Research proposal of dove

Topics: Brand, Brand equity, Brand management Pages: 14 (4242 words) Published: January 13, 2014


Table of Contents

1. Title:
“Effectiveness of Brand Extension in Personal Care Product: A Case Study on Dove of Unilever.” 1.0 Background of the Study
Brand is perceived to be in important intangible asset for company which gives company a cutting edge in product market through positioning in consumer mind. To leverage on success of brand, companies go for brand extension which is offering different new product in the same brand name. Such brand strategy is intended to be pursued to save cost of launching new brand, to minimize risk of brand failure and to leverage on success of existing brand. Organization who are in personal care product business often go for such brand extension treating brand as their assists where they try to leverage on their brand equity by launching new products under already established brand names (Vanitha et al, 2001). There are many factors that define the effectiveness and success of brand extension in personal care products. Perceived Quality of Parent Brand, the relative importance of fit of brand with consumer characteristics and mission of brand are important variable which determine brand success (Park, et al, 1991). Beyond those factors, in case of personal care brand extension, media planning, brand development and brand management and public relation to communicate the brand are considered to be influential in evaluating the success of brand extension. This research work is perused to evaluate the effectiveness of brand extension strategy in personal care products in general and brand extension strategy of Dove brand of Unilever. The report will elaborate whether brand extension strategy of Dove was successful one considering the variable mentioned above. The report is prepared based on customers’ responses collected through survey and observations of branding expert to assess such effectiveness. The turnover from products launched under brand extension strategy will be dependent variable that will be evaluated against Brand Campaign, Media Planning, Brand Development and Brand Management, and Public Relation Strategy of brand. The study will be based on Dove brand of Unilever which will outline how company changes branding strategy with evolution of Dove brand.

1.1 Background of the Organization
Unilever’s journey as business organization started at 1872 as margarine business. In 1890, the company was named as Lever Brothers Limited. In 1930 Margarine Unie (Netherland) and Lever Brothers Limited (UK) merged and renamed as Unilever Limited. Serving 2 billion customers worldwide, the company is achieving annual turnover of €51 billion in 2012 (Unilever, 2013). The company sells its products across 190 countries where emerging market now counts for 55% of the business. The company have portfolio of 14 cash cow brand that are generating € 1 billion sales worldwide. The company employs around 173,000 people around the globe (Unilever PLC. 2013a). The portfolio of categories shows that around 35% of revenue comes from Suvoury, Dressing and spread, followed by Personal Care which is about 28%, Home Care which is 18% and food and beverage segment covers 19%. Unilever has a portfolio of 400 brands among which some are world largest in terms of generating ideas. With an asset base of €46.16 billion, the company has operating profit of about €7 billion (Unilever PLC. 2013b). Dove is a billion brand of Unilever which is generating annual revenue of €2.5 billion a year in 80 countries. Dove Brand was launched in 1957 as alternative to soap to care of dry skin. Since 1980 many product is launched under Dove brand ranging from body-wash, deodorants, body lotions, facial cleansers, to shampoos and conditioners through brand extension (Unilever PLC, 2013). Unilever terms Dove as a brand with a purpose. 1.2 Rational of the Study

Brand is perceived to be very important factor to position product in consumers’ mind. A brand image has become a salient...

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