A Project Report on LUX

PREFACE
Marketing should not be looked upon in a vacuum or in isolation. It is an essence taking a view of the whole business organization and its ultimate objective concern for marketing must penetrate all areas of the enterprise. Market survey in todays competitive world is a must for every organization. This project is a study of market potential of Lux. The rational behind this particular study is to find out the present market scenario of various brands & to find out the corporate need and perception. It was a pleasurable experience to conduct a research on behalf of Lux pertaining to the study of the Beauty. Conclusion and there by recommendation has been arrived at by proper and justified interpretation of the result derived from the above said analytical tools and techniques.

ACKNOWLEDGEMENT
Preparing a project of this nature is an arduous task and I was fortunate enough to get support from a large number o persons. I wish to express my deep sense of gratitude to 1

A Project Report on LUX

all those who generously helped in successful completion of this report by sharing their invaluable time and knowledge. It is my proud and previledge to express my deep regards to Respected , Head of Department Dr.Pramesh Gautam, Shri Chaitainya Kaushik Department of Business Management , Swami Vivekanand Institute of Technology, College Sagar for allowing me to undertake this project. I feel extremely exhilarated to have completed this project under the able and inspiring guidance of Shri Chaitainya Kaushik He rendered me all possible help me guidance while reviewing the manuscript in finalising the report. I also extend my deep regards to my teachers , family members , friends and all those whose encouragement has infused courage in me to complete to work successfully.

(RISHI KUMAR SEN) B.B.A IST Semester

A Project Report on LUX

DELCLARATION BY THE CANDIDATE

Date : I declare that the project report titled " LUX " on Market Segmentation is nay own work conducted under the supervision of Shri Chaitainiya Kaushik Department of Business Management , Swami Vivekanand Institute of Technology, College Sagar To the best of my knowledge the report does not contain any work , which has been submitted for the award of any degree , anywhere.

(RISHI KUMAR SEN) B.B.A IST Semester

A Project Report on LUX

CERTIFICATE
The project report titled " LUX " been prepared by Mr. Rishi Kumar Sen BBA Ind Semester , under the guidance and supervision of Shri Chaitnaiya Kaushik for the partial fulfillment of the Degree of B.B.A.

Signature of the Supervisor

Signature of the Head of the Department

Signature of the Examiner

CONTENTS
TOPIC TITLE 1. Preface PAGE NO.

A Project Report on LUX

2. 3. 4. 5. 6. 7. 8. 9.
10 11 12 13 14 15

Acknowledgement Declaration of the Candidate Certificate Introduction of Lux History of Lux Marketing Segmentation Swot Profile of Lux Scope of the Study Limitations Research Methodology Data Analysis & Interpretation Conclusion Bibliography Questionaire

Introduction:
Understanding perceptions of channel members and consumers regarding sales promotion activities enhances the effectiveness of these activities. Widespread usage of sales promotion activities in Fast Moving Consumer Goods (FMCG) sector makes it imperative that manufacturers take into account channel member and consumer perceptions before planning such programmes. In this paper, an attempt has been made to examine the nature of sales promotion
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A Project Report on LUX activities in toilet soap category in India, study retailer perceptions with respect to these activities and also get an insight into consumer perceptions of these activities. Our findings indicate that with respect to the nature of the schemes, premiums (free gifts) were found to be the most frequently used in both premium and popular toilet soap category, followed by price offs. Retailers perceived price offs to have relatively greater impact compared to any other forms of sales promotion. In line with the retailers perceptions, the findings of consumer perceptions indicated that price off was the most preferred type of sales promotion. Retailers stated that role of word of mouth and television advertising was very important in providing information inputs to the consumers regarding sales promotion activities. This perception of retailers was supported by the consumer unaided recall of sales promotion schemes which were widely advertised. As the retailer interacts and observes consumers more frequently and closely than the manufacturer, it would be useful for the companies to incorporate perceptions while planning sales promotion strategies. All the above researches have focused on price promotions and their response. Our study though exploratory has considered perceptions for price as well as non-price promotions in toilet soap category. The reasons for the study were:
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The widespread use of sales promotions in toilet soap

category.
Historically, whenever there was a downward trend in

growth, sales promotion activities took the front seat of promotional mix. Companies planned these activities with inward looking view hence it was felt that it would be useful to understand the perceptions of consumers and retailers regarding sales promotion activities to improve the effectiveness of these activities.

Hindustan Unilever Limited:

In the summer of 1888, visitors to the Kolkata harbor noticed crates full of Sunlight soap bars, embossed with the words "Made in England by Lever Brothers". With it began an era of marketing branded Fast Moving Consumer Goods (FMCG). Soon after, followed Lifebuoy in 1895 and other famous brands like Pears, Luxand Vim. Vanaspati was launched in 1918 and the famous Dalda brand came to the market in 1937.In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). These three companies merged to form HLL in November 1956; HLL offered 10% of its equity to the

A Project Report on LUX Indian public, being the first among the foreign subsidiaries to do so. Unilever now holds 51.55% equity in the company. The rest of the shareholding is distributed among about 380,000 individual shareholders and financial institutions. The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an international acquisition. The erstwhile Lipton's links with India were forged in 1898. Unilever acquired Lipton in 1972 and in 1977 Lipton Tea (India) Limited was incorporated. Pond's (India) Limited had been present in India since 1947. It joined the Unilever fold through an international acquisition of Chesebrough Pond's USA in 1986. Since the very early years, HLL has vigorously responded to the stimulus of economic growth. The growth process has been accompanied by judicious diversification, always in line with Indian opinions and aspirations. The liberalization of the Indian economy, started in 1991, clearly marked an inflexion in HLL's and the Group's growth curve. Removal of the regulatory framework allowed the

A Project Report on LUX company to explore every single product and opportunity segment, without any constraints on production capacity. Simultaneously, deregulation permitted alliances,

acquisitions and mergers. In one of the most visible and talked about events of India's corporate history, the erstwhile Tata Oil Mills Company (TOMCO) merged with HLL, effective from April 1, 1993. In 1995, HLL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme Lever Limited, to market Lakme's market-leading cosmetics and other appropriate products of both the companies. Subsequently in 1998, Lakme Limited sold its brands to HLL and divested its 50% stake in the joint venture to the company. HLL formed a 50:50 joint venture with the US-based Kimberly Clark Corporation in 1994 - Kimberly-Clark Lever Ltd, which markets Huggies Diapers and Kotex Sanitary Pads. HLL has also set up a subsidiary in Nepal, Nepal Lever Limited (NLL), and its factory represents the largest manufacturing investment in the Himalayan kingdom. The NLL factory manufactures HLL's products like Soaps, Detergents and Personal Products both for the domestic market and exports to India. The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired
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A Project Report on LUX Kothari General Foods, with significant interests in Instant Coffee. In 1993, it acquired the Kissan business from the UB Group and the Dollops Ice-cream business from Cadbury India. As a measure of backward integration, Tea Estates and Doom Dooma, two plantation companies of Unilever, were merged with Brooke Bond. Then in July 1993, Brooke Bond India and Lipton India merged to form Brooke Bond Lipton India Limited (BBLIL), enabling greater focus and ensuring synergy in the traditional Beverages business. 1994 witnessed BBLIL launching the Wall's range of Frozen Desserts. By the end of the year, the company entered into a strategic alliance with the Kwality Ice-cream Group families and in 1995 the Milk food 100% Ice-cream marketing and distribution rights too were acquired. Finally, BBLIL merged with HLL, with effect from January 1, 1996. The internal restructuring culminated in the merger of Pond's (India) Limited (PIL) with HLL in 1998. The two companies had significant overlaps in Personal Products, Specialty Chemicals and Exports businesses, besides a common distribution system since 1993 for Personal Products. The two also had a common management pool and a technology base. The amalgamation was done to ensure for the Group, benefits from scale economies both in
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A Project Report on LUX domestic categories. In January 2000, in a historic step, the government decided to award 74 per cent equity in Modern Foods to HLL, thereby beginning the divestment of government equity in public sector undertakings (PSU) to private sector partners. HLL's entry into Bread is a strategic extension of the company's wheat business. In 2002, HLL acquired the government's remaining stake in Modern Foods. In 2003, HLL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the Amalgam Group of Companies, a leader in value added Marine Products exports. and export required markets for and enable it to fund new

investments

aggressively

building

History
Luxwas launched in India in 1929. The first bar of Luxwas made in India and sold for a princely sum of two annas in 1934. From the
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A Project Report on LUX very first advertisement in 1929 featuring Leela Chitnis, the gorgeous faces of the silver screen have come out in the open with their beauty secret Beauty Soap. Popularly known as the lux of film stars, Lux has been a favorite with generations of users for the experience of sensuous, Beauty Soapurious bathing. Since its launch in India, Luxhas offered a range of soaps in different colours and fragrances. They have each, however, offered the same benefit of beautiful skin. Desirable product sensorial, especially its world class fragrances and nourishing ingredients, experience. But Luxbeing the market leader has evolved along with the changing needs of its consumers. The late 1980s saw the emergence of a premium segment in the soap category a new consumer set whose beauty and bathing needs began to evolve. In 1989, to tap into this segment, Luxlaunched a range of premium soaps to suit their different skin types. have made the Luxbath a pleasurable

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LuxVariants:
In the country since 1929 and endorsed by popular film stars, Luxis the biggest brand in the soap category. LuxToilet Soap, in the popular segment, offers its consumers a range of soaps enriched with the goodness of a variety of nourishing ingredients Almond Oil, Orchid Extracts, Milk Cream, Fruit Extracts, Saffron, range Sandalwood offers Oil and Honey. to The its Luxpremium specialized skincare

consumers in the form of LuxInternational. It also includes LuxBody Wash for superior bathing benefits keeping in step with the changing needs of the Luxconsumer. In addition to these variants Lux has come up with a few more variants to celebrate its 75 years in business. The LuxCelebration Range is a set of three exclusive variantsAromatic Glow and Chocolate Seduction and LuxWhite Spa body wash containing exotic ingredients, never seen in the Indian market before.

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LUX : COMPETITORS
NIRMA:
Nirma Since the early nineties, Nirma has been challenging the hegemony of Hindustan Lever, which holds over 54 per cent share of the toilet soaps market. Nirma has so far managed to snatch 9 per cent share of market. Almost as an answer to the general perception of low quality, Nirma had invested in the latest soap manufacturing plant in the world the first of its kind in India. While leading manufacturers like HLL and Godrej continue to rely on batch manufacturing, Nirma had sourced the latest Italian technology from Binacchi and CMB and set up a finish line that produces 500 toilet soaps per minute, wrapped and carton sealed for dispatch.

Nirma Bath Soap:

Toilet soap market in India was dominated by a very few MNCs which could monopolistically price their product. In 1992, sensing
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A Project Report on LUX a strong need to expand the market through Penetrative Pricing, Nirma entered this market with the launch of Nirma Bath Soap, which is a carbolic (Red) soap. Although the carbolic soap segment is on decline, Nirma Bath has generated larger volumes each year. Packed in a red color wrapper and available in 75 gram and 150 gram pack sizes, this soap has a Total Fatty Matter (TFM) of 60 %.

Nirma Beauty Soap:

With its market Nirma Soap promise introduced in the year to offer Nirma 1992. Better Products, Better Value, Better Living, Beauty

Available in three different variants and pack sizes, this soap has a TFM content of 70%. Due to its admirable perfume and a higher TFM content, this brand, within a short span of five years, had achieved the status of the third largest selling toilet soap brand and still continues its outstanding performance

Nirma Lime Fresh Soap:

This product had created a sensational marketing history in the Indian Toilet soaps market, when it was launched in 1997. Seventeen million packs of Nirma Lime Fresh soap
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A Project Report on LUX were sold in the very first month of its soft launch. Packed in a poly coated 75 gm carton, which is printed on the worlds best Cerruti 8-colour printing machine, this soap is available in green colour. With a lime aroma that tingles in ones sensory buds for a long time, this soap contains 80% TFM. The product launch of Nirma Lime Fresh had been extremely successful, being ranked as the Seventh Most Successful Brand Launch for the year 1998, as ranked by the Business Standard Marketing Derby, 1998. (as featured in The Strategist Quarterly, July-September 1998).

Nima Rose:
The remarkable and phenomenal market response received by Nima Rose soap within just two months of its launch once again proved the merits of Nirmas commitment towards its consumers. Nima Rose soap has got an exceptionally soft rose fragrance which remains around body for a long time even after bath. The high TFM content of this product allows a consumer to have pleasant bath. This brand had carved a niche in its segment by achieving leadership position just within two months of its launch. It is available in 100g and 150g pack sizes.

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A Project Report on LUX

Nima Sandal:
Over the period, Indian toilet soap market has fragmented & has seen emergence of prominent floral fragrance segments as Sandal, Rose, Jasmine, etc. Nima Sandal is a one of such product in floral segment. This toilet soap has 80% TFM content, with rich & exotic fragrance. It promises benefits of Sandal oil & Turmeric powder. It is a premium product from Nima stable and is available in 100g and 150g packs. The company has expanding into other segments of the fragmented five lakh tonne soap market. It launched Nirma Luxin the premium segment. Nirma Luxcarried a MRP price tag of Rs 7 and was sold at Rs 6, while Levers Luxsold for Rs 8. Imitating Levers time-tested strategy, Nirma used actress Sonali Bendre in its advertising. Today, Nirma Luxsells whopping 45,000 tonnes, making it the3rd largest soap brand after Luxand Lifebuoy. When Lever made an assault on Nirma Luxwith its Breeze, the Patels quickly hit back at Levers freshness plank. Nirma Lime Fresh was positioned against Levers Liril Lime Fresh, but while Liril sold for Rs 12.50, Nirma Lime Fresh sold for Rs 8.

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Breaking away from tradition, Nirma introduced a new soap brand, Nima Lime, in the key markets of Gujarat and Maharashtra. The launch was significant because it was the first time since the company's inception that Nirma had chosen to move away from its umbrella branding strategy by adopting a new brand name. With a wrapper price of Rs 6.50 and a total fatty matter (TFM) content of 70 per cent, Nima Lime Fresh was aimed at the popular segment of the toilet soaps market. This is Nirma's fourth brand launch in the toilet soaps market. It marked its foray in the early nineties by launching Nirma luxto take on Lever's best selling brand; Beauty Soap. Nirma followed it up with Nirma Premium, Nirma Lime Fresh.

GODREJ:
Godrej FMCG Consumer market with Products leadership Ltd. in (GCPL) is a major player in the Indian personal, hair, household and fabric care segments. The company employs 950 people and has three state-of-the-art manufacturing facilities at Malanpur (M.P.) Guwahati (Assam) and Silvassa (U.T.).

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A Project Report on LUX Godrej is among the largest marketer of toilet soaps in the country with leading brands such as CINTHOL, FAIRGLOW, and GODREJNO 1. Their FAIRGLOW brand, India's first Fairness soap, has created marketing history as one of the most successful innovation. Market share in Toilet soaps grows to 8.0% in FY 2004-05 from 6.8% in FY 2003-04. All three Power brands have begun to perform strongly. However, GCPL is a relatively small player compared to HLL, in toilet soaps, with a market share of around 8 per cent. Once the archrival of HLL, it now occupies the number three rank, after HLL (54% market share) and Nirma (9% market share).

Godrej No.1:
Godrej No.1 Luxstands for True Natural Beauty. Godrej No.1 is available in five variants enriched with natural ingredients, specially formulated to cater to special skin types. Sandal, Rose, Jasmine, Natural and Ayurvedic packed with the goodness of natural ingredients .

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Fairglow :
The Godrej Fair Glow fairness soap contains a powerful fairness ingredient ' Natural Oxy-G ', which makes you fairer by reducing the dark melanin without changing the skin's natural balance. In addition, it also removes blemishes to give you a clear, glowing complexion. Godrej Fair Glow Soap was India's first and is the largest selling fairness soap. It helps you become fairer in a convenient way, simply through a daily bath. It is a quality Grade 1 fairness product having 76% TFM (Total Fatty Matter). It has a pleasant fragrance and is white in colour.

Cinthol lime fresh:

With the extracts of real lime, Cinthol Lime Fresh provides deep cleansing along with active freshness and vitality. This makes for an invigorating bath that kick starts and gets you ready for the day. The soap has an excellent long-lasting lime fragrance that keeps you feeling fresh throughout the day. With TFM 76% this Grade1 soap is available in 50g, 75g and 125g.

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WIPRO
Wipro Consumer Care is yet another principal player enjoying a five per cent market share. After lying dormant for a decade, Wipro Consumer Care promises moving into top gear. Wipro has three important brands of soap in its portfolio: Santoor, Milk and Roses, Chandrika.

Santoor Soap:
The magic of Sandal & Turmeric comes together in Santoor a soap that nourishes your skin with Sandal and Turmeric to make you look much younger. Santoor offered a combination of sandal and turmeric. Wipro later introduced a new variant of Santoor - a sandal and besan variant. The new variant offered the combined benefits of sandal and besan. Santoor's market share is around three per cent. But its low market share, the company argues, has to be seen in the context of its regional presence. This, an outcome of limited resources, happened around mid-1990s, as the first round of revival began. Around this time, the company took a conscious decision to follow a state-oriented strategy.

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Santoor Chandan
A Premium soap manufactured with extracts of Sandalwood oil, Santoor Chandan has a strong lingering discerning customers. fragrance and is a favourite of

Milk & Roses soap

The nourishment of milk and the softness of roses - Milk&Roses gives you glowing skin that puts even jewellery to shame! Available in milky white and glowing pink.

Chandrika
The worlds first Ayurvedic soap brings you the goodness of nature to give you healthy and glowing skin. Chandrika, the 65-year-old brand, now marketed by Wipro Consumer Care and Lighting, sports contemporary packaging, a new shape and has many new additions to the host of Ayurvedic ingredients it is made of.

OTHERS Colgate-Palmolive (India) Ltd. The marketer of personal care products, offers ultra modern line of Transparent Palmolive Natural
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A Project Report on LUX skincare soaps. Palmolive has been the pioneer in

introducing soaps for different skin types (example Palmolive Extra Care for Dry Skin, for Oily Skin and for Normal Skin). Its latest range is a combination of moisturizing glycerin, essential oils and a mixture of premium natural herbs and flowers. It is available in two variants Relaxing and Soothing. Long-lasting and refreshing, the floral fragrance is aimed at making the user feel cared-for and looked-after. The price is Rs.17 for a 100-gm cake.

Reckitt Benckiser :
A niche player in the Indian soap market owns the well known brand Dettol. It had launched a new product - Dettol Extra Soap. The Dettol Extra Soap is an extension of the company's existing range of soaps under Dettol brand. It has a formulation that provides Dettol protection and also contains moisturizes that prevent skin dryness. The soap has a pleasant new fragrance and a convenient saddle shape, making it easy to hold. A 75 g bar is priced at Rs.15.

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MARKET SEGMENTATION
PRODUCT
A product is anything that can be offered to a market to satisfy a need or want.Products that are marketed include physical goods, services, experiences, events, persons, places, properties, organizations, information and ideas. Product Classification Marketers have traditionally classified products on the basis of characteristics: durability, tangibility, and use. LUXis a Tangible, Non Durable Good on the basis of this classification. Consumer Goods Classification The vast array of goods consumers can buy can be classified on the basis of shopping habits. Convenience Goods: The consumer purchases such goods frequently, immediately and with a minimum of effort. Shopping Goods: Are goods that the consumer, in the process of selection and purchase characteristically compares on the bases of suitability, quality, price and style.

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A Project Report on LUX Specialty Goods: Have unique characteristics or brand identification for which a sufficient number of buyers are willing to make a special purchasing effort. Unsought Goods: Are those the consumer does not know about or does not normally think of buying LUXand other soaps fall into the category of Convenience Good Product Life Cycle LUXBeauty Bar is in the maturity stage of its life cycle whereas the LUXBodywash is in the growth stage.

Product Life Cycle:

LUXBeauty Bar is in the maturity stage of its life cycle whereas the LUXBodywash is in the growth stage.

LUXBody

LUXBeauty Wash Bar 25

A Project Report on LUX

LUXBeauty Soap- Form, Features, Style:

With icons of beauty endorsing the brand, the offerings made by Luxhave always been superior and have always led the market, setting benchmarks for competition. Luxhas beauty offerings in two of the four market segments popular and premium, spanning the needs of varied consumers. LuxToilet Soap in the popular segment has in the past four years offered its consumers a range of soaps enriched with the goodness of a variety of nourishing ingredients rose extracts, almond oil, milk cream, fruit extracts and honey which are known to harbour the secrets of incredibly perfect skin. At the upper end of the market is the premium range which continues to offer specialised skincare to its consumers in the form of International Lux a range of moisturising, deep cleansing and sunscreen soaps. Keeping in tune with the changing times it has also launched LuxBody Wash which offers superior bathing benefits.

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A Project Report on LUX To establish the presence of nourishing ingredients in the new Beauty Soap, a unique concept, ingredients you can see in the soap, was born. A novel metallic substrate packaging beautifully accepted showcased the ingredients perfumes and its globally the ingredient-linked heightened

sensorial experience. Each of the soaps in the range has milk cream, with the active ingredients of rose extracts, sandal saffron, almond oil and fruit extracts. These create an experience in pampering indulgence and Beauty Soapury designed to bring out the star in every woman. This is the first time in the Indian chapter of the brand that the beauty bar variant was being differentiated on the basis of its ingredients rather than its perfume and colours. Though LuxInternational, a premium variant of the toilet soap, launched in 1989, is differentiated on the basis of its ingredients, the popular version, LuxBeauty Bar was always projected as a pure and mild solution to soft and smooth skin.

LuxVariants
In the country since 1929 and endorsed by popular film stars, Luxis the biggest brand in the soap category. LuxToilet Soap, in the popular segment, offers its consumers a range of

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A Project Report on LUX soaps enriched with the goodness of a variety of nourishing ingredients Almond Oil, Orchid Extracts, Milk Cream, Fruit Extracts, Saffron, range Sandalwood offers Oil and Honey. to The its Luxpremium specialized skincare

consumers in the form of LuxInternational. It also includes LuxBody Wash for superior bathing benefits keeping in step with the changing needs of the Luxconsumer In addition to these variants Luxhas come up with a few more variants to celebrate its 75 years in business.

SWOT ANALYSIS OF LUX

STRENGTHS
Strong Market Research (door to door sampling is done once a year in Urban and Rural areas) Many variants (Almond Oil, Orchid Extracts, Milk Cream, Fruit Extracts, Saffron, Sandalwood Oil, and Honey to name a few) Strong sales and distribution network backed by HLL Strong brand image Positioning focuses on the attractive beauty segment

Dynamically continuous innovation of the product and brand rejuvenation new variants (Aromatic Glow and Chocolate Seduction and LuxWhite Spa body wash) and
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A Project Report on LUX innovative promotions (22 carat gold coin promotion Chance Hai) Perceived to have high value for money (strong brand promotion but relatively lower price which is a winning combination in the popular segment)

Though it is in popular segment, it is having mass appeal/market presence across all segments (15% of the soap market captured by Lux(sales / volume)

Unique advantage of having access to resources and assets of HLL

Scope of the Study

The geographical scope of the study was restricted to Mumbai due to time and resource constraints. The study being exploratory in nature, the sample size was restricted to 80 consumers (mostly student group) and 20 retailers. Focus being mainly on in-depth probing, the generalizations drawn are only indicative and not conclusive.
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Limitations of the Study

Response biasness could be one of the limitations. The sample chosen may not be the true representative of the whole population. As the research was exploratory in nature, it was not possible to study the accurate phenomenon of the fact.

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RESEARH Methodology:
In order to address the above questions an exploratory study was conducted. The idea was to probe and get deeper insight into sales promotion scenario of Lux and to tap perceptions of retailers and consumers. In order to address above mentioned objectives (i) Study of secondary sources was carried out, (ii) (iii) Responses of retailers were taken using structured Structured questionnaire was designed to seek questionnaire and consumer responses. Convenience sampling was used for both retailers as well as consumer studies. Twenty retailers ranging from small

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A Project Report on LUX kirana store to big provision stores were approached. All the retailers were located in South Mumbai Area. The respondents for consumer study were mostly students and consumers found as per convenience in the market. The total respondents were 80 in number. Data analysis is done using software package like MS-EXCEL.

Abstract:
The origins of personal cleanliness date back to prehistoric times. Since water is essential for life, the earliest people lived near water and knew something about its cleansing properties - at least that it rinsed mud off their hands. A soap-like material found in clay cylinders during the excavation of ancient Babylon is evidence that soap making was known as early as 2800 B.C. Inscriptions on the cylinders say that fats were boiled with ashes, which is a method of making soap, but do not refer to the purpose of the "soap." Such materials were later used as hair styling aids. Soap got its name, according to an ancient Roman legend, from Mount Sapo, where animals were sacrificed. Rain washed a mixture of melted animal fat, or tallow, and wood ashes down into the clay soil along the Tiber River. Women found that this clay mixture made their wash cleaner with much less effort. Some of the early instances of commercial

manufacturing of soap are:

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A Project Report on LUX In Britain references began to appear in the literature from about 1000AD, and in 1192 the monk Richard of Devizes referred to the number of soap makers in Bristol and the unpleasant smells which their activities produced A century later soap making was reported in Coventry. Other early centers of production included York and Hull. In London a 15th century "sopehouse" was reported in Bishopsgate, with other sites at Cheapside, where there existed Soper's Lane (later renamed Queen Street), and by the Thames at Blackfriars Andrew pears. In 1789, he commenced production of a transparent soap at a factory in Wells Street, off Oxford Street and became hugely successful.

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DATA ANALYSIS & INTERPRETATION

(1)Sales Promotion Schemes Offered On Beauty Soap

S a le s P r o m o tio n 4 0 3 5 3 0 2 5 P E R C E N T A2 0 E G 1 5 1 0 5 0

sc h e m e s

P r ic e o ff P r o d u c t a sh C C r o ss P r iz e s B u n d l i n gR e f u n d r o m o t i o n P S C H E M E S

The primary analysis found that Price off is the best sales promotion schemes offered on Lux(40% of the retailers agreed on this). Product Bundling was the next best with 30% of the retailers in favour of the same.

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(2)NORMAL

DURATION

OF

SALES

PROMOTION

SCHEMES
60 50 40 30 20 10 0
15 Days 1 Month 1 Month 3 Month More than - 3 months

60%

Duration

25% 15%

Theprimary analysis found that 1 month 3 month is the normal accepted duration of sales promotion schemes (60% of the retailers agreed on this). More than 3 months was the next best with 25% of the retailers in favour of the same
(3)HOW OFTEN SALES PROMOTION SCHEMES ARE OFFERED ON BEAUTY SOAP

F req u en cy o f S ch em es O f f ered

6 m o n - t 1h sy e a r 3 -6 M o n t h s L ess t h a n 3 m o n t h s

5% 2 0% 75 %

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The primary analysis found that Less than 3 months is the general perceived frequency for sales promotion schemes offered on Lux(75% of the retailers agreed on this). 3 months 6 months was the next best with 20% of the retailers in favour of the same.

(4)AFFECT

ON

SALES

OF

LUXDUE

TO

SALES

PROMOTION SCHEMES

A ffe c t o n S a le s
1 0 0 8 0 6 0 4 0 2 0 0 7 5 % S a le s

1 5

% 1 0 % E ffe c t

I n c r e a s e a n t s a Ny o C in S a le s

The primary analysis found that sales promotion schemes offered on Luxcaused an Increase in sales (75% of the retailers agreed on that). Cant say was the next best opinion with 15% of the retailers in favour of the same.

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(5)COMMUNICATION SCHEMES o M
8 7 6 5 4 3 2

OF

SALES

PROMOTION

d e o f c o m m u n i c a ti o n fo r p r o m o ti o n s c h e m e s

0 0 0 4 5 % 0 0 25 % 0 20 % 1 0 % 0 10 0 T h r o u g h l e s T h r o u gT hh r o u g hT h r o u g h S a R e p r e s e n t w thi vo el e s a lPe rr isn t E l e c t r o n i c a M e d ia M e d ia

The primary analysis found that Wholesalers were the best medium of communication of sales promotion schemes (45% of the retailers agreed on that). Sales representatives was the next best with 25% of the retailers in favour of the same
(6) LEVEL OF SERVICING DURING SALES PROMOTION - COMPARISION WITH COMPETITOR
O n -e t o p s s h o p ?

6 0 4 0 2 0 0

4 5 %

3 5 % 1 0% 1 0 %

S u p e r i o r S i m i l a r &I n f e r i o r S& u p e r i o r & m o r e m o r e & l e s s m o r e F r e q u e n tF r e q u e n t F tr e q u e n t F r e q u e n

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A Project Report on LUX The primary analysis found that the level of servicing during sales promotion vis--vis competitors was Superior and more frequent (45% of the retailers agreed on that). Similar and more frequent was the next best with 35% of the retailers in favour of the same.

(8)AFFECT OF SALES PROMOTION SCHEMES ON DIFFERENT AGE GROUP

A f f e c tS o fl e s a 9 0 8 0 7 0 6 0 5 0 4 0 3 0 2 0 1 0 0 P r o m o t io n

The primary analysis found that 26-45 by age group were the most affected the sales promotion (55% of retailers agreed on that). 1625 age group was

55% 30% 15 % 1 25 -6 2 -4 5 6 4 -6 0 6

A g e

g r o u p

the next best with 30% of the retailers in favour of the same

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A Project Report on LUX

(9)PROBLEMS

FACED

DURING
7 0 6 0 5 0 4 0 3 0 2 0 1 0 0

&

AFTER

SALES
F a c e d

P r o b le m s

4 5 %

4 5 %

1 0%

H a n d lin g S P r o b l e m t o c ok u t

Im p r o p e r in f o r m a ti o n

PROMOTION SCHEMES
The primary analysis found that Stock out and Handling problem were major problems faced during and after sales promotion schemes (with 45% of the retailers in favour of the same)

(10)INCENTIVES SCHEME

PROVIDED

DURING
5 5 5 0 4 4 3 3 2 2 1 1 5 0 5 0 5 0 5 0 5 0 5 5 %

SALES

PROMOTION
The primary analysis found that Cash discount provided scheme is the offered best sales on incentive promotion during

2 5 %

Lux(55% of the retailers agreed on that). Prizes was the next best with 25% of the retailers in favour of the same.

1 0 %

1 0 %

C a s h G i f t s P r i z e Os t h e r s D is c o u n t

39

A Project Report on LUX

(10)BEST SALES PROMOTION SCHEME

The primary analysis found that Price off is the best sales promotion schemes offered on Lux(55% of the retailers agreed on that). Product Bundling was the next best with 20% of the retailers in favor of the same

CONSUMERS ANALYSIS
How would you rank following criterion for selecting a
T im in g C o n v e n i e n c e 90 80 70 60 50 40 30 20 10 0

25%

20%

20%

15%

5%

5%

3%

5%

2%

B r a n d r i c e B e n e f i t P r o m o t i o nF ar a g r a n cCe o l o u r P a c k a g i nWg o r d o f A d v e r t i s P s l v a lu e S c h e m e s o f S o a po f S o a p em e nt M o u th

bathing soap?

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A Project Report on LUX

What comes into your mind when you think about L:ux?

RECOLLECTION OF ANY ADVERTISEMENT OF BEAUTY SOAP

R e c o m m 9 5 % e n d a tio n

1 0 %

Y e s

N o

MOST EFFECTIVE MEDIUM OF SALES PROMOTION

M e d iu m
9 0 8 0 7 0 6 0 5 0 4 0 3 0 2 0 1 0 0 3 0 % 3 0 % 2 0 % 1 5 % 5 %

F o r P r o m o t io n

P u b l i c R e l a tPi oe nr s o n a l I n t e r n e t A d v e r t i s i n gS a l e s P r o m o t io n & P u b lic it y S e llin g

41

A Project Report on LUX The primary analysis found that Advertising is the most effective medium for sales promotion 30% of the consumers agreed on that). Sales Promotion was the next best with 30%(approx) of the consumers in favour of the same.

PREFERENCE OF PROMTIONAL SCHEME

3 0 2 5 2 0 1 5 1 0 5 0 F re e T ria l P ric e o Cf f r o s s P r o m D t i i so c n o u n t o C o u p o n s

The primary analysis found that Free Trial is the most preferred promotional scheme (30% of the consumers agreed on that). Price Off , Discount Coupons, Cross Promotion was the next best with 20%, 15%, 10% of the consumers in favour.
P a y m e n t P r e fe r e n c e 7 0 6 0 5 0 4 0 3 0 2 0 1 0 0 S u p e rio r N o

42 c h

a n g e

A Project Report on LUX

PERCEPTION ABOUT CHANGE IN QUALITY DURING SALES PROMOTION SCHEME

The primary analysis found that the perception about change in quality during sales promotion scheme was Superior (70% of the consumers agreed on that). No change was the next best with 20% of the consumers in favour of the same

TYPE OF IMPACT
The
5 0 %

6 0 5 0 4 0 3 0 2 0 1 0 0 2 0 % 2 0 % 1 0 %

primary

analysis found that the type of impact of sales promotion was No change in buying behaviour 50% of with the

M a k e s y o u u y i t d u Cr i on ng t i n u e B u y N i n o g B l s w i t c h t o SL a lx e s P r o em v oe tn i o an f t e r s Ca h e a s n g e u o f f e r P r o m o t io n o f f e r is s c r a p e d

consumers in favour of the same.

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A Project Report on LUX

The findings of the empirical study indicate that unless the brand to be promoted is in the consideration set of the consumer, sales promotion by itself is unlikely to have any major impact. Clearly this shows that managers need to invest into brand building exercise so that his/her brand appears in the consideration set of the target consumers. Only after this should he spend time, money and energy on sales promotion activities. Sales promotion should not be used in isolation but need to be integrated with other tools and in line with the overall positioning of the brand. Also the importance of the role of mass media came out clearly in

CONCLUSION

44

A Project Report on LUX both the studies. Companies need to create sufficient awareness about sales promotion schemes through mass media in order to create awareness The role of retailer in influencing consumer in brand choice decision in a toilet soap category was found to be insignificant which also supports the above observations. Toilet soaps are low involvement products characterised by switching behaviors. Also the person going to the shop for the purchase of soap is the final decision maker of the brand. Hence it is essential that companies need to design attractive, striking, visible POPs for scheme announcements.

SUGGESTIONS & RECOMMENDATIONS

(1) (2) (3) They should provide more promotions like price-offs and samples. Retentive strategy required as the soap segment is in the mature stage of its product life cycle Line extension probably with more variants catering to the beauty segment like natural, herbal soap etc.
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A Project Report on LUX

(4) Liquid body wash is currently in the growth stage

Luxshould come out with more variants in this segment (5) Level of servicing is low during sales promotion schemes this could be brought up.
(6) It is having only 19.8 % rural market presentation which

could be further enhanced.

BIBLIOGRAPHY
Websites www.google.com www.lux.com

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A Project Report on LUX

DEPARTMENT OF BUSINESS MANAGEMENT SWAMI VIVEKANAND INSTITUTE OF TECHNOLOGY , SAGAR QUESTIONAIRE

Researcher's Name : Mr.Rishi Kumar Sen Class : B.B.A. Ist Sem Gender : Address : Name of Person : ___________________ Age : _____________________________ Occupation : ________________________

Q.1

Do you know about Lux ? 47

A Project Report on LUX

a. Yes. Q.2. Have you used Lux? a. Yes. Q.3 b. No. b. No.

How Often Sales Promotion Schemes are offered on Lux. a. 6 months 1 year b., 3-6 months c. less than 3 months.

Q.4

Affect on Sales of Lux Due to Sales promotion Schemes a. Increase in Sale b. Cant Say c. No effect

Q.5

Affect on Sales of Lux due to Sales Promotion Schemes a. Age 15-25 b. 26-45 c. 45-55

48