Case Study Dawlance

1. Presented By:
Alnaseer Karim
Husnain Shirazi
Hassan Raza
Asim Saleem
Waqas Sultan
Faizan Anwer

2. Presentation Flow:
1. Introduction
I. Case Brief
II. Company Overview
III. Dawlance Positioning
2. The Television Market
I. Evolution of Televisions
II. Local & International TV Market
III. TVCs
A. Samsung
B. LG
C. Sony
D. Nobel
E. Dawlance
IV. Dawlance TV Range
V. Dawlance Vs Competitors
VI. Brand Positioning
3. Dawlance
I. Dawlance Strategy
II. Reasons for Dawlance TV failure
4. Conclusion
I. Branded House Vs House of Brands
II. Our Recommendation

4. Case Brief
• Dawlance is the market leader in Home
Appliances with revenue of PKR 48b in
2011
• Dawlance enjoys market leadership in the
refrigerator segment (65%)
• Market reception for Dawlance TVs has
been extremely lukewarm and the project
has thus been abandoned
• Sony, Philips, LG, Samsung and Nobel
have strong presence in the TV segment
Case Question:
Which brand extension policy to choose for Dawlance TV, Branded house or House of
Brand?
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5. Company Overview
• Start of operations: 1980
• Current Product Range:
– Refrigerators,
– Washing Machines,
– Chest Freezers,
– Vertical Freezers,
– Split AC,
– Televisions &
– Microwave Ovens
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6. Company Overview
• Values:
– Reliability
– Teamwork
– Communication
– Transparency
– Respect
– Openness & Candor
– Creativity
• Vision:
– Make Dawlance A Global Brand By Practicing Reliability: Make Pakistan
Proud Of Us
• Mission:
– Promote Reliability In Everything We Do In The Field Of Household
Appliances
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7. Company Overview
• Fact Sheet:
– Dawlance is the 7th most Favorite brand in
Pakistan out of 3500 brands
– Highest market share in 3 out of 5
categories
– Among Top 2 ‘Top of mind (TOM)’ Brands
in all product categories
– Research revealed that Dawlance is in
Every 2nd house hold in Pakistan (out of
those house holds which have appliances)
– Dawlance is considered to be the most
‘Reliable’ & ‘Innovative’ brand among all
home appliance brands in Pakistan
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8. Company Overview
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9. Dawlance Positioning
Is this the right positioning for the TV segment?
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11. Evolution of TV
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12. Local & International TV Market
• Local Players:
– LG
– Nobel
– Sony
– Samsung
– Philips
• International Players:
– Samsung
– LG
– Sony
– Panasonic
– Sharp
– Others
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13. TVC: Samsung
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14. TVC: LG
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15. TVC: Sony
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16. TVC: Nobel
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17. TVC: Dawlance
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18. Dawlance TV Range
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19. Dawlance Vs Competitors
VS
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20. Brand Positioning
Smart TV
Real Cinema 3D Experience
Color Like No Other
Real Value for Money
Reliable
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22. Dawlance Strategy
• Product Strategy:
– Products, which are as per international standards and carry all the basic features. The most
important factors are durability, reliability and good after sales services.
• Pricing Strategy:
– Primary focus is to cater to the middle and upper middle class, however there is a selected range of
products which cater to the upper class as well.
– Uniform pricing throughout Pakistan
• Promotion Strategy:
– Promotion budget is around 1.75% of turnover. 40% of which goes towards Print Media, 20% on
TV, 20% on Out door and 20% on Sales Promotions.
• Placement Strategy:
– More than 800 dealers spread across the country.
– 16 Retail Outlets
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23. Reasons for Dawlance TV failure
• Product Shortcomings:
– The product was not high-end, i.e. it lacked features and form factors which were established
industry standards.
– The product was a vanilla product and lacked variants.
• Target Market Problem:
– The offering was only targeted towards the lower and lower middle class.
• Promotional Shortcomings:
– The product was not promoted well enough, especially considering that Dawlance was entering into
a new segment.
• Positioning Problem:
– The product was not positioned in line with the demands of the market. Dawlance’s Positioning while
more suitable for its other products, was not exactly the right one for the TV segment.
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25. Branded House Vs House of Brands:
Branded House House of Brands
Pros: Pros:
• More Efficient to manage • Individual Brand Independence
• Cost Effective • Shield the corporate name in the event
• Streamlined Decision making of problems
• New additions can leverage parent
brand equity
• Simplified messaging to stakeholders
• Closer organization alignment
Cons: Cons:
• Ambiguity Issues • Costly
• Closer organization alignment • Complicated to manage
• Bad performance of one Brand effects • Difficult to manage corporate image
parent brand • No existing parent brand equity to
leverage
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26. Branded House Vs House of Brands:
Our Recommendation:
House of Brands
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