This report is going to going to provide a detailed analysis of the Unilever group of companies. We have come up with choosing Unilever not only because of its fame but also due to a large number of commodities it produces that are widely accepted by the worldwide community. Unilever was developed currently owns about four hundred brands in the world, and its products range from balanced foods, ice creams several soaps, shampoos, and other common household care products. These products include washing detergents such as Omo, which is a powdering laundry detergent. Other commodities include Dove, Knorr, Axe and Blue band (Unilever-esa.com) . In this report, we shall look into some of the food products produced by the Unilever east and southern African companies.
In the early years of the 1980s William Lever came up with several Ideas for the Sunlight soap while he was founding the Lever Bros. his main aim being popularizing hygiene I the Victorian England, he fostered the advent of the new soap detergents that help women to not only clean fabric with ease but also bring in hygiene in many people’s lives. Currently, the Unilever global company is enhancing on the best ways to both impact the common market socially and financially as it aims at putting the well-being of the society at its heart.
Amongst its visions and aims is to create a better future for children through the manufacturing of oral care products such as signal and Close-up, which are readily available in the market and also comparatively cheap. In the same light are partners with the FDI World Dental Federation In supporting numerous oral health care programs worldwide.
The company also aims at providing a better future for farming and farmers through the introduction of brands which use locally available agricultural produce within its region of an establishment. Such brands include the Lipton tea. Most of the raw materials utilized in the manufacturing of almost all the brands at Unilever are agricultural and forestry based. Other aims include making the world a better place through the promotion of hygiene and lastly the healthier future goal. The healthier future is based on the foundation of the Vaseline Skin Care Foundation, which is conducting research on several skin conditions and also providing solutions to people affected by the same.
In this report, we will look into the raw materials used in the making of Omo and Sunlight. Omo is the most popular Unilever brand in Eastern and Southern African being followed closely by Sunlight washing powder detergent. Secondly, we will look into the manufacturing and finally distribution into the market. The reason as to why we are deciding on powdery detergents is because it puts out Unilever as a domestic product company just as claims. It is also because margarine food stuff is one the highly retailing commodities in Africa. We will finally look into the several adjustments Unilever East and Southern Africa is making to enhance the selling of these two commodities in the market and finally come up with an efficient Information technology module that that if we recommend and the company adopts it then it will not only increase its sales but also reach the goals we mentioned earlier much more easily.
In the report, we are going to use the following sites and articles for our sources;
(Omo (za), 2016)
(Heinze et al., 2014)
(Harvard Business Review, 2009)
A Report On the production and marketing of Omo and Sunlight detergent The Unilever Global Company
The Unilever Global Company is divided into several other companies under the same name but in different regions of business. With the PLC being listed in London and New York while NV is listed in Amsterdam and New York. It has a vision that has to see it through doubling its business while at the same time reducing its environmental footprint and also having a social good impact. The company is divided into PLC and N.V. the division is based on a regional manager, The reason as to why this company is subdivided is based on a marketing strategy which ensures that it has all ends of the world market consumer sat its disposal. Being that it mainly manufacture House domestic commodities such as soaps and detergents, it faces stiff competition from other rival companies having the same commodity in the market. It is in this light that we can term Unilever as a very aggressive manufacturing company. The mode of business is similar to that of KFC, which is taking root in Africa now especially east Africa. Another company with a similar business strategy is the McDonald’s restaurant and finally Colgate.
The above-mentioned companies have got one thing in common, and that is that they are multinational and have so far been successful in all the countries they establish their brand. Since its formation in the year 1920, 1nd 1926 Unilever has managed to increase its brands from detergents to several other brands amounting to four hundred different brands. Detergent being the first of its brands keeps on forming soaps with different brand names as a market-dominating strategy. Taking the two powdered detergents in the East African Unilever company, both sunlight and Omo appear to be from rival companies making sure they advertise wit new advertisements in what seems to be more that just quarterly basis. It would take a person with a very keen interest to realize that he or she is purchasing soap from a similar company and which probably have the same formula (Omo (za), 2016).
The new way of business that gives a client different brands to choose from that are still from the same company is not very common in multinational corporations. Like in coca cola, the company does not have a brand similar to Coke or Fanta but have these distinct brands and sells them as they are. Another company is the Cadbury. It makes all its chocolate in different flavours and sizes and also makes the brand stand as it is without bringing in a rival brand from the same company (Harvard Business Review, 2009). In this case, we have Omo as the original brand and Sunlight washing soap as the fighter brand. Fighter brands are usually introduced into the market to sell to the high-end consumers. As the economic status of most eastern and western Africans grows their life styles also change. They now tend to want products with better quality; luxury becomes more of need. It is at this point that companies with high-end brands make more sales than the low-end brand companies. Unilever East African is banking on this analysis and is making the two brands of detergent with the aim of using Sunlight as a fighter brand (Unilever-esa.com). Sunlight washing powder differs from Omo on basically two things. There is an ingredient added to it that creates a lot of foam, which makes the women wash with a subjective mental notion that the greater the former, the stronger the detergent. Secondly, sunlight has got glycerine as one of its enhancing ingredients. The glycerine leaves your hands soft and oily after doing the tedious job of washing clothes.
Omo being one of the most popular powdered soap brands has kept the high sales for a very long time. Probably ever since Unilever was introduced to Africa, It apparently shares the same logo as Skip and Persil. These two brands are also soaps but from different regions. Kenya being the highest consumer of the Omo detergent takes it as a locally made product and buys it due to patriotic reasons. In my view, it may be argued by other clients to Unilever that brands such as Persil and Sunlight are foreign brands from foreign companies trying to make their way into the Kenyan business sector. Unilever also banks on the thought and to make it look truer we find all sunlight advertisements being done by South Africans and Persil be advertised by some German origin lady speak Swahili with a German accent (advertisement). The motive behind the advertisement is to sway clients believing in foreign commodities into using Persil or Sunlight while, those against into purchasing more Omo (Harvard Business Review). All in all, at the end of the day, all clients have profited Unilever global company, and it will announce its semi-annual gains and losses in a financial year with all these purchases put into the account. Most probably, the more affluent and learned consumers have a liking towards foreign commodities.
The Omo brand name is worldwide. It produces detergents of several sorts under the same renown brand name. Laundry detergents falling in this brand include both liquid and powdered detergents. The liquid detergents include OMO with ultra comfort. The auto comfort is a fabric softener and is mostly for washing children’s fabric. Apart from its chemical capabilities on fabric, it also has a fragrance that penetrates into fabric giving it a fresh smell. Under the same brand name is the OMO hand wash laundry liquid used for hand cleaning which also leaves the hand with a fresh fragrance. There is a much more expensive laundry soap which removes stain much faster and is easier to use known as the OMO ultra concentrated liquid lastly there is the OMO fast action. It is the most common of all since most people have a preference to powdered detergents. From the detergents website, we find a much longer list of detergents with the brand name OMO. These detergents are however described in almost a similar way with keywords such as fragrance and fast action being repeated in each and every detergents description (Omo (za)).
The OMO brand actualizes its self on the cleanliness of children just as other brands like Dettol soap. The OMO Dirt is good campaign is using the playful nature of most children and probably dirtying to sell its products in the ever competitive market. It’s marketing strategy being based on the cleanliness of children which almost every other rival brand is using to advertise its product. Though the formation of several initiatives including the OMO fast kid math competition and the OMO spar schools challenge which are falling under its product promotions. The main aim of this form of marketing is to sensitize the society that dirt is good since for children it takes dirt for them to learn and also play. And unlike in the previous forms of advertisements, parents are being encouraged to let their children get dirty.
The production of OMO is automated so as to meet the ever demanding large markets. Its detergent formulations are just as effective as other brands in production in Unilever companies which dirt removal chemicals being put in different concentrations as the price of the detergents rises. The difference in cleaning formula levels make the client a choice when making a purchase since those detergents having a stronger laundry chemical concentrations tend to be more expensive. Additionally, the brand is using foam forming chemicals to make laundry much more fun and enjoyable. The other key ingredient is the kind of fragrance; different detergents are enhanced using different fragrances that have the smell of aromatic plants, lavender is mostly used in soaps. However, most OMO detergents use aromatic chemical compounds known as esters. Esters are much cheaper to synthesize compared to using the natural ingredient with a similar desired smell. However, through the new initiative by Unilever, which is looking into economically empowering farmers and farming as a whole hence, it is using natural ingredients in making its fragrances.
The company distributes the OMO detergents in different packages with sachet a little as twenty-five grams in production. The different sizes help in ensuring that the enterprise captures both the lower market where the consumers purchase household items in small quantities. For a better command in the world market, OMO manufactures both liquid and powdered detergents. We can attest that currently the brand has got all angles of marketing its commodities when it comes to diversity. And due to the globalization of the brand which is the detergent market giant in Australia, New Zealand, and South Africa. In Australia OMO is the premium brand and has good popularity, Surf, on the other hand, is the fighting brand and hence Unilever has the detergent business in Australia covered. OMO is currently venturing into the Chinese market (China), a place where manufacturing is the principal industrial occupation. The Chinese market tapping dubbed as the Unilever West project is best in Sichuan China, and currently, it has invested around forty million Euros in phase one of the projects ((Bold). Currently, the company is expecting its production of the OMO brand to two hundred thousand tons annually so as to maximize on its sales in western parts of China.
As Unilever moves towards further globalization of its brands several business strategies have to be implemented in the company to be as competitive as companies such as Dettol soap manufacturers. It is in this light that we would like to look into ways in which the company using information technology and business intelligence can tap deeper into the world market and also keep the consumers well being as a priority. As a clarification, this recommendation does not undermine the current marketing techniques and consumer feedback to be inferior but of great efficiency since it has brought Unilever to its current state of preference when it comes to its foods and vitality products.
Business intelligence is a prediction system that helps companies and other institutions to predict their business growth with a specific amount of time basing on the current company standings. The process is technically driven, and it analyzes fundamental and actionable data which is acquired from the company managers and also the corporate executives. The need to analyze arises whenever very large amounts of data are recorded and transferred across the institutions network. Need for management arises and with a proper business intelligence model the company will be able to not only maximize on its production but also get client feedback and work towards the society’s well being.
Omo as a Unilever brand needs to employ an aggressive business intelligence strategy through the use of information technology so that it can have a direct link to its clients ensuring that the brand is marketed in a more economical and yet captivating. The predictive form of modelling has a combination of both statistical algorithms which will allow Unilever to learn the how the market responds to it progressively. Such models stabilize the buying criteria of clientele, making it easy to make a better, and bolder business moves in the market. Information technology is the a fundamental entity of business intelligence, the use of the internet in marketing is a bolder move since it has a cheaper infrastructure and also much less demanding. Additionally, the company can create an as software which enables a client sales man advantage during purchases. This system although not yet tested in companies works in a way that the client buys shares in every purchase made. First every client downloads an application in which he or she registers in an online account. Consequently, the application which can be in the Android mobile platform, Blackberry and iOs should have a comment box where the client can comment on the local market prices and also raise product concerns and complaint. Additionally, the shares purchase on every item purchase will entice more customers since everyone would like to have shares in every company. For share purchase, the customer will be required to input a scratch to reveal code tagged on every sachet and the codes value appreciates with the price of the item purchased. These shares are, however, not transferable and can only be redeemed during purchases in large retail shops and malls.
As Unilever venture into more competitive markets search as in China, where Omo will require much more than just a brand name in selling to the more patriotic buyers of China. Business intelligence will be of great help since the company will be approaching the market from an angle that is not n application. Additionally, the company will be able to get its customer detail in formulating its customer well being as it will be able to sample some of its complaint and suggestions and use them in creating a better socially responsible brand. Through the mobile application share and feedback system, the Unilever will be able to use Omo as a unilever entry point into the Chinese market, which is one of the hardest markets to penetrate due to the very high levels of completion.
Bibliography
advertisement, p. (2016). Persil 45 seconds. YouTube. Retrieved 24 February 2016, from https://www.youtube.com/watch?v=uXpeRe6Myeg
Bold, B. (2016). Unilever's Omo detergent strongest UK-owned brand in China. Marketingmagazine.co.uk. Retrieved 25 February 2016, from http://www.marketingmagazine.co.uk/article/1192809/unilevers-omo-detergent-strongest-uk-owned-brand-china
China, u. (2016). Unilever Starts Omo Production in China. HAPPI. Retrieved 25 February 2016, from http://www.happi.com/contents/view_breaking-news/2015-01-30/unilever-starts-omo-production-in-china.
Harvard Business Review,. (2009). Should You Launch a Fighter Brand?. Retrieved 25 February 2016, from https://hbr.org/2009/10/should-you-launch-a-fighter-brand
Heinze, J., Mazenko, E., Scavicchio, J., Mazenko, E., Mazenko, E., & Mazenko, E. (2014). Business Intelligence vs. Business Analytics: What’s The Difference?. Better Buys. Retrieved 25 February 2016, from https://www.betterbuys.com/bi/business-intelligence-vs-business-analytics/
Omo (za),. (2016). OMO – Laundry Detergents. Retrieved 25 February 2016, from https://www.omo.co.za/laundry-products/