WELCOME TO A STUDY ON “ELLE 18” BY “LAKME” (UNILEVER LTD.)

OBEJCTIVE OF THE STUDY

Understanding the marketing Mix with practical implications and turnovers.

Understanding the marketing strategies.

Defining differences between an ideal situation and practical situation.

Finding if there is any room for improvement.

Providing guidelines for future operations /Recommendations.

60%20%

20%

Brand recallYes No Not sure

METHODOLOGY OF THE STUDY

Open ended question-answers with some of the students from East West University.Do you know about the Brand Elle 18 of

Lakme?

Chart 1: Brand Recall

METHODOLOGY OF THE STUDY

Do you use the products of Elle 18?

Chart 2: Usage of the product

50%50%

Usage of Elle 18

Yes No

METHODOLOGY OF THE STUDY Why do you use the products of Elle 18?

Chart 3: Cause of using this product

15%

20%

15%

50%

Why use the product of Elle 18

Fragrance QualityDurability I don't use the product

METHODOLOGY OF THE STUDY Does price consideration have anything

to do with your choice?

Chart 4: Price Consideration

35%

65%

Effect of price consideration

Yes No

METHODOLOGY OF THE STUDY

If another firm launches any other product of the same quality and less pricing, what are the chances of changing your choice of

products?

Chart 5: Brand switching possibility (Loyalty test)

10%

25%

15%

50%

Switching Brands

High possibility Maybe No possibility I don’t use Elle 18

STRENGTHS AND WEAKNESS OF THE ORGANIZATION

Strengths

Recognized as a global company.

Strong brand portfolio. Integrated supply chain and well

spread manufacturing units. Economies of scale Ability to deliver cost savings.. Strong and convincing CSR.

 

Weakness Dual leadership. Price positioning in some

categories allows for low price competition.

Varying quality range in products.

Not connecting with customers. Inefficient management of

brands. Reduced spending for R & D. Inability to maximize

acquisitions. Decrease in revenue.

SWOT ANALYSIS OF THE ELLE 18’S PRODUCT -(LAKME)

Strengths Manpower

Equity of Lakme, Unilever. Vast range of products. (Nailpolish, Lipsticks

etc.) Strong Distribution channel.

Technology capability Local brand. Strong R&D.

Integrated supply chain Sharing of best practices.

SWOT ANALYSIS OF THE ELLE 18’S PRODUCT -(LAKME)

Weakness Price positioning in some categories allows

for low price competition.

High service costs.

Use of hard Chemicals.

Varying quality range in its products.

Falling Quality of Lame salons.

SWOT ANALYSIS OF THE ELLE 18’S PRODUCT -(LAKME)

Opportunities: Brand growth through

increased consumption depth.

Beauty salons. Lakme beauty training.

High frequency of usage.

Building brand image by collaborating with top designers in Lakme fashion week.

Threats: Aggressive price

competition from local and multinational players.

Availability of cheap beauty products.

Reports regarding presence of Lead in Lipsticks.

Spurious/counterfeit products in rural area and small towns.

SEGMENTING AND TARGETING MARKET

Geographical

Segmentation

Metropolitan cities

Town

Education Age

Occupation Sex

Social Class

Demographic Segmentation

SEGMENTING AND TARGETING MARKET

Segmentation based on behavioral approach

Going out regularly.

Regular Usage. Benefits

Necessary part of everyday accessories.

POSITIONING MARKET

Brand Mantra “Unusual and cool.”

“Break the rule.”

Less price with high quality

Priced1/4th of usual Lakme products.

Electric Brilliance.

Source of Radiant Beauty

MARKETING MIX OF LAKME ELLE 18

Product

Price

Place

Promotion

RECOMMENDATION

Promotions beyond fashion week and also beyond country’s borders.

The brand should not lose its focus away from nail polishes and lipsticks. It can prove to very detrimental.

Elle 18 should do more publicity regarding their products. On fashion Weeks, mainly the Lakme products on other categories are promoted. Elle 18 needs more space on that time.

The general perception is that company-owned salons are expensive. Though Lakme beauty salons are reasonably priced, it has not been communicated well enough.

It would be wise for the company to target young people in the above category and grow along with them as they and the nation prospers.

Elle 18 is discovering new ways to the pricing strategies. But they should keep the pricing purpose in mind so that the brand doesn’t come to be low-end product.

Increase in Channels of distribution is needed. As Ell18 is not a luxury product, it needs to be available in every cosmetic store.

THANK YOU