Cleopatra

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Section 3: Market Failures and Externalities

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revenue management overview

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Possibilities for improving results

Exit the market

Find a new niche segment

Customized for Canadian Market

Work with Retailers

Luxury soap for women

Keep pricing

Further Evaluation

Stay in skin care segment

Distribution

Not available where I Shop - Too high at 29%

New promotion

Partner with retailers

New advertising

Promote regular use

Lower "no reaction" - 46% too high

Emphasise makes skin soft smooth - 5% too low

Further evaluation in Ottawa

Resolve team issues - Get people on board

What does Canadian Customer want?

Understand why the product was so successful in France

Facts

Campaign

Triers loved the product

Not enough people tried it

Quebec Market

26% of Canada's population

2.3 Million households - 80% french speaking

Canadian Market

Additional pressure due to liquid soaps

Trend towards bundle packs

Acceptable brands 3-4

Cutthroat competition

Retailer power

Shelving positioning crucial

Volume growth stagnant at 1-1.5%

Soap industry revenue 105mil

Growth 4-5%

Price sensitivite customer

Highest conversion after trial

Awareness high but not too many people tried the product

Global Marketing folly