Fab1Shot Case Study

In 1987, Colgate Palmolive (“CP”) disclosed a rude(a)(a) ingathering to the securities industry, fab 1 shot. CP marketed the yield under the Fab home run, a renowned fluent detergent introduced in 1947. Fab 1 Shot was a single-use pre-measured unit consisting of detergent, softener, bleach and antistatic ingredient on a bed sheet that was used in the washer and then in the dryer. CP forewent ladder marketing to beat the contestation to market. Initially sales change magnitude gaining instant market share, but a year later launch pauperization for the carrefour diminished. Customer complaints related to carrefours leaking; returnion did non part fully in water; broad(prenominal) cost; inability to adjust dosage for larger wash-loads, product did not clean rise and the fact that consumers did not invariably require the use of whitener were cited as possible reasons for product failure. Pros :CP could leverage place rectitude of FAB, a succe ssful stigmatise, to introduce Fab 1 Shot to a greater extent cost effectively. Additionally, brand recognition and lealty has been established for FAB. Customers trustworthy to the FAB brand and its known quality would be more receptive to furnish products associated with it. Cons:Cannibalism - where existing FAB users would shift towards the “new” product, and cease acquire the brand product FAB.

This factor was considered by CP, who attempted to dress this risk. CP wanted to increase market share, not to shift it at heart their products. Additionally, brand loyal customers grant certain expectations fro m FAB brand. To rag on an “innovative ! new product” to an established brand may dilute determine of the brand if brand loyal tar lay group dislikes the product or the product fails. potentially lose customers to competitors. FAB 1 Shot was trying to extend to the primary trend “ gimmick”. By extending the FAB brand, the product was also complying with “niche forge” trend that was prevalent during that period. The product was considered innovative when it was...If you want to get a full essay, order of magnitude it on our website: OrderCustomPaper.com

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