Brandless: Alter Packed Consumer Goods Harvard Case Solution & Analysis

Brandless: Alter Packed Consumer Goods Case Study Solution

Modification of industry standards in packaged consumer goods (CPG):

Since the recession in 2008-2009, the CPG market slowed and people began to change from Big CPG companies in terms of tastes and companies such as L'Oreal, Nestlé, etc. they had to maintain their position in the market to sustain their market. share. Two groups of consumers formed at that time:
• Surviving consumers: these people wanted cheaper and higher quality discounts and products. They were formed due to the recession and did not want to pay for high-end luxury products.
• Selective consumers: this group included the millennium and baby boomers, questioned everything about the products they used or consumed.
Leading CPG companies began to lose their market share with small businesses and began to take the initiative. Small businesses began to grow and take control through online businesses, since the barriers to entry were low and sustainability did not cost much, and reaching customers directly was easy. Trends and market research show that the new market is the online market.

Business model:

Cost reduction:

Brandless focused on cost reduction and believed that costs increase due to 2 main reasons; Payment to retailers and advertising / branding products. Retailers often sell places on their shelves, they charge companies to place their products on the front shelves so that customers can access them easily and impulsively. The second important cost is the cost of advertising, companies spend millions of dollars just to advertise their product and place it in the minds of people to learn and remember their products specifically, which would help increase sales. Brandless eliminated these costs and minimized the cost of production, which resulted in a decrease in the price of the product. They offered each product at $ 3 because they were able to minimize their advertising and retail costs.

Distribution Strategy:

Not being an e-commerce store, Brandless had to have a point from which they could send their products and charge customers a certain amount of shipping costs. They declared a standard amount of $ 9 shipping fee and their centers Distribution were on the west and mid west coast. They also offered lower shipping and free shipping costs on some occasions and on some offers.

Products packaging:

The packaging of the products is simple and they have indicated all the important attributes on the front of the package and the rest of the details of the ingredients on the back of the product. They researched a lot so that each product learned the preferences of the client and the important attributes that the client looks for before opting for a product.

Marketing Strategy:

As Brandless was against the cost of advertising, he was in a difficult situation in terms of how to promote themselves and how to make people aware of their existence. To do s or; They used social networks, as it is the easiest way to get in touch with people, especially millenaries. In addition to social networks, they also used editorial media coverage and discounted shipping promotions. People began to realize Brandless, began to make unpacking videos and began to like and follow it on different social media platforms such as Facebook and Twitter.
To understand your marketing strategy, we have created a table (Annex 1) to allocate budgeted costs among the three advertising media, which include:
• Social Media.
• Editorial Media.
• Discounted shipping promotions.

Strategies:

The Give Program:

Brandless began a "Donation Program" in the first year of its launch and this added value to the minds of people who chose to buy from Brandless. They promised to donate money in each c

This is just a sample partical work. Please place the order on the website to get your own originally done case solution.

Related Case Solutions & Analyses:

Abbott and the AIDS Crisis (C): What Lies Ahead Pacesetter Riverdale and the Illinois Campaign for Affordable Housing On Dealing with Unsatisfactory Performance Consulting Team: Pat Lettner Understanding Securities Markets in the United States and Japan Revere Street Red Hat and the Linux Revolution The Windsor Spitfires Hockey Team’s Journey to the Memorial Cup: A New Era of Leadership USEC INC LANCE JOHNSTONE: DEVELOPING 3000 NORTH BROAD