Marketing

Management

Saharsh Maheshwari
MBA19138
Shashank Srivastava
MBA19145
Manish Jaiswal MBA19117
Malay Verma MBA19115
Arpit Kulkarni MBA19113
Animesh MBA19129
Rahul Choudhury MBA19130
Saffola Cooking Oil -
The Repositioning
Journey

2
 Marico
 Marico is an Indian consumer goods company providing consumer
products and services in the areas of Health and Beauty based in Mumbai.
 Founded in 1991
 Revenue in 2016 - $890 million
 Marico Limited is one of India's leading consumer products companies
operating in the beauty and wellness space
 Saffola - Overview
• Flagship brand of Marico Ltd.
• Launched as edible oil in 1960
• Early 1990s –target consumers are male of 45+ years
• In 1991-Saffola healthy heart foundation proved a path breaking marketing
effort.
• Cardiologists were specially informed as part of marketing strategy to make
them aware about the benefits of the product.
• Despite the difference in taste, the brand became the choice for the group
of people as it provides them sense of security
4
 COMMUNICATING THE “HEALTH” PROPOSITION

• First mover
• Created a “healthy-oils” category
• Garnered good sales and commanded a
premium as a “healthy heart” brand
• Marketing team projected it
as a therapy for the heart
• Adopted a unique marketing strategy, involved
doctors
• Had a fair share of very loyal consumers

5
 Challenges of the new century

• Sales begun to stagnate

• Growing competition and market in the
“health oil” segment
• Very strong perception of Saffola as a
prescription brand
• Appealed to a narrow segment of heart
patients
• A market research ensued to study how
consumers view Saffola as a brand
 Findings of the Survey

• Problem – Solving Brand

• Higher PuFA (poly unsaturated

fatty acid) used in marketing

efforts
• Consumers basically urban
dwellers above 45.
• Heart Patients forming the chunk
of customers base.
• Costly and to be taken on
doctors recommendation
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 Current Kapferer’s Prism

Relatonship
• Saviour • Scientfic

Culture
• Providing soluton • Problem solver
• Protectve • Fear inducing

8
 Desired Kapferer’s Prism

Relatonship
• Heathy
• Scientfic

Culture
• Happy
• Proactve care • Health conscious
• Protectve • Family values
• Fulfilling

9
 Repositioning for
growth
•The objective was to broaden the
franchise without losing the price
premium that the brand
commanded
•Reposition itself as brand for healthy
living, rather than just for a health
heart
•Tie ups with sports clubs, health clubs
and gyms
•Tie ups with subject matter
experts
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 OUTCOMES

•Initially 15% growth in sales

•Later sales started to dip again

•Largely growth came from within the

existing user base
• Previous brand association was too strong

•Marketing campaign failed

•Target audience were not clearly defined

 Role of Integrated Marketing Communication –
“Sehat Se Jeena Hai” Campaign – Saffola
Nutriblend

Here with the help of IMC Marico tried to reposition the Saffola brand as a oil for
Healthy living which is essential for everyone and not only for the peoples
related to heart disease

Saffola tried to portray itself as an oil for all, i.e. it tried to

build a perception of not just an oil to be consumed by heart
patients only, in families

Hence they come with a new product “Saffola

Neutriblend” and new campaign “Sehat Se Jeena
Hai” so as to make clear the customers that you need
saffola if you want to live a healthy life
 Saffola Nutriblend

• It was another feather in the cap as initially is was able to drive

sales and continued its efforts to broad base its consumer franchise
for Saffola
• It targeted Health conscious families in the middle income to
higher income group
• It positioned it self as a brand for the health of entire family at a
low cost. Specifically increasing health consciousness and was
aimed at young children to senior citizens
• Saffola experienced the growth of about 15% but, later detailed
analysis showed that the sales came from the existing user base,
as they wanted a new variant
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 New Campaign - Back to drawing
board
• Transformation from Healthy Heart (namely
Heart attacks,hospitals,doctors) to Healthy
Living (stamina, overall feel-good factor)
• Targeted new demographic segment primarily
women or couple, group age 25-45 years and
living in metros.
• Introduced sub brand “Saffola Gold” – Product
related to expertise of the parent brand Saffola
with a promise of intangible emotional benefits
meant for a new generation of consumers
• Discontinued “Saffola Nutriblend”
• Decided to employ “360- degree marketing
approach” 14
 Role of Integrated Marketing Communication
–“Kal Se” Campaign – Saffola Gold
- Failure of Sehat Se Jeena Hai Campaign made it clear that it is not possible
to detach Saffola from Heart connection

Here with the help of IMC Marico tried to reposition the Saffola brand as a oil for
Pro Healthy Lifestyle which is essential targeted to a new demographic segment

It comprised of:
Women, Couples in age group 25-45 years living in metros
Busy executives with packed lives, busy schedules
Because: This group has basic health consciousness hence
the connection of brand with heart was shown with cognitive
meaning.
 STP Analysis of the Saffola Products

Saffola Saffola NutriBlend Saffola Gold

Segmentation 45+ years of age 25-40 years of age 25-40 years of age
Targeting Heart patients Entire Family Couples living in metros
Busy Executives
Heath Conscious people
Positioning Heart Therapeutic Proactive Health Best heart care oil
Healthy living First step to healthy heart
Uncertainty Ahead
Current Market Scenario for Edible
Food Oils
OUR RECOMMENDATIONS
Change in Ad Campaign:

• Highlighting the qualities of Safflower Oil

like - grown without pesticides
• Ad cultivating more family values to appeal to the emotional
quotient
• Could add the taste factor by increasing the corn oil content.
It can also be improved by effective R&D work
• Can be used in Cookery shows
• Could suggest recipes which are tasty and healthy on the
packets