MarketLine Blog

US Laundry Care Market: How Leading Manufacturers Can Enhance Perceptions of Value

Even though the US laundry care market is commonly characterized by consumer inertia, the recession did bring about changes in buying behavior as shoppers looked to obtain maximum value for money, and this change is continuing in the post-recessionary market. This article examines that how Procter & Gamble (P&G) and the Dial Corporation have looked to reposition their brands in order to capitalize on these changing buying patterns.

Reduced levels of financial wellbeing brought about changes in buying behavior as consumers looked to obtain greater value for money from the products that they bought. This focus on value resulted in a number of behavioral traits emerging, such as shoppers switching to cheaper alternatives, looking to make consumption of existing brands more cost-effective, or looking to obtain value from benefits such as increased efficacy and convenience.

P&G looked to stave off the threat of cheaper competitors with the launch of Tide Basic; however, this conflicted with the premium Tide offering, which competes in the market on efficacy rather than price, and Tide Basic was withdrawn. The company fared better with the re-positioning of Cheer brightCLEAN as a value brand, but needs to remain mindful of cheaper competitors when evaluating future price strategies.

The Dial Corporation’s launch of Purex Complete 3-in-1 appears to have proved successful, with the Purex brand being repositioned away from competing on price and instead offering maximum efficacy in a quick and convenient manner.

To capitalize on the success of the launch, the Dial Corporation has announced the release of Purex Complete Crystals Softener, which is formulated with natural crystals. As a disruptive technological advancement in a market characterized by “me-too” innovation, Purex needs to ensure that consumers are aware and convinced of the effectiveness of the use of crystals in the formulation process, as natural ingredient product claims actually have considerably less influence on buying behavior compared to other product attributes.

Find this interesting. For more, please read US Laundry Care Market Case Study: How Leading Manufacturers Can Enhance Perceptions of Value or check out our company reports on P&G or any other company of your choice.

1 Comment

  • This is nice information blog. Thanks for Sharing.

    Shaun Mclain on 30 May 2013 at 11:04am

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