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1. Evaluate Levers marketing planning and implementation regarding RIN from 1984 through 1988.

What would you have done? RIN entered the market in 1984 in Pakistan. Its sales were not as expected and did not follow the pattern that was observed in India. The analysis of market mix Product, Price, Place and Promotion gives us a few insights into the situation. Product: The product was introduced as a non-soap detergent bar of weight 130gms. It was blue in color which was mistaken to be a dishwashing bar as all the dishwashing bars existing in the market in Pakistan were blue in color. It came in a blue wrap with red and white inscriptions. This was done similar to the blue RIN soap in India launched by Hindustan Unilever. As cultures of both countries were similar, Unilever assumed the same strategy would work. The major change was the introduction of smaller 125gms and a larger 250gms bar to replace the 130gms size which increased the number of SKUs for the company, while also reducing the fixed cost by ensuring its spread over a larger quantity of soap. This also ensured that RIN cut costs and could advertise using a celebrity wherein RIN attacked the laundry soaps directly while highlighting RINs better features. This was welcomed by the consumers as seen in the rise of consumption of 250g bars. Price: Price has undergone many changes. The price has risen in general possibly due to increase in cost of raw materials. There have also been large discounts as an attempt to attract the customers by improving the CPV (Customer Perceived Value). Discounts were stopped when it was realized that it was not working. The marketers viewed price as the major factor in the poor performance of the soap. Place (Distribution): The sales force of RIN was not trying all out to get new distributors and retailers. Many efforts were not being made to woo new targets. They were satisfied with just targeting and making sure existing demand is supplied. The size of the sales force and retailers was large but the retailers did not have enough incentive to promote the brand. Promotion: The expensive advertisement and promotional campaigns did not yield many tangible benefits. This brought visibility but not any customer pull. The promotional

activities just ensured people get to know about the brand and even the advertisements were not very attractive or distinct. The marketers assumed a big jazzy advertisement would ensure sales for the product. It did not convey the message of the product. Focus was lost to the flashy advertisement. The customer did not see the product RIN as much as he saw the flashy ad with the lightning.

Possible Solution In 1986, a new ad campaign, much more optimized, in a way that could address a well defined target customer was devised. This was a hit, because now the promotion was customer oriented and had a vivid message which highlighted the unique features of the product and demonstrated the harmful effects of the laundry soap for fabric washing. This should have been done earlier itself to ensure the brand connected with the customer and communicated the right message. The core competencies of the brand and product should be highlighted to the customer. Also, market surveys should have been conducted about why the customer did not buy the brand and appropriate actions should have been taken. The marketing team of RIN should have noticed this long before 1986, when the discount schemes failed. They shouldnt have assumed the market structures and customer behavior to be similar to India. Instead of spending money on fancy advertising, the resources should have been directed towards market research. Price increase should encourage others involved by increasing margins for distributors and retailers. The product has good features and is of a high quality but it was wrongly promoted to the customer. It could not establish a Brand Connect with the customer. Also, the focus of the sales and marketing team should have been on conducting market research and marketing surveys.

Conclusion We conclude that the focus of the company should have been on communicating the right message and making sure customers attention is on the product and not the advertisement. Also, customer-oriented focus was not present and no market research was done. This is what we would have done if we were present in the same situation.

Identity and evaluate the various decision/ positioning alternatives available to Mr. Mustafa. What would you do? Why? Problem Faced: 1. RIN bar (Rs 26/Kg) cheaper than dish washing bars (Rs 25 40 /Kg) 2. Blue color of the soap created confusion among the consumers that led to RIN being used for dish washing. 3. Promotional schemes like Rs 0.5 price off campaign, news paper coupon discounts, Rr 0.7 price off campaign failed to deliver the expected results in terms of increase in sales. 4. The old advertising theme, Thunder and lightening further confused the customers as clothes could not be washed outdoors in rainy weather 5. Retailers shelved RIN with wrapped personal soaps rather than laundry soap section, leading to further confusion. 6. The company confused the successful marketing campaign in India, with the market of Pakistan, assuming that the market structure was similar. Solutions and Strategies suggested: Distinction between RIN detergents and RIN dishwasher. Problem : detergent perceived as a dishwasher Strategy : Introduce a RIN dishwasher and capitalize on this market Packaging and color attributes: Problem : Blue color represents dishwashers Strategy: Change Color of Packaging, for RIN Dishwasher (Blue) and RIN Fabric (Some other color, suggestion is White representing purity) Availability in proper shelves in retails: Problem : Placed with personal care soaps Strategy : Retailers must be educated about this and checks must be performed for right placement in shops Reduction in Variable cost : Strategy : The special fabric ingredients should be excluded This will save 33% variable cost. The actual profit (Rs 2456000) the additional savings will be Rs 3147000 thus 1.5 times increment.

Use these savings to promote the right positioning of the product Wrong perceived value in the minds of customers: Problem : Market research of India used for Pakistan Strategy : A new and thorough market research should be done before the next campaign of the market in Pakistan Mis-directed Advertisements: Problem : Middle aged moviestars will not reach grass root levels Strategy : Cast common women and consumers. Potray their happiness after using the product.