Kurtz is a famous FMCGs (Fast moving consumer goods) company providing a wide array of home care products like detergents, dish washing soaps, floor cleaning liquids, kitchen cleaning products and toilet cleaners. They believe that their products are more than simple hygiene; it provides comfort, ease of use and care because clean homes and clothes lead to better health and safety. Keeping intact with their philosophy of providing better cleanliness and care, they offered a new formula fabric conditioner – a unique gel that makes the clothes soft and kills the germs. This conditioner makes your loved ones feel cared for and safe. They have planned and allocated heavy promotional budget for their product being a new idea to the market. They have unanimously decided that huge promotional work needs to be done not only to create awareness but also acceptability for their novel product. Their marketing team is facing a dilemma of selecting between the two important and commonly used elements of promotional mix; advertising and sale promotion. Half team members (say Group A) present the idea of allocating major portion of the promotional budget to advertising (be it print or electronic) and limiting the spending on sales promotion. The remaining half (say Group B) advocates that heavy spending must be done on sales promotion to create quick awareness and meet sales targets along with advertising the product a little since the product is new and unique.
- Considering the whole situation, if you have to solve their selection problem which one of the two groups will you support? Give three logical reasons for your selection.
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