CONSUMER PRODUCT LIMITED

Name: Purvesh Tahelyani

Roll no.: 21039
Division: A
Batch:2021-23
Introduction:
Consumer product limited (CPL) public limited was leading marketing
organization in the country and manufactured, marketed all kinds of consumer
product for household use. Washing products was the major profit Centre of the
company. The company’s main entry in the washing powder market, “Dazzle”,
accounted for one-third of the profit made by the washing product group. Dazzle
was the leading brand until September 1966 it enjoyed a market share of 80
percent of the total washing powder market. The company manufacturing Spark
washing powder launched spark in two carton pack identical in weight, size and
price to the large and small carton of the Dazzle and other two brands. Spark was
giving free plastic bucket on the purchase of six carton of the large pack. The
market held between the Dazzle, spark and other two brands changed drastically
over a period of four months. Looking at the market share figure over the four
months, the marketing management was in a quandary.

Objectives:
Short term objectives:

• To stop sells from falling.

• To regain the fallen market share.

Long term objectives:

• Come up with new product by altering same product or whole new
product to give competition to Spark.

Problems:
• Spark was of the lowest quality, and hence Spark had much cheaper
formulation so it could spend heavily on consumer promotion and able to
give free bucket. But Dazzle accepted as a superior product hence it could
not spend enough on consumer promotion.
• Either to reduce price or quality both were difficult for Dazzle,
because Dazzle was known for its best quality and if it reduces its price, it
won’t be affordable.
 • Dazzle was spending heavily on theme advertising and now it needed
to spend on consumer product. It is difficult to balance consumer promotion
and theme advertising both. Both are equally important.

Criteria:
• Increase the selling and increase the profit.
• Regain the fallen market share.
• Build its loyal customers so they don’t use other products.
• Capture the other markets like small city and rural markets.
• Dominate the market like before.

Alternatives:
• Launch a new product with inferior quality and price equal to or less than
Spark but with new name because Dazzle is known for its quality.
• Decrease the price of its product and keep less margin. People choose to buy
premium product with discount.
• Dazzle can spend more heavily and increase spending on theme advertising
so people can understand the quality of Dazzle.
• Dazzle can spend less on theme advertising and more consumer promotion
because Dazzle is already a huge name so premium product with attractive
gifts will give positive results.

Actin Plan
• If Dazzle decides to reduce its price than it should do more theme
advertising, so people can know that the price of premium product has been
decreased.
• If Dazzle decides to do more consumer promotion than it should decrease its
margin of profit so that retailers can earn more and they feel motivated for
selling Dazzle and Dazzle can earn more market share.
• If Dazzle decides to promote its premium quality than the comparison of
quality of Dazzle and Spark can be demonstrated at consumer level.
 • If Dazzle is going to launch new product than market research can be
started.

Contingency Plan:
• If reduction in price doesn’t increase the sale of Dazzle than new product of
with inferior and with more consumer promotion and attractive gifts should
be the next step. Because consumers are interested in less price free gifts.
• If Dazzle is not able to compete with Spark in the market of inferior product
than Dazzle can focus on new markets like small city with need of good
quality.