Marketing Strategy Assessment of Daz Detergent in the UK Market

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Marketing Strategy Assessment
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Executive Summary
The report is prepared on a detergent company of UK. The chosen detergent company for this
project is Daz. P&G is the parent brand of Daz. The report includes the internal audit
environment, PESTLE analysis and SWOT analysis of Daz, evaluation of the marketing strategy
of Daz, 4P’s of marketing mix, SMART goals and more.
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Table of Contents
Executive Summary.........................................................................................................................1
Introduction......................................................................................................................................3
Part 1:...............................................................................................................................................3
Situation analysis.............................................................................................................................3
PESTLE analysis.........................................................................................................................4
SWOT analysis............................................................................................................................5
Competitive Advantage of Daz (USP)............................................................................................6
Evaluating the current marketing strategy of Daz...........................................................................7
Part 2:...............................................................................................................................................8
Aiming, Subdivision furthermore locating or STP:.........................................................................8
Recommended objectives and goals (SMART):.............................................................................9
Suggest selling plans Based upon the employment concerning one marketing mix over the
preferred organization Daz:...........................................................................................................10
Conclusion.....................................................................................................................................12
Bibliography..................................................................................................................................13
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Introduction
Daz is a popular laundry detergent brand in UK’s market, which was established in
February 1953. Procter & Gamble manufactured Daz and priced it lower than the main brand of
P&G’s, Ariel. It associates with the popular culture with Daz’s series of commercials “Daz
Doorstep Challenge”, which saw several hosts, includes Danny Baker, Michael Barrymore, and
Shane Richie, surprises house occupiers, and asks them for putting Daz in testing against a rival
detergent brand. Dom Joly spoofed the advert in the advertising campaign of John Smith that
features Peter Kay. Julian Clary was the ambassador of Daz detergent from the year 1999 to
2002. Daz set up TV commercials in an outlandish soap opera since 2002. Daz includes
detergent powder (both automatic and handwash), liquid and liquitabs (Go-Pods). The Go-Pods
are branded as Vizir Pods and Tide Pods in Europe and USA respectively.
Part 1:
Situation analysis
Each and every brand need to conduct an audit for shaping a perfect marketing strategy.
The marketing audits either external or internal, helps the detergent company in analyzing the
product demands, its performance in the market and helps the company to make final decisions
for shaping the company’s future. A marketing audit is considered as a structured analysis that
analyses the internal data as well as the external data of the detergent company that provides
information regarding the competitive market, company’s performance and policies, main
competitors of the company etc. An audit is important for Daz for its marketing strategies
(Mukhtar, Williams and Shaw, 2018). The audit shows how Daz gets successful or fails in the
market. A marketing audit is considered a strong foundation for success in marketing strategies.
The internal environment of the organizational functions is often called the micro
environment. The micro environment includes internal factors that are capable of affecting the
decision making of Daz detergent company. The factors are the competitors, suppliers,
customers, distribution channels and more. The micro environment goes through the market
analysis, market size, marketing mix, marketing strategies and market research used in the
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detergent market. The audit related to internal environment identifies and utilizes the
organizational characteristics or organizational resources for achieving the company’s objectives
(Rodrigues, 2018). The analysis is done with the help of a tool called SWOT analysis that helps
to recognize the opportunities, strengths, threats and strengths, weaknesses of the company.
PESTLE analysis
The PESTLE analysis includes the political factors, economic factors, social factors,
technological factors, legal factors and environmental factors affecting the business of Daz
detergent.
Political factors: The political factors of Daz detergent deals with the government frameworks
that are essential. The organization should follow the frameworks of the country where it
operates. The tax imposed on raw materials is charged on the products of Daz. The political
disturbance affects the company’s business, product distribution and product sales. The political
disturbance in different countries influences the import and export of raw materials and finished
products (Lima, 2015). The globalization emergence affects the organizational business even if
there is instability going on overseas. The huge price hike of oil in 2012 affected the overall
production costs of the products.
Economic factors: The economic factors deal with the increase, and decrease in household
consumption, unemployment rate, salary rate etc. that bring changes in customer demand and
affect the Daz since the demand of some products from the portfolio will get affected by the
demand changes. The detergent brand Daz has higher economic opportunities.
Social factors: Social factor deals with the consumer’s age, choice, income and lifestyle. UK’s
population increasing, which result in the increasing product demand for Daz. The detergents of
Daz have affected the people in the UK since the products the valuable, hygienic and well
established. The people are ready for purchasing the same products and do not care whether the
prices are low or high.
Technological factors: With the emergence of the Internet, people are utilizing the internet more
for almost everything. Various retailing websites are developed as a new retailing form by which
a customer is capable of purchasing consumer goods. The customers share the product reviews
on social media platforms for sales volume and product’s future. Daz can utilize social media
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sites for brand promotion and can run surveys, competitions, and various contests that help in
making customer awareness regarding the product and the product feature. Excellent
connectivity improves product sales, and in this digital age, popular brands like Daz, utilize the
internet effectively.
Legal factors: Daz should follow the UK’s rules and regulations for operating smoothly and
successfully over there. The brand should form and follow the marketing strategies and should
follow UK’s rules and regulations.
Environmental factors: Daz is a leading detergent brand in the UK that takes care of the
environment. The brand has an advantage in the competitive market since it makes the product
and creates them for reducing the harmful effects on the environment. This can be done with
technological development that requires less water and eco-friendly packaging. Daz makes its
product by keeping in mind the environmental needs.
SWOT analysis
This section analyses the entire internal environment of the brand.
Strengths
Daz is a popular detergent brand throughout the world. It is called out with different
names across different countries and has become successful in establishing the brand name
worldwide. According to the company, Daz ranks over the other laundry detergent brands in the
UK with the context to fragrances. Daz detergent provides wonderful fragrances and attracts the
customers who like the smells. Daz provides a good product range, which is designed and
produced for various types of customer’s demand. The brand provides overall customer
satisfaction and provides product money value (Rocha and Caldeira-Pires, 2019). The
distribution channels of Daz are excellent and help in good product distribution of the brand. The
detergent company becomes successful while bringing new advertisement campaigns and brand
promotions.
Weaknesses
The brand awareness is not that much high in the rural areas that bring negative impact
on the business brand. The selling prices of Daz detergent are higher as compared to the price at
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which its competitors sell the products. According to the company, the reason for the high price
is due to the high quality of the product. However, according to the analysts, the reason for the
high price is for the high advertisement rates of the detergent company that is actually charged
from the consumers.
Opportunities
Daz has a huge opportunity for penetrating the business in the rural markets too. The
company can go through the market management for matching the products with the customer
requirements as well as customer needs so that customers become loyal and satisfied with the
brand. As the online business and interest trend is increasing, Daz can sell its products online by
using a website or by collaborating with other websites (Melo, Vieira and Cordeiro, 2017). The
detergent company is capable of focusing on the emerging markets and sponsoring various
events for spreading awareness among its customers.
Threats
The increasing number of competitors in the detergent market has become a big threat to
the detergent company, Daz and its detergent products. P&G and other private companies such
as the Sainsbury, Tesco and more supermarket brands are its competitor brands having the same
products and product lines that do not make Daz a completely different product for its customers.
Maximum of Daz’s products are targeted at the premium customer level. It does not include any
choice of lower customer level and influences brand sales (Navarro and Alencar, 2016). The
margins of profit in Daz products are less, which offers less profit amount for its customers.
Competitive Advantage of Daz (USP)
Various brands are performing in the detergent markets of UK while few dominate in the
market like the Unilever UK and P&G, which constitutes the major market share. While
Unilever operates the brand like Surf, Persil and more while, P&G operates the brand Ariel, Bold
and Daz. The other brands are private levels of Asda, Tesco etc. The detergent category is a
grocery-retailing category and consists of several detergent products such as the bleaches,
liquids, powders, softeners and more. The main competitors of the UK’s market are the P&G and
Unilever, which performs in the market. The brand Daz that is the topic of this assignment is the
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brand of P&G and is active in several other countries. The company launched Daz for providing
delights to the customers (Akgun et al., 2017). The USP of Daz is its unique fragrances that help
in providing a pleasant experience in the laundry cleaning. Daz hires professionals for working
on its qualities and making it a better product as compared to its competitors. Daz is produced
with natural extracts and essential oils that make the product with beautiful smells and good
cleaning power. The brand delivers the product at affordable prices for providing a competitive
edge. P&G fights for the maximum market share. According to the report, customers do not need
to invest a lot of money in buying great products. Daz has an excellent market performance in
the UK. The brand becomes efficient in the market with advertisement and promotional
campaigns (Gibson and Parkman, 2018). Customers’ habits are changing, so brands need to
reposition themselves for meeting the constant and new customer demands. Daz meets customer
needs and acquires a huge market share in the UK’s detergent market.
Evaluating the current marketing strategy of Daz
Marketing maintains and supports the customer interest in the brand and product and
hence, it is important for all the business organization. The marketing strategy of Daz is
evaluated according to the growth, profitability and sales trend.
Daz started the business in the year 1953, and until now, it is growing. It becomes famous
for its quality and value. Time and customer’s demands are changing, and it forms several
strategies for maintaining its position in the market (Pantano and Dennis, 2019). Daz offers a
huge product line for its customers according to customer preferences.
Daz earns good profit in the UK as well as worldwide as it is a leading brand. The
promotional campaigns help the brand in creating an image in the competitor's mind. Daz
indulged itself in the activities of corporate social responsibility that increases the customer base
for a good market image.
Daz is a leading brand in the UK as well as worldwide, and hence, it goes through a lot of
competition in the detergent market. However, it maintains its rank in the detergent industry. The
sales trend of Daz shows its growth in the market (Aichner, Forza and Trentin, 2017). Daz
concentrates on the marketing strategies for increasing the market share and sales volume.
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Part 2:
Aiming, Subdivision furthermore locating or STP:
There numerous processes are available in the market such as Aiming, Subdivision
furthermore locating. These processes are utilized in the market in order to divide a sale of a
famous brand among several tiny segments for targeting a selected marketplace moreover place a
well-known brand in that previous mentioned marketplace in order to gain a much better
benefits moreover in order to flexible business.
Subdivision:
The initial stage is subdivision or better known as segmentation. This stage is responsible
for the deviation of the total range of market in between several small segments as per as the
organization’s nature. Several divisions are accomplished for constructing the goals that the
organization supposes to gain. In this case the divisions concerning the organization named as
Daz has taken the place for knowing the proper moreover beneficial plans in order to marketing
through which’s implementation, the organization will gain a profit in the end. The divisions
concerning the affiliation named as Daz in the region of the country named, as the United
Kingdom is able to finish by accomplishing followings:
Generally, the ladies with the age of in between 18 to 65, whom are used to be either
house servant or the house wife, are considered as the major consumers in the organization. The
customer who are used to be in middle standards are the consumer or client of the organization
named as Daz which in situated in the area of the United Kingdom (Camilleri, 2018). Presently,
The organization named as Daz use to sell its product in the area that is considered as an urban
zone within specific area concerning the United Kingdom but the rural area of the region of
United Kingdom is use to show interests for this brand likewise.
Aiming:
The divisions concerning the total area of market in the United Kingdom is accomplished
furthermore the organization named as Daz aims the area of market whereby the consumers are
prepared for paying much costs in order to the standard quality of the product of the organization
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named as Daz (Andaleeb, 2016). The requirement of the service is shown through the people of
market are of rural region as well as the area of the market within the urban are of the United
Kingdom, therefore the market of the rural area are aimed as the organization is currently not
tapped moreover the ladies are also aimed through the organization named as Daz. The
organization focuses to the women much cause of they use to buy the detergents more than the
usual customers do.
Locating:
Locating is dealing with the formation concerning the overview within the brain
concerning the consumers. The affiliation named as Daz use to advertise the specific product
they use to provide by different ads through the slogans that are attractive. The affiliation named
as Daz is concentrated on their designing process of the ads as per as the area moreover divisions
that are aimed through the organization (Phillips, 2016). The affiliation named as Daz is able to
utilize such mechanism that is creative moreover is able to give more better performance on
removing the blame of the garments that is able to provide satisfaction the clients moreover the
organization focuses for purchasing the services that the organization use supply.
Recommended objectives and goals (SMART):
Presently the affiliation named as Daz is a famous organization in the area that is
considered as urban although this requires for getting establishment into the area that is
considered as rural area for gaining much share of the targeted market moreover for fighting the
hard competition within the targeted area of market (Carraro, 2016). Achieving the first place in
the selling of detergent among the globe, within the next few years has been selected as the
major objective of this organization. For becoming the most selling organization of detergent, the
organization requires to fix this type of major and proper objectives.
For doing perfect research in order to market within the area that is considered as a rural
area in the region of United Kingdom, moreover, for evaluating the outcomes, for planning the
later plans in order to market in order to achieve the share of the market are that is considered as
the highest share of the market in the region of marketing (Owen, 2016). To develop such
upgraded services facing the requirements moreover focus concerning the population of the area
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that is recognized as rural area. For promoting, the services that are constructed in the
organization named as Daz use to the population of the area that is considered as a rural area is
able to be constructed awareness concerning the services those are upgraded moreover the
product’s utilization moreover efficiency (Chernev, 2018).
Suggest selling plans Based upon the employment concerning one marketing
mix over the preferred organization Daz:
The device named as the marketing mix is constructed for developing the plans in order
to market in order to the organization or the organizational products. This involves the deep
investigation concerning four P’s such as Place, Promotion, Price, moreover Product. In this
case, the device named as marketing mix concerning the organization named as Daz is
determined for recommending the plans in order to market in order to the likewise organization
within the region of United Kingdom.
Place:
The locality is recognized as the area the dealing concerning commodities furthermore
companies occurs within the shopper moreover merchant. This effects concerning the
organization named as Daz are offered over the consumers within direct ways. the organization
is bartered over neighborhood workshops of the retailer, generic shops furthermore certain dates
at e-stages similarly (Wheeler, 2017). Notwithstanding proper dissemination regarding the
services, the organization named as Daz demands horizontal associations among the shoppers
moreover the wholesalers. The organization named, as Daz requires dealing among specific
approachability concerning the services within the industrial areas, therefore, it is able to produce
a more precious sales quantity. The organization named as Daz besides owns placement stations
for keeping up approachability meanwhile every feature concerning individual activity.
Promotion:
The association named as Daz embraces numerous special appliances among the top
purpose concerning the promotion about the commodity. This is important for advancing the
services through the association named as Daz into loyal buyers regarding different things,
further highlights concerning those objects either some idea upon the object (Percy, 2016).
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Through this case, presently, consumers are attracted among the services moreover execute
dealings. The association named as Daz employs short term struggles such as passionate notices,
additional rate estimation concerning detergent powders rather soaps, rate estimation of off, free
treats and a lot more ideas to draw against consumers moreover for supporting the opportunities
within the business wherever numerous competitor occur.
Price:
Cost is upon that special object has purchased of the buyers. Aforementioned is
significant for considering for fixing the significant price regarding the object that is comparable
upon the emulators into the business area. The affiliation named as Daz needs to maintain low
costs in control to be aggressive and for accomplishing a more leading cost concerning single pie
on the grounds that numerous different brands are giving the same quality at lower costs.
Individuals need a financially well-informed item that offers a remarkable advantage in order to
money all is spending (Pearson, 2016). The prices concerning the events concerning this
affiliation named as Daz consolidate the budget concerning homemade stocks, generation,
constructing, and conveyance moreover highlighting values.
Product:
Merchandise has considered as a central purpose that is allowed in order for the consumer
for meeting the demands furthermore obliges. The affiliation named as Daz holds a great stock
range that is intended in order to various objects such as blemish elimination; smell furthermore
for maintaining the position regarding individual garments. These outcomes are accessible by
various characteristics such as soap that is made of liquid, cleanser powder, cleanser cubes,
tablets, so forth (Stobart, 2016). Specific characteristic concerning the outcome changes
furthermore these results remain in a friendly nature with the environment amidst exceptional
feature about eliminating significant blemishes. These outcomes are likewise accessible within
unconventional scents such as flavors concerning fruit, flavors concerning flower, so forth.
These outputs appear under various variants such as powders in order to wash clothes moreover
several more extended things.
Recommendation:
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