This paper is based on a study which set out to establish the optimal colour and fragrance mix for a portfolio of male deodorant fragrances and to identify fragrance opportunities. The aim was to enroll consumers to understand appeal of fragrances as well as the role of pack colour in influencing appeal. The results indicated that the existing range had some superfluous variants and that there was potential to streamline the range. In addition, a new fragrance and pack colour were identified as having potential for incremental sales. The new variant was subsequently launched and has achieved great success.
Most new products fail. Failure is attributed to the proposition (weak advertising, parity product, high price, etc.) or to the marketing plan (inadequate media, low distribution, etc.). This interpretation does not explain why failures continue in spite of the growing knowledge about factors driving success and failure and following a rigorous product launch process. This paper argues that new products fail because of our irrationality and our inability as individuals and groups to avoid many of the thinking errors that affect decision-making. The paper outlines the errors, cites examples, and provides recommendations for improving the innovation decision-making process.
The market potential of low-income social groups (low class or popular classes) has been underestimated by multinational companies and thus, this public has not been able to access global brands. It is believed that low classes, due to their scarce available income, direct their consumption based on low prices and products of first need. However, the increase of the companies' penetration as well as the expansion of their business can only reach the popular classes before the stagnation of the upper class. This paper describes a case study through which it was possible to reveal a surprising market potential of popular classes in Brazil toward a range of products which are considered superfluous. This strong potential is shown by the wish of the identified group (mothers with babies aged up to 2 years) to show love, care and social status through hygiene and beauty products for children.
One of the significant issues facing brand owners is the successful introduction of new products and/or services to market. The importance of facilitating new product diffusion is increasingly important with the escalating costs of entry into many markets. One way of enhancing the chances of success is to target those who are most likely to try new products and have wide 'connected' networks. Such early adopters and opinion leaders may, it is hoped, then spread the word explicitly or implicitly through their purchase behaviour. This paper provides insight into this diffusion process in two ways: firstly a literature review of related research and, secondly, empirical evidence from original research undertaken in the United Kingdom, Germany and France.
Improving or refining current products is not good enough to sustain or improve competitive advantage. Products, markets and categories are changing fast and consumers' (buying) behaviour is very difficult to predict. However, to make real progress we all know that re-defining a market place, or inventing something totally new will be very profitable. Although not all of these new products are successful, they are the best road to future success. This paper describes the route taken within Masterfoods to get in closer 'touch' with consumers and meet their unanswered needs.
In this paper the genesis of category management and the research techniques that have been applied against this area are considered. We generally find a disconnect between the application of findings from traditional research to category management solutions. The reason for this lack of cohesion stems from the misapplication of current technologies and, often, an overly simplistic view of the mapping of consumer attitudes and opinions to category management solutions.Virtual reality shopping techniques are discussed as a time and cost efficient method of determining whether a category management solution produces the end goal - more sales for the manufacturer and more sales for the retailer.
The paper describes the process of development of a new supermarket chain in Argentina - Plaza VEA - for an international retail company. This paper describes a methodology building process, oriented towards solving - simultaneously and in real time - the following objectives and constraints: change in positioning from single-brand/single-format to a multi-brand/multi-format company; building a new space of supply and purchase within a context of strong income; decrease of a population segment with high demands and strong expectations of satisfaction; completed within 300 days; and resulting in a 'local' development that can be replicated elsewhere. The development of Plaza Vea in Argentina resulted in a model that has already begun to be replicated in Chile, Peru and Thailand.
As revolutionary advances are made in information and communication, one of the recent industries taking advantages of the new technology is CRM, showing the inevitable response to the increasing customer centric approach. The datawarehouse helps in achieving CRM goals but falls short in terms of making targeted strategies for enhancing loyalty, developing new products and services and addressing up selling and cross selling opportunities. This is achieved through linking conventional segmentation to data warehouse and is portrayed through a live case study.