Documentos de Académico
Documentos de Profesional
Documentos de Cultura
Group H
Why did Unilever commit to
sustainable tea?
Sustainable strategy -
Company would be better
suited to survive in the
future; Create a health
supply chain
Product differentiation
Western consumers
Commoditization of tea
concern about
sustainability
Has the introduction of certified tea
been a success for Unilever?
Country Market Increase Strategy
size in Sales
U.K. 1.8 bps 6% Do your bit: put the kettle on
Usage of characters in ads
Australia 158 bps 11% Make a Better Choice with Lipton, the worlds first
Rainforest Alliance Certified tea
Instore promotions, package updation,
Italy 200 bps 10.5% TV, press online, public relations, instore promotions
and packaging updates
Editorial partnership with National Geographic
magazine
France - - Press release, media and press conference
Print ads with message your tea can make a
difference, announcing in the inside of packages
initially, online competition
U.S. No - Your small Cup can make a big difference, online
significant content about certification, packaging updation
changes
Economic Analysis
Headers Costs
Premium per kg of tea $0.09
Participation fee per kg of tea $0.0125
Average market price per kg of tea( after 15% $2.622
increase)
Total cost per kg of tea $2.7245
Total amount of tea for Unilever 350000 tons
Amount of tea for Lipton from Kenya in 2010 116666 tons
Expected yield in 2011 due to Rainforest 134166 tons
alliance practices
Amount to be paid to farmers $365,537,083.3
Cost of hiring employees for rollout of global $236890
certification
Total cost of the scheme implementation in $365773973.3
Kenya
Cost if the scheme had not been implemented $266000000
in Kenya
Challenges
Would the
sustainability
Majority production message resonate
with consumers in Other materials that go
controlled by
developing/emergi into making the
smallholders; small
ng economies product paper in tea
scale of farms made
bags, packaging,
certification a
Chamomile are not
significant challenge,
sustainably procured
E.g. India
Other companies
Supply chain is
have also gone for
geographically
certified tea, how
diverse and highly
to maintain point
fragmented
of difference
Tea in
3/4th sold through
small grocers but
supermarkets are
India An alternative
standard for India
increasing as the
incomes rise