Case: Dove

1. What is a brand? Why does Unilever want fewer of them?

Brand is referred to a product or service offered by a company under a name, logo and personality
that differentiates it from other products in similar category. Brand is a story.

Unilever had more than 1,600 brands under its umbrella, with products ranging from Soaps,
shampoos to ice-creams. 11 of these brands were doing exceptionally well, with annual revenues
of more than $1 billion. Similar to its competitors, Unilever has opted for decentralized operations.
But with this decentralization, their product portfolio / diversification wasn’t well thought through
but happened based on the then needs of the market.

Example: Their ice-cream brand, was know by various names across various countries. Like
Wall’s in UK & most parts of Asia, Algida in Italy, Kibon in Brazil and so on.

There wasn’t a brand identity associated with most of its brands. To have a common brand identify
and to differentiate its products, Unilever wanted fewer brands.

2. What was Dove’s market positioning in the 1950s? What is its positioning in 2007?

Positioning is defining a value preposition for the target segment. This value preposition should
differentiate the product or service from competition in such a way that it influences consumer
perception regrading a brand or a product vis-à-vis the competition.

In 1950s, Dove was positioned as a Beauty Bar. It was a beauty bar that wouldn’t make the skin
dry, unlike a soap, because it contained 1/4th cleansing cream. Later, ‘Cleansing’ was replaced
by ‘Moisturizing’, but the company focused its positions as a functionally superior product. This
was also backed by dermatological studies. They relied on this functional benefit for more than
40 years.

Post 2000, Dove was identified to be one of the Masterbrand for Unilever. For being a master
brand, Dove had to have a position that could cut across various products in the personal care
segment. It had to stand for a point of view. Based on the years of research & insights from
psychologists, Dove set out to change the idea of beauty. Hence, began their “Campaign for
Real Beauty”.

3. How did Unilever organize to do product category management and brand management
in Unilever before 2000? What was the corresponding structure after 2000? How was brand
meaning controlled before 2000 and how is it controlled at the time of the case?

Prior to 2000, the product category management and brand management in Unilever was
decentralized. Within every product category, there were multiple brands that were offered, and
each brand had a brand manager. The brand manager was in-charge of designing the brand
strategy, delivering profit targets & daily marketing decisions. Each brand operated independently
& also competed with its like categories (within & outside).
Post 2000, Unilever split the responsibility of brand into two parts i.e. Brand Development and
Brand Building. Brand Development was centralized & global in scope, whereas Brand Building
was decentralized based on the major geographies in which Unilever operated.

Brand Development was responsible for developing the idea behind a brand, innovating &
evolving the idea in the future. It was accountable for market share (medium & long term), brand
health & creating value in the category. It was in the region where the brand was strongest. Brand
Building group was accountable for growth, profit, cash flow and short-term market share.

Prior to 2000, brand meaning was controlled with Dove as a Cleanser. This showcased aspiration
for healthy & moisturized skin. Backed by dermatological studies, this was an honest advertising
and highlighted the benefits of using Dove over other beauty bars (available at the time).

Based on the market research, Dove challenged the definition of Real Beauty. Dove focused on
emotions of the consumers, particularly women’s fears of beauty. They launched series of
campaigns under their ‘Campaign for Real Beauty’. They stood for a point of view to make Real
Beauty a talking point in the society & help women see their inner beauty.

‘Dove is not about women feeling more beautiful, but about more women feeling beautiful.’