Innovation In The Beauty Soap In Bangladesh

M.S soap (ptv)deals in the manufacturing of quality beauty soap. It introduces innovation in the beauty soap in Bangladesh market. The innovation is introduced after identifying the consumer needs and problems. The name of this innovative soap is “MAGNUM”.

In order to identify the need of the consumer market a market survey was conducted for which a questioner was developed and the collected the situation of the market about the beauty soap. The information collected during the survey revealed us that there was need of much betterment in soap market. Therefore the firm M.S decided to launch new beauty soap with all necessary solutions for the problems of consumers.

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M.S considered the six P’s for the evaluation of the user market which are

People,

Product,

Price,

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Physical distribution,

Promotion

Power.

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PREFACE

The purpose of this project development is first to identify the needs and problems of people about beauty soaps and antiseptic then to provide them a better solution for their problems than the existing ones.

In accomplishment of this project we have used both primary and secondary sources for the purpose of gathering information. We have used the following resources to collect data and information.

Internet resources have also been used for the purpose of gaining information.

Special interviews with Doctor Azam Bukhari and Doctor Yousf Shami (Skin speclist) Allied Hospital Faisalabad.

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Interviews with market entrepreneurs were also conducted.

Six Ps i.e. People, product, Price, Physical Distribution, Promotion and Power are studied in this project which also covers the different areas of market demographically, psycho graphically and geographically.

For marketing purpose of this project the facility of electronic books is availed.

Market consultant Mr.Sheraz Saleem for the promotion of Magnum.

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Chapter 1

INTRODUCTION

Beauty soap is basically one of the basic necessities of life for human body. People use different beauty soaps and antiseptics for washing their whole body.

Need Analysis

INFLECTION

In Bangladesh mostly raining season. Due to rain many inflection are common in the Bangladesh people.

HEALTH CONSCIOUS PEOPLE:

The company also focus the people who conscious about their health.

SKIN CARE:

Skin problem is general problem in Bangladesh. They want new product to solve their problem

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SOLUTION

So there was need for new beauty soap with high quality, innovative features and reasonable price solving consumer problems. A new firm named as “M.S” launched a new soap with all these features to fully solve the consumer problems. The soap contains all the features demanded by the target market.

Launching strategy

This new trend of launching product was only after a long research and using the six steps for new product development.

Identification of customer needs

Generating ideas

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Screening ideas and evaluation

Business analysis

Developing market strategy

Development of product

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A firm should be market oriented, it means customer preferences and needs should be the top priority. So our firm “M.S” has always been giving top priority to the consumers’ need and wants.

Magnum has its market throughout Bangladesh, where the income of people is lowest in the world but the market has potential in catalogue business due to 141,000,000 populations.

Product market contains an interrelated group of brands whose relationship concerning need substitution and competition are strong enough so that others influence each brand’s sales in the product market.

There are many other factors in our product market like the local beauty parlor shops and so me stores with a good reputation and brand loyalty like;

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COMPETITORS

Medicated soap

Beauty natural soap

Shanghai beauty soap

All the above are the competitors of our product with good brand loyalty and old names. Therefore, it will help us to make our strategy according to these market leaders, which are already satisfying the need of our potential buyers. It will change the composition of Bangladesh’s market of soap, which results in a new competition.

As the competition in the target market is high and the competitors are trying their best to satisfy the customers needs. The market has potential enough for penetration.

Chapter 2

People

People belonging to different races of life have different perceptions and different buying behaviors. Different People have different levels of satisfactions. As the income level becomes high, the satisfaction level also becomes high. Buying behavior is different in different people.

People of different regions have different styles, attitudes, values and preferences due to their different cultures and social customs, education, income and other factors. There buying behavior varies due to the change in their interests and opinions. While purchasing, people want their desired satisfaction and which affect their post purchase behaviors. If one acquires the desired benefits from the purchased product he then uses that product again to satisfy his need, which increases the usage rate of that product.

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By studding different feature segment we target the market. To establish the position of our “Magnum” in the mind of our target market we will develop multiple market mix strategy for each market segment.

Consumer market segment

First of all we segment of our consumer market of behalf of geographic segmentation.

GEOGRAPHIC SEGMENTATION

In geographic segmentation we are going to subdivide market in from of location, countries, cities, where people live and perform their duties.

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DEMOGRAPHIC SEGMENTATION

In Demographic segmentation we conduct “survey using power “this survey provide of population, income group, age, education,

All male and female our customer in Bangladesh.

Income group

EDUCATION

In demographic segmentation, education play an important role so all the educated people of Bangladesh are our customer beside uneducated also our customer.

Age

All groups of age in our segment.

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Social Class

L-L

M-L

U-L

L-M

M-M

U-M

L-U

M-U

U-U

The dark color indicates the heavy half of our product.

Target market

After segmented our consumer market strategy we select our target market by adopting our mass-market strategy we treat our total market as a single segment.

Chapter 3

Product

A product that provides benefits and solution of the customers needs and wants within a reasonable price is most likely by the consumers. A product should contain all the required features for customer satisfaction. The quality, design, price, brand, color, physical distribution and packaging all should be very effective.

People in Bangladesh are not completely satisfied with their beauty soaps, as they do not contain all the required satisfactory features. People were facing a number of problems and were not satisfied with their washing soap as they charge a high price without giving the expected results to their customers due to low quality.

To solve all problems M.S industry launched a new soap which satisfy all Bangladesh people.

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Product name

“MAGNUM”

LOGO

Water lily

Slogan

Your trust is our achievement

Innovation in our “MAGNUM”

In Bangladesh many beauty soap firms are work. But M.S give them extra qualities like Antiseptics, defend sun rays, controlling raining inflection, help flew effect.

INGREDIENTS OF “MAGNUM”

Vitamins A, D,K,E ,C .

Anti Septic

Erthyrocine

Hydrochloride (HCL)

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Peach & cream

Aloe & Olive

Peach & oil

Vegetable oil

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Perfume

Calcum powder

Gum rosin

Vitamins A, D, K, E, C.

Vitamins A B, C. give freshness of body and cleansor

Peach & cream

Peach & cream give softness of our bodies

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Peach & oil

Peach & oil helps us to remove pampers & giving excusive

Erythrosine

Erythrosine help us to control the flu.

Hydrochloric acid

It also controls the flu and sneezing.

MAIN FEATURES OF MAGNUM:

Some of the main features of newly launched MAGNUM soap are as follows.

MAGNUM is high quality beauty soap with all necessities.

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The soap with refreshing jasmine fragrance.

It is enriched with all vitamins, natural whitening and cleansing properties.

MAGNUM naturally revitalized and refreshed the skin.

The soap removes deep seated dirt and excess oils leaving skin naturally whiter.

The natural ingredients of MAGNUM give soothing and gloaning effect to the whole body.

It effectively removes and inhibits germs that may cause the skin infection and perspiration odor.

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The soap is thoroughly cleansing and pimple free.

QUANTITY

The prime soap will be available for consumption in the market in the following quantity

One 500grams+500grams = 1 kilogram pack

Packing and packaging

The prime soap is packed in poly ethane called plastic, which is designed very attractive and it contains all the needed information about the soap called packaging. The packing also contains the logo and slogan of prime soap.

PRICE:

M.S soap (Pvt) keenly focuses on the price of the “MAGNUM” and give full consideration to the price setting strategies. Company also kept in mind the consumers preference and buying behavior.

PRICING OBJECTIVE:

M.S soap (pvt) set the price that the customer should satisfy and profit would be earned. The firm has fixed such a price that the company may meet with its competitors. According to survey results customer is willing to pay high amount against good quality innovative product ” “MAGNUM

MARKET ENTRY STRATEGY:

Company are not involved in the price competition Because Company entered the industry with innovative idea and superior quality. LORDS FOODS LTD use marketing skimming strategy to enter the market. During survey we judge the mental level of the people, that they can pay some extra for the “MAGNUM” We also keep in mind the competitors situation in the market by the power of demand and supply.

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PRICE DETERMINATION:

In this process M.S soap (pvt) took the consideration on the following points which can be influenced our price determination.

COMPANY’S PRICE

M.S soap (pvt) analyzes the customer’s satisfaction and competition situation then set the price of “MAGNUM”. We set the price for customer which is 25/- Taka. For 250 Gms. In this price, the firm’s margin is 2.75/- Taka.

Different prices are set for different sizes of “”MAGNUM Other Prices are as follows

Weight

Price (Taka.)

250+250+250 gms

70

250 gms

25

125 gms

13

125+125 gms

23

DISTRIBUTOR PRICE:

M.S soap (pvt) made agreement with the distributors for the distribution of the “MAGNUM” and agree to give 5% as profit margin 5to distributors plus 2.5% to the retailers as profit margin.

PROFIT MARGIN GIVEN TO DISTRIBUTION CHANNELS

Company Distributor

Profit Margin

Profit Margin Ratio

Distributor

5 Taka

5%

Retailer

2.50 Taka

2.5%

COST ANALYSIS OF “MAGNUM”:

In the cost analysis give the single unit cost price of “”MAGNUM The detail of different cost involve in manufacturing process is given below.

Expense

Cost per unit (Taka)

Raw material

6

FOH expenses

3.25

Direct Labor expenses

2

Administrative cost

2.25

Marketing & selling cost

3

Packing cost

.75

Miscellanies expense

1.25

Income and sales tax

3.75

Company’s profit

2.75

Price per 250 gm

25

Promotion

Promotion is very important element of marketing mix promotion is very necessary for success of product so regarding our product we focus very much on this element of market mix.

LOGO

Our Logo is

Water Lily

Slogan

Our slogan is:

“YOUR TRUST IS OUR ACHIVMENT”

PRINT MEDIA

POSTERS & BUNTINGS:

M.S soap (ptv) also designs their advertisement companion through posters and buntings.

Type

No Unit

Per unit cost

Total cost

Per unit Tax

Total Expense

Posters

50000

2.25

337500

.65

435000

Buntings

400000

1.0

400000

.35

540000

Total

650000

——

——–

———

975000

AD EVENTS

M.S soap (ptv)also conduct add event for the promoting of MAGNUM”.The cost and expense are given as below.

Location

No. of events

Per event expense

Tax

Total expense of events

Dhaka

13

1,800,000

90,000

1,890,000

Barisal

5

900,000

25,000

925,000

Chittagong

7

100,000

30,000

1,030,000

Sylhet

4

810,000

20,000

830,000

Khulna

3

600,000

15,000

615,000

Rajshahi

3

300,000

10,000

310,000

Total

35

4,510,000

190,000

4,700,000

NEWSPAPERS

M.S soap (ptv)Company also advertised their product in famous news papers of Bangladesh.

News papers

Add size

Add per day rate

No. of days

Total amount (Taka)

Bangladesh Today

8 X 10

20,000

10

200,000

Aganta

8 X 10

17,000

10

170,000

THE News Today

8 X 10

15,000

10

15,000

News Age

10 X 10

20,000

10

200,000

Total

40

585,000

OUT DOOR MEDIA

Bill Board

Bill Board is also major factor of advertisement, therefore company also focuses the bill board at the various famous places of the cities.

City

NO. Of

Bill board

Preparation cost (1 Board)

Total cost

Booking per month

Dhaka

20

25,000

500,000

15,000 X 20

Barisal

8

25,000

200,000

8,000 X 8

Chittagong

10

25,000

250,000

10,000 X 10

Sylhet

6

25,000

150,000

7,000 X 6

Khulna

5

25,000

125,000

7,000 X 5

Rajshahi

5

25,000

125,000

7,000 X 5

Total

54

———–

1,350,000

576,000

Banners

City

No. Of Banners

Cost 1 Banner

Total

Dhaka

2,000

50

100,000

Barisal

1,000

50

50,000

Chittagong

1,500

50

75,000

Sylhet

800

50

40,000

Khulna

700

50

35,000

Rajshahi

700

50

35,000

Total

6700

—-

335,000

Electronic Media

Television & Radio

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Channel

No. of Add (in a Day)

Per Add cost

Total

B T V

20

95,000

190,000

Local Cable operator

18 Hours Slides & Logo

– – – – – –

5,000

Bangla Radio

50

1,000

50,000

Total

245,000

Physical Distribution

In short the intensive coverage of market is the basic aim of distribution of our product, which is “MAGNUM”

We divide our distribution channel in six major segments.

Dhaka

Chittagong

Barisal

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Khulna

Rajshahi

Sylhet

Positioning is the most important factor in getting market share, as it is a consumer good so highest intensity is favorable.

Following will be the channel of “MAGNUM”

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CHANNEL OF

The channel of our product will consist of the following members:

Manufacture

Agent/Distributors

Wholesalers

Retailers

Consumer

Distribution Channel

For Consumer Goods

Manufacture

Agents / Distributor

Whole Seller

Retailer

Consumer

Mark ups of distribution channel:-

“MAGNUM”will provide Mark Ups to its channel as under:

Distributor’s Margin: 05%

Wholesaler’s Margin: 07%

Retailer’s Margin: 09%

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number of distributions, whole sellers, &retailers:-

Name of city

Number of distributors

Number of wholesaler

Number of retailers

Dhaka

10

25

121

Chittagong

09

22

115

Khulna

08

20

110

Barisal

07

15

105

Sylhet

05

12

95

POWER:

In power. M.S soap (ptv) give great consideration to all those threats which can be disturbed the demand and the supply of product “MAGNUM”

and try their best to solve all problems.

The Following Government Organizations/ Departments that might may interrupt the company business

Income & Sales Tax Department

Foods Department

Electricity Supply Company

Water Supply Company

Gas Supply Company

Quality Control Organizations

Municipality

Audit Department

Keep in mind these departments the company made a policy, and make an other department to handle them.

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