Case Analysis

•Category & Operations Manager,

Boots UK

•Director of Personalisation, Boots UK

GOAL

Get three for the price of two

Get a product sample with regular purchase

Early Days

Started by John Boots in

“The British And American Botanic

Establishment”

Jesse took over in 1877 renamed it

“Boots & Company Limited”

Post War Regeneration & New Development(1945- 1968)

Development in

Power House, printing works & pharmaceutical research building

New Cosmetic factory in

for Boots

To Be the retail hair care expert

To build a new market

No celebrity endorsed products Lucrative option for hairdressers

% of female adults in UK visited a Boots

store within the past week

Boots manufactured the products!

Paid a per unit licensing fee for celebrity name usage.

Boots was unable to link its name with the brands

Entrepreneurial & Global

3 London saloons,

2 in New York & 1 in LA

Strong market awareness

Hairstyle & haircare

3 salons in UK

Low market awareness

Influential & Creative

5 London salons,

2000 clients

per week

Moderate market awareness

Catwalk-led hairstyles

250 salons in UK

Strong M.A.

Hoffman-La Roche developed Pantene

Richardson-Vicks acquired Pantene in 1983

Procter & Gamble acquired it in 1985=reformulated as Pantene Pro-V

dollar

company started in

stores in U.S., U.K.(150),

Japan, Canada & Germany

founder

Eugene Schueller founded

“Société Française deTeintures Inoffensives pour Cheveux”, L’OREAL

in 1907

brands- products

stores employees

stores

stores

Started 1966

700 stores in UK

10000 products

Customer satisfaction

Hundreds of Private label products launched annually

Target audienceCurrent Boots consumers & mass market brand purchasers

Time periodOne month- starting 1st Dec

BudgetNo media advertising budget

Signage in Store & outside

Average Bottle size: 250ml

Pre-promotional price: £ 3.99

Retail margin on premium brands: 40%

Mass-market brands: Price-£2 Margin- 25%

Manufacturers margin: 8%-12%

Free product sample with purchase!!!!!!*Sample addition 90p plus 3p for sample attachment……

MARKET LEADERSHIP

Created by Swapnil Kumar Singh, IIT Madras

during marketing internship by Prof. Sameer Mathur, IIM Lucknow