INSTITUTE OF MANAGEMENT TECHNOLOGY DUBAI

PRODUCT AND BRAND MANAGEMENT

CRITICAL ANALYSIS AND FUTURE BRANDING STRATEGY

OF
MEDIMIX
SUBMITTED TO:
Dr. Rajeev Kamble
(PROFESSOR PRODUCT AND BRAND MANAGEMENT)
SUBMITTED BY:
SECTION B
GROUP 10
Arunava Dhar 180201110
Ayush Rajput 180201111
Rumi Mukhi 180201136
Shourya Kasliwal 180201042
Swastik Mohapatra 180201147
 Table of Contents
introduction .............................................................................................................................. 3

Brand and product strategy .................................................................................................... 4

medimix brand and line extension feasibility ........................................................................ 7

wrong brand extensions and promotions ............................................................................... 9

observations and analysis ...................................................................................................... 11

medimix communication strategy ........................................................................................ 12

solutions-taking brand further ............................................................................................. 15

strategic plan for implementing our solutions..................................................................... 16

pricing, timeline and investment planning .......................................................................... 18

projected market share.......................................................................................................... 19

future company orientation .................................................................................................. 19

 INTRODUCTION

Medimix is an Indian brand of ayurvedic/herbal soap manufactured and marketed by Cholayil

Private Limited, a Chennai-based company. The brand was founded by V.P. Sidhan. In 2011,
Medimix was judged the 87th-most trusted brand in India and the 15th-most trusted brand in the
personal care category according to the Brand Equity Survey conducted by the Economic Times.
Medimix brand was inspired by a gharelu nuskha(a formula formulated in home) used by the
Cholayil family to cure skin ailments.

Category and products

Medimix in current market scenario catering to three categories which are

1. Sops
2. Hand wash
3. Face wash

This herbal brand offers a wide range of soaps, hand washes and face washes to suit different skin
types. Their products have Ayurvedic ingredients that can cure boils, acne, and many other skin
problems.
Under soap category it has 8 products:

1. Medimix classic soap

2. Medimix sandal soap
3. Medimix transparent soap
4. Medimix deep hydration soap
5. Medimix ayurvedic soap
6. Medimix glowing skin soap
7. Medimix clear glycerin natural toning soap
8. Medimix oil balance bar
9. Under face wash category it has one product
10. Medimix ayurvedic face wash
11. Under Hand wash category it has one product
12. Medimix herbal hand wash
Market Size of Ayurvedic Products & Market Share of Medimix

A study by the Confederation of Indian Industry (CII) said the total Ayurveda sector in the
country is approx. 4.4billion USD or roughly 30,000 crore INR. It said as much as 75 % of the
$ 4 billion Indian ayurveda market is accounted for by products and only a quarter of the market
size is contributed by services. As Medimix indulge itself in making products which are
Ayurvedic in nature, it is a part of approx. $ 3 billion ayurveda market.

On the other hand the Indian soap industry has an annual revenue of about 17 Billion INR with
approximately 700 companies involved. Cholayil Medimix contributes 1.7% of the annual
turnover in the industry. Turnover of the company was close to 200 crore in 2018 and it is
projecting a turnover of 300 crore in 2019.

BRAND AND PRODUCT STRATEGY

Medimix was introduced in 1969 when Dr. Sidhan combined a timeless tradition with his sharp
business acumen to develop a green bar of soap that could both nourish and protect our skin.
Brand Positioning:

Medimix is a herbal brand which is strongly rooted in Ayurveda and the amalgamation of 18
herbs continues to protect and nourish skin effectively to this day in the most natural way
possible. Over time, Medimix has grown synonymous with ‘skin care, the natural way’.
Medimix has come a long way from where it started as a Herbal soap. With themes like “Sachai
aur Suraksha” and “Kudrat ka Sparsh” the brand has clearly retained its original positioning
even after 50 years from its introduction. Currently it has positioned itself with the value
proposition ‘Nothing better than natural.’

Target Group:
1. Medimix soap has its target group as women of all ages. Not only women but also
entire families have placed their trust on the Medimix range of products.
2. The brand has its main customer bases in the tier 2, tier 3 and rural markets. Mainly
women of 30 plus age group are the most loyal customers of the brand.
3. The brand personality was not so appealing to the consumers in Tier I and II cities,
especially in the Northern part of the country.
4. After 2017 the brand has extended its product range into different categories like
shampoos and face wash. With that they have a target group of women aged from 18
to 35 years for their specific products but overall the brand still has its target group as
men, women and children of all ages.
P a g e 4 | 20
Medimix is seen by its customers as a medicinal brand. The company is trying to change its
image as a medicinal brand with a limited functional relevance- which limits the brand in terms
of its uses as well as its market appeal. To contain this image, Medimix is trying to position
itself as a natural product, or a natural brand and they have come up with their new promotional
campaign of- ‘Nothing is better than natural’, to showcase their new natural glycerin offering.
The new promotional campaign encourages people to leave their households and explore the
nature outdoors.

Market Share:

In 2013, market share of Medimix was very miniscule. But over the years soaps have been the
most profitable product for the brand. In the Ayurvedic category, the market share was 25
percent. But the Ayurvedic, herbal category is actually not that well developed in any other
part of India except South. But still they are one of the significant players in the ayurvedic
category in the North, South and East India.

Brand & Marketing Strategy over the Years:

Medimix is India’s largest handmade soap brand and over the years it has followed various
marketing strategies to increase its brand awareness as well as sales:

1. The creator Dr. V P Sidhan used his connections to first place the products in various
physicians’ prescriptions and in some medicine shops in Chennai. The first mode of
marketing or brand awareness was done through word-of-mouth.
2. After that, the early advertisements carried the tag line ‘doctors prescribe’. This gave the
product a medicinal value.
3. The company started supplying soaps to hotels. This strategy worked well. Slowly, the hotel
market was captured and one can find the jade green Medimix soaps in most hotels, other
than five-stars. That helped convert many to Medimix.
4. Proper marketing began only in the 1990s, when private regional TV channels entered the
scene. The company started advertising on Sun TV and Asianet.
5. Currently Metal Communications has been appointed as the creative AoR for Ayurvedic
soap and personal care brand Medimix and the company is currently focusing on the ‘natural’
aspect of the brand to communicate with the target groups.

The brand personality has also been reflected in the ads shown over the years.

Problems Faced by Brands and Overcoming Strategy:

P a g e 5 | 20
Since Medimix is a brand based on Chennai it has been widely successful in the South Indian
market. The brand faced various problems when it tried to enter into the North Indian market
since they did not have any idea about the consumer behaviour in north India. They followed
a very creative strategy:

1. The brand used what is called as Non-Media strategy to create the awareness. Cholayil
drafted an army of chowkidars (watchmen) to do its bidding.
2. After some research into hygiene habits of Northerners in rural territory, the advertiser
discovered that people wouldn't wash themselves after toiling in the fields all day. This
would not only cause rashes and other skin diseases but also disturbed sleep.
3. Also common practice in small towns and villages are patrolling night guards who yell
"jaagte raho" to keep people alert and delinquents away.
4. So they got the chowkidars to yell "jaagte mat raho" as they trot on and gave curious folk
who step out of their homes a lesson on personal hygiene and brand benefits.
5. This created a brand awareness in the rural area of the north India and the brand
successfully entered into this market all while using ‘hygiene’ as a tool.

Brand Extension:

Originally a handmade ayurvedic soap brand Medimix has extended its brand into various
product portfolios. These different products are:

1. Medimix Ayurvedic Face Wash

2. Medimix Ayurvedic Body Wash
3. Medimix Ayurvedic Nourishment Shampoo
4. Medimix Ayurvedic Lakshadi Gel
5. Medimix Ayurvedic Intimate Hygiene Wash

And their major problem was creating brand awareness in Northern rural parts of India. So,
how to target this group of consumers? What does the brand do next? Ingenuity is perhaps the
most important creative tool for a rural advertiser.

Further, from a single brand Medimix (soap), Cholayil has expanded to toiletries, personal and
health care. More than six months of research for Medimix, a similar period of research for
Cuticura (talc) and Krishna Thulasi (soap), Cholayil entered into new categories which are
logical, stratergic brand extension which do not much stretch the product portfolio. One of
the key findings of the research is that Cholayil has very strong brand in Medimix in South,
but considering rest of India, people know Medimix as a green soap they have seen in some of
the hotels or institutions and most of them see Medimix as a medicinal, problem-solving kind
of soap.

P a g e 6 | 20
 MEDIMIX BRAND AND LINE EXTENSION FEASIBILITY

Brand Extension:
Medimix brand has extended its product portfolio in recent years and the currently has the
following product offerings:
6. Medimix Ayurvedic Face Wash
7. Medimix Ayurvedic Body Wash
8. Medimix Ayurvedic Nourishment Shampoo
9. Medimix Ayurvedic Lakshadi Gel
10. Medimix Ayurvedic Intimate Hygiene Wash
As we all know Medimix has a personality as an herbal and Ayurvedic brand and currently it
has associated its position with one with nature with a tagline, “Nothing better than natural”
with still keeping original positioning intact. But if we analyze these brand extensions we
consider 3 aspects:
1. Logical: These extensions are logical because the brand is not moving from its original
personality of being an herbal brand but it is associating itself with being natural which
strengthens the brand’s personality.
2. Strategic: Since the brand is well established in the Ayurvedic sector it is a very
strategic decision for the brand to extend its offering into other products which can
provide similar values to different segments of customers. Also the products are
positioned with their respective competitors in such a way they are getting success in
sales.
3. Not taking the brand too far: Since the brand is not deviating from its original
positioning and the extended products are almost similar with respect to value
proposition i.e. cosmetics, the brand is not straying away from its original positioning.
Considering all these 3 aspects we can say the brand is very much successful in the brand
extension.

Line Extension:
Medimix was originally a handmade soap brand with herbal and ayurvedic value. Over the
years the brand has extended its product line into 10 categories of soaps which are:
1. Medimix classic soap
2. Medimix sandal soap
3. Medimix transparent soap
4. Medimix deep hydration soap
5. Medimix Ayurvedic soap
6. Medimix glowing skin soap
7. Medimix clear glycerine natural toning soap
8. Medimix oil balance bar
Again we analyze this line extension with these 3 factors:

P a g e 7 | 20
 1. Logical: This line extension is logical from the Medimix perspective because they are
not diverting from their original position.
2. Strategic: This extension is very much strategic. Medimix has been in the soap
business for over 50 years and if they did offer the same product over 50 years without
any variety even the loyl customers would have become bored. This extension may not
see profit or extensive sales for all the products but this keeps the people interested
because they have options to choose from the brand itself. Otherwise they might have
shifted to other alternatives.
3. Not taking the brand too far: From this perspective the brand has not been strayed
from its original positioning since the product offerings stay same as being herbal with
the ayurvedic aspect.

Considering all these aspects we now try to decide if the brand is a star or non-starter or laggard
or promising. From all these research and data collection we have concluded these following
points about this brand:
1. Clarity: The brand has clarity about what it offers to the customers, its position as a
brand as well as how well they can grow in the future.
2. Consistency: The brand is consistent in what they are doing. They have been offering
quality product which has an herbal value which has remained constant even when they
have done brand extension.
3. Higher Order Purpose: Medimix is intentional with the brand’s purpose and aspire to
deliver on a higher meaning beyond the product or service they sell. As a result people
likes what they do and given choice they would always choose Medimix.
4. Emotional Connection: 50 year’s presence as an herbal and ayurvedic brand has made
the brand very much emotionally connected to the customers for generations. Also the
consistency of quality of the product has made the brand very much trustworthy towards
its customers. There is very high loyalty towards the brand.
5. Superior Benefit: The brand offers the products which delivers values more than
expected. Besides having medicinal value the products are also cosmetic. Also a variety
of product as well as consistency of quality have been far more than the customers’
expectations.
6. Commitment to Learning: The brand has faced various obstacles like wrong ad
campaigns in print media as well as TVC. The brand has learned from these aspects
and have turned the tides and became more successful.

All these points are associated with a star brand. So, we can conclude Medimix is a star brand.

P a g e 8 | 20
 WRONG BRAND EXTENSIONS AND PROMOTIONS

Wrong Brand extensions:

Medimix Hair oil:

Medimix is originally positioned as an herbal brand. This brand has its value proposition as a
herbal product which enriches skin naturally. Over time, Medimix has grown synonymous with
‘skin care, the natural way’ and for generations, women as well as entire families, have placed
their trust on the Medimix range of products. But when they introduces this product they could
not associate their brand personality with the product and the product failed.
Medimix Cough Syrup:

Another wrong brand extension step taken by Medimix was cough syrup. Its brand is associated
with skin care products, especially herbal soaps. But the brand forgot its original positioning
and focused on its ‘18 herbs’ feature and introduced the cough syrup which immediately failed.
Since this brand is associated with cosmetics products it did not accepted when it tried to deliver
a pharmaceutical product.

Wrong Brand Promotions:

1. Wrong Communication Strategy:
Medimix was positioned as a herbal and ayurvedic brand from the start of their journey
and in 1970’s they mainly used print media and word of mouth as their main
communication medium. They came up with these following print media ads:

These ads directly diverted from their original positioning because showing women in
bikini at that time was clearly vulgar to their customers.
2. Packaging:

P a g e 9 | 20
 Medimix is the largest handmade soap brand in India and they had been using their
same packaging for 36 years since the beginning. Although other competitors changed
their own brand personality ad positioning according to consumer affluence they stayed
same. After 36 years they understood this problem and changed their packaging.

3. Sales Promotion:
Sometimes Medimix introduced wrong sales promotions which backlashed. Here are
some examples:

They offered 6 Medimix soaps to the families as an offer “Buy 5 get 1 free”. Now it is
outrageous for a customer to buy 6 soaps in a bulk unless they have demand. Also this
would have increased their overall sales for a single quarter, that would have resulted
in less sale in the following periods.
Another example is their offer “Buy 2 Medimix of 75 gm. And get a comb free”. The
following picture shows that:

P a g e 10 | 20
 The offer did not have any kind of association with the brand positioning and the
product offerings.

These kinds of wrong brand promotions sometimes backlashed Medimix to market their
products but over the years they improved themselves.

OBSERVATIONS AND ANALYSIS

1. Market share and revenue: Cholayil is currently an Rs. 200 crore company right
now, and is targeting a turnover of Rs. 300 core for the coming fiscal year. Currently
Medimix has a market share of 25% in the Ayurvedic category.
2. Uniqueness: Medimix is the only brand which reveals all their ingredients used in
their product. This aspect has created a loyal base of customers for its products.
This is a brand which is India’s largest selling handmade soap.
3. Advertisement: The brand has not advertised its products as heavily as its
competitors like HUL, Himalaya, Hamam, Margo etc. In 2018-19 fiscal year the
brand has planned to spend close to 15% of its Turnover and will be present across
traditional media, digital and local activations driving conversions at the outlet
level.
4. Brand perception: The brand is very strong in South India but when it comes to
rest of India people know them as green soap which they have seen in some of the
hotels or institutions. The brand is strongly perceived as a medicinal, problem
solving kind of soap.
5. Brand Equity: Major parts of the business comes from Medimix classic soap but
being only one-product brand brings saturation to the brand. So the brand has tried
to extend its products into various categories like facewash, body wash, prickly heat
talc and shampoo. Since the brand already had a very positive connotation as an
Ayurvedic and very effective soap it became easy for the management to introduce
new categories of products. Though people still see Medimix as a soap they are not
averse to trying a Medimix face wash or prickly heat talc. It is basically aiding them
in their venture to enter new categories with powerful Ayurvedic solutions. This
strong brand equity is helping them to do brand extension.
6. Package designs: Their package design has a very strong effect in consumer
perception. When the company expanded its soap business in north India customer
perception was associated as a ‘toilet soap’. This perception has also been
associated with its packaging which has a lot of effect in the purchasing decision of
the customers.
7. Communication: The brand has a USP of being an herbal brand which has the
quality of 18 herbs. But most of their TVC communications have been done through
the regional language. Since this brand is currently trying to increase their business
throughout India, they should reposition their ads. They should also focus on the
print media ads to increase their reach in the rural markets.
P a g e 11 | 20
 MEDIMIX COMMUNICATION STRATEGY

Early years (1970-1980)

Medimix is a 50-year-old brand and was created in 1969 by Dr. VP Sidhan to treat Railway
laborers who developed skin allergies. At this stage the brand was in its initial stage and Dr.
Sidhan did not have any definite communication strategy to endorse his brand. So his
communication strategy was closely associated with selling concept of his products. Initially,
he used to make soaps in his kitchen and placed them in a few medical shops in Chennai, when
people started buying the soap and the product started selling through the word of mouth.

The formal manufacturing of Medimix began in the 1970’s but it largely remained a
prescription product by doctors. Its early advertisements carried the tagline ‘Doctors’
Prescribe’. At this stage there was no television ad, rather Medimix used print media and word
of mouth as their main communication medium.

Introduction of TVC ads (1980 onwards):

Till the 1980’s all ads for the brand were conceptualized by an in-house ad agency. Proper
marketing of Medimix begin only in the 1990’s, when it started to advertise on private regional
TV channels like Sun TV and Asia net. All the ads were shown in Tamil or languages
associated with South India. The company also used print media to create awareness about the
quality of 18 herbs in their soap.

But the company was gradually becoming one of the most successful herbal brands in the
Indian market and they needed proper planning before they could design their communication
strategy. They started considering the following aspects very distinctively:
P a g e 12 | 20
 1. Product life cycle
2. Competitive scenario
3. Revenue
4. Category of product
5. Their target group

The company only operated in South India in early years and this time they need to extend their
brand into the north India too and that compelled them to consider the above points very
carefully. As a result, they decided to work with a new team for fresh ideas and filmed an ad
titled, ‘Adhuellam Maranthidunga’ (which means forget everything else in Tamil). The
company claims that it saw a 100% increase in sales of the product after that ad film.

Gradually, the product was expanded in the Hotel market and its sales surged. The company
now believes in high-profile advertising. Currently the communication is done through 2
different steps:

1. Media communication:

Medimix communicates with its customers through various mediums like print ads, visual ads
(TVCs or internets), audio ads (radio or voice mails). The main aim is to increase its reach and
the company uses GESTALT EFFECT to increase brand awareness very quickly. Currently
Metal Communications is the creative agency for the brand Medimix.

For their different products Medimix has designed particular communication strategy and
through that the brand has shifted its position as a medicinal brand to association with nature.

E.g.: In 2017 the company launched an TVC ad campaign for “Medimix Ayurvedic face wash
with six essential herbs” and the intention to position the brand as a new-age, on-the-go product
that is ideal for today’s mufti-tasking, young working women who might find it hard to juggle
between their jobs, family life thus neglecting their skin in the process because nothing is better
than natural.

2. Non-media communication:

P a g e 13 | 20
 Medimix has communicated through non-media campaigns like Brochure or catalogs, PoP and
billboard display, events, dealer promotion schemes, consumer promotion schemes and gifts.

All these media and non-media have helped the brand in the following aspects:

1. To create an emotional appeal to the customers

2. To enter deep inside the subconscious of the customers
3. To increase sales through various events and promotions

Budget:

The communication strategy of Medimix is now focused on reinforcing the brand image to its
target customers. Medimix spends about 18% of its sales revenue which is around Rs. 36 crores
on its Marketing Communications. Out of this, around 60% is allocated to its Television
P a g e 14 | 20
commercials- which is far greater than other brands of the same category. Medimix’s print ads
budget is around Rs. 2 crore.

Medimix is seen by its customers as a medicinal brand. The company is trying to change its
image as a medicinal brand with a limited functional relevance- which limits the brand in terms
of its uses as well as its market appeal. To contain this image, Medimix is trying to position
itself as a natural product, or a natural brand and they have come up with their new promotional
campaign of- ‘Nothing is better than natural’, to showcase their new natural glycerin offering.
The new promotional campaign encourages people to leave their households and explore the
nature outdoors.

SOLUTIONS-TAKING BRAND FURTHER

Since ayurvedic market is booming in india and core benefit given by Medimix is ayurvedic
solutions to day to day uses, we should focus our future plannings like brand and line extensions
around it. We as a group conducted a secondary research and from our understanding find out
some of the recommendation for Medimix.

Our three brand/line extension solutions are

1.skin cream
2.Moisturiser

3.Wet tissues

Recommended extension: Skin cream

Line extension in brand extension : Moisturiser

We should extend our brand to skin creams which is necessary at the moment. Ayurvedic is
attached with indian roots and perceived as best for skin. Indians has their values intact with it
. So value proposition will be high in this product.

1)Skin cream:
Reason for selecting this brand extension:
In Ayurvedic skin cream market major players are Fair&Lovely Ayurvedic cream and Vicco
Turmeric cream.Fair&Lovely’s main product is fairness cream and it is perceived as a cream
to enhance your fairness. Core benefit through which fair&lovely builds its brand is fairness
enhancer. Whereas Vicco turmeric builds its brand around ayurvedic products.Main problem

P a g e 15 | 20
with this brand is due to packaging and public perception around it, it is perceived as a cheaper
brand. Same goes for Fair&Lovely also. It is also a low price brand.

Opportunity:
We can provide an Ayurvedic solution and can cater to huge ayurvedic market at once. We can
charge a premier price and with good advertisement and packaging , we can charge premium
price for it. We can be pioneer and market leader at ayurvedic and herbal products.

2)Moisturiser:

Reason for selecting this line extension in brand extension:

We did a secondary research and found out that this segment is entirely open for Medimix. No
major competitors are present in the market. Major competitors like Johnson&Johnson are not
operating in herbal moisturiser segment. With growing skin care among people moisturisers
are one thing that is gaining continuous popularity. As no major competitors are present we
can easily penetrate market with proper awareness of herbal moisturisers and in this segment
also we can charge premium price.

3)Wet tissues

Reason for selecting this brand extension

Wet tissues are getting popular among youths around the globe. It is an easy alternative for
water and we can also save water through using. Different uses of this includes face wiping,
scrubbing hands, cleaning kids etc. Due to its easy use it is mainly popular among youths. We
can give a herbal and more hygienic solution through Medimix Wet tissues.

STRATEGIC PLAN FOR IMPLEMENTING OUR SOLUTIONS

1)Increase the reach of our product:

Medimix is focused mainly on south india market . If Medimix wants to increase its market
share and perform well in the future than it must increase its market reach. We recommended
Medimix three steps through which it can increase its market reach.

A)Special tie ups can be done with big shopping stores like Big-bazzar for better shelf position:
Medimix is distributing its products mainly through retail shop and its
product’s control over hyper and super markets are limited. So it can expand its distribution
networks to bigger shops like hyper markets for better sale and better awareness.
P a g e 16 | 20
B)Distributors in other part of India should be increased

As Medimix is south based brand it has its distribution channel spot

on in south. But other parts of india especially in the north, distribution channel is not that
robust.So in order to extend its brand Medimix should focus on distributors increasement.

C)Focused towards tier1 citites:

Medimix’s focus mainly tier 3 and tier 4 cities since its inception
and through its focus now shift to tier 2 cities also. But in this era and the product lines we
recommended , we can charge premium price and can shift our focus to tier1 cities. It can give
us high market share and profit margin. Primary benefit is perception among the tier1 city
people is not yet built about Medimix and we can totally create a campaign and aware people
easily.

2. Communication:
1. Online Marketing:
They do not have proper presence in the online marketing segment. So we would
recommend them to increase their presence in the online sector. They should use the
online tools like Google Adwords and Google Analytics to research and analyze the
customers’ online activities. They can also use big data analysis to target individual
customers according to their online presence and activities.
2. TVC:
Over the years Medimix has always focused their TVC ads in southern TV channels
and very few national channels when it came to Indian market. Recently, since they
are focusing on whole Indian markets they should increase their presence in national
channels so that they can show their ads throughout the whole country.
3. Social Networking Websites:
Medimix does not have proper presence in the social networking websites.
• Since their current customer base has a distinctive social networking presence
they can promote their brand in various social networks like Facebook and
Instagram. Currently Medimix has a page named “Medimixayurveda” which
has only 22k followers and the page is not very active. Similarly they have
Instagram page in the similar name but they have only 1915 followers.
Medimix, as a brand, can increase their presence in these two social networks
which can help them increase their brand awareness.
• They can also associate themselves with various YouTube vloggers to
indirectly promote their products.

3)Break the image:

P a g e 17 | 20
Image or the perception of the brand is very important and plays a critical role in building or
breaking a brand. The perception of the brand is positive for Middle class especially middle
and lower middle class housewives. By launching our new product lines we can break the
typical image . We suggest two steps for doing this

A)Penetrate the upscale market as well that is the upper middle class

B)Housewives to youth

For new products we can shift Medimix’s focus typically from a brand that appeals to
housewives to youths. We can shift our focus to upper middle class. Reason for doing that is
we are charging premium price for our products and also we are catering to day to day and
instant hygiene solution which is now a days popular among youths and upper middle class
can easily afford it. As we are established in middle and lower middle class segment ,shifting
to upper middle class will not be that difficult.

4)Changing perception from medicinal brand to beauty products with herbals inside

When terms such as Ayurvedic ,herbals associated with a product it is generally perceived as
medicinal products. Same goes for Medimix also. People buy this product for its medicinal
uses rather than its other benefits. We should place our product such that it will perceive as
beauty products which has ayurvedic contents which can easily attract youths and become
famous among them.

PRICING, TIMELINE AND INVESTMENT PLANNING

Timeline for Investment Plan

Implementation for
Implementation
April, 2019 Releases new TV 7 crore INR for the new TVC
commercials with on all
national channels. 1 Crore INR for all
promotional activities.

P a g e 18 | 20
 Starts Promotional events 50 lakhs INR Website
in different beauty shows upgradation and Social
and beauty contests marketing

Make sure the

advertisements are present
in all the regions of India

July, 2019 Start aggressive 10 crore INR for the TVC

promotional campaigns
(to convert brand 2 crore INR for
recall into purchase) in promotional events in
urban areas urban residential areas
covering 4 big cities

October, 2019 Tie up with Big Bazaar and 2 Crore for increasing
other super stores and distributors
ensure the brand
visibility on the shelf

December 2019 Make sure the breath of 3 crore INR for the TVC
awareness is maintained
throughout

Moisturiser Skin Cream Wet Tissues

Price Premium 130 110 45
(in Rs.)

PROJECTED MARKET SHARE

Moisturiser Skin Cream Wet Tissues

Market Share 10 6 12
(in %)

FUTURE COMPANY ORIENTATION

•
Invest in R&D to innovate products with distinct USP: Innovation has always been
key to the success for any product. R&D can help a company follow or stay ahead of
P a g e 19 | 20
 market trends and keep the company relevant. Although resources must be allocated to
R&D, the innovations gained through this research can actually work to
reduce costs through more efficient production processes or more efficient products.
Investing in Research & Development can help Medimix come up with salient features
which would be unique only to Medimix and thus would become its USP.

• Launch new line extensions with a new value proposition with every extension: A
product line extension is the use of an established product brand name for a new item
in the same product category. Medimix can come up with additional features in the
same product category under the same brand name such as new flavors, forms, colors,
added ingredients, package sizes. It will only enhance to the already well-established
positioning of Medimix and thereby enhancing brand personality.

• Launch new flavors in soap category: Launch of new flavors can help Medimix
reinvigorate the older brand. It can also develop a new customer base and even spawn
other line extensions. Medimix can launch new flavors without compromising its
ayurvedic positioning.

• Change the packaging for every extension, showcasing yours is a dynamic brand,
tapping on the current needs of the customer: The packaging should clearly be
different for different products which would help differentiate the products in the mind
of the consumer. It should still be in sync with the company’s positioning which would
show that your brand is dynamic, and it will keep up with the trends of the market and
always ready to serve the customers’ needs.

• Tie up with more institutional buyers: Foreign institutional investors are entities
which are established or incorporated outside India and make a proposal for investment
in India. Tie ups with institutional players will gain Medimix following advantages:
o Enhanced flow of capital
o Managing uncertainty and control
o Improved corporate governance

• Other extensions are also possible like moving into health supplements sector:
Medimix can try targeting other segments of its customers where it has not tapped the
market yet. Health supplements is one of the main sectors where Medimix has a very
high success rate.

P a g e 20 | 20