Case Study
Soft and Silky Shaving Gel
Company Background
Parvaderm Corporation is a manufacturer of women’s personal-care products. The company’s line of products includes facial creams, hand and body lotions, and a full line of women toiletries sold under different brand names. Products are sold by drug and food-and-drugstores through rack jobbers. Rack jobbers are actually wholesales that set up and merchandise retail displays.
Soft and silky shaving gel was introduced in the spring of 1991. The product was viewed as a logical extension of the company’s soft and silky brand of hand and body lotions and required few changes in packaging and manufacturing. The unique dimension of the introduction was that soft and silky shaving gel was positioned as a high quality women’s shaving gel. The positioning strategy was successful in differentiating soft and silky shaving gel from existing men and women’s shaving creams and gels at the time. Moreover, retailers were able to obtain product placement in the women’s personal-care section of drug and food-and-drug stores, thus emphasizing the product’s positioning statement. Furthermore, placement apart from men’s shaving products minimized direct price comparisons Soft and Silky Shaving Gel was premium priced with a suggested retail price of 3.95$ per 5.5ounce tube. In addition, Soft and Silky Shaving Gel has been sold in a tube since its introduction. This packaging was adopted because the company did not have the technology to produce aerosol containers. Also it has been profitable from the time of its introduction. The positioning had created a customer franchise whereby the product is unique for the feminine woman who considers herself special.
INTORDUCTION
Problem definition:
The introduction of 5 ½ ounce or 10 ounce aerosol container and approval of its additional funds for the market test.
I. The issues facing Soft and Silky are as follows:
1) Phoebe Masters, the newly appointed Product Manager, must decide
Company Background
Parvaderm Corporation is a manufacturer of women’s personal-care products. The company’s line of products includes facial creams, hand and body lotions, and a full line of women toiletries sold under different brand names. Products are sold by drug and food-and-drugstores through rack jobbers. Rack jobbers are actually wholesales that set up and merchandise retail displays.
Soft and silky shaving gel was introduced in the spring of 1991. The product was viewed as a logical extension of the company’s soft and silky brand of hand and body lotions and required few changes in packaging and manufacturing. The unique dimension of the introduction was that soft and silky shaving gel was positioned as a high quality women’s shaving gel. The positioning strategy was successful in differentiating soft and silky shaving gel from existing men and women’s shaving creams and gels at the time. Moreover, retailers were able to obtain product placement in the women’s personal-care section of drug and food-and-drug stores, thus emphasizing the product’s positioning statement. Furthermore, placement apart from men’s shaving products minimized direct price comparisons Soft and Silky Shaving Gel was premium priced with a suggested retail price of 3.95$ per 5.5ounce tube. In addition, Soft and Silky Shaving Gel has been sold in a tube since its introduction. This packaging was adopted because the company did not have the technology to produce aerosol containers. Also it has been profitable from the time of its introduction. The positioning had created a customer franchise whereby the product is unique for the feminine woman who considers herself special.
INTORDUCTION
Problem definition:
The introduction of 5 ½ ounce or 10 ounce aerosol container and approval of its additional funds for the market test.
I. The issues facing Soft and Silky are as follows:
1) Phoebe Masters, the newly appointed Product Manager, must decide