MARKETING STRATEGIES OF

FAIR AND LOVELY

Shreeya Shrestha
BIM Sec: B
Roll no:18(4426)

INTRODUCTION TO FMCG
INDUSTRY
FastMoving Consumer Goods(FMCG), also known as Consumer
Packaged Goods(CPG),are products that have aquick turnover, and
relatively low cost.
Consumers generally put less thought into the purchase of FMCG than they do
for other products.
Though the absolute profit made on FMCG products is relatively small, they
generally sell in large numbers and so the cumulative profit on such products
can be large.
FMCG industry is innovative, full of rich experience, reaches world wide,
peopleworking with FMCG may get frequent opportunity to travel meet new
culture, gets experience very quickly and chances to rise in status is much
easier.
Unlike other sectors FMCG shares float in a steady manner irrespective of
market dip world wide.
This TheFast Moving Consumer Goods (FMCG) industry in India is oneof the
largest sectors in the country and over the years has been growing at a very
steady pace.
The sector consists of consumer non-durable products which broadly consists,
personal care, householdcare and food & beverages.

INTRODUCTION OF FAIR AND LOVELY

Fair & Lovely developed in 1975, is the worlds first
fairness cream.
It contains no bleach or harmful ingredients. Instead, it
provides visible fairness in a safe and reversible
process.
In 2004, it was identified as a Super Brand.
Fair & Lovelys skin-lightening technology is known to
be the best in the world! However, this hasnt stopped
the brand from innovating further to pioneer the
development of cutting-edge fairness solutions. Fair &
Lovelys brand-essence of Re scripting Destiny has
played a decisive role in its noteworthy presence in over
30 countries.

MARKETING
STRATEGIES OF

FAIR & LOVELY

PRODUCT STRATEGY
Unilevers fair& lovely is the leading skin- lightening cream for
women in Nepal.
Unilever proudly states fair & lovely as the worldsNo.1 fairness
cream,
It redefines the route to fairness with an advance multi-vitamin
fairness nourishment formula.
Triple sunscreen system-protects from the suns darkening UVA
and UVB rays.
All antoin-activates the FAL vitamin system to give girls and
women radiant fairness
PRODUCTS: Fair & lovely Original, Fair & Lovely Ayurvedic
Balance, Fair & Lovely Multivitamin, Fair & Lovely Active Sun block,
Fair & Lovely Menz Active, Fair & Lovely Anti-Marks, Fair & Lovely
Winter Fairness, Fair & Lovely Max Fairness For Men, Fair & Lovely
Forever Glow For Ageless

PRICE STRATEGY
Currently low price strategy is being
followed by companies.

Affordability is determine by two factors

Income of consumer.
Price of the product & services
Factor influencing the price
Internal FactorsCost, Pricing Objective
External FactorsCustomer, Suppliers,
Competitors

PLACE STRATEGY
Place-is represented for market, rural
market being explored.
DISTRIBUTION NETWORK
UL products are distributed through a
network of 4,000 redistribution of stockiest
covering 6.3 million retail outlet reaching
the urban population, and about 250 million
rural consumer.
Its Easily available in any retail shop,
cosmetic outlets, chemist, etc.

PROMOTION STRATEGY
Advertising through TVC, print
media, hoardings. Fairness cream
constitutes 28% of total TVCs.
TV Campaign
Fairness Meter
Fair & Lovely Scholarship Programme
2007 on Reliance Mobile or R World (Aug
14 Sep 17, 45,000 Response)

PRODUCT LIFE
CYCLE

INTRODUCTION OF PLC
The product life cycle is a concept that
attempts to describe a products sales profits,
customers, competitors, and marketing
emphasis from its beginning until it is
removed from the market.
A Product Life cycle has four stages:
i.
ii.
iii.
iv.

Introduction Stage
Growth Stage
Maturity Stage
Declining Stage

Introduction Stage
Fair and Lovely is first introduced in this stage. The need for
immediate profit is not a pressure. The product should be
promoted to create awareness and develop a market for the
product. The impact on themarketing mixand strategy is as
follows:
The productbrandingandqualitylevel should be established
and intellectual property protection, such
aspatentsandtrademarksare obtained.
Pricing should be low penetration to build market share
Distribution should be selective untilconsumersshow
acceptance of the product.
Promotionshould be aimed at innovators and early adopters.
Marketingcommunications should seek to build product
awareness and educate potential consumers about the product.

Characteristics of Introduction stae

Slow sales growth rate

Intensive Promotion, communications
Penetration Pricing Strategy
Uncertain competitors reaction
Uncertain consumer reaction
Non-existence profit
Negative cash Flow

Growth Stage
Competitors are attracted into the market with very
similar offerings.
In the growth stage, the firm should seek to build
brand preference and increase market share.
Product quality should be maintained and additional
features and supportservicesmay be added.
Pricing should be maintained as the firm enjoys
increasingdemandwith little competition.
Distributionchannelsare added as demand
increases and customers accept the product.
Promotion should be aimed at a broader audience.

Characteristics of growth
stage

Rapid sales growth

Market acceptance
Price stabilization
Features stabilization
Profits started coming in
Brand building started
Competitors start building

Maturity Stage
Those products that survive the earlier stages tend to spend
longest in this phase.
At maturity, the strong growth in sales diminishes. Competition
may appear with similar products. The primary objective at this
point is to defend market share while maximizing profit.
Product features may be enhanced todifferentiatethe product
from that of competitors.
Pricing should be lower because of the new competition.
Distribution should be made more intensive, and incentives may
be offered to encourage preference over competing products.
Promotion should emphasizeproduct differentiation.

Characteristics of Maturity
stage

Lessen sales growth

Price reductions, promotions
Features added
Profits went down
Competitors introduced new products
Brand sustainability

Decline Stage
At this point, there is a downturn in the market. For example,
more innovative products are introduced or consumer tastes
have changed.
There should be intensepricecutting, and many more products
should be withdrawn from the market.
Profits can be improved by reducing marketing spending and
cost cutting.
As sales decline, the firm has several options:
i. Maintain the product, possibly rejuvenating it by adding new
features and finding new uses.
ii. Harvest the productreduce costs and continue to offer it,
possibly to a loyalnichesegment.
iii. Discontinue the product, liquidating remaininginventoryor
selling it to another firm that is willing to continue the product.

Characteristics of Decline
stage
Sales will decline
Phase our weak products
New products will meet the
satisfaction
Profits will erode
Communication expenses will be
stopped

Product Mix
Products of a company are called product mix.
All the products of Unilever including Fair and
Lovely is the product mix of Unilever company.
Product mix have four dimensions. They are:
i. Width : Number of different product lines carries by the
company.
ii. Length : Total Number of items in the product line.
iii. Depth : Number of version offered of each product in the
line.

iv. Consistency : Closely related the various product lines.

Unilever products

Consistency
Product Line
-1
Product Mix
Width
PERSONAL CARE

Product Line
-2
FOOD &
DRINKS

Product Mix Length

Soap

Produ
ct Mix
Depth

Cream

Toothpas
te

Lux

Shampoo

Clear

Ponds

Close up

Dove

Dove

Dove

Pepsode
nt

Lifebuoy

Lifebuoy

Fair
& Lovely

Product Line Length

Ice
cream

Cornett
o
Magnu
m

Tea

Lipton
Suprem
e

Product Line
Length

Product Line
Aproduct lineis a group ofproductsthat are
closely related to each other by function,
customer group, market, or price range
To improve or expand the product line following
strategies should be adopted by the company:
Explanation: Fair and Lovely should offer similar products
priced at a different level. This allows the company to reach as
many consumers as possible.
Application: Company should market its product line to the
consumers they wish to attract
Consideration: Company should develop a specific plan for the
product line. Consider past and future trends of the product.
Set goals for product sales, and work towards meeting those
goals.

Fair & Lovely : Product Lines

Fair &
Skin
Fair &
Fair &
Fair &

Lovely Anti Marks For Blemish-less Fair

Lovely Ayurvedic Balance
Lovely Multi Vitamin For Clear Fair Skin
Lovely Max Fairness For Men

Major Competitors

Cavin Kares Natural Fairever

GodrejsFairGlow
Emamis Naturally Fair
Emami's Fair and Handsome

Branding
Branding is the process involved in creating a unique name and
image for a product in the consumers mind mainly through
advertising campaigns with consistent theme.
Skin Lightening Creams are thepreferred mode ofSkincare in
almost all Asian countries, just as anti-aging creams are inEurope
and the USA.
Fair &Lovely, isone of themost trusted brand for young women
in Nepal(ranked 4. inEconomic Times survey of 180 top brands
in 2001 and2002 & ranked 7.in the Economic Times survey in
2004).
Fair & Lovely in the number one fairness brand in the GCC.

Brand Logo
Logo is the symbol or other small
design adopted by an organization to
identify the product .
Fair and Lovely has a simple logo i.e.
fair and lovely written in pink theme

Brand Positioning
Fair & Lovely could not be a commercial success if
itwasnotadvertised.Butitisnotbeing known would
not change the classstructure ofNepali society and
thehigh societal value it places lighter skin tones.
Positioned itself asthe cream that fulfilledones
dreams and desires.
Fair & Lovely has been maintaining its millions
ofyoungwomen/customerstrustandperceived value
towards brand and ruling the fairness cream market in
Nepal.

Line extension
Existing brand names are extended to
new forms, sizes and flavors of and
existing product category.
Fair and Lovely has extended its brand
line by introducing following products:
Fair & Lovely Fairness Cream-1978
Fair & Lovely AyurvedicFairnessCream-2001
Fair & Lovely Fairness Cream withextra
brightness -2003
Fair & Lovely MenzActive-2006

Packaging
Packaging is theart and technology ofenclosing or
protecting products for distribution, storage, sales
anduse.
The packaging of Fair and Lovely should achieve
following objectives:
i.
ii.
iii.
iv.
v.

Identify the brand

Convey descriptive and persuasive information
Facilitate product transportation and protection
Assist at home storage
Aid product consumption

. Attention to theproducts packagingwith all three

variants of Fair & Lovely multi vitamin, ayurvedic
balance andanti-marks - available indifferent colors
-reddish-pink, brown and blue.

Continued
Fair & Lovely is available in tubepacks
with the following ranges:
9gm
25gm
50gm
80gm,
125 gm

Labeling
Label is a part and parcel of a package. A
label provides written information about
the product.
Labelinghelps the buyers to understand
thenature of the product, its distinctive
features, its composition etc.
The label of fair and lovely have following
features:
i.
ii.
iii.
iv.

Describe the product

Grade the product
Promote the product
Legal requirements like printing MRP, green dots, etc.

TARGET MARKET SEGMENTING

DEMOGRAPHIC:
1) Young women aged 18-35
2) There is repeated evidence thatschoolgirls in the 1214years category widely use fairnesscreams.
3) The poor also are asignificant target market for Fair &
Lovely.HLL marketed theproduct in affordable small size
pouches to facilitate purchase by the poor.
4) Also men aged 15 to 45 and also school boys aged 12 to 14.
GEOGRAPHIC
1)Target is generally the south zone and then north and west.

UNIQUE SELLING
PROPOSITION
1)Powerofbeauty.
2)Fairnessin4weeks.
3)Maximumfairnesswiththepowerof
8.
4)Forflawlesslyfairskin.
5)Changeyourstory-FairnLovelyMe
nzActive

SWOT ANALYSIS
Strength
1. Fair & Lovely brand is Worlds first and largest Fairness
cream brand
2. Presence in 40 countries and a value of around Rs.6 billion
3. Line Extension to premium soap Fair and Lovely Soap
4. Enjoys high levels of Consumer Awareness for the brand
5. Excellent , top-of-the-mind name, and good distribution

. Weakness
1.Categorization of women on the basis of skin color, has led
to many issues with activists and human rights leading to
negative publicity
2.Extremely tough competition in skincare market

Continued.
Opportunity
1. Fair & Lovely Foundation which aims at
empowerment of women
2. Fair & Lovely Scholarship for underprivileged girls
3. Introduction of Menz Active fairness cream for Men

Threats
1. Several competitors in the market
2. Challenges to deal with consumer choice and buying
behavior
3. Legal issues often hamper the brand

Future perspective of Fair

And Lovely
Keep launching new products like the
launch of fair and Lovely Menz active
soon after the launch of Emami Fair
and Handsome.
Fair and Lovely has anadvantage of
having a good brand image and also
the backing ofUL.

CONCLUSION
Today Fair & Lovely is the market leader with 53%
market share but in the era of increasing competition,
erosion of market share is more a reality than mere
speculation. With products like Emamis Fair &
Handsome hitting out unexpectedly, Fair & Lovely
should be proactive and increase points of difference
with the competitors. Moving beyond the message of
fairness as beauty must be the center of its
marketing communication. The recommendations
provided would do just that, extending the core
message of the brand through the product and
communicating by its promotional strategies.

THANK YOU