SANTOOR SOAP

Group 4

Team Members
Anantha Krishnan G
Tanuj Lalchandani
Prateek Jain
Aditya Agarwal
Jayadeep Govindu
Hiba Khan

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About Wipro
• Wipro was founded as a vegetable oil company in 1945 by Mohamed Premji as
"Western India Palm Refined Oil Limited“

• Wipro CCL is a leading FMCG business in Personal care, Home care, Lighting and
switches and office furniture

• Present in 19 countries and 15 manufacturing units spread over India, China,

Indonesia, Malaysia and Vietnam

• Has a strong brand presence in India, South East Asia and the Middle East

• Crossed US $1 billion revenue milestone with more than half a dozen US $50 million
plus brands in 2017-18

• Wipro CCL is headed by Mr Vineet Agrawal who was appointed as the CEO in 2002

Culture
• Boasts of a talent base of over 10000+ people from 15 different nationalities

• Women employees constitute nearly 60% of the workforce

• Recognized as one of the world’s most ethical companies in 2012 and 2013 by
Ethisphere

• Ranked 2nd in Newsweek’s global 500 green companies

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Core Values
• Be passionate about clients’ success: Wipro believes that their success lies in their
clients’ success. Wipro collaborate to sharpen their insights and amplify their success.

• Be global and responsible: Wipro is global in their thinking and their actions. As
responsible citizens of the world, they are energized by deep connectedness between
people, ideas, communities and the environment.

• Treat each person with respect: Wipro nurture an environment where people are
encouraged to learn, share and grow. Diversity of thought, of culture and of people is
embraced.

• Unyielding integrity in everything we do: Integrity is the core value of Wipro and
basis of everything. It’s not only about following the law, but also about delivering on
their commitments. It’s about honesty and fairness in action. It’s about being ethical
beyond any doubt even in the toughest of circumstances.

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Mergers and Acquisition

2011 2012 2016

2006 2007 2009
2003
Acquired Acquired Acquisition of Acquisition of Acquired Acquired Acquired
Glucovita Chandrika Unza, one of Yardley in India Aramusk Yardley for UK Zhongshan Ma
Acquisition of the leading and Middle Acquisition of & Europe Er Home and
North-West companies in East Asia Cleanray, a LED (Except Personal care
Switches South East Asia company Germany and company in
in personal Austria) China
care business Acquired LD
Waxson’s
group - A
personal care
company in
South East Asia

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Strategic Business Unit

Indian Household International personal Indian office solutions

business care
Homecare Homecare Indian office solutions
Personal care Personal care
Wellness Teens and Kids
Male grooming Male grooming

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Structure

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SWOT Analysis

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PESTEL Analysis
Political

• People’s choices are affected by the strong right wing nationalist government
– Rise of Patanjali’s sales

• People relate to nationalist icons and images while buying products – Desi
brand consciousness

Economic

• Sales expected to reach 262500 Million INR in 2020

• Higher income among middle class people

• Y-O-Y retail value RSP growth at 6.7%

• The Industry growth trends follow the market leader’s trends

Social

• Changing perception of beauty

• Influencers can affect buying decisions

Technology

• Younger generation driving sales of soaps and shower gels through e-

commerce

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Market segment insights:
• The soap market in India is segmented based on brands, (Lux, Dove, Pears, Santoor,
etc.), category (beauty soaps, health soaps, and others), and players operating in the
market (Hindustan Unilever, ITC, Wipro, and others). The beauty soaps segment had
a market share of ~50%, followed by the health soaps segment. Popular beauty soap
brands operating in the market are Lux, Dove, Pears, Santoor, and Vivel.

• Key growth drivers of the market: Bathing soaps with cooling agents and herbal
ingredients are attracting more customers. People these days prefer herbal soaps
because of their therapeutic value. Nearly 315 Mn users in rural areas will be
connected to the internet by 2020. Increased internet penetration will help rural
consumers to explore the market and avail offers online. Growing awareness about
Hygiene and increasing disposable income in rural India will be key drivers for the
growth of the soap market.

Key deterrents to the growth of the market:

• Most of the chemicals used in soaps can be harmful for skin. Presence of chemicals
and other toxic elements in soaps can discourage people from using them. This, in
turn, can have a negative impact on the growth of the market.

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Santoor Market share
• Santoor has developed reliably crosswise over urban and rural markets. It is currently
among the Rs 2,000-crore in addition to buyer brands.

• Santoor's all India market share of the overall industry in January-March 2019, at
15.1%, has surpassed Lux's 12.5%, yet is not exactly Lifebuoy's 17.7%

• The urban market information, be that as it may, indicates Santoor (13.4%) in front of
both Lux (12%) and Lifebuoy (13%). Kantar declined to remark on this information.

• Also, the Santoor (9.3%) is the third-biggest brand after Lifeboy (13.7%) and Lux
(12%) for January-March 2019.

• Santoor's infiltration is a lot higher than Lux in South and parts of West locales.

• Lux's entrance is driven by the Rs 10-pack (about 55g), with 60% of Lux-purchasing
homes obtaining this pack. Then again, Santoor's infiltration is driven to a great extent
by its 75g+ pack, with 70% of Santoor-purchasing homes acquiring this pack.

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Factors affecting Soap choice

• Advertisements and marketing of the product

• Attractive packaging styles of a soap

• Price of the product. (Cost Effective)

• Promotional Schemes

• Brand

• Usage period

• Ease of availability

• Ingredients used in making the soap

• Skin Type

• Demographic considerations

• Fragrance of Soap

• Seasonal variation

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Cultural, social, personal, and psychological factors
• Lifestyle of the consumers

• Gender

• Age group of the individuals

• Income of the consumers

• Spending capacity

• Demography

• Perception

• Social Status

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Segmentation
• Age

• Gender

• Income levels

• Frequency of purchase

• Skin Type

• Geographic location

Why do people use soap??

• Some would use it against body odour

• Some would use it to fight germs and infections

• Some for a fair and spotless skin

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Segmentation Vs value proposition
Segment 1

Value Proposition: Against body odour - Soaps with a strong and lasting fragrance

• Marketing professionals

• Sales Representatives

• People exposed to sun for a longer duration

• Individuals travelling by public transport

Segment 2

Value Proposition : To fight germs and infections - Soaps with medicinal properties

• Individuals working in hospitals, nursing homes and research centers

• Individuals working in unhygienic conditions

• Baby care

Segment 1

Value Proposition: Against body odour - Soaps with a strong and lasting fragrance

• Marketing professionals

• Sales Representatives

• People exposed to sun for a longer duration

• Individuals travelling by public transport

Segment 2

Value Proposition : To fight germs and infections - Soaps with medicinal properties

• Individuals working in hospitals, nursing homes and research centers

• Individuals working in unhygienic conditions & Baby care

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Porters 5 force analysis

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 Positioning Framework
• Target Audience – Santoor targets married women over 25 years of age in the urban
and sub-urban area

• Benefits Sought – wants to look young

• Customer perception – natural ingredients like sandal are good for skin

• Value Proposition – For a younger looking skin via the age old goodness of sandal
and turmeric

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 Positioning
• Santoor – made from Sandal and Turmeric

• Sandal wood oil extracts - makes skin bright and reduce wrinkles to get flawless skin

• Turmeric Powder – anti inflammatory properties, fights acne, protection against tan
and aging

• Hence Santoor tried to leverage the traditional benefits of the ingredients

Natural Sandalwood
Ingredients Turmeric

Younger By the goodness

of natural
looking skin products

Confident
Santoor Successful
Woman Manages family

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Positioning – Initial stage of PLC
• Karnataka is the home of Mysore Sandal Soaps – A GI product made from pure
sandal wood oil.
• Mysore sandal soap was however seen as a premium offering that could be used for
occasional indulgence
• Sandoor positioned itself as a more value to money soap that gave the customers the
benefits of sandal and turmeric for daily skin care.

Positioning thereafter
• The initial positioning was giving emphasis on the ingredients was to create a brand
awareness
• The positioning was changed to benefit-based
• The brand was repositioned to give its customers younger looking skin via the
goodness of natural ingredients
• The “ageless skin” or “mistaken identity” was used to describe a santoor woman
• Advertisements portrayed the protagonist as a married woman mother who gets
mistaken for an unmarried woman by the virtue of her young looking skin

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Marketing Mix
Product

• Sandal and turmeric have traditionally been used by Indian women for skin care.
Haldi has been an integral part of bride’s wedding preparation. Turmeric is used to
enhance the texture and smoothness of skin. These were limited to special rituals and
Wipro came up with a product which put both the ingredient into one. Thus santoor
was born.

• The product even derives its name from the two ingredients ‘San’dal and ‘Tur’meric
with changing trends the company expanded its portfolio with natural ingredients as
base and currently consists of Santoor White, Santoor glycerine and Santoor Honey
and Apricot.

• The company has come up with baby care, facewash and Shampoos in recent past.

Promotion

• During the launch of the product there were two products Moti and Mysore soaps
which were using same ingredients but were positioned as premium products. The
initial positioning of the brand was as beauty care soap. However, the customers were
not buying the ingredient story. Then came the ageless skin campaigns which proved
to be a game changer for the brand.

• The unmistakable “mistaken identity” strategy used by the company can be attributed
as a major reason for the brand’s success. The ordinary house wife could connect to
the proposition of younger looking skin and the use of natural ingredients. Sales
soared and the brand managed to reinforce its status with carefully selected brand
ambassadors.

• The advertising has evolved in many ways but the mother and daughter story was
always the consistent theme. As time passed, the role of the women portrayed in the
ads was suitably changed from housewife to an aerobics instructor and later to a
cricket playing mother of a 5 year old kid.

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 • In 2004 the achiever protagonist was introduced to address the disconnect with the
urban women who didn’t connect well with the Mother Daughter equation earlier
portrayed in the ads.

• The underlying message still being the use of natural ingredients which provide a
younger looking skin.

Price

• Wipro launched Santoor with an objective to cater to the needs of middle class which
couldn’t afford premium products like Moti and Mysore. Hence, the product was
priced accordingly. The

• Government of India has standardized the pack sizes for certain product categories
such as soaps and biscuits. This has led to slight price drop for the product. The
product was being sold at Rs. 21 for 90 g whereas now it is being sold at Rs. 21 for
100 g

• Such a pricing strategy has caused the company to gain market share by increased
volumes compared to products with similar offering.

Place

• Santoor was initially test marketed in Bangalore, on receiving positive response was
made a national brand in a year.

• However it’s share rural areas is higher than the Urban areas. Estimates are that the
rural market share is almost twice the urban market share.

• The strategy by Wipro is well thought out and aimed at staying away from the clutter
of Urban soap market. Santoor and Godrej No.1 are two products which are
aggressively expanding their rural presence.

• Apart from the brand promise the company has also worked on personalizing the
consumer experience for rural consumers with on ground events, community
initiatives and trial runs.

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Price Strategy
Wipro Consumer Care and Lightning launched Santoor with an objective to cater to the needs
of middle class which couldn’t afford premium products like Moti and Mysore. It targets the
mass audience and has not positioned itself as a premium brand. Hence, the product was
priced according to the middle class families.

Also since the soap is already selling at less prices, a price cut could lead to losses for the
company. The company had relaunched Santoor in 2009 and as part of its expansion in the
rural areas, it had introduced the soap at Rs.5 and Rs.10 price points.

To attract people in rural area, Santoor soap follows below the line strategy with offers such
as Buy 3 get 1 free, and Bundling price of Rs.40 for 4 soaps. Such a strategy of Volume
Pricing has led the company to gain market share by increased volumes compared to products
with similar offering. The growth was also achieved on the back of a strong distribution
network and communication in rural areas.

Communication Strategy
Santoor is a super brand that has built itself to Rs.500 crore brand with its own strength and
not piggy banking on any celebrity.

Santoor: The Challenge

1. Need to retain the traditional users

2. Need to rapidly attract new users

3. Need to provide image values that will build the brand for future growth

Santoor: Skincare to Younger Looking Skin

In 1989, Santoor was basically selling in two states of Kerala and Karnataka. It was selling a
fraction of what brands like Hamam, Rexona, Cinthol and Liril were selling. By focusing
advertising on one promise and evolving it over time, Santoor has become one of the top
three soap brands in the country.

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The brand has delivered, for almost 25 years, on the promise of ‘younger looking skin’
through superior product offerings which have used deep acting and natural ingredients. The
essence of the creative strategy has remained the same throughout campaigns which revolves
around the idea of "mistaken identity".

The Mother-daughter equation and the campaigns set in the supermarkets, wedding and
bangle shop did not do well with the achievement oriented customers. That was a message to
the company that the product communication has to change. The achiever protagonist was
introduced in 2004. The campaign showed the mother as a successful fashion designer with
the same positioning and theme.

Santoor brought about major change in strategy in 2006. The campaigns showed Saif Ali
Khan-in North and Madhavan- in south in the TVCs touching shoulder to shoulder with
Santoor women who was not only beautiful but also acknowledged for her achievements.
This time there was a new product – Santoor white.

In another campaign launched in 2009, the Santoor woman is shown to be someone who is
sensitized towards her social responsibilities as a citizen, in line with her changing roles. She
goes to vote where she is stopped and asked for age proof, as she looks so young (i.e. the
"mistaken identity" concept).

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Competitor Analysis
1. Lux

HUL, for decades, has used non-conventional media such as wall writings, cinema vans
(video in wheels), weekly markets/hats, fairs, and festivals.

They have built a brand based on beauty ("Beauty Begins with Lux") and then thrown
millions of dollars at the media to support it. Campaign always revolved around catchy
taglines, pretty packaging and high priced celebrity endorsements , thus spending tens of
millions (if not hundreds of millions) of dollars getting the brand out there on radio, tv, store
ads etc.

2. Breeze

Research and consumer visits have shown that the desire for great fragrance featured highest
in the daily beauty regime of discount soap users. 

The proposition of scent in a soap “scent ka kamaal, ab sabun mein’ is explored y Breeze and
explicitly propagates the brand promise of the “Hameshaa Kuchh extra”. It delivers all this
while matching consumer’s needs in terms of price and quantity offered staying true to its
word

3. Lifebuoy

Lifebuoy underwent a major turning point in its history with the re-launch in 2002, 2004 and
again in 2006. The re-launch was done to beat the slow-moving sales. To register positive
preference among consumers, HUL challenged everything that Lifebuoy stood for.

Lifebuoy is now an entirely new mix with a superior formulation, fragrance, lather profile
and a contemporary shape. It offers an improved bathing experience and skin feel.

Rural Presence: The company devised a strategy to ensure its focus on family health themes
via TV and print campaigns in the rural markets. They conducted consumer education
exercise using "Germ tests" through multimedia. They also explored the opportunity to
spread message during World Health Day. HUL also launched Lifebuoy Swashthya Chetana,

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the first single largest rural health and hygiene educational program. The campaign aimed at
educating children and community about the threat of unseen germs and maintaining good
health through practice of basic hygiene. The comapny used innovative communication tools
at melas, festivals, haats, etc. to spread awareness about hygiene and health by product
demonstrations. 

Santoor soap face the strong competition with HUL Lux Soaps. With leading brand such as
Lux Almond, Lux Orchid, , Lux Fruit, Lux Saffron, Lux Sandalwood, Lux Rose, Lux
International, Lux Chocolate, Lux Aromatic Extracts, Lux Oil and Honey etc. Santoor has
been facing competition from Godrej consumer products GCPL, India’s second largest soap
maker with 9.2% market share.

Wipro CCL has re-launched its soap brand Santoor with a new fragrance, shape and
packaging. The organization has likewise reserved in Bollywood actor Saif Ali Khan and
Telugu film star Mahesh Babu as brand envoys. Remarking on the re-dispatch, Mr Anil
Chugh, Senior Vice-President, Wipro Consumer Care and Lighting, stated, "With the new
Santoor, we try to fortify our authority in our center markets and develop by speaking to new
buyers in different markets." One of the explanations behind Santoor's development in the
class is its consistency in imparting the center suggestion of more youthful looking skin while
making the message contemporary, he included.

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Distribution Strategy

SALES

WCCL TO PRIMARY SALES

DISTRIBUTOR

DISTRIBUTOR SECONDARY SALES

TO RETAILER

RETAILER TO TERTIARY SALES

CONSUMER

Wipro concentrates more on the indirect sales to reach the target audience. The company
today has more than 30 depots (where it stocks the product before shipping it to wholesalers)
across the country and a retail reach of over a million and a half outlets. 

The major focus of Wipro consumer care is Manufacturer to Retailer to Consumer. It follows
the two-tier distribution network which involves Carrying and Forwarding agents (They
transfer products from manufacturer to retailer, but do not own the product), Retailers and the
distributors. The distributor has a margin of around 6% and retailer has somewhere between
10-12%. It provides various trade promotions to its partners to promote sales.

The retailer gets his good from the manufacturer directly and then the retailer sells it to the
customers. The goods that are prevalent in this kind of transaction is the shopping goods. The
manufacturer then asks the retailer to stock these items since the need from the customer is no
spontaneous. They prefer to compare and try before the final purchase. The company Wipro
uses a push marketing strategy thereby stocking up goods at the retail stores.

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This sales actually played a crucial role in the expansion of Santoor to the second higher
market share of around 38-40% In Telangana and Andhra Pradesh. The channels also focus
on penetration of rural markets. The strategy used in this channel is to give better margins to
the retailer which in turn provides shelf space for the product as well as volume.

HUL and other major players also use similar techniques to gain penetration but would be
over taken in when it comes to providing better margins. The company uses push strategy
rather than brand pull strategy. The presence in store is tough still there is high presence in
stores almost equal to the competition. The retailers have to give all the promotional offers
availed from the company as well as better retailer relationship helps in gaining better shelf
area.

“The key driver of growth this year was our ability to handle the GST transition in India. We
proactively engaged with our distributors and partners and clarified their doubts about GST.
This gave us momentum in June – July 2017, leading to 18% growth in the India business in
FY-18. Distribution also improved especially post GST implementation.

Retailer opinion about the brand is that the customer loyalty towards santoor is high since it’s
a brand that has a legacy of 25 years.

Online Presence
The brand santoor has presence in almost all online sites

1. Big basket
2. Amazon
3. Flipkart
4. Grofers
5. Paytm mall

The products are bundled always which is also offering discounts. This is a clear indication of
the target of the brand towards people who do one time purchase online for house essentials.
The soaps are bundled in packs of three, four and five. The competition also has similar

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offers with similar discounts which makes it difficult for the customer to evaluate only one
factor to purchase a product.

The major presence of these soaps do not come off as a strong area since most of the
customers that buy soap online go for brands that they are loyal to.

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Product Life Cycle of Santoor

Introduction Stage: Santoor launched the India’s first sandalwood and turmeric beauty soap
in the 1985 by Wipro. At that time there was only one competitor of Santoor, which was from
Lux Soap. In the initial stages Santoor was introduced in the major cities of India like
Mumbai & Bangalore etc.

Marketing Objective: The main objective was to create the product awareness and to attract
the customer towards the product.

Product: They offer just on item in the market. They didn't think of the separated item.

Price: In the underlying phases of the item, they offer the moderately higher cost than their
rival (LUX). Since, they need to recuperate their underlying expense of making the item.

Advertisement: In the initial stages, they allocate more advertising budget. In this way, that
an ever-increasing number of clients could be pulled in towards the item.

* In advertisements they focused on the early adopters, who were readiest to purchase the
item.

* The primary brand envoy of Santoor Soap, R. MadhavanDistribution: It was very selective
and only covers the major cities of INDIA to get recognition in those cities. Their distribution
channel was through, Manufacturer, wholesaler and retailer.

Growth stage: In the development stage, their deals quickly began rising. They have
extended their market to alternate urban areas of INDIA.

Marketing Objective: The showcasing target of the Santoor Soap were to grow their market
to alternate urban communities of INDIA. Another goal was to augment more piece of the
overall industry.

Product: In the development stage, the organization had offered a similar item in the market.

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Price: In this stage, the organization had changed their cost to some degree as a result of
boosting the piece of the overall industry. (Somewhat chop down the costs)

Advertisement: In the development stage, they had expanded their publicizing spending plan
as in the underlying stages as a result of the new clients or to hold the current clients.

Distribution: In this stage, organization had extended their market to alternate urban
communities of INDIA. Their appropriation channel was the equivalent as in the underlying
phases of the item.

Promotion: In the development stage, the organization had additionally utilized the
distinctive proportioning procedures to pull in the new and the current clients.

Maturity stage: They adjusted the item by including a few changes in the item. In this stage,
few contender enter the market like (Cinthol, Fairglow, LUX, Fiama, Di Wills and Vivel).
Wipro has extended their market to every one of the urban areas of INDIA.

Promotion: The promoting target of Santoor is to amplify more benefit while shielding the
piece of the pie and to grow the market to all urban areas of India.

Product: Santoor has made the change in the item by presenting: Santoor White, Santoor
Glycerine, Santoor Sandal and Turmeric Santoor with skin delicate quality.

Price: The Santoor items are accessible in every one of the urban areas in India, their
circulation channel is same as the underlying stage.

Advertising: In this stage Santoor promoting has been diminished to some degree on account
of the more brand mindfulness in the brains of clients.

4.Decline stage: Slowdown: In year 2008-09 due to hard economic conditions in INDIA and
other countries the sales were highly affected as the consumer started looking for some
alternate products with a cheaper price than Santoor.

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Future Recommendations

• Santoor has traditionally been positioned for married women. With brand
ambassadors like Saif Ali Khan and Madhavan, it can also target men
• The santoor communications usually portrays urban or sub-urban woman. They
should bring the essence of rural India in their promotions
• Efforts should be made to tap into the millennial markets, by introducing product
range to target younger customers

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Sources

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