final project

Assignment on

Retail Marketing and Management

Topic: GoodKnight

Submitted to: Submitted by:

Prof. Arpita Srivastava Sahil Sardana

PGDM 2nd year

201056

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Table of Content

S.NO Content Page No.

1. Introduction of company 3

2. About Consumer Products 4

3. Our Brands 5

4. Board of Director 6

5. Introduction of GoodKnight 7

6. Market Share of GoodKnight 12

7. Achievement 13

8. S.T.P 15

9. 4Ps 17

10. SWOT Analysis 21

11. Conclusion 22

Bibliography

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Introduction of the company

Established in 1897, the Godrej group has grown in India from the days of the charkha to nights at the call centers. Our founder, Ardeshir Godrej, lawyer-turned-locksmith, was a persistent inventor and a strong visionary who could see the spark in the future. His inventions, manufactured by his brother Pirojsha Godrej, were the foundation of today’s Godrej Empire. One of India’s most trusted brand, Godrej enjoys the patronage and trust of around 500 million Indians every single day. Our customers mean the world to us. We are happy only when we see a delighted customer smile.

With 7 major companies with interests in real estate, FMCG, industrial engineering, appliances, furniture, security and agri care – to name a few – our turnover crosses 3.3 billion dollars. You think of Godrej as such an integral part of India – like the bhangara or the kurta – that you may be surprised to know that 25% of our business is done overseas. Our presence in more than 60 countries ensures that our customers are at home with Godrej no matter where they go. With brands you can believe in, service excellence you can count on and the promise of brighter living for every customer, Godrej knows what makes India tick today.

Today, we are at a point in Godrej’s history when our amazing past is meeting up with its spectacular future head on. Godrej is learning and relishing being young again.

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About Godrej Consumer Products

Godrej Consumer Products (GCPL) is a leader among India's Fast Moving Consumer Goods (FMCG) companies, with leading Household and Personal Care Products. Our brands, which include Good Knight, Cinthol, Godrej No. 1, Expert, Hit, Jet, Fairglow, Ezee, Protekt and Snuggy, among others, are household names across the country. We are one of the largest marketers of toilet soaps in the country and are also leaders in hair colors and household insecticides. Our 'Good Knight' brand has been placed at an overall rank 12 and continues to be the most trusted household care brand in the country in Brand Equity's Most Trusted Brands Survey 2010.

Branch Offices in Mumbai, Delhi, Kolkata and Chennai ensure pan-India coverage, while factories located at Malanpur (Madhya Pradesh), Thana (Himachal Pradesh), Katha (Himachal Pradesh), Guwahati (Assam) and Sikkim cater to the diverse requirements of our product portfolio.

We also have a strong emerging presence in markets outside India. With the acquisition of Keyline Brands in the United Kingdom, Rapidol and Kinky Group, South Africa and Godrej Global Mideast FZE, we own international brands and trademarks in Europe, Australia, Canada, Africa and the Middle East. As part of increasing our global footprint, we have also recently acquired Tura, a leading medicated brand in West Africa, Megasari Group, a leading household care company in Indonesia and Issue Group and Argencos, two leading hair colorant companies in Argentina.

We are driven by our mission to continuously enhance the quality of life of consumers in high-growth markets with superior-quality and affordable home care, personal care and hygiene products.

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Our Brands

Home care

Personal Wash

Hair Care

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Board of Director and Shareholding Pattern

Shareholding Pattern As on 31-12-2010

%

Indian Promoters 67.43

Banks fin. Inst. And Insurance 0.39

FIIs 19.44

Private Corporates 4.40

General Public 6.96

Board of Director

Managing Director A.Mahendran

Chief Operation Officer Dr.Rakesh Sinha

Executive Vice President Sumit Mitra

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Introduction Of Good Knight

The Good Knight brand was launched by Transelektra Domestic Products Ltd (TDPL) in 1984. The product was innovative and perfectly priced.

Mats, used with electronic mosquito destroyers were extremely effective since they contained a chemical called Allethrin (1%). In a sense, Good Knight struck the market at the right time. It was a huge success in small towns, big cities and metros, all of which had a common denominator of reasonable electrification, growing per capita incomes and high mosquito incidence. In 1990, it also began targeting the lower end of the market by introducing a low cost EMD called Star, which was priced at Rs. 36.

Godrej Hi Care took over TDPL in August 1994 along with another brand, HIT Aerosol which had been launched in 1990. Other brands like Jet and Banish were also acquired in 1995. This was followed by the strategic alliance with Sara Lee, a for tune 500 consumer product giant.

The low price strategy helped Good Knight grow and sustain its leadership till 1995. From then on, two factors changed the complexion of the mosquito repellent market. In 1995, Mortein launched for the first time a coil containing Allethrin. The coil narrowed the efficacy gap with Good Knight mats and worked out cheaper for a user since there was no hardware cost to it. Mortein became a leader in the coils category. Users saw no reason for paying a premium for mats over coils and shifted loyalties to the latter. In spite of a toughening market situation, Good Knight did not lose its grip on the HI market.

By 1999, Good Knight also joined the battle for the coil honours by launching its red coil variant. Since Good Knight was seen to be a hi- tech brand and coils were regarded as an entry- level product, the

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company made sure that it did not suffer a downgrade in consumer perception. It branded its version as a value- added product, which lasted ten hours (compared to eight hours in the case of most others). The colored was meant to convey power. A new product category was born. It led to a shift in the paradigm, as red now became the aspiration color for the other coils.

Currently the red coil category has grown to own almost 50% of the total coil market, with Good Knight as an image leader in this category. (Brand Equity Survey, March 2005). In 2002, to get a foothold in the ‘non-red’ territory, Good Knight also launched Champion coil as a green variant.The brand has traversed emerging consumer trends and has created a three pillared strategy identified by the key differentiators

GOOD KNIGHT CARE RANGE

It promises to tackle the basic need of consumers in mosquito repellent industry.

GOOD KNIGHT ADVANCED RANGE

Promises to give technologically advanced solutions overcoming the key format barriers with products in the good knight care range category.

GOOD KNIGHT NATURALS

Promises to tackle consumer concern of safety.

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GOOD KNIGHT CARE RANGE

1) GOOD KNIGHT SILVER MATS

Launched in 2003, with contemporary packing, superior technology and using a high decibel campaign. Constitutes 62% of silver mat market Pioneer in mats Come is two packages of 30 mats and 100 mats

2) GOOD KNIGHT COILS

It commands 50% of the coil market the only coil with fragrance largest selling 12 hour coil in the country

3) GOOD KNIGHT SILVER POWER

Widest range of refills and machines silver wick for consistent release of active fastest growing refill bran.

Good Knight Silver Mart Good knight Coils

Good Knight Silver Mart

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GOOD KNIGHT ADVANCED RANGE

1) GOOD KNIGHT ADVANCED ACTIVE PLUS

2009 , product of the year in household product category Has dual mode, normal mode for normal mosquito problem and

active mode for heavy mosquito infestation.

2) GOOD KNIGHT ADVANCED MOSQUITO AND FILE SPRAY

it constitutes 9% market share superior product that has advanced filters to reduce harsh particles leaves a pleasant fragrance after use

3) GOOD KNIGHT ADVANCED LOW SMOKE COILS

it has cornered 50% of the coil market world 1st coil that offers 80% less smoke 25% more effective

Good Knight Advanced Active plus Mosquito and File Spray

Good Knight Advanced Low Smoke Coils

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GOOD KNIGHT NATURALS

1) GOOD KNIGHT NATURAL MOSQUITO REPELlANT CREAM

11% market share the only cream with moisturizer and skin care benefit enriched with natural care ingredients like tulsi and lavender a product from the trusted house of good knight comes in two packaging :50 ml and 125 ml

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Market share of Good Knight

Godrej's GoodKight brand has emerged as a main challenger to multinational SC Johnson India's leadership position in liquid vapourisers-which is the only segment of mosquito repellents in which Godrej is not the leader.

According to the July 2011 market share figures by Nielsen, GoodKnight has overtaken AllOut in liquid vapourisers to become the leader in this segment of mosquito repellents, when compared to the same period last year. Godrej's share in July 2011 was a little over 43%, while that of SCJ India is just about 42%. This is the first time Godrej has overtaken SCJ in liquid vapourisers, a segment which contributes around 25% to the roughly Rs 3,000 crore household insecticides market. AllOut, a brand which SCJ India acquired from Karamchand Appliances in early 2000s, has the first mover advantage in liquid vapourisers. It has had a clear lead over GoodKnight ever since its launch However, when market share figures under moving average total (MAT) are considered, SCJ is still the leader with a share of a little over 45%. Godrej's share under MAT stands at 39.4%. "The conventional way of looking at shares for most consumer products categories is an average for a 12 month period (called MAT) as these evens out the month to month fluctuations that are typical of most consumer products. This is especially the case with home insecticides category which is highly seasonal in nature," said an SCJ India spokesperson.

Godrej's view is that although MAT is generally followed by the industry for judging market share numbers, if the trend for the last 24 months is closely observed, GoodKnight has been consistently gaining share.

"We feel that the July numbers, where we have become leaders, on a year-on-year basis are the tipping point. This should eventually translate into annualized gains," said a Godrej official.

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Godrej, which was the pioneer in household insecticide electric appliances, was pipped by AllOut when the brand came out with an innovation like liquid vapourisers. A few years later, Godrej too got into liquid vapourisers, but remained the second rung brand.

"GoodKnight has played a key role in growing the category. In the last two years, we have been consistently building on this segment where we have inched up in market share. The game changer was GoodKnight Advanced which was launched three years back. We are now the leaders across all segments in household insecticides,'' said A Mahendran, managing director, Godrej Consumer Products (GCPL).According to Tarun Arora, executive vice president (marketing), GCPL, "what helped GoodKnight’s advent in market share was a pick up in modern trade and an expansion in the number of outlets by three lakh in two years.''

Other household insecticide brands in Godrej's stable are Hit and Jet.

SCJ India is the subsidiary of US-based SC Johnson which owns brands like Glade, Pledge, Shout and Mr. Muscle.

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Achievements

Great nights begin with Good Knight. Ask consumers around India and they’ll vouch for it. That’s the promise that Good Knight consistently delivers, night after night. Along with a good night’s sleep, a Good Knight consumer is also protected from many dangerous diseases. Good Knight has grown into a powerful brand on the strength of these benefits. Ever since it was launched in 1984 Good Knight mats have altered the HI market. Within two years of its entry Good Knight became the largest electronic mosquito repellent in the country. The name Good Knight also became synonymous with the mat category.

In the mid 1990s, Good Knight faced growing competition from new coil and vaporiser products. To counter this thrust, Good Knight re-launched its mat first as Supermat and finally as Good Knight Silver mat in 2003, with contemporary packing, superior technology and using a high decibel campaign. Today Good Knight Silver mat is a market leader with 62% market share (Source: ACNielsen ORG-MARG, March 2005).

The mats category, however, was losing share in the HI market. So, it was imperative that some long-term solution be found to capitalise on the Good Knight equity.

Towards the late 1990s, Good Knight also created a new product category – the ten-hour coil – which till then was seen as a down market niche in the HI universe. The red coil category created by Good Knight is growing and has cornered 50% of the coil market (Source: ACNielsen ORG-MARG, March 2005).

Good Knight entered the vaporiser segment in 1995 by launching Good Knight liquidator with a Liquid Mosquito Destroyer (LMD) machine, together as a combo-pack. In a short span of three years, Good Knight liquidator managed a share of 24% of the vaporiser market and 32% of LMD market (Source: ACNielsen ORG-MARG, 1998), based on the strength of the Good Knight equity.

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Segmentation-Targeting-Positioning

Market segmentation is dividing the market into smaller groups of buyer having distinct needs, characteristics or behavior who might require separate products or product mixes

Type of segmentation

After evaluating the different segments, the company must now decide which and how many segments it will target. A target market consitsts of a set of buyers who share common needs or characteristics that the company decides to serve.

They are targeting Urban Metros Cities, Rich People and Rural area as well.

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GEOGRAPHICURBAN

VAPOURISER

AEROSOL

RURAL

COILS

A product position is the way the product is defined by consumers on important attributes- the place the product in consumers minds relative to competing products. Positioning involves implanting the brands unique benefit and differentiation in customer’s minds.

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4Ps in Marketing

Product

Each of the product forms introduced were able to plug specific consumer need gaps – the Good Knight mat was seen as a safe, convenient solution differentiated by its pleasant fragrance. Even though the product was convenient to use, the need to change a mat daily was seen as a need gap. The other emerging product form – the vaporiser was perceived as a ‘premium product’. The Good Knight Vaporiser lasted 30-45 days and just had to be plugged in. It was a technologically superior, easy-to-use and safe product. The Good Knight coil, on the other hand, was seen as a highly effective and good ‘value-for-money’ product used in high infestation regions. The availability of a number of product forms with specific benefits has led to an increase in the number of dual users – users who use more than one mosquito repellent at a time. Good Knight has regularly up graded its technology and product formats based on consumer input and feedback.

Place

Godrej has used the distribution system. They procure the product to the distribution centre through that that a whole supply is to be passing to the retailers.

Promotion

Good Knight has always chosen a slew of promotion options including outdoor advertising, radio, television and newspapers. The products themselves remain the most effective promotional devices that the brand depends upon. The most important unique selling proposition for Good Knight is its brand equity, built over a decade by its products and brand

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communication. It is the only brand in the HI category which has been able to transcend the physical payoffs of coils, mats or vaporisers and has a higher order of emotional association of ‘Nurturance’ and ‘Total Protection’.

Most of Good Knight’s product launches and innovations are driven by a strong sense of consumer perception. The brand has always paid heed to user wants and needs. Qualitative consumer research, has given the singularly most significant insight that children are vulnerable to mosquitoes all the time and turn to their mothers for protection. The mother, in turn, wants to ensure that she protects her children even when they are out of her sight. Much of the communication effort under taken by Good Knight, since these findings, has revolved around these facts.

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Price

Price of the product matters alt for that company taken the various steps to survive in the market. Due to more completion company gives various discounts and put down their margin in the market.

GSLL while struggling to maintain its MS launched a 60-night refill pack priced at Rs.63.(against All Out’s 45-night pack at Rs.54).

GSLL had to support this new scheme using promotions. GSLL MS decreased by 9.3% after KAPL’s ‘Deadly Exchange

Scheme’. Further reduction of price by GSLL had little effect on its decreasing sales.

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Recent Development

Good Knight Mats were re-launched with a new technology, which was marketed as ‘Silver Power’. The new technology enabled the company to plug another need gap. This helped the brand to increase its share in the mat market to almost 60% (Source: ACNielsen ORG-MARG, March 2005).

The launch was also in tune with the new positioning of ‘Good Knight suraksha. Success hamesha’.

Good Knight Turbo refill, a technologically superior product, was launched in 2004. It was the right time for Good Knight to take the plunge and gun for market leadership. The product with the latest technology of a turbo pump wick enabling better active release, led to a faster and better effect – a higher consumer benefit. This was launched with state-of-the-art packaging and design to communicate product superiority and differentiation.

The beginning of the year also saw Good Knight announcing the arrival of Maha Jumbo – the biggest coil in the world. The coil provided the most value for money and came in an attractive consumer pack. The coil stand was also modified to suit the larger size of the product.

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SWOT ANAYSIS

Strength

Brand loyalty Low operational cost Establishment distribution network

Weakness

MAT Quality Not good Less innovation Different policies in different states

Opportunities

Large Domestic market Untapped rural market

Threat

Slow down in rural Area Removal of import restriction Improve some product image

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Conclusion

For that assignment we have to search how Goodknight is the doing his business. By applying various promotional scheme and different strategies’ in 2011 Goodknight bits the market of the Allout who is the market leader of this segment.

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Bibliography

http://www.godrej.com/godrej/Godrej-ConsumerProducts/GoodKnight.aspx?id=381&menuid=2290

http://articles.timesofindia.indiatimes.com/2011-09-06/india-business/30118447_1_godrej-consumer-products-market-share-household-insecticides

E:\retail .. GoodKnight\37983755-Good-Knigh

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