Branding Strategies for Nutricharge against Revital

Prepared by Arun Kumar MBA(Pharm.) NIPER, S.AS Nagar Mohali , Punjab

Introduction- Nutraceuticals
Present scenario:India's current market for Nutraceuticals is Rs 4500 Crore Indian Nutraceuticals market has a growth rate of 18 percent The domestic OTC products market is pegged at over Rs 4,000 crore, growing at 12-14 per cent

As per above data's Nutraceuticals market is growing faster than OTC market-so broad scope in Nutraceuticals

Competitors Analysis
The latest data generated by market research entity AIOCD AWACS shows that Revital brands grossed Rs 158.5 crore for the 12 months ended February 2012 (on a moving annual total or MAT basis). The MAT value on February 2011 for the brand was Rs 140.7 crore. Comparable figures for the same period in 2010 and 2009 were Rs 117.5 crore and Rs 68.1 crore, respectively Revital enjoys 88 per cent market share in its comparable health supplement segment. Major brands among rejuvenator products are Nutricharge (Trophic Wellness), Supractiv (Piramal), Nutralite (Amway), Nutrigo (Dabur), Well AM-PM, Well multivitamin (Modicare) and GNC (Guardian Lifecare Pvt. Ltd). However, in the specific Vitamins + Minerals + Ginseng segment, the competing brands are Actival Z (Taj Pharmaceuticals), Seven Seas Multispectrum (Merck), etc.
All these brands share only 12% Market share-it shows how strong Revital Brand is?

Cont.
REVITAL
Ranbaxy's Revital, launched in 1989, Has 22 years of market Experience

NUTRICHARGE
Trophic Wellnesss Nutricharge launched in 2010, has only 2 years of market experience

Has 20 essential elements Has very strong promotional strategies Endorsed by Salman Khan Target all age group men and women Has very strong Distribution channel We can easily assess the information and feedback of consumers from internet Ranbaxy is very strong in financial position to invest in promotion plans

Has 35 essential elements Use only print media Endorsed by Amitabh Bachchan Target men and women of more than 40 years Not very strong distribution channel Not much information available on internet Not financially so strong as compared to Ranbaxy

Marketing Mix (4P)

REVITAL Product
Benefits Better quality of life without tiredness Attributes Both oral and liquid depend upon patients compliance Safety No side effects Warranties 21 day money back challenge

NUTRICHARGE

Product
Benefits

feel the difference in your life with manifold enthusiasm and agility
Attributes oral formulation Safety No side effects Warranties NO such Warranties

Marketing Mix (4P)

REVITAL
Price
MRP- Rs240 (30 Capsules)- competitive price Have many discount schemes

NUTRICHARGE
Price
MRP- Rs270 (30 Capsules)- more than competitive price Have less discount schemes

Place
Strong distribution channel strong sales and distribution system spread over 865 towns through over 1,000 distributors.

Place
Weak distribution channel

Promotion Direct Internet TV Magazines

Promotion
Only through Print media and internet

Marketing Mix (4P)

REVITAL
Newspapers Home Delivery Free samples For examples 12 million sample capsules being distributed through magazines in six months time Rural van initiative-100 vans each day in select rural pockets of the country

NUTRICHARGE
No such initiative adopted for Nutricharge

SWOT ANALYSIS-Nutricharge
STRENGTH
The product contains 35 essential nutrients which will supplement the normal food in spite Of Revital contains only 20 essential nutrients The brand is relevant since there is a huge rise in lifestyle diseases
Benefits of Nutricharge for men Energy and Stamina Antiageing Immunity Eye health Bones, joint, muscles and teeth Hair loss and graying Brain health Better management of Diabetes Benefits of Nutricharge for women Antiageing and glow of skin Strong hair and nails Energy and vitality Strong and healthy bones Mental alertness and physical fitness Regular monthly cycles Weight management

No other product in the same category has such a perfect combination of essential nutrients

SWOT ANALYSIS Conti.

WEAKNESS
Promotional Problem- only print media Distribution Problem- a severe distribution problem ( source :- www.consumercomplaints.in) Only oral dosage form Target only geriatric people

OPPORTUNITIES
Target all population which is more than 12 years old

SWOT ANALYSIS Conti.

THREATS
Revital -88% market share and Ranbaxy has very strong promotional and distribution strategies Ranbaxy is in the very strong financial position because it is Indias top pharmaceutical company Other companies with same type of products

Key Findings
The product contains 35 essential nutrients which will supplement the normal food. The logic is that the regular food may not be able to supply all nutritional requirements and hence one needs to take the help of such Nutraceuticals products When I saw the print ad of this brand, I went on to search about this brand and to my surprise, little was available on the internet Big B will give credibility to the brand, it is important that the consumers know about the manufacturers of a product like food supplement The brand is targeting the people above 40 years of age Price of product more than competitive price (Revital) Company do not give any attractive discount schemes Weak distribution system (major limiting factor) Promotion only through print media and internet (major limiting factor)

Recommendations
Three main problems

Promotional problem:Use all the media which are necessary for promotion-aggressive promotion is required Send samples with news paper, magazines Organize quiz contest in malls and at crowded places Organize free health campaign Free expert advice regarding health Use FACEBOOK & TWITTER Rural Van promotion (as used for Revital) Money back guarantee scheme Free trips Use Hording..... IMPROVE YOUR FOOD HABITS ..... EAT YOUR FOOD AS MEDICINES...... OTHERWISE...... YOU HAVE TO EAT MEDICINE AS YOUR FOOD...

Different punch lines for Nutricharge men, women and children Use punch lines like Swasth Jindgi Ka Bharosa

Recommendations
Different ads campaign selectively focus on men, women and children Highlight the attributes and essential elements not present in Revital Cause related campaign laying stress on healthy lifestyle and tension free life. This is somewhat different idea instead of following the same old lines Sponsoring sports events Yuvraj Singh endorsed for Ranbaxy, so well known athletes can be roped in to endorse Nutricharge. This will be different from Revitals strategy of cashing upon the charisma of celebrities like Salman khan and cricketers like Yuvraj Singh The online site should provide membership facilities and those who are regular purchasers should be provided regular health tips.

Recommendations
Distribution Problem
There is severe distribution problem as i have seen at www.consumercomplaint.in So product must be available at the right time, at the right place and to the right customer.

Price
Price is higher than competitors price (it is also a major limiting factors)

All these findings are from secondary data and my recommendations are just my opinions and result may change when we go through to the market survey