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Renova Toilet Paper: Avant-garde Marketing in a Commoditized Category (Portuguese Version)
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Reference: INSEAD-5685PT-PP
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Year: 2005
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Number of pages: 23
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Publication Date: Jun 1, 2017
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Source: INSEAD (France)
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Type of Document: Case
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Industry Setting: Disposable Paper
Description
Renova, a Portuguese toilet paper manufacturer, struggles to survive in a stagnant and widespread market dominated by international giants and private brands. With a view to growing and remaining independent, CEO Paulo Pereira da Silva considers three options 1) private label production, 2) new functional innovations and 3) the launch of black toilet paper. What should he do? And how should the chosen strategy be implemented? Exploring the challenges that small players in stagnant business categories face, where international giants and private brands dominate, this case provides detailed information on consumer behavior, competition and business (including branding and past communication campaigns) . It justifies the success of private brands and explains when it makes sense to produce for a private brand. It also illustrates the key role of marketing and branding, showing how Renova distinguishes itself in terms of hedonic and symbolic benefits in a category deemed hopelessly widespread.