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The Brita Products Company Case Background Case Background Retail Market Shares (US) Brita Unit Sales Market Simulation Study The Faucet Filter increased the likelihood of buying a product from the Brita line. However it did not increase interest in the filtration category as a whole, so that the combined pitcher and faucet-mounted market was not expected to expand. Though higher priced, the Brita Faucet Filter generated similar levels of purchase intention to the Brita Spacesaver Pitcher. About half the Brita pitcher owners who bought the Faucet Filter system would continue to use the pitcher in conjunction with the faucet product. Both Brita and PURs faucet filters were perceived to be superior to the Brita pitcher in removing contaminants, and in convenience. However, only Britas faucet filter was perceived to improve the waters taste. Unit sales and perceptions of value for the faucet mount were strong at both the $39.99 and $34.99 prices, and sales would not be significantly impacted if the PUR price was dropped by $5.00 Options Keep the focus on building the installed base of pitchers. Shift the budget to encourage the installed base to buy more filters. Put the weight of resources behind building a whole new installed base in faucet-mounts. Marketing Strategy Product Strategy: 1. Raise price to exploit its local monopoly position in the remaining markets 2. Reposition toward its relative strengths Communication Strategy: 1. Seek to counterattack on the competitor’s strength 2. Reduce spending on advertising that simply affects brand consideration Distribution Strategy: Reduce spending on distribution incentives that affect brand availability Repositioning Marketing Strategy Emphasize its brand DNA of taste? Counter with massive marketing – coupons, price-off deals, advertising, in-store promotions, sales calls? Lower its price to defend its share or increase its price to cover its marketing costs? Expand its line to include a new product? Increa
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