Post launch evaluation of ABC* Sunscreen lotion

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Report on the Market Visit :

Markets Visited: Jadavpur Market, Baghajatin Market, Vijaygarh Market, Kalakar Street Market,

Garia Station Market.Key Stats:●Total No. of shops visited: 181●Total No of shops having sunscreen lotion: 73●Total No. of shops having ABC* Sunscreen lotion: 67●No of shops reordering for ABC* sunscreen lotion: 14

* Please Note : This survey is for a leading FMCG company referred to as “ABC” henceforth, the actual name of the company has been masked to avoid any ethical concerns. The mentioned figures/numbers are also indicative and has no resemblance to the original figures/numbers.

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% of types of shops visited:

A Grade shops: 6 B Grade shops: 10 C Grade shops: 165 1%

6%

93%

A Grade shops

B Grade shops

C Grade shops

Competitors Policies:

Retailers margin offered by the various competitors are as follows: Lakme: 10% to 15% on MRP depending on the category of the shop and location. Lotus: 17% to 25% on MRP depending on the purchase quantity and shop’s category. Ayur: 16.67% to 18% on MRP depending on off take and shop’s category.

Amount paid by the different companies for shelf “Display” to a “B” category shop is:1. HUL: Rs 600 per month.2. P&G: Rs 400 per month.3. J&J: Rs 1500 per month4. ITC: Rs. 500 per month5. Cavin Care: Rs. 500 per month6. ABC* Sunscreen Lotion: Rs 300 per month

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 Key Findings:

1. Overall demand of the ABC* Sunscreen Lotion seemed to be less in the visited markets.

Reasons:● There is less awareness among people about ABC* Sunscreen Lotion.● Neither the consumers nor the retailers are able to recollect the Ad properly.● Most of the peoples are not willing to try out a newer product. Recommendations:● People should be made aware by road promotions, mall promotions, hoardings on

the road, newspaper Ads, college and office promotions.● FaceBook and other social media can also be used for promoting the product.● Reach out to people through community promotions and Door to Door

promotions and make them use the sample at least once.

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Key Findings:(contd……..)

2. There is no visibility of the Blister pack (Rs 15 / 15 ml Pack) in the visited markets.

Reasons:●SISS are not aware of the Blister Pack.●As the Pack was made available in a jar initially, most of the shopkeepers have

stored it somewhere in the back of the shop.●Demand for the small pack was also less initially, so the retailers are now least

interested to keep the smaller pack. Recommendations:●The SISS should be made aware of the Blister pack.●The SISS can be instructed to make the Blister pack available in each and

every shop in the market.●Blister pack will increase the visibility of the ABC* Sunscreen Lotion as a

whole, which will lead to more impulse buying by the consumers.

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Key Findings:(contd……..)

3. Consumer buying of the ABC* Sunscreen Lotion seems to be much less compared to its prime competitors.

Reasons:●The prime competitors already have their respective consumer base and

most of them are very much brand loyal.●Some people are yet to accept ABC* as a Sunscreen Lotion.●The strategies followed by the prime competitors, Like :-

Lotus is giving the retailers a higher margin of 20% to 25% on MRP, so the retailers are more favored towards the products of Lotus. Even they have a wide range of sun protection products like: Sunscreen with varied SPF content, Sun Block Facewash etc. So, they have positioned themselves as being a expert in the sun protection category. Besides this they also bank on being herbal .

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Key Findings:(contd……..)

● Lakme has a wide range of Sunscreen’s with varied SPF contents and the consumer’s of Lakme perceive it as a high value product, so they are not willing to move to other brands.

●Ayur was priced at Rs.65 before and now it is priced at Rs.80. So, it has a lower price and an existing consumer base. Also it is giving a margin of 17% on MRP to the retailer which is comparable to the 18% for ABC* Sunscreen Lotion.

Recommendations:●The ABC* Sunscreen Lotion needs to be differentiated from the existing

sunscreens by the use of promotion Channels.●The benefits and the differentiating factor should be communicated to the

consumers through advertising in a way so that it gets registered in the minds of the consumer

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Key Findings:(contd……..)

4. Retailers are not willing to stock the ABC* sunscreen lotion and those who already have are not willing to reorder.

Reasons:●Retailers are not satisfied with the demand.●Retailer margin for ABC* sunscreen and other sunscreens are similar, so the

retailers are not willing to push more for the ABC* sunscreen.●Retailers are not satisfied with the amount they are paid for the “Displays”. Recommendations:●The retailer margins can be increased for a short period of time to gain the

retailers attention and capture the market.●The packaging can be made more attractive.●Glow Sign boards can be used in the shops.

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Key Findings:(contd……..)

5. Low SPF content is acting as a deterrent for ABC* sunscreen lotion

Reasons:●Most of the other popular products are high in SPF content and the general

conception is that a product with more SPF content will give better protection from the heat and rays of the Sun.

Recommendations:●People should be told about the actual purpose of SPF and how it works.

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Planning and Execution:-Agency Planning: - Buffer promotersLeaflets, T shirt and wet sampling ensured.Document for Visual Briefing and solution for objection handling.Promoter contact details.Extensive Selection Procedure/ CriteriaOutcomes:-Flow of activities in Door to Door promotion was smooth.Sales: Total Activity duration: 20 days Total Sales Quantity: 1080Heavy rain had an negative impact on sales.

Report on Door to Door Promotion:

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Door to Door promotion contd……

●Total No. of areas covered: 35● No. of Man days: 357●Total number of calls made: 14163 ●Total 100 ml Sales made during the activity: 1080●Average number of calls made per man day: 39.67●Average number of 100 ml units sold per man day: 3.03●Two agencies were hired for carrying out Door to Door activity in

South and North Kolkata respectively

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Problems faced during the Activity:

1. Promoters were not able to present the information properly to the customers. The group of promoters was not constant; they kept on changing day to day, so whenever there was any new promoter she had some issues with the briefing.Reason: The poor social and Economic condition of the promoters.Action taken: They were monitored and corrected on the spot itself, wherever possible.

2. Promoters were paid the same amount of money initially irrespective of the sales they were making. So, they were not working hard to sale the product.Reason: They took their daily wage as fixed and as the target was too high in their view they were not motivated initially.Action Taken: An incentive plan was introduced which stated that the promoters will be paid according to the number of units they will be able to sell.

Problems faced during the Activity(contd…)

3. Some customers were not happy with the initial offer ( ABC* prickly heat cool talc with ABC* Sunscreen Lotion).Action Taken: Dual offer was introduced, People who wanted the gift had to pay Rs.90 for ABC* Sunscreen Lotion and people who didn’t wanted the gift can take it at a cash discount of Rs 15 that is he/she can take it at Rs. 75.

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Recommendations on Door to door:

● People should be communicated about the benefits of using this product through more promotional activities. Like: College and office promotions or community promotions. In community or college promotion ABC* can organise a beauty contest in the name of ABC* Sunscreen lotion which will give the product much more publicity

● The promoters are paid Rs. 130 per day whereas ABC* is paying the agency Rs. 350 per day for each promoter. As, the promoters are paid very less, the rate of absenteeism is very high and they also do not feel motivated at all. ABC* can have its own group of promoters. This will save cost in the long run as well as ensure quality of the promoters. This will also mean that there will be a consistent group of promoters

● There should be incentives for the promoters who are performing better. This will keep them motivated and even the other non-performing promoters will try to catch up with them.So a differential pay slab should be used to pay the promoters as well as the agencies

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Details of the consumers Surveyed:

●Total number of respondents were: 139●Number of respondents who were aware of ABC* Sunscreen Lotion: 99 ●Number of respondents who are currently using ABC* Sunscreen Lotion: 79 ●Types of Respondents:

1. Category Users: 1122. Non Category Users: 27

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Respondents Age Analysis:MEAN AGE 32.8939394S.D of AGE 11.3679891Lowest AGE 11Highest AGE 70

Effect on consumers AFTER Door to Door PROMOTIONs:

BrandsAwareness Current Usage Ad_awareness

Percentage

In Number

PercentageIn

NumberPercentage

In Number

ABC* Sunscreen lotion 71.22% 99 56.83% 79 66.91% 93

Ayur Sunscreen Products Range

19.42% 27 2.16% 3 16.55% 23

Everyuth Sun Block Lotion

7.91% 11 0.72% 1 7.91% 11

Garnier Light Spf 15 23.74% 33 5.76% 8 28.78% 40

Himalaya Sunscreen Lotion

2.88% 4 0.72% 1 5.76% 8

Lakme 78.42% 109 23.74% 33 69.78% 97

Lotus Safesun 41.01% 57 6.47% 9 29.50% 41

Neutrogena Ultra Sheer

2.16% 3 0.72% 1 5.04% 7

Vaseline Healthy White

18.71% 26 2.88% 4 17.27% 24

Vlcc 2.16% 3 0.72% 1 0.72% 1

Others 56.83% 79 25.90% 36 25.18% 3517

Base: 139. Average age all consumers is 33 Includes wet samplers + buyersTotal numbers of buyers is 79

Place: KolkataDate: 4th June to 2nd july 2011

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What factors Respondents Recalled from the TV Advertisement: (Base is 94)

Factors In numbers

In (%)

Kathy ( Celebrity ) 67 71.28%

sea beach 12 12.77%

Sun protection 11 11.70%

Glow 22 23.40%

non-oily / non sticky3 3.19%

cooling effect 1 1.06%

UV protection 3 3.19%

Herbal 5 5.32%

SPF-15 4 4.26%

Sun/Sun Rays3 3.19%

Others(Like song, Anti Darkening, Umbrella)

6 6.38%

Inferences:● Kathy ( Celebrity)is overriding the

message of the advertisement● The differentiating factor that is

Glow is not getting registered much in the minds of the customers.

Recommendation:● The Advertisement can be

tweaked and made more functional and informative

Note: Respondents gave more than 1

answers.

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Brand Switching from other Brands to ABC* Sunscreen Lotion: (BASE is 79)

Brands Switches to ABC* Sunscreen Lotion

IN NUMNBERS

IN PERCENTAGES

LAKME 25 31.65%LOTUS 4 5.06%AYUR 5 6.33%GARNIER 7 8.86%VASELINE HEALTHY WHITE 4 5.06%OTHERS 20 25.32%NON USERS 17 21.52%

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Maximum number of switching has happened from Lakme .Even ABC* Sunscreen Lotion was able to recruit new users into the category.

Product Experience Analyzed :(Base is 79)Attributes YES NO

Non Oily: 72 91.14% 7 8.86%

Non Sticky: 76 96.20% 3 3.80%

Cooling Effect:

59 74.68% 20 25.32%

Felt Glow: 32 40.51% 47 59.49%

Felt Sweating:

40 50.63% 39 49.37%

Absorption: 57 72.15% 22 27.85%

Fragrance: 68 86.08% 11 13.92%

Features to be Enhanced:● Around 60% people feel that

they didn’t got any glow.● Sweating is a problem for the

users which is nearly 51%.

Inferences:● People seemed to be satisfied

with the overall performance of ABC*Sunscreen Lotion.

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Peoples Liking on wet sampling: (Base is 109)Peoples likings

In numbers In percentages

Generally Satisfied19 17.43%

Cooling effect21 19.27%

non-oily+non sticky33 30.28%

Glow13 11.93%

Soothing Fragrance32 29. 36%

Cooling effect5 4.59%

Moisturises skin/Absorbs quickly

15 13.76%

Long Staying Freshness4 3.67%

Less Sweat6 5.50%

Soft and Smooth 13 11.93%

Other reasons (Like anti darkening, matty finish etc)

3 2.75%

Inferences: The non oily/ non sticky

and the soothing fragrance are the features which people liked the most.

Area of Opportunity: This product relatively

sweat less than other available sunscreens. So if sweating can be reduced a bit more then it can be huge selling factor

NOTE: Respondents gave more

than one answers

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What People Disliked on Wet Sampling:(Base is 26)Peoples Disliking

In numbers

InPercentages

Generally dissatisfied16 61.54%

Burning sensation to the skin

2 7.69%

pimples1 3.85%

Sweats a lot2 7.69%

oily/ sticky4 15.38%

Rashes/Itching2 7.69%

Others1 3.85%

Inferences: People mainly seemed generally

dissatisfied without knowing the exact reason for it

Disliking on the other factors were quite less in number

Probable Reason: As they are Loyal to their

brands. So, they felt that their existing brand is better than anything else due to long term use.

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Reasons influencing the buying Decision: (Base is 79)Reasons In

NumbersIn Percentages

Liked after demonstration

7 8.43%

for sun protection11 13.25%

ABC* Brand Name

13 15.66%

Trust on ABC*9 10.84%

Wanted to try out a newer product

14 16.87%

Advertisement5 6.02%

Door to Door Promotions

15 18.07%

Others9 10.84%

Inferences:Reasons for Buying seems quite scattered from the available data.

But, still the Brand equity and Trust on the company put together which comes to around 26% seems to be one of the most determining factors.

And promotions as a whole which includes Door to Door Promotions, Liked after demonstration and TV Ad is the other dominant factor which is around 33%.

Novelty is also an important factor which influenced the buying decision.

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Reasons for not buying ABC* Sunscreen Lotion: (Base is 60)

Reasons In Numbers In Percentages

Brand Loyal24 40.00%

Does not use any Sunscreen

10 16.67%

Didn’t had money

4 6.67%

Already bought sunscreen

11 18.33%

Sensitive Skin/ other skin problems

4 6.67%

others

9 15.00%

Inferences: Brand Loyal seemed to be the

prime reason for not buying. And the other prime reason for not

buying being people have already bought Sunscreen for this summer.

Probable Reasons: Due to delayed start of the Door to

Door promotions many people have already bought sunscreen.

Heavy Monsoons was also a spoiling factor for the sales of ABC* Sunscreen Lotion

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Purchase Intention: (Base is 139)

Purchaser ‘s Type

In (%) In Number

Willing to Purchase

56.12% 78.00

Intention of first time Purchase

11.51% 16.00

Repeat Purchase 78.48% 62.00

Inference:Number of people who are

willing to purchase is quite high which is an encouraging sign

Intention of repeat purchase is nearly 79% which shows that the product has good potential.

Area of Opportunity: Intention for re use of the

product is high.

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Recommendations:-

1. Cross Advertising can be done with ABC* Winter Lotion. On the back side of the winter lotion it can be written like “Try out our new ABC* Sunscreen Lotion”.

2. Free sampling of the 15ml pack can be done with ABC* Prickly heat powder in summer or with magazines like Sananda etc at the start of next summer around Feb end.

3. The Advertisement should be made more informational.4. College and Office Promotions, Like organizing a beauty contest can also help

in increasing the awareness.5. SISS should be given separate targets for different Products, so that they focus

on the sales of each product in a more efficient way. 6. SPC of the ABC* Sunscreen Lotion should be removed because it will save cost.

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7.5% conversion

Wet Sampling PurchaseRepeat

Purchase68% conversion

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Thanks for your time….