The document discusses a case study for Boots, a UK retailer, to increase sales of its hair care products. It analyzes the UK hair care market, Boots' objectives, competitors like Procter & Gamble and L'Oreal, and potential retail partners. Three promotional strategies are considered: buy 3 products get 1 free, gift with purchase, and on-pack coupons. The strategies are compared based on potential sales increases and ease of imitation. Based on the analysis, the document concludes the buy 3 for the price of 2 strategy would most benefit Boots by pushing inventory and attracting new buyers while being difficult for competitors to imitate.

1. BOOTS:
HAIR CARESALES PROMOTION
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2. THE PRESENT
CASE??
MARKETING
??

3. CASE STUDY ON
• The case deals with sales promotion and growth of
boots store across UK.
• Hair care product market is analyzed, major
competitors present in retail sector and mass
marketing brands are reviewed and a few proposed
strategies are discussed.
• Keeping the objectives of the firm in mind one of the
three strategies need to be selected.
LOOKS
INTERESTING

4. OBJECTIVES:
Increase sales volume for hair care products.
Trade-up consumers from lower-value brands.
Retain or
build brand equity.
MARKET
LEADER!!!

5. ABOUT BOOTS
New logo
looks
better!!
• Established by John Boot In 1849.
• One of best known retail names in the UK with an
employment of about 75000 in 2004.
• It also has a reputed name in manufacturing and
international sales and marketing operations.
• The Boots online store today boasts of a wide range
of healthcare products, beauty, toiletries and a
plethora of other products.

6. Hair Care Products Market in UK
• Highly fragmented with over 60 brands of hair care products.
• None had more than 9% market share.
• Characterized by severe price competition.
• Major competitors included - Procter and Gamble,
Alberto-Culver,
L'Oréal

7. OPPORTUNITY FOR BOOTS
• Boots wanted to be a hair care expert and saw great promise in the
market.
• Celebrity endorsements were to be used to promote products.
• Boots cultivated relationships with well established hairdressers.
• Launched latest ranges of products.
• Realized that it had not been able to sufficiently link its name with the
products and hence missed on maximizing profitability.
• The brand kept on growing.

8. THE COMPETITORS..
From over 60 available mass marketing brands few
were the leaders.
They included:
• Procter & Gamble
• ALBERTO-CULVER
• L’ORÉAL

9. 8.4% market share by 2001.
• Pantene became the best-selling hair-care brand in the
world by 1995.
• Many other products with high consumer awareness.
2000 store locations in the US, UK and other
countries.
• Has globally acquired diverse firms.
• Variety of hair care products.
5% share of UK hair care market in 2001.
• Offers more than 2000 products over 500 brands.
• Present worldwide through subsidiaries.

10. HAIR CARE PRODUCT RETAILERS
Retail marketing offers a large scope for profits and
hence stiff competition prevailed among many retail
stores across UK.
Major competitors included:
• Tesco
• Sainsbury's
• Morrison's
• Superdrug

11. Largest supermarket chain in the US.
• More than 1800 stores and 45000 employees.
Second largest store in the US.
• Wide product assortments.
• More than 700 stores.
Quality products at low price.
• Over 400 stores.
• Took over Safeway in UK.
Major hair care competitor with almost 700 stores.
• One of largest health and beauty retailer.
• Launched hundreds of private label products each year.

12. CONSUMERS PERSPECTIVE
A general belief that changing shampoo brands produced
better results than continually using a single brand.
Trends in buying behavior led to changing preferences.
It was difficult for consumers to identify meaningful
differences between the various brands available in any
given store.
Consumers had a large number of choices.
ANY BRAND
WOULD DO

13. PRESENT SCENARIO
Signage within and
outside the stores
along with flyers.
No media advertising.
One month
promotional period.
Present Aim: Attract
current consumers and
mass market brand
purchasers
INTERESTING..

14. SUGGESTED
STRATEGIES..
3 FOR
2
On-pack
Coupon
(50p off)
GWP (Gift
With
Purchase)

16. • Under this offer consumers can buy three
products for the price of two.
• Any three items could be combined to redeem the
offer.
ADVANTAGES
• Customers could combine any three
items they liked.
• Would help Boots push non selling
brands.
• Difficult to imitate due to lack of
technology.
• Upto 300% sales with 60% new
buyers.
DISADVANTAGES
• May sound to some as stock clearance sale.
• Loss of brand equity for premium products.

18. Consumers would be given free product
sample along with regular purchases.
ADVANTAGES
• Free product samples, which if liked
by people would be consumed
further.
• Upto 170% sales with 40%
promotional buyers.
DISADVANTAGES
• Easily imitable and is used by
competitors.
• Additional costs associated like
packaging and securing the two
items together.

19. ON-PACK COUPON
DISADVANTAGES
• Conservative approach.
• Upto 170% sales with 40%
promotional buyers.
• Less increase in %sales comparatively.
• May lead to brand dilution.
ADVANTAGES
• All customers would be able to
redeem coupon within current visit.
• Upto 150% sales with 50%
promotional buyers.

20. CONCLUSION
• Considering all pros and cons it is felt that “3 for 2” is the best
promotional strategy and would largely benefit the firm.
I liked the “3 for 2
plan” Yes I like it too

21. SUMMARY
• Details if case study.
• About Boots and its objectives.
• Hair care product market in UK.
• Opportunity for Boots.
• Its competitors.
• Hair care product retailers.
• Consumer perspective.
• Present Scenario.
• Pros and cons of the three strategies to select final one.
• Conclusion

22. DISCLAIMER
• Created by Arpit Aggarwal from IIT Roorkee
• Under Prof Sameer Mathur, IIM Lucknow.