MM2 TERM PROJECT

Date: December 12, 2012

PRODUCT CATEGORY - AIR FRESHENER

Presented By:
Lakshman Singh
Nishant Tiwari
Priyankar Chakraborty
Sreetama Dutta

Praxis Business School MM2 Project - Air Freshener

 AGENDA
2

 Overview - Air Freshener In Indian Market

 Product Category
 Market Segments
 Prominent Brands In Each Segment
 Air Freshener In Institutional Markets
 Air Freshener Price Market Segment Study
 Brand Positioning For Each Brand
 SWOT Analysis For “Dabur India Ltd” And “Odonil”
 Brand Extension – Proposal
 Marketing Mix
 Reasons For Choosing “ODONIL BREEZE” Car Air Freshener
 Bibliography

Praxis Business School MM2 Project - Air Freshener

 OVERVIEW
3

 Air care market growing at an average of 20% year on year

 The air freshener has 3% penetration in air freshener market
 Air care market size is Rs 300-crore in India

INDIAN MARKET SIZE

Rs. 300-crore

DIRECT SALES TO
CONSUMER MARKET SIZE
INSTITUTIONS MARKET SIZE
66.03% (198-Crore Approx)
33.97% (101.9-Crore Approx)
Source: http://www.thehindubusinessline.com/industry-and-economy/marketing/article3621054.ece?ref=wl_industry-and-economy
http://www.business-standard.com/india/news/fresh-%5Caer%5C-in-air-care-market/483708/

Praxis Business School MM2 Project - Air Freshener

 4

Number of urban households by SEC spending every month on air

fresheners (in 000s)

4274

3003

1300 1373 1403

1178
1269 924 869
537 663 610

2007 2008 2010

SEC A SEC B SEC C Urban Inda

Source: IMRB wallet monitor studies of 2007, 2008 and 2010 (The Marketing Whitebook 2012-2013)

 Number of households using the category has been increasing across all the
SECs.
 In urban India, the consumer base had increased by 236% from 2007 to 2010.
Praxis Business School MM2 Project - Air Freshener
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Average monthly household spends on air fresheners by Zone (in Rs)

50
46 44
41
37
32
28 27 27
25

2007 2008 2010

East West South North

Source: IMRB wallet monitor studies of 2007, 2008 and 2010 (The Marketing Whitebook 2012-2013)

 The average spend on the category has increased to Rs 44 in 2010 from Rs 30

in 2007.
 The buyers in the South Zone on an average spend more than the other Zones.
Praxis Business School MM2 Project - Air Freshener
 PRODUCT CATEGORY
6

Main Brands and Company Manufactured them with Shares 2010

Odonil - Dabur India Ltd

18%
Ambi Pur - P&G Home Products Ltd
2% Premium - Helene Curtis India Ltd, JK
42%
9% Air Wick - Reckitt Benckiser (India) Ltd

Lovin - Midas Care Pharmaceutical Pvt Ltd

14% Others

15%

Source: http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-lease-of-life/

Praxis Business School MM2 Project - Air Freshener

 MARKET SEGMENTS
7

AIR FRESHNER
MARKET SEGMENTS

TYPES PRICE BENEFITS PACKAGING

 Aerosols/Sprays
 Electric Air
Fresheners  Hanger Pack
 High-End Segment
 Gels and Candles  Odour Removal  Net Pack
 Mid-End Segment
 Car Air Fresheners  Active Fragrance  Dispensers
 Fridge Fresheners  Canister
 Bathroom
Fresheners

Praxis Business School MM2 Project - Air Freshener

 PROMINENT BRANDS IN EACH SEGMENT
8

TYPES OF AIR FRESHENERS

Aerosols Electric Air Gels and Car Air Fridge
Bathroom Fresheners
/Sprays Fresheners Candles Fresheners Fresheners

 Glades  Air Wick  Glade  Ambi Pur  Premium  Odonil

 Aer  Renuzit  Aer
 Air Wick
 Renuzit

PRICE SEGMENT PACKAGING SEGMENT BENEFITS SEGMENT

Premium Hanger Dispensers & Odour Active

Net Pack
Segment Mid Segment Pack Canister Removal Fragrance
 Aer  Odonil  Odonil  Odonil  Odonil
 Air Wick  Premium  Air Wick  Aer  Odonil  Ambi Pur
Ambi Pur  Aer

Praxis Business School MM2 Project - Air Freshener

 AIR FRESHENER IN INSTITUTIONAL MARKETS
9

 Hotels
 Corporate Houses, Factories
 Malls
 Hospitals
 Railways
 Public Bathrooms
 Show Rooms
 Theaters
 Government Institutions and Buildings
 R5 Diversey has high presence in Institution market and Odonil has high
presence in consumer market.

Praxis Business School MM2 Project - Air Freshener

 PRICING - SEGMENT
10

High-End Segment Mid-End Segment B2B Segment

Most prominent air freshener brands have similar pricing, Hence, we have segregated in
the high-end segment and mid-end segment, in terms of pricing.
Praxis Business School MM2 Project - Air Freshener
 STUDY OF THE BRAND
11

 Company: Godrej Consumer Products Limited PACKAGING

 Tagline/ Slogan:“The Way It Smells, and The Way It
Spells”
PRODUCT
PLACE
-Premium
-Launched in
- Available in 3 metros
variants
- Easy to use
(per packaging)

PROMOTION PRICE
-Perfumed print - Premium
ad Category
-Carried out BTL
promotions and
activations

 Positioning: A delightful experience, aer aims to bring alive

consumer experiences to enhance their personal space at home
Praxis Business School MM2 Project - Air Freshener
 STUDY OF THE BRAND
12

 Company: Reckitt & Benckiser (India) Limited PACKAGING

 Tagline/ Slogan:“It’s Good To Be Home”

PRODUCT PLACE
-Available in -Targeted urban
various flavors and semi-urban
and varieties households

PROMOTION PRICE
-Excellent brand -Standard price
promotion by segment
advertising
media and
prints

 Positioning: To transform your home to a great environment

making it happy and joyous
Praxis Business School MM2 Project - Air Freshener
 STUDY OF THE BRAND
13

 Company: Procter & Gamble Home Products Limited PACKAGING

 Tagline/ Slogan:“A Touch Of Freshness To Your Home, and
Car”
PRODUCT PLACE
-Known for - Excellent
quality distribution
- Available in network
various
varieties

PROMOTION PRICE
-High - Premium
advertisement Category
compare to
other brands

 Positioning: Eliminates tough odours and freshens the air as if

washed
Praxis Business School MM2 Project - Air Freshener
 STUDY OF THE BRAND
14

 Company: Dabur India Limited PACKAGING

 Tagline/ Slogan:

PRODUCT PLACE
- Available in a - Targeted
variety of urban and
exciting semi-urban
fragrances households

PROMOTION PRICE
- TV advertising - Average price

 Positioning: Complete air freshening brand for every space in

your home
Praxis Business School MM2 Project - Air Freshener
 STUDY OF THE BRAND
15

 Company: JK Helene Curtis India Limited PACKAGING

 Tagline/ Slogan:“Home, Fresh Home”

PRODUCT PLACE
- Quality - Lack
fragrance availability
- Easy to use

PROMOTION PRICE
- Hardly does -Average price
any promotion

 Positioning: Feel fresh and bring home freshness

Praxis Business School MM2 Project - Air Freshener

 STUDY OF THE BRAND
16

PACKAGING
 Company: S.S.B Enterprises
 Established in the year 2011, the first commercial aerosol
plant for contract manufacturing in Andhra Pradesh
 Does direct marketing in terms of promotion

 Positioning: The brand is positioned using the baseline

" Fragrance Your Imagination". The company believes
that perfumes relaxes the drivers and enhance comfort
level. Since there is little competition, there is little
promotion for this brand.

Praxis Business School MM2 Project - Air Freshener

 SWOT ANALYSIS – DABUR INDIA LIMITED
17

S W
TRENGTHS EAKNESSES

• Strong Brand Image and

Product Development Strength
• Strong Distribution Network • Dabur products has stiff
and an Extensive Supply Chain competition from big
• Products present in over 60 domestic players and
countries and distribution international brands
through 5000 distributors and
2.8 million outlets

O T
HREATS
PPORTUNITIES

• Tap rural markets and

increase penetration in
urban areas
• Increasing purchasing power
of people thereby increasing
demand
• Mergers and acquisitions to
strengthen the brand
• Intense and increasing
competition amongst other
FMCG companies
• FDI in retail thereby allowing
international brands
• Competition from unbranded
and local products

Praxis Business School MM2 Project - Air Freshener

 SWOT ANALYSIS - ODONIL
18

S W
TRENGTHS EAKNESSES

• Available in easy-to-use &

convenient packaging, such • Lack of knowledge about the
as 'Hanger Pack', 'Net Pack' home fragrances
, 'Dispensers' and ‘Sprays’ segment, mainly
• Established brand support agarbattis, which are
• Reasonable price considered the original home
• Available in a variety of fragrances
exciting fragrances • Availability of cheaper
substitutes

O T
HREATS
PPORTUNITIES

• Expand brand portfolio and make

it a complete air freshening • Aggressive competition from
brand by bringing in car Air multinational giants
Fresheners
• Tie up with
• Unexpected spike in input
hotels, restaurants, airlines costs
companies • New entrants
• Bringing in home fragrances in the
form of candles and
gels, agarbattis.
• Develop customized fragrances for
hotels and stores
Praxis Business School MM2 Project - Air Freshener
 BRAND EXTENSION-PROPOSAL
19

COMPANY Dabur India Limited

BRAND Odonil

PROPOSAL Car Air Freshener Segment

Praxis Business School MM2 Project - Air Freshener

 MARKETING MIX
20

 Name: “Odonil Breeze”

 Packaging: Plastic bottles with adjustable lids
PRODUCT  Features: Bottles with 4 compartments containing different
fragrances

PRICE  Comparable Pricing in line with competitors

 Free samples to customers in Car Showrooms, garages and car

PROMOTION parking lots in malls
 Ads in TV and Newspapers

A three-pronged approach for distribution:

 General Trade
PLACE  Modern Trade
 Car Accessories Showrooms
Praxis Business School MM2 Project - Air Freshener
 SURVEY
21

 Sample Size: 21 100.0%

90.5%
 Following are the conclusions from the survey

Q Which are the following brands are you aware of?

 Odonil 52.4%

 AirWick
 Aer
 Glade 4.8%

 100% people were aware about Odonil.

Odonil AirWick Aer Glade

Incense Sticks
0%
Q If Odonil comes in following formats, which one will you Gel
33%
go for?
 Car Air Freshener
 Gel Car
67%
 Incense Sticks
 67% people would like to go for “Car Air Freshener”

Praxis Business School MM2 Project - Air Freshener

 REASONS FOR CHOOSING “ODONIL
22
BREEZE” CAR AIR FRESHENER
 Odonil has 42% market share in Air care market, which makes
Odonil very popular. Therefore, no need of extensive advertising.
 Dabur has strong distribution network and an extensive supply
chain
 Expand brand portfolio and make it a complete air freshening
brand by bringing in car air freshener.
 Number of households using the category has been increasing
across all the SECs
 Air care market growing at an average of 20% year on year
 Established brand support

Praxis Business School MM2 Project - Air Freshener

 BIBLIOGRAPHY
23

 http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-
lease-of-life/
 http://pitchonnet.com/blog/2012/07/10/godrej-re-enters-the-air-care-market-
with-aer/
 http://www.dabur.com/Products-Home%20Care-Odonil
 http://pitchonnet.com/blog/2012/05/21/air-fragrance-market-breathes-a-fresh-
lease-of-life/
 http://www.premiumhomefresh.com/Premiumlavender.aspx
 http://marketingpractice.blogspot.in/2008/03/airwick-its-good-to-be-home.html

Praxis Business School MM2 Project - Air Freshener

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THANK YOU

Praxis Business School MM2 Project - Air Freshener