CHAPTER FOUR:

I N D I A N BRANDS - P O S I T I O N I N G ANALYSIS

4 . 1 . INDIAN BRANDS - POSITIONING

4.2. PRODUCT SECTOR - BRAND ANALYSIS

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4 .1 . INDIAN BRANDS - POSITIONING

The concept of positioning is based on tine following four positioning

themes:

• What is my identity?

• Why do I exist?

• For whom I exist?

• Why will they choose me?

WHAT IS MY IDENTITY?

This is usually being accomplished using two types of positioning

strategies:

a. Positioning based on Corporate Identity

The obvious examples here are the consumer durables, automobiles

and white good firms such as Honda, l^aruti-Suzuki, Sony, Apple etc.

The idea is to communicate on the corporate theme using the same

logo or punch line. Bajaj uses the theme 'Value for money for years'

that is present at the top right corner of the communication. This is to

drive incremental core corporate value. The TATA group has taken a

step forward in this direction and demand the group companies to pay

a royalty to use TATA logo in their f irm.

In service sector, most of the financial institutions such as LIC, ICICI

Bank, HDFC follow the approach of corporate identity considering the

high stakes involved in the trust factor. This is where the organizations

origin and credentials becomes base on which customer relationship is

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built. Apart from these, the Taj group (hospitality sector) also follows

this strategy. Their luxury, leisure, business and budget chains all

have the Taj identity. Even the Times group is an example as their

brands such as Times school of marketing. Times music. Times

foundation, and off course Times of India and Economic Times carry

the corporate identity.

An interesting entry in this space is the FMCG sector. Though Dabur

and Godrej have done it historically through endorsements, Britannia

made a strong and bold decision to extend its corporate identity into

its brands through its campaign 'Eat healthy Think better'. Also

companies like Nestle have started to show its corporate logo on all its

marketing communications. Cadbury too is working on consolidating

its brands under its Cadbury master brand.

b. Positioning based on brand endorsement

FMCG category is quite popular with brand endorsement. Some

examples are:

- Lakme (colors, creams, moisturizers)

- Ponds (cream, soap, talcum, lotions)

- I^aggi (soups, noodles, sauces)

- Annapurna (salt, atta)

- Himalaya (chyavanprash, herbs, moisturizers, healthcare

products like cough syrups and digestive capsules)

Also organizations like Unilever Group worldwide is now working on

developing Brooke Bond and Upton brands on similar lines after

spending couple of years on developing individual brands like Taaza, 3

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Roses and many others. These brands are now being combined under

one umbrella. The Upton and Brooke Bond strategy has been

implemented globally. ITC similarly has taken a decision to merge its

brands and consolidate them under Wills.

Further from FMCG, there are brands such as Tractor paints

(distemper and emulsions), Nike (footwear and apparel) which are

working on similar lines. What makes the Tractor paints interesting is

that emulsions are premium products (in pricing and image) while

Tractor was much known for distempers. The basic thought would

have suggested not merging the two as it would become a failure

baggage. However Tractor equity was found to be strong and robust

enough to sustain the merging strategy.

WHY DO I EXIST?

This is usually being accomplished using four types of positioning

strategies:

a. Positioning based on Category

Some of the brands based on category positioning are shown below:

- Tanishq: watches sold as jewellery

- Vaseline: petroleum jelly sold as lip salve and moisturizer

- Waterbury's Compound: iron supplement for protection from

cough and cold

- Sugar free: It is a sugar free sweetener, generally sold to

sugar patients through drug stores. Nowadays it is being

positioned as weight control device for figure conscious

segment being sold through supermarkets

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At a category level, products such as sunglasses, wrist watches,

bags, apparels, sports shoes and various communication devices

are being bought and sold as fashion and style accessories.

b. Positioning based on Benefits

The two basic benefits are outlines below:

I. Functional

I t is all about how the brand's functional benefits are conveyed.

Some examples are:

- Lifebuoy: Kills the germs you cannot see

- Apex Exterior Paint from Asian Paints: Time proof beauty

- Dabur Chavanprash; Immunity against infections

- M-Seal: Seal all leaks

- Pepsodent: 12 hour protection against germs

- Fevicol: jod jo tootega nahin

Shampoos are another interesting category in this area, It has

various functional benefits being sold to consolidate as a

portfolio. For example Pantene offers Lively Clean (for bounce),

Volumizing (for volume). Long Black, Anti-dandruff, Smooth and

Silky.

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ii. Emotional

I t is,all about how the customer feels about the brand. Some

examples are:

- Close-Up: Confident

- Johnson &. Johnson: Caring

- Franklin Templeton Blue Chip Fund: Secure

- Axe: Irresistible

- JK Tyres; In control

- LG: Invincible

- NUT: Inspired

- Liril: Fresh

c. Positioning based on Usage Occasion and Time of Use

Few examples in this category are below:

- Kwallty Walls: Post dinner treat....10 o'clock

- Listerine: Night time rinse....Get fresh tonight

- Babool: Perfect way to start the day....subah Babool ki to din

tumhara

- Clorets: After drinking, smoking, eating....After Anything

- Nescafe: Great start to the morning

- Britannia: Cfiai Biscoot (for tea times)

- Domino's Pizza: When families are having fun (example -

watching TV)

Usage can also be used to expand market. An example is Boroplus

which showed occasions such as shaving, nick and cuts, chapped lips,

winter dryness, nappy rash for using the cream. Cadbury Celebrations

was launched to target adult gifting segment. Research has shown that

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in India, Raksha Bandhan and Diwali are the two largest occasions for

gifting. Cadbury now has advertisement specially designed for these

two occasions. Maggi could have positioned Its noodles as just -

noodles. Instead It chose to position them for the evening time when

kids come back after play and ask for food. We all know the result that

it became an instant hit.

d. Price - Quality Positioning based on Usage Occasion and Time

of Use

The biggest innovators In this arena are brands like Aiwa and Philips in

consumer electronics category with their aggressive price - quality

proposition. Peter England (the honest shirt) and Westside

(surprisingly affordable) have attempted the same In clothes and

accessories segment. Deccan Airlines, now owned by Kingfisher (low

cost flying) and TATA Indica (more car per car) are other examples In

this category.

FOR WHOI^I I EXIST?

This is primarily based on the target market segment as explained below:

a. Demographic fit

- Elle 18 for teens

- Colgate Kids

- KId-e-bank from ICICI Bank

- Benetton 012 for below twelve years old

- MTV music for future generation

- Lee Kids

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- Femina Girl

- Cartoon Network

- Big Bazaar Women Card

b. Behavioural fit

Lays has smartly used the typical behavioral of heavy eaters of potato

wafers with its campaign 'no one can eat just one'. Gelusil has also

targeted the obsessive eaters (who are generally the largest sufferers

of acidity). Another very interesting case is of Coke. In their ad

campaign ^Thanda matlab Coca Cola' has successfully translated the

general behavior of asking for a chilled cold drink. The idea was to

transition from 'e/c thanda dena' and linking it with Coke which was

completed by celebrity endorsement through Aamir Khan.

c. Satisfaction fit

Product categories such as cigarettes and alcohol are an example

under satisfaction based positioning. Based on what the target group

source of satisfaction, the drink can for instance be positioned on taste

(Blender's Pride), smoothness (McDowell's No 1), strength

(Haywards), good cheer and high spirits (Bagpiper). However this

category does have an overlap with positioning based on benefits as

discussed in section earlier.

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d. Psychographic fit

This is more to do with the self-image portrait of a consumer. How the

consumer wants to be seen and how the association with the brand

converts that into feeling.

Examples include:

- Pepsi:. Youthful

- Van Huesen: Corporate / Power dressing

- Bajaj Pulsar: Masculine / Definitely male

- Thums Up: Macho / Have you grown up to Thums Up yet

- Hitachi: Perfectionists

e. The consumer as complete person

Some examples in this category are:

- The Whirlpool housemaker

- The Johnson & Johnson mom

- The Saffola wife

- The Surf housewife (surf Excel hai na) and off course LALITA

JI

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WHY WILL THEY CHOOSE ME?

This is based on two types of positioning strategy:

a. Positioning by Unique Attribute

Few examples are:

- Center Shocl< (sour center)

- Moov (special ingredient for backache)

- Dove (1/4 moisturizing, not a soap)

- Amaron batteries (silver)

- Dermi cool (prickly heat power that cools)

- Blue Pepsi

b. Positioning by Competitor

Few examples are:

- Captain Cook (free flow vs. Tata Salt)

- Time Pass (safe & healthy vs. pan masalas)

- Savlon (does not sting vs. Dettol)

- Borosoft (non-greasy vs. Boroplus and Boroline)

- Annapurna salt (iodine that stays active post cooking vs Tata

Salt)

With respect to the above discussion on Positioning framework, a

sample of leading Indian brands has been discussed and analyzed

below:

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1. Brand: BRU (Company: Hindustan Unilever Limited)

Among all the brands of Hindustan Unilever Limited, "BRU" is the

most popular and the powerful brand in the instant coffee sector

with a market share of about 46.9%.

The product was initially ' positioned as a substitute for the

original and pure filter coffee in the minds of the consumer.

Gradually, the brand was positioned as adding greater value and

happiness to coffee consumption. The brand initially had to

compete with big names like, "NESCAFE". But eventually took

the top position. The success of this brand is usually attributed

to many of the following factors:

- Innovation in new products

- Innovation in packaging

- Aggressive campaigns

A lot of researches were conducted to understand the reasons

for the failure of the leading brand, NESCAFE and it was mainly

attributed to the fact that the company failed to invest in the

brand and hence led to its failure.

As a product, Bru always gave new offerings to customers. One

of the recent new product variant which was highly successful

was the cappuccino packs. The new flavor gave the brand a new

thrust in the market.

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Hindustan Unilever Limited also understood the importance of

packaging a product and they introduced various kinds of

packaging to the product, BRU. This also made the product more

affordable by the consumers and hence more popular also.

2. Brand: Alpenliebe (Company: Perfetti Vanmelle)

Alpenliebe is the largest brand in the Indian Confectionery

Market which is worth about 1200 crores. The worth of

Alpenliebe is estimated to about 160 crores. It is one of the

successful brands and is positioned as a candy for the entire

family.

I 1 • ' • ' • / . sli'/.i&.k ''̂ ' '"•

' »mm^4'*^-ute^

Perfetti, the global giant entered the Indian market in 1944 and

in the year 2001, Van Melle entered the market and this

company along with Italian and Dutch companies formed the

Perfetti Vanmelle. The company has its second largest operations

in India.

This brand has an innovative and effective system of brand

building and is the biggest brand in the segment in the country.

Everything seems to be unique about this product. Right from its

name, shape and the flavors in which it is available. The

company also introduced a taste which suited the Indian

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mindset. The company, Perfetti, is not hesitant in spending

money for advertisements and in turn building a brand image for

itself in the minds of the Indian consumers, Alpenliebe is a

classic case of marketers defying the theory and also highlights a

simple truth, "If you have money to spend, you can make a

consumer sing in your language without understanding a bit of

it.

3. Brand: Band-Aid (Company: Johnson & Johnson)

Band-Aid is considered as a classic case of branding success. The

brand which is almost 86 years old has become generic to the

category.

The product is an adhesive bandage used to cover minor cuts

and bruises. The brand has come a long way to become one of

the classic marketing case studies, In India, the product was

launched in the year 1978. Band-Aid was successful because it

identified the need in the households for wound care. In a

country like India, Band-Aid had to fight the tradition rather than

the competitors to succeed.

Traditionally, Indians prefer not to cover the cuts and bruises

because there is a feeling that wounds should be kept open in

order to heal faster. The company also tried to educate mothers

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about the various possible problems if the wounds would be kept

open. This also helped the brand to become more acceptable.

The other reason for the success of this brand was its

distribution strategy. It was made available in the mass market.

The brand always changed with time and it always understood

the needs of the consumer and always came up with strategies

to satisfy the needs of the consumer. One of the major

inventions was that of water proof band aids. This made the

product usable in any condition. This innovation catapulted the

brand popularity to newer heights. Band-Aid focused on the area

of application and was clever enough to come out with various

sizes.

The company always used various techniques to cater to the

demands of the Indian Consumer. The promotions of the brand

are very effective and it was the first in the sector to use brand

ambassadors like Sachin Tendulkar and Virendra Sewag in its

promotions.

Initially positioned as a wound care brand, Band-Aid was

repositioned as a product that encourages kids to be active.

Band-Aid has been lying low in the media for a while. The brand

has already become generic to the category. Being generic has

its share of problems also. When the customer uses the brand as

a generic name for the category, the retailer can offer him any

brand in the category. The company is mainly facing

competition from players like Handyplast and Dettol. Although

the Indian wound care market is estimated to be around Rs 512

crore, the domestic adhesive bandage category is small at Rs 25

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crore. The brand equity of Band-Aid still going strong and is

preventing new entrants.

4. Brand; Close Up (Company. Hindustan Unilever Limited

This product was positioned by the company as the "Youth

Brand". The product was launched in the year 1975 and was the

first gel toothpaste in the market.

When the product was launched, the market was dominated by

the Colgate Dental Cream and this product changed the entire

market scenario. I t also gave a run for its competitor and

compelled the competitor to also adopt some new strategies.

The insight for this product was that people are conscious about

their breath and want to get close with each other with

confidence. Based on this insight the brand was positioned on

the Fresh Breath platform. The campaign was executed showing

"Happy couples having fun together". Even film Theatres had

corners called as "Close-Up Corners". The brand had the

aspirational persona in it.

The product was again re-launched in the year 2004. At that

time both Pepsodent and Colgate were very close competitors to

each other. Close Up launched a huge number of varieties most

of which failed in the market. The variants like Oxy fresh and

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Eucalyptus Blue failed in the market. HLL decided that only the

Lemon variant will continue. The reason behind the failure of

variant is because Close Up is a sensorial brand. And in such

kind of brands, variants will not work. In categories which are

more rational, variants will work.

The toughest competition for the product was from that from

Colgate with their gel variant. Close Up had to reinvent to keep

the category that it created. This is a brand which created

awareness among the traditional and not so beauty conscious

Indians to think and concentrate on how they look and also

make them understand that how their teeth look also is very

important.

5. Brand: Funskool (Company: MRF)

The company was launched in the year 1988 which was pioneer

in the Indian Organized toys market. I t created a new beginning

of high quality toys in an industry which was very fragmented.

The toy industry in India is huge. Some reports estimate the size

of the market to be around Rs 2500 crore (others estimate it to

be over Rs 1000 crore).

The market is dominated by imports from China. This is the

biggest threat in the market of unbranded toys from China. In

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the year 1987, the company was created as a joint venture

between the World's largest toy manufacturer Hasbro and the

Indian tire major MRF. The company has evolved as a complete

toy manufacturer and is also exporting to other markets.

The major competition for the company is from Mattel and Lego.

Funskool have a market share of around 25% in the branded

segment. The company is facing a lot of issues in the market and

most of them are environmental in nature. The most important

issue is that of availability of unbranded toys and the market is

very sensitive to price and hence it is difficult for the branded

toys to give the premium value what their customers pay.

The company is facing a problem that the Indian parents are

unaware about the safety of low priced cheap quality products.

The other issue is that of creative plagiarism or piracy. The copy

right issues are not very strong and are not executed correctly.

Thus the branded players are not able to sustain the

differentiation based on characters or range. Everything can be

replicated in this market without much fuss. Funskool was

perfect in creating and marketing new games and toys. The

brand is churning out 70-80 new varieties every year. Positioned

on the platform of safety, variety and education, the brand

already have a huge equity in the Indian market. The major

competitor for Funskool is Mattel. Mattel has its range of Fisher

Price'brand of toys taking on the Funskool range.

The challenge for Funskool is to encourage the Indian consumers

to look at toys at a broader perspective than just an

entertainment.

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6. Brand: Monte Carlo (Company: Oswal woolen mills)

This brand is a premium knit wear brand in India, which was

launched in the year 1984. The brand is a market leader and is

dominating the Mass and the Class segment winter cloth market.

Oswal has around 50% market share.

The company invests in the advertisements and its product

promotions. The popularity of the brand is so high that the

company is using the same advertisement for the past two

decades.

MONTE CARLOS

The company is making a lot of effort to bring the premiumness

in Its campaigns. The brand is diversifying into various segments

of apparels under various names. It has launched various new

products like the T-shirts and everyday apparels for both men

and women. The maximum competition for the brand is from

Van Heusen and Louis Philippe. The market presence of the

brand is huge but the company has to continually keep

innovating so as to be the leader in the market.

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7. Brand: Fevistik (Company: Pidilite Industries)

The brand is an extension of Fevicol. Tliis is one of the products

with very good customer centric innovation. The brand is the

market leader (with 90% share) in its segment of the 35 crore

glue stick market in India, The brand was the first to introduce

the glue stick product form in the country.

Although a small brand, Fevistik is an example of customer

centric innovation. This brand has changed the dynamics of this

product category and changed the way customers use this

product.

The other competitive advantage for this product is that it is not

manufactured in India and is imported and thus it is cost

effective and also the brand has become a global brand. Since

there is competition from other serious players like Camlin, the

company has to keep a strong distribution and a healthy

inventory at the retailer end.

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8. Brand: Onida (Company: Mire Electronics)

Onida has launched its new campaign which is aimed at

repositioning and rejuvenating the brand. The brand is trying for

a comeback after years of uncertainty which made this (once)

iconic brand lose its share in the market.

ONum

It is researched that, Onida's real problem is not branding but

marketing. The brand desperately needed break-through

products and embrace new technologies. The brand is trying to

launch products with new features, which is the right thing to do.

The brand is now repositioned on the basis of "Customer

Oriented Design". The brand is promoting that its products are

designed for the new-age customer.

The most important task is that the company has to convince its

customers that its products are better designed and have good

technology. Onida needs to work hard on creating and nurturing

new perceptions about itself in the mind of the consumers.

9, Brand: Act I I (Company: Agrotech Foods (ConAgra))

Act I I is an interesting brand story. The brand is from the global

agro-foods major ConAgra Foods. Act I I was launched in India in

1999. This brand has successfully created a new sector in the

Indian market for popcorn.

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It is the first largest selling popcorn brand in the world. It came

into the market in many variants lil<e Act (I) and then a more

popular Act ( I I) . The Act (II) popcorn was an innovation which

was well accepted by the large middleclass market.

Apart from these product centric developments, the company

also is into aggressive promotion strategy. The company is

focusing on acquiring customers but it should focus on two main

factors:

a. Promoting Popcorns as a regular snack.

b. For this the brand has to find a compelling reason for

consumers to buy Act I I , It can highlight the taste, nutrition

etc.

10. Brand : Ambassador (Company: Hindustan Motors)

This product has a British legacy, but is usually regarded as the

definitive Indian car.

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The product was born in 1958. The design and technology is

from a British car model - l^orris Oxford which was built by

Morris Motor Co at Oxford UK. Ambassador was officially

launched in 1958. The product was the market leader from the

year 1958 to 1980's. During that time, its only competitor was -

Premier Padmini. The company faced its competition in the

yearl983 from Maruti Udyog Ltd who launched the Maruti 800.

The largest section of the market which is the family section was

ruled by Maruti. Even in that situation, Ambassador was

preferred by a few people due to two main reasons:

a. It was the only Indian car with diesel option.

b. The space and sturdiness of the car.

The main reason for the fall of Ambassador is a classic case of

marketing myopia. The company for almost four decades had

catered to the customers. But it failed to change and respond to

competition. The brand failed to change with times. The major

drawback was the high price but with less or almost nil product

innovations.

The competition is fierce with various variants in the market. The

competition is immense and the quality of cars has also gone up.

Consumers now have new set of purchase considerations like

quality, brand, drivability, luxury, cost of maintenance etc. In

the value proposition domain. Ambassador is never in the radar

of the consumers. The narrowing price difference between petrol

and diesel also eroded the value in investing in an old dated

Ambassador. The company failed to invest in the brand through

product innovation or competitive promotional strategies.

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11. Brand : Asian Paints (Company : Asian Paints)

This company has been the leader in the Indian Paint Industry

for quite a few decades. The company was founded in Bombay in

the Year 1942. Today the brand is Rs 1000 crore company and

has occupied a premium position in the Indian Paint Industry.

The paint industry in India can be divided into two broad

categories:

- Decorative segment which constitutes the wall paints;

exterior and interior, wood paints etc.

- Industrial segment which consists of automotive paints,

and paints for industrial sector.

Decorative segment constitutes around 75 % of the total paint

industry and Asian Paints is the marl<et leader with around 44%

share. In the Industrial segment, Nerolac is the market leader.

In its sector of operation, the company has changed the buying

process. The company realized the need for brand building in a

product which largely would be chosen by the building

contractor. The main focus of the company has been that on

product innovation, service network and managing quality

proposition.

asianpaints

The brand mainly focused on mass and rural markets. The

company has been repositioning it as a premium brand by

launching various innovative campaigns like:

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- Corporate campaign, "Spectrum of Excellence" which mainly

aimed at increasing the salience of the brand.

- The campaign "Celebrate with Asian Paints". The campaigns

were carefully crafted and there were different campaign for

different regions.

These campaigns effectively enhanced the brand equity of Asian

Paints and established itself as a premium brand. The consumers

changed their intentions and were becoming less seasonal. From

a low involvement category, paint has increasingly becoming a

high involvement category. The company went an extra mile to

bring in freshness when it changed its logo also. From then on,

there was no look back for the company where it created a

wonderful positioning strategy.

The company's tag line says "Har Ghar Kuch Kehta Hai". This

campaign is a perfect example of a brand laddering up and

connecting to a higher level in the mind of the customer. The

campaigns reinforced the brand as a premium emotional brand.

Asian Paints is a classic branding story and the brand is still

exploring and gaining control over new markets from its

competitors.

12. Brand : Pulsar (Company: Bajaj Auto)

The brand is one of the most popular brands in the Indian biking

industry. The product was launched in the year 2001 and is the

market leader in the 150 cc+ performance bikes. It is the

product which changed the fortune of Bajaj Auto limited.

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S^ B / V J A J

The Indian bike market is made up of three sectors namely:

• Economy Segment

• Executive Segment

• Performance Segment

Pulsar came and gave a new life into the Performance segment.

Although not a pioneer, Pulsar made the Performance segment

one of the fastest growing segment in the two wheeler market.

One of the major contributors for the high success of the product

is its strong advertising. Its campaign of, "Definitely Male" is

very interesting, The company knew that it had to cash on the

product and hence pulsar got absolutely undivided attention

from the company which led to its success.

In 2003 another milestone event happened in the product

lifecycle of the brand. Bajaj launched its new technology DTSi.

DTSi stands for Digital Twin Spark Ignition which delivered more

power and efficiency. The increased performance of the brand

took Pulsar to greater heights, 2004 and 2005 saw some

cosmetic changes in the brand which excited the customers and

thus cementing Pulsar's position in the market.

Pulsar came in two variants: 180 cc and 150 cc where 180 cc

excited the performance bikers, 150 cc was for the mileage

conscious ones. The 150 cc variant took lot of customers away

from the executive segment to the performance segment. The

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brand also has its quota of mistakes when the positioning of

"Definitely Male" was changed to "Digital Biking"; the ads though

successful could not appeal to the customers much.

After ruling the premium bike segment, Bajaj is taking their

brand to another level. Bajaj recently launched Bajaj Pulsar 220

DTSi to take on the competition from Hero Honda and the like.

The new Pulsar boasts of spruced up engine, new digital console

and new style. Pulsar is definitely getting better.

Pulsar 220 is being launched with a new campaign revolving

round the concept of Free Biking. Free Biking is all about tackling

obstacles. According to company it's about how you ride. What

made Pulsar a super brand was its ability to come out with

different disruptive campaigns. Now the market is waiting for the

new Bajaj 250 cc which will redefine the bike segment again.

Sadly Bajaj is no longer using its blockbuster tagline "Definitely

Male" but instead is using the corporate brand tagline "Distinctly

Ahead". This brand shows the power of brand equity where

customers buy, irrespective of variation in the advertisement

campaigns.

13. Brand: Allout - Yamraj of Mosquitos

(Company: Karamchand Appliances Ltd (subsidiary of SC

Johnson Co))

The product is an interesting example of a pioneer who

developed a new category and also for a brand which showed

the importance and effect of aggressive marketing.

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AUOUTI

The product was launched in the year 1990 by a snnall company

called, Karamchand Appliances Pvt Ltd. The market during those

times was dominated by mosquito coils. The company wanted to

venture into the making of this product and it entered into an

agreement with a technical collaboration with a Japanese

collaboration Earth Chemical Co. Along with manufacturing of

mats, the company also noticed a new product, vaporizers. It

consisted of a heating unit and a container containing repellent

liquid. Vaporizers had more advantages than the mats. The

mat's effectiveness used to weaken over time. But vaporizer had

the advantage of consistent effectiveness since there is a

continuous flow of liquid to the heating element.

Karamchand appliances launched the vaporizer in 1990. The

brand name was kept as "Allout". The name was easy to

pronounce and understand and further the name was self

descriptive about the product. Allout was launched with

aggressive brand promotion. The product was priced at a

premium and at the time of the launch, the brand was retailing

at Rs 225 for the main Vaporizer. Allout soon attracted the

attention of the consumer. Because of the high price, the

product was limited to the high income households. On the

marketing front, the company started off advertising in a big

way but with little success. Then came the famous trademark

advertisement of Allout featuring the animated frog. The ad

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showed the Allout machine like a jumping frog eating all the

mosquitoes. The ad was a big hit among the consumers. The ad

was simple and communicated the brand purpose effectively.

At one point of time Allout was one of the largest advertisers in

the visual media. Soon Vaporizers began to gain popularity

among the users. Sensing this shift, the market leader Godrej

also extended the Goodknight brand into the vaporizer segment.

The entry of Goodknight expanded the market much to the

advantage of all the players. The increased competition also

rationalized the price of vaporizers. Companies began to lower

the price of the vaporizers (captive product pricing) and gain the

margins by selling the refills. The interesting fact about the

marketing of Allout is the strategy of using animation in their

advertising. Besides the consistent using of the jumping frog, the

brand also used animation extensively in their advertising.

In 1998, SC Johnson acquired controlling stake in Karamchand

Appliances. The support from a large parent company like SC

Johnson was crucial for this brand since the competition is

intense in this segment. Aggressive marketing has made Allout a

pioneer in creating the vaporizer segment in India. The brand

also showed that a small company can create and lead a new

category through smart aggressive marketing.

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4.2. PRODUCT SECTOR - BRAND ANALYSIS

In this chapter, the researcher has analyzed the product sector - oral

care brands in detail. Brand success and failure has been arrived after

discussion with experts from survey panel. Obviously the above approach

can be used to comprehend brand success in other product categories as

well.

TOOTHPASTES

The toothpaste market is about 55,000 tones in size. The leader in the

toothpaste market is by far Colgate with its flagship brand - Colgate

Dental Cream which alone accounts for nearly 50% of the tonnage of the

Indian toothpaste market. In nineties, Colgate has been under sustained

attack from Hindustan Levers' brands - Close-up and Pepsodent. Close-

up launched a 'gel ' toothpaste and aggressively promoted it on the

'youth' platform. It holds about one-fifth of the market now. Colgate

launched its own gel version called Colgate Gel to get back volumes.

Colgate also has niche brands under its umbrella like Calclguard, Total

etc. After several relaunches on the part of Hindustan Levers, Pepsodent

is reportedly doing well on the 'toothcare' platform. Together, Close-up

and Pepsodent can mean a formidable challenge to Colgate in the future.

To consolidate its position in the market, Colgate faced tough competition

from Balsara's brands namely. Promise and Babool. Both the brands are

performing somewhat indifferently now.

Most other toothpaste launches did not meet with success of which some

are Signal (Hindustan Levers), Forhans ('Geoffrey Manners) and Prize

(Balsara Hygiene products) because they were 'FLOURIDE' toothpastes.

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Flouride was feared to cause flourosis. Forhans also lost due to

organizational dithering. Vicco-Vajradanti (Vicco labs) is a regional brand

which is possibly not aiming at becoming a national player. Effermint

(Tata Oil Mills) and Ponds (Ponds India Ltd.) lost because they did not

offer anything new. Nirma toothpaste did not meet with success initially,

but it can make a comeback given the traditional strategy followed by

Nirma Chemicals Works which is a combination of low price and

aggressive dealer push.

Success Benchmark

If a toothpaste (national brand) acquires a market share of 5% in two

years and grows faster than the market, it is a successful brand. It is

difficult to attain 5% market share in toothpastes and grow. Toothpastes

successful at one time like Babool and Promise have slid down to this

share. In fact, very few toothpastes have touched double digit market

share. The latest one to do is Pepsodent. Therefore, experts agree that a

toothpaste brand that gains 5% market share in two years and grows

faster than the market is a success.

Key Success Factor

Unlike the case of shampoos and soaps, the initial trail itself is low in

toothpastes. Thus, initial trial was seen by some experts as the key

success factor. I t is true that breaking morning habits is difficult and

hence, dislodging a strong brand like Colgate Dental Cream may not be

easy. But trail could be forced through good promotional schemes.

Therefore, trial per se may not be the key to success. For instance, one

important reason for Vicco Vajradanti's poor performance was that its

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taste was not accepted. How the toothpastes tastes while brushing is

important in determining whether the consumer would prefer to continue

using the brand. Also, the benefits offered by the toothpaste should be

relevant. For instance, this is true of Pepsodant's "Germi-check" and

Colgate's "Freshness" benefits. In short, experts opined that while trial is

an important aspect, clear benefits and pleasant in-use experience would

probably better qualify for being termed as key success factors.

Packaging

Sachets have not been successful in toothpastes so far. However, experts

did not agree that sachets are bound to fail. Firstly, many felt that

sachets have been introduced in a limited way and they have been

reasonably successful in the South. Secondly, they might have a role in

rural markets if the idea is communicated well. Besides, sachets are

useful as promotional material or for inducing trial. Thirdly, there is a

possibility of innovation in sachet packaging. For instance, if there is a

dispenser at the top of the sachet, it might be successful (example --

"Indana ghee" has a cork to dispense the contents from its plastic

container. Close-up toothpaste has a sachet version with a cork.)

However, there is also the other side. Sachet is a one-shot consumption

item. Once a sachet is opened, the freshness of the toothpaste is no

longer assured. Besides, there is no incentive to buy a sachet for a

product that is-used every day. For that, a 100 gram pack seems more

suitable. If sachets have been consumed in one shot, the quantity

packaged may have' to be reduced further. This may make the sachet

unviable. Thus sachets may have to be positioned for travelers which

mean targeting railway stations and bus stations. Further, retailers do not

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want to push sachets because of the lower margins they yield. Also there

are problems In filling white toothpaste In a sachet because it dries. There

were reports of an ant infestation as well. In sum, though sachets have

not been successful in toothpastes as of now, they might have a

promotional role to play in the future.

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