Lox plans to cater to all these customers. Beauty begins with Lox. “The strategy that is used by lever brother for their lox sunscreen is on specific “product Benefits strategy” as the lox sunscreen promotes “Sun Protection” benefit as well as “beauty” . Lox sunscreen revolves around the slogan that is:Lox Sunscreen is not considered as a new product. It is a re launch of the existing product Lox. This feature of the soap makes it different from the existing Lox soaps. Lox Sunscreen is being termed as a “Re launch of Lox Beauty Soap with a variant” by Lever brothers.
Lox already has a strong position in the soap market. Lull’s sunscreen target market s upper and upper-middle class For sunscreen Lox is using skimming pricing strategy. Lox sunscreen was the re launch of a variant, hence it should be publicized differently than all other Lox beauty soaps Introduction to Lever Brothers Pakistan Limited Milliner Group of Companies Lever Brothers is the largest consumer Products Company in Pakistan; it belongs to Milliner group of companies, which makes up one of the largest transnational in the world.
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Lever Brothers Pakistan Ltd. Was incorporated in Pakistan in 1948. The company markets almost 50 well known household brands, like Lipton, Surf, Vim, Supreme, LifeBuoy, Lox etc. Which record approximately RSI. 20 billion in sales? History Founded in 1897, Lever Brothers Pakistan Limited has provided superior products for millions of people throughout the world. Generations after generation of satisfied customers have continued to maintain Lever Brothers Pakistan Limiter’s reputation as an innovative manufacturer and marketer of family and health care products.
Today it is a multimillion-dollar company whose products are distributed in 140 countries worldwide. 110 years ago there was a person known as Lever who was a retarded person, people t the time manufactured soap and sell the soap on the streets, the color which they produced in was red. But lever came up with an idea to produce soap in yellow color. This soap was named “Sunlight”. As U. K. Has a rainy and cloudy weather the name sunlight was unique concept for them so Lever increased his production of soap and became household name throughout Europe.
Nun margarine was a company in Netherlands who saw the increase demand for Lever’s Soap in Europe so they merged with Lever. The new company which was formed was called “MILLINER”. There are two head offices, one in Netherlands and the other in U. K. The world has been divided into regions by “Milliner” company. The regions are LAKE region, CAME region, Europe region, Central America region and the U. S. Region. Pakistan comes under Central Asia and Middle East (CAME) region.
Vision Our purpose in Milliner is to meet the everyday needs of people everywhere – to anticipate the aspirations of our consumers and customers and to respond creatively and competitively with branded products and services, which raise the quality of life. Our deep roots in local cultures and markets around the world are our unparalleled inheritance and the foundation for our future growth. We will bring our wealth of knowledge and international expertise to the services of local consumers – a truly multi-local multinational.
Our long-term success requires a total commitment to exceptional standards of performance and productivity, to working together effectively and to a willingness to embrace new ideas and learn continuously. We believe that to succeed requires the highest standards tot corporate behavior towards our employees, consumers and their societies and world in which we live. This is Milliner’s road to sustainable, profitable growth for our business and long- ERM value creation for our shareholders and employees. PRODUCT PROFILE Lever Brothers Pakistan Limited manufactures and markets beverages, food and detergents and personal products.
The beverages division manufactures and distributes tea and coffee under the brand names “Lipton” and “Brooke Bond”. The food division manufactures edible fats, cooking oils and ice cream under the brand names “Polka, “Wall’s”, “Blue Band”, “Plant” and “Dale”. The detergents and personal products division manufactures and distributes soaps, shampoos and fabric and home care products under such brand names as “Surf”, “Vim”, “Lox” and “Clinic”. Its ultimate holding company is Milliner PL, in United Kingdom. Beverages accounted for 40% of 1999 revenues; detergents and personal products, 30% and food, 30%. Treated. Lox sunscreen was the re launch off variant, hence it should be publicized company markets almost 50 well known household brands, like Lipton, Sure, Vi We believe that to succeed requires the highest standards of corporate behavior This is Milliner’s road to sustainable, profitable growth n tort our business and long Lever Brothers and the Soap Business Shoemakers are frothing in niche categories. Soap makers are busy slicing away rotational sub-popular, popular and premium categories to create new and specialized niches within them.
The last few months have seen a fresh onslaught of brands like Fairgoer, Niagara, Lox Sunscreen, Lox Moisturizing and Savanna respectively on the platforms of fairness, skin revitalization, sunscreen, moisturizing and health HISTORY OF LOX Lox Soap came into existence in 1964. For the product’s advertising, the famous Hollywood Actress “Judy Garland” started as the very first model. She was starred as the lead role “Dorothy” in the famous kids’ movie “The Wizard of OZ”. Lox was launched with a concept of Glamour. Till now, that tradition has been kept alive.
Each new product of Lox is launched by taking a new actress as a model. The Lox team has kept it tradition alive all these years, and hence, the image of Lox is attributed to glamour and style. For this reason, Lox doesn’t diverge into informative advertising. In soap and detergent industry surface tension is one of the most important parameters. To increase the washing power, the surface tension of the washing solution should be as low as possible. Accordingly, the concentration at CM point should be as low as possible, in order to save soap, detergent material.
Lox occupies a large market share in the Pakistani soap market as well as the international arena. I clearly. T is the most widely used soap in Pakistan as the chart indicates It closest competitors in the soap industry are Lifebuoy and Safeguard but Lox leads them by quite a large percentage. Lox is the market leader due to the continuous innovations and changes to its product. Lox has been introducing new variants to the existing products now and then to attain customer satisfaction and retention. Lox was one of the first beauty soaps in the Pakistani market so that is also another reason for its market leadership.
Its quality is undeniably good which has helped it survive in the market while various other soaps have come and gone. Lox is beauty soap and in that regards, Reason, Palmolive, Tibet, Safeguard and Capri offer it competition. The new Lox, with the sunscreen formula, is targeted towards a different market segment as compared previously to previous Lox. It is a new product, as soap never had the sunscreen formula used previously and therefore, will help Lox remain on the top. Lox has always used aggressive advertising to capture its customers and has associated film actresses with the soap.
This gives it an edge as compared to other beauty soaps. Lox was the first to use this strategy of introducing film actresses in its ads that attracts its target market who see their ideals in the ad and prefer the soap. Lox is one of the quality products offered by Lever Brothers and is one of the highest revenue earners for Lever Brothers. In another survey conducted, males and females both were asked about their first choice regarding beauty and they pointed out “LOX” without any hesitation. Lifebuoy is next in number regarding sales but it does not have the image off beauty.
It is a aerobic soap although it has introduced Gold and other variations but they cannot change its image of a carbolic soap. Safeguard is slowly creeping up in sales and nearing Lox but Lox is still on the top. Safeguard also does not have the pure beauty soap image due to the reason that it first came out as an “Anti-Bacterial” soap and that image is still present in the minds of the customers. Capri is among the top 5 used beauty soaps but the main reason for its lagging behind Lox since a long period is due to their poor advertising.
Capri has not been able to produce ads over time to attract its customers. Its advertising is very weak as compared to Lox and therefore it has not been able to get to the top. Tibet was also a competitor to Lox sometimes back and had a price reduction also but quality is where Lox took away the game from Tibet. Tibet had also lack of good advertising. Lox made sure that Tibet gave them no tough time through its strategies. Imperial Leather soap is also high-quality soap but because of a premium price, it did not get much customer attention.
It is still present in the market but not preferred by much who go for Lox due to the adequate price and good quality in one soap. Lox has been able to attract the women successfully as compared to the other soaps. It shows only film actresses in its ads worldwide and women are attracted towards it and as women are the decision makers when FMC is bought for the household, therefore they prefer Lox for the household. In a survey conducted 1 year back, people were asked about their favorite ads regarding Fang’s and in the soaps category, people pointed out “Lox” with the Ream ad.
This goes to show the successful advertising by Lox. Lox has been there since a long time although much other soap like Lee Sync etc. Hammered away with time. Lever Brothers has a large number of quality products and Lox is surely among the best. Lever Brothers has made sure that wherever they work, be it in Pakistan or India or internationally, the Lox image is always present and they don’t seem to lose their way due to this. They adjust their ads and promotion according to the country served. Other soaps like Reason and Safeguard etc. Id not show much variations in their product and Lox introduced soaps for dry, oily and normal skins and now the Sunscreen formula, which has helped it live up to the customer’s expectations. Soaps like Reason made changes but they were not much considered by customers because they did not seem too different, while Lox kept on introducing completely different soaps as it passed along the years. Lox has also shown that to introduce new variants in its soaps, price is not much important. The prices for the Lox introduced over time were same and this shows the consistency in the product.
The other soaps kept on increasing and decreasing their prices but their quality changed accordingly. Lox has stuck on the same price since a long time and therefore has been attractive to users. This industry profile shows that Lox clearly is the market leader and is here to stay at the top and tackle its competitors effectively with quality promotion means and a quality product. SOOT ANALYSIS STRENGTHS I. Sunscreen Concept In Soap Industry Lox is the first brand to bring the sunscreen concept in soap industry.
Consumers have previously used sun blocks and lotions to protect their complexion and skin from the scorching heat and IV rays of sun. But incorporating sunscreen in soap has been a very innovative idea on part of lever brothers. Ii. First Movers Advantage Lox sunscreen also has the first mover advantage since it s the first brand to come up with the idea of incorporating sunscreen in a soap. Previously soaps had cleanser and moisturizer but this one is an entirely new area to enter into with respective to the soap industry. Iii.
Established Brand Lox besides having the first mover’s advantage also have its goodwill to fall back on and to give immense support to any new product it introduces in the market. Its reputation being very strong asset consumers would believe each new idea introduced by Lox as of good quality. Iv. Vast Market Experience Lox also has competitive advantage in the sense that it has been in the soap market for years. The customer knows the brands and the company knows and recognizes the customer’s need. Besides it has huge marketing experience of attracting customer to a new product it launches. . Convenience Sunscreen also has the advantage of convenience since a large segment of its target market would like to and needs to use sunscreen but the extra and expense and the hassle of putting it every time they go out keeps them from using it. With the advent of sunscreen in soap. Lox plans to cater to all these customers. WEAKNESS I. Lack Of Awareness First thing Lox needs to cater to is awareness. Most of the people in the middle and esp… Lower middle concept are unaware of the concept of sunscreen and how is it going to affect them. Ii.