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Boots: Hair-Care Sales Promotion

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BOOTS: HAIR-CARE SALES PROMOTION

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Pankaj Shandilya prepared this case under the supervision of Professors Robert Fisher and Murray Bryant solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. Ivey Management Services prohibits any form of reproduction, storage or transmittal without its written permission. This material is not covered under authorization from CanCopy or any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Management Services, c/o Richard Ivey School of Business, The University of Western Ontario, London, Ontario, Canada, N6A 3K7; phone (519) 661-3208; fax (519) 661-3882; e-mail cases@ivey.uwo.ca. Copyright © 2005, Ivey Management Services Version: (A) 2008-03-20

In early November 2004, on a cold winter afternoon in Nottingham, England, Dave Robinson was planning his sales promotion strategy for a line of professional hair-care products at Boots. The professional hair-care line consisted primarily of shampoos, conditioners and styling products (gels, wax, mousse, etc.) developed in collaboration with United Kingdom’s top celebrity hairdressers. Robinson’s challenge was to select one of three promotional alternatives — get three for the price of two (“3 for 2”), receive a gift with purchase (“GWP”), and an on-pack coupon worth 50p1 — for the Christmas season. He realized that the alternative he selected would have immediate effects on both costs and sales as well as long-term implications for the brands involved. His primary objective was to drive sales volumes and trade-up consumers from lower-value brands, while retaining or building brand equity.

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