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STRATEGIC BRAND
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MANAGEMENT
SANTOOR
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2/14/2010

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SANTOOR
Santoor is the flagship brand in the Wipro Consumer Care & Lighting
stable and the 3rd largest brand of soap in India in the popular segment of
the category. It is a soap that combines the goodness of natural
ingredients - Sandal, Turmeric and natural Skin Softeners. Santoor,
launched in 1985, was a result of careful targeting of the gap in the
popular soap segment offerings. By running the “mistaken identity” ad
campaign successfully for over two decades, Santoor captured an
important aspect of consumer psychology – attracted to and demanding
new promises, but for consistency when it comes brand image. The brand
has tried to blend traditional skin care therapies of using turmeric and
sandalwood in the Indian households and offered it to the general masses.
Submitted by:
It has carefully taken into account the cultural changes taking place within
the mindset of the Indian woman.
Anubhav Pande (142/45)
Santoor is one the top soap brands in India. At the all-India level, Santoor
Bhavna
continues to be the third largestGaule (157/45)
soap brand with a 7.5% value market
share in the first quarter of fiscal 2009-10. Santoor is now the number
one soap brand in SouthDeepika RajShare
India (Market (172/45)
of 15.1% by value). Santoor
notched up a market share of 15.1% (value terms) in South India in the
Pewekar
first quarter, according Rohanresearch
to market Subhash (262/45)
agency AC Nielsen’s figures.
This was achieved on the back of a strong distribution network and
communication in ruralShikha Tomar
areas. The theme(335/45)
of ‘ageless skin’, captured first
in a TV advertisement 20 years back, has remained constant over the
years. And the company intends to keep it that way as long as it’s
bringing the right results.

The main competitors of Santoor are: Lifebouy and Lux which are the top
2 soap brands, All-India wise. However, Santoor also competes with
various other soap brands which fall into the category of natural soaps,
such as Margo, Hamam, Medimix, Mysore Sandal, Rexona etc. The various
other competitors which have emerged recently are soap brands targeted
at the low-end customer segment, such as Godrej No.1, Breeze, Nima
Rose etc.
SWOT Analysis of Brand Santoor

Current Target Consumers

Santoor targets women in the age group of 25- 35. The brand targets
married women who generally shop for household goods like soap for the
whole family. Though the brand has kept its communication message as
the same over the years, it has evolved the style. The protagonists in the
advertisements have constantly evolved from a shy, demure housewife to
a confident and outgoing working woman. She is a woman who is shown
to be a successful woman and a good mother which resonates with the
upcoming trends of increase in working women in India. It also captures
the aspirations of many other women in India who might not be working
but handle their house and children well and want recognition and
appreciation for the same.

Today, there are various demographic changes taking place in the Indian
market. Consumers are becoming information savvy and more
demanding. There is a rise in per capita incomes and per capita
consumption. There is a rise in nuclear families, especially in urban areas.
Women are gaining more power in the household and working out of
home. All these changes call for constant evolution of brands so as to
keep up with the changing consumer preferences.

Expected changes in consumer preferences in future


Indian GDP is poised for growth in coming years (Macroeconomic forecast
produced by Oxford Economics projects Indian real GDP to grow at 7.3%).
Contrary to the popular belief, it will not be due to increase in population
but the increase in total household consumption will be due to the
increase in disposable income. Now, Santoor as a brand was positioned for
low and medium income bracket women. Since it is expected that Indian
households will be having higher capacity to spend, it means that the
group of consumer which has been a traditional Santoor buyer is expected
to shrink in size. Consumers with higher income may shift to other brands
moving higher up in the value chain. Traditional customers of Santoor
may shift to products like Dove, with an increase in their income. The
values offered by Santoor like good smell, advantageous for skin etc will
not be enough for the customers as they will look for more values out of
the product. Thus, costlier soaps like Dove which provides extra value
with higher moisturiser content will attract more customers despite of its
higher price. The other aspect of this increase in household consumption
will be the urban/rural market growth. According to Mckinsey Global
Institute research, geographically urban India will account for over two-
third of market growth. Since Santoor’s strength is in its rural distribution,
Santoor will not be able to grow hand in hand with the economy due to its
focus on rural market which will not grow at the same pace. It should be
also noted that India is going to witness an increase in number of working
women force. Thus, Santoor’s traditional customer segment of budget
conscious housewives is expected to shrink and therefore Santoor needs
to change its positioning to match the changes in Macro-Economic factors.

1. Increase in Rural demand

With increase in disposable incomes, growth in rural demand is expected


to increase because consumers are moving up towards premium
products. However, in the recent past there has not been much change in
the volume of premium soaps in proportion to economy soaps, because
increase in prices has led some consumers to look for cheaper
substitutes.

2. Increase in per capita consumption and expenditure

Soaps is a highly penetrated category, the challenge is not so much


against other brands, but to increase usage per person, especially in the
rural areas. While people in rural areas bathe as frequently as those in
urban, the former may not use soap with their bath. In future, it is
reasonable to expect that soap usage per capita will increase.

3. Increase in brand consciousness


The markets are constantly changing due to changing consumer demands
and rising awareness. Earlier, consumers down-traded for cheaper soaps
and experts believed that sub-popular category of soaps will grow.
However, today, the premium category has diminished as the gap in
quality between premium and popular soaps has narrowed. The
consumers of today want total value, i.e high quality, good brand and
reasonable prices. The real challenge before FMCG companies is to chip
away at the huge unorganized sector. Players need to introduce
affordable products that meet the health, hygiene and safety concerns as
also the aspirational needs of the Indian consumer. They can continue to
leverage the positioning of the brand for younger looking skin and explore
the possibilities of foraying into some other skincare categories and
variants.

4. Increased usage of other variants of body cleansers

There is a high possibility of an innovation in the industry which can come


up with reasonably priced products such as body shower gels, body liquid
soaps etc. Though there are products available in these categories, they
are mostly targeted at premium segment. With rising income, the
consumption of these products will increase in urban areas. Product
innovations such sachets for body gels might also lure the rural
population. Thus, a breakthrough in innovation might even endanger the
soap industry in future and thus there is a high need for these companies
to be in sync with latest R&D and diversify into other categories in time.

Maintaining Brand Relevance

With changing times, it is necessary for companies to keep their brands


alive by constant innovation.

1. Innovation in brand communication

Through the year, although the theme of Santoor’s advertising has


remained constant, the Santoor woman has evolved. While the Indian
women's mindset is evolving and breaking free from the traditional
mindset, the brand has effectively maintained its relevance with the
changing consumer. The protagonist has changed from a woman at a
wedding ceremony to a woman in an aerobics class. This shows how the
brand has effectively maintained its relevance with the changing
consumer. It is important for the brand to keep on innovating its
communication style, channel etc to reach and relate to the target
audience. In future, it might need to come up with new ideas for
communication of the brand as number of budget conscious women
decrease with growing per capita income and increasing number of
working women.

2. Innovation in products

The brand needs to constantly innovate its product and extend into
various other related categories. Santoor has already started on this path
by introducing various variants of Santoor and different types of SKUs to
suit the usage pattern of different types of consumers. Santoor recently
launched Santoor White with two variants along with a small SKU priced at
only Rs. 5 to compete with Lux white. Santoor is also entering into new
product categories such as deodorant, handwash, bodywash and talc. The
company also needs to keep on reinventing the packaging, design, color
etc. to keep the brand new, fresh and active.

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