Key Decision: Develop a brand strategy to increase fantastik’s sales and maintain its leadership position in the increasingly competitive all-purpose cleaner market.
Problem/Opportunity: fantastik has limited financial resources to promote and develop its brand. Also, other heavy price discounting and new higher-priced cleaning products have threatened fantastik’s market leading position. Thus, fantastik needs to lower its retail price or innovate product categories to attract and maintain customers.
Stakeholders: Johnson family benefit from the profits earned and success of the business. Customers need the strong cleaning function provided by the cleaners. Employees need a stable and safe working environment and expected salaries.
Analysis: Internal: fantastik has leading brand equity in industry and strong social responsibility that commit to communities and the environment, thus customers who pursue green lifestyle could be loyal to fantastic. Moreover, fantastik’s retail price $3.69 is relatively high compared with its competitors, thus it may lose customers who are price sensitive.
External: Consumers are moving towards environmentally friendly products, it gives fantastik a good opportunity and competitive advantage to compete with other competitors.
Consumer Analysis: The target market is women aged from 25 to 49 who are responsible for the cleanness at home and has upper household income. They are concerned about quality of life, thus they prefer to purchase product with high quality.
Competitive Analysis: The competitors are other all-purpose cleaners such as Lysol, Easy Off Bam, Mr. Clean, Vim, Hertel and private label. Those competitors offer lower retail price than fantastik and have strong cleaning function. Especially, private label products have the advantage of high margin for retailer and good shelf space.
Alternative Marketing Strategies:
Decision criteria: 1. Maintain competitive...