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    Unilever in Brazil

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    bapunswain
    Unilever is a large consumer goods company that had 81% market share in the Brazilian detergent market in 1996. One of its popular brands is Minerva detergent. This document proposes introducing an extension of the Minerva brand called Minerva White, targeted at lower-income consumers in Northeast Brazil. The new product would have stronger cleaning power than regular Minerva but retain the fragrance at a price of $1.75 per kg, packaged in cardboard. It would be distributed through specialized distributors and positioned as a tough yet fragranced detergent.

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    Unilever in Brazil

    Uploaded by

    bapunswain
    4K views15 pages
    Unilever is a large consumer goods company that had 81% market share in the Brazilian detergent market in 1996. One of its popular brands is Minerva detergent. This document proposes introducing an extension of the Minerva brand called Minerva White, targeted at lower-income consumers in Northeast Brazil. The new product would have stronger cleaning power than regular Minerva but retain the fragrance at a price of $1.75 per kg, packaged in cardboard. It would be distributed through specialized distributors and positioned as a tough yet fragranced detergent.

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    Unilever is a large consumer goods company that had 81% market share in the Brazilian detergent market in 1996. One of its popular brands is Minerva detergent. This document proposes introducing an extension of the Minerva brand called Minerva White, targeted at lower-income consumers in Northeast Brazil. The new product would have stronger cleaning power than regular Minerva but retain the fragrance at a price of $1.75 per kg, packaged in cardboard. It would be distributed through specialized distributors and positioned as a tough yet fragranced detergent.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    4K views15 pages

    Unilever in Brazil

    Uploaded by

    bapunswain
    Unilever is a large consumer goods company that had 81% market share in the Brazilian detergent market in 1996. One of its popular brands is Minerva detergent. This document proposes introducing an extension of the Minerva brand called Minerva White, targeted at lower-income consumers in Northeast Brazil. The new product would have stronger cleaning power than regular Minerva but retain the fragrance at a price of $1.75 per kg, packaged in cardboard. It would be distributed through specialized distributors and positioned as a tough yet fragranced detergent.

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    Download as PPTX, PDF, TXT or read online from Scribd
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    You are on page 1of 15

    Unilever in Brazil

    Marketing Strategies for


    Low-Income Consumers
    Group
    Members:
    •Aditee Thale
    •Abhishek Jain
    •Vishal
    •Vivek Ganatra
    •Prachi Ranjan
    •Satyajeet Sahu
    Brazil: Overview & Regional Differences

    •Largest country in South America

    •170 million people living predominantly in two clusters , Northeast & Southeast.

    •Per capita income was $4420 in 1996 as compared to $380 in India.

    Differences in lifestyle:
    • Northeast region has an African
    influence and is mainly agrarian.
    Only 28% of the population has a
    washing machine
    • Southeast was developed by the
    Europeans later and is the main hub
    of activity. Washing machines are
    more popular here.
    Brazilian Fabric Wash Market
    Unilever
    • It is a US$56 billion company headquartered in London & Rotterdam.
    • Started in1929 and till 1996 it had 81% of market share in brazil.
    • Detergent division was the cash cow providing fuel for other division like home care
    & personal care.
    • Popular brands- Omo , Minerva , Campeiro.

    Pro cte r & Gam ble


    • It is a US$ 40 billion company headquartered in Cincinnati.
    • Started in Brazil in 1988 and had 15% of market share.
    • Popular Brands- Quanto , Odd fases , Pop
    Market Structure
    Marketing Mix
    • Product
    • Product attributes
    • New Formula
    • Packaging

    • Price
    • Re-pricing of all three brands
    • Dilemma of correct price- not too high or
    not too low!
    • Promotion
    • Product to be placed on the map quickly to break
    even
    • Avoid advertising as ‘ Product of low income group’
    • Simple message, but in sync with the product
    • Choice of media for advertising
    • BTL activities
    • Reach and cost

    • Distribution
    • Inability to reach to smaller outlets, reducing reach
    to low income group who do not visit supermarkets
    much.
    • Use of generalist wholesalers
    Challenges-
    • Brand Positioning and Marketing
    • Internal resistance
    • Belief that lower income market should
    be left alone as they have no money
    any way
    • P&G threat in the most vulnerable
    market
    • Fear of creating impression of
    abandoning premium brands in
    promotions
    • Loosing next generation brand
    Market Share in
    Northeast(1996)

    Detergents
    Value proposition
    • Value proposition appropriate
    • Each brand serving a different
    market segment.
    • Catering to consumers’ needs across
    stratas
    • But a potential market is there to be
    exploited
    Marketing Strategy
    • Introduce an extension of Minerva –
    named Minerva White
    • With more cleaning power while
    retaining the fragrance, with less
    emphasis on softness
    • Tentative cost : $1.75 / kg (i.e.
    without changing the cardboard
    packaging)
    • Cost break-up:
    Formulation cost : $0.99
    Packaging cost : $0.35
    Promotional cost : $0.35
    Distribution cost : $0.05
    Total cost : $1.74
    Marketing Strategy (contd)
    • Targeting the top two wanted
    attributes by consumers : Cleanliness
    and Smell
    • Capitalizing on the ‘perceived
    quality’ of Minerva
    • Positioned as a tough but fragranced
    detergent
    • Employ Specialized Distributors

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