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Case Analysis Of Clean Edge

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Paramount Health and Beauty Company (Paramount) had entered the new non-disposal razor product, Clean Edge, in 1962 and discussed the new technology on the product through the managers’ experiences. It achieved $13 billion of sales and $7 billion in gross profits for 2009.The company decided to introduce the product into men’s market where there is strong presence in comparison to women’s market. The executives of Paramount discussed the changes on this product and the direct competitors in addition to the substitute products. They are concerned on marketing and advertising the product, but they argued on the positioning strategy where to launch it as a niche or mainstream position. The executives also discussed the branding considerations and marketing budget allocations.
Many changes occurred in the non-disposal razor category and some market segmentations competed with paramount position.
First of all, the Clean Edge became a leading brand since 1962. Non-disposal …show more content…

“Quantitive research involves the collection of quantifiable information on topics like market potential and market share. The most important consideration is to avoid bias” (Session ΙV, Author, Year, P). Randall had met William Kim, Paramount’s newly hired corporate marketing director, and Albert Rosenberg, Paramount Pro’s product Manager. They shared a common set of assumptions and came out with 60% of Clean Edge sales would come from Pro/Avail customers in a mainstream positioning and 35% in a niche positioning. It means that using mainstream strategy would appeal to a larger market whereas niche will be beneficial for a small group of people. Therefore, mainstream position will increase the market share and profits and will gain larger number of user segment. However, mainstream could lead to eliminate product offering on the Pro/Avail products from the

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