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  • 1. Brand Managementin a MultinationalCompany Feel Confident through Nature Power1. Borkowski Kamil2. Dudek Edyta3. Majewska Magda4. Mangała Joanna5. Pruchnik Kamil
  • 2. 1.Shampoos& conditioners – constant growth (MAT vol. MJ +5,8%; +12,6%) 2.Conditioners- great growth potential (CDI 63 PL vs 144 UK)The story told in in sh. presentation. 3.P&G- leader the (val. 21%), weak position in con.(7,3%) Team Agenda Executive Summary Landscape Assessment The Product Change The Evolution of The Product’s Message WHO, WHAT, HOW POD DISTRIBUTION PRICING SHELVING MERCHANDISING VISIBILITY PACKAGE Differences between Standard and Natural Line Promotion Plan Budget & Profit Appendix 2
  • 3. 1.Shampoos& conditioners – constant growth (MAT vol. MJ +5,8%; +12,6%) 2.Conditioners- great growth potential (CDI 63 PL vs 144 UK)Executive summary (val. 21%), weak position in con.(7,3%) 3.P&G- leader in sh.The purpose of the presentation – the goal, the road and the achievement Navigator The Evolution of The Product’s Message The Goal Our goal was to develop a marketing strategy which should result in at least 20% W HO, W HAT, HOW (what was the increase in profitability in 3 years, while the marketing budget for each year is cut by 30% POD task?) (in comparison to the year 2007). DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Appendix In order to achieve this goal we have developed a new product line. The new product line is more „green” and „natural” which is justified by the desires and characteristics of our prime prospect (WHO). The product is focused on making the customer feel more confident through nature power (WHAT). The Road (how did we solve It is to be promoted by a strong marketing campaign which would emphasize the promise the case, what of the product. We used the DPSM (Distribution, Pricing, Merchandising & Shelving) were the ideas?) methodology to develop an in-depth marketing strategy. In order to emphasize the natural aspect of the product we created 4 green marketing actions which are Green Day, Green Box, Green Zone and Green Summer. Discover the whole story … The Achievement According to our simulations, by using the developed strategy we would be able to (what was the generate more than 20% of the increase in profit (with 15% lower budget). result of our work?) 3
  • 4. 1.Shampoos& conditioners – constant growth (MAT vol. MJ +5,8%; +12,6%)Due to upcoming great growthrecession wePL vs 144 UK) 2.Conditioners- possible potential (CDI 63 need to launch a new line that will be more resilient 3.P&G- leader in sh. (val. 21%), weak position in con.(7,3%)and boost our profits by concentrating on conditioners.Landscape Assessment (5 points) Navigator …adfsa 5 Key Points of Landscape Assessment The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Size & Dynamics Market structure Competition review Winnig strategies Differences between Standard and Natural Line Appendix • Conditioners - • Increasing significance of • Pantene’s main • Building competitiveness great growth chemical stores competitor - Elseve in conditioners potential • Low WD of Pantene in HFS • 3 key players • Building strong and • P&G – weak (P&G, Unilever, consistent brand equity position in • Color and D&D segments Loreal) conditioners rising importance • High WD in HFS • Possible • Rising Natural segment - recession considered resilient to recession Find out how much we want to change Opportunities for Pantene Pantene Strategy efficiency in crisis: Focus on conditioners sales increase, Natural segment, Color and D&D category, Premium pricing tier but price promotions, In-store promotion 4
  • 5. And the next was to ask ourselves: what is it in the message of Pantene now, that does notwork well? We decided that it was the lack of „nature” …The Product Change Navigator What does Pantene promise now? What will Pantene promise? The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Appendix Find out why Health Professional we want to focus on Professional Beauty Nature Beauty Nature Scientific 5
  • 6. … and recreated the value tower of the product, focusing more on natural aspect (but notthrowing away the professionalism of the product) …The Evolution of The Products’ Message Navigator Pantene’s value tower W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Pantene What is the product? Appendix Professional Beauty Nature What can a haircare brand promise to consumers? (values) What can consumers want Security, Happiness, Energy, from a haircare brand? Lightheartedness, Exceptionality, Trust (emotions) Find out which Prime Prospect suits Why consumers choose this the product Feel Confident particular brand in store vs. many others? (the promise) most (WHO) What does Pantene stand for? Feel Confident through Nature Power (slogan) 6
  • 7. … after that we searched for our Prime Prospect and decided that the second group was themost suitable …WHO – Prime Prospect Navigator Most important charasteristics of Prime Prospect 2 W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE 40s-50s living in big cities. Differences between Standard and Natural Line Not always happy about her life what others think of her Appendix But she views it as extension of her innerself. in natural products Likes to shop for hair products Likes salon quality products, without salon price. Promising PP due to increasingly ageing population Her Values Her life story … She is 40-50 years old. Her children are grown ups by now, and they have just left the house. Suddenly, she discovered, that she has a lot of free time. Concern about her look. Furthermore, so far, she was focusing on her children not on herself. Find out what is the Prime Likes natural products. The world has changed in that time as well – and she wasn’t able to keep up. Prospect She does not feel confident. Holistic Profile Wants to be cared for. One day, she looked in the mirror, and she noticed that she was not as pretty as she used to be before and that she was not taking proper cafe of her beauty. Beauty is an extension of her innerself. Therefore, she transforms her free time, money and energy into her beauty. She wants to be gorgeous again, noticed by others. 7
  • 8. … we called her the „Confidence Seeker”. She is a women in 40s or 50s with a lot of free timeand with the desire to be beautiful once again …WHO - Holistic Profile Navigator Confidence Seeker The Evolution of The Product’s Message POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Shopping habits Social demographics Appendix • Buying for herself and appreciate promotions (bundles), • Mid age, • Prefers to shop in smaller supermarkets, chemical chains • Empty Nest. and HFS. • Habits and practices Attitudes & values • Values naturality and healthy • Has free time and enjoys shopping, environment, Find out what • Open to new products. • Health conscious. is the product’s equity triangle Needs and desires (WHAT) Desired consumer experience • Influenced by smell, • Seeks confidence, • Natural connotations. • Expert advice seeker. 8
  • 9. … she will buy the new Pantene thanks to our experience and natural aspect of the productfollowed by a catchy slogan …WHAT Navigator …adfsa Equity Triangle + Reasons to Believe + Benefit The Evolution of The Product’s Message POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Reasons to Believe Appendix Overall Equity equity attriubutes Feel Confident Years of experience in Professional, professional and natural hair care. Beauty, Brand Design and character Nature execution High Quality + Affordable Price Find out how Benefit Sustainable effect, Revitalizing we want to properties communicate Professionalism + Naturality with our Keeps you healthy and consumers naturaly beautiful - enhances (HOW) Green color, professional characteristics and confidence, because the design, handy bigger bottle, bundles, distinctive beauty is your inner natural smell beauty. 9
  • 10. … which will be implemented in our marketing strategy. The main communication idea istherefore that Pantente will provide you with Confidence through Nature Power …HOW – the mechanics Navigator The mechanics of our „HOW to reach the target” strategy …adfsa The Evolution of The Product’s Message POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Appendix Feel Confident Short TV commercials through Nature in between TV series Power Communication Women Magazines idea In-store (Pantene Green Days, Building Equity Objective Green Box, Green Zone) Outdoor Find out more Shopping detalis Mailers Evening TV watching regarding our (Chemicals, C&C) Weekend magazines Receptivity Communication HOW strategy reading insight plan WOM Beginning of New Year and pre-summer Bundles period 10
  • 11. … and the best place to sell new Pantene is in Chemicals. Additionally, the best advertisingstrategy will be focused on using professional advice.HOW – the details Navigator The mechanics of our „HOW to reach the target” strategy …adfsa The Evolution of The Product’s Message W HO, W HAT, HOW DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Packages Category segment Channels Appendix • HFS + Chemical others - standard packages; TV • Bundles: 450 ml •New Line: Natural commercials ; C&C magazines and in-store promotions shampoo (100ml with 2 categories: bonus) + 200 ml Color, D&D • Discounters (Biedronka, Lidl) – In&Out: 290 ml sh. and 232 conditioner ml con. • Separate bottles: • Chemicals (chemical chains) – bundles and small 200 ml + 290 ml packages; green box action (In&Out) + 450 ml shampoos and Pricing Find out why 200 ml + 232 ml we believe, (In&Out) • Premium Tier Pantene will conditioners (standard sizes) be able to + High-Mid Tier •Super & Hyper – bundles and small packages; our experts compete with (promotion to advice consumers to buy Pantene (Green initiatives) Timotei bundles and In&Out) • Other & Mixed Stores – small packages 11
  • 12. The new Pantene will move to direct competition with Timotei (strong in Natural segment).However, we believe that thanks to more professional like values in the product, Pantene willwin this race and gain the upper hand in the market.PANTENE’s - POD Navigator Why should our Confidence Seeker buy Pantene instead of Timotei which is cheaper? The Evolution of The Product’s Message W HO, W HAT, HOW DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line The reasons Appendix Our main competiror is Elseve (Premium Pricing Tier) but presence in Natural segment means direct Our professional experience enables us to competition with Timotei deliver the best of the natural properties of herbs Sustainable effects and revitalizing properties 2 categories addressed specifically at PP’s needs Sophisticated, elegant bottles with better suited sizing, as well as promotion bundles Strong presence in discounters (In&Out) VS. Expert advices Distinctive scent Learn about REASON TO BELIEVE - years of experience in our DPSM+V professional hair care strategy Given the experience, more professional like design and individual approach to PP of Pantene, the target buyer will be willing to spend more for the product (since PP is not strongly price sensitive and consumers in Natural segment are willing to spend more for special properties of the product). 12
  • 13. Our DPSM+V strategy begins with distribution conception, which is focused on super &hypermarkets, discounters, chemical chains, HFS and mixed stores …DISTRIBUTION NavigatorStandard & Natural Line The Evolution of The Product’s Message SUPER & W HO, W HAT, HOW HYPER POD PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line New distribution Appendix channels DISCOUNTERS CHEMICAL (only Natural CHAINS Line) DISTRIBUTION CHANNELS Learn about tha details of our MIXED PRICING HFS strategy STORES 13
  • 14. … for both lines the pricing strategy should be as much coherent as it is possible …PRICING – Standard Line Navigator The mechanics of PRICING STRATEGY – Standard Line The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Type Packages Pricing Channels Reason Appendix (High – Mid Pricing Tier) • bundle & virtual: 10% • consumer: 10% Promotional •350 ml shampoo discount vs. std. price (sh. • Super & Hyper discount (77ml bonus) + 200 ml 109 per pack vs. 250 ml • P&G: skimming on conditioner [-22%] con. 105vs. 200 ml • Chemicals con. (+5%, con./sh. [+5%]) = 1,2 per pack) • shampoo @ 80 per pack Check out • 250 ml shampoo (Premium Pricing Tier) the Pricing • 200 ml conditioner to main competitor 250 ml • std. portfolio • conditioner @ 100 to main Strategy for • Super & Hyper known to Standard competitor 200 ml Natural Line • Chemicals consumers • HFS • pricing coherency • Other & Mixed in lines • 350 ml (sh.) • sh.: 7,8% discount vs. (350ml/450ml*10%) standard price 14
  • 15. … and the pricing strategy should consist of two segments: Promotional whichaim is to introduce Pantene to High-Mid and Standard – Premium Pricing Tier …PRICING – Natural Line Navigator The mechanics of PRICING STRATEGY – Natural Line The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION VISIBILITY SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Type Packages Pricing Channels Reason Appendix • bundle & virtual: 10% • consumer: 10% • 450 ml shampoo discount vs. std. price (sh. • Super & Hyper discount (High – Mid Pricing Tier) (100ml bonus) + 200 140 per pack vs. 250 ml [-22%] • P&G: skimming on Promotional ml conditioner con. 110 vs. 200 ml [+10%]) • Chemicals con. (+10%, con./sh. = 1,2 per pack) (IN & OUT) • to be present @ discounters • 290 ml shampoo • +6% vs. std. price • Discounters • not common vol. – • 232 ml conditioner • +16% vs. std. vol. (ml) obstacle for other channels to buy Find out our shelf • shampoo @ 80 per pack (Premium Pricing Tier) • 250 ml shampoo to main competitor 250 ml placement • 200 ml conditioner • conditioner @ 100 to main • Super & Hyper approach Standard • std. portfolio competitor 200 ml • Chemicals known to • HFS consumers • Other & Mixed • 450 ml (sh.) • sh.: 10% discount vs. standard price 15
  • 16. … and our shelving concept encompasses Pantene products on all shelf levels inHypermarkets & Chemicals as well as on Eye-level shelf and the second best shelf level inDiscounters and HFS & mixed stores respectively …SHELVING Navigator What should …adfsa be the shelf placement? The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING SHELVING MERCHANDISING PACKAGE Differences between Standard and Natural Line Shelf space % = Pantene products placed Hypermarkets and Appendix desired volume vertically on all shelf share levels from top to the Chemicals bottom 12% Discounters One product category on • Eye-level shelf each shelf level • Each product of each category in non- • Dry & Damaged standard sizes Discover • Color the Green part of our HFS & mixed stores story! • The second best shelf level Eye-level category: • Each product of each Color category (standard sizes) 16
  • 17. … the Green message of our product will be expressed by four actions: Green Day, GreenBox, Green Zone and Green Summer …MERCHANDISING Navigator The four actions to improve the „green” promise of the product The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY MERCHANDISING PACKAGE Green Day Expert Advice in Super&Hyper on hair condition and personal health maintenance. (GD) Appendix Green Box Huge Boxes imitating bottle of Natural Line shampoo in Chemical Chains where women can put empty packages of Pantene products. One small empty bottle is the one stamp; Two stamps for big bottles; 10 (GB) stamps: receipt of one new conditioner of Natural line. Green Zone Present in Super&Hyper stores. The action uses shelves (shelf dividers, stoppers, shelf liners, wobblers, (GZ) with product description to educate consumers), floor (stickers imitating grass, trees, flowers). Green Outdoor actions in Green Places in major cities (like Pola Mokotowskie and Łazienki in Warsaw as well Summer as Planty in Cracov). Again expert advice on hair conditions. Special hair washing zones. (GS) Green Strategy Year Timeline Find out about our 1 2 3 4 5 6 7 8 9 10 11 12 overall GD VISIBILITY conception GB GS GZ 17
  • 18. … and all the described parts: DPSM contribute to the overall Visibility of our new product.VISIBILITY Navigator How do we make our new products VISIBLE? The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING PACKAGE (D) Differences between Standard and Natural Line Super & Hyper Appendix Discounters Chemicals HFS Mixed stores (M) Our DPSM+V Green zone (expert advice) (S) strategy All shelf levels in Hyper & Products on the end of the whole stand (main alley) VISIBILITY Chemicals ensures successful Promotions (bundles + In&Out) Eye-level shelf in Discounters launch of our Hanging posters, lightboxes The second best shelf level in new product! HFS & mixed stores Now take a look at our (P) PACKAGE Premium Tier (standard concept products) High-Mid Tier (bundles and In&Out) 18
  • 19. The package should also be easily distinguished so its new version is required.PACKAGE draft conception for Natural Line Navigator Shampoo Conditioner Ecological approach The Evolution of The Product’s Message • Bottles made up to 59% plant- W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY based plastic, excluding cap SHELVING MERCHANDISING Differences between Standard and Natural Line Appendix Color matters (product category) Position differs • Shampoo – standard •Color • Conditioner – upside down •Dry & Damaged Catchy slogan Etiquette • Promise (place for etiquette) • Value unique to this particular line • Color regarding particular product category • Graphics (naturality + professionalism) See the difference between Standard and Green cap Natural Line! • Green cap in order to rise connotations with naturality 19
  • 20. Differentiantion of our products: Standard and Natural Line.We would like to prevent the product cannibalisation.Differences between Standard and Natural Line Navigator The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Appendix What communication does client of Standard and Natural Line look Communication Communication for? contains more contains more green color, we gold color, we want to Explore our want to emphasize the Marketing emphasize the nature and Strategy luxury health Timeline
  • 21. Promotion plan for two lines of our products (Standard and new Natural) is different. We startpromoting Natural Line one year later, because we have to prepare the Natural Line launchwhich lasts 1 year.Promotion Plan for Standard and Natural Line (How) Navigator Suggested Marketing Strategy Time Line for 3 years The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE Promotion Plan for Pantene Standard Differences between Standard and Natural Line I II III Appendix I II III IV I II III IV I II III IV Virtual packing Bundle Ads in women magazines TV commercials Outdoor In-store Mailers Promotion Plan for Pantene Natural Virtual packing Bundle Ads in women magazines Natural Line See how the TV commercials preparation strategy will Outdoor In-store work! Mailers Discover the profits and 100% 80% assumed 60% budget! Marketing Budget 40% (proportions) 20% 0% 2008 2009 2010 2008-2010 Natural 0% 50% 40% 30% Standard 100% 50% 60% 70%
  • 22. We managed to achieve 20% profit, limiting marketing budget by 15%.Forecasted Profit - calculations Navigator Budget & Profit The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE SU Differences between Standard and Natural Line 2 252 798 Appendix GROSS SALES NOS 48 927 272 35 227 636 PROFIT Price List 5 146 000 LOGISTICS 7 339 091 TOTAL PROMOTION COSTS 6 360 545 MANUFACTURING 43 781 272 8 317 636 MAIN ASSUMPTION: MARKETING NOS=72%GROSS 9 532 182 SALES SALARIES 12 231 818
  • 23. Brand Managementin a MultinationalCompany1. Borkowski Kamil2. Dudek Edyta3. Majewska Magda4. Mangała Joanna Feel Confident through5. Pruchnik Kamil Nature Power
  • 24. Appendix
  • 25. Appendix 1- Landscape Assesment Size & Dynamics Market structure Competition review Winnig strategies • Shampoos & • Increasing significance of chemical stores • Competitive and • Nivea & Timotei (val. share conditioners - constant (sales vol. share +13,3% on sh., +10,6% on fragmented (10 strong con. +100%; +20%) - 250 ml + growth (MAT vol. MJ con.) brands < 10% vol. 100 ml free +5,8%; +12,6%) share) • Low WD of Pantene in HFS • Building competitiveness in • Conditioners - great (0 SKU’s >40wd) • Value share- 50% con. (val. per su ix 115 vs. sh.) growth potential (CDI 63 (P&G, Unilever, Loreal PL vs. 144 UK) • P&G portfolio underrepresented in fastest ) • Building strong and consistent growing price tier (High-Mid +11%) brand equity (TOMA -Timotei • P&G - leader in sh. • Pantene’s main +3,6%) (val. 21%), weak • Color and D&D segments rising importance competitor - Elseve position in con.(7,3%) due to High-Mid tier rise (val. Share -0,2% sh.; • High WD in HFS (Timotei 9; +7,2% con. vs. Dove 6 # of SKU’s > 40wd) • Rising Natural segment (Timotei – strong Pantene) player), considered resilient to recession • Sizing <200 potential (53,7 NOS/su); upsizing trend Focus on conditioners, Natural segment, Premium pricing tier, Color and D&D category, chemical chains (bigger sizes) and HFS (smaller sizes) and our brand equity! Strategy efficicient in crisis: Focus on conditioners sales increase, Natural segment, Color category, Premium pricing tier but Price promotions, In-store promotion 25
  • 26. Back-up SlideForecasted Profit – Manufacturing, Marketing & Logistics Navigator Costs for Manufacturing, Marketing, and Logistics The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE LIST PRICE Manufacturing Differences between Standard and Natural Line ??? GROSS SALES 48 927 272 PROFIT SU ??? 5 146 000 LOGISTICS 5 871 273 Assumed total cost 8 317 636 PROMOTION TOTAL COSTS 7 828 364 MANUFACTURING 43 781 272 8 317 636 MARKETING 11 000 000 SALARIES 10 764 000 Logistics Marketing Action % Cost Action %Cost Gren Zone 7% Outdoor 13% We assume it accounts for Green Box 18% Shelving 9% 15% of Gross Sales TV 32% Green Day 9% Mailers 3% Displace 3% Ads Magazines 6%
  • 27. Back-up SlideForecasted Profit – List Price Navigator PRICE LIST CALCULATIONS The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE LIST PRICE Differences between Standard and Natural Line Assumption: ??? GROSS SALES PROFIT 48 927 272 Average for all Pantene NOS$/su 15,55 SU 5 146 000 ??? Sales of sh 489 870 15,05 NOS/su LOGISTICS 5 871 273 Sales of con 95 433 18,06 NOS/su PROMOTION TOTAL COSTS 7 828 364 MANUFACTURING Ratio of con/sh 1,20 43 781 272 8 317 636 MARKETING 11 000 000 NOS 9 096 750,00 SALARIES 10 764 000 Year Assumption: Ratio of NO/SU is the same Sales of sh 518 282 15,05 NOS 2 008 Sales of con 107 458 18,06 9 741 564 Sales of sh 639 708 15,05 NOS 2 009 35 227 648 Sales of con 163 483 18,06 12 581 050 Sales of sh 656 142 15,05 NOS 2 010 Sales of con 167 726 18,06 12 905 034
  • 28. Back-up SlideForecasted Profit – Sold SU Navigator SOLD SU CALCULATIONS The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE LIST PRICE ??? virtual/bundle Differences between Standard and Natural Line 20 609 10% GROSS SALES 48 927 272 250 ml 119 533 58% PROFIT SU Shampoo 450 ml ??? 5 146 000 LOGISTICS Natural Line 206 091 24 731 12% 5 871 273 (27 79 51) 290 ml PROMOTION TOTAL COSTS 7 828 364 41 218 20% MANUFACTURING 43 781 272 8 317 636 MARKETING 200 ml 11 000 000 SALARIES Conditioner 40 472 56% 10 764 000 71 860 232 ml 10 779 15% virtual/bundle 20 609 29% Amount of sh in 3 years (1 814 130) Total SU 2 252 798 Amount of con in 3 years 250 ml (438 668) 1 173 868 73% 350 ml Shampoo 289 447 18% 1 608 039 virtual/bundle Standard Line 144724 9% (1 974 847) Conditioner 366 808 200 ml 222 084 61% virtual/bundle 144 724 39%
  • 29. Back-up SlideForcasted Profit – Promotion Costs Calculations Navigator PROMOTION COSTS CALCULATIONS The Evolution of The Product’s Message W HO, W HAT, HOW POD DISTRIBUTION PRICING VISIBILITY SHELVING MERCHANDISING PACKAGE LIST PRICE Differences between Standard and Natural Line ??? GROSS SALES 48 927 272 PROFIT SU ??? 5 146 000 LOGISTICS 5 871 273 PROMOTION TOTAL COSTS 7 828 364 MANUFACTURING 43 781 272 8 317 636 MARKETING 11 000 000 SALARIES 10 764 000 Action Average cost of shampoo with su Average cost of con with su Virtual/bundle 3,31 -2,16 In&Out 1,50 1,80 Volume Discount Natural 1,50 - Volume Discount Standard 1,17 -