Boots: Hair-Care Sales Promotion

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Boots is a renowned retail brand in the UK that offers health and beauty products and services across 130 countries with 1300 stores. They have a professional hair-care line developed with celebrity hairdressers. The company aims to increase sales volumes and trade-up consumers from lower-value brands while retaining brand equity. However, the UK hair-care market has over 60 national brands with no brand loyalty and low differentiation. The current problem is to decide a promotion strategy for their professional hair-care line. The three alternatives are 3 for 2″, “Gift with purchase”, and “On-Pack Coupon”. The criteria to choose the best alternative are to increase sales volumes, attract lower-value brand consumers, retain brand equity, and have a competitive advantage. The “3 for 2” offer would bundle sales of three different products and diversify usage, stimulate trial of new products, and increase sales by 300%. Therefore, the “3 for 2″ offer is the best promotional scheme.”

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Boots, a well-known retail brand in the UK, is highly respected for its wide variety of health and beauty products and extensive services. With stores in 130 countries worldwide, Boots is renowned for providing exceptional quality. The brand collaborates with respected celebrity hairdressers from the UK to create a range of professional hair-care products including shampoos, conditioners, and styling products.

The primary objective of the company is to enhance sales and persuade consumers to switch from lower-value brands, while also maintaining or strengthening brand equity. In the UK hair-care market, there are over 60 national brands sold in supermarkets and drug retailers; however, none of these brands hold a market share exceeding 9%. It is anticipated that the overall market will witness growth ranging from 1-3% within the next 5 years. Nevertheless, Boots has a distinctive opportunity as there are presently no celebrity-endorsed products accessible in retail stores. By implementing a strategy involving celebrity endorsements, Boots could establish a new market for itself.

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Boots faces competition from Procter & Gamble, Alberto-Culver, and L’Oreal. The main concern among UK consumers is the lack of brand loyalty and product differentiation. Currently, the company needs to determine a promotional strategy for its professional hair-care products and choose from three alternative options:

  • Get 3 for the price of 2
  • Receive a gift with purchase (GWP)
  • An on-pack coupon worth 50p.

When choosing the best option, it is crucial to consider several key factors. These include an increase in sales volumes for hair care products, attracting customers from less valuable brands, building and sustaining brand equity, and implementing a strategy that is hard for competitors to copy.

The promotion was set to span 1 month, commencing on December 1st. All advertising would be confined to stores, with no budget assigned for media advertising. The “3 for 2” offer would aid in introducing products to new consumers and boosting sales by 300%, particularly increasing fresh sales by 60%. Competitors cannot replicate this offer. The “Gift with purchase” scheme would also entice new consumers and encourage them to try new products, resulting in a 40% surge in fresh sales. Additionally, this scheme eliminates the need for extra designing and packing charges. However, it is a relatively common strategy and can be effortlessly replicated by competitors. Implementing this scheme would require an additional cost of 3p per unit of sample included with the product, making the unit cost 90p.

The “On-Pack Coupon” scheme is a conservative tactic that can boost sales by 150%, with 50% of the sales generated by new customers. However, this approach may diminish the brand’s value and be easily copied by competitors. In my opinion, the most effective promotional strategy would be the “3 for 2” offer. This initiative would package three different products together, allowing customers to diversify their purchases and receive a valuable deal. It has the potential to attract new customers and encourage existing ones to try new products. Therefore, I recommend promoting the “3 for 2” scheme.

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Boots: Hair-Care Sales Promotion. (2017, Jan 02). Retrieved from

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