Swot Analysis of Axe

Topics: Marketing, International trade, Brand Pages: 2 (544 words) Published: September 13, 2012
SWOT Analysis
1. Strengths:
* Axe’s tagline “Axe Effect” is well known among a huge customer base across different age groups. Therefore AXE enjoys a huge brand equity because the consumers perception of the brand happens to be good. The phrase “Axe Effect” is quite popular among men across different age groups and thus consumers already know the intangible value associated with the product. * Axe enjoys a huge distribution network of Hindustan Unilever. The distribution network of Hindustan Unilever happens to be one of the strongest in the FMCG sector. It covers nearly 1 million retail outlets in India directly and its products are available in over 6.3 million outlets in the country. * Axe is particularly a favourite of the youth population. So Axe’s Marketing team continuously focus on the subtle shifts in the youth culture. Axe spends a higher percentage of its marketing budget on digital than any other Unilever’s product. * Axe was the first to start an innovating mobile marketing strategy by introducing the “Call Me” campaign. With over 300 million mobile subscribers the mobile engagement allows for a scalable and a personalized engagement activity. Axe was the first to introduce an IVRS system marketing where in every caller would get a wake up service call from a girl and chance to win attractive prizes also. 2. Weakness:

* Axe is primarily a product consumed by the young males of the country. So its target group appears to be monopolised towards male section of the society only. * Its flimsy advertising concepts depict women going crazy about the fragrance of the different variants of Axe’s brand. Educated target groups consider this as an highly improbable situation. * Axe’s products are generally considered as luxury products because of their relatively higher pricing. * Different customer surveys carried on shows a contrasting picture that the “Axe Effect” does not really exist. * All the different variants of...
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