Brand Dossier: Surf Excel

A report submitted to
Prof. Govindrajan Srinivasan & Prof Charanpreet Singh

In partial fulfilment of requirements of the course

Brand Management
by
Group 12
Amitabh Shekhar (1911024)

Anup Kumar (1911039)

Ashish Pal (1911044)

Harish Bandagiri (1911051)

Shivani Pathak (1911231)

Introduction:

1
Hindustan Unilever Limited (HUL) is India's largest consumer goods company, which has
been established in 1931. It is a subsidiary of parent company Unilever, one of the world's
leading FMCG companies with its presence in over 190 countries. HUL accounts for 61.90%
share of Unilever company. As of 2019, HUL has its products spread across 20 tLux,
Lifebuoy, Rin, Surf Exel, Wheel, Glow&Lovely, Vaseline, Lakme, Dove, Pepsodent, Close
up, Bru, Brooke Bond, Kissan, Knorr, etc.

HUL launched Surf in 1959, and it was the first detergent powder to be launched in India. It
has its presence in India, Pakistan, Bangladesh, Srilanka with this name and various other
names in other countries. Surf was later renamed as 'Surf Exel' in 1996 in India.[4]

History and Evolution:

At the time of the initial launch, Surf came up with a promise of "Superlative Whiteness,"
and it was the only modern type detergent available in India at that time, i.e., 1959. It was the
first detergent brand to be advertised on Television. Later in the 1970s, the competition in the
detergent category has been intensified with the introduction of the brand "Nirma" in 1969
with a much lower price tag than Surf. Nirma was priced at Rs.3.50 per Kg, whereas Surf was
available at Rs. 13 per Kg.

Later in 1990, a new sub product called "Surf Ultra" has been introduced into the market with
a promise of high washing performance. In 1996, Surf was renamed Surf Exel with the
promise of 3Cs I,e Complete, Clear, Care. Later in 2003, Surf Blue has been launched. Due to
competition from Ariel by P&G, Surf Exel launched Matic detergent powder, which is
specially designed for washing machine usage. In 2007, it introduced Surf Exel bar and had
gained significant market share from Rin detergent bar Brand.[4]

Positioning over time:

From the initial days, Surf Exel tried to position itself as a superior alternative to other local
detergent alternatives available and directed its advertisement strategies to achieve it.
Initially, it was positioned itself as a detergent that can clean tough stains, and with much less
effort, i.e., it can offer "Superlative whiteness" to the clothes.

2
Later in the 1970s, brands like "Nirma" has been launched with a much lower price tag. To
position itself and insulate its value in the market, it launched a campaign with a character
named "Lalitha Ji" and tag line "Surf Ki Kharidari Main Hi Samajdari Hai!". This has been
received well by price & value-conscious Indian consumers. In the 1990s, the Indian
detergent market has seen many mid-priced players leading the way; Surf has launched "Surf
Ultra" with the positioning of superioress and highly effective detergent and started a
campaign called "Daag Dhoondthe Reh Jaaoge!".

Later with the entry of Aerial, Tide from P&G, It had to change its image and reposition
itself, and it started innovative campaigns like "Save 2 buckets of water" in 2003 and "Daag
Ache Hai!" in 2005. The later campaign has become so much popular, and it is targeted to
strike a chord with all the Indian mothers.[3]

Below is the timeline of its campaigns

1959 – "Superlative Whiteness."

1970 – "Lalitaji "Surf Ki Kharıdari Main Hi Samajdari Hai!"

1990 – “Daag Dhoondthe Reh Jaaoge!

1999 – "Surf Exel Hai Na!"

2003 – "Save 2 buckets of water!"

2005 and till date – "Daag Ache Hai!"[1]

Advertising Strategy:

As mentioned, Surf Exel was the first detergent brand to be introduced in India and
promotional stuff related detergent industry used be fairly dull before Surf Exel came up with
its campaigns. Its marketing strategy has been innovative and, at the same time, simple in
nature, which can easily resonate well with typical Indian household women with average/
below average education background.

Its initial major campaign features Lalitha Ji, a no-nonsense housemaker who believes in the
value of the product she uses. The tagline is "Surf Ki Kharıdari Main Hi Samajdari Hai!".
This campaign reached middle and high-income household women very effectively and
helped Surf Exel become an Indian household name.

3
It always employed a strategy of
differentiation, and as part of it, it
launched different products like Surf
Exel Matic powder has been
launched to cater to washing
machine usage. It has been released
in two variants – serving for both
Front Load and Top Load usage.

The next big campaign is "Daag

Achhe Hain!" where a child is
shown to take revenge on a mud pit
for spoiling his sister's clothes. In
continuation with that, Surf Excel
has designed a lot of ads/campaigns which emphasize having the courage to stand up for
what is right and upholding one's dignity. This form of advertisement where it has
highlighted social values along with showcasing the product applauded by the customers, and
it reflected well in terms of sales of the brand. With this unconventional advertisement, Surf
Exel could able to garner traction in an otherwise annoying advertisement of the detergent
industry.

Currently, Surf Excel follows this advertisement method where it uses a social element and
emotional appeal to the audience along with a subtle message about its brand. This helped the
brand to differentiate itself in terms of customer's mental association with the brand. Its
advertisements are targeted especially towards young child mothers.[2]

4
Sales Promotion Strategy:

Apart from innovative advertisement campaigns, HUL employed different strategies in

offline campaigns, packaging, product bundling, free samples, etc.

Some of the offline promotions are "Surf Paint Fun - 2003", Surf Colour Your Future -
2004", Surf X Sellam – 2005", where they organized events by inviting young mothers with
their children. These offline events are aimed at building a relationship with consumers so
that it helps the brand to gain better brand recall. To target price-conscious consumers, Surf
Excel introduced a six sachet pack called "Surf Excel six packer," which costs Rs.10.

It also employed price bundling strategies, where it bundled Surf Excel with other in-house
brands like Dove etc. to drive products' sales. It tied up with washing machine makers like
IFB to promote its washing machine-specific Matic powders. IFB recommended using Surf
Excel along with their washing machines for better results.

Product Analysis:

Product Name Target Group Purpose

Surf Excel All the consumers To prevent color fading
Blue

Surf Excel Matic Washing machine usage Less lather detergent for
(Both for Front Load and machine usage
Top Load machines)

Surf Excel Bar Middle & Low income Hand washing of cloths

5
 Surf Excel Quick Wash Consumers with water Cloth wash with less water
scarcity

Liquid detergent Matic Consumers who prefers Machine usage

liquid for machine usage

Above are the different products under the Surf Excel brand.

Competitor Analysis:

Indian detergent market is valued at Rs. 42,827 Crores in 2019 with a projected growth of
CAGR 7%. The product categories mainly consist of detergent powder, detergent bar,
detergent liquid. In recent times, the share of liquid detergent has gone up significantly. HUL,
P&G, Nirma Limited, Jyothi Laboratories Ltd, Fena Ltd, RSPL Ltd, Patanjali Ltd are some of
the key players in the Indian detergent industry.

Below are three major competitors for Surf Excel.

6
1. Aerial & Tide by P&G:

Ariel was introduced by P&G in

India in 1991. It is known for its
innovative product design, and it is
the first detergent brand to introduce
enzyme technology, which is very
effective in stain removal—aerial
commands over 5% market share.
Tide has been introduced by P&G to cater to the lower and middle-income population.
Overall, P&G commands around 16% market share with both Aerial (5%), Tide (11%)
brands combined.

2. Ghari detergent by RSPL Ltd:

RSPL Ltd in a Kanpur based FMCG conglomerate named Rohit

Surfactants Private Limited. The detergent brand was found in
1988. It has grown very fast in North India and currently
expanding to South India. It became the market leader in terms
of market share in 2012 and competing effectively with other
global brands. It is mainly targeted towards the lower-income
population in India.[5]

3. Nirma:

Nirma was introduced in the Indian market in 1969. It was

priced very low compared to other existing players in the
market by that time. Due to its low pricing, it gained
consumer's attention very quickly. It created an evolution in
the detergent industry, and this led to detergent market
expansion. Though Nirma overtook all the major brands in a
very short period, it lost its market share over time, it losts it's
market share due to competitive pricing by global brands
( Wheel by HUL, Tide by P&G). Currently Nirma commands around 3% market share as
of 2018.

7
Distribution Strategy:

When it comes to distribution, Surf Excel has a great advantage as its parent company HUL
has built a solid distribution network throughout India to distribute its 35 brands across
categories. Initially, HUL's distribution system was very simple and effective. The company's
salesmen used to collect orders from Wholesalers and large retailers. Later, to improve the
customer experience, it appointed a registered wholesaler for every region, and the
salespersons fulfilled the orders through the appointed wholesaler. This improved HUL's
distribution network as the wholesaler commands a good network in the region.

Later, to improve the distribution network further and to replenish the store shelves without
any delay due to goods movement, HUL has setup in small warehouses/depots across the
country, which acts as a medium between manufacturing facility and wholesaler. The goods
would be transferred to the wholesaler from these depots based on the demand. This helped
the company to avoid any shortages across stores due to any unexpected demand.[6]

8
Summary:

Surf Excel is one of the strong brands in the Indian detergent market. From its introduction in
1959, it has come a long way as it strongly protected its turf against competitors with some
ups and downs. One of the evolution is the introduction of Nirma, which questioned Surf
Excel survival, but HUL countered it by introducing Wheel and protected the regained it's
market leader position. Surf Excel introduced different product lines timely according to
changing consumer preferences. It's promotional strategies are very unique and they could
able to strike chord with many customer segments.

9
 Brand Funnel for Surf Excel

Participant’s demography
75% of the participants were students and the remaining 25% were working professionals
with age varying between 19 years to 40 years. The responses included a healthy mix of male
and female participants.

10
Questions asked in survey

Question Targeted Parameter(s)

1. List down the brands that come to your mind Awareness (Top of Mind), Awareness
when you hear Detergent (Spontaneous)

2. I have heard about the following detergent Awareness (Total)

brands

3. I have tried the following detergent brands Trial

atleast once

4. I consider buying these brands again Repeat

5. Most often used/bought brands MOUB

Survey Results
From the responses obtained for 1st question, Awareness (Top of Mind, Spontaneous &
Total) came out to be:
TOM: 62.5%
Spontaneous: 78.8 %
Total: 87.5%

From other questions, Awareness, Trial, Repeat and MOUB were calculated for each brand
followed by Trial/Awareness, Repeat/Trial and MOUB/Repeat.

Results in pictorial form

11
12
Results in tabular form

Brand Awareness Trial Repeat MOUB

Surf Excel 87.50% 85.00% 66.30% 45.00%

Tide 86.30% 71.30% 42.50% 13.80%

Wheel 86.30% 53.80% 28.70% 15.00%

Ariel 87.50% 65.00% 48.80% 35.00%

Nirma 52.50% 21.30% 11.30% 7.50%

Patanjali 43.80% 16.30% 8.80% 5.00%

Henko 25.00% 6.30% 3.80% 2.50%

Fena 21.30% 7.50% 2.50% 2.50%

Sunlight 12.50% 6.30% 3.80% 0.00%

Ghadi 23.80% 11.30% 5.00% 1.30%

13
Pictorial representation of results for brand

Calculated Ratios

Brand Trial/Awareness Repeat/Trial MOUB/Repeat

Surf Excel 97.14% 78.00% 67.87%

Tide 82.62% 59.61% 32.47%

Wheel 62.34% 53.35% 52.26%

Ariel 74.29% 75.08% 71.72%

Nirma 40.57% 53.05% 66.37%

Patanjali 37.21% 53.99% 56.82%

Henko 25.20% 60.32% 65.79%

Fena 35.21% 33.33% 100.00%

In-depth Interviews

14
We have used the Laddering technique to link the ‘Attributes’ of a Detergent Powder to the
‘Values’ which the 16 participants associate with it (Attribute -> Consequence -> Value). The
following questions were asked from the participants in the Interview:
What do you like in a Detergent Powder?
When was the last time you used a Detergent Powder?
What is so special about Detergent Powder?
Why is Cleanliness important to you?
Why is Fragrance important to you?

Following is the tabular representation for the same (numbers in the bracket against each
‘value’ indicate the total number of respondents who reported same ‘attribute’ and ‘value’):

Attributes Scent/Fragrance Color Preservation Dirt removal Effectiveness

Consequences Provides refresehing mood Long Lasting Clothes Clean Clothes

Values Lively and Energetic (5) Economical, Care and Comfort (3) Feel Good (8)

Recommendations based on Brand Funnel

Although Surf Excel has been introduced in 1996, Surf is an established brand which was
introduced in 1959. Being a 61 years old brand, the Top of Mind Awareness for Surf Excel
was found to be 62.5% which is slightly lower considering the age and promotional expenses
of the Surf Excel brand. The Detergent category has very strong and old brand competitors
like Ariel from P&G and hence increasing the Top of Mind awareness becomes a critical
success factor for Surf Excel in the long run.
Surf Excel can achieve the target of increasing the Top of Mind Awareness by leveraging the
social Media platforms and associated channels. A secondary research on Instagram official
page revealed that Ariel has approximately double the followers and posts resulting in
higher engagement on their page.

tide.india surfexcelindia ariel.india

Verified Verified Verified
120 posts 54 posts 240 posts

6,709 followers 5,349 followers 10.5k followers

15
*Source: https://www.instagram.com

Also based on In-Depth Interviews, it is recommended to highlight the Dirt removal

effectiveness and Scent/Fragrance attributes more effectively in their communication as it
gives consumer a lively and energetic feel as well as Feel good factor associated with the
brand.

Brand Equity for Surf Excel

Brand equity is the social value associated with a brand name. It is the worth of a brand in
and of itself. A well-known brand can generate more revenue easily as its brand recognition
would be more, as consumers perceive the products of well-known brands to be better than
those of lesser-known brands.
Brand equity is measured on three metrics:
 Brand Loyalty
 Price Premia
 Brand Leveragability

BRAND LOYALTY
Within a product category, consumers tend to favour a specific brand every time they make a
purchase, provided that the brand is satisfying the expectations of the customers on relevant
parameters. There are three methods to calculate brand loyalty:
 Colombo Morrison brand
 Using Brand Funnel Data
 Share Tier Approach

16
We decided to go with using Brand Funnel data, as the data collected in the previous step can
be used here as well.
Calculating top of the mind awareness:

Brand Awareness
Surf Excel 87.50%
Tide 86.30%
Wheel 86.30%
Ariel 87.50%
Nirma 52.50%
Patanjali 43.80%
Henko 25.00%
Fena 21.30%
Sunlight 12.50%
Ghadi 23.80%

The scores for Tide and Ariel are very near to each other, which is justified also as they cater
to the same target segment, and switching cost is also very low in this product category.

MOUB (Most Often Used Brand):

In MOUB calculation also, Surf Excel came on top with 45%, Ariel was 2 nd with 35%
respondents going for it.

MOU
Brand B

45.00
Surf Excel %

35.00
Ariel %

15.00
Wheel %

13.75
Tide %

7.50
Nirma %

Patanjali 5.00

17
 %

2.50
Henko %

2.50
Fena %

1.25
Ghadi %

BRAND PRICE PREMIA

In order to calculate the brand’s ability to charge a premium price, we performed Van
Westernsorp analysis. The questionnaire involved questions on the price points where the
respondent will find the product too cheap, bargain, expensive and too expensive. The results
of the analysis is shown below in the graph.

The following conclusisons can be drawn from the above graph:

18
  The area which lies right of the yellow area is complete no-go for most of the
respondents because the price seems to be too high for them so this area should be
avoided.
 The area which is left of the blue line should also be avoided because people can
question the quality the product because of price being too low.
 Area to the left of the red line is a preferable as people find this price range very good
and consider this as a great deal.
 The area right of the grey line and left of the yellow line shows that even though
people consider this price range expensive but are still willing to buy.
 The area within the deformed quadrilateral formed by the intersection of the four lines
gives the acceptable price range.
 The maximum possible range of prices that people can accept are deduced from the
two extreme left and right vertices i.e. where high and too low price lines meet, also
called as the point of marginal cheapness, and where low and too high price lines
meet, also called as the point of marginal expensiveness.
The price point at which maximum people feel that any higher would make it expensive (yet
acceptable) and any lower would make it cheap (yet acceptable), i.e. the highest point under
red (low) and yellow (high) lines or the lower vertex of the (deformed) “quadrilateral” is the
optimum price point.
Point of indifference: This is the point where maximum respondents felt that any price
higher than this price point will make the product too expensive and any price lesser than this
price price point will make the product too cheap to consider. This is the point where the
highest point under blue (too low) and yellow (too high) lines meet.
From the Van Westendorp analysis we deduced that the acceptable price range for the 1 Kg
Surf excel washing powder is from Rs 114 to Rs 142 and the optimum price point is Rs 124
and the Indifference point is Rs 120.
Current MRP per Kg ranges from Rs 115 on amazon to Rs 124 on Bigbasket and it is
available from Rs 112 on discounts on Bigbasket. The figures are appropriately in line with
the analysis i.e. the price points lie within the acceptable price range. (Amazon, n.d.) (Basket,
n.d.)
These price points deduced from the Van Westendorp analysis indicate the customer’s
willingness to pay based on brand’s perceived value, which includes the premium that brand
can charge.

19
We can conclude that the Brand has the capability to charge Rs 18 more than its current
MRP of Rs 124 as people.
BRAND LEVERAGABILITY
It is the strategy to use the reach of an existing brand name to help a company enter into a
product category that is new but related. The brands which have more awareness will have
more leverage to enter into new categories. It will help to launch products with the brand
names which have good leverage as it will result in lower costs. The products introduced
within the name of leveraged brands will sell more compared to products which are being
introduced with a new brand name in the initial phases as they will get a push with the name
of their parent brand.
To gauge the leveragability, survey respondents are asked to rate the appropriateness of the
brand to enter into a new category. We kept a scale of 1-5, 1 being the least appropriate, and
5 being the most appropriate. The responses obtained have been summarized and tabulated
below:

Leveragability (Surf Excel)

Category Average
Dishwash soap 4.35
Clothes 3.96
Shampoo 4.02
Bathing Soap 3.39
Toothpaste 3.43
Skin Care 2.9
Deodrant 1.96
Fashion apparels 1.7
Cosmetics 1.37

Some of the insights from the above table:

1. Respondents do not associate Surf Excel with product categories like Cosmetics, Fashion
apparels, Deodrant & Skin care.

2. Most of the respondents exhibit a positive attitude towards the entry of Surf Excel in the
Dishwash soap, Clothes & shampoo.

3. There are categories like bathing soap & toothpaste with an almost neutral score.

4. Respondents believe that Surf Excel can leverage its brand power in the Dishwash soap
category with maximum strength (Average: 4.35).

20
Appendix:
Survey Form

21
22
23
24
25
References:

1. https://www.hul.co.in/news/news-and-features/2012/our-journey.html
2. https://www.socialsamosa.com/2019/01/brand-saga-surf-excel-advertising-journey/
3. https://www.hul.co.in/brands/home-care/surf-excel.html
4. https://en.wikipedia.org/wiki/Surf_Excel
5. https://en.wikipedia.org/wiki/Ghari_Detergent
6. https://www.managementpedia.com/threads/hindustan-unilever-distribution-
strategy.201287/
7. (Amazon, n.d.)
8. (Basket, n.d.)

26