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Brita Products Co Case Solution

Solution Id Length Case Author Case Publisher
1951 671 Words (3 Pages) John Deighton Harvard Business School : 500024
This solution includes: A Word File A Word File

With the proposed plan it is assumed that 350,000.00 units of Brita faucet-mount system will be sold. 30% these units will be sold at the price of $ 39.99 and 70% will be sold at the promo price of $ 34.99. Accumulative revenue of these full price and promotional price categories is $ 12.77 million. Production of these 350 thousand units will cost Brita $ 6.3 million; keeping in view marketing expense total cost to Brita for this move will be $ 11.7 million. This activity will result in profit of $ 1.07 million to Brita. 

Following questions are answered in this case study solution

  1. Should Brita build the installed base of pitchers, shift the budget to encourage the installed base to buy more filters, or commercialize faucet-mount systems?

  2. How much should be spent on your recommendation?

  3. Calculate all costs to support your recommendations.

Case Analysis for Brita Products Co

1. Should Brita build the installed base of pitchers, shift the budget to encourage the installed base to buy more filters, or commercialize faucet-mount systems?

Brita should go for the commercialization of faucet-mount systems. As mentioned in the findings of the survey six out seven people do not have the pitcher systems; this clearly shows the market for the pitcher system is gradually decreasing. So it is necessary to find niche market to maintain the market share and presence. However management is concern about the cannibalization but keeping in view the survey finding behaviors of customers is different towards the pitcher and faucet-mounted system. So there is little chance that Brita become the victim of cannibalization. Brita has good brand equity in comparison to PUR so it will take less effort to make itself successful in faucet-mount system category. It is considered good in terms of taste and market is associating with taste the purification quality of water; based on it can attract the customers towards Brita’s faucet-mount system. Marketing campaign should be based on taste as which is the core competency of Brita. PUR has more advanced technology in terms of filtering so it is recommended for Brita to be focused on taste as customers are associated purity with taste. Requirement of convenience is also on the rise and getting the filtered water fridge before the consumption is hurdle to fulfill this requirement. To capture this segment Brita should enter in faucet-mount systems. Keeping in view the above cited facts entry of Brita in faucet-mount segment will be beneficial for its growth. 

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