PGP Term V, 2019 Suresh PGP/22/053

Leki PGP/22/141
Mukesh PGP/22/147
Ramchandra PGP/22/155
Mrinal PGP/22/293
Aaqib PGP/22/423
 Question 1
Analyze Deo market and Dry Idea's Place in it. What drives the category from the consumer
behaviour point of view?
In 1979 the deodorant market size in units Competitive Environment: Overall market
was 475300.
6 players dominated the market - Procter & Gamble (21.8%), Gillette (17.1%), Carter-Wallace, Mennen, Bristol
Myers and Shulton

1983 it grew Competitive Environment: Roll-on only market

to 506000. In
1983 the Deodorants Bristol Myers dominated the market with 26.5% unit share followed by Procter & Gamble and then by Gillete
dollar amount (25% sales)
represents
almost $1 sales Consumer Analysis - US:
Antiperspirants
billion in (75%) • 93% of American females and 87% of males used deodorant/anti-perspirant products
manufacturers • Point of Sales: Food stores, drug stores or through mass merchandiser
’ sales which • Purchase cycle: 4 to 8 weeks
is divided in • Main purchase factors - Product efficacy & Product aesthetics:
Sales • Efficacy rates – products ability to reduce thermally induced perspiration
to 2 categories
• Aesthetics – like dry application and nice fragrance

Advertising Factors and Trends: Deodorants and antiperspirants

 Advertising copy claims emphasized both efficacy and aesthetics benefits usually pitched within 30 seconds
 Comparative claims tended to be single form (superiority vs competitive brand of same form) although cross-form comparisons sometimes were made
 1983 advertisers spent a total of $121 million on media – a 13% increase over 1982
Dry Idea Market Share
1983
The Dry Idea Improved dryness protection Dry-feel application Water-less Silicon suspension formulation Overall: 4.2%s
New Roll-on Anti-perspirant
Roll-on: 14.0%
 Question 2
Understand the Brand management (client-gillette) and Account management (agency-
BBDO) organization based on the case data, read and follow the interactions (scenes 31-32,
62-44 in video transcripts) and analyze/ compare the client and agency perspectives on the
Gillette marketing and advertising issues faced during the period.
Marketing and Advertising issues faced
Gillette Management Perspective BBDO perspective
 No Balance between efficacy and aesthetics  Lack of impactful and pre-emptive creative advertising
 Fixated on “Spokesperson” as the interim solution till a  Roll-on subset is declining and continues to decline
new solution is arrived at.  Solids are growing rapidly.
 Considered the “Start Drier – Finish Drier” as a poor
 Not spending as much as competitors on advertisements, at times competitors spend thrice as much as us.
piece of creative
 Three campaigns with three selling ideas sends an inconsistent message which confuses the customer
 They doubted whether BBDO was upto the task and was
considering maybe bringing in another agency for a fresh  Lack of identifiable brand personality
perspective  Need to conduct a strategic test free of executional variables to identify the correct strategy choosing from the
 Need to come out with the new creative within the next tradeoffs - Going against or supporting solids and Communicating Efficacy or Aesthetics
4-5 months
 No water positioning is attribute oriented and not benefit oriented
 Optimal use of the budget allocated for advertising was
another concern  It has a short term orientation and not ideal from a strategic viewpoint either
 Considered the “Start Drier – Finish Drier” as the better interim creative from a strategic point of view

Key People Involved An Analysis:

Gillette
Mike Nadelberg, Marketing Manager
Jeff Levitan, outgoing product manager
Carole Johnson, new product manager
BBDO
Anthony Brescia, Account supervisor
Bill Kelly, Management Supervisor
As is evident from the above table that there is a clear lack of consensus among the client and the
agency on the direction forward. The agency reluctantly agrees to the recommendation of interim
strategy by the client although they are convinced that playing the “Spokesperson” Ad is not ideal
from a strategic long term viewpoint. But both of them agreed that the current creative wasn’t good
enough and a new creative with people benefit focus needs to be made after a good market
research.
 Question 3
What really is the problem? What alternatives Carol has and what should she do?

The Problems

Advertising Issues Strategic Issues Organisational Structure Issues

• imbalance of understanding of the brand Dry
idea, between the client and agency
• It is myopic and devoid of market orientation
• Both “New start to finish” and “all you feel is dry”
has very low recall rates and less effective
• Weak distribution and unconvincing pricing
• Product Attributes, i.e labelling, packaging, and • Product Management Approach
functional attributes are unresponsive to market Power distance
trends Masking and Silos
• strategic relationship of the client Gillette with • Not able to sell the idea and convince to their
BBDO disappointing as commission of 10-12% is own management
below industry average

Alternatives to Carol
• Revamp their relationship with BBDO again, in terms of commission, creative development and media planning
• Think about the other Ps than just promotion
• Else break up with BBDO and engage other agency and start from the ground work which is a huge loss, risk and has a
heavy opportunity cost
• Share the responsibility or work among other agency apart from BBDO