Ad Lider Case

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[Year]

INTERNATIONAL
MARKET RESEARCH
CASE STUDY
SUBMITTED BY: GROUP-1
Q1 Is Ad Lider Marketing Oriented? Justify
Ad-Lider, as the case referred, has three divisions, commercial, industrial and
consumer products. And although its products focus on plastic bags and
packaging, its majority of income comes from commercial division, which
accounted for 52% of company income in 1998, the new product they want to
launch belongs to its consumer division, which is not the strongest area they are
in. That doesn’t make sense. And as to their consumer division, they don’t
clarify which class they want to step in, they said Class C might have great
opportunity, but they did group research among Class A and B in the developed
area in Rio and San Paulo. Therefore Ad-Lider doesn’t have clear marketing
orientation.
In order for a business to be marketing-oriented, they need to focus on needs of
the market. They need to be able to address the needs of the market. We can see
in the case that company initially came up with the product even before trying the
actual requirement of the market. Furthermore the product is not customer focus
as they produced the product and then tried to identify the market that best fits the
product. The company should have initially tried to identify their target market
before producing the product. Without identifying who the probable customer
are, the company producing the product points out to the fact that they are not
marketing-oriented.
For marketing purpose advertising decision brand image development plays a
significant role while introducing the product. In the case we see little emphasis
given by the company regarding those curtail decision. This highlights to the fact
that the company has given little emphasis towards marketing decision.

b. Evaluate the methodology of focus group and purchase intercept


interviews.
 Ad-lider Embalagens is targeted on the consumer preferences regarding
the habits and other factors which could be affecting the size, price and
distribution of the Easy close garbage bags.

Focus group members


 Class-A and B social class.
 House Wives living in apartments.(Sao Paulo and Rio de Janeiro)
 Housewives living in houses. (Sao Paulo)
 They chose people participating in the research according to the desired
demographic, psychographic, age etc.
 They conducted 3 focus group researches, 2 in Sao Paulo and 1 in Rio de
Janeiro.
 They chose housewives with certain degree of education also single and
divorced professional women who all are the regular customers of
household accessories.
 They conducted many question answer sessions and face to face
discussions which helped them to acquire better details.
 Their focus group research was in such a way that it could get
information from different types of customers and what they are
expecting from the products .
 They targeted the research to collect information regarding the frequency
of the purchase, perception of the customers etc.

Purchase intercept interviews.


 They conducted this interviews on 7 consecutive Saturdays.
 They interviewd the customers directly from supermarkets which gave
better and more accurate output from the customers.
 While conducting the research, the period chosen was such that their
competitors—Dover Roll was on sale for a certain span and then Limp-o-
Lixo followed a sale period. This helped them understand comparative
customer perception over the two brands when it was most affordable in
market.
 The interviews showed them their stong competitiord and which all
factors are giving them the competitive advantages.

Q-3.What can be learned form the research findings with respect to


marketing the Climp Fecha Facil?
After: Climp Fecha Facil Presentation
• Likeness of the new article: Liked the concept
• Colour of Climp Fecha Facil: No Consensus in colour but for sure they
didn’t want it to be transparent. Transparent bag implies weak bags.
• Sizes of Fecha Facil: 30L – 50L + Trash bags is preferred. Since the 50L
bags are considered heavier to handle that is why they are preferred. The
company must analyze the waste loading (in kgs/lbs) in all volumes of
the bags and then decide which sizes require this drawstring arrangement.
• Other Uses of the bags: 1. For Storage purposes. 2. Storing old and dirty
clothes, shoes and towels. 3. This utility can be used for marketing low
capacity Climp Fecha Facil trash bags.
• Price Sensitivity with Fecha Facil: Willing to pay a little premium for this
bag.

Attributes for Ideal Climp Fecha Facil Trash Bags: Relationship with
Consumer Preferences - Implications
• Product: Capacity: More is better. The ideal package should have a
larger capacity, as seen in the interviews people want this bag to be in
50L and more capacity mostly.
• Colour: The darker the better. Dark colours are to be chosen (most
preferable is black). Anything transparent will not work at all.
• Packaging: The easier to handle the better it is. The packaging must be
chosen keeping in mind what market segment the product is going to sell.
The packaging must be differentiated from the rest, easy for the customer
to handle and must have all necessary attributes of product mentioned on
it.
• Handling: Directly proportional. This product is marketed catering this
specific need of the customer. The company must promote this USP in its
promotion and selling campaigns.
• Resilience: Directly proportional. The company must do one more
research regarding the average loading per unit volume the customer is
currently putting in. This will give the company a better insight what
strength of the material they should use for different capacities.
• Other Usage: The more the multipurpose use, the better it is. The
company should also look in for other usage of these bags in the houses
like storing dirty clothes, shoes, towels and old books. Smaller volume
bags with different texture might help. This should be the part of their
promotions as well.
• Price: The lower the better. The product is not new but it has some great
benefits over others. Moreover the product is catering to the main
problem of women i.e. handling, closing and tying. Starting with a
competitive price in the introduction period and increasing it gradually in
the growth period might help.
• Place: Purchase of Garbage Bags. The easier the access, the better the
availability, the better it is. Visibility in super markets is to be taken care
of. Also more distribution channels are to be engaged with this product.

Q4- Does the research report support the launch of the climp Fecha Facil
bag? Why or Why not?

• YES, The research report supported the launch of the product.


• Better opportunity: From appendix. 4 It has been observed that the Ad-
Lider company holds 55.35% of market share.
• Repetitive purchase: Average time for a product of Ad-Liner was less
than its competitors.
• Initial Launch: The initial launch was successful in the market.
• Better opportunity: There are gaps and scope of improvement in existing
range of products, Climp Fecha Facil Bag can make up for it.
• Brand Awareness: Leader in the market is Limp-0-Lox, Climp Fecha
Facil share the parent company. Hence it has a good of foundation of
brand awareness.

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