Vizag Case Solution Essay Example

started using fewer bars along with detergent powders as there is an increase (an increase of 80%) in the number of people who were using only powder which shows that people were more satisfied with the use of only concentrate powders. How costs effective are concentrate powder?

From Exhibit 11, and assuming that both wash baskets (Ariel buyer vs Surf Buyer) give the same quantity & quality of cloth washing, the difference in Wash basket (gm) is considered to be there because concentrate gives better washing quality in less quantity. Also, there is an increase in the population using only concentrates and it might get increased with time, i. e. people leaving detergent bars usage along with powders. Keeping this in mind, we can safely conclude that concentrates are more cost effective.

What is the impact on Unilever, other players? Surf is getting cannibalized with the increase in usage of concentrates, especially its own product TPR as it is gaining more loyalty than its counterpart Ariel. HLL’s Strategy? HLL may go for market skimming strategy for its products Surf and TPR to get off the competitors as they are currently market leaders. Also, HLL should intensify his research efforts to develop a product better than Ariel for gaining that edge too.