Unilever in India: Building the Ice Creams Business
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Case Details:
Case Code : MKTA004
Case Length : 14 Pages
Period : 1994-2004
Pub Date : 2004
Teaching Note :Not Available
Organization : Unilever, Hindustan Lever Limited (HLL)
Industry : FMCG
Countries : India
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Excerpts Contd...
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Softies
HLL had been a pioneer in tapping the softy cone segment (soft ice-cream dispensed into a cone from a machine), whose size was estimated at Rs. 30 - 40 crore.
After six months of test marketing in Chennai, HLL announced the launch of Softy kiosks for selling softy ice creams in 2000...
HLL vs. Amul
In the late 1990s, GCMMF launched its value-for-money Amul ice creams. These included products like the Tricone to attack Kwality Wall's Cornetto and the Frostik to compete with Feast - both priced nearly 25% lower...
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New Marketing Initiatives
In the early 2000s, HLL launched a number of marketing initiatives in the light of increasing competition. The initiatives were implemented in four phases. In the first phase called the 'Innovation' phase, HLL introduced the Indian impulse consumer to a range of products like the Feast bar and Softies, while the Viennetta, Vanilla Gold and Black Currant Sundaes targeted the take-home segment...
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Looking Ahead
HLL believed sustainable competitive advantage would come from differentiation, not from price. The company believed that the only way to grow the ice cream market was to make the product exciting.
After increasing penetration in the market with low-priced products, HLL shifted focus to the high end of the market. As a step in that direction, low priced products in the Kwality Walls portfolio such as Max Funjoos priced at Rs 2, were withdrawn and the lowest price point in the Kwality Walls range was made Rs 5... |
Exhibits
Exhibits I: TVC for Kwality Wall's Sundae
Exhibits II: TVC for Kwality Wall's Super Cornetto
Exhibits III: TVC for Kwality Wall's Max
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