Question: Read the case study given below and answer the questions: Background: Dettol Antiseptic Cream (DAC) was launched in India by Reckitt & Colman (India) Ltd.
Read the case study given below and answer the questions:
Background: Dettol Antiseptic Cream (DAC) was launched in India by Reckitt & Colman (India) Ltd. DAC was introduced a part of a line extension strategy. DAC
was to be a complementary product to Dettol Liquid, which presently was the market leader with almost 80-85 % share of the antiseptic liquid market. Intended positioning. "DAC offers Dettol protection in cream from. It was effective against minor cuts, burns wounds insect bites, shaving nick, boils and rashes." Competition: Boroline has the lion's share of the antiseptic cream market, especially in Northern India. The other well-known brands in the market are Savlon, Boro-Plus and Boro-Calendula. In addition to these, there are a few products/brands with very specific usage areas like:
Burns
Dry Skin/chapped lips
Pimples and Complexion
Fair &Lovely etc.
Shaving nicks
One aspect of the competition which was not anticipated earlier was that DAC might face competition from 'Dettol Liquid' itself.
Recognizing the Problem Area: over the last few years, the performance of DAC has been a matter of concern, as the sales did not reach the expected level with time. This rises the basic question,' why are sales not picking up and what should be done to rectify the position?'
So the following three problem areas are examined.
(i)Distribution: This does not seem to be the problem area since the extensive distribution network for other products of Reckitt &colman Ltd, is being used for DAC
(ii)Potential Market: There are a number of brands in the antiseptic cream market and some of them; especially Boroline is doing very well. It is indicative enough that there is a market for antiseptic cream. So the objective would be find out what people see in Boroline which they find lacking in DAC.
On taking a closer look, it would seem that DAC is perceived as an antiseptic cream to be used specially for cuts and wounds may be because of the brand name 'Dettol'. In case of cuts and wounds, people may prefer to use established antiseptic liquids e.g. Dettol or Savlon, which they might already have at home and are currently using. In that case, it would appear that there is not enough market potential for a cream like DAC, given the way it is being currently perceived by the people.
On the other hand, it seems Boroline is perceived as a general purpose cream, which can be used for cosmetic purposes like dry shin, chapped lips, pimples etc, as well as for medicinal uses like cuts and wounds. Hence Boroline would be handy all purpose cream to have at home. This should be verified objectively.
(iii) Media Support: Media support for DAC has been restricted to insertion in newspapers and magazines, hoardings and points of purchase displays. These media have also not been extensively used. Thus, the problem could be that the media support is insufficient. Insufficient media support would mean:
People may be aware of DAC.
People may be aware of DAC but may not be convinced enough to buy it. On the other hand, the media support may be sufficient but the message might not have got across to the consumer. This would mean that the intended positioning might not have been achieved.
You are the manager of a Business Research Agency whom entrusted with jobs to study the problem areas of DAC and to give necessary suggestions.
: Burnol
: Various cold creams and vaseline
: Various cosmetic creams like Clearsil,
: Various after shave lotions (ASLs)
Answer the following questions:
a) Define the research problem corresponding to the above problem.
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