Essay About Highest Priority And Increase Brand Trials

Pharmasim Presentation
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* Pharmasim Presentation
* Mission Statement
* Allright is a leading Pharmaceutical company founded in providing a quality product at a competitive value. Our success is attributed to an ongoing commitment from our management team and support from our stockholders. Providing over ten years of relief to our customers has been our highest priority. Our market shares have increased annually and research has yielded a new product to introduce every 4 years. Allright continues to provide promotional items for its retailers and clientele alike to help reduce costs and bring in new customers. Looking toward the future, Allright will continue its success with a well balanced marketing plan and remain an industry benchmark for years to come.
* Marketing Objectives
* Increase Brand Trials for Allround to 85%
* The company should focus on reaching that goal within three years
* Brand Trials for Allround is at 59.7%, and our most frequently purchased is at 21.8%
Ð If the Brand Trials are increased to 85% then in ratio to how many people most frequently purchase Allround now, we can expect it to be around 31.04%
Ð However the retention ratio is still the same in this case so you should focus on having the most frequently purchased to be at 35%, which makes the resulting retention ratio 41.2%.
* Reach a stock price of $150.00
* Try and accomplish this in three years
* There has been a steady increase in our stock price over the last six years
Ð AllstarÕs stock price went from $30.94 to $110.00 in that time
* AllrightÕs Brand Awareness to be at 75%, and the Brand Trials to be at least 40%
* Since Allright is a product that is in a fairly new category of the market, and we have the same symptom relief as Defogg, we should get the Brand Awareness and Brand Trials for Allright to both be increased
Ð This should be expected to occur over the next five years
* If Allstar can reach these numbers, then the most frequently purchased for Allright should hopefully increase to around 20%
Ð This would help in getting Allstar to be a leader in the 4 hr Allergy Capsule segment of the market, especially since this is a new area
* Put competition out of business
* Our main competitors for Allright are Believe and Defogg
Ð Believe is not as strong as Allright or Defogg which have the same ingredients
Ð You should focus on putting Believe out of business within two years and Defogg out of business within five years
* Increase sales force
* Our company just opened up a new plant
* Within the first year the total sales force should be increased from 260 to 300
* One way to figure out how to disperse direct sales force is to buy the channel of sales report
Ð divide the sales in each category by the total sales and multiply that number by the total number of people in the sales force
* Increase Manufacturer sales to a billion dollars a year
* This should occur in the next two years.
* Our total Manufacturer sales our currently at 836.9 million dollars a year
Ð With production up, if the sales force is in the right place then it should not be hard to accomplish this goal
* New Product
* With respect to the Product Life Cycle, a new product should be introduced within the next 2-4 years depending on how things are going with Allround+ and Allright
Ð We can put money form Allround which is a star in the BCG Matrix and into the new product and hopefully get a cash cow or another star to come out of it.
* Increase Price
* The prices of Allround, Allstar. And Allround+ should all be increased annually, in correlation to inflation
Ð Inflation should not outweigh the price increase for Allround at all because it is still our leading product and has the highest percentage of most frequently purchased along with having the most symptom relief
Ð The prices for Allround+ and Allright should not be outweighed by inflation either, but be more careful in how much the prices are raised each year, because these products are still fairly new and until the Most frequently purchased percentage is at least 40% the price should stay closer to inflation increase.
Ð SWOT Analysis
* Strengths
* Allstar brandÕs well-known brand name
Ð has brand awareness of 76.1% and Allround + has an awareness of 57.3%.
Ð 15.9% purchased Allround, 5.8% purchased Allround +, and 5.7% purchased Allright
* Research and development team
Ð Allround leading in symptom relief, Allround + is third and Allright in the top
Ð Allstar brandsÕ have 3 of the highest 6 retention ratios at 36.5%, 32.5%, and 44.3%
* Strengths Cont.
* Promotions overall, especially trial sizes and coupons
Ð Allround has the highest conversion ratio
Ð For all three brands, about half of our coupons were redeemed
Ð Higher percentage of people purchased all of our products than intended
* High capacity utilization of 105.9%
Ð Decreases the per unit cost
Ð Higher than that of competing companies
Ð Helps balance out our high fixed costs
* Direct sales force
Ð Highest average square feet of shelf space all channels
Ð Allstar brandsÕ have highest percentage of retail sales compared to products in their categories
* Weaknesses
* AllstarÕs pricing
Ð Doing well in symptom relief and have the highest Retail and Manufacturer sales
Ð Highest promotional allowance and cost of good sold
Ð Gross margin is lower than both B&B and Ethik.
* AllrightÕs brand awareness at 28.5%
Ð Other brands in the same category have higher awareness percentages
Ð Our retention ratio is higher than Believe & Defogg
Ð High unit cost, thus a higher brand awareness would help make profit
* Obtaining involvement from customers in co-op ads and point of purchase displays
Ð Allround has 0.4% participating in co-op ads & 1.3% point of purchase
Ð Allround + has 0.5% in co-op ads & 3.1% in point of purchase
Ð Allright has 0.8% in co-op ads & 4.2% in point of purchase
Ð Higher percentages result when we put in more money
* Weaknesses Cont.
* OCM groupÕs decision to drastically lower advertising expenditures on Allround from 20 million to 5 million between periods 4 and 7
Ð Besthelp raised their advertising, and their brand awareness rose to 6.7% higher than us
Ð Allround is a star
Ð Opportunities
* Consumer demand to relieve symptoms
Ð Product effectiveness is the most important in decision-making
Ð In the past year the worst symptoms were aches, chest congestion, and coughing
Ð Allround is the only product with analgesics, expectorants, and cough suppressants
* Produce a cough liquid
Ð Allstar does not have available
Ð None of the cough liquids have expectorants and cough suppressants
Ð 61.6% people reported coughing as a symptom
* Opportunities Cont.
* Industry growth rate is at 10.1%
Ð Health is a big trend
Ð No invention is underway that would eliminate the need for OCM
Ð Allround, Allround +, and Allright have 16.7%, 5.6% and 5.4% respectively
Ð Allround is a star in the