Brita Products Company

1727 Words Feb 5th, 2012 7 Pages
Case Presentation : The Brita Products Company
Group 8

Prepared by
Ashish Gauba 11P070
Gunjeet Singh 11P078
Himanshu Sehgal 11P080
Ishan Agrawal 11P081
Srinivas R R 11P112
Vignesh K 11P119

Table of Contents Background: 3 ACNielsen Market Simulation Study: 5 Problem Analysis: 6 Customer Lifetime Value Analysis: 8 Ten scenarios of Brita’s marketing investment: 9 Recommendations: 10

Background:

The Clorox Company was a major manufacturer and marketer of laundry additives, household cleaners, charcoal, auto care products, cat litter and home water purifiers. In 1987, Charlie Couric , a marketing executive, charged
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The filter had two elements- activated carbon and ion exchange resin. Filtered water tasted better, it did not deposit scale when boiled and removed harmful heavy metals. But the filter did not screen out microorganisms such as cryptosporidium and giardia that caused gastro-intestinal diseases. The pitcher system was sold with a single filter in place. Filters required replacement after filtering 40 gallons of water. Filters were sold in packs of one, three and five.
Consumer Attitudes and Behavior: Over the decade of 1990’s, the safety of tap water became a topic of growing concern to US households. A 1999 survey found that 72% of all respondents and 89% of young adults voiced some concern about the quality of their household’s water supply. A majority of households used either bottled water or some purification system. The number taking no precautions declined from 47% in 1995 to 35% in 1999.
Company Strategy: During the 1990s, Brita has built its marketing position using the strategy "Established in class, first in mass, and alone in grocery." It meant to be established in class, first in mass, and alone in grocery. This consisted of a line of upscale pitchers called Ultra for department stores, standard pitcher for mass merchants like Target and Walmart and a bonus pack system and a 5 pack of filters to appeal to club retailers. Brita's competitors were unable to effectively rival Brita in pitcher sales. To retain its market lead, Brita had to continue to