DULUX TILESHIELD: RELAUNCHING A BRAND

Submitted by:
Abira Imran
Bilal Murtaza
Hamza Ali Abbasi
Labeeb Ahmed
Sameer Ali
Pricing Structure

• pricing of 18ltr base reaps higher profits due to high margins

(7 to 8%)
• does not reflect the absolute profit for the 20ltr colored can
• tints used to make 20ltr emulsions varies in the tints volume
Problem? used
• 20ltr can: Sunrise Tile Shield uses 2.4ltr of tint
Asian Paint uses 1.12 ltr of tint
• the cost difference effects the back margins lowering the
absolute margin the dealer earns on some shades
Pricing Structure

Why • lack of practical feedback regarding the excess use of tint to

require some shades
Unidentified?

• carry out lab research to prove this practical variation

• subsequently prices to be adjusted accordingly to account
for the excess input cost the dealers incur
Solution? • does not lower the absolute margins more than the
competitor (3 to 4%) but does lower it
Consumer Segmentation
• AzkoNobel has two paint categories; • launch the metallic shade in the
interior wall paints and exterior paints; next peak season

Metallic Shade Range

Targeting Customers

both can be used for different value • As a separate category and not as a
propositions to target customers roof tile category in the exterior
• Market segmentation based on income paints division
levels demographically, geographic • the attempt had already failed in
factors, and housing types, the past when undertaken by
psychographically. Indigo Paints
• consumer segments such that the brand • The range should be very
positioning is purpose oriented and differentiated and more consumer
highlights the difference between the insights should be gathered before
premium sub brand and the regular the brand is positioned
sub brand • The marketing mix must be very
• also highlighted via housing types or aligned for the new launch.
monsoon seasons
 Change Positioning - TileShield
• TileShield is positioned as a premium brand with higher margins, but is consistently losing its
differentiating factor since the last two years
• With no changes to the marketing mix, consumers may shift to competing brands with lower prices because
of their failure to understand how TileShield is better than the competitors
• Positioning Point:
• use properties associated with performance in the paint industry to highlight exactly what TileShield promises when it
comes to ‘performance’ i.e anti-fungal properties, long lasting paint, coverage of the colour
• bring in a new edition of the roof tile paint to completely remove the fear of bad lots in the minds of the consumers
• use local terms to differentiate between paint categories better suited to each monsoon season or the need for
TileShield in local terms

• Consumer research to identify:

• how TileShield is perceived by its consumers and how other competing brands are perceived by them
• the need for TileShield to position itself as both a performance oriented and an aesthetically appealing
brand
Brand Relaunch
• If relaunched, TileShield should use the consumer insights to reposition the brand in a
completely differentiated manner
• A new promotional mix must be prepared in a very aligned manner with the value chain in sync
with the changes
• Premium should be charged but the product communications should also back this premium
charge
• However, if TileShield is only advertised on television with the right communication image, it
will not need to relaunch itself.. The advertising would be give enough information to the
customers.
Dilemmas and Decisions
Existing Value
Proposition
 Quick implementation
 Adjusting formula may help r
reduce price
 International competition with
better quality
 Might be unsustainable
 Market share had already fallen
Relaunch TileShield
 Price would be redefined
 Desired differentiation achieved
 New and improved product mix
elements
 4 to 6 month wait
WeatherShield Equity
 WeatherShield was doing great, was
advertised on television
 The tile paint could be launched as
WeatherShield Tiles or simply as a
different sub-brand of WeatherShield
 Consumer research will be required
 Unwilling to spend additional
promotional money
 Keeping both brand names likely to
confuse customers
 Double SKUs – SCM issues
 4 to 6 month wait
 Might have negative impact on
WeatherShield