Clorox Comes Clean - Naturally
The Green Works brand of household and commercial cleaning solutions is available at local supermarkets in the US. Many people are not aware of the fact that this line of natural, environmentally responsible cleaners is manufactured by the same people who make bleach. Clorox has committed itself wholeheartedly to ambitious initiatives aimed at reducing its impact on the environment through its manufacturing processes and the ingredients in its products. To accomplish this, the firm has established a department of Environmental Sustainability Strategy and an Eco Office. Its line of Green Works products meets strict environmental standards for ingredients, fragrances, packaging, and manufacturing processes. In addition, Clorox is working on similar efforts toward improving its traditional products.
One of the first bits of external communication about its new focus on product ingredients was literally a list of ingredients, so consumers would have more information about the products they were buying. The list has grown in detail-Clorox now provides more detailed information about its safety processes, guidelines used to screen ingredients, and data on fragrances (a major component of cleaning solutions). Clorox asks all of its fragrance suppliers to adhere to increasingly strict fragrance standards in the development of new products. In fact, Clorox is the first major consumer packaged goods company to go to such lengths to communicate to consumers exactly what its products contain and how they are made.
In order to spread the word farther, Clorox recently launched its own Corporate Social Responsibility (CSR) Web site that contains a wealth of information about its processes and products. The site is easy to navigate, offers access to a complete listing of product ingredients, and provides a comprehensive glossary of terms so consumers fully understand the function of each ingredient used in a product.
Though the Web site is currently entirely in English, Clorox has plans for French and Spanish versions of the product ingredient section of the site. Reaching even skeptical audiences, Clorox has gained the trust of the Sierra Club, with whom it has begun to partner on some of its programs. Together, Clorox and the Sierra Club trumpet the benefits of green cleaning. "Clorox is continuing to demonstrate the kind of progress we need companies to make," notes Sierra Club Chairman Carl Pope. "Since we began working with them on the Green Works brand, we've seen their commitment to important areas such as product innovation, ingredient communication, environmental stewardship and the transition to eliminate chlorine transportation from their U.S. supply chain. We applaud their approach to becoming even more open in communicating about their business practices and CSR commitments."
Clorox is keen to explore the household cleaning market of Bangladesh with the new brand, Green Works. Currently Clorox has two stock keeping units in the market - 500ml jar priced at Tk. 550 and 250ml jar priced at Tk. 300.
The company hires you as a marketing manager. With this backdrop in mind, answer the following questions:
Q.1: At what stage of its product life cycle is Green Works on? Explain why you think so.
Q.2: At this stage, what should be the promotional objective of the company?
Q.3: Create the profile of a ‘Green Works' customer. Use various elements of ‘Segmentation' to support your answer.
Q.4: What should be the SKU size(s) of Green Works? What should be the pricing? Why?
Q.5: Outline the distribution system of Green Works, starting from factory to end customer. (Assume there will be local production)
Q.6: Explain how Green Works can use various IMC tools for marketing the new product.
Q.7: When a person is purchasing Green Works, what type of buying behavior is s/he demonstrating? Why do you think so?
Q.8: You approach one of the most popular superstores in Dhaka to negotiate a deal to place Green Works in their store. Suppose the owner of the store demands a personal favor in return of securing a good place in the store. What would you do? Why?