Nutralite,intrinsically,is a very interesting brand. It positions itself as 'Better than Butter'(old) or 'Healthier than Butter'(new).Thus underscoring the point that it is not butter but a healthier substitute to butter & creating a point of difference(pod) for itself.At the very same time it is sold in the market as 'Nutralite Butter' thus highlighting its point of parity(pop) to butter.Inspite of the fact that its pop & pod are quite antithetical to each other,the brand is doing well.This can be primarily due to the following reasons:
- Consumer submits to the information asymmetry created by the brand & believes that the 'healthier than butter' aspect is created by the addition of some extraneous ingredients having health benefits.Thus the product is able to capitalize on its 'butter-like' attributes without educating the customers about an entirely new product category of Margarines.
- Nutralite as a product offering is catering to the needs of a particular customer segment i.e. people who are prone to cardio vascular diseases primarily in the urban middle class.Thus its 'zero cholestrol' feature is quite appealing to people aged above 40.Though Nutralite is also creating buzz amongst the diet-conscious youth who use Nutralite for cooking purpose(as a substitute to oil).
- Nutralite also scores on the price front.It is priced slightly below Amul Butter & thus is economical too.
Nutralite as a brand shares a lot of synergy with its holding company Zydus Cadila which has differentiated itself by offering unique health & analogue products.Its other important brands include Sugar free & D'lite.
Health products' market in India is bound to grow at a tremendous pace in the future owing to the steady increase in the sedentary lifestyle of Indian populace.Thus making it imperative for people to resort to healthier substitutes of conventional foods.However,the paradox lies in the fact that people still take Analogue foods as Artificial food & prefer the conventional products.The onus therefore rests upon companies to create awareness about the category to help it take-off.