Parachute - Managing India's Leading Coconut Oil Brand


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Case Details:

Case Code : MKTA006
Case Length : 16 Pages
Period : 1995-2004
Pub Date : 2004
Teaching Note :Not Available
Organization : Marico Industries
Industry : FMCG, Fast Moving Consumer Goods
Countries : India

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts

Brand Building

In April 2003, Marico reorganized its business and brought Nature Care, Health Care and the International Business Group under a single division - Consumer Products.

This profit center comprised the operations of Marico Industries and Marico Bangladesh Ltd. (MBL), a 100% subsidiary of Marico.

It manufactured and marketed ten brands-'Parachute', 'Saffola', 'Hair & Care', 'Shanti', 'Sweekar', 'Sil', 'Mealmaker', 'Oil Of Malabar', 'Mediker' and 'Revive'...

Parachute

Marico was best known for the Parachute brand. Indeed, most people were more familiar with Parachute than with Marico. Marico had turned the commonly available coconut oil into a branded business with 'Parachute', which dominated with a 53% market share in 2003...

Looking Ahead

Marico's strategy was focused on increasing its presence across the entire hair oil segment by launching value-added products and through brand and product extensions. At the same time, the company had attempted to tackle the unorganized segment through low-cost and small-unit packs.

Of the Rs. 1600 crore coconut oil market, the branded segment accounted for Rs 750 crore and was growing at 6-8 % per annum. The loose segment constituted the remaining Rs. 850 crores...

Exhibits

Exhibits I: BOIL in 1990
Exhibits II: Marico: A Comparison in 1991 and in 2003
Exhibits III: An Overview of Marico's Brands -2003
Exhibits IV: TV Commercial for Parachute, January 2001
Exhibits V: TVC for Parachute Uttam, December 2001
Exhibits VI: TV Commercial for Parachute Jasmine, July 2001
Exhibits VII: TVC for Parachute Dandruff Solution, September 2000

 

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