Marketing Project

Product : Safeguard
(By: P&G)

Instructor: Sir Ahmed Qammar

Section: MBA-fall2006-C-B7

Submission date: 19/12/2006

Submitted by

Husnain Abbas
(033)
Muhammad Abubakar
(045)
Tahir Shehzad Siraj
(102)
Ghulam Akbar
(024)
Sahid Mubeen
(096)
 2

Product Introduction

Safeguard, launched in 1995 by Procter & Gamble has set new

standards for defining
bacterial soap that provides
ordinary soaps making it the
throughout the world. In
various other needs such as
odor. Safeguard® is the No.
bar soap registered with the
excellent germ protection for the whole family.
"health & hygiene" in Pakistan. It is an anti-
germ protection for twice as long as
doctors' number 1 recommended choice
addition to germ protection, it also caters to
beauty care and protection against sweat
1 antibacterial soap worldwide; it is the only
FDA. Safeguard is designed to provide

Safeguard Soap a product of Procter & Gamble

Based on clinical testing, Safeguard provides both effective germ removal and deodorant
protection . Effectively removes germs, yet is mild enough for the whole family, Also provides
deodorant protection. Safeguard is manufactured by Procter & Gamble (P&G). In Pakistan its
manufacturing plant is located at Hub,Balochistan.

About Our Company

Established in 1837, The Procter & Gamble Company began as a small, family operated soap
and candle company in Cincinnati, Ohio, USA. Today, P&G markets almost 300 products to
more than five billion consumers in 140 countries, Pakistan being one of them.
 3

History
Procter & Gamble started its operations in Pakistan in 1991 with the goal of becoming the finest
Global Local Consumer Goods Company operating in Pakistan.

Corporate Responsibility
P&G believes in working with and within local communities to respond to their social needs and
help them develop their strengths. P&G Pakistan has initiated and runs several programs

P&G Background
Welcome to the P&G Pakistan site - P&G Pakistan is a subsidiary of the Procter and Gamble
Corporation, the leading consumer goods company with a mission to improve the lives of
consumers wherever it operates

P&G is an international Company reaching out to almost the entire world population with more
than 250 brands in 130 countries. Many of these world brands (Ariel, Tide, Pert Plus, and
Pantene pro-V, Head & Shoulders, Pampers and Always) have become famous household names
and are found in almost every home.

Headquartered in Cincinnati-Ohio in the USA, P&G has local operations across the globe in
more than 80 different countries, including numerous manufacturing sites and 18 R&D-technical
centers. P&G is an internationally owned company with publicly traded shares, currently owned
by over one million shareholders from around the globe.

P&G employs over 100,000 people from all over the world, spread evenly between 1-USA, 2-
Europe/Middle East and Africa and 3-Latin America/Asia. P&G hires and respects individuals
regardless of race, color, religion, gender, age, national origin, citizenship or disability, and
actively promotes diversity within its organization as well as in its business operations.

Fundamentals to Win
P&G's goal is simple - "to create the most successful global brands in every category
everywhere we compete. And we have the strength to do it"

Today P&G has more leading brands than any other consumer good company in the world. It
has strong relationships with its retail customers around the world. And innovative people
continue to set industry standards.
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Big Leadership Brands

P&G's mega brands generate significant sales and hold strong leadership positions. Eight brands
are global leaders in their categories. Ten P&G brands each generate over a billion dollars in
sales every year - far more billion-dollar brands than its key competitors. The 10 largest brands
together would be a Fortune 100 company. The company has several other brands already in the
market that it believes have billion dollar potential.

Superior Customer Relationships

In a recent survey by Cannon dale Associates, retailers were asked to rank manufacturers on a
number of competencies. P&G was ranked number one in virtually every category.

 Clearest Company Strategy

 Brands Most Important to Retailers
 Best Brand Marketers Overall
 Most Innovative Marketing Programs

Product Offered In Pakistan by P&G

Head & Shoulders

Head & Shoulders is the world's leading Anti Dandruff shampoo. It has been awarded "the best
Anti Dandruff shampoo" by many medical associations including US dermatologists. In
Pakistan, H&S has a 65% market share of Anti Dandruff shampoo segment. It has consolidated
this position since the new Renaissance launch. The new, best ever formula for Head &
Shoulders contains extra moisturizers which clear away dandruff and also leave hair looking
beautiful.
There's really no need to feel uneasy about having dandruff - all you need is the right solution.
Head & Shoulders® has been providing that solution for more than 35 years, as well as leaving
hair manageable and looking great. We've offered some information here on dandruff and related
scalp conditions to help you understand them better.

Ariel
In July 1997, Ariel was launched in Pakistan based on a sophisticated and advanced formula. Its
breakthrough formula was warmly welcomed by the Pakistani consumers. Thanks to the use of
latest detergent technologies, the new Ariel is able to deliver great end-results on cleaning and
whiteness maintenance
 5

Safeguard
Safeguard, launched in 1995 by Procter & Gamble has set new standards for defining "health &
hygiene" in Pakistan. It is an anti-bacterial soap that provides germ protection for twice as long
as ordinary soaps making it the doctors' number 1 recommended choice throughout the world. In
addition to germ protection, it also caters to various other needs such as beauty care and
protection against sweat odor

Herbal Essences
Herbal Essences' shampoo formula has been specifically developed to deliver a richer, more
sensuous lather using ingredients known as ‘lather boosters’ which stop each bubble from
bursting too soon. The result is longer lasting and ultimately more fabulous lather which
cleanses hair softly feeling wonderful to the touch

Camay
In 1926, the world was introduced to the finest and most sophisticated of luxuries - Camay; and
in 1994, the pleasure was brought to Pakistan. Different in its very essence, defining beauty in a
totally different way from other soaps, Camay stands apart in a league of its own. Camay is not
just soap; it is a feeling - of beauty from within. In a world short of time, Camay is about finding
time and pampering yourself. The person that resides inside needs importance and attention.
Camay is for spoiling you, because "you" are the most important person in your life.

Pantene
The Pantene Pro-V line of shampoos is the best selling shampoo and conditioner system in the
world loved by women in more than 100 countries. Pantene has always been on the cutting edge
of hair care technology being the shampoo that provides solution to different types of hair
problems. Pantene was launched in Pakistan in 1995 and currently every 6th female shampoo
user uses Pantene for her hair care needs. Pantene in Pakistan has 5 variants that provide
solution to different hair problems as below:

Always
Procter & Gamble is one of the world’s largest manufacturers of products for feminine
protection. In 1984, P&G introduced the Always line of feminine hygiene pads onto the USA
market and it rapidly became the global market leader. In 2001, Always was successfully
introduced in Pakistan to be the first advanced hygiene pads in the market, representing a
milestone in the progress and development of Pakistani women. As in many Muslim societies,
women in Pakistan are concerned about their cleanliness and hygiene during menstruation. But
unlike the former, Pakistani women have been behind in using proper hygiene protection. Only
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9% of women in urban Pakistan use disposable pads, the remaining use cloth and other home
made means of protection. The key reason behind this is the prior existence of low quality
products in the market.

Pampers
In August 2000, Procter & Gamble launched Pampers in this country in Pakistan. Local
consumers now benefit from this globally renowned product that is approved by standards of the
Human Safety Reassurance Program and also endorsed by the International Society of
Pediatricians. Imported from Saudi Arabia, Pampers is packed locally and aims to provide a
better parenting experience to Pakistani mothers. The special feature of Pampers is the new
diaper core design including a new dual acquisition system which helps to improve the condition
of baby's skin through a better dryness performance. The Pampers core takes in urine from the
diaper surface after loading. Fast acquisition minimizes baby's contact time with the skin. A
homogeneous blend of cellulose and a very absorbent material result in efficient distribution of
the GM. The storage technology locks the urine away so that it cannot return to the baby's skin.
Leg elastics, barrier leg cuffs and the waist shield are added to provide greater leakage
prevention. The fastening strips allow the diaper to be refastened over and over again. Balsam
lotion on the top-sheet provides comfort and moisturizing to baby’s skin, each time he moves.

Pert Plus
Hair's just dead stuff on your head, right? Well, yeah, on some people it looks like that. But not
you. Not after you've lathered, rinsed and repeated with Pert Plus Shampoos and their awesome
clean conditioning technology. What's that, you ask? It's the unique way Pert Plus works. It
cleans, conditions, then it gets outstay there. It doesn't hang around to weigh hair down. No
waxy residue. No build-up. None of those listless, slacker follicles. It's water-based, so hair
rinses clean. Suddenly hair is shining and lively-looking. Dare I say it's billowy? Yes. Thanks to
a shampoo that knows when to quit.

Oil Of Olay
First launched in the 1950's, Olay rapidly became an essential part of many women's' lives.
Today the brand is enjoyed by 70 million women worldwide and it continues to add new
products which enhance women’s natural beauty. Oil of Olay was launched in Pakistan in 1992.

Vicks
Vicks is a well-established and leading brand for cough and cold Relief across the world.
Globally, there are a broad range of products under the Vicks umbrella, ranging from Multi-
symptom relief medicine (Nyquil and Dayquil) to the world famous Vicks Vaporub to other
cough and cold relief syrups (Formula 44), tablets (Action 500), and drops. In Pakistan Vicks
 7

Vaporub is the leading external medicine brand for cough and cold relief while Vicks Throat
Drops are fast gaining acceptance as an instant relief for throat irritation. In the years to come,
the Vicks team in Pakistan will introduce more and more of its successful products to the
consumers of the country

PUR
Pur is a cost effective, authentic and comprehensive water treatment technology, which aims to
provide safe drinking water at the household level. Developed by the Procter & Gamble Health
Sciences Institute in collaboration with the International Council of Nurses (ICN) and the
Centers for Disease Control and Prevention (CDC), Pur counters bacteria, viruses, pathogens,
heavy metals such as arsenic and lead, organics, and turbidity in your drinking water. Pur
effectively deals with impurities that have the potential to cause Typhoid, Cholera, Dysentery,
Diarrhea, Hepatitis, and intestinal infections. Pur has been widely tested and proven effective in
providing clean drinking water for people in the developing world.

Pringle
What would life be without American icons? We're talking' about blue jeans, soda pop, and, of
course original Pringles in that famous red can. What are you waiting' for? Open a can and bite
into a classic. Also available in 50-gram and 100-gram cans.

Marketing Environment
The actors and forces outside marketing that affect marketing management’s ability to build and
maintain successful relationships with target customers.

Micro Environment
The actors close to the company that affects its ability to serve its customers- the company,
suppliers, marketing intermediaries, customer markets, competitors and publics are called macro
environment.

Competitors
The marketing concept states that to be successful, a company must provide greater customer
value and satisfaction than its competitors do. Thus, marketers must do more than simply adapt
to the needs of target consumers.
Safeguard has many direct and indirect competitors which are competing with Safeguard to gain
larger market share.
 8

Direct Competitors
By direct competitors, we mean brands which are targeting the same market segment targeted by
Safeguard. Our direct competitors are:
 Lifebuoy
 Dettol
 Protex

Lifebuoy
Lifebuoy is one of Unilever's oldest brands, a brand that was truly 'global' before the term
'global brand' was invented. Lifebuoy Royal Disinfectant Soap was launched in 1894 as an
affordable new product in the UK, to support people in their quest for better personal hygiene.
Since 2000, major changes have been made to the classic Lifebuoy soap bar to ensure that it
provides improved hygiene protection and a more enjoyable healthy washing experience for its
billions of consumers.

Dettol
Dettol is a product of Dettol Corporation. It is an anti-bacterial soap. It contains an active skin
moisturizer, leaves skin reassuringly clean and moisturized, and available in 125g bar.

Protex
It is a new anti-bacterial soap introduced by Colgate Palmolive (Pvt) Ltd, available in 100gm bar

Analysis
Dettol is a very good anti-bacterial soap, but it is unable to market its brand aggressively. Dettol
is not considered as soap for the whole family, whereas Safeguard markets itself as an anti-
bacterial soap for the whole family. Safeguard made people feel that you need to protect yourself
against germs and Safeguard is an aegis against germs.
Lifebuoy is very old brand Liver Bros, but it is perceived as inferior to Safeguard. In the
beginning Lifebuoy red was the only product coming as Lifebuoy. Most of the people, even
today, do not know that Lifebuoy red is an anti-bacterial soap. After launching of Safeguard,
Liver Bros introduced the Lifebuoy Gold. Lifebuoy Gold smells good and comes in white color,
but, still, it is perceived as low quality product than Safeguard.
Protex is a new comer. Its brand name is not very strong. So, Protex need to work hard and to
come up with some unique differences to cope with Safeguard.
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Indirect Competitors
By indirect competitors, we mean brands which are targeting the same market- soap market- but
different segment. Indirect competitors of Safeguard are

 Lux
 Camay
 Capri
 Palmolive
 Imperial Leather

Lux
Lux is product of Uni-liver. We all want to be pampered and to look and feel beautiful. That's
why Lux offers a range of highly appealing beauty products at a price you can afford. It comes
in 130 gm, 80 gm and 60 gm bar. The price of 130 gm bar is 22.00 Rs., price of 80 gm bar is
14 Rs. and the price of 60 gm bar is 10 Rs.

Camay
Camay is also a product of P&G. In 1926, the world was introduced to the finest and most
sophisticated of luxuries - Camay; in 1994, the pleasure was brought to Pakistan. Different in its
very essence, defining beauty in a totally different way from other soaps, Camay stands apart in
a league of its own. Camay is not just soap; it is a feeling - of beauty from within. In a world
short of time, Camay is about finding time and pampering yourself. The person that resides
inside needs importance and attention. Camay is for spoiling you, because "you" are the most
important person in your life.

Palmolive
It is product of Colgate Palmolive (Pvt) Ltd. It is a beauty soap and it is easily available at any
market. It comes in 120 gm and 75 gm bar. The price of 120 gm bar is 15 Rs. and 10 Rs. for 75
gm bar.

Capri
It is product of Zulfeqar Industries Ltd. Pakistan. It comes in 130 gm and 90 gm bar. The price
of 130 gm is 22.00 Rs. and price of 90 gm is 14.00 Rs.
 10

Imperial Leather
It is product of PZ Cussons International Ltd. Stockport England. It comes in 125 gm bar. The
price of 125 gm is 22.00 rupees.

Analysis
Lux, Camay, Capri, Palmolive are all beauty soaps. They are all targeting consumers who are
more beauty conscious, especially females. Safeguard is also attracting customers from this
segment as well, because it is promoting itself as an anti-bacterial soap which is mild enough
and can be used by the whole family. Safeguard is also coming with benefits of Aloe Vera,
which is used by women to take care of their beauty. These additional features are making
people believe that they can take care of their skin along with protection against germs.

Financial Condition
The financial condition of P&G is very sound. It has shown good growth rate in recent years.
So, company can easily satisfy all its transactions and is able to support all its products as well
as Safeguard.

Macro Environment
The large societal forces that affect the microenvironment- demographic, economic,
technological and political is called macro environment. The company and all other actors
operate in a larger macro environment of forces that shape opportunities and poses threats to the
company.

Demography
The study of human populations in terms of size, density, location, age, gender, race, occupation,
and other statistics is called demography.
The demographic environment is of major interest to marketers because it involves people and
people make up the markets. The population of Pakistan is growing at an explosive rate. The
Pakistan’s large and diverse population poses both opportunities and challenges. Changes in the
demographic environment have major implications for businesses. Age structure of Pakistan is
as follow.

 0-14 years: 39%

 15-64 years: 56.9%
 65 years and over: 4.1%
 11

Safeguard is targeting the whole family, but it is putting more emphasis on children. Children
are more vulnerable to germs and they need more protection, because they spend more outside
the home playing around. Age structure of Pakistan suggests that almost 40% of population of
Pakistan is 14 and less than 14 years. So, we can conclude that marketing efforts of Safeguard
are in compliance with the demography.
The literacy rate in Pakistan is increasing. According to statistics, 48.7 % of population ageing
from 15 and over can read and write. As long as literacy rate increases, people will become more
of germs and that will help Safeguard grow.
Religion of Pakistan is Islam. Islam gives great importance to cleanliness. So, religion of
Pakistan is very supportive to the cause and marketing efforts of Safeguard.

Social Trends

Social trends in the Pakistan are changing. Now, people are getting more conscious of their
health. They are more aware of threats posed by bacteria and other germs and want to protect
themselves against germs. The campaigns launched by Safeguard also make people recognize
that they should protect themselves against germs, because these germs are the biggest cause of
diseases.

Market Positioning
Arranging for a product to occupy a clear, distinctive and desirable place relative to competing
products in the minds of target consumers is called marketing positioning.

Beyond deciding which segments of the market it will target, the company must decide what
positions it wants to occupy in those segments. Safeguard has positioned itself as an anti-
bacterial soap which gives you 24 hours protection against germs.

Analysis

Safeguard has positioned itself in very unique manner, that is, it is the only anti-bacterial soap
which gives 24 hours protection against germs. No other anti-bacterial soap has managed to
promote this sort of idea.
 12

Target market for safeguard

Before we describe the target market for safeguard we must look first what the target marketing is .

Target marketing

The process of evaluating each market segment’s attractiveness and selecting one or more segments to
enter To understand the target marketing we must understand that what is market segmentation.

Market segmentation
Dividing a market into two smaller groups of buyers distinct needs characteristics or behavior we might
require separate product or marketing mix.

There is no single way to segment a market , company use different segmentation variables in market
structure. For their product they use the main segmentation to find out their target consumer market is
that they divide the soap market into three main segments .

1. Anti-septic
It is that market segment which are very conscious about their health ,like Athletes.

2. Beauty care soap

In this segment consumer are more concern with beauty ,they want to look better .

3. Soap free body cleaner

The third segment consist of consumer which are very sensitive, they are more concern with their
skin and believes that soap’s can destroy their skin ,they like to use soap free body cleaner.

Our product

Our Product target the anti septic market segment, the consumer of this segment are well aware to the
anti septic function of the product ,they are more concern with health care they try their best to clean
their body ,as much as possible, from the dangerous germs as well as from dust. they may include
sportsmen, worker, engineers, medical staff, est.

As we early mentioned that for product they use different segmentation variables in combination here
we describe some of them in detail.
 13

Demographic segmentation

Our product is for the whole family everyone can use it but as there is a large fraction of kids in age 1-16
years in Pakistan ,we take more interest in them it is basically due to our market strategy, but kids are
not our only market segment our product is for the whole family .
We also segmented our market with respect to the income of the family ,a family earning Rs = 10000
or more per month can afford it .
Education also helps us to find out the target market , we mainly target educated people or at least who
can understand the benefit and function of our product easily, that’s why our target segment are usually
concentrated in the cities where literacy rate is high than in the villages where people do not concern
mainly with their health..

Psychographic segmentation

Psycho graphically our product target three social classes mainly.

1- Middle class.
2- Upper middle class.
Lower-upper also include to some extent.

Behavioral segmentation
Behaviorally we target the consumer who believe in quality and economy, regular users are also our
target.

Geographic segmentation

Geographically there is no specific segmentation , they launched their product in the whole country ,and
deliver it where we can reach, but cities have more density of our consumer’s than in villages.

So these are the main segment s which company use to make the target market for their product they
use these segments in combination to make the whole target market for their product .
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Marketing Mix

The set of controllable tactical marketing tools ___ product, price, place and promotion____ that
the firm blends to produce the response it wants in the target market.

Product

Anything that can be offered to market for attention, acquisition, use or consumption that might
satisfy a want or need.

Brand

A name, term, sign, symbol, or design, or a combination of these intended to identify the goods
or services of one seller or group of sellers and to differentiate them from those of competitors.

Brand of the product is:

• Safeguard

Brand name is selected very carefully. It suggests some ideas about the qualities and benefits
that product gives, whereas brand name of competitors such as Dettol and Lifebuoy do not give
any such idea to customers. It is easy to remember. It is easy to pronounce.

Classification

Safeguard is classified as a convenience product. Convenience product is a product that the

consumer usually buys frequently, immediately, and with a minimum of comparison and buying
effort.

Levels Of Product

Products are designed on three levels, which are core product, actual product and augmented
product.

Core product

It can be defined as the core problem solving benefits or services that consumers seek. Our core
product is an anti-bacterial soap.
 15

Actual Product

Core product is turned into actual product by developing product features such as design, quality
level, brand name, and packaging. Safeguard is our actual product, which is a high quality anti-
bacterial soap.

Augmented Product

Augmented product is built around core and actual product by providing additional services and
benefits to consumers. Safeguard is providing additional benefits by offering Safeguard Lemon,
Safeguard Menthol, and Safeguard Aloe Vera.

Safeguard Lemon

Safeguard lemon is an anti-bacterial soap, which protects you from germs and gives you
freshness of lemon. It comes in 125 gm and 75 gm bar.

Safeguard Menthol

Safeguard Menthol is an anti-bacterial soap, which protects you from germs and gives you
coolness of menthol. It comes in 125 gm and 75 gm bar.

Safeguard Aloe Vera

Safeguard Aloe Vera is an anti-bacterial soap, which protects you from germs and leaves your
skin soft and moisturized. It has benefits of aloe vera used for centuries by women to take care
of their beauty. It comes in 125 gm and 75 gm bar.

Safeguard White

Safeguard white is a standard Safeguard soap, which protect you from germs and leaves your
skin soft and moisturized.

Packaging

The activities of designing and producing wrapper for a product are called packaging. Safeguard
is packaged in a wrapper which is colored according to augmented product.
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Labeling

Labeling of Safeguard is very attractive. Safeguard’s logo, price of a bar and sales tax is printed
on wrapper. Company name , the address of web site, and contact us numbers are also printed
on wrapper so that consumers , if they wish, can be able to get any information regarding
product and be able to file their complaints to the company.

Place

Place is a marketing term that includes company activities that make the product available to
target consumer.
P&G partners with a large body of independently owned dealership that sells the company’s
many different products. P&G selects its dealers carefully and supports them strongly. IBL (that
is the sole dealer of P&G products in Pakistan) keep an inventory of companies products
demonstrate them to potential buyers, negotiate prices, close sales and serves consumers to
delight them repeatedly

Product supply to consumer

Consumer can get it from any Departmental store, super store, Journal store, Utility stores etc.
The product distribution system is wide and it spreads all over Pakistan. Large number of
wholesalers and shopkeepers are involved in the distribution of the product.
it is available very easily from any nearby super stores even very small stores in street-corners
do have enough supply of the product to deliver to consumers.

Distribution channel

IBL(International Brands(Pvt) Ltd.) is the sole distributor of Safeguard along with other
products of P&G in Pakistan. Head office of IBL is located in Karachi, it has its regional offices
in each province, regional office for Punjab is located at Gulberg in Lahore. They supply
product up to 400 whole sellers and 6500 retailers in Lahore. In Punjab they have sub-regional
office located at Faisalabad.

Supply Chain

Supply chain in the country is made regionally by distributor of the product in each specified
region who then supply it to the local wholesalers and retailers. From retail stores the consumer
can buy it.
 17

IBL’s regional offices in Pakistan

International Brands (Pvt) Ltd.

Karachi Islamabad Peshawar Quetta Lahore Faisalabad

021 051 091 081 042 041
111828282 4431480 272360 840519 5762320 722297

Price:
Price is the amount of money customers have to pay to obtain the product. P&G offers
discounts, trade-in allowances and credit terms. These actions adjust prices for the current
competitive situation and bring them into line with the buyers perception of product’s value.
P&G acquires a strategy to set the prices for the products, it holds that the price should not be
settled down by the sellers view of the market but by the buyers view (in buyers view the price
is the cost which a customer can sacrifices in order to obtain that product) they see them selves
as buying value or solutions to their problems and customers are interested in more than just the
price, they are interested in the total costs of obtaining, using and disposing of a product.

Cost of the Product:

Consumer Price for 125 gm bar = Rs. 19.13+2.87 GST (Rs. 22)

Consumer Price for 75 gm bar = Rs. 13.04+1.96 GST (Rs. 15)

Margin of retailer:
Margin of retailer for 125 gm bar = 1.10 Rs.

Margin of retailer for 75 gm bar = 0.65 Rs.

The percentage margin for retailer for 125 gm bar is 5.75% and for 75 gm bar is 5%
 18

Margin of wholesaler:
Margin of wholesaler depends upon the quantity of the product, which means their profit ratio
increases as much as big lot they purchase usual margin is 3% upto 40,000 Rs. Purchase and it
increases by 2.5% as they purchase more than 40,000 Rs. On normal purchase their estimated
profit on one bar of 125 gm is 0.55 Rs. And for 75 gm bar is 0.35 Rs.

Margin of Distributor:

Margin of distributor is approximately 8% which can vary in order to discounts offered to

wholesalers. Distributors approximated cost for one bar is 16 Rs.

Prices of competitor

Price Range of Direct competitors in local outlets

1 Dettol
For 125 gm = 21 Rs.
For 75 gm = 14 Rs.

2 Lifebuoy
For 90 gm = 10 Rs.
For 135 gm = 14 Rs.

Price Range of some Indirect competitors in local outlets

1 Lux
For 130 gm = 22 Rs.
For 80 gm = 14 Rs.
For 60 gm = 10 Rs.

2 Capri
 19

For 130 gm = 22 Rs.

For 90 gm = 14 Rs.

Estimated cost of Safeguard

To estimate the original cost of safeguard first we have to estimate the cost of retailor wholesaler
and distributor that is

Cost of retailer for 125 gm bar = 18.00 Rs

Cost of wholesaler = 17.45 Rs.
Cost of distributor = 16.00 Rs.
So 16 Rs. Is the sale price charged by the company for each bar of 125 gm. The orginal cost of
the product for company can not be calculated because this information is kept confidential by
the company. But considering some assumptions we can estimate the profit retained by the
company.

Assuming that if their profit margin is 25% so their cost is 12 Rs. For each 125 gm bar that
includes material, labor , labeling and packing est.

Promotion
“Promotion stands for the various activities the company undertakes to communicate its product
merits to persuade target/potential customers to buy them”.
In general, promotion consists of four major areas advertising, sales promotion, public relations
and personal selling, though not all may be used.

1. Advertising
2. Sales Promotion
3. Public Relation

Advertising
The Safeguard company has allocated sufficient resources to different market segments.
Adequate resources are provided for product development, advertisements, promotion and other
marketing mix elements. It can be observed in the advertisements.
 20

Different advertisement methods used by company

Advertisement through media
Media has become a most powerful tool ever to advertise a product. It can help a company to
convey their message to billions of potential consumers. Safeguard is spending heavily on media
campaign.
They play documentaries in the form of cartoons in which they teach children that how
safeguard can protect them from germs who are always around them. They are playing programs
in which there is a contest among school children in which they ask questions about their
cartoon documentaries. They also communicate with parents that how they can keep their
children safe and healthy.

Advertisement through print media

Print media as we know consists of newspapers, magazines etc. Safeguard is effectively using
this media to convey their message. It is less expensive as to T.V media. They try to
communicate their message through puzzles, stories and games.

Advertisement through Internet

The internet is also very effective media that is used by safeguard. Company launched their
website to convey their message about Safeguard. All information about the product is available
on the website. Basically the website is to attract children (www.commandersafeguard.com).

Advertisement through Billboards

They made advertisement through billboards On main roads and at main points they installed the
billboards of safeguard to capture the attraction of people

Advertisement Through Posters

Safeguard use this method to attract the people this method is less expensive
 21

Cutouts from newspapers

 22

Cutouts from newspapers

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Promotion
It is a short term approach through which they try to stimulate the sales of safeguard among
their customers. Advertising offer a reason to buy while sales promotion offer an incentive to
buy. Sales promotion includes consumer promotion, trade promotion and business and sales
promotion. Sales promotion seems most effective when used together with advertisement.

Consumer promotion tools

Samples:
They provide samples in schools to children in their hygiene program.
Prizes:
They give prizes to children in schools to attract them as they will be potential buyers in future.
Safeguard also gives prizes to its retailers like wall clock on the basis of their sales
Price Packs:
Safeguard also use price packs technique to promote their product.

Trade promotion tools

Discount:
They provide discounts to wholesalers and retailers up to 2.5%. There is no discount for end-
user.

Business promotion tools

Conventions
They arranged conventions to promote their product in start when they launched hygiene
program to educate the people.

Business Trips
They also arrange business trips in foreign countries for whole sellers and retailers who achieved
maximum sales in a particular year.

Public Relation
Building good relations with various publics for obtaining favorable publicity, building up good
corporate image, and handling or heading off unfavorable rumors, stories and events public
relations have strong impact on public awareness at a much lower cost and built good relation
with customers.
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1 Press relations or press agency

Dawn print their add in their magazine because they sponsor that weekly magazine for children.
They have good relations with other press media as well.
2 Product publicity
3 Public affairs
4 Investor relations
Safeguard use public relation and they went to school and give information to children about
germs and tell them that how they can protect from germs

Ethical Issues

There are no ethical issues related to Safeguard. Rather, it is good for general health of society.
Sehat-safai campaign launched by P&G is intended to create awareness among people that they
should take care of their health. This campaign has been very successful , now, people of
Pakistan are more conscious of germs and giving importance to cleanliness.

Conclusion
Safeguard is an anti-bacterial soap which protect its users against germ causing a lot of diseases.
Safeguard has positioned itself in very unique manner. It claims that it is the only anti-bacterial
soap which gives 24 hours protection against germs. Safeguard has launched very successful
advertising and promotion campaigns. Before launching of Safeguard in the Pakistan, Lifebuoy
and Dettol__ anti-bacterial soaps__ are there in market, but people were not that much
conscious about their health and germs protection. Safeguard has made them aware that they
should be protected against germs and bacteria and people should use an anti-bacterial soap
regularly and live healthy life.

Recommendations
• Safeguard can enhance their market share by advertising and campaigning in colleges
and universities just like as they did in schools for kids, also specially to start a
campaign for girls that safeguard can protect them from acne as well as can perform as
best beauty soap.
• By giving special programs and special offers on special occasions (like EID)
company can promote its product’s positioning and sales.
• Company should extend their sehat-i-safai program into towns as well as they are
doing in big cities.
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References
Websites
www.pg.com.pk

www.commandersafeguard.com

www.unilever.com

www.dettol.co.uk

Distributor
International Brands (Pvt.) Ltd.
Ghalib Market, Gulberg 3 Lahore
Contact number 5762320

Retailers
Irfan General Store
Allaqa Nawab Town, near Thokar Niaz Baig Lahore

United General Store

Ali Town Lahore