Essay About Safe Water And Bottle Water Consumers

Brita Case Study
Essay Preview: Brita Case Study
Report this essay
Assigned Questions:What factors were responsible for Brita’s success in the years since its launch to 1999?First mover advantage with attractive unique value proposition – providing household healthy and safe water with Brita’s Pour-Through (PT) Pitcher system. This was particularly successful especially after notable outbreaks of illness related to tap water from municipal water filtration system1988 – Parent company Clorox gained Brita’s right for the USA market1993 – “How it works” and ”Waterfall” campaign are product-promotion advertisements focused on cognitive and emotional elements of the client decision making process. Its marketing campaign and mass channels resulted brand awareness of 70%1999Water Purification Industry $             350,000,000.00 Annual Revenue $             248,500,000.00 Revenue Share/Market share71%Brand awareness70%# Households in US103000000user percentage18%#Users18540000% Users remained after 1 year80%# Users remained after 1 year14832000Problem identification: what factors are responsible for Brita’s problems and provide evidence. Why didn’t the strategies attempted between 1999 and 2006 work?ExternallyRise of bottle water consumers in 1997Bottled water made up 8% of all liquid that people paid to drinkIndustry’s fastest growing categoryCoke launches Dasari bottled waterIntroduction of the faucet mounted filter (FM) in 1999PUR FM removes illness-causing bugsBrita responds by establishing a R&D department and continues to focus on removing contaminates. Brita remains hesitant on entering the FM categoryInternallyBrita has lost sight of its marketUnclear client segmentation and attempts to continue with mass marketing strategy.Lost its position as an innovator to followerSeries of short-term and ineffective campaignsTop to bottom approach versus Bottom-up approachStrategyUnique Value PropositionProblem (s)EvidenceStrategy 1 – where does water belong-  Positioning based on “healthy lifestyle”Consulting Firm recommended: – Brita should come across as a beverage, not an appliance- Focusing on the emotional driver of water consumption- Brita PT lacks mobility-Emotional drivers are more personal versus public. – Survey of Drivers of at-home does not necessary correlates with outside from home- Brand awareness sits at 70%. Could be a disadvantage because it is known for “transforming tap water”Strategy 2 – Bottled water as the Bad Guy- Bottled water taste without the bottle- unlimited supply of great water- Difficult to get people who were happy with bottle water to switch to BritaExhibit 3b and 4 – Perceptual map shows two complete customer segments. Bottled water are perceived as superior in taste and convenience while PT is more economicalStrategy 3 – Leaky bucketSmart Pitcher CampaignThe “Windows” project- Boost consumer engagement through innovations that delivered a better balance of convenience and reward, reduced the thinking required and maintenance- Prevent customer who bought the product but eventually stopped using the brandProduct re-engineering focused on functionality but failed to convince users. Re-engineering also failed to recognize aesthetically-driven segment.PT does not differentiate from built-in refrigerator filtration system and perceived as lower end compare to bottled water.Once the customers abandoned the product, they are gone.Rise of built-in water filtration in refrigeratorProduct indicator didn’t seem to relate to volume, thus lack credibility.46% of PT users likely to lapse within the first yearRefrigerator with in-built filtration had reached 10 million households and were expected to grow by at least 2 million per year.Strategy 4Tap Water Turn-Offs“Transform the taste of tap”Play on consumer doubt and fears about impurities in tap water- Bottled water becomes prevalent- Water may still contain impurities, but why choose Brita but not others? New undeveloped client didn’t make Brita into their selection set- Technology advancement – less water contamination vs 1999.Strategy 5 – Bottled Water as the Bad guy revisitedSimple Solution: easier and cheaper“Less costly and for some, more convenient versus bottled water”- Attempt to draw conclusion that PT is cheaper than bottled water, downgrades the health and safety focused brand position- Water filtration system may be on average, cheaper than bottled water, but that doesn’t necessary mean Brita is the most affordable one in client’s water filtration selection set.