Renova Toilet paper case notes
2
Renova case: • Disposable tissue and hygiene $26 bln industry o Disposable tissue $13 bln , (market growth 2.4%) Tolitet paper: $7.6 bln Kitchen towels and rolls : $ 2.6 bln Facial and pocket tissues: $1.6 bln Table napkins: $1.3 bln o Hygiene products $13 bln • Renova’s share of western European market: <1% • Sales of disposable tissue paper category: 220 mln euro (2005) o Toilet paper: 135mln euro o Table napkins: 37.2 mln euro o Kitchen rolls: 35mln euro o Facial tissues: 12.8 mln euro • Renova market share disposable tissue category : 35% (17% if take into acct hygiene products) o Toilet paper: 34% o Table napkins: 37.6% o Kitchen rolls: 29% o Facial tissues: 29.5% • Growth rates: o Toilet paper: 1.5% per year • Private labels and Renova each have about 1/3 of market share. • Renova brands shares: o Renova Super: 25% market share o Renova Progress: 5% o Other: <2% • Toilet paper rolls prices: bw 0.100.70 euro • Toilet paper packages: 12 or 24 packs, pack of 6 common, sometimes 48. • Important attributes of toilet paper (Portugal): o Price (60%) – 55% check price before buying, 35% do not, o Quality (30%) softness, strength, absorbency o Brand (8%) o Format (2%) • Rapid growth for private labels (16%, 12% vs 3% in economy brands) • Retailers typically carry 34 paper brands, increase price gap bw national brands and private labels • Renova was the first manufacturer to introduce paper rolls impregnated with lotions and balms • Decorative toilet paper rolls never had significant sales o Health concerns (dye added) • Production capacity: 100, 000 tonns per year • Renova spent 1.5 millin per campaing to associate Renova with wellbeing o Ads progressively less functional and more symbolic
description
Analysis of Renova Toilet Paper case study
Transcript of Renova Toilet paper case notes
-
Renova case: Disposable tissue and hygiene - $26 bln industry
o Disposable tissue - $13 bln , (market growth 2.4%) Tolitet paper: $7.6 bln Kitchen towels and rolls : $ 2.6 bln Facial and pocket tissues: $1.6 bln Table napkins: $1.3 bln
o Hygiene products - $13 bln Renovas share of western European market:
-
Brand awareness: 87%, in particular among younger consumers from higher social classes. o Prestige brand: 7.5/10 o
