Tag: Unilever

  • Hindustan Unilever to study how we shop

    By Sagar Malviya

     

    World’s third-largest consumer goods firm Unilever has set up a Customer Insight and Innovation Centre in Mumbai to study how consumers shop FMCG products – its first such hub in India and seventh in the world.

     

    The centre at Hindustan Unilever’s headquarter at Andheri will be used by several group companies in developing and emerging markets to understand how people shop in both neighbourhood stores as well as modern trade. This is the first such centre that provides shopper insight for both general stores as well as retail chains.

     

    “The learning will go typically in developing and emerging markets where traditional trade is big,” said Punit Misra, vice-president, customer development, at Hindustan Unilever. “We have been doing consumer marketing forever where the basic premise is consumers are truly the same,” he added.

     

    The insight centre will simulate the retail environment of any supermarket or neighbourhood store and then invite consumers to shop the virtual store. A device will scan their retina to track the movement of the eye, and then a map will display the spot that catches the consumers’ attention.

     

    Simply put, the centre will help the Anglo-Saxon consumer goods maker advice grocers on how category growth, profit per sq ft and availability can be improved using virtual reality tools.

     

    The company will use the data and insights from the centre to plan packaging design for future products. It will also test new product through virtual reality platform and use the facility for their promotions. So far, the company has engaged grocer outlets with promotions, display materials and margins. The development is seen as a part of Hindustan Unilever’s efforts to increase its sales and widen lead over rivals such as Procter & Gamble, ITC and Godrej Consumer.

     

    Analysts say the company wants to connect more with the trade at a time when millions of kirana stores it sells products to are being increasingly covered by its rivals too. While Hindustan Unilever still enjoys the country’s largest retail network of over 7.2 million outlets as per Nielsen estimates, its closest rival Procter & Gamble now reaches around 5.6 million outlets.

     

    “This means the company wants to come as close to the customer as it can get,” said Anand Mour, senior FMCG analyst at brokerage Ambit Capital. “It will not only increase the category but also help in getting more sales of its products since HUL is present in most FMCG categories,” he added.

     

    But getting millions of kirana stores to sport a look that HUL advises is a challenge. Mr Misra knows that, and feels that the company is ready to overcome that problem. “Modern trade is simpler. General trade is a bit tricky on how do you disseminate a repeatable model to five lakh family grocers,” said Mr Misra. “So we do the creation, the testing, the learning and the models, and then our execution teams on the field convert them into ready-to-use kits which they can take to the retailers,” he added.

     

    The maker of Lux soaps and Pond’s cream has been taking several initiatives to increase its sales and consumer base in the country. One of the recent such projects was Mission Bushfire – an employee-led market execution and customer interaction exercise initiated in 2010 to get the home and personal care giant to connect with the market place in order to increase product visibility.

     

    Bush Fire resulted in over 40 per cent spike in sales in store wherever the initiative were implemented, according to internal company estimates. Recently, a company official on condition of anonymity told ET that Hindustan Unilever has set a target to more than double its turnover to Rs50,000 crore by 2015 in a plan christened ’50 by 15′.

     

     

    Source: The Economic Times
    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • APPIES 2012: 100 best marketing campaigns to be presented LIVE

    By A Correspondent

     

    Fierce competition is expected at APPIES 2012 where 100 of the top marketing campaigns from 16 countries in Asia Pacific will vie for 10 Gold Medals. An annual two-day festival of the best marketing ideas, APPIES brings together the brightest minds in the industry from across 16 countries to celebrate excellence, network and exchange knowledge. Now in its third year, APPIES 2012 brings the audience up close and personal with some of the most compelling campaigns through its unique live presentation format.

     

    APPIES 2012 enables brand marketers/campaign creators to demonstrate their stellar ‘Show, Share and Sell’ skills, thanks to the unique ‘4-6-10’ format. Each presentation will begin with a 4-minute showreel video summarising the entire campaign, followed by a live 6-minute exposition of the campaign’s key highlights by the brand’s marketers/ campaign creators. Then comes the interactive 10-minute session where each campaign will be cross-examined by the judges and audience members.

     

    Building on last year’s list of campaigns by companies and brands such as P&G, Nestle, Pepsi, McDonald’s, Fonterra, Singapore Tourism Board, Bacardi, Adidas and Vodafone, APPIES 2012 will continue to showcase the best campaigns from various industries that span across highly-diverse markets in Asia Pacific region.

     

    The 100 selected marketing campaigns will cover a broad range of six product/service categories that include Consumer Durables, Consumer Services, Food & Beverage, Non-Food FMCG, Business Services and Government, Cultural, Social & Environmental campaigns.

     

    APPIES 2012 will also host special keynote sessions and panel discussions on The Future of Industry. Marit Kievit, Global Brand Director (Lux) at Unilever and Chris ter Steege, Director (Digital Integration), Integrated Marketing & Communications at Philips Asia Pacific have been announced as keynote speakers at APPIES 2012. With advisory and assessor panels comprising top marketers in the region, APPIES 2012 is designed to offer excellent networking and knowledge sharing opportunities for industry professionals.

     

    Marit Kievit is the Global Brand Director for Lux (Unilever). The multi-cultural team led by Marit has developed breakthrough and award-winning integrated campaigns. She was also a permanent member of Axe’s global brand team, setting the global innovation agenda for one of Unilever’s most successful brands. Most recently Marit joined the global leadership team for Lux as a global brand director, based out of Singapore.

     

    Chris Ter Steege is a communication professional with an obsession for innovation and creativity in marketing, brand communication, digital and social media, and leading the creation of impactful experiences through integrated communication strategies and tactics. With 10 years experience, Global to Local, B2B and B2C, at Philips, Chris now leads regional cross-sector digital programs in Asia Pacific, co-leads the region brand campaign, works with sector marketers to deliver award-winning campaigns, and manages the digital team in one of the most diverse and fastest growing regions in the world.

     

    Leanne Cutts is Vice President, Marketing for Kraft Foods Asia Pacific Region, based in Singapore. She is responsible for driving the growth of the gum, candy, and powdered beverages categories as well as leading consumer insights & analytics and driving marketing excellence in the region.

     

    The Institute of Advertising Singapore (IAS) was founded in 1990 with the aim to position Singapore as an internationally recognised “centre of excellence” with world class advertising professionals, international best practices and industry leading creative output. The IAS has several highly successful business platforms for the advertising and marketing communities to meet, collaborate and raise the standards of the industry as well as encourage continuous education. The IAS has also organised the Singapore International Advertising Congress since 1998.

     

  • Brands focussed on men now wooing women customers

    By Amit Bapna

     

    Aiming iconic beauty brands at men may seem as unimaginable as Philip Morris, of Marlboro Man fame, wooing women consumers. But then Marlboro actually began life as a cigarette for women. By crossing over from one gender to another, marketers today are not looking to do a complete role reversal. Rather they’re just attempting to extend brands to a large untapped market – the other half of the species – without destroying the core proposition.

     

    Anglo-Dutch consumer products giant Unilever could seemingly be testing one of its most sharply positioned male brands, Axe, amongst women – a limited edition launch for now. Anarchy will be the first fragrance from the Axe brand that will have a female version packaged in a shimmering silver and glossy pink canister with floral and fruity notes – as against the men’s version with fresh and woody strains. With this new avatar, the quintessentially male deo brand that’s built recall largely on the back of its cheeky commercials extends the boldness theme to its brand extension strategy.

     

    This shift could mark the way forward for marketers in a world in which gender lines are merging.

     

    Brands across categories – from cars to personal care and from denims to alcohol – are on a gender-flirting mission. For some the affair could turn out to be a one nightstand and for others, it may lead to a happily-ever-after marriage. Michael Maedel, President, JWT Asia Pacific, feels that companies in every sector face a fundamental imperative to grow market share and sales. As lines that have traditionally separated male and female consumers – those of income, attitudes and expenditure – continue to blur, more companies that have created brands targeting one half of the species are starting to address the other half with variants, he adds.

     

    For instance, Bacardi has launched Bacardi +, a ready-to-drink mixer available in two variants – cola and lemonade – in the United Kingdom, some parts of Europe, China, Thailand, and now India. This marks a clear shift for the brand in reaching out to the male-drinking populace with its 8per cent alcohol content to entice the strong beer drinking segment. In contrast Bacardi’s Breezers that come in a variety of fruit flavors – and are widely consumed by women – have minimal alcohol content.

     

    Mahesh Madhavan, president and CEO South Asia, Bacardi India explains the logic of the new drink for men: “If you peg anything for men in this market, women will drink it, but the reverse doesn’t happen . Men will not consume a drink positioned for women for sure. It is unfortunate but that is the way it is the world over.”

     

    According to a JWT global research study, brands across different categories need to do more to reach out to women who are earning more, spending more and marrying later than ever before. Brands that have long focused on men – from banks to cars to property – could do a lot more to leverage this trend.

     

    Of course when they do, they need to think about how to make their proposition relevant and attractive to women without changing the essence of their core offering.

     

    Before Axe, there was Allen Solly that had made a sortie into gynic-territory. Allen Solly today is more of a unisex brand although the imagery has been predominantly male. The men’s range was launched in 1993 and the women’s range seven years later. Now, the brand is in the process of a re-branding; the new positioning will also push the gender envelope subtly.

     

    Says Sooraj Bhat, brand head, Allen Solly. “Our endeavour is to make the Friday Dressing concept, launched in the mid 90s, acceptable and relevant to women as well. After all nearly a fourth of the brand’s share is coming from the women’s market.”

     

    Conversely, skin care brands globally that were once the domain of women, says Maedel, have been successful in creating mannish lines, from a department store brand like Clarins to a drugstore brand like Nivea. Back home Garnier had been around for over 15 years as a beauty brand for women before it decided to launch a men’s range.

     

    India is the first market in which the L’Oreal company decided to address the male of the species. Reason: An insight that Indian consumers are less reluctant to use skincare products than in Europe, says Jacques Challes, MD, L’Oreal India. He adds that it was not very risky for Garnier to make the gender-based extension because the values that the brand stands for – efficiency and quality, in a no-nonsense manner – are easily transferable.

     

    Unilever brand Dove, which is present in categories like body wash, hair care, deos and lotions, has launched a Men+Care range in select markets (excluding India). Says Jennifer Bremner, global brand director, Dove Men+Care: “Our research found that many men were already using women’s skin care products, among them Dove. The range has been specifically created to deliver a range of superior products that give men the care they need without sacrificing effectiveness.” Bremner adds that for now there are no plans to launch in India.

     

    Over time, the definitions of what are the masculine or feminine dimensions of a society change, depending on the various factors that drive its culture. Explains Sourabh Mishra, chief strategy officer, Saatchi & Saatchi: “In terms of defining a brand’s ‘gender identity’ within that society, what is acceptable at one point in time may not be so at another time.” He cites the example of Levi Strauss that was once all about the tough all-American man exploring the wild spaces in search of his fortune. It is doubtful if it could at that time have stood for the ‘Levi’s Curve ID’ that addresses a range of feminine body shapes. But it is perfectly acceptable today because there has been a shift in culture since then.

     

    The decision to cross over is not without its dangers. Says Dick Maggiore, President & CEO, Innis Maggiore Group, a leading US-based positioning agency: “The greater the brand’s equity is established with one gender, the greater it should avoid brand androgyny. While a few new customers of the opposite sex could be gained, you would lose many more existing and potential customers while your brand position erodes.” He firmly believes that line extension is almost always a lousy strategy. “The key principle to a positioning strategy is that a brand can only stand for one ‘idea’ in the mind of its prospects and customers.”

     

    Small wonder then marketers burn plenty of midnight oil before deciding to target a new set of consumers. As Russell Taylor, global brand vice president, Axe, Unilever points out: “Even as a limited edition this is not a decision we took lightly. The one golden rule is: ‘do not break the contract you have with your core target’.”

     

    Rather than looking at the other sex as a vast untapped market that can set the cash registers ringing, marketers need to figure whether their brands actually meet a need of the new set of consumers. Consider Ranbaxy which recently extended Revital, a daily health supplement, to women. According to Brijesh Kapil, vice president, Ranbaxy Global Consumer Healthcare: “The product was developed to meet the special needs of women, and the product was extensively researched with consumers before launch.”

     

    In contrast beverage brand Thums Up, whilst claiming to have almost 30 per cent of women consumers, has for some time now been positioned as a ‘macho’ drink in all its imagery and communication. However, a new campaign, in a first of sorts, has a shapely model doing the same stunts as her male counterparts. But we’re still not sure whether that’s a gambit to woo more male drinkers – the model is ‘shapely’, remember – or to invite more women to taste the thunder.

     

    Source: The Economic Times

    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • It’s pitch time for Unilever media spends in India (and elsewhere in the world)

    By A Correspondent

     

    Life’s a pitch. Ah, well, for the new bossman at Mindshare India Ravi Rao, it’s going to be a hyperactive January as he takes charge after a week’s break later this month.

     

    For, Unilever has reportedly announced a global review of its media account. This is barely two years after it did one.

     

    MxMIndia does not have any official word from Hindustan Unilever, but media reports suggest that the review will include media buying and planning and will start next month.

     

    Unilever has apparently asked all incumbents to pitch. But there are a few more, and that’s the catch. According to Advertising Age figures, Unilever spent USD 6.62 billion on worldwide measured media in 2010.

     

    The pitch is said to include a review of the way spends will be conducted in India too. Please see the following reports which also carry Unilever statements:

    Ad Age report: http://adage.com/article/agency-news/unilever-puts-global-media-account-play/231536/

    Campaign Asia report: http://www.campaignasia.com/Article/284405,unilever-calls-us465-billion-global-media-review.aspx

  • AdAsia: Learning the rules of the game from Harish Manwani

    By Tuhina Anand

    So what does behemoth like Unilever do when a shampoo sachet priced at Rs 2 and projected at doing big sales doesn’t take off in the market? It focuses on listening to the consumers and gets an insight into why the market is not responding as expected. Then goes into reverse engineering which helps in bringing down the cost of the product, builds a manufacturing plant for sachets and prices the sachet at Rs 1, a pricing figure that consumers were more comfortable with thus getting the perfect recipe for success. This and many more such insights were shared by Harish Manwani, Chief Operating Officer, Unilever and Chairman, Hindustan Unilever Ltd (HUL) who was speaking at AdAsia 2011 on the topic ‘The Game Changers’.

    Mr Manwani termed HUL as the `emerging market company’ as the economic centres shift to emerging markets. In fact, 54 percent of their business comes from the developing market. But one of the lessons to keep in mind is that it’s not one India but many Indias and how one caters to such heterogeneous consumers is the key to succeed. Affordability and accessibility needs to be kept in mind but at the same time one has to make money too and that’s where consumer insight comes in handy. He also talked about having a sharper focus on shoppers than consumers.

    The key that also emerged from this session was Unilever’s belief in doing well by doing good like the project Shakti that has empowered women which has also helped them in selling their product. The strategy that has emerged is of making brands meaningful as well as brands that are marketed should have a social purpose. Mr Manwani said, “We have been ensuring that all our brands just don’t have functional benefit but also has social benefit.” In fact Unilever factories have been working relentlessly towards sustainability and creating products through innovation that would also help in bettering our environment.

    This shift can also be seen in communication that Unilever has adopted like in the case of Surf where initially the messaging was simple and talked about the whiteness that is the basic want from detergent to taking the route of saving and addressing the housewives the obvious customer for the product in famous Lalita Ji. The communication has now taken the route of saving two buckets of water, thus the brand becoming socially responsible. So there is a technology that helps in building product that is superior and then there is communication that helps in delivering a social message with brands that have social purpose. That’s Game Changers.

    He also pointed that power of brands will not change, power of consumer insights will remain and so will the ability to create great advertising and its power will remain unchanged but going forward what will change or bring about a change will be the advent of the digital medium, the ability to work with consumers, importance of 360-degree communication, having a strategic and not opportunistic relationship with the agency and creating tools that will help marketers in knowing exactly where there money is going when they spend on advertising.