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Planning - Sequence of activities

April - week long meeting


discussion on effectiveness of previous years trade and consumer
promotions
Summarized in Brand Fact Books (for eg. Different hair brand, Di
fferent Skin care brand)

Fact books - historical perspective of category and brand, competitor profile
s,
actions in advertising, promotion, pricing and product,
consumer attitudes
quantitative results - sales, market share, shipments, contribut
ions etc
May -July - Develop marketing plans based on fact books for each brand
develop forecast of sales
October - Forecasts were incorporated in division budget
Nov - Jan - Category and divsion strategic business plans
4 strategic categories - Build, Hold, Harvest, Withdraw (all 4 s
trongly tied to resource allocation)
Build - build market share
Hold - hold market share and profit levels
Harvest - maximized cash flows (high margin)
Withdraw - painless exit
After this plans were reviewed by Operating committe and reviewed with EX vP of
North America and President of the company
Control - Sequence of activities
Daily sales reports(actual vs budgeted) and monthly sale forecast reports on sal
es
Trade reports
Distribution channel reports
MRD reports on products movement from factory to distribution channel to consume
rs
In addition managers used informal reports like intention to buy after sampling,
whether consumer liked advertising campaign
White Rain's manager - looked at proportion of promotion goods sold to total goo
ds sold (if promotion increased he will sell at low price so marketing mix needs
to be adjusted)
looked at share and shipments (since it was build brand)

Right Guards manager - more towards providing product news consistently to trade
and consumers. He focused on profit (since it was hold)
Right Guard - Background and issue
deodrants for male users
aerosol image more entrenched to consumers than competitors
Restage process
moved from hold to build
new fragrance, new packaging, advertising was reduce to maximize profit
Price increase in october 1982
advertising low for first 5 months
trade promotions were grouped together in second quarter
full line promoted together to maximize restage impact
new product came to shelves
12.7 million advertising campaign
Market didn't grew that much (only 2%)
competitor increased advertising by 45% to 12.8 million
Achieved 7.6% share vs 8.1% forecasted
consumer and trade reaction weak
huge brand awareness - difficult for old aerosol image to modify
MSS 6.5%. New products/improvement in pipeline.
Became Hold brand again
White Rain
No extensive documentation
End run test = once safety and effectiveness tests performed did attitude testin
g on getting negative reaction (instead of bunch of positives)
No advertising - Low price
Launched at same price to competitor but providing more quantity
No advertising was significant barrier in gaining shelf space
authorized a minimal advertising campaign
2/3 not learned about shampoo until they saw it on store shelves
brand developed special shelf displays