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Competitor Analysis Brand Name: Lux Logo

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COMPETITOR ANALYSIS
Brand Name: Lux
Logo:

Character: Glamour
Slogan: Beauty begin with Lux
Brand Positioning:
The company offers quality at an affordable price with high branding, which ultimately helps to position
the
product
in
the buyers mind
as
the
best
quality
beauty
soap.
The market share of the company in the beauty soap industry is somewhere around 43%.

Target Market:
Lux targets u r b a n a n d s u b u r b a n u p p e r m i d d l e a n d m i d d l e c l a s s p e o p l e w h o a r e
t h e s e c o n d h i g h e s t population of segment of the country. From the segmentation of customer
according to SEC they target category A, B and C, because they are assumed to be financially well-off
and can afford to buy LUX.
Product:
LUX is produced in Pakistan from imported raw materials like sodium soap, glycerol and different
extracts according to flavors, coming from Unilever plants situated abroad. LUX is offered in Pakistan in
six different varieties which are:

LUX Energizing Honey


LUX Golden Glow
LUX Nature Pure
LUX Orchid Touch
LUX Almond Delight
LUX Aqua Sparkle

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Taking into account the convenience of its customers, the company manufactures all SKUs of LUX in
three different sizes, 40gm, 80gm and 120gm.
Price:
Prices of Lux are almost equal to its competitors. Beauty soap is a product with a vulnerable
demand in Pakistan. A change in price has a high risk of creating price war among the rivals
which will eventually cause a loss of profit.
Place:
Unilever Pakistan Ltd. has a huge distribution channel for LUX all over the country as its
sales reach more than 10 million pieces a year. The company has six huge warehouses, one in each
division of Pakistan. Even though LUX targets the urban and sub urban middle and upper
middle class people they are distributing their products all over Pakistan because of an
increase in demand of its product to all segments of the population.
Promotion:
Unilever Pakistan undertakes huge promotional activities to promote LUX which has topped the beauty
soap industry of Pakistan. It spends almost 20% to 25% of its Net Proceeds from Sales (NPC) of LUX for
promotional activities for LUX. Its certain annual promotional campaigns like LUX Channel Superstar
and LUX Channel Annual Cinema Awards has made the product a part of the glamour world.
Unilever Pakistan Ltd
spends
a huge amount
of money for
promoting
L U X t h r o u g h T V commercials, newspaper advertisements and billboards. Moreover it
also undertakes small promotional campaigns at different schools, colleges, universities and
recreational parks with winners of its Zonal Beauty Contests.
Market Share:
The beauty soap industry in Pakistan consists of only seven major producers.
U n i l e v e r Pakistan Ltd is operating in the industry with its world famous brand LUX. Out of these giant
companies Unilever Pakistan Ltd is the market leader with a share of around 43%. Other companies
in the industry are not as big as Unilever Pakistan Ltd but they are posing threat to the
company by a tendency of a gradual increase in their market share. Kohinoor Chemicals
which is operating with the brand name Tibet and possess a significant share in that segment which is
the largest population group in Pakistan.

Advertising:
Pakistani models including Reema Khan, Meera, Aaminah Haq, Babra sharif and various other leading
models and actresses have been "Lux models" from time to time. Lux remains the leading soap brand in
Pakistan, representing the stylish class of Pakistan. Things started with a TV show called Lux Style Ki
Duniya and now it is associated with the country's leading models and actors taking part in the
annual Lux Style Awards every year. Ali Zafar the famous Pakistani Singer was the first male model for
Lux followed by famous actor Fawwad Khan.

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