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CAN THIS BRAND BE SAVED ?

CAN THIS BRAND BE SAVED ? SUBMITTED BY:


IMRAN KHAN SHIRAZ KHAN SYED MAAZ HASAN S.M. MUBEEN ZAFAR OVAIS YOUNUS ASAD AZEEM BAIG M. WAQAS IQBAL (5171) (6001) (6012) (6083) (6139) (6177) (6225)

REVIEWING MARKETING EFFECTIVENESS


The overall measure of marketing effectiveness of La Shampoo can then be assessed against the following scale:

05 610 1115 1620 2125 2630

= = = = = =

None Poor Fair Good Very good Superior

REVIEWING MARKETING EFFECTIVENESS


The scoring process
La Shampoo scored in the following terms in this particular case study under the following heads;
1. 2. 3. 4. 5.

A customer-oriented philosophy An integrated marketing organization Adequate marketing information A strategic orientation Operational efficiency. Grand Total

04/06 02/06 04/06 05/06 03/06 18/30

REVIEWING MARKETING EFFECTIVENESS


La Shampoo has scored Good in the market effectiveness and thats the sole reason why La Shampoo retained 4% of the market share to itself for the last 14 years. La Shampoo has scored very well under Strategic Orientation which suggests that they are following the strategies that are congruent with their corporate goals. But in order compete with the always increasing competition La Shampoo has to capitalize on the areas of concern like Integrating Marketing practices in their entire Organization and its Operational Efficiency. So in order to maintain & recapture its market, some serious improvement are to be made in the La Shampoos marketing practices especially under those heads were La shampoo has performed not that good.

SWOT ANALYSIS
STRENGTHS o Stylish image o Brand loyalty o Premium product o Good will o European quality image WEAKNESSES o Remained unchanged over long period over time o Outdated and obsolete product o Expensive product o Very slight variations o Lack of herbal & organic ingredient claims o Lack of coordination among management OPPURTUNITIES o Addition & claim of herbal and organic ingredients o Re-establish name in the premium category of this particular product o Space in the combo market (Shampoo + Conditioner) THREATS o Increasing competition in the particular product category o More expensive product then competitors o Many substitutes in the market

RATING OPPURTUNITIES AND THREATS


High OPPURTUNITIES Organic & Herbal Claims Re-establish Premium Category Combo Market THREATS Increased Competition More Expensive Substitutes *** *** *** IMPORTANCE Medium Low

*** *** ***

TOWS STRATEGIES
S-O STRATEGY 1. Addition of herbal & organic ingredients will be helpful in justifying the premium image of the brand. 2. The company can utilize the customer loyalty & goodwill by launching combo product(s). S-T STRATEGY 1. Product differentiation on the basis of quality will reduce the persisting competition in the marketing. 2. Established goodwill of this product restricts the new comers entrance in the particular market.

TOWS STRATEGIES
W-O STRATEGY 1. Significant changes are to be injected in the product, according to the prevailing demand of natural premium products in the market. 2. New combinations & complements are to be introduced in order to convert the declining stage of this brand into maturity stage. W-T STRATEGY 1. The increased competition in the market can be coped up with more & more innovations in this product and its complements. 2. Innovations are not the only way to stay in the market but the cost factor is also to be reduced in order to compete at price level as well.

ACM MATRIX

ASSET-COMPETENCY MATRIX
In this case scenario by plotting our product namely La Shampoo, on the ACM matrix we determined that it lies in between the medium & high Market Attractiveness zone furthermore in the category of Assets and Competencies it lies in the weak zone of the particular matrix. By keeping in view the current position of the brand the ACM matrix suggests that the brand has to acquire competencies by internal investment or acquisition. We can further elaborate this in the sense that La Shampoo must add organic & natural ingredients in their current product and must step into the combo market by introducing combo-features such as shampoo plus conditioner. The current trends in the market (keeping in mind the 1980s) the shampoo market was growing immensely in the United States which will eventually shift the Market Attractiveness into the High zone as the time progresses so it is beneficial for La Shampoo to invest in the growing market.