ABOUT
Best-known and respected retail name in UK
Provide health and beauty products and advice
Employ around 75,000 people and operated in 130 countries
DAVE ROBINSON
Director of Personalisation at BOOTS.
De ve lop cus tomer- l ed market ing p lans through d ig i ta l and persona l i sed communications.
Evo lve the Par tnersh ip Marketing proposit ion at Boots UK.
Born of John Boot in 1815 who was an agriculture labour
Hoped to provide comfort to the needy as well as a reasonable living for his family
Jesse,his son took control in 1877 established a private company ‘Boot and Company Limited’
Asked customers to pay cash rather than offering them credit
First store outside Nottingham in Sheffield.
Fully self-contained to control not only prices but also quality.
‘Largest, Best and Cheapest’ by 1913,
Aimed at the teenage market
Introduced new services like Boots Opticians in 1987
Other services like dentistry, chiropody, and ‘Internet Services’ introduced in 1999
Swiss drug company Hoffman-La Roche developed Pantene
P&G acquired it in 1985, the product was reformulated as the Pantene Pro-V
Held a 8.4 per cent share of market in 2001
Lineup included shampoos, conditioners and styling products
Alberto-Culver’s acquired Sally Beauty in 1969
Over 2,000 store locations today
Abandoned their 60s commercials with 30s ones
Offer shampoos, conditioners and styling agents
Began in 1907 by French Chemist Eugene Schueller
Exporting its products since 1912
Today the group is present worldwide through its subsidiaries and agents
Communications is the key in the company’s history
5 % cent share of the U.K. hair care market in 2001
Endorsements
Build a new market by using celebrity endorsements
No celebrity-endorsed products were available in retail store
The relationship with Boots was lucrative for the hairdressers
2 Beliefs
Changing brands produced better results
Trends in buying behaviour led to changing preferences
Buy two hair-care items at regular price and receive one free
Free item would be the one that was the least expensive
Estimated that sales would increase to 300% of pre- promotion sales
Customers were given a product sample along with a regular purchase
170 % increase expected in sales
More conservative approach to promoting the brands. All customers would be able to redeem the coupon.
50 % sales increase was expected
Boots’ aim was to secure market leadership in the United Kingdom in the hair-care segment.
The celebrity hair-care brands were an important component of their strategy.
Competitors could not easily compete because Boots had contracts with some of the prestigious salon brands in U.K.
Disclaimer
Harvard Business case: BOOTS: HAIR-CARE SALES PROMOTION
www.wikipedia.com/boots