You are on page 1of 23

DETTOL [R.B.

]
I am a B2B manager of this
company for April 2010 to
• March 2011
• Submitted to:
 Mr. Rakesh Chaudhry

 Submitted By:
 Amit Singh
 PG20082605
 Group 1
Objective
Reckitt Benckiser's objective is to

generate above industry average


profitable growth by:
• Focusing on building the power brands in high
growth categories
• Geographic expansion of the portfolio
• Continuous innovation
• Higher investment in brand building
• Margin expansion and cash conversion to fund
reinvestment in core brands and to grow returns
to shareholders.
• Selective add-on acquisitions

SITUATIONAL ANALYSIS
Some uncontrollable situational factors that are faced by the

Reckitt Benckiser and Dettol soap are as follows,


• Demand: Although the demand for Reckitt Benckiser products is
very high but when we talk about the demand of the Dettol
soap the demand is growing in the antibacterial category.

• Competition: There was no direct competitor of Dettol soap
at the time of launching but today; two brands are directly
competing Dettol. Safeguard (P & G) and lifebuoy (Unilever)
are direct competitors

• Legal/political: these are the uncertainties that are
extremely variable in the political conditions of India.
Constant political instability does affect the company in
terms of building new relations with new governments all
the time.

• Social and Cultural factors: the company has to be very
careful in the implementation of its promotional campaigns

MARKETING ANALYSIS
In the mind of the consumer, anti-

bacterial soap should have the


following:
• A product whose core function is to clean
skin, making it softer and smoother, while
leaving a feeling of freshness behind. Good
perfume and foam combine to deliver this
freshness experience.
• Like Dettol has given it’s slogan of “Dettol
protects against a wide range of unseen
germs, including bacteria and viruses”
• While safeguard is focusing on ‘ Din Raat
Lagataar Tahaffuz ’ which is more
powerful in the mind of the consumer .
• Lifebuoy is following the “ germ
buster ’ s ” strategy .
TARGET MARKET :-
As per my point of view:

• All Hospitals of the City or Town


• All Hotels of the City or Town
• All School or Colleges of the City or
Town
• All Restaurant of the cities.

MARKET NEEDS & Trends
• RB is conscious of the changing
consumer needs and trends and is
constantly conducting market
research to assess opportunities and
threats. Quality of the product is
the number 1 priority as well as
research on new variants. The next
planned variant is Dettol Herbal
soap.

MARKET GROWTH :-
• 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. 

The major players in Soap market are HLL, Nirma,


P&G and RB.
• The overall soap market is growing by 10 %
while the antibacterial segment is growing by
7%. Hence, there is a lot of potential in the
market for growth and additional brand
penetration and brand building.
COMPETITION ANALYSIS :-
• Dettol soap is a brand of Reckitt
Benckiser India Ltd and it has been
operating in India since 1933. Dettol
is the leader in the antiseptic market
with 85 per cent market share.
• Safeguard is the No. 1 antibacterial
soap worldwide; it is the only bar soap
registered with the FDA
• Lifebuoy is one of Unilever's oldest
brands. Lifebuoy has a market share of
16 %.
OPPORTUNITY ANALYSIS :-
• Based on the competitive analysis, Reckitt
Benckiser found out that there are a lot of
opportunities which will help the New Dettol
soap capitalize a greater market share.
v Extensive Market Growth
v Market Penetration and Market Expansion.
v Achieving High Gross Margins
v High Customer Services and Satisfaction
v New Product Development and Entrepreneurship.
 For Ex.
 New Dettol Fresh
[Stay Protected, Saty

Fresh with new Dettol] 


PRODUCT OFFERING
The product is offered in 5 variants (2
skus – 115 Gms and 70 Gms):
 Original: Contains essence of the Dettol

antiseptic solution

 Skincare: Contains moisturizer for Skin
care.

 Active: Contains Active cleaning agent for
Active cleaning.

 Fresh: Contains Fresh scent for a Fresh
feeling.

 Sensitive: Contains Skin-friendly
ingredients for Sensitive skin.

POSITIONING STRATEGY
Positioning Against Competitor

• Dettol is positioned as a premium brand which


the mother chooses for 100% protection
against all germs and bacteria for her family.

Positioning In Relation To Product


Attribute :
• The primary positioning vis a vis product
attribute is that Dettol Soap has the essence
of Dettol Solution, the no. 1 antiseptic brand
in the world trusted by families everywhere
for over a century.

Positioning by price and quality


• As Dettol is a premium brand, it is priced at a


premium to its competitors (Safeguard and
Lifebuoy).
PRICING STRATEGY
Price v / s non price competition
• Dettol soap is priced at retail price of Rs. 38.00
(115 gms) and Rs. 26.00 (70 gms) which is at a
premium of Rs 3 and Rs. 2 to its competition
(Safeguard and Lifebuoy).
Discounts and allowances

• RB give a special trade offer on Dettol Soap of


2% during the summer season so as to push to
product into retail and an additional discount
of 4 % to wholesalers to maximize loading in
the channel and improved distribution when
demand (consumer pull) is maximum.
• In addition, for the months of June to August – RB
runs a special consumer promotion pack of three
Dettol Soaps (in one package) with a Rs. 19 price
off on a purchase of three soap bars.

DISTRIBUTION STRATEGY
 CHANNEL OF DISTRIBUTION FOR CONSUMER
PRODUCT
 There are 2 primary channels of distribution for
Dettol soap:

 Distributors and sub distributors :


• The company sells the products to its appointed distributors


and sub distributors that are responsible for the
distribution of pre-defined geographical areas who
distribute it further to wholesalers and/or retailers.

 Direct Delivery ( Key Accounts )
• The company provides direct delivery to select large
customers like institutional buyers of key accounts which
sell directly to the consumer or to small retailers / end-
consumer.
Product mix
• The five variants provide an ideal
product mix in terms of consumer
needs i.e. Original with Dettol
Solution, Skincare with moisturizer,
Active with active cleaning agent,
fresh with fresh scent and Sensitive
for sensitive skin. A new launch of
Dettol Herbal Soap, which takes the
tally of soaps to six variants.
ADVERTISING AND PROMOTION
STRATEGY
COMMUNICATION STRATEGY OF DETTOL SOAP

• “Reposition Dettol soaps range as a preferred


everyday use solution for the whole family”

COMMUNICATION OBJECTIVES
 Announce new & improved Dettol soap.

 Protection against a wide range of unseen germs

(including bacteria & viruses).


 Better experience (lather / perfume / feel-on-skin).

 Show all 5 variants of new Dettol soap.

 

AGENCY SELECTION :

 Citrus Talent Management Agency


ADVERTISING
DETTOL prefers TV because of their philosophy that;
“HEALTH AND HYGIENE ALWAYS COMES FIRST.”
Dettol soap spends around 60 % of the TV
advertising budget on all channels with high
rating points .
• MEDIA PLAN - TV ( over 12 minutes per channel per day)
• MEDIA PLAN - RADIO
• PRINT ADVERTISEMENT
 Dettol soap has a very aggressive approach in
print advertising with the launch of the new Dettol
soap ads appear in almost all the leading newspapers
around the country e.g. Times of India, Dainik jagran HT
etc.

BUDGET

Dettol soap is a Rs 1 billion brand annually and so


the marketing budget allocated to it approx 20 % of
total Net revenue.
For the year ….. April 2010 to March
2011
Advertising Strategy:-

• Main target for the year is Hospitals,


Hotels and Big colleges. For them
• we going to
road shows.
• Distribute Free
Sample.
• In case of Hotels we offer them
discount on our best selling price.
Or we offer them 4% discount on
product for whole year, which we
offer to our whole sellers.
Budget for the year…
• In case of advertisement..

Activity Amt. Per Total
 activity
For Shows 40,000 (3 times) 1,20,000

 For sample 10000 (6 times) 60,000


distribution

For Kiosk/ cafe 20000 (3 times) 60,000

TOTAL --------- 2,40,000


Sales Forecast for the
Year…
For the Year…

• In 1st Month we are going to


advertise in all targeted areas.
• But after 1st Month our target is
at least 10
Hospitals/Hotel/Institutional area
per month.
• It means in whole year our target
is near about 100 to 150 institutes.
Which are ready to use only Dettol
products.
Sales of the year
Customers Units per Units in a Per unit Total
month year cost (After
Discount)
Hotel (100 Soap: 100 Soaps: 1100 19.20 Rs. 21,120 Rs.
rooms) units Liquid: 38.40 Rs. 63,360 Rs.
Liquid: 150 1650
Hospitals units
Soap: 200 Soap: 2200 19.20 Rs. 42,240 Rs.
units Liquid: 38.40 Rs. 84,480 Rs.
Institutes Liquid
Soaps :50200 2200
Soap: 550 19.20 Rs. 10560 Rs.
units
units Liquid: 550 38.40 Rs. 21,120 Rs.
Total Liquids
----- 50 Soap: 3850 ------ 2,42,880 Rs.
Units Liquid:
4400

This is the estimation of only one institutes of every segment….


Final Balance sheet of the
year …
• Total Exp. On the Advertisement in a
year… (Rs. 2,40,000) + Extra Expenses
(Rs. 60,000)
• Income of the year … From 3
institute average income (Rs.
2,40,000), Our estimation for sale is
50 to 60 institutes.
 So income is (2,42,480 * 50 =
1,21,24,000)

Profit = 1,21,24,000 – (3,00,000 +


Manufacturing cost)
Manufacturing Cost :
• Sorry I can ’ t find it ….
 Lets assume for Soap its 18 Rs.
 Liquid its 36 Rs.
 Then Total unit
 Soap: 3850*50 = 1,92,500*18 = 34,65,000
 Liquid: 4400*50 = 2,20,000*36 = 79,20,000
 Total Manufacturing cost :
 34,65,000 + 79,20,000 = 1,13,85,000
 Profit :
 1,21,24,000 – (3,00,000 + 1,13,85,000) =
4,39,000Rs.


• THANK YOU …

You might also like