Marketing Strategy of Unilever analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Unilever marketing mix, help the brand succeed in the market.
Unilever marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Unilever Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
In this article:
The product strategy and mix in Unilever marketing strategy can be explained as follows:
Unilever has 4 major categories Food, Refreshment, Personal care, Home care and Water Purifier. The products in Unilever marketing mix has over 400 brands, which shows the tremendous strength of the brand in the FMCG sector. Unilever concentrates on 13 brands which have sales of more than 1 billion euro a year. These are Dove, Axe, Rexona, Hellmann’s, Rama, Lipton, Lux, Sunsilk, Surf , Magnum, Knorr, Heartbrand, and Omo.
A €13 billion category accounting for one fourth of unilevers’s turnover. Knorr, Hellmann’s and Rama are the € 1 billion brands in this category.
Home Care had a turnover of €10 billion and accounted for one fifth of Unilever’s turnover. Omo and Surf are the € 1 billion brands in this category.
Turnover of €10 Billion and accounts for significant share of Group turnover. Magnum and Heartbrand (Wall’s) and Lipton tea, are €1 billion brands. Unilever focused on innovation and on delivering a great brand experience. Innovations included Magnum Pink & Black and the Ben & Jerry’s Cookie Core range.
This is Unilever’s largest category with turnover of €20 billion accounting for majority of Group turnover. Dove, Lux, Axe, Rexona and Sunsilk are the are €1 billion brands. New products such as Dry Spray Zendium, Dove Advanced Hair Series, TRESemmé Perfectly (Un)done collection were launched.
Below is the pricing strategy in Unilever marketing strategy:
Unilever's pricing strategy is penetration (high quality, low price).
To study the price in the marketing mix of Unilever, it is necessary to understand the immense competition in the FMCG market worldwide. Unilever also follows competitive pricing and does intense research of the market. Prices are changed according to market conditions. Unilever has a very wide range of products which cater to all cost segments ranging from low price to high price. Unilever has created a prestige division which sells premium personal care products and Talenti for premium ice cream.
With such high range of products, pricing becomes very crucial for a brand like Unilever.
Unilever Marketing Strategy comprises of not only its Marketing Mix, but also segmentation, targeting, positoning, competition and analysis like SWOT. Also read Unilever SWOT Analysis, STP & Competitors
Following is the distribution strategy in the Unilever marketing mix:
Unilever operates in more than 190 countries. The distribution strategy in the marketing mix of Unilever is explained on the basis of the thousand of distributors it has along with millions of retailers worldwide. The company takes advantage of global manufacturing and distribution to bring down costs. Unilever has a huge distribution network that includes retail as well as direct outlets. Warehouses are set at strategic locations from where C&F agents transport the goods to stockists and finally to retailers. Direct outlets of Unilever are T2 and Ben & Jerry’s Scoop shops.
In India the distribution network of Unilever comprises of 45 carrying & forwarding agents, 4,000 stockist and total coverage of 6.3 million retail outlets with direct coverage of one million retail outlets.
The promotional and advertising strategy in the Unilever marketing strategy is as follows:
Unilever is one of the largest spender on marketing with a marketing spend of about €8 billion a year. As the use of digital media and e-commerce has rapidly increased Unilever is using digital marketing integrated with ecommerce to drive sales. Digital campaigns include All Things Hair, an online video channel by Unilever. The Dove Self-Esteem Project is another marketing campaign. Unilever also uses celebrities such as film stars, sportsmen etc. to promote their brands worldwide. Other promotion channels are print media, hoardings, discounts and free samples. Hoardings and OOH media has also helped boost the Unilever brand across the globe. This completes the entire Unilever marketing mix.
Unilever is one of the biggest FMCG (fast moving consumer goods) company in the world. It is a British-Dutch company co headquartered in Rotterdam and London.
Unilever has more than 400 brands and operates in more than 190 countries with a turnover of €50+ billion. Unilever company has a special focus on sustainability.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
Browse marketing strategy and 4Ps analysis of more brands similar to Unilever. The Marketing Strategy & Mix section covers 4Ps and 7Ps of more than 800 brands in 2 categories.
The names and other brand information used in the Marketing Strategy & Mix section are properties of their respective companies. The companies are not associated with MBA Skool in any way.
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