IMC Assignment - Group 4
IMC Assignment - Group 4
IMC Assignment - Group 4
GROUP - 4
0122/58 K Keerthi
0408/58 Lalrinchhana
To be submitted to
Research Methodology 2
About Fortune 5
About Saffola 5
References 16
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Research Methodology
● Objective:
We need to analyze the recent IMC campaigns of two widely used brands of cooking
oil in India, including both digital & amp; conventional media and other
communications activities. The brand personality and positioning must be analysed.
After that, we were tasked with launching a competing brand by an organisation that
has been in the packaged foods business for over two decades. Suggest the target
segment profile, positioning/brand personality, and IMC recommendations for the
launch.
● Brands in consideration:
Fortune & Saffola (India’s largest edible oil brands)
● We conducted secondary research through online forums, reviews, journals, etc. Our
goal from the secondary research is to find relevant data concerning the two widely
used cooking oil brands in India.
● We also conducted primary research with the brand's consumers for a better
understanding of the market landscape and perception of the cooking oil brands. We
gathered a sample of 87 participants in our study for in-depth interviews. To
comprehend brand awareness, perception, and positioning, we also developed a
survey questionnaire.
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Cooking Oil Industry Overview
Introduction
India currently is the world’s largest importer of edible oil in the world. The coronavirus
outbreak has adversely affected the food and beverage industries' ability to conduct
business, which has hurt the market for cooking oil.
In addition, the announcement regarding the closure of a sizable chunk of the hotel sector
has seriously hurt the sale of cooking oil. On the other hand, e-commerce sales have
increased during this period.
The product type, distribution method, and geographic regions are used to segment the
global market for cooking oil. The palm oil, soy oil, sunflower oil, peanut oil, olive oil,
rapeseed oil, and other cooking oils segments of the global market are separated based on
the type of product they are. The market is segmented into residential, food services, and
food processing based on end users. The market is divided into four groups according to the
distribution channel: hypermarket/supermarket, independent retail stores,
business-to-business, and online sales channels.
Current Trends
Cooking Oil Market size is estimated to reach $198.3 billion by 2026, growing at a CAGR of
5.1% during the forecast period 2021-2026 because consumers have more discretionary
income and are more conscious of healthy living and fitness.
Additionally, leading edible oil brands' aggressive marketing campaigns, consumers' evolving
tastes and preferences, an escalating population, and a shift in consumption habits toward
branded oils are all contributing to an increase in the consumption of edible oils.
The market for cooking oil is anticipated to grow more quickly as a result of strategic
alliances between market participants and the increasing use of processed meals.
However, it is anticipated that a growth-restricting aspect for the market would be the gap
between the output of cooking oil and the incoming demand.
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Most commonly used edible oils in India (Statista, 2022)
Growth Drivers
Population: The increase in population is directly related to increase in consumption of food
and processed food specifically, so with the growing Global and Indian population, the
processed and packed food consumption will witness a spike resulting in high demand for
cooking oil.
Consumer preference: Food products which are prepared with steam will not require oil for
preparing the meal, and subsequently demand for cooking oil will reduce. However, as per
current trend issued by Fortune Business Insights, consumers are preferring packaged and
processed food and this will increase the demand of cooking oil by restaurants, hotels, food
chains, home consumption etc.
Changing Demography: India being a young country with an average age of 28 years, the
young individuals have inculcated the habit of going out to eat and this has resulted in
visiting restaurants, food chains and other food stalls which has significantly increased the
demand for oil. Additionally, rising income levels and expansion of the middle class
population has also increased the desire to visit and try new processed and fast foods which
has added to demand increase.
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Dabur cold pressed oil, Emami etc to name a few. Thus, top of mind recall and brand
awareness among consumers is a key factor in selling edible oils.
Currently, even the market leader Adani Wilmar holds ~17% of the market share, while the
second place holder, Ruchi Soya owns just about 8% of the market share. The edible oil
market is currently a red ocean with ~60% of the market share being occupied by small
regional players.
About Fortune
Adani Wilmar, which is a joint-venture between Wilmar International Ltd. and Adani
Enterprise Ltd., is the owner of the Fortune brand. Fortune’s journey started in the year 2000
with the aim to take ‘ghar ka khana’ from good to great. Fortune began as an edible oil brand
which explored the flavours of the north-Indian kitchen. Fortune then extended its brand
offerings to products other than oil such as basmati rice, soya chunks, and so on. Fortune’s
portfolio of products currently has extensive product lines as well as depth.
About Saffola
Saffola is owned by Marico Limited. It was initially under Bombay Oil Industries that ventured
into the cooking oil market to organise the “disorganised” edible oil market in India with
loosely available cooking oil pouches in Kirana stores. In 1990, Marico Industries and
Bombay Oil Industries signed a pact that led to a complete handover of the Parachute and
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Saffola brand to Marico. Over the years Saffola as a brand has expanded its portfolio to
include products such as masala oats, instant noodles, rice, salt, and ayurveda inspired
Saffola Arogyam Chyawan Amrut Awaleha.
Over the years Fortune has often highlighted how light Fortune oil is that even after eating a
heavy meal you would still feel light and energetic. This time as well they are going forward
with the same angle however with Samantha Prabhu as the main protagonist. With
Samantha’s rising success at the box office and recently gained immense fame in the
country they wish to establish a stronger connection with the consumers through her. They
have remained consistent with their current positioning and target consumer group.
Fortune oil has adopted a 360-degree approach by tapping into all communication channels
to market and promote the product. The campaign is planned to be on-air for an average of
10-12 weeks throughout the year. They have actively used digital channels as well and have
taken advantage of the major festive seasons especially in the South for better brand
visibility. The campaign had strong visibility in stores as well.
Over the years Saffola always circles back to its old age formula of “healthy heart”.
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Saffola for many years has been able to target this emotional aspect that is very intrinsic to
all Indian households.
With their “Jis Dil ne sabka itna dhyan rakha kon rakhega uss dil ka dhyan” campaign they
have again put women in the limelight. However, this time they went for an alternative
perspective
urging the family to take care of the health of the women in their family who usually neglect
their own health while taking care of everyone else.
Saffola has again made the female gender the campaign's target focus. However this time
they have adopted a progressive stance and have finally moved away from the stereotypical
gender role of women taking care of their husbands and family.
The brand is aligning its efforts to focus on the younger consumer base who don’t believe in
and aren’t supportive of the traditional division of household work. Saffola through this
campaign is trying to create a brand identity that will resonate with the younger generations
as well and would also be equally appreciated by the rest of the progressive Indian society.
The campaign not only aligns perfectly with Saffola’s existing positioning and image but the
progressive societal approach also helps to target a wider consumer group. It not only
strikes a sympathetic chord with its existing consumer group but also with the younger
demographics.
The campaign also takes a feministic approach. One of the advertisements showcases the
everyday juggle of a woman managing both her family and work life without complaining
even once while the voice-over is of a man who is complaining about his everyday office
stress hits the right emotional response.
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Target Segment Profile and Positioning
They also had a direct to office initiative which focuses on busy working professionals in
need of immediate intervention in their food habits and choice of oil specifically.
After that, they had a direct to consumer program focusing on low calorie recipe demo and
lottery, which attracted the homemakers interest.
Saffola cooking oil demographic segmentation strategy is majorly based on four parameters-
Income, age, geography and occupation.
Based on Income:
● High Income
● Middle Income
Based on Geography:
● A & B class Cities
Saffola targets the customers based on the health aspect of its oils.
Saffola boasts of Lo-Sorb Technology, which ensures the oil gets absorbed less which leads
to less oil consumption.
The oils by Saffola are trans-fat free and contain Rice Bran Oil thus it is good for the heart.
They offer 4 different oils:
● Saffola Active
● Saffola Gold
● Saffola Tasty
● Saffola Total
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Saffola advises to have a diet low in saturated fats and use less oil to protect the heart. In
addition, Saffola urges leading a balanced lifestyle and engaging in frequent exercise.
Through repeated ads Suffola has emphasised the importance of a healthy lifestyle and
conscious consumption of oil.
Fortune Cooking Oil: Fortune cooking oils emphasises more on the nutritional value of
the oils they sell. Fortune oils contain Omega 3 fatty acid which is an essential fat for a
healthy body. They also contain pufa which is an external source needed in food. These two
nutrients reduce the cholesterol content.
The oils also fulfil 6% of daily Vitamin E needs.
Fortune provided a mix of all the elements like product differentiation and entered the market
at the right time. It managed its supply chain logistics and time to market the product
efficiently by strategically setting up a refinery at Mundra, Mumbai.
These strategic moves helped them position their product at a relatively cheaper price. The
brand also conducted frequent check-up programs for health conscious people.
Saffola cooking oil segmentation strategy is majorly based on five parameters- Income, age,
lifestyle, geography and occupation.
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Based on Income:
● High Income
● Middle Income
● Low Income
Based on Lifestyle:
● Active youths
● Athletes
● Old people with health ailments
● Middle aged people with onset medical problems
Based on Geography:
● B & C class cities
Fortune introduced products with the slogan ‘thoda aur chalega’ to ‘Joy of eating’ to 'Ab baas
toot pado' for consumers who want to eat cuisine with a high oil content but are unable to do
so due to health problems. Customers now have the option to eat fatty food without getting
high cholesterol levels thanks to the introduction of Fortune refined soyabean oil.
Fortune has the largest range of cooking oils. It offers a range of cooking oils which contains
sunflower oil, mustard oil, kachi ghani, rice bran health oil, groundnut oil, Soybean oil,
functional oil and cottonseed oil.
Fortune frequently collaborates with celebrities who promote fitness like Bollywood actor
Akshay Kumar and former Team India Cricket Captain Sourav Ganguly. This gives out
signals about health benefits of using fortune cooking oil.
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Ad 1: Akshay Kumar promoting healthy and nutritional nature of Fortune cooking oils
Sundrop, Sweekar, Saffola, Dhara, and Gemini were the only national players
present when Fortune was introduced. Sundrop and Saffola were in the luxury
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category of these. Fortune has a market position in the value for money area. It
provided oil of high quality at a fair price. Fortune had 17.25% of the market for
packaged refined oil in India at the end of 2003.
2. Failed Brand Extension in 2003: Fortune expanded the brand into hair oils in
2007 and directly competed with Marico's Parachute. The company's name was
Fortune Naturelle. The extension was not at all a success, despite the company's
expectations of 8–10% share.
3. New Agency in 2009: Triton was replaced by O&M in the agency change that
occurred in 2009. The advertisements were also altered. Up until recently, most
cooking oil advertisements (with the exception of Saffola) focused on delectable
cuisine, the housewife cooking, and a contented family dining together. The company
attempted to portray events that were authentic rather than using clichés. "Ab Bas
Toot Pado" took the place of "Thoda Aur Chalega." The brand maintained its
9-year-old tenet, "the joy of eating," despite the changed creative. These ads were
shown during IPL season for better brand visibility.
4. Launch of Fortune Plus in 2010: Launched new oils that were slightly premium
which were ‘Fortune Plus’ Sunflower and Soyabean oil which claims to absorb 17%
less oil. Saina Nehwal was hired by the brand, and aggressive TV advertising was
used to introduce the version. Fortune Plus's slogan, "Oil that isn't greasy," tries to
appeal to the upper middle class's younger, health-conscious consumers.
5. ‘Har Maa Ke Dil Mein’ Campaign: The brand is elevated by this creative from
what it has previously done. Everyone is familiar with Fortune, which dominates the
Indian market. The business hopes to establish a close bond with all of its current
and future customers with this TV ad. It is making an effort to own the mother's heart.
6. Current Scenario: The brand has actively collaborated with celebrities who are
into fitness like Akshay Kumar, Samantha Prabhu (South-Indian Actress) and Sourav
Ganguly. The brand is highlighting essential nutrients like Omega acids, Vitamin E
etc. contained in its oil.
1. Saffola skillfully exploited fear psychology to promote their goods. However, Soon
Saffola came to the conclusion that using fear to induce purchases from customers
might not be the ideal tactic.
2. The brand management team at Marico moved Saffola from pure terror that gave
way to items that arouse fear, such as heart-healthy heart signals.
3. An initiative under Saffola Life started in 2005. The company began promoting a way
of healthy living.
4. With its "Kal se" Commercial, the brand correctly identified the difficulties in
persuading consumers to embrace a healthy lifestyle.
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5. Currently, Marico brand management team is addressing the issues with new mixes
like Aura, which combines olive and flaxseed oils, even as everyone’s concern with
health is driving them to purchase extra premium olive oils.
Strength Weakness
Opportunities Threats
Strength Weakness
Opportunities Threats
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Insights from survey & in-depth interviews
The survey tool used for our study was Google forms. The survey had 23 questions overall
and they focused on understanding the perception, behaviour and buying habits that
customers had on the two edible oil brands, Fortune and Saffola. Ages of the respondents
ranged from 20 years to above 50 years. The responses gathered had 38.1% of female
respondents and 61.9% of male respondents. The average family size of the respondents
was 5. A majority of respondents spent between Rs.3,000 to Rs.10,000 per month on their
groceries, and shopping mainly happens at kirana stores (70% of respondents),
supermarkets (55% of respondents) and online retail (50% of respondents). Both brands
were equally recognised and preferred by the respondents, with 42.9% of respondents
preferring Fortune and the remaining 57.1% of respondents preferring Saffola. After the
responses for the survey were collected, each of our group members conducted an in-depth
interview to gather a better understanding and additional insights for our study. The following
are the insights which were collected from the survey as well as the in-depth interviews:
● For both brands, it was seen that having an active presence in the market (and
therefore the customer’s mind) plays a very important role in choosing an oil brand;
active presence is also seen as an important factor in brand switching along with
wanting to try a new brand and recommendations from friends and family.
● Respondents are seen to be mostly brand loyal with 66.7% who rarely switch and
28.6% who have stayed loyal; Brand loyalty lies in the price, the health benefits and
the ease of availability.
● Saffola’s communication of health and quality in its edible oil products has been very
effective in implanting a similar perception in the customer’s mind; the ads of wives
taking care of the health of their family by using Saffola’s edible oil is a big hit in
delivering the message of health and quality by Saffola.
● Fortune’s communication of making ‘ghar ka khana good to great’ has been effective
in implanting the same perception in its customer’s mind. Customers also perceive
the brand’s edible oil to be lighter compared to other brands; Fortune has been able
to place itself as a healthy oil but also as something that does not compromise on the
taste.
● Sunflower oil, peanut oil, and mustard oil are the most commonly used cooking oils
among the respondents.
● For cooking oil, television and outdoor & retail media are the communication
mediums that most respondents are exposed to; ads that catch the interest of
respondents are mostly found in television and Youtube.
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and used to have the brand “Dalda” which is in the edible oil industry. Owing to this, HUL has
roots in the distribution network already. HUL sold its edible oil business back in 2003 due to
slowdown in sales and hold over Indian kitchens.
We have chosen the above target profile because the active youth market has not been
thoroughly addressed by other edible oil brands and a huge opportunity exists in this
segment. We focus on the urban population (which accounts for almost 36% of India’s
population) as most youth aspiring for a healthy lifestyle live in urban areas. As a brand
under HUL, our product pricing will be such that it is affordable for everyone from different
economic backgrounds and at par with their competitors.
IMC Recommendations
● Our advertising efforts will be focused more on social media and OTT platforms like
Youtube, Facebook, Instagram, Hotstar, SonyLiv, etc. where our target customers
have an active presence.
● OOH advertising like billboards, wallscapes, and posters will also be used.
● To increase brand awareness and achieve T-O-M status, creative TV advertisements
should be presented to the viewers multiple times throughout the prime hours,
keeping in mind that repetitive nature of advertisements irritate prospective buyers
and can have a negative outcome.
● To support our brand’s personality and positioning, roping in athletes from sports
where diet is a major part of their lives (like wrestling) will be impactful. Branding
using athletes is still not being done by competitors.
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● Most competitors have similar packaging for their product lines. Even the container
shapes and colours are similar. HUL can exploit this and position themselves as
unique by using creative packaging and SKU designing.
● HUL can endorse events like marathons that support causes like health and heart
awareness.
References
1. https://www.imarcgroup.com/india-edible-oil-market
2. https://www.fortunefoods.com/
3. https://brandequity.economictimes.indiatimes.com/news/business-of-brands/the-saffola-story-f
rom-scare-to-care/59765523
4. https://brandequity.economictimes.indiatimes.com/news/business-of-brands/the-saffola-story-f
rom-scare-to-care/59765523
5. https://www.researchdive.com/4639/cooking-oil-market
6. https://www.techsciresearch.com/report/india-edible-oil-market/4511.html
7. https://brandequity.economictimes.indiatimes.com/news/marketing/saffolalife-emphasises-the-
need-to-care-for-her-heart/78400504
8. https://www.exchange4media.com/advertising-news/samantha-gets-wings-in-fortune-sunflow
er-oil-tvc-119368.html
9. https://www.socialsamosa.com/2021/03/brand-saga-saffola-oil-advertising-journey/
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