STRATEGEM CASE

Introduction
Demand for deodorants in India is expected to continue to grow over the forecast period. Changing
lifestyle trends and a greater emphasis on hygiene, coupled with increasing availability due to the
growth of modern retailers, is expected to continue to drive demand for deodorants over the forecast
period.

Company background
ABC Inc. is one of the leading FMCGs of the world based out of USA. ABC produces personal health
care products under various brands and is the world leader in the detergents division. The personal
care products include soaps, shampoos and deodorants. The company also has a minimal presence in
the food and beverages market worldwide. The company founded in 1920 has a revenue of about $50
billion.
ABC started producing deodorants in the USA and is currently making a revenue of $1 billion. In the
deodorants market, the company is currently holding three products in different price ranges in North
America and Europe. The deodorants market is currently growing at a CAGR of 6%.
The categories of products produced are given below (Price is for 150ml after converting to Rupees)
1. Budget (100-150)
2. Mid-Range (200-250)
3. Luxury (750-1000)

ABC Inc. in India

ABC is amongst the fastest growing consumer goods companies in India. ABC India serves over 150
million consumers across India. It has a huge presence across the Household Care segment including
laundry detergents, additives and fabric enhancers, and home care products, including dishwashing
liquids and detergents, surface cleaners and air fresheners as well as the Health & Well Being segment,
such as toothbrushes and toothpaste, with trusted brands that are household names across India.

Current industry trend

Use of deodorants in India is still largely an urban phenomenon and has yet to even penetrate all
consumers in urban centres. According to Euromonitor International data, over 67% of the Indian
population lives in rural regions, which remain largely untapped markets. Rural consumers in India
continue to use talcum powders and local fragrances such as Attars and fragrance oils. In addition, the
median age of the Indian population is 27 years, with around 77% of the population being below the
age of 45. As a result, opportunities for growth within deodorants remain high in India as the
population is still very young and a large percentage of consumers are yet to start using products in
this area.

Questions
Putting yourself in the shoes of a consultant of C2X which is hired by ABC Inc., review the
scenario and address the questions below.
Important - The company has the resources to invest in only one category of the deodorant
Q1. In which geographic regions (rural/urban) will you focus on selling the product?
Q2. What should be their product portfolio and also suggest a suitable price?
Q3. Give the estimated demand forecast - quarter wise for next year?
Q4. Also, what are the things to consider while designing the overall supply chain strategy?

General Case Instructions

Format of Submission:
a) Please prepare a presentation of NOT more than 5 slides.
Include an extra slide stating your institute name, team name and team members names.
b) The submission should be made as a .PDF file ONLY

Content of Submission:
a) The slides should clearly capture possible & reasonable solutions to the problems faced by
ABC Inc.
b) Please clearly indicate the assumptions made while proposing the solutions along with
references/sources used