Marketing Strategy and SWOT Analysis of Reckitt Benckiser
Having basic health needs all be included in one website is pretty convenient. Knowing that there are numerous brands that you can pick from makes your job a lot easier. Reckitt Benckiser is a company that, at the same time, manufactures health, hygiene, and nutrition products. Hygiene is a vital aspect of people’s lives. Providing ourselves with a clean and ethical world all starts from how we behave individually and contribute to it. Lots of people have put their faith in this company to impact themselves and their surroundings positively. In this blog, we will talk about the different marketing tips and tricks that Reckitt Benckiser uses.
First and foremost, we are going to take a look at the mission and vision statements of Reckitt.
The mission statement of the company is as follows.
“To make a difference by giving people innovative solutions for healthier lives and happier homes.”
For a while, when the hype about healthy living first came about, there were not many means of developing that lifestyle. But now, so many new innovations have made alternative products for basic everyday items that we all use. Giving up those products is not really a possibility. But finding awesome and worthy substitutes is the best way to go.
It sounds cliche and simple, but one of the vital key elements to happiness is health. Because once you are healthy, lots of worries are taken away from you.
The products that Reckitt sells are highly ethical and trustworthy. You can only imagine how much work went into selecting all the brands that Reckitt collaborates with. The company is available in over 200 locations across the world. That is quite a big number if you think about it.
So, start by taking your step. If you have not already, switch products full of chemicals with organic and sustainable items. While it may be challenging initially, it is surely worth it in the long run.
Now, we are going to analyze the vision statement of Reckitt.
“A world where people are healthier and live better.”
What you might not know is that Reckitt workers have their own impact on the company. They constantly come up with new suggestions and ways to turn the goal of the company into reality.
The company also cooperates with One Young World. The latter is a global nonprofit that brings together a bunch of young individuals from around the world. They share their thoughts, concerns, and ideas about global, social, human, and environmental problems.
One Young World has been very helpful for Reckitt so far. As a result of One Young World, the company’s representatives came up with Project Oscar. The latter is an app that teaches sexual education to refugees.
Together with different organizations that it works with, the company influences global brands to speak up about global concerns.
Next up, we are going to take a close look at the positioning strategy of Reckitt.
Of course, different sports players also need to watch out for their hygiene. No matter how healthy it is to fill your time slots with physical activity, you should not forget about being clean.
Especially after the Covid-19 pandemic, everyone has started to behave extra cautiously. People are making sure to have their hands clean at all times.
So, for instance, golf players truly wish to go back to their golf courses. Dettol® Pro Solutions, together with The Professional Golfers’ Association, has come up with a plan.
If you do not know, Dettol® Pro Solutions is an Antiseptics brand. Antiseptics are, of course, essential in this case because they decrease microorganisms on the skin from getting absorbed.
This collaboration has made it possible for golfers to return to a pastime activity they all adore.
The photo is a great representation of the partnership. We can see the logos of both companies. We can read the message that the companies are conveying. And all of it is completed with the golf player that we see on the right.
Now, what can we gather from this post?
The most obvious hint and the most important one is the protection from harm. We should not hold back from things that we love doing. There are just precautions that we need to take to make sure that the experience ends up peaceful.
The second hint is the presence of not only self-care but care for others as well. There is a global issue in situations like this, and the chances of infecting one another are high. So, aside from taking measures for oneself, being a helping hand for others is also essential.
And the last big hint is not really that much about the post as much it is about Reckitt. The latter is a health, hygiene, and nutrition product provider.
Thus, it becomes obvious that the archetype that Reckitt belongs to is the Caregiver.
What do we know about it?
Desire: protect people from harm
Aim: to help others
Strategy: do things for others
These are the messaging levels of the archetype.
Level One: seeing someone in need
Level Two: caring for and nurturing one’s dependents
Level Three: balancing self-care with care for others
Level Four: altruism, concern for the larger world
The Caregiver provides a good identity for a brand:
- for which consumer service offers the competitive advantage
- that provides assistance to families (from fast food to minivans) or that are linked with nurturance (such as cookies)
- for services in the health care, education, and other caregiving areas (including politics)
- that guide people to stay connected with and care about one another
- that help people care for themselves
- for non-profit causes and charitable projects
Now, we are going to introduce the SWOT analysis of Reckitt.
Strengths:
Successful brands: For its brand equity, this company has to thank all the different brands that have collaborated with it. Among those are Clearasil, Mortein, Vanish, and Durex. They have provided Reckitt with a strong portfolio.
Strategy: Reckitt & Benckiser has been working so hard to lead in all its categories. And because of that, the income levels of the company are incredibly high. This strategy has acted as the main component of building a successful company.
Global leadership in multiple categories: As we already know, Reckitt sells products from a few categories. The brands that the company has gone for are leaders in their own spheres. For example, Dettol is a leader in antiseptics, Woolite in the detergent category, etc.
Focus on acquisitions: In countries in East Asia such as Japan and China, the company still has some way to go. It has lots of room to gain a significant magnitude in the market. Thus, what Reckitt does is acquire smaller companies. These are thriving on their own. The bigger picture has the potential to look great.
Focus on depth: Rather than broadening the product range, this company strengthens its existing markets. The company collaborates with about 18 brands. Instead of investing in new brands, the company makes use of the potential of the existing ones.
Weaknesses:
Leadership problems: Back in 2017, four officials of Reckitt left the company. Their reasoning behind doing so was the company’s potential drastic leadership crisis. That does not look good for the people outside of Reckitt. That situation has let the stakeholders hold negative thoughts concerning the company.
Over-dependence on power brands: A significant number of Reckitt’s power brands were introduced to the company sometime in the last three years. Reckitt owns about 18 power brands. 40% of the company’s overall profits come mainly from the power brands. This affects the company’s tendency with innovations.
The takeover of Mead Johnson: The infant nutrition domain is extremely competitive on its own. Reckitt had no brands in this sector for a while. But then it introduced Mead Johnson. Reckitt actually invested about 18 million pounds for this move. But it did not do the company justice because of the absence of history in the sphere.
Opportunities:
Growth in new markets: Reckitt has been paying particular attention to developing markets. Among those are the markets in East Asian countries. The company has earned some recognition in those markets. That has been pretty promising for the company’s future. More specifically, the domain of home care has been thriving.
Threats:
Brexit: Companies that choose to establish their headquarters in the United Kingdom face immense financial issues. That is mostly because of uncertain commodity prices and Brexit. Those cause the increase in the prices of most goods.
Competition: Understandably, Reckitt has a lot of competitors. Some of those are SmithKline Beecham, Unilever, and Procter & Gamble.
Lastly, we will watch this ad to help us unravel the segment that Reckitt has chosen to target.
This ad is pretty funny, cute but also sends the message pretty effectively. We see the Ice Queen entering her castle and sneezing because we all tend to catch a cold.
Lemsip is a cold preventer and reliever in the UK. In the ad, they used a live version of it to make the video more engaging.
Right after consuming the Lempsip, the Ice Queen feels 100%. She feels better, warmer, and more comfortable.
There are a few things we can note from this ad.
The most major hint is the use of Lempsip, a trusted cold remedy. She could go for something new, but why do so if Lempsip is tried and trusted?
Secondly, we see her in her home rather than somewhere in the street, at work, or with friends. The reason behind so is that home is the most comfortable and safe space.
And, of course, she is using a domestic brand. Correct me if I’m wrong, but the ‘living Lemsip’ is using a British accent. And Lemsip is a brand established in the UK.
At this point, it becomes evident that the segment Reckitt has chosen to target is Nesters.
Lifestyle and values:
Nesters pay particular care and attention to their families and traditions. Everything they do is centered around family. This segment has to spend enough quality time with its loved ones. That is why they make sure to gather around on the weekend.
Nesters have a path they follow. That is because they like the feeling of knowing that they belong somewhere. They want people to appreciate their efforts. For example, Nesters enjoy cooking for others, and it feels extra special when people like their food. That makes it understandable why the kitchen is Nester’s favorite room in the house.
This segment highly values traditional values and beliefs. Faith is a big one in the picture. Nesters are not only faithful towards some sort of religion, but in relationships, people, and their surroundings.
Nesters expect people around them to treat them right. In accordance with that, this segment likes to look ordinary instead of standing out. Being comfortable is much more important than being stylish.
Nesters are all for setting a routine and sticking to it. That lifestyle reduces anxiety.
Stability is the main thing that Nesters pay attention to even while choosing jobs. Being in their comfort zone is more important than the financial aspect.
Relationships have to be long-term. It is also essential that their partner respects their values and loved ones.
Attitude towards shopping:
Nesters mostly use domestic and affordable brands. They are constantly on a hunt for a good deal. That includes reading ads for the reason of looking for promotions.
This segment purchases items that qualify for comfort and durability rather than style.
Nesters plan their shopping trips ahead and save money to let themselves buy whatever they need.
If the shopping location is not far, Nesters will either walk or ride a bike there. They are not really fond of using cars.
Going to the supermarket is always more fun with more people. Those people might as well be family members.
Nesters specifically choose cheap supermarkets because that will allow them to purchase more goods.
This segment prefers smaller local stores, shops, and markets.
Nesters are not the kind of people that follow trends. Instead, they will listen to other people’s recommendations.
Also, Nesters prefer to utilize domestic brands and give them a fair chance.
Other interesting facts:
Nesters
- Feel like there is no place like home and around family
- Make everything better themselves, buy accessories for their own use for gardening, growing vegetables, planting trees
- Enjoy watching TV, especially movies
- Like to stay up-to-date with their neighborhood
- Read the magazine on a daily basis to learn about ongoing events
- Do not really hold enough knowledge on the internet
- Are above-average radio consumers
And that is the ‘Marketing Strategy and SWOT Analysis of Reckitt Benckiser blog. We went into detail about its marketing tactics to discover the story behind its success. If this got you interested, make sure to check out our main website. There we regularly update our feed with something new.
