Vaseline, the world\'s most famous-and most expensive brand of petroleurm jelly,
ID: 430622 • Letter: V
Question
Vaseline, the world's most famous-and most expensive brand of petroleurm jelly, wants to improve its financial performance (i.e. revenue and profits) for its shareholders next year. Vaseline already enjoys 85% market share. (The other 15% is owned among generic store brands that are sold at about a 25% discount.) The Vaseline CEO approaches the company's marketing team during its October planning period for the coming year. She explains that the Board of Directors and Shareholders are demanding a one-year spike in the Vaseline profit margin, which is normally 2%. She needs your team to achieve a 7% profit margin next year, which is a 350% one-time spike in profits. What do you tell the CMO about how to improve Vaseline's financial performance next year? 6 8Explanation / Answer
Vaseline, a petroleum jelly brand which is owned by the Unilever company. The brand also includes various others products such as soap, shampoo, cream, lotions, deodorant etc.
Although the brand acquire around 85% of the market share. The company can increase its brand financial performance by some ways.
1) From the brand graph it can be seen that Vaseline petroleum jelly has the greatest sale among all the other products. If vaseline can increase the usage of all it's other body parts products among with the lip jelly then there is no doubt it can definitely increase its performance.
2) Vaseline can incease its competitive advantages by increasing it's other products' usage.
3) The brand has a poor marketing communication compared to its competitors. If Vaseline can increase its marketing on a regular basis then there is a greater chance in increase in the financial situation of the brand.
4) As the brand has big threats such as Nivea and Johnson and Johnson, so the company can increase its expansion by increasing its competitive advantage, which can increase its financial performance and also can increase its market share.
5) The company can also provide product promotions to the consumers for its better market sales.
Hope this helps :)
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