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CENTRAL UNIVERSITY OF JHARKHAND

CENTRE FOR BUSINESS ADMINISTRATION

PROJECT ON TIDE DETERGENT

Submitted by:

Heema kumari

IMBA, 6’th semester

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DECLARATION

I, Heema Kumari, student of IMBA, 6th semester, CUJ/I/2012/MBA/11, Centre for

Business Administration, hereby declare that I have successfully completed this project report on

tide for the academic year 2013-2015. The information incorporated in this project is true and

original to the best of my knowledge.

Thanking you.

Heema Kumari

CUJ/I/2012/MBA/11

IMBA, 6th Semester

Centre for Business Administration

Central University of Jharkhand

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ACKNOWLEDGEMENT

I Heema Kumari of IMBA 6’th semester have taken efforts in this project. However, it would

not have been possible without the kind support and help of many individuals. I would like to

extend my sincere thanks to all of them.

I am highly indebted to Mr. Taposh Ghoshal for his guidelines and constant supervision as well

as for providing necessary information regarding the project and also his support in completing

the project.

I would to express my express my gratitude towards my parent for their kind cooperation and

encouragement which helped me in completion of this project.

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INDEX

S.no Particulars Page no

1 Detergent industry in India 4

2 Product overview 6

3 Product market analysis 7

4 Marketing strategy 9

5 Marketing analysis 11

6 Key growth drivers 13

7 Segmentation 15

8 Positioning 16

9 Branding strategy adopted by the brand 18

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DETERGENT INDUSTRY IN INDIA

The detergent market in India is divided into three segments – premium, mid-range, and popular.

The premium segment comprises Ariel and Surf; the mid-range segment comprises Tide, Henko,

and Rin; and the popular segment comprises Mr White, Wheel, Nirma and Ghari. The market

share of the detergents in the premium segment is 15%, and that of the mid-range and popular

are 40% and 45% respectively.

These detergent brands are considered organized players in the industry and comprise 60% of the

total market. The remaining 40% of the market is saturated with regional and small unorganized

players.

Before 1985, Hindustan Unilever’s Surf held the number one position in the detergent market in

India. However, when Nirma Chemicals launched a detergent brand called Nirma, catering to the

middle and lower middle class customers, Surf was evicted from its number one position.

Today, Ghari is the market leader in the detergent industry, with a market share of 17.3% and

Wheel is tagging behind closely at 16.9%. Tide is at present at the third position with a market

share of 13.5% and Nirma has less than 6% market share. Ghari has always maintained

affordable pricing, which is why it has managed to become a household name in India.

The detergent industry is worth Rs 13,000 crores and industry players are constantly improving

their products to suit the changing needs of consumers. A few years back, liquid detergents were

almost unheard of; however, today, we witness more and more companies producing liquid

detergents alongside powder detergents and laundry bar soaps.

In the past, consumers in India used to wash clothes by hand but today, with the advancement of

technology, more and more people are shifting to washing machines. Hence, detergent

companies have tweaked their products to enable the washing of clothes in all types of washing

machines - top load, front loading, fully automatic, and semi automatic washing machines.

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In addition, detergent companies have started manufacturing powder detergents in packs of 20

grams, 200 grams, 500 grams, 1 kg, and 2 kg to cater to the needs of those who prefer to buy in

small packets and in bulk.

Today, consumers have a number of products to choose from, which is why companies are

constantly upgrading their products and coming up with better and innovative advertising

campaigns to increase their market share.

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PRODUCT OVERVIEW

TIDE

Procter and gamble’s tide is the world’s oldest and most trusted detergent bbrand and is the

market leader in 23 countries around the world. P&G takes pride in pronouncing that the product

is its flagship brand. Since its launching in 1946, the world’s first synthetic detergent established

its market supremacy. With its wide array of products Procter and Gamble’s Tide is the

world’s first synthetic detergent establised its market supremacy . With its wide array of

products offered such as Tide Liquid, Tide Powder, Tide with Febreze Freshness, Tide

Coldwater, Tide with touch of Downy, Tide with Bleach, Tide with Bleach Alternative, Tide HE

(High Efficiency), Tide Kick, Tide Stainbrush, Tide Buzz, and others, it continued its stability in

the market and its fifty years of commitment in helping families in their laundry needs.

Launched in India in mid-2000, Tide provides ‘Outstanding Whiteness’ on white clothes &

excellent cleaning on colored clothes as well. Tide’s Fabric Whitening Agents clean clothes

without bleaching or removing color from a garment. The Tide range in India includes

Tide(Detergent) and Tide (Bar with Whiteons). Tide Naturals was launched in India in

December 2009.

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PRODCT MARKET ANAYSIS

1. Market Share

2. SWOT ANALYSIS

Strength:

1. Lower price and good quality

2. Most popular and widely patronized detergent in the world and a flagship brand of

P&G.

3. Leading marketing position

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Weakness:

1. Substitute product available at the same price.

2. Strong competitors

Opportunity:

1. High potential of rural market has a lot of opportunities

2. Changing lifestyle of people want cheap product with good quality

3. Introduction of better variants by technology development and innovations.

4. Niche target market

Threats:

1. Price wars with competitors

2. Aggressive promotion by competitors, harming the reputation of the product and

ambush marketing

3. Counterfeit products in the rural market

BCG MATRIX

Tide is best categorized as a star in the BCG matrix for several reasons. Most

importantly, Tide is associated with quality by consumers through the creation of a

consistent aroma, softness and feeling of clothing . the packets, logo and scents of tide are

widely recognized and used as a household name. tide is a product used regularly by a

large quantity of consumers to complete necessary household chores. Tide will remain at

the maturity stage with continued investment.

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MARKETING STRATEGY

1. MARKETING MIX

PRODUCT: In the case of the tide, various varieties such as a free and a clear

version were created to meet the more specific needs of certain allergy sensitive

members of its tarket market.

• Categories of tide detergent are- tide liquid detergent , tide natural detergent powder-

lemon & chandan, tide detergent bars, tide plus detrgent powder- talcum freshness,

tide plus.

• Tide detergent is available at a pack of 200 gm, 500 gm, 1 kg, 2 kg and 20 gm

single use sachet.

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PLACE: knowledge of a target market helps a company to determine the best place

for a product to be sold. This is more than simply choosing the right store for

distribution, it is also the study of where the products should be placed in the store

itself .

The product is available at big retail outlets, convenience stores and the sachets and

bars are even available at paan shops for rural people.

PROMOTION:

Advertising- a very good part about the advertising team of tide is its ability to

connect with its potential audience. Apart from the normal day to day

advertisements. tide also comes up different kinds of advertisement during the

different seasons and festivals. During the monsoon season tide came up with

advertisement with a tagline “ Barish mein chamakti hui safedi ho to tide ho”.

Similarly during the summers it came up with an advertisement which had the

tagline “ dhoop se chamakti hui white ho to tide ho”.

Sales promotion-When tide was launched in india in the middle of the year 2000, it

started distributing free samples to the people, it also started to give discounts on the

products which ultimately resulted in more people trying the product.

PRICE: It is available at a low price

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MARKET ANALYSIS

MARKET POTENTIAL

1. COMPETITORS OF TIDE DETERGENT IN THE MARKET

Nirma

Rin

Surf excel

Ghari detergent

Active Wheel

Sandesh

2. Product differentiation of tide detergent is done to differentiate

from from its competitors on the basis of following factors:

Price is affordable

Removes stains

Fragrance is good

Easily available in shops

Good for white clothes

Innovational advertisement campaign started up by tide as been a hit.

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3. PERPECTUAL MAPPING OF DIFFERENT

BRANDS IN INDIA

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KEY GROWTH DRIVERS

Distribution strategy:

The most important aspect of the fast moving consumable goods is its

distribution channel strength. This is because the markets for FMCG

products are competitive and so, there are a lot of substitute present. so,

in case a potential buyer wants to buy detergent will buy it from its

nearby store and not go far to buy it. So, the understanding is to disperse

the products at arm’s length and make it available everywhere.

In case of tide, the distribution network of P&G comes into picture. Tide

was launched in India in mid 2000 and it had an advantage, as P&G was

already present in the country before that. So Tide was actually passed on

to the already present distributors, resulting in saving preposition for the

product to reach its customers.

Positioning strategy

whiteness (safedi) as a base:

Status of competitors: tide has found its formula, the same global

positioning as a detergent that cleans perfectly. So using whiteness

(safedi) as a base Tide has now unleashed the campaign highlighting the

whitening power against HLL,s Rin which has the same positioning.

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Through the new strategy Tide aims to capture the safedi segment while

ariel will fight surf in color segment.

Limited laundry budget:

Tide has many detergents categories available on the market, each with different

prices which appeal to different target markets .

for example:

Tide Naturals targets lower-income Indian consumers who suffer hand irritation

as the result of using less-expensive, lower quality detergent powders:

• For rural consumers the key barrier to upgrading their detergent is a limited

laundry budget. Consumers in this segment are looking for an affordable

product that provides superior whiteness, mildness on hands and a good

fragrance, which other existing lower-end products currently don’t offer.

Technology used :

While other Indian “value” detergent brands contain calcium carbonate and

other insoluble cheap fillers that can be abrasive on fabric and hands during

the handwash process, Tide Naturals uses water-soluble sodium sulphate that

helps provide the additional benefit of keeping your hands soft.

Tide Naturals delivers a strong product cleaning and whitening performance

via a dual surfactant system and brightener technology.

• Tide Naturals contains a surfactant derived from Natural Palm and Coconut

oil as well as several natural oils, such as Cedarwood Oil and Patchouli Oil, to

provide the natural- like freshness or fragrance of Lemon and Sandalwood.

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MARKET SEGMENTATION

DEMOGRAPHIC SEGMENTATION :

AGE AND GENDER: Tides targets women aged between 18 to 54 years old

. over the years, tide constantly directs its marketing strategies to suit women

of these ages. This is because when it comes to laundry, women belonging to

this category hold the power to make decisions. Also, the housewives are

considered to be an important part of the market segment as it is generally

seen that the housewives are the ones who do the monthly shopping of the

products.

INCOME: Low income group use tide naturals

GEOGRAPHICAL SEGMENTATION:

RURAL: tide observed soon that its policy of being premium was not

working efficiently as the consumers were moving to rival products due to the

price factors. It therefore introduced sachets and detergents bars . these were

priced much lower than the original tide powder. Also the advent of tide

naturals took place during this period which is a lot cheaper than the initial

tide. It basically aimed to tap the rural and semi urban markets in the country.

INCOME GROUP: tide naturals which were to lunch to capture the middle

and the lower income segment.

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POSITIONING

Initial positioning

Procter and Gamble is known to produce strong brands, strong means something that is for the

higher class market segments. In mid 2000 tide was launched as a premium brand and was being

used mainly by the upper segment of the market as it was highly priced and so it could not

capture a considerable portion of the market as cheaper substitutes were available in the market,

Tide used superior technology and created fragrance oriented detergent powder. Tide USP has

been its quality. It plays a lot of attention to the quality which reaches to its customers. Tide’s

low temperature wash detergent powder contains anti-redeposition technology which removes

the toughest possible stains and also gets fully dissolved in water at the same time. Soon Tide

realized that it needs to cater to the mass and not a particular segment of the market, so they

repositioned themselves.

Subisequent repositioning

After observing that the tide was not capturing the lower segment of the market it repositioned

itself by slashing down the price of the detergent. Tide also introduced detergent sachets which

did not require any shelf space instead created it. The sachets were widely accepted by all the

segments of the market. Tide was simultaneously competing with brands like Surf Excel,Rin.

Tide thus understood that in order to become the leader in the detergent industry they have also

to compete with the cheaper substitute like HUL’s wheel and so they launched tide naturals in

the market which as has the fragrance of lemon and chandan and was priced much lower than the

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flagship of tide detergent. Tide also introduced detergent bars in the upcoming years to gain

more acceptance in India ,

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specifically in the rural markets. So it was clear that by splashing down the price of their product

and by introducing several other forms of its detergent. Tide was slowly repositioning itself as a

product for the common man.

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BRANDING STRATEGIES ADOPTED BY

THE BRAND

India is growing market and there is a lot of scope for business as the Indian market is still in the

developing phase. In the case of Tide, its main competitors are products like Rin, Surf Excel,

Nirma, Wheel etc. since the usage of Tide can be seen across all the segments of the market

share are differentiated products under the brand to cater one and all. for the higher segment the

flagship tide is used and for the lower class segment products like tide naturals, tide bar and

sachets are available in the market.

The stepping stone in case of India was difficult for tide as there were major companies like

HUL and ITC already present in the country. The start-up was slow but steady. Tide was

supposed to be a premium product when initially launched n India. Gradually it gradually it

understood that what had worked elsewhere would not work in India as the major portion of the

country is not very rich. so and important element of marketing i.e, price was taken care off.

P&G worked on making something that catered to the lowered segment . Tide Naturals took

birth and thus the market, which was then being lead HUL’s Wheel, Nirma etc, now had a

competition. so gradually started eating up HUL’s market share and created a market for itself.

Tide has also launched small sachets that cater to the demand of all the people of the society. The

best part about the sachets is that they are available in the denomination of as low as rs 2. So the

consumer does not have to think a before parting with Rs. 2. In order to boost up sales in the

rural area has created an icon named sangeeta bhabhi, an educated and dedicated housewife. The

campaign was initiated to hike sales of two of its best products Tide and Head & Shoulders as a

dual proposition called “kamyab Jodi”. the highlight of the marketing strategy was to educate the

potential customer with the benefits about both the brands. The strategy was initiated in more

than 100 villages in the central Utter Pradesh as part of the pilot test.

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CONCLUSION

By the Detailed study on the product and market of Tide it was able to get a clear picture

of the past and present of the products and was able to get in to the assumptions about the

future of the product.

The Brand “Tide” has been sold successfully and has created a good demand all the

time.

It is also holding a good place in the detergent market with a share of around 13.50 %.

As like for all other products Tide is also facing a tight competition in the toothpaste

Market.

Since the competition is too strong the company has to keep on watching market closely

for avoiding any sudden collapse for the product.

Finally, it should note that the company may have to face lot of threats in coming years

like political threats, legislation threats ongoing economic crisis, changing life style of the

people etc. If the company is able to overcome all the threats and can prepare themselves

for facing the problems in advance it can achieve a good growth for “TIDE”.