Unilver Organisation Marketing Mix Strategy

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The assignment discusses Unilver's efforts to launch a new organic hair care product in the US market. The company uses various marketing strategies, such as social media advertising, segmentation, targeting, and positioning, to create awareness about the product among a larger market area. This leads to greater profitability margins. The marketing mix of the new product is also explained, which includes product, price, place, and promotion. Overall, the assignment highlights the importance of considering customer preferences and using effective marketing strategies to achieve sustainable growth in the market.

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PRINCIPLES OF
MARKETING &
COMMUNICATIONS
IN A DIGITAL WORLD

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Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Description of new product.........................................................................................................4
Analysis of the market for this production..................................................................................5
Strategy for the segmentation, targeting and positioning of the product....................................7
Marketing mix of this product.....................................................................................................9
CONCLUSION .............................................................................................................................11
REFERNCES.................................................................................................................................12
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INTRODUCTION
Principles of marketing is all about the marketing ideas, concepts which are being used
by an organisations in order to make effective marketing strategy. It mainly involves product,
price, place and promotion, all this aspect must be taken into consideration in order to make
effective marketing strategies. Most important of all is the communication, as in order to
communicate about the product in the target market effective strategies need to be prepared by
choosing best medium of channels with the help of which they can reach to large number of
customers (Armstrong and et. al., 2014). The organisation which is being considered to carry out
this report is Unilever, which is a British-Dutch transactional consumer good company with its
head quarter in United Kingdom. It is specialised in personal care products, beauty care
products, food and beverages. As the company saw that its hair care products in U.S are showing
huge success and growth and there is demand of organic shampoo because people are more
conscious about their hair as use of other types of shampoo consist of many chemical which
result in damage of hair in the form of hair fall. So in order to meet the demand firm is planning
to launch new organic hair care product in market U.S. Thus, this report will explain about the
description of new production and about the analysis of the market for this production. Lastly, a
brief focus is being given on strategy for the segmentation, targeting and positioning of the
product and about the marketing mix of this product.
MAIN BODY
Description of new product
Unilever is a British-Dutch transactional consumer good company with its head quarter in
United Kingdom. The company is planning to launch new hair care product in U.S and that is
organic hair care shampoo for both men and women (Armstrong and et. al., 2015).
This new organic hair care shampoo terms to be different from other types of shampoo
because of its ingredients quality as it will contain the mixture of aloe Vera and coconut oil, as
this are natural moisturisers. Moreover, this product will gently infuse peoples hair follicles and
skin cells with natural minerals, herbal extracts and oils. In addition to this it also consist of
natural ingredients such as organic tea tree which will help in addressing skin conditions such as
dandruff and will prevent from scalp irritation. Further more, this product also consist of beta
glucan which is an another ingredients that will help to soothe an irritated scalp.
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In addition to the above the most attractive benefits of this new organic hair care
shampoo is that it will tend to infuse more quickly in individuals hair and scalp as well as it will
also be helpful in bringing up more nutrients to nourish them. This is just because the materials
used in this product during production process is all natural as oil glands and hair follicles are
term to be less likely to become irritated. Instead, this shampoo will help to facilitate the
production of proper amounts of oil from the glands which will helpful to people for making hair
shinier and thicker (Baker and Saren, 2016).
Apart from this unlike other shampoo this organic hair care shampoo don't strip away the
moisture as well as it does not contain any chemicals too, as almost every shampoo in the market
contains a list of harsh chemicals which can cause serious side effects. In addition to this other
shampoo cause serious damage of hair as well as irritate eyes and skin too while using it which
result in generation of health problems when inhaled. Whereas the product which the Unilever is
planning to launch is sulfate free as well as free from other kinds of dangerous chemical.
Furthermore the most important feature of organic hair care shampoo is that it won't disturb the
natural pH balance as pH balance term to be important for healthier hair (Crittenden and
Crittenden, 2015). Thus, discusses above all the benefits of the new product that the Unilever is
planning to launch in market place of US.
Analysis of the market for this production.
Unilever is planning to launch its new hair care product name organic hair care shampoo
in U.S as it was being analysed that in US market there is more demand of organic shampoo as
people are more concerned about their hair and in modern era most shampoo are being
manufactured with the help of many mechanicals which result in damage of hair as well as skin.
So in order to meet the demand of people the firm is planning to come up with new organic hair
care shampoo which will be free from all chemical which can damage hair (Evans, 2016).
Therefore the firm is planning to launch its new product in US market because after
analysis of the US market it was being examined that the global hair care market value were
about 85.5 billion U.S dollars in 2017 and it is even expected to grow till 102 billion dollars by
2024.Despite of the fact that Asia Pacific region has captured largest market share in hair care
products in all over the world (Heinze, Fletcher Rashid and Cruz, 2016). It is also being analysed
that US market terms to be one of the most lucrative hair care market among any other country in
the world as it generate about 15 billion U.S. Dollars as a revenue in 2017. Although many of

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the staples remained the same for many decades, but its only the hair care market which proves
that there still exist a room for innovation of more hair care product. So taking this aspect into
consideration Uniliver is planning to come up with organic hair care shampoo so as to attract
more target customers and therefore it will prove to be beneficial too as mostly population are
concerned about their skin and hair. Furthermore, organic hair care shampoo is a relatively new
product on the market which result in coasting the hairs in an oil-observing power and to give
hair a cleaner and fresher appearance without the use of water. Thus, global market value for
organic shampoo is expected to grow from three billion U.S. Dollars in 2017 till four billion
dollars in 2022.
Source: U. S Organic personnel care market size, 2019.
The estimated value of the hair care market in U.S was about 47 billion U.S dollars in
2016 and the figure expected to grow till 50 billion U.S. Dollar in till 2025. From the last five
years it was being analysed that there is steady growth from 62$ per year in 2012 to 83 dollars in
2016. In may 2017 it was being estimated that over half of the Americans use hair care products
every day and only 3% never use any hair care products (Hirt and Willmott, 2014). So in order to
capture this three percent market as well the Unilever is planning to come up with organic hair
care shampoo, so as to capture larger part of market and to increase it revenue till 50 billion U.S
dollars.
Illustration 1: U. S Organic personnel care market size
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Strategy for the segmentation, targeting and positioning of the product
Segmentation, targeting and positioning are the three strategy which is being used by
every organisation in order to achieve a successful growth in market share. Similarly in order to
market its new organic hair care shampoo Uniliver needs to first segment its market and after
segment the firm needs to set the target market where they wants to market its products and then
needs to set the position of its products so that customers can easily find distinctiveness in their
products as compared to their competitors (Newman, Peck and Wilhide, 2017).
Thus, given below is the strategy for the segmentation, targeting and positioning of
Uniliver products that needs to be taken into consideration before presenting the products in the
market.
Segmentation:
It is the process of dividing market potential customers into segments or groups based on
different nature. Therefore Unilever must consider the four types of market segmentation
strategy namely geographic, demographic, physchographic and behavioural so as to reach to
larger number of customers (Pedersen, 2017).
Geographic: As this include segmenting the market by country, city, region or any other
geographic basis. Therefore, Uniliver adopts the strategy of launching its product in U.S. cities as
it is highly populated region and here there exist more demand of hair care products. Thus,
launching of new product in US will prove to be beneficial for firm in the form of increase in
profitability margin.
Demographic: As this include segmenting the market based on characteristics like age,
gender, marital status, occupation, income etc. As focus of Unilver is women as they are more
conscious of their hair so , in this respect firm is targeting females. Thus, if the firm will launch
organic hair care product then large number of female customers will get attracted towards there
products which will result in increasing the revenue and the profitability margin level
Psychographic: This segmentation approach includes understanding of customers
lifestyles, interest and opinions. Therefore, Unilver is launching its new organic hair care product
by taking customers preference and opinions into consideration. After market analysis of U.S. it
was being estimated that people are suffering from skin and hair-fall problems just because the
shampoo that the peoples are using consist of several chemicals. Thus, in order to solve out
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issues of U.S people Uniliver is planning to launch its new organic hair care product which is
free from harmful chemicals.
Behavioural:Under this segmentation is done on the basis of customer relationship with
the product or firm. As after market analysis it was being estimated that U.S customers
relationship towards the product and Uniliver firm is good as the firm offer product as per the
customer preferences (Ryan, 2014). So taking this advantage into consideration the firm is
planning to develop the new strategy of launching new product for which the company will
make use of social media like face books, Instagram, newspaper, magazines, billboards etc. so as
to create awareness about new products in the market segment. Thus, it will help in attracting
customers and will result in increasing the profitability ratio of the firm.
Targeting:
This is the second step of marketing strategy where evaluation of the segment is based
on a question that which segment the company can serve the best. Moreover, before targeting
the market firm should ensure that the segment in which the organisation is planning to enter will
be helpful in generating customer value over time (Rowley, 2016). Thus, after market analysis it
was being estimated that female are more conscious about their hair and skin and now a days in
order to generate smoothness in hair of individual organisations render shampoo which consist of
several harmful chemicals which result in creating skin and scalp diseases. So taking this issue
into consideration Uniliver is launching its new organic hair care product by targeting female so
as to fulfil there demands. Thus, it will result in achieving greater profit margin for an
organisation.
Positioning:
It is a process of arranging a product to occupy a clear, desirable and distinctive place
relative to its competitors products in the mind set of its customers and it is totally dependent on
differentiation strategy. Thus, before launching a new product in the market Uniliver must ensure
that their product are term to be totally different and unique from the product of its competitors
by taking differentiation strategy into consideration. After analysing the market it was being
estimated that there exist no organic shampoo for female and because of which they suffer from
hair damages. So by taking differentiation aspect into consideration the firm has planned to
launch new organic hair care product which term to be totally unique as there exist no substitute
and similar product in the market. Thus, differentiation in the product will help in creating

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superior customer value and can easily achieve strong position in the customers minds. For
example if the Uniliver will make a promise to its customers that the product they are launching
will leads in generating customers value to a satisfaction level, then the firm should make sure
that the product do render the value. Thus, if the product will help customers to get satisfaction
level value from the product then it will help business to set strong position in the mindset of
customers (Spiller and Tuten, 2015).
Marketing mix of this product
Marketing mix refers to the set of actions or tactics which a firm uses to promote its
brands and products in the target market. It mainly includes four essential aspects and they are
like product, price, place and promotion. Therefore the marketing mix of new organic hair care
product of Uniliver is being explained below (Uzunoğlu and Kip, 2014):
Source: Marketing Mix, 2019
Product:
Unilever uses competitor's pricing strategy to determine the most appropriate prices to its
products as compare to it's competitors in order to maintain its customer base within market.
Unilever follows penetration strategy(high quality, low price) in order to get enter into new
market and position its product in the locus of customer's mind. In this pricing strategy company
usually starts with offering product t lower price at its initial stage and gradually raises as per the
demand get increased among customers.
Price:
Unilever is a multinational brand that deals in variety of product category such as
cleaning agents, beauty products, personal care. The organic hair care shampoo sold under the
Illustration 2: Marketing mix
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category of personal care. Company has decided to launch a new organic shampoo whose
Quality is very mild and have a gel type of consistency without any chemical, preservatives,
Artificial colours, Artificial fragrance and parabins and sulphate free product because hair are
quite sensitive and can be damaged due to low Quality product (Kotler and et. al., 2015).
Place:
It refers to the location where the goods are available and can be sold or purchased.
Therefore products are being sold or purchased through both the manner from physical market
and from virtual market as well. As in physical market both the seller and buyer meet face to
face and in virtual market both the seller and buyer interact with each other through internet.
Thus, the place choosed by Uniliver to market its product is U.S. Cities as there exist huge
number of population and in order to capture huge market share it is term to be the best place for
Uniliver organisation.
Promotion:
It is the techniques through which the product are being advertised in the market. Thus,
Unilver organisation takes into consideration social media apps like Facebook, Instagram and
other channels as well like newspaper, magazines, billboards etc. so as to create awareness about
the new launched product to larger market area. Thus, it will help business to achieve greater
profitability margin.
CONCLUSION
From the above report overall it can be concluded that in order to exist and to achieve
sustainable growth in the market it is essential for every organisation to take customers
preferences into consideration. In this assignment a new product was being launched by Unilver
name organic hair care product and segmentation, targeting and positioning strategy were also
used so as to target best and suitable market which would helpful in generating more of
customers value and would result in achieving grater profitability margin. In addition to this
marketing mix of the new product which includes product, price, place and promotion were also
explained in this assignment.
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REFERNCES
Books and Journals
Armstrong, G. and et. al., 2014. Principles of marketing. Pearson Australia.
Armstrong, G.and et. al., 2015. Marketing: an introduction.
Baker, M. J. and Saren, M. eds., 2016. Marketing theory: a student text. Sage.
Crittenden, V. and Crittenden, W., 2015. Digital and social media marketing in business
education: Implications for the marketing curriculum.
Evans, W. D., 2016. Social marketing research for global public health: methods and
technologies. Oxford University Press.
Heinze, A., Fletcher, G., Rashid, T. and Cruz, A., 2016. Digital and social media marketing: a
results-driven approach. Routledge.
Hirt, M. and Willmott, P., 2014. Strategic principles for competing in the digital age. McKinsey
Quarterly. 5(1). pp.1-13.
Kotler, P.and et. al., 2015. Marketing. Pearson Higher Education AU.
Newman, T., Peck, J. and Wilhide, B., 2017. Social media in sport marketing. Routledge.
Pedersen, P. ed., 2017. Routledge handbook of sport communication. Routledge.
Rowley, J., 2016. Information marketing. Routledge.
Ryan, D., 2014. The best digital marketing campaigns in the World II. Kogan Page Publishers.
Spiller, L. and Tuten, T., 2015. Integrating metrics across the marketing curriculum: The digital
and social media opportunity. Journal of Marketing Education. 37(2). pp.114-126.
Uzunoğlu, E. and Kip, S. M., 2014. Brand communication through digital influencers:
Leveraging blogger engagement. International Journal of Information Management.
34(5). pp.592-602.
Online
U. S Organic personnel care market size. 2019. [Online]. Available Through:
<https://www.grandviewresearch.com/industry-analysis/organic-personal-care-market>.
Marketing Mix. 2019. [Online]: Available Through: <https://www.marketing91.com/marketing-
mix-4-ps-marketing/>.
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