THE ALIKAY NATURALS MOISTURIZING BLACK SOAP SHAMPOO1
TheAlikay Naturals Moisturizing Black Soap Shampoo
TheAlikay Naturals Moisturizing Black Soap Shampoo
was introduced inthe market in 2014. However, over the last two years, the product hasundergone tremendous changes through the compulsory cycle. Currently,the product is in its decline stage. The rationale for this can beobserved in the sales volume that the product has recorded over thelast two years. Considering that 2014 was the introduction period,2015 had the highest sales amounting to 381 009, 365 775, 366 008,338 990 in the 1st, 2nd, 3rd and 4th quarters respectively. However,in the 1st quarter of 2016, the sales dropped to 296,990 and furtherdeclined to 275, 776 in the second quarter. The shampoo is on thedecline phase because the backlog of the potential customers isalready exhausted and there is need to reposition the brand.
Rochelle shouldpose three critical questions to her team
1. What canbe done to reposition the brand?
2. Shouldthere be differentiation at this phase?
3. What hascaused the rapid changes in the curve?
Step2: Product Changes
Rochelle and the team working under her should make several changesto ensure that the product does not leave the market unceremoniously.First, there is need to differentiate the shampoo because itsappearance has never been changed since its introduction into themarket. Secondly, from the survey taken by its users, it is clearthat more than 70% of them do not like the density and consistency ofthe shampoo compared to other close substitutes.
The team shouldinterrogate what other competitors have done to make their productspreferred for density and moisturizing capacity. In addition, thesmell of the shampoo has turned away a significant number of thecustomers, and this may explain the rapid changes in the curve.Getting the feedback from the consumers can be imperative ininforming any action taken to improve the product.
Step3: New Product Development
Alikay has a list of four new proposals that can replace the existingshampoo. From the list, the Alikay Naturals Moist Black Soap Shampoowith Dandruff Control can be the best replacement for the AlikayNaturals Moisturizing Black Soap Shampoo. The rationale for this isthat it makes up for most of the shortcomings highlighted by theconsumers. First, the product has an intense moisturizing capacitythat lacks in the Alikay Naturals Moisturizing Black Soap shampoo.Most clients do not get a feeling of having their hair moisturized,and they prefer using other close substitutes. Secondly, the newshampoo comes with a customized scent. This can be a crowd-capturingcharacteristic of the shampoo since a majority of the consumers havecomplained about the lack of a pleasant fragrance from the productthat is already on the market.
Step4: Methods of Production
Alikay Naturals is probably using the batch method of production forthe Black Soap Shampoo. The rationale for this is that the companymanufactures other brands alongside the shampoo. Since the product isstill under large scale production, it can only be produced inbatches. In addition, if Alikay chooses to keep the MoisturizingBlack Shampoo and at the same time implement the recommendation, themethod of production will change to a mixture of batch and job. Therationale for this is that the new product will be offered as aprototype to test the market.
Step5: Real Life Application
Products in the maturity phase do extremely well in the marketbecause they have already stabilized the number of potentialcustomers. Also, a good number of them enjoy an extended period inthe other phases before reaching maturity. A prime example of aproduct in the maturity phase is the Coca-Cola brand. Although theproduct has been in the market for decades, it has not lost itsposition despite the entrance of new substitutes. The rationale forthis can be explained from various aspects.
First, most companies wait for the signs of decline beforeimplementing brand repositioning strategies. However, Coca-Colainvests in heavy advertising and modification in various regions. Inaddition, the various forms of advertising are consistent throughoutthe year. Furthermore, the marketing department changes theadvertising techniques to avoid long and boring interruptions. Thishas been instrumental in preventing a possible decline in the salesand it has also helped in maintaining the loyal consumers.
The management has also ventured in intense differentiation inpackaging and regional modification. In the maturity stage, thevolume of consumers is already stabilized, but there is need to keepthem informed about the product. For example, in some regions inAfrica, Coca-Cola allows consumers to buy cans bearing their names.This improves loyalty and positions the brand to an extended periodof maturity.
Finally, although the product maturity stage is stable, the companyshould consider making the other brands stand out. For example, theCoke brand is synonymous with Coca-Cola and it shadows the other softdrinks including Fanta and Sprite. These could become substitutes forthose who do not take Coke, and the profits would still end up in thecompany.
Sivasothy, A. (2015). The science of transitioning: A completeguide to hair care for transitioners and new naturals. Missouri:SAJA Publishing Company.