Assignment
DECIDING ON THE MAJOR CONSUMER MARKET
The sales manager of the Ducto Company recommended to his management that it should begin to place its major emphasis on the teenage market for its toothpaste promotion. Although Ducto had always recognized the importance of this market, it had followed the policy of appealing primarily to the over-25 age group. Ducto Company is a producer of toothpaste, toiletries, and proprietary drugs. The business of the company is carried on principally in the United States, but a small amount of business comes from Canada, Great Britain, and Mexico. There is keen competition in each of the fields in which the com- Ducto Company 55 pany operates. The company sells to wholesalers, retail stores, pharmaceutical companies, and industrial concerns. Through a vigorous sales policy, based upon extensive advertising to men and women over 25, the company has developed a number of brand names and trademarks. Because Ducto is one of the smaller companies in its industry, its management believed that it had to be selective in its advertising program. The sales manager, in presenting his recommendation, summarized the following information, which he had learned at a recent conference.
1. Half of all first brides reach the altar before the age of 20Vi. In fact, one-third of all 18- and 19-year-old girls already are married. Other bridal market statistics disclosed:
(a) more girls marry at 18 than at any other age;
(b) more than 3 million girls will marry in the next five years;
(c) more than 500,000 teen-age girls marry each year;
(d) 38 per cent of all brides are young women under 20.
2. Many enterprising auto dealers are attempting to develop customer interest in the new models through original and creative promotional campaigns directed to teen-agers. Some dealers sponsor campaigns that not only build customer interest, but instill safetyconsciousness among the teen-age population. Called Be-Hep-Hints, the advertisements invite teen-agers to submit safety suggestions. These advertisements also point out to parents that for every car sold goes a free two-hour session with a trained mechanic. The mechanic's job is to explain the specialized characteristics of the auto and how to drive it in the safest, most economical manner.
3. Estimates indicate that shoe production will fall short of the industry's goal of 600,000,000 pairs. In order to achieve its cherished goal, the industry must put more emphasis on early and intelligent planning, and on vigorous and sustained promotions to teen-agers. It should present the kind of front that has been so productive of successful promotional programs in other industries to the younger group.
4. Since winter vacations for older employees are becoming more and more popular with business firms, it becomes even more important to point toward the teen-age market. Most firms now permit split vacations with several companies specifically stating that employees eligible for four-week vacations divide their tjnir pmnll" between summer and winter. As a result, it Ililln i\\t Inhi in h the older groups. 56 The consumer
QUESTIONS
1. Who makes the decision for the purchase of toothpaste in a family? Give reasons why.
2. How important is the teen-age market for a product of this nature? If the product is accepted by teen-agers, will they continue to buy it when they become older?
3. Do you believe that the Ducto Company should place its major emphasis on the teen-age group?
4. Does the appeal to a teen-age group and the older group have to be different for the promotion of toothpaste?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.