Surf Excel Short Report

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NAME:
UZAIR HAMEED (FA07-BB-0101)
COURSE TITLE:
MARKETING MANAGEMENT (SEC. C)
SHORT REPOT ON:

ON:
SUBMITTED TO:
TO:
PROF. MUMTAZ AHMED KHAN
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NOTE:-This work is copyright to its Authors. This is only for Educational Purpose.
http://www.final-yearprojects.co.cc/ SHORT REPORThttp://troubleshoot4free.com/fyp/
ON SURF EXCEL
TABLE OF CONTENTS
TOPICS PAGE NO
Acknowledgement…………………………………………………. 2
Executive Summary………………………………………………... 3
Introduction………………………………………………… ……... 4
Company Information……………………………………… ……... 5
Product Information………………………………………………... 5
Unilever’s Message………………………………………………… 5
Brand Philosophy…………………………………………………... 5
Product……………………………………………………………... 6
Packaging…………………………………………………………... 6
Price………………………………………………………………... 6
Distribution Price Strategy…………………………………. 7
Promotions…………………………………………………………. 8
Place………………………………………………………………... 9
SWOT Analysis……………………………………………………. 10
Target Market………………………………………………………. 10
Segmentation……………………………………………………….. 10
Competition………………………………………………………... 11
Product Lifecycle…………………………………………………... 11
Evaluation………………………………………………………….. 11
Conclusion…………………………………………………………. 12
Recommendation…………………………………………………... 12
Sources……………………………………………………………... 12
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MUMTAZProjects, Presentation, seminar, summer training report and lot more. 1
TH NOTE:-This work is copyright to its Authors. This is only for Educational Purpose.
15 DECEMBER, 2008
ON SURF EXCEL
ACKNOWLEDGEMENT
“The hardest steel goes through the hottest furnace.”
The same was the case with me. I faced many problems when I started the work
on report but I am greatly thankful to Almighty Allah for enabling me to get successfully
through my responsibilities.
Very warm and special thanks to my respected teacher Prof. Mumtaz Ahmed
Khan, whose real dedication and devotion kindled in me hope and light. Sir I thank your
ability of extracting the very best out of me, for your patience and perseverance, and also
for acknowledging the efforts made by me during the whole semester.
Thank you. God Bless you
From Uzair Hameed
One place
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ON SURF EXCEL
EXECUTIVE SUMMARY:
Surf excel has been following the Unilever’s message i.e. add vitality to life.
Similar is with surf excel. In the beginning Surf Excel was facing competition from Ariel,
the product of P&G. but very soon with the tagline “Dirt is Good”, Surf Excel was
successful in regaining it’s market leadership. It soon emerged back as the dominant
detergent of the country.
The product is decided by matching the marketing insights with the local insights.
The marketing report of the brand should match the region’s attitude so that the product
can fulfill and satisfy the customer’s need and expectation.
The packaging is designed in such a manner that it should it is able to create a

Recall value among the prospective customers. It should stand out among its competitors
because majority of the purchases are impulsive buying’s.
Price is decided as per the economic situation and spending pattern of the target
market. Distribution pricing strategy is determined in such a way so as to suit all forms of
trade (GT, LMT, IMT) along with customer’s purchasing power.
Promotion was the most important ingredient in the revival of Surf Excel. The
event Paint Masti created a name of the brand. Relaunch of the Surf with the tagline “Dirt
is Good” helps in differentiating the product, because all other brands are still focusing
on the fact that dirt is bad.
The selection of place to communicate the brand’s message is a crucial process.

The team of Surf Excel chooses the most effective media, be it print or electronic, at the
most economic and effective time.
The target market of Surf Excel is mainly Housewives as deciders, whereas

children as influencers. Surf Excel is available in 4 different packages so that every
income bracket can purchase it.
The product this year showed a robust growth and increased profit. This reflects
the strong brand equity of Surf Excel and market acceptance. Surf Excel’s repenetration
in the market is a model of exemplary marketing strategies.
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ON SURF EXCEL
INTRODUCTION:
Change is inevitable and a leader must be willing to embrace change rather than
resist it. When new technology opens the possibility of a new market that may threaten
the existing one, a successful firm should consider entering the new market so that it will
have the first-mover advantage in it. For example, Surf lost its leadership as Ariel came
with a better technology powder safe for hands and tough on dirt. Surf did a re-entry with
a marvelous campaign of “Dirt is Good”. The company has been able to maintain its
leadership position because it used its resources to form make a move into the
competitive arena.
In this short report different marketing strategies of Surf Excel along with 4ps of
marketing mix has been discussed. In this report we will be looking at the different
marketing philosophies of the success behind the brand Surf Excel.
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ON SURF EXCEL
COMPANY PROFILE:
Unilever Pakistan Limited manufactures and markets home and personal care products,
beverages, ice cream, and spreads in the United Kingdom. The company provides food
products, such as soups, bouillons, sauces and dressings, noodles, complete meals,
margarine and spreads, olive oil, and tea, as well as frozen foods; cleansing and hygiene
products for the home care market; and skin cleansing, deodorants, and antiperspirants
for personal care market. It offers its products under Close Up, Axe, Dove, Rexona,
Sunsilk, Wheel, Rafhan, Surf Excel, Comfort, Lux, Pond’s, Lifebuoy, Lipton, Brooke
Bond, Energile, Knorr, Pearl Dust, and Supreme brands. The company was founded in
1872 and is based in Karachi, Pakistan. Unilever Pakistan Limited operates as a
subsidiary of Unilever Overseas Holdings Limited.
KEY TO SUCCESS:
To build customer value, satisfaction and hardcore loyalty with the brand.
PRODUCT INFORMATION:
Surf Excel is the oldest detergent brand to be present in Pakistan since 1960.
It might sound strange for a leading laundry brand like Surf Excel to say that dirt is good,
but healthy activities involving dirt are essential to development. It's how kids learn
express their creativity and it bolsters their immune systems.
UNILIVER’S MESSAGE:
We have always believed that dirt is a valuable way to enrich our lives, both
young and old. To ensure that everyone, anywhere in the country, can share in this
initiative, we're investing heavily in developing a range that suits the pockets of all
income groups. This has included launching affordable skus that not only offer the top-
clean advantages of Surf Excel, but also reduce the time, physical effort and amount of
water needed to wash clothes by hand.
BRAND PHILOSOPHY:
Surf Excel believes that stains are good. This is because when children go out and
play and get dirty, they don't just collect stains. They experience life, make friends, share
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ON SURF EXCEL
with each other and learn from each other. This helps them get stronger and get ready for
the world outside.Along with dirt being an obstacle towards play = experience = learning,
what are the other reasons for kids not playing enough in today’s world?
In 2005 & 2006 Surf launched Paint and Games Masti where children were
invited to participate in various activities designed to communicate that “Dirt is Good”.
This year however, Surf has taken the concept of “Dirt Is good because Dirt =
Play & Play Is Good” to a deeper level and addresses the issues surrounding children’s
play: the idea of learning through play, the obstacles towards play, the impact of not
enough play for our children. As a socially responsible company and brand, it believes
that they can create a platform on which they can take this message forward to showcase
how playing helps children mentally and physically.
PRODUCT:
Regional Brand Teams at Bangkok meets and decides where to launch which
product. The feasibility report is prepared and market insights are discovered. Market
insights should match Local Insights. In the report even the people’s actions while
washing are also observed and presented in the report. This enables to present a full
fledge information about a the attributes, cultural values, and motions of a particular
community, region, or a nation, may it be washing pattern, economic condition, or
spending pattern.
PACKAGING:
Surf Excel, mainly Unilever has a new Phenomena. It consults all 3 trade models
(General trade, Local modern trade, and International modern trade) while designing
packaging for Surf Excel. Packaging should be to create impulsive desires, and it should
stand out among its competitors. It is where Product development team and marketers
come into action in furnishing packaging standards for all its product ranges.
Product Range:
Surf excel 30g Surf excel 2kg Surf excel 125g Surf excel 1kg
PRICE:
Surf Excel is available in different sizes and quantities in the market for different
prices. Its competitors in its upper-class segments are Ariel which is a product of P&G
and Brite Total which is a product of Colgate-Palmolive (Laksons group). Its market-
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15 DECEMBER, 2008
ON SURF EXCEL
oriented statement is “Daagh NHI to seekhna NHI”. The company has offered 1kg of
Surf excel in the market for 120 rupees. Besides that it is also available in the market in
sachets pricing from 5-10 rupees and in ½ kg for about 70 rupees. It is a quality oriented
product providing value to their customers. It is priced for every consumer according to
his or her financial status.
In 2005 Unilever adopted one of the price-adjustment strategies which was

discount & allowance pricing as they offered 1kg of Surf Excel for 105 rupees. Through
this strategy promotional pricing strategy also came in progress as their product was
promoted through it and the sales increased rapidly. But as its competitors also reacted
for this change through customizing their offerings and price cuts Surf Excel was finally
focused towards price increases. Besides that Surf Excel pricing strategy have also been
to provide value and recently the company improvised their strategy as they focused
toward more promotion through campaigns. Beside that the company has also
implemented product line pricing strategy as their offerings are in different quantities
along with different prices in the market for Surf Excel.
Several offers have also been introduced by Ariel and Brite in the market using
Promotional, discount, and psychological pricing strategies and for that Surf Excel have
also responded efficiently through its strategies.
DISTRIBUTION PRICING STRATEGY:

Unilever distributor GT / LMT
Unilever IMT through annual pricing plan
Where,
GT= General Trade (general stores, Kiryana stores, Medical and Genaral stores)
LMT= Local Modern Trade (Super stores such as Aghaz, Naheed, D-Mart)
IMT= International Modern Trade (departmental stores/Hyper Market such as
Makro)
FOR CASE 1:
List price Rs. 100
Add: Distributor price (5%) Rs. 105
Add: Trade price (5%) Rs. 110.25
Final Retail price (10%) Rs. 121
FOR CASE 2:
List price Rs. 100
Trade price (add 10.25%) Rs. 110.25
Surf Excel also launches Temporary price reductions (TPR) such as 0.25/unit for a week
or for a month. They also gives Bonus. Such as Bonus 25 cartons---0.5/case
While setting prices or changing prices the team of Surf also looks at the Equity Level
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ON SURF EXCEL
Which is determined by the Price Index. It measures the relative SKUs (Stock Keeping
Units). For example,
Product price %
Ariel 1 kg 230 115%
Surf excel 1 kg 200 100%
Brite 1 kg 190 95%
PROMOTIONS:
Sales Force in Surf Excel is divided into 3 types: General Trade (general stores,
Kiryana stores, Medical and Genaral stores), Local modern trade (super stores such as
Aghaz, Naheed, D-Mart), and International Modern trade (Large houses such as Makro).
Merchandising Drives: It depends on the Channel the team is choosing to communicate

it’s product (surf excel). They may ask the retailer to have at least 50 pieces of surf in
their shelves along with POS Materials (posters, banners, shelves, etc)
Outdoor Media Agency is appointed for the advertising campaigns via billboard
and signboards. These OMA classify different regions under Strata, ranging from 1 to 6.
Strata 1 includes cities like Karachi and Lahore, Strata 2 includes cities with
comparatively less density and so on. They may select sites as per the following example:
Strata 1 would have 60% advertising sites.

Strata 4 nil
Strata 5 nil
Strata 6 nil
They may book the site either for 30, 60 or 90 days depending upon the nature of
the product, budget of the campaign, and rent of the site selected. The most effective
advertising site in Pakistan is Shahrah-e-Faisal. The effective billboard which is
displayed on the left of the driver and is at a height of 40 to 50 feet, with an exception of
flyovers, bridges, and high altitudes road.
Buy 1 get 1 free offer is not a issue for the company, because no product is sold at a
profit less then 60%. Moreover in the Income Statement nets sales increases as the
volume increases. So does the profit. Before launching such types of offers Break even is
analysed
The plus point of the marketing strategy of Surf Excel is that when all other (detergent)
brands were campaigning against stains and how dirt is bad for clothes, Surf Excel came
up with the tagline- Dirt is Good.
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ON SURF EXCEL
PLACE:
Mind Share is the Media Buying House for Unilever in Pakistan. The airtime is
purchased depending on the relative price and numbers of spots the brand is getting.
These spots must be enough so that Recall value is created within the customer’s mind.
Frequency of target market is also analyzed. In Electronic media, especially Television
PTV and Atv has the biggest countrywide viewership. Whereas in Private Sector Hum tv
currently is the biggest Tv production and broadcasting house. The selection of Print and
Electronic Media depends again on the nature of product and the marketing strategies.
The Ratio is divided for print and electronic Media in the beginning of the campaign.
Top brands advertised Top 15 Advertisers on

# BRAND TIME % # PLAYER TIME
Share % Share
1 SUNSILK SHAMPOO 5.0 1 UNILEVER PAKISTAN LTD 23.7
2 PEPSI COLA 3.7 2 PEPSI COLA INTERNATIONAL 8.2
3 ENERGILE 3.4 3 CHINA MOBILE 4.3
4 WALLS MOO ICE CREAM 3.0 4 NESTLE MILKPAK LIMITED 4.3
5 PEL PRODUCTS 3.0 5 RAFHAN BEST FOOD (PVT) LTD 4.2
6 CLEAR SHAMPOO 2.9 6 COLGATE PALMOLIVE
7 ZONG PAKISTAN 4.2
2.8
7 ENGLISH BISCUITS
8 SURF EXCEL 2.7 MANUFACTURERS 3.3
9 WALLS CORNETTO ICE 8 PAK ELECTRON LTD 3.2
CREAM 2.5
9 TELENOR PAKISTAN 3.1
10 PIZZA HUT 2.2 10 KINGS FOOD (PVT) LTD 3.1
11 BROOK BOND SUPREME
11 PIZZA HUT 2.2
TEA 2.2
12 PEEK FREANS SANDWICH 12 HILAL CONFECTIONERIES
BISCUITS 2.1 (PVT) LTD 2.2
13 POWER CEMENT 13 POWER CEMENT 2.1
2.1
14 PAK TELECOM MOBILE
14 KNORR NOODEL 2.0 LIMITED 2.0
15 HILAL PAN PASAND CANDY 2.0 15 CHAUDHRY DAIRIES LTD 2.0
Moreover retailing consumer products is Unilever’s bread and butter. The

company has the biggest retail reach in the country with the company servicing 500,000
outlets, of which 50 per cent are covered direct by the company’s distributors and the
balance through wholesalers. For company the main business is done by General Trade as
compared to IMT or LMT, therefore different incentives and preferences are given to
general retailers, wholesalers and distributors.
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ON SURF EXCEL
SWOT ANALYSIS:
STRENGTH:
Constantly changing as per washing needs.
Strong brand portfolio.
High quality manpower.
This is the company’s strength. With rising competition, the company is now
focusing on getting the right product at the right shop with the right kind of
visibility.
WEAKNESS:
Possibility for low price competition.
Spends on entertainment instead of new product.
OPPORTINITIES:
Growing rural markets.
As brand grows, increase in consumption and usage.
Upgrading customers through innovation (soap migration).
THREATS:
Local products and other major competitors.
MARKET POSITIONING: As the best detergent in the detergent’s category.
TARGET MARKET:
Mainly housewives but the things have to be seen in context. Pakistan’s middle
income group comprises about35million consumers. They have a combined spending
power of Poland. But Surf Excel is not just targeting the middle income category. With
the broadest socio-economic footprint amongst consumer goods competitors, Surf Excel
is also looking at lower income market as well as the higher income bracket with
different sets of products.
That was the income bracket but if we analyse the commercials aired on TV or
Radio or via print media we will notice that most of the communication is done by the
help of children through tagline dirt is good. The philosophy behind this is the children
are the best influencers for the deciders. The children with this eye catching phrase try to
influence the decision of their parents (mainly mother) who are the deciders.
SEGMENTATION:
Segmentation is done on the basis of Living standard measure (LSM), which
ranges from 1 to 15. 1 denotes those people who are living from hand to mouth, whereas
15 denotes extremely rich and elite class. LSM is measure by a number of variables such
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ON SURF EXCEL
as no of mobile phones in a house, no of cars, income bracket, etc. Surf Excel starts from
6 who can afford washing machine for washing.
COMPETITION:
Ariel Enzymax (P&G),
Brite Total (Colgate Palmolive),
Bonus Active,
Bonus Tristar,
Express Power,
Express Ultra,
Tide Super plus,
Wheel lemon power
and most of all WASHING SOAPS.
PRODUCT LIFECYCLE:
Surf Excel is at growth stage unlike Lux which is at Maturity. The Surf is still
showing an increase in profits (approximately 25% this year). At growth if the sales are
stagnant or not increasing company can relaunch or reposition it’s product to give a boost
as it was previously done with Lifebuoy.
EVALUATION:
Surf excel is a major player in the Pakistani detergent market. today the market is
not declining but shifting towards more perceived value and added brands. So every
brand has to update itself with changes to retain it’s position in the market.
Unilever, Pakistan’s largest consumer products company, has a problem. It cannot

keep up with demand for some of its products. These include laundry powder also.
Demand is so strong that, in the case of foods, despite doubling production capacity,
Pakistanis can’t seem to have enough of them. But this is just the tip of the iceberg
because one can easily ascertain how much demand is there for Surf Excel as it has 41%
market Share.
One of the areas where consumer product companies are increasingly focusing is
central and southern Punjab where two factors are driving demand. One, a string of
successful harvests has meant rising disposable income for farmers. The second,
interestingly, is 40 or so television channels that broadcast to viewers in this area. “They
are the driving force behind building aspirations. This for Unilever is an opportunity for
selling its products.
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CONCLUSION:
A stream of innovation and successful relaunch of Surf Excel increased value of
Unilever’s propositions for consumers. The latest campaign of Surf as “Dirt is good” has
created a good ground for the success of marketing strategies of Surf Excel. Moreover,
surf as being the product of Unilever has a plus point within itself, but still with an
aggressive campaigning of “Dirt is Good” has bear increased profits along with market
expansion status of the product as well as the company.
RECOMMENDATION:
The possibilities are endless. For example, shampoo penetration is one of the
lowest in Asia. Similarly fifty per cent of the population still uses laundry soap to wash
their clothes which comprises mainly the low income group. Unilever has 40pc of the
market for detergent powder (Surf Excel). A switch from laundry soap to detergent
powder will be hugely beneficial to Surf Excel and ultimately for Unilever.
Profitable growth will be sustained through focused brand building, innovation

and superior management of the supply chain to achieve cost competitiveness. This will
enable the business to expand its share of consumer spending despite the increasing level
of competition.
SOURCE:
URL:
http://www.thenews.com.pk/print1.asp?id=100155
http://www.pakistaneconomist.com/issue2001/issue41/f&m5.htm
http://www.travel-culture.com/pakistan/media/hum_tv_advertisers.shtml
http://www.dirtisgood.com.pk/
http://www.unileverpakistan.com.pk/ourbrands/homecare/surfexcel.asp
http://www.unileverpakistan.com.pk/ourcompany/careers/insideunilever/howwework/
http://investing.businessweek.com/businessweek/research/stocks/snapshot/snapshot_a
rticle.asp?symbol=UNIL
http://www.paksearch.com/Annual/Annual00/LEVER00.htm
http://www.scribd.com/doc/3701110/Pricing-Strategy-and-Programs?autodown=doc
http://74.125.95.132/search?q=cache:Xk23Qs3XF-gJ
http://www.unilever.com/Images/ir_q108_announcements_tcm13-
124823.pdf+Surf+Excel+Branding+strategy.doc&hl=en&ct=clnk&cd=5
BOOKS:
Principles of marketing (Gary Armstrong and Philip Kotler 10th edition)
Marketing Management (Philip Kotler 11th edition)
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http://www.final-yearprojects.co.cc/ http://troubleshoot4free.

SHORT REPOT ON:

“The hardest steel goes through the hottest furnace.”

Thank you. God Bless you

From Uzair Hameed

The packaging is designed in such a manner that it should it is able to create a

The selection of place to communicate the brand’s message is a crucial process.

The target market of Surf Excel is mainly Housewives as deciders, whereas

In 2005 Unilever adopted one of the price-adjustment strategies which was

DISTRIBUTION PRICING STRATEGY:

Merchandising Drives: It depends on the Channel the team is choosing to communicate

Strata 1 would have 60% advertising sites.

Top brands advertised Top 15 Advertisers on

Moreover retailing consumer products is Unilever’s bread and butter. The

MARKET POSITIONING: As the best detergent in the detergent’s category.

Unilever, Pakistan’s largest consumer products company, has a problem. It cannot

Profitable growth will be sustained through focused brand building, innovation

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