème 50 g (SPF 30) Daily Sunblock Crème 100g (SPF 30) Daily Sunblock Lotion 50 ml (SPF 30) Daily Sunblock Lotion 100 ml (SPF 30) Sensitive Skin Sunb lock 100ml Lotion (SPF 15) Daily Matte Sunblock 100 g 175 85 150 125 195 Crème (SPF 30) Daily Matte Sunblock 50 g 110 Crème (SPF 30) Daywear Matte Fairness 100 g Lotion (SPF 25) Light & Clear Crème 50 g 90 150 150 Age Defense Anti-Aging 50 g Crème Acne Control Gel 50 g Table 3 75 29 .
Place This decision most importantly constitutes of the distribution channels. The var ious distribution channels used by the marketing department is as follows: FMCG Channel Company Pharmaceutical channels Chemists C & F Agents Wholesale Stockists Redistribution Retailer Shops Retailers Customers Customers 30 .
They have a well developed and well connected personal sellin g and sales force. they have an Everyuth Club wh ich organizes competitions and other recreational activities for its members. on all the major television channel s and print media. 31 .Promotion The marketing department for the Everyuth Dermacare Range mainly uses the ‘Pull’ str ategy for its product. They have aired two advertisements. Leading actress and model Perizaad Zorabian is the brand ambassador for their ra nge. one comprising the entire range and one showing the Dermacare Sun Protection Range. MTV Evergreen Hits sponsored by Ever yuth Dermacare and hosted by Perizaad Zorabian. Under its various promotional schemes for the Dermacare Range. they came up with a new programme on MTV (Music Television). Under the public relations and publicity campaign.
Dermacare Skin Protection Range Dermacare Sun Protection Range Fig 5 Fig 6 32 .
It includes demographic. opportunitie s. Opportunities and threats are external factors that create value or destroy valu e. They can include assets. minimize threats. A company cannot control them. economic. technical.SWOT ANALYSIS SWOT analysis is a tool for auditing an organization and its environment. skills at its disposal. It is ap plicable to either the corporate level or the business unit level and frequently appears in marketing plans. This helps you to focus on your strengths. legal factors. SWOT Analysis is a powerful framework for analyzing your company s Strengths and Weaknesses. Strengths and weaknesses are internal factors that create value or destroy value . SWOT stands for strengths. and take the greatest possible advantage o f opportunities available to you. and threats. 33 . and the Opportunities and Threats you face. compared to its competitors. They can be measured using internal assessments or external benchmarks. political. It is the first stage of planning and helps marketers to focus on key issues. Any organization must try to create a fit with its external environment. social. weaknesses.
Threats the ▪ ▪ A new competitor in your own house Price war Competitor has a new. joint ventures or strategic ▪ alliances • Moving into new attractive market ▪ segments • A new international ▪ market ▪ Loosening of regulations • Removal barriers • A market that is led by a weak competi tor. of international 34 . i nnovative service New regulations Increased trade barriers A potential new taxat ion on your product trade • Mergers.Factors included in a SWOT Analysis: Major factors included in a SWOT Analysis are presented in the following matrix: Strengths ▪ ▪ ▪ ▪ ▪ ▪ ▪ ▪ Specialist marketing expertise Exclusive access to natural resour atents New. innovative product or service Location of your business Weaknesses ▪ ▪ ▪ ▪ ▪ Lack of marketing expertise Undifferentiated products Location of you r company Competitors have superior access Poor quality of goods or services Dam aged reputation Cost advantage through proprietary ▪ know-how Quality processes and procedures Str ong brand or reputation Opportunities • Developing Internet) market (China.
Opportunities Threats Strengths Offensive Adjust Make most of these Restore strengths Weaknesses Defensive Survive Watch competition closely Turn around 35 .Confrontation Matrix A tool to combine the internal factors with the external factors is the Confront ation Matrix. On the basis of this matrix an organization decides which strategy should be adopted.
Avoid grey areas. and where it could be in the future.e. 36 .Simple rules for successful SWOT analysis ▪ ▪ Be realistic about the strengths and weaknesses of your organization when conduc ting SWOT analysis. Keep your S WOT short and simple. Always apply SWOT in relation to your competition i. SWOT analysis should distinguish between where your organiza tion is today. ▪ ▪ ▪ ▪ SWOT should always be specific. Avoid complexity and over analysis. better than or worse than your competition. SWOT is subjective.
SWOT Analysis for the Dermacare Range Strengths Weaknesses ▪ ▪ ▪ ▪ Brand name Quality Strong distributorship Established Products ▪ ▪ ▪ ▪ ▪ High price Poor promotion schemes Restrained advertising budget Low retailers ma rgin Lack of push strategy Opportunities Threats ▪ ▪ ▪ Growing market due to improving ▪ economic conditions Untapped potential in the sk in care market Technical innovations ▪ Existing leaders Competition from MNC’s Table 4 37 .
t he strategy best suited for the Derma Care Range is the Defensive Strategy. wher ein a close surveillance of the competition must be administered. Improving economic conditions have led to larger and growing markets. due to whi ch there is a great scope for the skin care industry. Hence under such circumstances the Defensive Strategy is the best suited. 38 .After combining the internal and external factors in the Confrontation Matrix. Hence opportunities are im mense but there are also certain weaknesses in the marketing strategy hindering their development.
CHAPTER 3 RETAILER ANALYSIS OF THE DERMACARE RANGE 39 .
Time Scope b. Methods of Data Collection: ▪ ▪ Research Design Sample Design .Sample Size ▪ Data Collection Sources .RETAILER ANALYSIS OF THE DERMACARE RANGE 1. newspape rs and magazines.Secondary Sour ce c. Research methodology: a. Satellite Vastrapur Gulbai Tekra Paldi. Research Objective: ▪ ▪ ▪ ▪ To check the stocking pattern of Everyuth Dermacare Range at various retail outl ets in Ahmedabad To find out the sale or movement of the Everyuth Dermacare Rang e To evaluate the impact of advertisement on the movement of the product To stud y the competition 2. Geographical Scope: Retailers (Interview mode) Internet.Sam ple Type .Primary Source . Mahalaxmi Navrangpura Naranpura Sardar Patel Raipur Convenience 162 Descriptive Design 2 months 40 . library.
00% DSP R % availability G SCR G ER G SRR DSRR LSCR LER LSRR pdct category Fig 7 From the above graph it can be derived that in satellite the sun control range o f Derma Care is available in 62% of shops. GARNIER LIGHT & GARNIER FAIRNES S products are available at maximum number of shops i.00% 70. GARNIER again is the leading brand whic h is available at 81% outlets. Data Analysis and Interpretation Satellite DCER 100. Next to LAKME is GARNIER SUN CONTROL i. which consists o f Age Defence and Acne Control products. ▪ In the Skin Enhancement Range.e. 86%. LOTUS SUN CONTROL is availa ble at 47% shops. Only 19% shops had the Derma Care Enh ancement Range and around 14% shops stocked Derma Care Skin Repair Range. DERMA CARE SKIN REPAIR RANGE. It is available at only 14% of shops. LOTUS enhancement product is available at 48% outlets.e. After Garnie r.00% 90.3.00% 10.00% 0.00% 40.e. 81% shops. Lotus repair range is second most available produ ct i. DERMA CARE SKIN ENHANC EMENT RANGE is available at 19% shops ▪ In the Skin Repair Range. LAKME SUN BLOCK CRÈME AND LOTION is available at almost 100% s hops.00% 80.00% 60.00% 20. 41 LSBR . 24%. ▪ In the sun control range.00% 30.00% 50. The brand which is least stocked in this range is.
DERMA CARE SKIN REPAIR RANGE. which is the least available product in Su n Block Range in Vastrapur.e. The brand which is leas t stocked in this range is. After Garnier. around 94% shops. LOTUS enhancement product is availabl e at 65% outlets. DERMA CARE SKIN ENHANCEMENT RANGE is available at only 29% sho ps.00% % availability 80. ▪ In the Skin Repair Range.00% DSPR GSCR GER GSRR DSRR LSCR LER LSRR LSBR pdct category Fig 8 From the above graph it can be derived that in Vastrapur.00% DCER 0. ▪ In the Skin Enhancement Range. LAKME SUN BLOCK CRÈME AND LOTION and GARNIER SUN CONT ROL are available in similar number of shops i. GARNIER is again the leading brand which is available at 94% outlets. Only 53% shops had the Derma Care Enhancement Range and around 29% shops stocked Derma Care Skin Repair Rang e. the sun control range of Derma Care is available in maximum 59% of shops. GARNIER products are available at 100% of shops.00% 20. 42 . It is available in onl y 29% of shops. LOTUS SUN CO NTROL is available at only 53% shops. ▪ In the Sun Control Range. 35%.Vastrapur 100. which again is the least in the Enhancement Range. Lotus Rep air Range is the second most available product i.e.00% 60.00% 40.
5%. DERMA CARE SKIN ENHANCEMENT RANGE is available at maximum 31% out lets.00% 80.00% 10.00% % a vailability Jivraj DCER GSCR GER GSRR DSPR DSRR LSCR LER LSRR pdct category Fig 9 In Jivraj.00% 30. ▪ In the Skin Enha ncement Range. Onl y 31% shops had the Derma Care Enhancement Range and around 12.5% shops stocked Derma Care Skin Repair Range. LOTUS enha ncement product is not 43 LSBR . GARNIER ENHANCEMENT RANGE is available at 25% of shops. DERMA CARE SKIN REPAIR RANGE is available at 13% of shops. LAKME SUN BLOCK CRÈME AND LOTION & GARNIER SUN CONTROL is available at almost 87.00% 40. the Sun Control Range of Derma Care is available at 50% of shops.00% 0.00% 20. LOTUS SUN CONTROL RANG E is the least available product in Jivraj. available at all. GARNIER is the leading brand which is available at 19% outlets.00% 70.5% shops.00% 60. ▪ In the Sun Control Range. ▪ In the Skin Repair Range. which is available at 50% shops.100.00% 90. Next to them is DERMA CARE SUN CONTROL.00% 50. Lotus Skin Repair Range is completely out of stock in all the outlets at Jivraj. which is only12.
GARNIE R is the leading brand which is available at 50% outlets. Next is DERMA CARE SUN CONTROL. ▪ In the Skin Repair Range. following this is LAKME SUN BLOCK CRÈME AND LOTION which is av ailable at almost 87. GARNIER SUN CONTROL is availabl e at 100% of shops.5% shops. 44 LSBR .5% shops.6 0.2 DCER G SCR G ER G SRR DSPR DSRR 0 LSCR LER LSRR pdct category Fig 10 The Sun Control Range of Derma Care is available at 62% of the shops. ▪ In the Skin Enhancement Range. DERMA CARE SKIN REPAIR RANGE is available at 37. ▪ In the Sun Control Range. GARNIER ENHANCEMENT RANGE i s available at maximum 50% outlets.8 0. which is availabl e at 62.Paldi Mahalaxmi 1 % availability 0. Only 25% s hops had the Derma Care Enhancement Range and around 37. LOTUS SUN CONTROL RANGE is the least available product in Pald i.4 0.5% shops stocked Derma C are Skin Repair Range. which is only 25%. Lotus Skin Repair Range is available at 2 5% of shops. DERMA CARE SKIN ENHANCEMENT RANGE & LOTUS en hancement product is available at 25% of shops.5% of shops.
5% shops. 45 LSBR . which i s available at 62. ▪ In the Skin Enhancement Range. GARNIER is the leading brand which is available at 50% outlets.00% 80. ▪ In the Skin Repa ir Range. ▪ In the Sun Control Range. LAKME SUN BLOCK CRÈME AND LOTION is ava ilable at GARNIER SUN CONTROL is available at% of shops. following this is & is available at almost 87.00% 40.00% 30. LOTUS SUN CONTROL RANGE is the least available produ ct at Navrangpura.Navrangpura 100. Only 22% shops had the Derma Care Enhancement Range and around 44% shops stocked Derma Care Sk in Repair Range.5% shops. Next to that is DERMA CARE SUN CONTROL.00% 0. DERMA CARE SKIN ENHANCEMENT RANGE & LOTUS enhancement product is available at 25% of shops.00% 90.00% 10. GARNIER ENH ANCEMENT RANGE is available at maximum 50% outlets.00% 50. Lotus Skin Repair Range i s available at 25% of shops. DERMA CARE SKIN REPAIR RANGE is available at 37.00% 60. which is only 25%.00% 20.00% 70.5% of shops.00% % availability DCER GSCR GER GSRR DSPR DSRR LSCR LER LSRR pdct category Fig 11 The Sun Control Range of Derma Care is available at 78% of shops.
GARNIER ENHANCEMENT RANGE i s the only brand available. ▪ In the Skin Enhancement Range. LOTUS and DERMA CARE is not stocked at all.00% 10. Other b rand i. ▪ In the Skin Repair Range. LAKME SUN BLOCK CRÈME AND LOTION is available at 83 % shops. No shops had t he Derma Care Enhancement Range.00% 0.Naranpura 100.00% 30. GARNIER SUN CONTROL is available at 67% of shops. Lotus Skin Repair Range is not av ailable at shops.00% 60.00% % availability DCER GSCR GER GSRR DSPR DSRR LSCR LSRR LER pdct category Fig 12 The Sun Control Range of Derma Care is available at 25% of shops. following this is Der ma Care and is available at almost 25% shops.00% 50. LOTUS SUN CONTROL RANGE is not ava ilable at any outlet. Only 9% shops stocked Derma Care Skin Repair Ra nge.00% 80. 46 LSBR . ▪ In the Sun Control Range. GARNIER is the leading brand which is available at 33% outlets.00% 40.00% 70.00% 90.e.00% 20. This product is stocked at around 42% shops. DERMA CARE SKIN REPAIR RANGE is available at only 8% of shops.
00% 70.00% 40. GARNIER SUN CONTROL is available at 89% of shops.00% 30. GARNIER ENHANCEM ENT RANGE is available at 15% outlets.00% 60. LOTUS is not stocked at all. LOTUS SUN CONTROL RANGE is n ot available at only 4% outlets.00% 80. No shop stocked Derma Care Skin Re pair Range. DE RMA CARE SKIN REPAIR RANGE & LOTUS is not available.00% 0. following thi s is Derma Care & is available at almost 41% shops. which is highest. GARNIER is the leading brand which is available at 11% outlets.00% % availability DCER GSCR GER GSRR DSPR DSRR LSCR LER LSRR pdct category Fig 13 The Sun Control Range of Derma Care is available at 41% of shops.00% 50.00% 90. ▪ In the Skin Enhancement Range.Sardar Patel 100.e. Derma Care Enh ancement Range is available at only 4% shops. DERMA CARE is stocked a t only 4% outlets and other brand i.00% 10. LAKME SUN BLOCK CRÈME AND LOTION is availabl e at 100% shops. 47 LSBR . ▪ In the Sun Control Range. ▪ In the Skin Repair Range.00% 20.
8 0.6 0. Derma Care Skin Repair Range is a vailable at 13% of shops. LOTUS is not stocked at all.e. ▪ In the Skin Repair Range. DERMA CARE SKIN REPAIR RANGE is the leading brand which is available at 13% outlets.Raipur 1 % availability 0. ▪ In the Sun Control Range. GARNIER is stoked at merely 3% of outlets & LOTUS is not available at all. Derma Care Enh ancement Range is available at only 10% shops.4 0. DERMA CARE is available at 10% outlets. Next to Derma Care is LAKME SUN BLOC K CRÈME AND LOTION. which is stocked at almost 50% of shops. which is highest. ▪ In the Skin Enhancement Range. GARNIER SUN CONTROL i s available at 30 % of shops. 48 LSBR . stocking of Derma Care is do ne at 60% shops which is highest in Raipur.2 DCER GSCR GER GSRR DSPR DSRR 0 LSCR LER LSRR pdct category Fig 14 The Sun Control Range of Derma Care is available at 60% of shops. GARNIER ENHANCEMENT RANGE is stocked at only 3% outlets and other br and i. LOTUS SUN CONTROL RANGE is not available at outlet s.
LOTUS is not available at all. GARNIER SUN CONTROL is also available at 100% shops. ▪ In the Skin Repair Range. After Garnier. 14%.00% 90. LAKME SUN BLOCK CRÈME AND LOTION is available at almost 100% shops. ▪ In t he sun control range.gulbai Tekra 100. GARNIER LIGHT & GARNIER FAIRNESS products ar e available at maximum number of shops i.e .e.00% 80. 49 LSBR .00% 10. Only 14% shops had the Derma Care Enhancement range and around 14% shops stocked Dermacare skin repair range.00% 0.00% 30. Lotus SUN CONTROL i s available at only 14% shops.00% 60.00% 50. which consists of Age Defence a nd Acne control products.00% 20. DERMACARE SKIN ENHANCEMENT RANGE enhancement product is available at 14% outlets. The brand Lotus is not available. ▪ In the skin enhancement range. GARNIER again is the leading brand which is available at 95% outlets.00% DSP R % availability DCER GSCR GER GSRR DSRR LSCR LER LSRR pdct category Fig 15 From the above graph it can be derived that in Gulbai Tekra the sun control rang e of Derma Care is available in 73% of shops.00% 40. 95% shops. DERMACARE SKIN REPAIR RANGE is second most available product i.00% 70. which is the least available product in Gulbai Te kra.
50 . Lakme leads with 87% of market share in the premium ca tegory range. In the Skin Repair category also Garnier is the market leader with 46% of the ma rket share. In the Sun Control Range. In the Skin Enhancement category Garnier leads with 48% share. Derma Care ranks second with a 17% share. followed by Derma Care with 15% share. Next to Garnier is the Derma Care Range with a market share of 56%. Garnier is the leading brand in all the categories. The least available brand is the Lotus Skin Repair Range. Lotus lags behind with a mere share of 14%. Garnier ranks second with 78% of the market share. Lotus products are availabl e at around 16% of the shops.Product Availaility 160 140 No. of shops 120 100 80 60 40 20 DC DL DDM DSS DDWM DSLC DAD DAC GSC GAM GDS GWL GEC GAB LG25 L10 L20 L25 L30 L40 L60 LF LAC LSB 0 pdct category Fig 16 Looking at the overall market trend.
during which the sal e of sun control range is maximum. 51 .LIMITATIONS ▪ Limited to a particular time period The survey was conducted during the month of June and July. ▪ Limited to Ahmedabad Due to time and geographical constraints the Research was limited to the major m arkets in Ahmedabad only. This might be a reason why the sun control ra nge of Derma care was available in majority of outlets. The market forces may ha ve changed with time because of which the results may be different.
CHAPTER 4 CONCLUSIONS & RECOMMENDATIONS 52 .
Lotus is prefe rred by consumers of the premium category. has a substantial amount of stocking in the Ahmedabad market. The margin provided to retailers is lower as compared to that of the competitors. who are brand loyal and are reluctant to switch to other products. Lotus also pays a ve ry high margin to the retailers. The brand name of Everyuth plays an important role for this phenomenon. It is more popular in higher end markets. Lakme Sun Block is the most preferred brand in all the areas. is mainly involved in print adv ertisements and does not advertise in the television media. Everyuth Dermacare has a very good distribution channel because of which it is available in all the marke ts. The margin provided to retailers is a major factor in deciding the extent of retailer promotion. The ad awareness of the Garnier Range is higher than the other products. Lotus Herbals Ltd. from higher end markets like Satellite and Vastrapur to a lower end markets like Raipur and Jivraj.CONCLUSIONS The following are the conclusions from our study: ▪ ▪ Ad awareness of the Derma Care Range is low with majority of the stocking taking place due to the strong distr ibution network. ▪ ▪ ▪ ▪ ▪ ▪ ▪ 53 . Derma care. A major challenge for Derma Care is that it is a premium brand which caters to people in the premium category. which is comparatively less compared to other products in this category. where quality of the prod ucts is a crucial factor in deciding brand loyalty and hence brand switching is less frequent. Hence the push strategy is rendere d ineffective with the range not being promoted aggressively by the retailers. bec ause of the brand name “Lakme” and the cost. The Derma Care Range does not employ such strategies. which helps to retain the retailers’ loyalty. though a newly introduced product. like Vastrapur and Satellite. Lot us also provides extra monetary benefits for space and shelf display. Garnier is the most favored brand after Lakme.
54 . to keep t he brand in the consideration set of consumers. More promotional schemes could be implemented in order to increase the movement of the product. Display of products in strategic stores at high visibility points could be done to improve the movement of the complete range. frequency of the advertisements should be increased in the television and print media so as to increase the ad-recall. ▪ ▪ ▪ Retailer’s Margin should be increased so as to motivate the retailers to push the product. Trial packs and free samples of all the products of the complete range should be introduced so as to facilitate the first-time users. For example: Tie-ups with beauty parlours to organize competitions for the target audience could be a nice promotional sch eme.RECOMMENDATIONS On the basis of our study we would like to put forth the following recommendatio ns: ▪ The ‘Push Strategy’ should be more implemented in order to increase the market penet ration for the Dermacare Range. As the ad-awareness is r eally low. ▪ ▪ ▪ Bouts of intensive advertising should be done during specific periods.
GSRR:. DSRR:. CFP :.Derma Care Sensitive Skin Sun Block Lot ion 7.Garnier Anti Bacterial clear imperfection 12. GSCR:-Garnier Sun Control 10.Daily Sun block Crème (SPF 30) DL:.GLOSSARY 1.De rma Care Daily Matte Sun Block Crème DSS:. FW :.Garnier Wrikle Lift GEC:.Daily Sun block Lotion (SPF 30) DDM:.Derma Care Age Defence DAC:.Derma Care su n Protection Range • • • • DC :.Derma Care Complexion Enhancement Range • • • • DDWM:.Garnier Eye Contour GAB:. LSBR:.Garnier Enhancement Range • • • • • • GAM:. GER:. DCER : .Sun screen Lotion 6. SSL :.Lotus Gel SPF 25 55 .Cucumber F ace Pack 4.Derma Care Acne Control Gel 9.Derma Care Day Wear M atte Fairness Lotion DSLC:.Walnut Face Scrub 3.Garnier nti Marks GDS:.Derma Care Skin Repair Range DAD:. WFS :.Lotus Sun Block Range LG 25:.Derma Care Skin Lightening Crème 8.Face wash 5.Garnier Skin Repair Range GWL:. DSPR :.Orange Skin Vitalizer 2. OSV :.Garnier Dark Spot Prevention 11.
Lotus Sun Block SPF10 L20:. LF:.Lotus Sun Block SPF20 L25:.Lotus Sun Block SPF40 L60:. LAC:. LSB:.Lotus Sun Block SP F25 L30:.Lotus Sun Block SPF30 L40:.Lotus Acne Control 15.• • • • • • L10:.Lotus Fairness 14.Lotus Sun Bloc k SPF60 13.Lakme Sun Block C rème and lotion 56 .
Garnier.e.ANNEXURE Questionnaire Data for this study was collected through the interview mode. Lotus and Derma Care in this range. Complexion Enhanceme nt and Skin Repair Range? • Do you stock the Derma Care Range? If yes. • Which strategies are adopted by the various brands for promoting their product? • What schemes could help in the better promotion of the Derma Care Range? 57 . on customers’ demand or brand name or because of the distribution cha nnel? • Have you seen the advertisement of the Derma Care Range? Does it bring out all the special features of the product? • Comparing all the major brands i. As a result most o f the questions asked to the retailers were open-ended. Hence an unstructured qu estionnaire was used for our purpose of reference. then on wha t basis i. the movement of which brand is the fastest? Rank them. La kme. Questions asked are as under: • What are the various brands stocked in the Sun-Protection.e.
com/bnh/everyuth/everyuth.com 3.coimbatore.12manage.everyuth.htm 58 . www.com 2. http://www. www.WEBLIOGRAPHY 1.zyduscadila. http://mall.html 4.com/methods_swot_analysis.
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