I. Time Context:
January 5, 2001
II. View Point:
Phoebe Masters, the newly appointed Product Manager for hand and body lotions at Ms. Tique Corporation.
III. Central Problem:
The introduction of 5 ½ ounce or 10 ounce aerosol container and approval of its additional funds for the market test.
* Unit sales volume for Soft and Silky Shaving Gel had slowed and then plateaued in recent years. * The growth of Soft and Silky Shaving Gel sales had overburdened production capacity and scheduling. * The Company had no manufacturing capacity expansion for the coming 3 years. * Aerosol packaging had become the dominant design for women’s shaving creams and gel.
* To introduce the new package design to the market via market test * To make the aerosol container as their new packaging design * To cannibalize the tube packaging
* To increase their overall sales
* To be the leading company worldwide that offers women’s shaving products *
V. Areas of Consideration:
* Soft and Silky Shaving Gel was positioned as a high quality women’s shaving gel. * The company’s positioning strategy was successful in differentiating its product from existing men’s and women’s shaving gel (1986). * The positioning strategy also minimized direct price comparison which is an advantage for the company since Soft and Silky Shaving Gel was premium priced.
* The company’s shipping records indicated that the product’s fill rate had dropped, leading to out of stock situations and lost sales. * They have no manufacturing capacity extension plans for the coming 3 years. * The company does not have the technology to produce aerosol containers.
* Aerosol packaging had become the dominant design for women’s shaving cream and gel.
* The market for women’s...