Rin Detergent Case Analysis

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RIN DETERGENT TO POSITION OR REPOSITION

Kush Kumar 13P149 Aviral Bansal 13P135 Rochak Mathur 13P163 Rattan Preet Singh 13P161 Devasheesh Mathur 13FPM91

Overview
Lever Brothers Pakistan Ltd a FMCG company in Pakistan In 1984 launch RIN as solid, blue NSD bar as fabric washer in 130 gm standard pack Advertised as being introduced from heavens by thunder and lightning bolts Disappointing sales for first three years

Overview Contd
Promotional schemes didnt help much In June 1986 package size reduced to 125 gms and new 250 gms package size introduced New advertising campaign designed to portray as cleaner, brighter and more economical wash than soaps Successful relaunch and sale reached 1200 ton

Fabric Wash Market


Total fabric wash sales of 263,050 tonnes
NSD Powder, 5.50% NSD Bar, 0.50%

Laundary Soap, 94%

Laundry soap retailed for Rs. 10-15 /kg NSD Powder price range : Rs. 20-48 /kg Sunlight & Surf had 50% of NSD powder Market

Dishwash Market
Total dishwash sales of 60,000 tonnes
Bars, 12.00%

Hard Soaps, 88%

Hard soap retailed between Rs. 20-40 /kg Dishwashing Bars retailed between Rs. 25-40 /kg

Why people view RIN as Dishwasher ?


Representative Heuristics
People associate blue color with dishwash bars

Retailers shelved RIN with wrapped personal soap or completely separate Company portrayed as Economic Soap
In terms of price was more suitable and competitive as Dishwash Bar Avg price of RIN Rs. 26/kg ( Rs. 3.25 for 125gm ) Price range of Dish wash bar: Rs. 25-40 /kg Price range for laundry soap: Rs. 10-15/kg

Recommendation
Reposition RIN as economic Dishwash Bar Use cost as SCA
Eliminate fabric wash ingredient Can pass some cost advantage to customers

Position it on Shelves along with other Dishwash Bars Can also launch RIN liquid Dishwash

For Fabric wash Market


Can launch a new fabric wash bar under the Brand name of Sunlight and Surf Keep its colour any other than blue Place it on shelves in Laundry Section

Thank You

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