Overview

The product that we intend to launch in the market is CLENZZO, it’s basically a portable and
convenient instant stain remover that get rid of small spots within minutes. It is small
probably a size of a board marker and can be placed anywhere like your pockets, handbags
etc so it’s really convenient and can be taken everywhere. It small, efficient, portable and
easy to use.

We decided to develop this product because currently in the market of Pakistan there isn’t
any such products available and our product can really create value for the customers
because of its convenience, uniqueness and utility.

Procurement of CLENZZO is going to be from China where our supplier will export us the
product. Each CLENZZO stain remover costs us about Rs.60 and the ink for about Rs.30 so
the overall variable cost of a single stain remover Rs.90 which we will sell at a fixed price of
Rs.250.

1. Target market:
Target markets will be selected based on the different segments we just created i.e,
age, profession and income

 Age: We will be targeting the age bracket from 18-50 years old. This covers the
students and also the working class population. The common thing between these
two groups is that they have “time” constraints. People who need to be in offices
and need to look presentable can’t afford to have stains on their shirt as that would
ruin their look. For students, there is time constraint due to consecutive classes.
 Profession: in general there are basically two types of profession, white-collared
(business men) and blue-collared (technical workers). We will target the consumers
of white collared profession because only they can afford it and CLENZZO is much of
a use for them rather than blur-collared workers as raggedness and messy work is
done in their profession where as people engaged in white-collared profession
always need to look presentable.
 2. Income: Middle and Upper class income population will be targeted. The reason for
this is that our product is expensive so it’s only affordable by the upper class.

Positioning:
We position our product in the minds of the consumers as much more of a
convenient and quick fix product rather than a permanent performance product.
Also our product is unique and there is no other product like ours in the market so it
has an appeal to the Pakistani market. Our value proposition is also less, as there are
products like CLENZZO in the international market but they are more expensive than
ours.
If we want to build a picture in the mind of the customer it’ll be something like this,

High performance Low performance

High --- CLENZZO
convenience
ARIEL/SURF EXCEL BONUS/EXPRESS
Low
Convenience
This clearly shows that CLENZZO is a high priced, convenient product where as our
competitors are low priced low convenient products with high performance.

The 4 P’s

Now let us talk about a really important concept in marketing, that is, the 4 P’s. These are
product, price, place and promotion. They play a really crucial role in determining the
performance of a product and with proper utilization of the 4 P’s i.e creating a proper
product, setting the best price and targeting the best possible place and by doing extensive
yet cost effective promotion a products life cycle can be greatly increased.

We’ll be not only discussing the 4 P’s but also its relationship with the product life cycle
(PLC)
1. Product
Our product line consists of the main marker body of the product and the refills
provided alongside. In the intro phase, this refill will be provided free with the
marker. The features of our product are that it is easy to use, portable and
convenient. The packaging of the product will be kept extremely simple and
transparent so that the customer can see what he is getting. There will be minimal
text on the packaging to ensure focus on the product. Our aim is to become a
‘convenience product’ for the customer. The customer should feel the need for it
after the first purchase and then keep buying it without hesitation. The quality of our
product will be kept on par with our competitors. This is done to create customer
value and satisfaction which will help us develop customer relations. The product
design will be kept simple along with the term “CLENZZO” engraved onto the marker
so it is easily identifiable and remains differentiated.

2. Price
There exist no direct competitors for our product in the Pakistani market, hence. We
plan to employ the market skimming strategy for CLENZZO. We plan to extract as
revenue as possible for our existence in the industry before any direct competitor
enters. According to the cost pricing, we are offering our target customers more for
more. That is apart from the cleaning element, we are also offering them the
element of convenience as CLENZZO can be easily carried anywhere. This is in line
with our pricing strategy.
In comparison to the counterparts of CLENZZO that can be imported from aboard
cost around 300 PKR, our product will cost around 250 PKR. Neither do we want a
price higher than those available in international nor do we want a very low priced
product. Hence we have decided to set the price at 250 PKR allowing enough room
for a gradual price increase in future if required.
Our variable costs consist of the cost of each instant stain remover that will be
imported from our supplier from China for 60 PKR and the refill that will from the
same supplier for 30 PKR each. The cost of each remover includes the cost of the
 plastic body, nib, solution and the packing. Therefore, the total variable costs are up
to 90 PKR per instant remover. Further on, we plan to sell the refill separately for 50
PKR as a part of optional pricing strategy.

3. Place
The distribution channel of our product is too made of two different channels. Both
start with the supplier from China sending us the CLENZZO. We will further disturb
the product by availing the services of the logistics company to our wholesalers and
they will pass it on the retailers from where our end customers will make the
purchase. And in the second channel we will directly disturb the product to the
retailers and then they will be responsible for making the product available to our
target customers.

4. Promotion
Promotion is an important component of Marketing Mix, and for CLENZZO
promotion would help communicate its merits to the target market, and would help
persuade the target market into buying. Additionally, promotion is crucial to the
success of CLENZZO as it is a new product and the potential target market is unaware
of it since it is being launched for the first time. Furthermore, promotion would help
CLENZZO to survive the teething problems that all products face when initially
launched and would help give it push to the later stages of product lifecycle where
profits start to reap.
It is Pull Strategy that we are going to use in order to induce final consumers to buy
CLENZZO, rather than Push strategy. Push strategy won't be as beneficial as pull
strategy
because CLENZZO is going to be a ‘mass product’ and for these type of products it
actually is more useful to induce as many final consumers as possible compared to
diluting efforts and spending on sales force and trade promotion to reach out to final
consumers indirectly. Advertising and sales promotion is something on which our
promotion is going to heavily rely upon.
For advertising purposes we are going to use Social media marketing and would be
advertising our product on renowned websites and applications particularly
Facebook and Instagram. These websites will be used to create more brand
awareness and would help make our brand popular amongst our target market. It
would be ensured, through the tweaking facilities these sites offer that we
specifically target and reach out to the desired segments of 1our market which have
been listed earlier. We are also going to have bill boards which are primarily going to
serve the purpose of conveying the merits and quality of our product. Additionally,
we are going to make use of advertising on YouTube because of its cost effectiveness
and its ability to impact consumers convincingly. The Youtube advertisement would
be designed in such a way that the advertisement would display a different need/use
of CLENZZO every subsequent time the advertisement gets played. Another plus
point of this would be that we won't have to pay for ads which are skipped in
between and will only have to pay for ads which have been watched till the end.
Many consumers will get to know about our product, even though they would have
skipped the ad before it would have ended, and thus increasing our reach.
Newspaper advertisements will also be published in popular newspapers like ‘The
News’ so households and companies that receive newspapers get to have a look at
what wonders our product could do for them.
Sales promotion is also an important tool to promote the use of CLENZZO. Sales promotion
is about offering short term incentives to encourage the purchase/ sale of a product. We are
going to offer ‘Free refills’ with CLENZZO to induce more customers to buy our product They
would be persuaded by the fact that the product would last for quite a long period and
could be reused. Therefore, free refills our going to help create initial demand which can be
sustained and developed even further. We are also going to conduct demonstrations of our
product and we are going to hire people to display the effectiveness of CLENZZO in
removing stains so that they get convinced to buy our product.

SWOT ANALYSIS

Coming to the SWOT analysis, like every other product that is present in the market
CLENZZO too has some strengths and weakness. And the current conditions of the market of
Pakistan may prove as our strengths or our weaknesses. The following analysis will
determine what are CLENZZO’s strengths, weaknesses, opportunities and threats.

1. Strengths:
When talking about strengths CLENZZO undoubtedly has a lot of them. These
strengths are,
a) CLENZZO is convenient. This is the biggest plus point that our product has as
compared to other products in the market. The element of convenience that
our product provides compels the customers to choose it rather than any
other product in the market.
b) It is portable. You can take CLENZZO anywhere you want as its size is small,
its handy and it fits almost everywhere. Going to a meeting? Or an official?
And you’re scared that something might spill over you, just keep a CLENZZO
in your pocket and wipe away all the small stains you might get. Other than
that you can keep it in your handbags, baby bags, your pockets etc.
c) It is easy to use. There are no complications when using CLENZZO. It’s simple
and easy to use. Got a stain or a spot on your shirt? Just open the cap, wipe
the tip on the stain and just like that the spot disappears.
 d) It is time saving. You don’t have to go through the hassle of changing your
clothes between meetings and lunches. Nor do you have to drop your shirt at
the dry cleaners 10 minutes before the meeting starts, just CLENZZO you’re
your stains away with this product.
e) It is the only product of its kind in Pakistan. There is no other product like
this so it is also a great strength of our product.

2. Weaknesses:
There are a few weaknesses that lies in our product, but with the passage of time
and with more resources even they can be eliminated. Some of the most visible
weaknesses are,
a) It is not suitable for large spots. Although CLENZZO is efficient removing
small spots and stains but when it comes to big spots, it doesn’t remove
them. That is why it isn’t suitable for people whose work profession is blue-
collared.
b) Secondly, although it removes the stains/spots but there still is a need to
wash the clothes.
c) It is expensive as compared to other washing detergents like Ariel/Surf Excel.
Like as compared to 1 CLENZZO a customer could by 25 sachets of SURF
EXCEL.
d) It is small and can dry-up, although its small size encourages the product to
be portable and convenient but on the other side it can be easily lost or
misplaced. And if the cap of the product gets misplaced its fluid that removes
the stains will dry up. So the consumer needs to take care of that.

3. Opportunities:

a) CLENZZO is one of its kind. It is a unique product in the market which

gives it upper hand. Being the first product of this kind CLENZZO have
 big market advantage. They can capitalize on all of the market
segment because of no direct substitute. Their will followers after
success, but it is an important opportunity for CLENZZO to grab and
maximize.
b) With the passage of time more women have started to work. Women
are very conscious about their looks. Stains on their clothes is a
routine activity and want something which is a quick and instant
solution. With the increase in working women the market of CLENZZO
will increase as well.
c) Population shift is another opportunity of CLENZZO. More people are
moving towards cities from rural areas. Population of Lahore is
increasing immensely. It is an opportunity as the target city of the
product is increasing.
d) Government has provided Tax Relaxation on import of inks. Inks are
imported duty free. It is an opportunity for CLENZZO. With the
passage of time CLENZZO can increase its target market and increase
its production which will be helped by the duty free import of ink.
e) Literacy rate of Pakistan is increasing which has increased white collar
jobs. With the increase in white collar jobs professionalism has
increased. Professionalism requires neatness, hence CLENZZO will be
provide work place neatness

4. Threats:

a) Time is passing by and family system trends are changing as well.

This is a threat for CLENZZO. Couples tend to have fewer children
than in the past. As advertised by the Mehkma Behbood-e-Abadi.
With the decrease in toddler a segment of our product will be
reduced
 b) Although literacy rate of Pakistan is increasing but 51% of
Pakistan’s population is illiterate which a threat is for CLENZZO.
Lower the literacy rate lower will be the professionalism.
c) Competitors are a major threat of a product. There are P&G and
Unilever in the market who have their detergents in the market
whose share we will be stealing. It is a threat for CLENZZO as they
will tend to come strong back at us.
d) There is always a threat of same kind of product in the market.
P&G has a product named as Tide to go which is ready to be
launched. To give CLENZZO tough time and maintain their market
share it can be launched in the market.

Launch Program
There is a paucity of funds initially so our aim would be to make use of
only those marketing tools that can optimize things for us and create an
initial demand which can be sustained. Once we have established
ourselves, then as mentioned earlier. Following strategies will be used.
.
1. YouTube advertisement:
Additionally, videos will be modified to highlight a different feature
every subsequent time the ad gets played before a video. This
would highlight how useful of a product CLENZZO is to customers
and they might link to one of the applications displayed and end up
buying our product
2. Facebook advertisement:
Videos will be modified to highlight a different feature every
subsequent time the ad gets played before a video. A page will be
made which will be operated frequently to keep the users interested
and up to date to the product.
3. Banners in super stores:
 CLENZZO banner stands major departmental store/ retail shops.
Especially, in large departmental stores like Metro, Hyper Star, AL
Fatah etc. They would not only advertise product features, but
would also serve to highlight the availability of our product in that
particular store/shop.
4. Departmental stores:
Demonstrations at departmental stores would be conducted. They
would aim to highlight the effectiveness of CLENZZO in removing
stains and this would also help persuade shoppers to buy our
product.
5. Banners on rikshaw:
CLENZZO can be marketed by displaying banners rikshaws. Product
will remotely be marketed all over the city.
Objective

According to our budget, the total fixed cost of the company is

going to be Rs. 200,000 and variable cost is Rs. 90/unit (60 for the
remover and 30 for refill). Clenzzo is priced at Rs.250 and our gross
margin which is the difference of product price and variable cost per
unit is Rs. 160. Gross margin is 64% of the selling price. The
breakeven point is approximately 1250 units which means we need
this amount of unit to balance our sale and cost. So first our
objective is to achieve the break even point.

Break even for the year

Total fixed PKR
cost
200,000

Contribution
per unit
Selling price 250
Variable cost 90
160 Gross Profit
64%

Break even in 1250

units