Market Process Outsourcing (MPO)

Well after a long break, I am back with some info on new business concept which evolved recent times. You might heard about BPO, KPO but may not MPO. What is MPO. It is Market Process Outsourcing, which is not entirely a new concept, most of the services offered by MPO are previously offered by marketing consultancies or agencies.
 

MPO’s takes the responsibilities of most of marketing functions of a client’s business. It offers services such as PR, branding, distribution, marketing consultancy, research and etc. Simply said, MPO companies offer marketing solutions in a best possible way under the client’s budget limitations.

Marketing never been a simple task, with increasing number companies and brands, it becomes an intricate task for any organization. As competition grows, burden on marketing department raises. In order to alleviate pressure and tap on new opportunities, MPO’s surfaced.

SERVICES OFFERED BY MPO’S are

Determines Marketing Objectives

Branding & Advertising

Public Relation & Publicity

Distribution

Marketing Research

Accomplishing Sales & Objectives of Client

Defines Methodology for Executing each Activity

Monitoring & Evaluation of Marketing functions and updating to Client

Enhancing ROI

Providing complete report to the Client

Axe Extends to Soap

HUL, the leading FMCG gaint, extended its Axe brand to soaps. Initially, the home & personal care company launched Axe Deodorants in 1999 in India and the brand has been extended to cologne talc, shaving cream/gel and after-shaves later.

The Indian soap market is estimated at 6500 Crores, witnessing a sharp growth. Well, what could be the big reason behind this extension? If you analyze the market seriously, one will get some evidence. First of all, the deo market is facing stringent competition with more & more new product launches and also through brand extensions. Secondly, there is some vacuum for men’s soap space as far as HUL concerned. Whereas competitor companies like Godrej has Cinthol, ITC’s Fiama De wills (for men), and HUL’s Dove which is meant for women. So, with the current brand extension, HUL wants to fill the gap in the men’s soap segment. Moreover, the men’s grooming space has got lot of potential which might have compelled the FMCG player to go for this brand extension. However, for a company like HUL, brand extension is not a new phenomenon.

Axe soap has got the same positioning as the original Axe brand and its tagline is “Engineered for guys”. Even the ad campaign seems to have the same theme. But some clarity is missing as why consumers to buy the product.

watch the ad here

Axe soap charges Rs.35 for 90 gm, mainly targets affluent young males. What is tingling everyone’s mind is, will this brand extension be successful or not? Well, if one looks at HUL core competencies i.e, huge distribution network, its aggressive marketing strategies, heavy promotional budgets, certainly it can make the brand successful, but it’s a time taking process.

Godrej Infuses Freshness through Godrej ‘aer’

Godrej Consumer Products has entered into the high potential air care segment with the launch of its air freshener brand ‘aer’. The company offers in three distinct fragrances i.e, Cool Surf Blue, Fresh Lush Green and Petal Crush Pink. Godrej offers air fresheners for both homes and cars. In the car air freshener segment, Godrej launched a dashboard perfume and a diffuser priced at Rs. 299 and Rs. 225 respectively. In the home care segment, aer will be available in an aerosol format around Rs. 110.

Godrej aer was positioned on the promise that what it delivers i.e delightful experience through its fragrance. Even the TVC also compliments it. 

Watch the Ad Here 

The ad campaign shows a young man getting into his vehicle, and was told that his new Aer car fragrance has magic in it. Not the one that will make his car bigger, or make him immensely popular/better, but just simply that it has a great fragrance that can be started with the click of a button. Definitely, the positioning was unique, not exaggerating what it does, instead simply communicates what it can deliver.

The air care market in India is estimated at Rs. 300 crore which is a fast growing household accessories market fueled by changing preferences among Indian consumers. This can be  attributed to the increased purchasing power of people, better living standards, exposure to internationally available household products. However, air care category is still in its nascent stage in India. Having seen the huge this potential, Godrej has launched its air freshener brand to establish a foothold in air care segment.

Aer has to face competition from existing domestic and international brands such as Air Wick, Ambi Pur, Glade, Renuzit, and Odonil. The company sources says that its USP is its design and fragrances. And certainly, Godrej has taken lot of care in product differentiation, claims to be the first branded player to offer a product in the dashboard/cup-holder segment in India. The company expects high brand recall for this product due its design innovation. Moreover, company expects greater scope for growth in this rapidly growing product category. In near term, it would add new fragrances and automatic sprays to its portfolio.

Dyna Soap From Anchor

Anchor Health and Beauty care is one of the FMCG companies, part of Anchor group which was founded in the year 1997, launched FMCG product such Anchor tooth paste, gel, tooth brush, tooth powder and beauty soaps. Dyna is the Beauty Soap brand from Anchor health care company. The soap brand is available in four different variants i.e Saffron & Sandal, Milk & Rose, Milk & Almond, Lime & Aloe Vera, and Blue Berry & Olive Oil. Actually the soap brand was launched in the year 2007, and entered the league of top ten brands in India. Recently, I tried the brand and it was really good and considered a value product for the price it charges. The soap comes with 76% TFM which is the best and skin friendly and makes the skin softer when I was used the milk & almond soap. Personally I like the soap and considering adopting it. So friends, you can also test & trial and decide yourself, moreover it is an Indian brand and should encourage indigenous products.  

Cinthol: Alive is Awesome

Cinthol, the popular bath soap brand of Godrej, is making an attempt to bring back its splendor through a new ad campaign. At last, Brand Cinthol decided to reposition its self and launched the new ad campaign. The brand has new tagline “Alive is Awesome”. It seems brand is targeting youth who always want to be alive and live the life to the fullest. And the brand is seriously trying to connect to the next generation consumers. 

The new ad campaign is seriously trying to connect the nextgen consumers and it is clearly visible in the ad campaign. The new ad missed the natural element and seems the roles were compelled to do so by screaming along with lyrics. With this effort, one can understood that the brand is very serious to uplift the brand and wanna to give new face.

Earlier, in the year 2008, the brand was endorsed by Hrithik Roshan and the tagline was ”Don’t Stop”. With this effort Godrej expected bright future for the brand but unfortunately it was temporary.

Watch the Ad Here

By choosing different messages or taglines, the brand is confusing consumers which is not at all acceptable, instead it can stick one messages but present in new way. The brands new positioning element is “Being Alive” which makes a lot of sense with target market like youth- who wants to alive all the time and grab the attention of their peer group. The New Cinthol soap, including other variants comes in rectangular bar form along with paper packaging similar to that of classic Cinthol soap. The rectangular shape and packaging gives the brand a unique identity.On the whole, the new platform makes sense and hope that the brand regains its glory again and sustains further.