PGs Pert Plus a Pan-European Product - 1141 Words

PGS Pert Plus: A Pan-European Product? QUESTION 1 How attractive is the pan-European market for Pert Plus in terms of demand potential? Competition? Any cannibalization problems? PG is an international supplier of consumer goods it is a global leader in health and beauty care products, detergents, diapers and food . PGs presence in the hair care market in the U.S has been strengthened by innovative technology BC-18 and the replacement of an old brand Pert with Pert Plus- a mild shampoo with a fully effective conditioner. PG decided to introduce BC-18 in Europe. Traditionally, the European market is highly competitive the main rivals are Colgate, Unileaver, and LOreal. The European market is segmented (i.e. value based) and†¦show more content†¦Brand choice? Should the BC 18 technology be introduced with a pan European name, or with local brand names, or even with a mixture of both approaches? Research indicates in Europe there are large price differences among hair care products. PG has decided that it should place the new shampoo in the premium-priced segment; this is done in order to keep up the image of the shampoo as a high quality and innovative product. PG should charge premium price in each country to be sold for 4.99 DM for the 200 ml bottle and for 5.99 DM for the 250 ml bottle in all the countries which had had been accepted during the consumer tests. The company cannot charge a price very few people can afford, this will also not be profitable for the company. PG is to become a leader in the European market of two in one hair products. The first year objective is to attract new European customers from competing brands to shift to the use of shampoo to BC-18. The aim is to exert a pull on the population in order to create a new market niche inside the shampoo market and encourage the people to use the new BC-18. In effect BC-18 technology serves the core need of washing hair and therefore it has to compete with the different national brands which are often well established. As I see, the BC-18 technology should be introduced with a mixture of both approaches—with a pan-European name and local brand names. If we just introduceShow MoreRelatedPGs Pert Plus: a Pan- European Brand?636 Words   |  3 PagesQ1. How attractive is the Pan- European market for pert plus in terms of demand potential? Competition? Pan- European market is quite attractive for pert plus    in terms of demand as the consumers test results showed that the product concept of wash go their (time-saving benefits) 28% consumers said that they would definalty buy the product that was only 1 percent less then already established bran there Vidal Sasson. Also because they are gradually accepting the idea of 2-in-1 shampoo more