1. The core customer for the product is no longer reusing it, leading to declining market share and loss of first mover advantage.
2. The goals are to increase market share by 10% and increase market growth.
3. The proposed solution is to "MAGnify" the market by focusing on Maintaining the core customer, Adding new customer segments like men aged 16-34, and Going Global by expanding into major European cities.
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Procter & gamble case competition slides
1. 1
November 6th, 2009
Team #1
Nancy Dadas
Brian Blewitt
Prasant Balakrish
Shay-Jahen Merritt辿
2. challenge
market share declining:
core customer is not reusing product
loss of first mover advantage
2
10. 10 M
maintain
keeping the core customer engaged
11. Alexis-
34 year-old stay at home mother of
3, drive a Lexus, loves to play tennis,
11
has lunch with her girlfriends twice
a week, shops every weekend,
reads the major fashion magazines.
12. challenge
- Only 10% of core customer reuses
12 - Currently low ease of use
13. solution
Easier to use:
13
- Sticks to teeth better
- Only once each day
14. tactics
- New messaging reinforcing improved
14 technology and better product
- Weve whitened your teeth before, let us do it again.
-Make a New Years Resolution to keep teeth white.
-Traditional (TV & Print)
-Nontradtional (Subways, Microsite)
15. 15 A
add
welcoming new new customers,
men (16-34), job seekers/promoters
16. Stephen-
26 years old, 3 year into his first
job as a financial analysist,
16
competing for a promotion. Lives
with a roommate, but was recently
engaged.
17. challenge
We tapped our initial target market, to grow we
17 must bring our product to new consumers.
18. solution
New customers:
- People who currently use other brands.
18
Men 16-34
- Job/promotion seekers
- Successful business men
First impressions are important
Unified messaging reinforces ease of use
19. Sampling plan:
tactics
Just look for the package
- Store sampling:
19
- end caps in Wal-Mart
- White strips dispensers
- Luxury hotels
- Airports
- Pop up stores
- Advertising
- High profile endorsements (Tiger).
21. Ellie-
22 years old, recent university
graduate, majored in marketing,
21
currently interning at a large
marketing research firm reads major
American fashion magazines, loves
drinking coffee with friends.
22. challenge
- Limited European Presense
I live in Europe, but I have a friend who is in the States at the
22
moment and I want them to get me some Crest Whitestrips while
they are there. Where can you buy them from? Walmart? Which
stores sell them? Also would you recommend Classic or Pro
Effects? (I saw those on the website). Please dont tell me you can
buy them online, I already know that and I wouldnt be asking
this question if I wanted to buy them online.
Thanks in advance. -Ellie
http://answers.yahoo.com/question/index?qid=20080824100244AAcHDrY
23. solution
- Targeting three major European cities:
- Women 16-34
23
- Raise awareness
24. tactics
- Co-branding at major retailers
24 - Bundling with toothpaste and mouthwash
28. total marketing expenses
Maintaining Core Customers
TV* $1,300,000
Print** $90,000
Non-traditional*** $500,000
Total $200,000
*assumes $40,000 per spot,runs 20 x / week, 6
weeks (3 on, 3 off)
**assumes $10,000 per insertion per month, 6
mags, for 3 months
***assumes environmental advertising and
28 cost of a micro-site
In-Store Advertising
Dispensers**** $200,000
In-store space (paid to retailer) $200,000
$400,000
****includes cost to develop 100 dispensers
Total US $3,000,000
29. topline financials
in millions prem base prem base
men men 18 6
vol 0.16 0.27 0.03 0.05 0.44 0.07
rev 2.95 4.91 0.41 0.68 7.85 1.09
cogs 1.15 1.91 0.22 0.36 3.05 0.58
sga 0.34 0.57 0.06 0.10 0.92 0.15
29 ad (total) 1.4 1.4 0.1 0.1 1.5 1.5
Net Profit 0.06 1.03 0.03 0.12 20.38 4.86