June - 2005
5 (a) Procter & Gamble and HLL are highly competitive companies in the shampoo market. Both the companies have brands for various segments, It may be worthwhile to mention that HLL has created and nurtured Sunsilk and Clinic brands for more than two decades in the Indian market. P & G's Pantene, HLL'S Organics and Colgate Palmolive’s Optima got into the market at almost the same period of time. Pantene and Optima were priced around Rs. 72 for 180 ml (some months after the launch) while Organics was priced at around Rs. 65.15 for 180 ml. The three brands were also available in sachets. They were positioned with 'haircare/nourishing propositions.
Comment on the pricing approach of the three brands mentioned above
5 (b) ACC is a well-known brand in the category of cements. It has a large distribution network of around 7000 stockists and 120 C& F agents. In 1995, the company's market share declined to 15% from the earlier 30%. About three years back the brand opened its first company owned retail outlet called 'ACC Ki Duniya" (World of ACC). The outlet reassures the customer about the genuine material and encourages interaction. This type of outlet is also likely to enhance the company's image.
Comment on the pros and cons of an outlet of this kind. Would such outlets alone enhance sales? Explain.
June - 2006
Japanese manufacturers dominate the world motor cycle market. They have models in every part of the market and are continually bringing out new versions; indeed, some critics think that the rate of new model introduction has become counterproductive, since the market will not be able to absorb them all.
Harley-Davidson, the American manufacturer, has survived and is successfully selling its nostalgically styled models at high prices in major western markets. The British industry, which once led the world, disappeared completely. All leading Indian motor cycles are being manufactured in joint ventures with Japanese companies. There are some manufacturers in Europe who tend to specialize e.g. in high powered sports models or small mopeds.
(a) How would you go about segmenting the market for motor cycle?
(b) What segments would you recommend an Indian manufacturer to tackle in (i) India, (ii) Europe?
June – 2007
5 (a) Nestle have launched brands Quality Street, Lion and After Eight (Chocolates). These brands are being imported from Europe. Quality Street is an assortment of chocolates priced at Rs. 17 5 for 218 gm. After eight is a popular adult chocolate priced at Rs. 125 for 200 gm and Lion is a caramel wafer bar priced at Rs. 20 for a 45 gm bar. (Kit Kat is priced at Rs. 6 for a 17 gm bar and has a chocolaty taste while Lion has a crunchy taste). The brands have different tastes and will appeal to different target segments (though the target segment is one which may have already been exposed to these brands during visits abroad). These brands have been introduced in metros in up market stores which sell imported food products. The packaging of these brands bears the label "imported by Nestle India Ltd." indicating that they may be better than smuggled ones (which may be stale).
Suggest suitable media /media vehicles for promoting these brands. Give reasons in support of your answer.
5 (b) the herbal shampoo markets are valued at around Rs. 100 crores. Nyle, Ayur, Dabur and Biotique are some of the established brands in the market. Helene Curtis (JK Group) has introduced a premium herbal shampoo (with variants Shikakai, henna, amla, brahmi and jasur) priced between Rs. 80 and Rs. 90 (500 ml) for different types of hair. The proposition is the benefits offered by the variant based on the combination of herbs. The benefits offered by the variants range from extra protection and nourishment to color, body and bounce. The shampoos have been launched under the brand name Premium Herbal Shampoos and they...
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