Pond's men brand extension abhinav anand pgp30297_brand management

BRANDING YOUR EXTENSIONS

POND’S MENAn Analysis of the Brand Extension…

MEN’S GROOMING CATEGORY

Men’s Grooming has reached a value INR 46.8 billion growing at over 21%

All leading manufacturers expanded their men’s

grooming portfolio in 2013-14

Increased availability, desire to look trendy along with increasedincomes has led to higher category growth

Men’s Grooming

expected to have a CAGR of over 10 to reach 75.4 billion INR

by 2018

SKINCARE CATEGORY

Over 50% market share in skincare with the next biggest player having a 6% share

UNDISPUTED LEADER!

75,315 mn INR

Have your pie and eat it too!

Category Size

FACIAL CLEANSING

Personal Care Split Up by region

Around the world Facial Cleansing leads the way in personal care and more so in South East Asia with 93% spending on facial care

Mens FC Female FC Male FM Femsle FM Female FairnessFM

Female AA FM

Segment Growths55%

0

50

100

150

MAT 13 MAT 14

% SHARES

Facial Cleansing Shares

Male FC Female FC

Male FC Shares up from 11% to 29% in 2014

Men’s Facial Cleansing is the fastest growing segment in facial care

ABOUT THE COMPANYHINDUSTAN UNILEVER

Net sales of INR 258.1bn

and profits of INR 30 bn in

previous financial year

Leader in the overall beauty and

personal care in India in 2013

with a 30% market share

Focus on expanding its personal

care portfolio through new launchesLeader in 7 out of 10 main categories

Widest product portfolio with strong

presence in some of the fastest-

growing categories

Launched in 1846 as healing cream in the U.S.

In 1886 Pond’s began advertising nationally

By 1910 Pond’s Vanishing Cream and Cold Cream were well established brands

In 1920s the company targeted royalty with Queen Marie of Romania an obsessed user cum sponsor

In 1995 Ponds merged with the Cheesebrough manufacturing company

THE POND’S BRANDGet the expert to look after your skin

In 1987 Cheesebrough-Ponds was acquired by Unilever

Since then the company has expanded to Facial Moisturizers, BB creams, Facial Cleansers and Makeup removers

HOWEVER!Pond’s had always been a feminine brand until….

THE BRAND EXTENSION

A Facial recharger for

men with coffee bean

extracts…

Pushed up the

share of Pond’s

brand to over

6% in the skin

care market !!

WHY IT MAKES SENSESkin care one of the fastest growing categories

Men’s category is rapidly increasing share in skin care

Consistent with HULs strategy of expansion in personal care

HUL being the category leader is expected to lead the way with innovations

Facial Care is an obsession in South east Asia

MARKETING MIX

PRODUCT

A foam based facial cleanser.. with coffee bean extracts… and menthol….

which helps dull and tired men…GET FULLY RECHARGED!

PRICEPOND’S MEN

COMPETITIVELY PRICED

Prices lie in the Popular segment

Higher than the Mass segment price of Himalaya

Lower than the Premium segment price of L’Oreal

Biggest Competitor Himalaya priced at Rs. 75 for 50 gms Category leader

COMPETITIONPrice SKU Size

INR 95 50gms

INR 160 100gms

Price SKU Size

INR 72 - 100 50gms

INR 152- 195 100gms

INR 400 Specialist Products

PLACE

Modern Trade General Trade

E-Commerce Cosmetics Stores

TIER 1 AND TIER 2 CITIES ACROSS INDIA

ACROSS CHANNELS

All major players have a similar channel strategy!

PROMOTIONSA MIX OF..

Television CommercialsPromotional Events Online Media

A SUCCESSFUL MARKETING CAMPAIGN!8-10% of Projected Sales Budget for Advertising!

https://www.youtube.com/watch?v=6IQmr7k2rMA

TVC Analysis

Communication of Functional benefits

Enough exposure givento the product

Analogy drawn from widely understood everyday phenomenon

Leveraging Equity of a celebrity that resonates with the TG

POSITIONING

Target segment: 18-35 year old males; students and working professionals; in Tier 1 and Tier 2 cities

A face wash with energizing coffee bean extracts & cooling menthol..For men who want bright + energized looking skin…

Hectic Lifestyle Busy all day long

Cares more about his skin and appearance than the previous generation

Increased incomes; willing to spend more to look attractive

Competitive Frame of Reference: Men’s facial Cleansing Market

POSITIONING

PO

INTS

OF

PAR

ITY

PO

INTS O

F DIFFER

ENC

E

• Has natural coffee bean extracts

• Contains Menthol

• Full of antioxidants

• Differential Price

• UV Protection• Makes skin

smooth• Foam based

cleanser• Clears excess oil

MAIN DIFFERENTIATOR

PRICE

CLEANSING ACTION

L’Oreal

Garnier

Nivea

Pond’s

Himalaya

BRAND RESONANCE MODEL

SALIENCECategory Identification Needs Satisfied

Dep

th o

f A

war

enes

s

Breadth of Awareness

FACIALCLEANSING

FAIRNESSMOISTURISING

FRESHNESS

Daily usage for most consumers

Can be used after work, exercise or any outdoor activity

Can be used after getting up in the morning or before going out for a party

HIGH

LOW

Cluttered Category

No single brand enjoys highTop-Of-Mind-Recall

Recall is mostly aided

PERFORMANCE IMAGERYClears Dust and Oil

User Profile & Usage Situations

Young urban males leading a hectic lifestyle- both working professionals and studentsUsed after a hectic, tiring day’s work

Brand Personality and Values

Exciting brand for youngsters which is up to date with trends and has a coolness attached to it

History, Heritage & Experiences

Pond’s is a more than 100 years old trusted brand with a wide portfolio for everyday skin needs

Brightens skin

Gentle cleansingeffect

Refreshingmenthol effect

Doesn’t dry ortighten skin

Cleans pores &reduces blackheads

Reliable(consistent inresults produced)

ReasonablyPriced

Contemporary StyleOf the tube

Foam based cleanser

JUDGMENTS FEELINGSQualityHigh perceived value and quality assurance of HUL

Credibility

Trustworthiness and Expertise of the Pond’s brand

ConsiderationPart of the contemporary consumers consideration set

SuperiorityViewed Equal to competing brands if not better

Social ApprovalSelf Respect

Fair and Handsome looking man….

*Resonance has not been analysed since it is a new product and resonance takes many years to build.

RECAP

A fast growing category!A leading FMCG player!

An Established Brand!

TO COME UP WITH

Pond’s Men Face Recharger!An Optimal Marketing Mix

A Strong Brand Extension adding back to the equity of the parent and taking the market share up to 6%!!

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SourcesSlide 2 www.ondsmen.co.in (retrieved on 30-06-2015)Slide3 Euromonitor (GMID)Slide 4 Euromonitor (GMID); www.hul.co.inSlide 5 www.hul.co.in (retrieved on 01-07-2015)Slide 6 www.hul.co.in (retrieved on 01-07-2015)

Slide 7http://www.fundinguniverse.com/company-histories/ChesebroughPonds-USA-Inc-Company-History.html

Slide 8 www.pondsmen.co.in (retrieved on 01-07-2015)Slide 9 Company Annual Reports; Investor Relations

Slide 11 www.pondsmen.co.in (retrieved on 06-07-2015)Slide 12 www.amazon.com (retrieved on 06-07-2015)Slide 13 www.hul.co.in (retrieved on 06-07-2015)Slide 14 www.pondsmen.co.in (retrieved on 09-07-2015)Slide 15 www.youtube.com

Slide 16 www.pondsmen.co.in (retrieved on 07-07-2015); www.hul.co.in

Slide 17 www.pondsmen.co.in (retrieved on 07-07-2015); www.hul.co.in

Slide 18 http://www.vizual.net/blog/wp-content/uploads/2012/04/brand_pyramid_CBBE1.jpg

Slide 19-21 www.hul.co.in; www.pondsmen.co.in