PRICING :

         

Pricing or setting the price of a product is the one of the most important step in launching a product. Every detail is taken into consideration, the positioning of the product in the market is decided by the price it is labelled at.

There are various facts that determine the price of a product :

•        To position the product as a luxury brand or a consumer brand.
•        To establish a proof of quality.
•        Shift in the consumers attitude and his/her economic situation.

    Setting a pricing policy:

   Survival : Survival is a short term strategy, as long as the prices of all the variable cost are met and the producer can make a little profit, the survival agenda is complete.

   Maximum current profit : Companies try to fix a price that will fetch them maximum profit, cash flow and return on investment.

    Maximum market share :  In order to increase market share the companies, set minimum price possible and try to sell as much product as possible to reach the masses and attain maximum market share.

    Maximum market skimming : Company unveils a new technology, as in it brings new innovation in the existing product and increase its price and slowly drop it over time to attain maximum market share.

     Determining Demand :

  Determining demand is another important aspect of fixing price, if the company knows that its product is in demand it can very easily price its product at a higher price than its competitors and make profits.

Himalaya neem face wash places itself as a mass product, its pricing varies from Rs. 15 for the 5ml pack to Rs 155 for the 150 ml pack.

It tries to follow maximum market share strategy it sets minimum price and tries to increase its sale banking on the quality side of the promise that it makes.

Demand for Himalaya neem face wash, is high hence it plays upon the demand factor as well and make high return on investment.

Product  Life  Cycle :

Product life cycle as the name implies refers to the entire cycle a product takes right from the time its launched till it declines. Different strategies and business models are taken into consideration in different stages.

The launch : The product is introduced with rigorous advertising and promotions and the focus is to build the brand and the product .

The Growth phase : Sales now start to grow, prices now come down to attract more consumers and focused marketing strategies are applied. Profits start to come in.

The Maturity Phase : Product now reaches the stage of maturity there is lesser sales, profits start to decrease. In order to revive the product many brands come up with variations in the product, it may be different packaging, different kind of endorsements etc.

The Decline Phase : The product at this stage starts to loose its appeal and audience control. Profits turn into losses. The product gives in to the stiff competition and may be forced to close in the future due to decline its market share, sales and losses.

Himalaya Neem Face Wash :

Is at its growth phase right now, it has attained a market share of 40% and now aims at maintaining it, sales are going high with high visibility. Various innovative forms of marketing is being used to promote the product. Himalaya has a strong hold at the OOH and other forms of advertising.  Neem is itself a variation of the Himalaya face wash range, hence no more variation has been introduced to this for the time being. It has its loyal group of satisfied consumers.

 

Buying   Process :

A lot of thinking process goes into buying any product. First it starts with identifying the problem.

The second step would be to search for possible solutions, which would result in many options or alternatives.

The third step would to select from those possible outcomes and comes to an affordable, readily available solution.

The fourth step would to be to make the purchase and use the product/service.

The final step is the post purchase behavior.

 

Buying behavior of Himalaya’s Consumers :

To identify the problem of acne, pimples, blemishes and search for a readily available, hassle free solution. There are thousands of remedies for acne and pimples but Himalaya by far has given the best solution to its consumers in terms of results and quality.

 In terms of affordability and availability  as well,  Himalaya has proved its worth and has a reach of more than 40% of the market. Himalaya’s customers reach out to it every time they are out of its stock and continue to use it again and again proving their loyalty towards the brand Himalaya.

 

target audience

Target Audience:

Himalaya neem face wash in the market manages to attract the customers and consumers of the age group of 18 to 45.

 

Problem that it solve :

 

 

 

Himalaya neem face wash    ~~   purifies the skin by removing the impurities.

                                                       ~~   helps cure and prevent acne.

                                                       ~~   lightens the skin tone.

                                                       ~~   contains anti-bacterial qualities.

 

 

 

 

 

Introduction.

Himalaya Neem Face Wash.

Himalaya , the trusted indian brand with its ayurvedic qualities has always apealled the masses  and always has had the ‘dadi maa ka nuksha’ effect on people,  which we indians tend to blindly support.

My product  himalaya face wash is an antibacterial soap free wash which clears skin and washes the impurities away. It stops and prevents acne and other skin problems.

Major ingredients used in the face wash are:

a)  Neem oil:  Neem prevents and stops acne and purifies the skin.

b)  Turmeric:  Turmeric has its own antiseptic qualities, it also lightens the skin tone and also contains strong anti-inflammatory properties.

Customer  Value:

Customer value is the value or worth that the consumers desires or perceives before and after using a product / service.

Customer Value is the most important aspect that a company looks to achieve , it is for this value that the product is accepted and owned by the consumers and ultimately earns the loyalty of the audience it caters to.

Customer value is of two types:

 

 

a) Customer perceived value :  The value that a customer perceives he/she would receive by looking into the branding, packaging and the advertising of the product/service which may or not be satisfied after use of the product/service.

b) Customer desired value:  Refers to the value the customer desires after paying the price for the product/service, in terms of its quality, satisfaction, brand name, required results etc.

 

Himalaya’s  (neem face wash)  customer value:

Quality :  Himalaya successfully manages to satisfy its consumers with best results. An acne free face and freedom from the pain of pimples and the fear of it occurring again. Its antibacterial and anti inflammatory properties help cure the pimples and blemishes.

Availability:  Himalaya neem face wash comes in different shapes and sizes from 5ml sachets to 200ml ones. It ensures its availability right from the small grocery stores to mega marts to medical shops.

Affordability :  Himalaya’s pricing starts from Rs55/- and goes upto  Rs150/-. It is very much affordable and can be easily afforded by the non earning batch of customers as well who have their pocket money as their source of livelihood.