Essay about Johnson Wax Case Study

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Harvard Business Review Case Study
Johnson Wax: Enhance (A)
1. How is Enhanced positioned? Does this position make sense? Why/not?
2. Would you recommend sampling? Why/not? (show your calculations)
3. As John Sherman, what would you recommend be done with Enhance?

Johnson Wax: Enhance (A)

1. Enhance is targeted towards women 25-45 years old with dry hair. During ASSESSOR's Advertising Recall, total unaided recall for Enhance was 76%; among those who recalled the Enhance ad, almost 50% recalled that Enhance was "for dry hair". The perceptual maps in Exhibit 3 showed that Enhance was positioned 1) med/high conditioning; med/low clean, and 2) med/high conditioning; medium effects on hair.

This positioning doesn't make sense.
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If the values in the table are calculated with Excel's solver (assuming linearity), then it is highly apparent that sampling would not be practical. To reach a target market share of 10%, we would need to deliver $93. million in samples (this would get 6.1% market share. 6.1% + 3.9% (page 10) = 10%).

3. On the Conditioning/Effects-on-Hair perceptual map, Enhance is almost where it needs to be on Conditioning quality, but much lower on Effects than where the ultimate target is. Enhance's repeat users like it for its manageability/effects qualities. Therefore, the product needs to be marketed for "manageability" instead of for "dry hair".

As John Sherman, I would recommend that Enhance be marketed for its manageability. There is very high product awareness for Johnson products (76% unaided recall for Enhance – with 50% recalling that it was about "dry hair"). If that perception were changed towards "manageability/effects", then Enhance can position itself where it can be most effective. Enhance is already liked for its manageability and not for its conditioning qualities – so it makes sense to target the audience where our product is liked the most (42% vs 11%).

I wouldn't recommend reformulating the product for more conditioning perception (even though it is 33% in relative importance) because Enhance is already succeeding in manageability/effects (which
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