Principles of Marketing: New Product Launch by Unilever

This document discusses the launch of a new organic shampoo by Unilever in the beauty care segment. It covers a brief description of the product, market analysis, key competitors, customer attitudes, and marketing mix strategy.

PRINCIPLES OF MARKETING

Contents
Introduction......................................................................................................................................3
Main body........................................................................................................................................4
A) brief description of new product............................................................................................4
B- Brief analysis of the market...................................................................................................4
C- Key market trends..................................................................................................................5
D) Key competitors and their Positioning...................................................................................5
E) Current customer attitudes/behaviours in this market............................................................6
F) main issues an opportunity......................................................................................................6
STP of Unilever...........................................................................................................................6
Marketing mix.................................................................................................................................7
M) channel and distributor strategy............................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

Introduction
Marketing is the aspect of business which is most consumer focused as all of the principles of
marketing relate directly to the consumer. Please attention for the companies operating in the
free market as success depends upon identifying and retaining customers in order to remain
profitable and ensure business growth.
Unilever is the British multinational organization who was selling consumer goods and they’re
having headquarters in London England. The product sale by Unilever include energy drinks,
soft drinks, personal care and beauty care products etc. This report will cover a new product
launched by Unilever Help them to take competitive advantages. they are launching a new
Organic shampoo which is chemical free Without having any side effect for the users.
This report will discuss about New product launched by the Unilever In the beauty care product
segment. This product will able to satisfied the current need of customer because chemical

products can harm their hair and This product can be useful for the people who are looking for
the organic shampoo.
Main body
A) brief description of new product
Unilever is the company that sell varieties of the product and one of their segment is
personal and beauty care. This company is launching a new Organic shampoo after the
marketing research. organic shampoo will be made up of the natural ingredients and it will be
chemical free so customers will able to use 100% natural shampoo. it will be made up of natural
Ingredients so there will be no side effect from this organic shampoo (Cummins Loe and Peltier.,
2016). most of the people are looking For shampoo product that can B without any chemical art
it can solve their problems without buying the different different shampoo. the shampoo will
provide solution of the all the problems and people will not need to buy a different shampoo for
the different problems. all the issues will be solved through the knew organic shampoo by the
Unilever. Nowadays people are health conscious but with that they are also conscious about the
product they are using that include beauty and personal care, because of the chemical products
people are facing the problems like hairfall, hair damage and many more problems and The
shampoo will help them to overcome from the problems and it will give a huge competition to
the other companies who are selling the chemical products to their customers. Customers will
have a new choice that will help to replace the other chemical products within the market. The
usual shampoo gets rid of Oil and dirt But it also wipe out the moisture in the customers strands,
leaving them battle and dry. Conditioner restorer’s the looks with its moisturizing Properties to
some extent but with traditional organic shampoo customers don't need to worry about drying
out there mane By the shampoo often (Palmatierand Crecelius., 2019). The main benefits
organic shampoo from the universal liver will provide- The shampoo will don’t contain any kind
of chemical, it will not disturb the natural pH Balance of the user, It will be always natural an
easy to use, it will be loaded with the beneficial ingredients And customers will get attractive
look and Natural fragrance and they will also get the choice within the organic shampoo and
every shampoo will be made up of different ingredients. all the ingredients will be shown on the
label and customer can read it and satisfy by using the organic shampoo by the Unilever.

B- Brief analysis of the market
The United kingdom hair care market is being segmented by type( Conditioner, hair oil,
Shampoo and other types. The market is being expected to grow at CAGR of 3.1 % percent
during the forecasted period of 2020- 2025. The market is being majorly driven by the
increased consumer concerns about the health of scalp, hair thinning problems, loss of hair and
scalp which is being sensitive. Further more with the introduction of new organic hair care
products to target specific customer base that is females, along with increase in the per capita
income consumer spending in UK on personal care products is gaining popularity , which results
in the growth of the market. In addition, the growing demand for natural and organic product for
personal grooming has become the primary concern for the customers of UK. However, factors
such as rising awareness regarding the potential side effects of hair care products are serving as
the barrier for the growth of the market in UK (United Kingdom Hair Care Market, 2019). The
hair oil market is witnessed to have a rising demand in the region of UK. As shampoo improves
the texture of the hair, this have encouraged the spending of females on the natural, organic
products.
C- Key market trends
The market trend for the company newly launched organic shampoo accounts with
customer purchasing because it implies with no added chemicals. It helps with having products
with pure form of manufacturing which serves as no means of side effects to the potential
customers which serves as the basis for purchase of Unilever organic shampoo product. The
trend for the product also leads with not leading with dandruff in the scalp which serves as the
major reason for hair fall. It implies with customer not preferring competitor products as it leads
with hair thinning and loosing of shine and texture which will serve as the basis for purchasing
Unilever organic shampoo products (Hair Care Market Trend In UK, 2018) . This accounts with
rising awareness towards use of hair care products which help the customers to re grow hair and
increase the density of hairs for individuals and not leading with the condition and circumstances
of baldness.
D) Key competitors and their Positioning
With the growing concerns related to hair and their growth many companies are dealing
in Organic shampoo to promote their brand and also the customers are more attracted to nature

and organic shampoos. As Unilever have decided to launch their organic shampoo but there are
various key competitors in the market that are offering organic shampoo such as Estee Lauder
and P&G.
Estee launder is an American multinational company which deals in prestige make up,
skincare and hair care products. Aveda is the brand which deals in organic shampoo which is
crafted from 25 pure flowers and plant essence which also includes organic Lavender, Pititgrain
and many more. Estee launder positions itself as a premium pricing brand, and they focus on
cherishing the uniqueness of women. They position their prices higher than that of the
competitors.
P&G is a US based company which is an American multinational company and deals in
personal care, health care, beauty and other products. Herbal essence is the brand of P&G that
deals in organic shampoo and is chemical free and made of natural and organic components.
P&G has a unique market positioning such as differentiation as they want to stand out among all
the other competitors. They position their products that distinguish their products from the
competitors.
E) Current customer attitudes/behaviours in this market
Current customer attitudes and behaviours in the market of organic shampoo is becoming
positive day by day as more customers are shifting to organic products for their skin and hair. As
shampoos with chemicals and artificial ingredients tend to have many negative impact on the
hair growth and also it leads to hair fall. Therefore, Unilever has a great opportunity to launch
their organic shampoo as customers are changing their lifestyles and going towards healthier and
organic lifestyles. Also, increasing awareness among the customers regarding the benefits and
the advantage these organic ingredients have and also they are concerned more about the
environment.
F) main issues an opportunity
According to the Mintel reports There are many issues within this industry that Shows
that shampoo company should come up with the improvement in their products. People are more
focused to buying products that are horrible and made with the natural ingredients. Most of the
product within the market are made up of chemical That is damaging hair and People are
generally facing problems like dandruff, sticky hairs, hair falling etc (Porral and Stanton., 2017).

The Launch of new organic shampoo by the Unilever can help this company to take competitive
advantages within the market and they will able to satisfy the needs and demand of the
customers. organic products by the Unilever are specially designed for all hair types and suitable
for everyone.
STP of Unilever
Segmentation-
On the basis of demographic segmentation, Unilever will focus on all age group of men
and women who are above 18. they will target Both the gender and look for the man and woman
who use the beauty product or they are suffering From the hair problem. it is affordable so both
middle upper and lower classes will able to buy this product (Lin, Yang, Hanifah and Iqbal.,
2018). On the basis of physiological segmentation Unilever will aim 2 reach people who are
facing hair Problems due to the chemical products. People will able to satisfy their needs and
they will overcome from the problem they are facing by using the organic shampoo from the
Unilever and company will also able to take competitive advantages within the market.
Targeting-
Basically, Unilever will target the all age group of women and men who are facing we
had problem and it will include all shapes and size. mostly company will target the people with
the old age group becausr mainly her problems are faced by the old age group men and women.
this will be beneficial for the old age group people and they will able to overcome from the
problems and company will able to attract customers. target customers will able to get organic
Products in lower prices so customers will able to buy their product (Alexis., 2019). The target
customers will be Middle class family and lowercase family both. The product price is decided
as the £2 Which is quite affordable for the customers in all segments and they can easily afford
this product. Unilever will use social media marketing and TV advertisement to target customers
more effectively.
Positioning-
Unilever new product will be positioned As the personal and beauty product Mainly it is
an organic shampoo with the various benefits for the customers so company will try to compete

with other organic shampoo selling companies so they can take competitive advantage and take a
better position within the market (Gladenkova., 2020). Unilever is looking to take higher market
share within the UK with the new organic shampoo so they can be the number one organic
product seller and after that they can also launch their other organic product in different different
segments as well. (Palmatier and Crecelius, 2019).
Marketing mix
Marketing Mix strategy of Organic shampoo
The marketing mix strategy is explained as -
Product – A new product is being launched which is defined as the Organic shampoo. This is
the product which is being produced by the Unilever company (Wu and Li, 2018).
Branding is defined as the name, term, design, words, symbols or any other feature that is
been incorporated to the product. Here, the organic shampoo is considered as the name of the
product which engages customers attention towards the organic ingredients in it. The Organic
shampoo is white. The shape of the shampoo bottle is tall and slender such that it becomes easy
for the customers to use it. The Organic shampoo is designed in such a way that customers will
be interested to buy it and will gain satisfaction while using it. Branding of the product is done to
engage customers towards the Organic shampoo as it will not harm their hairs.
Packaging of the product is done in the most effective and efficient ways such that the
quality of the product is not hampered and the Organic shampoo reaches to its customers safely
and securely. The packaging of the shampoo bottle is done in such a way that it is protected from
being broken or any other dis-harm. The disposable of the product is taken care of keeping in
mind the environment health related aspects.
Pricing – The pricing of the Organic shampoo is the most important factor in both buying and
selling perspective (Kienzler and Kowalkowski, 2017). The Unilever company attaches price to
the Organic shampoo and sells at the cost of £2 per product. Pricing of this product defines its
position in the market and helps in evaluating and comparing the price with the other organic
shampoo's which are produced by the other companies. Discounts are made to be provided to the
customers on special occasions and seasons. The production cost, selling cost and other relatable

costs are measured so that the sales and profit factor is not affected and Unilever delivers its best
products in the shampoo segment that is the Organic shampoo.
Promotion – The promotional strategy that will be used in the marketing of the Organic
shampoo will be through commercials and advertising, word – of – mouth marketing, content
marketing of the Organic shampoo and by engaging into public relations for its maximum
selling.
The main functions of this product to be promoted in the market will engage personal
selling which will help the product gain more customer base from door to door. Different
traditional; methods of advertising will be used such as print of the advertisement for the
shampoo, reaching large customers by advertising the shampoo on television. The product will
be digitally being promoted through emails, digital ads. The company will advertise through
sales promotion technique as it is the most effective way of producing the Organic shampoo by
declaring coupons, contests, flash sale. Through public relations the Organic shampoo will be
encouraged through newspapers, magazines. Official website of Unilever will promote the new
Organic shampoo which is being launched in the market.
M) channel and distributor strategy
Unilever can provide the proper distribution to their brands by working with the
thousands of suppliers all about the world, with their massive supply chain that purchased over
13 billion and ingredients and raw material for its product and brand (Pride and et.al., 2017). To
make the organic product this materials will be turned into the finished product, based on
consumer insights and this all will be Sell on the hypermarkets, wholesalers and cash and carry,
out of home and direct to the customers, small constituency stores, malls, ecommerce sites like
Amazon, EBay etc. Company have a good network that will help to reach their customers
organic shampoo and company were able to take competitive advantages.
CONCLUSION
As per the above report has been covered case study of Unilever company who are
launching the new product called organic shampoo for their customers. this report has been
provided the brief information about the new product and explained How it will help customers
to come up with there hair problems. it has been discuss about segmentation, targeting and

positioning of the Unilever within the market where there are operating their business. in the end
of this report has been covered marketing mix to provide more detail about their new product.
REFERENCES
Books and Journal
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Review, 9(1-2), pp.5-26.
Porral, C. C. and Stanton, J. LL., 2017. Principles of marketing. ESIC Editorial.
Lin, Y., Yang, S., Hanifah, H. and Iqbal, Q., 2018. An exploratory study of consumer attitudes
toward green cosmetics in the UK market. Administrative Sciences. 8(4). p.71.
Alexis, P. A., 2019. The Big Beauty Business: A Fundamental Analysis of The Beauty Industry
Institute, And Its Economic Value. Omega Publishers.
Gladenkova, T., 2020. Beauty and personal care transnationalization: main changes in its spatial
structure. GEOGRAPHY, ENVIRONMENT, SUSTAINABILITY. 13(1). pp.244-250.
Sharma, M. N., A STUDY OF CHANGING SCENARIO OF BEAUTY AND PERSONAL
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Pride, W. M., and et.al., 2017. Marketing Principles with Student Resource Access 12 Months.
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Kienzler, M. and Kowalkowski, C., 2017. Pricing strategy: A review of 22 years of marketing
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Online
Hair Care Market Trend In UK ,2018[Online]. Available
through<https://www.fortunebusinessinsights.com/hair-care-market-102555>
United Kingdom Hair Care Market, 2019[Online]. Available
through<https://www.mordorintelligence.com/industry-reports/united-kingdom-hair-care-
market-industry>