Published by MBA Skool Team, Last Updated: December 23, 2017
Marketing Strategy of Hellmanns analyses 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 Hellmanns marketing mix, help the brand succeed in the market.
Hellmanns marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Hellmanns Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Hellmanns marketing strategy can be explained as follows:
Hellmanns is one of the leading FMCG brands specializing in mayonnaise. Hellmanns is into the manufacturing of variety of mayonnaise products in its marketing mix which include real mayonnaise, light mayonnaise, mayonnaise dressing with olive oil etc. They also have a category for organic mayonnaise which includes variety such as organic spicy chipotle mayonnaise, organic roasted garlic mayonnaise and organic mild curry mayonnaise dressing. They have vegan option for vegan carefully crafted dressing and sandwich spread. Other spread options include Dijonnaise creamy Dijon mustard, Tartar sauce and relish sandwich spread. It can be noticed that although Hellmanns is in the niche market of mayonnaise and few spreads, they have variety of offering in itself which gives a good choice option to the consumer. They also provide recipe options for customers in where they can use Hellmanns products which are later classified as main ingredient, sandwiches and burgers, vegetarian, dips and sauces. This helps the customer to get more information and usage options after they buy their products.
Hellmanns Price/Pricing Strategy:
Below is the pricing strategy in Hellmanns marketing strategy:
Being in the competitive FMCG product market, the prices of Hellmanns are competitive in nature.
There is no huge difference between the prices of two companies close to each other. The pricing strategy in its marketing mix is competitive which helps it to fight for a market share. Prices vary according to the various size options and are value for money products. Along with it online purchase options are available where discounts coupons can be applied and the product can be available at low prices. They also offer recipes free of cost which in turn increase the sales of their spreads.
Hellmanns Place & Distribution Strategy:
Following is the distribution strategy in the Hellmanns marketing mix:
The first store opened at 490 Comlubus Avenue, and later Hellmanns thrived on the east coast of the US. They earlier catered to the eastern states viz. North Dakota, South Dakota, Kansas, Nebraska, Texas and Oklahoma. They now are present extensively in the US, South America, UK. They are available acros all the leading stores across these continents. Hellmanns products are available in various size of packaging, they have also focused on packaging making it Re-Sealable and tube styled packaging which increase the shelf life of the spreads in the container. The tub is clear which emphasizes freshness and wholesome ingredients. They have a glossy overwrap which gives the premium experience.
All these not so related to this industry type packaging has distinguished them from other competitors and made them stand out in the market.
Hellmanns Promotion & Advertising Strategy:
The promotional and advertising strategy in the Hellmanns marketing strategy is as follows:
Being a FMCG brand Hellmanns took to television advertising from 1950’s. Earlier the ads were animated where eggs were mentioned, how the product is fresh and good to consume, tasty in nature were some of the factors emphasis were given on. Later various ads which revolved around the products, eggs and tasty spreads broadcasted through decades. But in early 2000, nutritional information which started appearing on the product’s packaging, raised awareness amongst the consumers about their health and lifestyle. The butter, cheese and eggs were viewed as enemies to the consumers. This made Hellmanns stop mentioning eggs in their ads, whereas Best Foods, its competitor used to brand itself with the help of the true nature of its products. Hellmanns created a bad image for itself which is evident by Canadians response that Hellmanns sold junk in the glossy box. They hired Ogilvy and Mather as their brand agency and O&M drove a campaign ‘Real Food Movement’ which became a turning point for the people in Canada. Hellmanns turned their ingredients into pure, organic gardens, farm fresh products, no caged birds’ eggs and also reaching out to famous chefs which promoted Hellmanns as a healthy food option for all age groups. No longer they advertised the product, rather gave an idea to buy in. There are recipe shows, demo food made by the chefs who involved the customers to a great extent. Their advertisement made such a impact that they climbed the spot of market leader from market challenger commanding a whooping share of 54%. Hence this completes the marketing mix of Hellmanns.
Hellmanns was founded by Richard Hellmann, who was fond to serve his delicacies to the people. He served at the age of 14, and later expanded his ambitions when he moved to the US. In the year 1905, he opened a restaurant at 490 Columbus Avenue, where he served his own developed mayonnaise to the customers. His dish was accepted with a positive response and he became famous and started providing mayonnaise to other restaurants too also aiming to increase the shelf life of it. This led to the establishment of the factory to produce mayonnaise in large quantities in 1913. Later he trademarked this product as Blue-Ribbon Mayonnaise, and also served products such as horseradish and pumpernickel bread. Hellmanns focused and served to the east coast of the US, Best Foods mayonnaise became famous in the west coast.
Later Best Foods acquired Hellmanns, and they both sold as the same brand with same design and same tagline ‘Bring out the best’. It now comes under the huge umbrella of the global FMCG brand Unilever.
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