IMC PLAN FOR WATER PURIFIER

Introduction

Internal Analysis

Firm’s Promotional Capabilities

The current marketing strategy for ganga water purifier is a push strategy, utilizing personal selling via a sales force with limited advertising to increase brand awareness. The current promotional mix involves periodic advertising in area newspapers, a yellow pages ad, distribution of flyers, door-to-door sales through sales agents, and telemarketing performed by sales agents. The current RO filter market is served quite well, through several methods of distribution and many options and products available to the consumer. Currently, 30% of end consumers purchased their home water treatment system from local water treatment dealers, 26% from a department or discount store and 25% from a home improvement centre.

Product/Service Analysis

The RO filter market can be described as fragmented. There are many competing Products in the marketplace and no one have more than 15% of the market share. Retailers, which sell to the end user, hold the power in the manufacturer – distributor – Retailer relationship as they have many competing products to choose from and typically Only carry a single brand of RO filter.

Major companies into this business are:

Eureka Fobs , Hull ,Ion exchange,Philips

Industry experts say that in India three types of water purifiers are being marketed now — ultra-violet based, reverse osmosis and resin based. The country’s largest water purifier maker Eureka Forbes’ Aquaguard is the market leader with 68 per cent in UV-based market.

In reverse osmosis (RO) as well the company enjoys 60 per cent share and Delhi-based Kent RO systems has 40 per cent share. RO based water purifiers are the most expensive section of the water purifier market and are priced at Rs 13,000 and above.Philips, on the other hand, which uses UV-based technology to purify water, has dropped its price to Rs 6,995 from the initial launch price of Rs 8,500. Industry sources say its struggle to establish itself in the market with lesser priced water purifiers by competitors has been difficult.Out of the 220 million households in India, only about 8 million use water purifiers. Both HUL and Eureka had test marketed their products in southern states before launching it nationally.

Product Description

Reverse Osmosis (RO) is a filtration process which runs drinking water containing dissolved solids through a nano-filtration membrane. The purified water then goes to a storage tank and most of the unwanted organic and inorganic compounds, sediment and other contaminants are flushed down the drain. This form of water treatment is one of the most effective methods for producing high quality drinking water available on the market today

Review of Past Promotional Programs

In reverse osmosis (RO) as well the company enjoys 60 per cent share and Delhi-based Kent RO systems has 40 per cent share. RO based water purifiers are the most expensive section of the water purifier market and are priced at Rs 13,000 and above.

Philips, on the other hand, which uses UV-based technology to purify water, has dropped its price to Rs 6,995 from the initial launch price of Rs 8,500. Industry sources say its struggle to establish itself in the market with lesser priced water purifiers by competitors has been difficult.

As HUL airs its TV campaigns on how using Pureit will give freedom from boiling water, Eureka Forbes has signed on celebrity Smriti Irani for communicating its benefits.

The past promotional programs involves periodic advertising in area newspapers, distribution of flyers, door-to-door sales through sales agents. The RO filter market is served quite well, through several methods of distribution and many options and products available to the consumer

External Analysis

Customer Analysis

Buyer Needs

Water is a major element required for human survival and thus clean, safe drinking water is a necessity for a healthy and safe lifestyle. In Indian society water safety has for the most part been taken for granted up to the last several years, but now due to industrial and environmental pollution consumer’s perceptions has changed. People concerned with the safety of drinking water now recognize a need to buy clean drinking water or to purify their own water. Forty-two percent of people use water treatment devices because they feel it makes their water safer.

Those who do not like the current taste of their water can be assumed to encompass the other element of consumer need. Forty-three percent of people use water treatment devices because they feel it makes their water taste better .

During the 2007 survey this figure grew from 48% of people being replaced by 60% of people use a filtration system for health-related issues.

Decision Type

Buying an RO system is an extensive decision due to the relatively substantial cost involved and the wide variety of competitive products on the market. Since most RO filters operate on the same principle of purifying water, the consumer would attempt to find value in quality, number of filtering stages, capacity of the system and ultimately price. Since a wide variety of choices exist personal selling plays an important role in convincing the consumer that a product holds higher merit and value than the competitor’s product.

SWOT Analysis