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CLAUDIA MANISHA
[COMPANY NAME]

Marketing
Research
Lifebuoy Vs Dettol
contents
CHAPTER 1 : SECONDARY LITERATURE
AN INTRODUCTION TO MARKETING RESEARCH:
Marketing research is "the process or set of processes that links the consumers,
customers, and end users to the marketer through information information used to identify
and define marketing opportunities and problems; generate, refine, and evaluate marketing
actions; monitor marketing performance; and improve understanding of marketing as a
process. Marketing research specifies the information required to address these issues,
designs the method for collecting information, manages and implements the data collection
process, analyses the results, and communicates the findings and their implications. It is the
systematic gathering, recording, and analysis of qualitative and quantitative data about
issues relating to marketing products and services. The goal of marketing research is to
identify and assess how changing elements of the marketing mix impacts customer
behaviour. The term is commonly interchanged with market research; however, expert
practitioners may wish to draw a distinction, in that market research is concerned specifically
with markets, while marketing research is concerned specifically about marketing processes.
Marketing research is often partitioned into two sets of categorical pairs, either by target
market:

Consumer marketing research, and

Business-to-business (B2B) marketing research

Or, alternatively, by methodological approach:

Qualitative marketing research, and

Quantitative marketing research.

Consumer marketing research is a form of applied sociology that concentrates on

understanding the preferences, attitudes, and behaviours of consumers in a

market-based economy, and it aims to understand the effects and comparative

success of marketing campaigns.

Thus, marketing research may also be described as the systematic and objective

identification, collection, analysis, and dissemination of information for the purpose of

assisting management in decision making related to the identification and solution of

problems and opportunities in marketing.

PRODUCT:
A product is the item offered for sale. A product can be a service or an item. It can be physical or
in virtual or cyber form.

Definition: A product is the item offered for sale. A product can be a service or an item. It can be
physical or in virtual or cyber form. Every product is made at a cost and each is sold at a price.
The price that can be charged depends on the market, the quality, the marketing and the
segment that is targeted. Each product has a useful life after which it needs replacement, and a
life cycle after which it has to be re-invented. In FMCG parlance, a brand can be revamped, re-
launched or extended to make it more relevant to the segment and times, often keeping the
product almost the same.

Description: A product needs to be relevant: the users must have an immediate use for it. A
product needs to be functionally able to do what it is supposed to, and do it with a good quality.
A product needs to be communicated: Users and potential users must know why they need to
use it, what benefits they can derive from it, and what it does difference it does to their lives.
Advertising and 'brand building' best do this.

A product needs a name: a name that people remember and relate to. A product with a name
becomes a brand. It helps it stand out from the clutter of products and names.
A product should be adaptable: with trends, time and change in segments, the product should
lend itself to adaptation to make it more relevant and maintain its revenue stream.

Product Research:
component of market research whereby the characteristic of a good or service, that will satisfy a
recognized need or want are identified.
Marketing research that yields information about desired characteristics of the product or service.
research that gathers and analyses information about the moving of good or services from
producer to consumer.

INTRODUCTION TO SOAP
1.1 SOAPS

Soaps are useful for cleaning because soap molecules have both hydrophilic end,
which dissolves in water, as well as a hydrophobic end, which is able to dissolve
nonpolar grease molecules. Although grease will normally adhere to skin or
clothing, the soap molecules can form micelles which surround the grease
particles and allow them to be dissolved in water. The hydrophobic portion (made
up of a long hydrocarbon chain) dissolves dirt and oils, while the ionic end
dissolves in water. Therefore, it allows water to remove normally-insoluble matter
by emulsification.

1.2 SOAP HISTORY

Traditionally, soap has been manufactured from alkali (lye) and animal fats
(tallow), although vegetable products such as palm oil and coconut oil can be
substituted for tallow. American colonists had both major ingredients of soap in
abundance and so soap making began in America during the earliest colonial
days. Tallow came as a by-product of slaughtering animals for meat, or from
whaling. Farmers produced alkali as a by-product of clearing their land; until the
nineteenth century wood ashes served as the major source of lye. The soap
manufacturing process was simple, and most farmers could thus make their own
soap at home.

The major uses for soap were in the household, for washing clothes and for toilet
soap, and in textile manufacturing, particularly for filling , cleansing, and
scouring woollen stuffs. Because colonial America was rural, soap making
remained widely dispersed, and no large producers emerged.

The growth of cities and the textile industry in the early nineteenth century
increased soap usage and stimulated the rise of soap making firms. By 1840,
Cincinnati, then the largest meatpacking centre in the United States, had
become the leading soap-making city as well. The city boasted at least
seventeen soap factories, including Procter and Gamble (established 1837),
which was destined to become the nation's dominant firm. A major change in
soap making occurred in the 1840s when manufacturers began to replace lye
made from wood ashes with soda ash, a lye made through a chemical process.
Almost all soap makers also produced tallow candles, which for many was their
major business. The firms made soap in enormous slabs, and these were sold to
grocers, who sliced the product like cheese for individual consumers. There were
no brands, no advertising was directed at consumers, and most soap factories
remained small before the Civil War.

The period between the end of the Civil War and 1900 brought major changes to
the soap industry. The market for candles diminished sharply, and soap makers
discontinued that business. At the same time, competition rose. Many soap
makers began to brand their products and to introduce new varieties of toilet
soap made with such exotic ingredients as palm oil and coconut oil. Advertising,
at first modest but constantly increasing, became the major innovation. In 1893
Procter and Gamble spent $125,000 to promote Ivory soap, and by 1905 the
sales budget for that product alone exceeded $400,000. Advertising proved
amazingly effective.

In 1900 soap makers concentrated their advertising in newspapers but also


advertised in streetcars and trains. Quick to recognize the communications
revolution, the soap industry pioneered in radio advertising, particularly by
developing daytime serial dramas. Procter and Gamble originated Ma Perkins,
one of the earliest, most successful, and most long-lived of the genre that came
to be known as Soap Operas, to advertise its Oxydol soap in 1933. By 1962
major soap firms spent approximately $250 million per year for advertising, of
which 90 percent was television advertising. In 1966, three out of the top five
television advertisers were soap makers, and Procter and Gamble was
television's biggest sponsor, spending $161 million. Advertising put large soap
makers at a competitive advantage, and by the late 1920s three firms had come
to dominate the industry:

(1) Colgate-Palmolive-Peet, incorporated as such in 1928 in New York State,


although originally founded by William Colgate in 1807;

(2) Lever Brothers, an English company that developed a full line of heavily
advertised soaps in the nineteenth century and in 1897 and 1899 purchased
factories in Boston and Philadelphia; and

(3) Procter and Gamble. In 1940 the "big three"Colgate, Lever, and Procter and
Gamble controlled about 75 percent of the soap market.

The following ingredients are often used in hand dishwashing soaps and
detergents; not all products contain all ingredients.

1.3 INGREDIENTS OF SOAP

Cleaning Agents/Surfactants lift dirt and soil and produce good grease-
cutting capability.
Stability and Dispensing Aids keep the product consistent under
varying storage conditions and provide desirable dispensing
characteristics.
Mildness Additives may include moisturizing agents, certain oils and
emollients, certain protein compounds, or other neutralizing or
beneficial ingredients.
Fragrance is added to produce a pleasant or distinctive scent.
Preservatives help prevent any microbiological growth in the product
that could cause colour or odor change, poor performance and/or
separation of the ingredients.
Colorants are added to lend individuality and an appealing appearance
to the product.
Enzymes help break down tough stains and burned-on soils.
Encapsulates deliver stability for special materials/additives (e.g.,
moisturizer or fragrance).

SOAP INDUSTRY IN INDIA

2.1 Soap Category in India

Soap is a product that many people might take for granted or consider rather
ordinary, but for some, lathering up can be a treasured part of a morning or
nightly routine.
Scented or unscented, in bars, gels, and liquids, soap is a part of our daily lives.
In the United States, soap is a $1.390 million (US$)* industry with over 50 mass
market brands. But in some markets the sales potential for soap is only
beginning to be realized. At the end 2000, soap was a $1.032 million (US$)*
business in India. IFF's marketing experts offer the following overview of this
growing category.

In India, soaps are available in five million retail stores, out of which, 3.75 million
retail stores are in the rural areas. Therefore, availability of these products is not
an issue. 70% of India's population resides in the rural areas; hence around 50%
of the soaps are sold in the rural markets

2.2 Overview of the Indian Soap Category


India is a vast country with a population of 1,030 million people. Household
penetration of soaps is 98%. People belonging to different income levels use
different brands, which fall under different segments, but all income levels use
soaps, making it the second largest category in India (detergents are number
one). Rural consumers in India constitute 70% of the population. Rural demand is
growing, with more and more soap brands being launched in the discount
segment targeting the lower socio-economic strata of consumers.

2.3 History of Soap in India


During the British rule in India, Lever Brothers England introduced modern soaps
by importing and marketing them in India. However, North West Soap Company
created the first soap manufacturing plant in India, which was situated in the city
of Meerut, in the state of Uttar Pradesh. In 1897, they started marketing cold
process soaps.* During World War I, the soap industry floundered, but after the
war, the industry flourished all over the country.

Mr. Jamshedji Tata set up India's first indigenous soap manufacturing unit when
he purchased OK Coconut Oil Mills at Cochin Kerala around 1918. OK Mills
crushed and marketed coconut oil for cooking and manufactured crude cold
process laundry soaps that were sold locally. It was renamed The Tata Oil Mills
Company and its first branded soaps appeared on the market in the early 1930s.
Soap became a necessity for the moneyed class by around 1937.

*Cold process soaps are manufactured by mixing all ingredients (soap base,
perfume, fillers, actives, etc.) in a large pot and heating them up to 70 degrees
while they are stirred manually. Once the mixture is ready, the soap is plodded
based on its size with the logo by a machine. In a machine made soap, the
mixing process is called milling and this is done by a rotary operated machine
and not manually.
METHODOLOGY:

Need to do the project?


What did you learn from this project?

More insight?
How marketers sustain,problem,complaint,middlemen?
Scope of the project:
a) Project was specifically carried out in Hyderabad region.
b) Sample size selected was of 30 respondents.
c) Only health category of soap was selected for the project.
d) Questionnaire was used for primary data collection.
e) For secondary data collection, magazines, newspapers and websites
were used.

RESEARCH METHODOLOGY:

a)Research Design:
The purpose of this study is to gain consumer insights about the soaps
Lifebuoy and Dettol, which are the two main soap brands in health
category.

B) Research Approach:
The respondents will be consumers and users of both soaps who are
interested to co-operate. To collect the data, the in-depth interview
method with the help of questionnaire is used.

C) Sampling method:
The in-depth interview for this study was limited to Hyderabad region
only. Also, it has been mentioned earlier that, the interview was only on
the consumers & users of bath soap. They were interviewed for minimum
of 10 minutes. The sample size was 30 for this study. Random sampling
method was used gor selecting samples.

D) Research Instrument:
Contacting the customer personally and studying the response from
the questionnaire filled.

E) Data Analysis Method:


The data analysis of this research was represented on qualitative as
well as quantitative manner. Application packages like Office XP(Microsoft
word& Microsoft Excel) were used.

F) Data Collection:
i) Primary Data:
Questionnaires for in-depth discussions with various respondents to be
interviewed during primary survey were designed during this phases. List
of contacts were also prepared during this phase. This involved in-depth
face-to-face discussions using semi-structured questionnaires with various
respondents. Information was collected through face-to-face interviews
with respondents using semi-structured questionnaires. Questionnaires
were also sent through mail and responses were collected.
ii) Secondary Data:
Taken data from various Magazines, Newspapers &other prominent source
of information collected from different websites and search engines.

PRIMARY DATA ANALYSIS:

COMPANY PROFILE :
LIFEBUOY
Lifebuoy is a product of Hindustan Unilever Ltd., India, which
was earlier called the Unilever ltd. Lifebuoy is actually a brand
which was invented globally before the term 'global branding'
itself was invented. It was invented in 1894 in UK as the royal
disinfectant soap by William Hesketh Lever.
In India Lever brothers introduced Lifebuoy in 1895 with the set
up of offices for sales and marketing in Chennai, Mumbai,
Kolkata and Karachi.
Consistent in Lifebuoy's 110+ year history has been its
championing of health through hygiene. The brand's core
promise of protection and a commitment to support life through
unbeatable protection is at the heart of the brand name itself
Lifebuoy, the guarantee of protection when you are threatened.
While brands have managed to upgrade their image and evolve
together with their consumers Lifebuoy is a great example,
having moved from a carbolic, sweaty association to desirable
health imagery there has been no example of a brand that
has moved to the top of the pole after residing at the bottom.
The re-launch of the soap in 2002, 2004 & again in 2006 have
been turning points in its history.
In 2004, Lifebuoys product offering was revamped with
contemporary packaging and an upmarket look. While that
went down well with existing users, new users were still elusive;
they continued to perceive the product as a cheap soap for
poor people. That perception had to be changed without
alienating the Lifebuoy loyalists. The objective for HUL was to
launch a campaign that helped the soap shed its old-fashioned
image and gain an entry into two million urban households.
Lifebuoy before the end of the first quarter of 2011 was the
leader in soap market in India after which they lost the
competition to Reckitt Benckiser's Dettol. Dettol is now the
market leader with 42% of the market share whereas lifebuoy
has 41% of the market share in the same market.
RANGE OF PRODUCTS:
Bar soaps, body wash, hand wash, talcum powders, hand
sanitizers

The 4Ps of marketing for


Lifebuoy:
Product:
The products of lifebuoy have not been much varied. Generally
when the product is to be studied in terms of marketing, we will
be considering a few parameters like, variety
(diversification), quality and design. As already stated
lifebuoy has never intended itself towards diversification of
products. But, yes, they have changed themselves from being
just a producer of carbolic soaps to producer of disinfectant
soaps and normal bath soaps. The success story of lifebuoy is
in having moved from a carbolic, sweaty association to
desirable health imagery. And when we discuss about the
quality of lifebuoy, it stands as the soap with most durability in
India. Sometimes this quality of lifebuoy has also led to funny
comments, yet it continues to be the same. Long lasting life of
the soap itself is USP for the brand. And coming to the next
parameter in product category for lifebuoy, design, the design
of the earlier bars of the royal disinfectant soap had been
carried over for years by the company. The red colour that
really marked the brand name went under changes in years.
The lifebuoy which is present in today's market is sleek,
compact, precise and most importantly does not have that
traditional 'macho' kind of look. And generally lifebuoy still
remains as one of the most popular soap brand in India.
Price:
Regarding pricing, lifebuoy has been in the market for long
because of its pricing strategy one can say. When all others had
their own pricing strategy, it was lifebuoy's strategy that
controlled the price of similar products in the market. And more
over, only because of their pricing (durability) they established
themselves as a king of soaps in rural markets. Lifebuoy has
been the price setter for lower end products targetted towards
the rural market. And this low pricing have also decreased the
customer base in urban areas, just because people in urban
areas are getting a perception that lifebuoy is only for poor
people and those who belong to the lower middle class. And
this is also the reason why they have lost the market to Dettol.

Place:
Place in marketing refers to the market and the market
conditions. As far as lifebuoy is considered, it does not have a
very strong influence in the market. In the initial days the
target customers of lifebuoy were only the people who require
cost-efficiency soap as a necessity. Later on they developed
themselves into a company who is ready to deliver products to
almost all range of customers in the industry itself. The
diversification of products helped them in increasing their
customer base heavily even though they have not diversified
much. The market is the deciding factor and lifebuoy has
complied with it and has set pricing its strategy. The fact is that
Dettol has diversified in such a way that there is a need for
their products in different varying market conditions but
lifebuoy is not that much adoptable to market conditions but
lifebuoy has been constantly performing even in changing
market conditions. When speaking about the market conditions,
the influence of economics has to be taken into consideration.
Since Dettol is safely into FMCG sector, the effect of economy
on the product is comparatively less.

Promotion:
Lifebuoy as a company, in early stages when they had a very
huge market share were not concentrating in advertisements
and promotions even though there were a few. And later on
when they started feeling the heat of the competition, they
started creating innovative ads and TV commercials. But if u
follow the ads of lifebuoy u can easily say that they are little bit
bullish. And because of this once in 2008 they were fined for
telecasting an ad which directly criticized the use of their most
potential competitor- Dettol. And they ended up paying some
amount to the court as well as Dettol as a compensation. And
one more important thing about lifebuoy is that they were the
1st to start this- global hand wash day ad campaign but
however they finally lost the game to Dettol in this as Dettol
launched each day is a hand wash day concept. And lifebuoy
has been in CSR activities such as supplying bathing bars in
time of natural crises and calamities and they are also doing
some good educational trust activities which has increased the
trust value of the brand and lifebuoy has been very inconsistent
in maintaining a tag line or punch line for their brand.

COMPANY PROFILE : DETTOL


Dettol Antiseptic Liquid Disinfectant is the name of commercial
liquid and solid antiseptic products belonging to a household
product line manufactured by Reckitt Benckiser.
Reckitt Benckiser was introduced in India in 1933 with the
brand Dettol. Dettol was introduced only as the antiseptic
liquid. Around the end of 1940s, Dettol became a legacy brand
with 85% of market share in the antiseptic liquid market. The
brand today is present in various segments such as soaps,
hand wash, shaving creams and plasters.
Despite its first mover advantage, it did not become a
household name from the word go. To break into the consumer
space, the company launched an aggressive advertising
campaign in 1960.
By 1970, 4.7 million Dettol bottles were sold and, over the
next one decade, the brand had penetrated into 40% of urban
households in India, says Chander Mohan Sethi, chairman and
managing director, Reckitt Benckiser India.
Dettols reign in the market, though, has not been
unchallenged. When UK-based consumer products company ICI
Plc. brought its flagship brand Savlon to India, recalls Sethi,
Reckitt Benckiser realized how serious the competition was
and Dettol went to consumers with even more forceful
campaigns.
In the 2000s, the companys long-standing slogan, Strong
enough to protect the ones we love, changed to Dettol, be
100% sure. As a brand, Dettol has always retained its standing
on the anti-germ platform, although its portfolio has expanded
to suit the lifestyle demands of consumers, says Suman
Srivastava, chief executive, Euro RSCG, the advertising agency
for Dettol.
It was voted as the third most-trusted brand in an AC Nielsen
ORG Marg survey last year. Reckitt Benckiser's flagship brand
Dettol, still contributes to almost 40% of the revenue for Reckitt
Benckiser.
Dettol is the leader in the antiseptic market with 85 per cent
market share. Liquid hand wash created a new market and
lords over 60 per cent of the
market in the category, while the various Dettol soaps account
for 18 per cent of the health soap division.
The legacy that the company looks to carry forward is, Dettol
is believed in by everybody, even doctors. That is the core
deliverable that we wanted to emphasize."

Range of Products:
Healthy kitchen gels, Antiseptic liquid, Bar soaps, Liquid hand-
wash, No touch hand wash, Hand sanitizer, Body wash, Shaving
cream, Medicated plaster.

The 4Ps of marketing for


Dettol :
Product:
When we start talking about the products of Dettol, the first
thing that strikes a chord in our mind is that Dettol means
secure and we are 100% sure about that. Dettol, earlier they
entered the soap market only with one soap and that is the
Dettol Original. And in due course they have come up with a
series of products range which includes the diversification of
Dettol into 4 different soaps namely- Dettol original, Dettol skin
care, Dettol cool and Dettol Fresh. Among these 4 brands Dettol
cool is found to be the most sold soap in the market. And as
usual and a sign of trust, Dettol soaps always come with a
recommendation from IMA- Indian Medical Association. This
sign of the recommendation of IMA makes Dettol more secure
and safer. And the diversification of dettol's products into the
four categories, original, skin care, cool and fresh have in-fact,
increased the customer base of the company because each one
of its product is quality-wise different and caters the needs of
different people in a much diversified country like India where
preferences differs vividly. As far as the diversification and
quality of products is concerned Dettol have really done a good
job so far in the market. And when brand image is concerned,
as we all know, Dettol is a very old brand in India and is always
considered as one of the most trusted brands. They are the 3rd
most trusted brand in India.

Price:
Pricing is one area where Dettol has been consistent. All their
brand products had a very good premium pricing strategy,
which led them into fierce price wars with other able
competitors like lifebuoy and savlon and others. Actually the
heavy competition in the sector forced Dettol to reduce their
prices. Now almost they are on the same page with the other
competitors' pricing. And if the market share in this industry
should be studied, it will be impossible to miss out the influence
of pricing in market capitalization. FMCG market is generally a
very price sensitive market and the effects of increase or
decrease in pricing will directly affect the presence of a firm in
the market.

Place:
Place in marketing refers to the market and the market
conditions. As far as Dettol is considered, it has a very strong
influence in the market. In the initial days the target customers
of Dettol were only the people who require antiseptic soap as a
necessity. Later on they developed themselves into a company
who is ready to deliver products to almost all range of
customers in the industry itself. The diversification of products
helped them in increasing their customer base heavily. And it
has been observed that the sale of Dettol is kind of dependent
on market conditions. Say, when there is a change in weather,
in rainy and winter seasons, people start buying more of Dettol
products starting from the antiseptic liquid to the soaps like
Dettol original, and in summers the sale of Dettol products like
Dettol cool and fresh has been observed increasing. The fact is
that Dettol has diversified in such a way that there is a need for
their products in different varying market conditions. When
speaking about the market conditions, the influence of
economics has to be taken into consideration. Since Dettol is
safely into FMCG sector, the effect of economy on the product
is comparatively less.

Promotion:
Promotion is a marketing term which refers to advertising and
endorsement of the product. Dettol's advertisements have
been always emphasizing only on cleanliness and safety. And
the tag line of Dettol is something which every person who has
seen TV will recognize- Be 100% sure. And all the Dettol
ads released so far have never been caught in slandering which
steps on other brands to endorse their own brand. And
moreover, the Dettol initiatives like
Mother's day(skincare), Each day is a global hand-wash day
have captured the attention of viewers and customers and
have also ensured the customers that Dettol is something
which everybody can trust at any time. And these promotions
also held up to the CSR activities of the firm which increased
the trust level. As far as we have studied the case, Dettol has
never been caught for malicious or inexplicit content in
promotion and advertisements.

Comparative analysis of
Dettol on lifebuoy:
Dettol Lifebuoy
1) Reckitt Benckiser product 1)HUL product
2) Has been a prominent brand in the 2) Has been a prominent brand in the
market for more than 50 years market for more than 110 years
3)introduced as a antiseptic soap 3) introduced as a disinfectant soap
4) high brand value and brand 4) high brand value and recognition
recognition
5) has a wide variety of products 5) not that much diversified as that of
Dettol
6) started with premium pricing and 6) price setter in FMCG market for
came down soaps
7) has a very big market share in urban 7) king of rural market
markets
8) recommended by IMA 8) no such recognitions
9)design is sleek and nice 9)modified design to fit in the
competition
10) sales of different products depend 10) not that much market sensitive
upon market conditions.
11) less durable 11) more durable
12) less aggression in advertisements 12) aggressive advertisements and
promotions
13)clean ad strategies 13) fined for delivering slander.
14)good in CSR activities 14) good in CSR activities
15) india's 3rd most trusted brand 15) no such claims but has a huge trust
in rural areas
16) be 100% sure- is the tagline 16) has been using many tag lines.

DATA ANALYSIS:
usage of soaps
50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%
lifebuoy dettol others

usage

Interpretation:
Response for price of both the brands
70%

60%

50%

40%

30%

20%

10%

0%
lifebuoy dettol

moderate low

Interpretation:
Awareness about the soap

friends & famiy media doctors others

Interpretation:
Impact of Advertisements on buying decision for soaps

strong impact slight impact no impact


Responses regarding Hygiene:
80%

70%

60%

50%

40%

30%

20%

10%

0%
lifebuoy dettol

very good good average

Interpretation:

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