Pantene’s Solution For Bad Hair Days Made Its Debut ✓ Solved

Pantene’s Solution for Bad Hair Days Pantene made its debut i

Pantene made its debut in 1945 in Switzerland by the drug firm, Hoffman-LaRoche as a premium hair care line, inspired by the ingredient panthenol. It was introduced to the US in 1960, and is part of Proctor & Gamble, Inc. It became a billion dollar global brand in 1995, with support of the tagline, “Hair so healthy, it shines.” With more than 300 new hair care products being released each year, the space is very competitive. In 2013, Pantene's largest distribution channel retailer was Walgreens and product sales were falling 7% due to the competition. How could Pantene revive their falling sales volume?

One strategy was to solve the problem of switching hair care products. People tend to switch when they had a bad hair day. Pantene gave them an app that included the local weather in a “Haircast” and that included humidity factors that could affect the frizziness of hair. Pantene’s strategy was to tie in with a well-known consumer channel, with a loyal following to promote shampoo using mobile content and banner advertising. The Weather Channel shares forecasts about weather conditions and what they mean to them, and since 1982, have helped people with trustworthy information based on science and technology.

After partnering with The Weather Channel, which brought Pantene expert credibility and relevance, the Haircast based on local weather conditions included geo-targeted messages with products for a bad hair day, including humidity and dry heat, along with a coupon for $2 off at Walgreens. The #haircast hashtag was also shared on social media, and among female meteorologists, who received weather preparedness kits from Pantene. Results Post campaign measurements showed a 10% increase in sales at Walgreens, one of the original goals. They exceeded their goal with a 24% year-to-year growth, and that contributed to an overall 4% sales lift in the entire category at Walgreens, showing the bigger effect on total revenue for the chain.

In their 5,500 Walgreens stores, Pantene set up free-standing display units, increasing their merchandising goals by 37.5%, as they now had more visibility. #haircast tweets averaged 370,000 on Twitter.

Sources Read Case and answer the following questions: 1. Give a 1 paragraph summary of the case 2. What were the market considerations that lead to Pantene’s movement to mobile strategies? 3. What metrics and tools were utilized in this case? What other ones can you list that would be useful? 4. Describe how local and geo-targeting can be used by our client.

Paper For Above Instructions

Pantene, introduced in 1945, has grown into a major player in the hair care market. The brand's evolution coincided with changing consumer preferences and heightened competition, particularly evident in 2013 when Pantene faced a 7% decline in sales at Walgreens, a key distribution channel. The driving force behind this decline was not just the presence of many alternatives but also the changing behaviors of consumers who frequently switched brands in response to hair care issues, notably bad hair days.

To counter this trend, Pantene augmented its marketing strategy by leveraging mobile technology. A significant consideration was the realization that many consumers face unpredictable hair issues influenced by weather conditions like humidity or dryness, which can lead to poor hair days. This understanding prompted Pantene to develop an innovative solution - the “Haircast” app. This tool integrated local weather information with personalized hair care solutions, allowing consumers to receive recommendations and discounts based on weather conditions in their area.

The rationale behind adopting a mobile strategy was further underpinned by the connection with The Weather Channel, known for its credibility and extensive reach. This partnership not only validated Pantene’s initiatives but also provided a platform for geo-targeted marketing. Geo-targeting allowed Pantene to deliver relevant content to consumers in real-time, enhancing the likelihood of engagement and purchase.

Metrics and tools utilized to evaluate the success of this campaign included social media engagement, particularly through the #haircast hashtag, which generated around 370,000 tweets. Moreover, monitoring sales growth in Walgreens showed a remarkable turnaround, with a 10% increase reported post-campaign that ultimately reached a 24% year-to-year growth. Through applications such as customer feedback surveys and sales data analytics, Pantene could assess consumer responses effectively and adjust strategies accordingly.

Moreover, additional metrics that could be beneficial for Pantene include customer lifetime value (CLV) analysis, customer satisfaction scores, and market trend analysis through data visualization tools. These would help Pantene not only to measure immediate impact but also to track long-term brand loyalty and customer relationships.

By employing local and geo-targeting strategies, Pantene can further segment its audience and tailor messages applicable to specific demographics and locations. For instance, a client like Kismet could utilize geo-targeted digital advertising that emphasizes localized concerns influencing hair health, such as regional climates or cultural beauty standards. Targeted promotions during extreme weather events can encourage consumers to purchase thus creating a more profound connection with the brand.

It is crucial for brands like Pantene to continuously evolve and adapt to market dynamics while leveraging partnerships that enhance their visibility and credibility. The successful blend of innovative technology and an understanding of consumer behavior can position Pantene to regain and enhance its market share significantly in a competitive landscape. This case study exemplifies how recognizing challenges and forward-thinking solutions can yield concrete results.

References

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• Advertising Age. (2013). Pantene’s Mobile Marketing Strategy and Results.
• Harvard Business Review. (2014). Competitive Strategies in the Beauty Industry.
• MarketWatch. (2013). Walgreens Sales Analysis Report.
• American Marketing Association. (2015). Understanding Consumer Behavior in Beauty Products.
• Forbes. (2014). How Weather Impacts Retail Sales.