Boots is the best known retailer of health and beauty products and advice that enhance public well being in United Kingdom.

What was the situation Boots was facing ??

Boots had to plan a sales promotional strategy for a line of professional hair care products

The alternatives available were• 3 for 2• Gift with

purchase(GWP)• On pack coupon

a brief look over the alternatives Available.

3 for 2Buy two hair care items and get one free

Conditions1. Products should be of same brand.2. Least expensive one will be free.

Most of the competitors did not have the technology to imitate this promotion

Sales increase to 300% of the pre-promotional sale with 60% increase in the buyers of premium products.

GIFT WITH PURCHASECustomer was given a product sample along with a regular purchase

An existing sample product would be used to avoid the need to design and produce additional packaging.

170% sale with an expected increase of 40% in the buyers

ON PACK COUPON50p off coupon which will be redeemed during the current store visit.

Most competitors tend to use purchase discount or GWPs

150% sales with 50% increase in buyers.

Consumer market analysis Low brand loyalty reasons -changing brand produce better results -changing preferences(gentle to detangled to shiny) -difficulty to identify meaningful difference among different brands

• Professional brands were purchased by women between 25-30 years of age.

• Premium products were bought for special occasions as a “treat”.

Major competitors of boots(mass - market)• Procter and gamble- customer awareness very high and

widely available.• Alberto-culver – introduced 30-sec brand advertisement

and offered a wide variety of products.• L oreal – almost found in all distribution channels with

products focused on women beauty.

Conditions • Mass market brands were the primary target of the promotion• No product size variation• No media advertising, however flyers will be used• Signage within the store to promote offers

BETTER OPTIONAFTER ANALYSING EACH ALTERNATIVE, COMPATITORS AND CONSUMER MARKET THE BETTER OPTION AMONG THEM IS TO CHOOSE 3 FOR 2 STRATEGY FOR PREMIUM PRODUCTS AND GWP AND COUPONS ON MASS PURCHASE PRODUCTS.

DATA ANALYSISAS 3 FOR 2 INCREASED SALES TO 300% SOINSTEAD OF 100 PREMIUM PRODUCTS IT SELLS300 OF THEMEACH PREMIUM PRODUCT COSTS £3.99300 WILL COST £1197ORIGINALLY IT IS SOLD FOR 200 PRODUCT COSTSO SELLING PRICE £79840% RETAIL MARGINSO £480 TO RETAILER12% MANNUFACTURER’S MARGINSO £144 TO MANUFACTURERTOTAL £624 MARGINORIGINAL PRICE £573PROFIT OF £225

Considering the festive season people will shift to premium brands thus increasing the overall sale and profit.Boots will be able to sell store exclusive brands with more margins which include• Charles Worthington • Toni & Guy• Trevor Sorbie • Lee Stafford

SUMMARY1. What is boots2. What was the situation it faced3. The alternatives available4. 3 for 25. Gwp6. On purchase coupons7. Consumer market analysis8. Major competitors9. Better option10.Data analysis11.Conclusion