Marketing Strategy p1

Date: Friday, November 14, 2007
Time: 3:13 PM
Place: Kitchen

3.0 Marketing Strategy
Sales growth and the introduction of new products are the key to GSK’s performance. :
Financial objectives: create sales growth of 14% in our line of consumer healthcare products, 6% as a result of Alli

Marketing objectives: generate awareness and excitement for Alli

3.1 Value Proposition
Alli isn’t just another product for you to buy. Alli is a pill with a plan. This program requires a commitment to living your life in a new way as you learn to change your eating and activity habits.


3.2 Critical Issues
Alli is still in the "speculative" stage. Its critical issues are:
There is a chance that Alli will be just as big as a flop as the pharmaceutical version, Xenical. By making consumers aware of the side effects of the product and the necessity to make lifestyle changes, we hope to gain consumer appreciation and confidence.

3.3 Financial Objectives
1. A growth rate in sales of 14% for the year 2007, to total in excess of 3.1 billion dollars in consumer health care products.
2. Revenues of 212 million from Alli during launch year.
3. In manufacturing, reduce the over number of sites operating in the network and simplify processes and site activities to reduce over capacity.



3.4 Alli Marketing Objectives
1. Maintain a gross margin of 40% each quarter.
2. Generate an average of 34 million of sales each quarter.

3.5 Target Market Strategy
The target market is sort of a mass market approach: overweight Americans. The primary marketing opportunity is selling to this accessible target market that is willing to invest discretionary income in weight management products.

3.6 Messaging
If you’re willing to challenge yourself, to do things differently, then you can experience weight loss success. But if you aren’t committed to limiting your fat intake and calories as part of the program, then you shouldn’t buy alli.