wachowiak report to shareholders v3
TRANSCRIPT
Report to ShareholdersAllstar OTC Brands
Angie Warnecke, Courtney Hering, Beth Nutkins, Marji Wachowiak
Key Business Highlights
68% increase in stock value in the last two periods
Stocks reached a record high at $70.81
Key Business Highlights
Net Income has significantly improved over the last 3 periods
Key Business Highlights
Allstar total market share is at its highest point ever, representing 24.3% of the market
Key Business Highlights
Allright is our best product launch to date!
Allright.... Stole 26.4% share of the allergy market in two periods! Earned a 1.0 rating of retail shelf space within two periods! Has the highest percent of recommendations by physicians
and pharmacists!
Marketing Plan Highlights
Who are our customers?
Marketing Plan Highlights
Company Strengths
Very strong brand recognition in cold & cough markets
Very large market share in cold medicines Weaknesses
Saturated cold market
Competitors Allround Primary: BestHelp, BestHelp+ Allround+ Primary: End, CoughCure Allright Primary: Believe, Defogg
Marketing Plan Highlights
Collaborators Who helps us to create &
deliver value? Sully & Rodgers Advertising
Agency Co-operative Advertising Trial Samples Coupons
Marketing Plan Highlights
Context What environmental factors
provide opportunities or limit our company’s options? Inflation New product launches by
competitors Competitor pricing Competitor advertising
Overall Performance
M a n u f a c t u r e r S a le s
- Launched Allround+
- Launched Allright
Overall PerformanceCold Market
Overall PerformanceCough Market
Overall PerformanceAllergy Market
Overall Performance
Operating Statistics
“Our solutions must be beyond anything we have ever considered...
...we should not be afraid to try bold new approaches”
Mary Landrieu
Allround Overview
Cold liquid
Well-known multi-symptom product
Targets all markets
Higher-pricing strategy
Comparison & reminder messaging Besthelp
Used Co-Op, Point-of-Purchase & Couponing
Allround+ Overview
Cough liquid Period 3
Use Allround brand name for credibility
Target all markets
Low-priced strategy Prices were soaring Some markets are more price sensitive
Some primary, mainly benefit & comparison messaging Switched between CoughCure & End comparison Moved messaging around as the product grew
Mainly Point-of-Purchase and Trialing As product grew, switched to couponing
Allright Overview
Non-drowsy, allergy capsule Period 7
Target all markets except retirees
Similar pricing to competitors
Primary & benefit messaging Some comparison to Defogg
Point-of-Purchase and Trialing
Place & Sales Force Overview
Increase sales force to focus on major sales channels Grocery, chain drugstores & indirect channels
Increase merchandisers & detailers Retain support, shelf space & doctor recommendations
Higher discounts for certain volume allotments
Future Lessons
Use established brand to launch new products
Evaluate product cannibalization
Maturity of the product determines messaging
Trial during initial launch years, then coupon
As product matures, the advertising budget can be decreased
Review direct competitor pricing
Increase price for inflation
Keep sales force in high volume channels
Doctor recommendations are key
Conclusions & Recommendations
Continue to diversity the product portfolio Follow similar launch structure as Allright
Look for opportunities in different market segments Nasal category has substantial growth potential
Utilize critical thought for newness Look for opportunities in new forms and products
Key Success Factors
D o y o u r h o m e w o r k !
Research the competitive landscape through benchmarking
Utilize the market research studies for information in making key decisions
Pricing Channel discounts Advertising expenditures
Key Success Factors
S t r a t e g ic D e c is io n M a k in g
Identify the variables that make the biggest differences
Grocery and chain drugstores represented 68% of total retail sales
Key Success Factors
In c r e a s e s t o r e f lo o r s p a c e a n d g a in
r e c o m m e n d a t io n s
Critical to aggressively utilize consumer promotions in launching phases
Targeted additions to sales force that create recommendations and increase shelf-space
Key Success Factors
Teamwork! Teamwork! Teamwork!
The Future...
R e s e a r c h & P r o d u c t
D e v e lo p m e n t
Before...
During...
After...
The Future...
B e f o r e
The Future...
D u r in g
The Future...
A f t e r
The Future...
M a r k e t in g
Questions?Thank you.