Challenge

When asked to consider a new global strategy for one of their products, the Canadian division of Clorox thought it would be risky to adopt an untested position that could lower their product price-points and affect their highly-valued, premium brand image without evidence that local market drivers were in-sync. Intuitively, they favoured the local strategy and reasoned that, with solid backing, a case would be made to maintain it.

Method

We began with qualitative ethnographic observations in three key markets to identify heavily ritualized in-home usage, shopping behaviour, and interest in enhanced features and benefits.

This was followed by a usage and attitude study to identify market drivers, optimal positioning territories and price sensitivity.

Off-site workshops with the internal team were conducted to work through segment potential and brainstorm ways to leverage the fresh insights into the target customers.

Discovery

We identified practical and emotional drivers around familiarity, ease-of-use and concern for the environment in key consumer segments. The Canadian market’s unique attitudes toward sustainability showed that moving to a global strategy would have less appeal than a strategy with local relevance.

Outcome

The research indicated that adopting the global position would introduce risks to the brand’s position – and profit – in Canada that were too great to justify the switch.

The identification of clear Canadian differences in attitudes towards the product category lead to a customized segmentation of the Canadian market. Packaging, product and promotional efforts were modified in keeping with the Canadian premium brand image within the category.