Marketing Analysis of Palmolive Hand Wash in Australian Market

This article provides a marketing analysis of Palmolive hand wash in the Australian market. It includes a product analysis, competitor analysis, SWOT analysis, and identification of a gap/problem in the market. The article suggests that the company can bridge the gap by launching a luxury hand wash line with a focus on quality and special ingredients. The target market is niche and focuses on people who do not mind spending on a luxury item.

Running head: ENTERPRISE INNOVATION AND MARKETS
Enterprise innovation and markets
Name of the Student
Name of the University
Author’s note

1ENTERPRISE INNOVATION AND MARKETS
1. Marketing analysis
The product that has been selected for writing this assignment is Palmolive hand
Wash in the Australian market. There are a number of varieties of hand washes listed
by the brand. Following is a marketing mix of the brand.
Product
The product that is being marketed is handwash, it is a liquid soap
that is placed in the kitchen and bathroom so that the customers can
hygienically (Sharma 2013). There are a number of variants
available in this category for the customers to choose
(Ibisworld.com.au 2018). Not only that there are several quantities of
the products present in the market. The focus is on the fragrance
and the performance of the product (Baker 2014).
Price
The prices of any Palmolive products are in the affordable range, it
is a part of the grocery items. The minimum price of the hand wash
range begins from $3.89 for a 250ml pump bottle. The brand follows
a competitive pricing strategy in order to set a range of price for the
hand washes. There are also refill pouches for each of the varieties
which reduce the cost of the product even further (Davcik & Sharma
2015).
Promotion The message that the company wants to send the customers is that
the focus of the brand is to provide soft and supple skin (Huang &

2ENTERPRISE INNOVATION AND MARKETS
Sarigöllü 2014). Therefore all the promotional activities are
constructed around this message.
The company uses both traditional as well as contemporary medium
to connect with the customers. Palmolive uses social media as well
as television and print advertising to advertise (Khan 2014).
Place
The product is available in both physical as well as online retail
units. The product is available at almost all the supermarkets and
hypermarkets. The placement of the product is based on the
requirement and thus, the varieties may differ from one location to
another (Sharma 2013).
Target Market
The target market of the product is middle income group people who are looking
for an easy-to-use solution to their hand washing problem. These people are concerned
about the hygiene but also do not want to spend a lot of money on the products.
Competitor analysis
Attributes Company 1: Dettol Company 2: Unilever
Product The product is usually associated
with medical equipment as the
brand has a number of health
associated products. The
products are of high quality and
The product is positioned in the
market as an alternative to soap.
The focus of the company is on the
user friendly packaging and quality
of the hand wash (Unilever.com.au

3ENTERPRISE INNOVATION AND MARKETS
are associated with hygiene.
There are a number of fragrances
available as well (Dettol.co.uk
2018)
2018). Like the other competitors
there are a number of sizes
available. The company has a
number of brands under the
management among which Dove;
Lux etc. each of these brands have
a number of fragrances
(Unilever.com.au 2018).
Price The price of the product is similar
to that of Palmolive. Similar
pricing strategy
The price of the products depend
upon the brand, however, all the
pricing is similar as the company
follows competitive pricing
strategy.
Promotion Dettol uses both traditional and
digital marketing strategies in
order to communicate with the
customers.
Unilever uses all the traditional
means of promotion. Along with
that there are also PR activities
that are undertaken by the
company. Unilever also has a
significant social media presence
(Unilever.com.au 2018).
Place The products are all available in the same location as the target market
of the product is same. It is available in both physical and online retail
units.

4ENTERPRISE INNOVATION AND MARKETS
Positioning
The positioning strategy that Palmolive undertakes is that the product offers the
customer with soft and supple skin. The product is positioned as a nourishing treatment
for the hand (Ibisworld.com.au 2018). On the other hand, Dettol positions the product as
a hygienic alternative to bar soaps; it is also promoted as a product with a medicinal
value (Leonidou et al. 2013). However, the Unilever positions the product as one of the
necessary items that will provide more than the value of the product it will add to the
personality. All the companies use various positioning strategy in order to be different
from the other players in the market and to cater to the requirements of the target
market (Davcik & Sharma 2015).

5ENTERPRISE INNOVATION AND MARKETS
Dettol
Palmolive
Unilever Australasia
Quality
Price
Figure: Perceptual Map
Source: Author’s Creation
SWOT Analysis
Palmolive Dettol Unilever
Strength Packaging and
variety
Target market and
positioning
Quality of the
product, brand
name
Weakness No innovation Constricted to a
medicine related
product
There is hardly any
scope of
diversification and
also the products

6ENTERPRISE INNOVATION AND MARKETS
are easily imitable.
Opportunity Diversification focus
on luxury line
To move to a larger
target market in skin
care
Research and
development.
Threat Intense competition in the market
2. Identification of a gap/problem
Hand wash is an FMCG product, the problem that the brand is facing with the
product is the saturation of the market. There are a number of brands in the market that
has established itself in the industry and has also built loyal customer based. Some of
the indirect competition of the Palmolive hand wash is the luxury brands like Mr and Mrs
Smith etc. the intense competition in the industry has made the brand reach a position
where the management has to come up with innovative marketing strategies in order to
reach out to a larger group of people (Gummesson et al. 2014). There are a number of
companies in the industry that establishes as a luxury brand and provides their
customers with exclusive ingredients. The pricing of these brands are also on the higher
end and their target market is also different. The two competitors that have been
discussed above have their own set of target market; Dettol is a brand that is used in
the hospitals, nursing homes and other healthcare centers as well. This gives a
company an edge over the other Palmolive as the positioning of the product is more
related to skin care and makes it fit for the home-like environment. On the other hand,
Unilever is a brand that is used by the loyal customers and the company focuses on the

7ENTERPRISE INNOVATION AND MARKETS
quality of the product and ensures the customers regarding the utility and the value of
the product aligned with the price that is being charged (Armstrong et al. 2014).
Therefore it can be said that the gap that is being determined in the marketplace
is the focus on the quality of the product. The company has the opportunity to bridge
this gap with the help of promotional strategies or the management can come up with
strategies regarding launching a luxury hand wash line (Sharma 2013). The company
can focus on the development of a special ingredient list which shall corroborate for the
quality of the product, the packaging and the look of the product should be different from
the other line of Palmolive hand washes (Wensley 2016). For example, the company
can position the product as an organic luxury item that has a number of exotic
ingredients and can take away from the time that is spent on a manicure for the
customers. The target market is niche and focuses on people who do not mind
spending on a luxury item. These people are conscious about their health and well-
being and thus does not mind a luxury hand wash. The competitors Dettol and Unilever
do not have a luxury line of hand washes and thus this strategy can give the company
an edge over the competition.

8ENTERPRISE INNOVATION AND MARKETS
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