BOOTS: HAIR-CARE SALES PROMOTION

About the companyJohn boot started the company The British and American Botanic Establishment in 1849 and was later taken control by his son Jesse boots who founded the company Boot and Company Limited.

What is the companies situation?

Not more that 9% market share in hair care field

Wants to improve sales by coming up with various marketing strategies

Their primary objectives are

To increase the sales volume by building brand equity and trade up consumers from lower brand values

Sales were directly proportional to the marketing expenditure

According to Boots..

Main motive of this case

To increase the sales of the hair care products by Boots

To do so Dave Robinson has to chose one of these three

3 for the price of 2

Gift with purchase

On pack coupon

Why do all of this?

For the company to improve sales, gain visibility and reach out to more people

Their competition

Companies like P&G, Alberto Culver and L'Oréal and each company had their own branding strategy

P&G They had their own set of hair care products, thus competition with itself and not allowing outside competition

L'Oréal

Focused mainly on communication and distribution channels

Now what do the people want?

70’s the consumers wanted shampoo that

was gentle

80’ consumers wanted

shampoo that was

detangling90’s

consumers wanted shiny

hairDue to this issue companies had to come up with a marketing strategy to reach out to people and win their trust

Thus Dave Robinson had to come up with an alternative..

What were they?

• 3 for 2• GWP• On pack

coupon worth 50p

Sales will increase by 300%60% new customers

Sales increased by 170%40% new customers

GWP

Sales increases by 150%50% new customers

The best solution is 3 for 2 as it is increasing sales as well as bringing in new customers comparatively

So what should Robinson choose?

DISCLAIMAR

Created by Akhil Mukundan, RV College of Engineering, Bangalore, during a marketing internship by Prof. Sameer Mathur, IIM Lucknow