Blog on Launch of Climp Fecha Facil Bag

Blog on launch of Climp Fecha Facil Bag

The Climp Fecha Facil bag is a new product line of trash bags which uses drawstrings and is about to be lauched by Ad-lider Embalagens. The company has invested over 1 million dollars to offer customers a product that is modern, different, offers better cost to benefit ratio and creates more customer value. This blog reviews the findings from a marketing research study the company had commissioned and recomends for a successful launch of Climp Fecha Facil product (Sinegia, 2009). This marketing research was done in the cities of Rio de Janeiro and Sao Paulo.

From the perspective of the market size for garbage bags in Brazil, the research found that there were 1.3 billion bags with a total value of US$129 million being sold in 1997. Ad-lider Embalagens is already the market leader with its Limp-o-Lixo brand of garbage bags. It controls about 48.12% of the market of garbage bags in Brazil. However this position may be vulnerable because there was not much brand recognition which helps generate perception of a certain brand (Van Gelder, 2005) in Sao Paulo but residents of Rio de Janeiro recalled the Dover Roll brand. Launching of the Climp Fecha Facil bag can help to create market differentiation and help improve its brand recall.

The study also found that plastic bags from supermarket were also often used as small garbage bags in both cities because they were easier to tie using the handles. This shows that there is a need for garbage bags that can be tied easily. However supermarket bags are normally smaller the 25L and the most common size of garbage bags used in both cities was the 50L bags. Moreover customers want strong gargabe bags that will not tear easily. They complain that handles in exiting garbage bags break easily if knots are tied too strong. Respondents also mentioned the difficulty to tie the large 100L black bags due to their thickness (Sinegia, 2009). These feedback provide strong support for lauching...