CASE1: EXECUTIVE SUMMARY FOR PARAMOUNT HEALTHNAND BEAUTY COMPANY
ParamountHealth and Beauty Company conducted an analysis to assess the successof launching their new product called the clean Edge Razor which is anon-disposable razor. The report aims to assess the factors that wereconsidered to determine whether the launch of this new product willbe a success.
Theclean edge razor is an advanced non-disposable razor that has hightechnological improvements unlike other shaving razors in the market.The study conducted by Paramount indicated that consumers were movingaway from using disposable shaving razors that required replacing nowand then. Therefore, it was concluded there was a need of introducinga new unique product that will give the customers satisfaction.
Thenew Clean Edge Razor has a unique design with a vibrating ultra-thinfive-blade design. This makes it an effective and efficient productwith better balancing, grip and control while shaving. The advancedultra-thin blade design reduces skin irritation leaving skin smoothand soft according to men who have used the new product. Clinicalexperiments have also shown that the Clean Edge Razor is 25% moreeffective in removing hair as compared to other leadingnon-disposable razor brands like Cogent and Vitric.
Paramount’sClean Edge Razor faces competition from other non-disposable razorsfrom companies like Prince, Benet &Klein as well as newcompanies. Clean Edge required significant marketing dollars to makesure it was launched successfully. The management decided aneffective marketing strategy by allocating $20.2 million foradvertising and $28.1 million for client promotions.
Paramount’sClean Edge Razor has a lot of potential of becoming the new standardmen’s shaving razor. Tests have also shown that the Clean EdgeRazor has the potential to gain mass appeal since all those who useit are satisfied with its performance. The success of the Clean EdgeRazor will lead to the overall growth of Paramount Health and BeautyCompany in terms of income and revenue.
CASESTUDY2: EXECUTIVE SUMMARY FOR TRUEARTH COMPANY
TruEarthCompany was founded in 2006 and is involved in the business ofpastas, sauces and meals. The company has been working on venturinginto producing a new fresh whole grain pizza. Previously TruEarth wasoffering a fresh whole grain pizza meal kit, Cucina Fresca, which wasvery successful. However, sales of this product slowed down as aresult of competition from other companies. Therefore, TruEarth isconsidered introducing a new fresh whole grain pizza to have acompetitive edge in the market.
Theaim of the report was to review the potential for success ofTruEarth’s new product. TruEarth contracted a market research firmto help determine the potential success for their new product, CucinaFresca.
Theidea of introducing Cucina Fresca came as a result of the demand forquick home meal replacements, refrigerated pasta and whole grainfood. This product has benefits like shorter cooking time and hasbetter flavor, texture and nutrition than other products fromcompetitors. Several companies had tried to produce a product likeCucina Fresca but their products were not very tasty meaning therewas no strong player in the market.
TruEarthdeveloped a fresh whole grain dubbed Cucina Fresca with a range ofchoices like Cut pasta, tortllini, ravioli and accompanying sources.The product was tested in the market, and results showed 76% positivepurchase intent.
Thecompany raised consumer awareness about its new product, CucinaFresca, through promotional programs, using coupons, magazinesadvertisements and in –store demonstrations.
CucinaFresca has the potential to gain more market penetrationwithapproximately 13% penetration in priority cities according to themarket research firm. However there is need for more testing sincestudies have only been done in high potential markets
Quelch, J. A., & Beckham, H. (2011). Clean Edge Razor:. Cambridge: Havard University Press.
Rancan, V. K., & Rancan, S. (2009). Truearth Healthy foods: market research for a new product introduction. cambridge: Havard university press.