CASE STUDY: SAFFOLA

By Prasad Kulkarni Gogte Institute of technology, Udyambaag, Belgaum. pvkulkarni@git.edu

AREAS WHERE CASE STUDY CAN BE USED

Strategic Management Strategic Brand Management. Segmentation, Targeting and Positioning. Marketing communication

Prof Prasad Kulkarni, GIT, Belgaum

Marketing research

HISTORY OF MARICO
Marico was earlier known as Bombay Oil Industries Ltd. The major operating divisions of Marico were nature care and health care.

Prof Prasad Kulkarni, GIT, Belgaum

Parachute hair oil was the first branded coconut oil in the country. Saffola was launched way back in 1960

IMPORTANT FACTS

Product attributes of saffola: higher PuFA( poly saturated fatty acid)

Prof Prasad Kulkarni, GIT, Belgaum

SEGMENTATION, TARGETING AND POSITIONING

Urban dweller 45+ years male SEC A classification User had switched over to saffola after doctor

Prof Prasad Kulkarni, GIT, Belgaum

Recommendations. Cardiologists are used as key influencers

MARKETING COMMUNICATION
Year 2000: Advertisement campaign Duration ; 30seconds scene: Husband was shifted to hospital and wife looks with anxiety

Prof Prasad Kulkarni, GIT, Belgaum

End message: switch over to saffola to avoid heart risks. Saffola s hospital campaign and engaging with doctors

BRAND STRATEGIES
Brand extension: Saffola ( Kardi Oil) and Saffola Tasty( Safflower and corn oil blend). Brand image: expensive problem solution brand that did not taste well. Medicinl brand.

Prof Prasad Kulkarni, GIT, Belgaum

Brand repositioning strategy 1. Dont loose premium price from the market. 2. Brand had audit. 3. Repositioned as healthy living oil. Brand personality: detached and authorative

THE YEAR 2000 AND AFTER

Competition from sundrop and goldwinner

Prof Prasad Kulkarni, GIT, Belgaum

MARKETING RESEARCH
Qualitative research. Eight groups of homemakers Three cities

Prof Prasad Kulkarni, GIT, Belgaum

MR objective: understand the customer and the homemakers reactions to the brand, evaluate brands marketing mix, assesses competition, and develop positioning and overall brand strategy.

Outcomes of market research: 1. Saffola had a high recall 2. perceived healthy, refined light oil. 3. problem solution brand.

Prof Prasad Kulkarni, GIT, Belgaum

FEW PROBLEMS.
People considered Saffola as doctor prescribed vegetable oil. In few houses Saffola was used for heart patients only.

Prof Prasad Kulkarni, GIT, Belgaum

Saffola was priced premium. Sales of Saffola receded after taking back the campaign sheet se jeeena hai.