Slanket: Case Study
The most important goal for Slanket (a sleeved blanket product) is to create a new marketing strategy that not only reserves current market share, but increases Slanket’s position in the sleeved blanket market. The main impediment to achieving this goal is a competition brand called Snuggie which has successfully penetrated and consumed most of the sleeved blanket market with an inferior product. The best solution for Slanket to regain its market position and increase its market share in the industry is to generate revenues from online sales while implementing strategies to reduce costs.
The most important mission of Slanket is to set a reasonable revenue goal, and implement a clearly defined strategy with objectives that will assist Slanket in meeting their expectations. Snuggie, a competition product with a budget substantially larger than Slanket’s is the main obstacle that impedes Slanket from attaining their revenue target.
Alternative 1: Slanket can create revenue by increasing their internet sales by implementing certain strategies or online services to direct potential customers towards their product. To keep costs relatively low they should apply Slanket’s cost effective online transaction system (in which Direct Agents are hired) which is an already functioning structure of the company’s internet sales. However, implementing this strategy may increase Slanket’s expenses without producing increased revenue.
Alternative 2: A market strategy that creates new customers by implementing an advertising strategy that focuses on Slanket’s superior sleeved blanket and customer satisfaction based on customer’s reviews (Exhibit 3 Product Design & Consumer reviews). The main deterrent of this strategy is determining the market or customer base of the Slanket, and concluding that the customer not only wants a superior product, but will pay the...