QUESTION
- “Are the Winning Colours sample packs being wasted if we are switching to 1000+ Stain Remover?”
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ANSWER
No. There has always been a greater demand for the sample packs than available supply. There are several key retailers, such as London Drugs and Canadian Tire, to name two quick examples, who would benefit from the sample packs. No product inventory is being wasted with the name change. Existing assets are merely being deployed and used up with the gradual sell-through of Winning Colours inventory.
Also, as Duane Reade will be permitting in-store demonstrations for 1000+ Stain Remover, the existing sample packs can be put to good use elsewhere, immediately, without any loss of potential at Duane Reade. In-store demonstrations can be followed by the street sampling program with the next sample pack production run as 1000+. The net result will be more impact, not less.
The first large run of U.S. 1000+ Stain Remover labels is targeted for completion in the next two weeks. Duane Reade, as a new retailer, will simply swap their Winning Colours with the 1000+ inventory for their launch. Winning Colours inventory will be re-deployed for benefit of existing retailers. This is all easy to do by way of moving a few skids around as required.
A product name change can be inherently positive during its early life. We are benefiting from feedback from the marketplace. It’s easier to do now when so many of our potential U.S. consumers have not heard of us yet. As new stores come on stream in 2011, they will simply receive delivery of 1000+ Stain Remover as their starting point.
The 1000+ Stain Remover name adjustment in particular has been widely applauded by people interested in Winning Brands, including business associates, as a change that is likely to be very effective. It’s shorter, more descriptive, reminders consumers to try other uses, allows larger name font in the available space, is universal for all languages, in addition to other attributes. An example of the impact can be seen in our club packaging. We are awaiting approval of the latest prototypes from our prospective U.S. club retailer at the moment, and will share this rendering with shareholders in due course.
