Case Study:
When Eric Hudson graduated from business school with his MBA, he did what most people do. He went out and got a real job. After about six years, the daily grind in corporate America had gotten old. “My family was a bit crunchy and had been known to actually hug trees,” recalls Hudson, “but it wasn’t until the early ’90s that I decided I wanted to marry my professional career with my love of nature.” As a teenager, he remembered his dentist reminding him to hold his toothbrush at a 45-degree angle, but he was always surprised that few toothbrushes were actually shaped for that angle. When it came time to start his own business, he enlisted his father— an industrial designer specializing in automobiles and boats—to help him design a better-shaped toothbrush. Once they came up with a design they liked, they sought the approval of several dentists. At the same time, Hudson became aware of how few environmentally friendly products there were in the marketplace. The products available may have been made of recycled or recyclable materials, but they were more expensive and usually didn’t work as well. He also noticed that while more communities in his native Massachusetts were starting recycling programs, much of what people were throwing in the bins was food containers made from #5 plastic. At the time, few companies reused that type of plastic, and it often ended up in the landfill. Hudson knew there had to be a clever way to reuse that plastic for his toothbrush. He brought the idea to a plastics lab at the University of Massachusetts and, after a lot of experimenting, finally figured out a way to turn all that plastic into a material suitable for the toothbrush. The Preserve toothbrush hit the market in 1998. Sales in the beginning were slow, but the product was well received. Green products had yet to hit the shelves of stores like Target and Walmart, but Hudson definitely was on top of the emerging trend. As sales improved and consumers started asking for more environmentally friendly products, he developed a recyclable razor, a children’s toothbrush, and a tongue cleaner—all made from recycled plastic. Not wanting their products to end up in the trash, Preserve takes back used toothbrushes and razors to be melted down and used again. In late 2007, Preserve announced an exclusive deal with the Austin-based Whole Foods natural and gourmet grocery chain to partner on a new product line for the kitchen. The Preserve Kitchen line includes a Preserve Colander, Preserve Cutting Board, Preserve Mixing Bowls, and Preserve Food Storage Containers—all made from #5 plastic. They also added a Preserve 100% Post-Consumer Recycled Paper Cutting Board. Priced competitively, but slightly higher than similar conventionally produced products, Preserve marketers knew that if they were to compete against the likes of Tupperware and Rubbermaid, they would need more than a good story. Until then, they were able to get by designing their products in-house with little help from the outside. It was time to call for backup. Industrial design firm Evo Design was the perfect solution. Their offices were nearby in Connecticut, so Hudson and his team could just hop in his “grease car”—a Volkswagen Hudson modified to run on French fry grease collected from a local Wendy’s. Evo’s team of designers, engineers, and business experts have earned a reputation for making really cool looking (and functioning) stuff for the competition: Crate & Barrel, Cuisinart, Kimberly-Clark, Schick, and Waring. For Preserve to make its mark in the CPG (consumer packaged goods) arena, it will need to continue to come up with new products in new categories. Demand by new parents for environmentally friendly toys and products present a perfect opportunity for Preserve. The company has plans to launch its first toy line in the near future
Q1. Why is the development of an entire product line critical to Preserve’s growth and success?
Q2. At which stage are most “green” products in the product lifecycle? As these products mature, what can be done to extend their product lifecycles?
Your answer must be typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.