Skin-Tique Corporation

THARINI M.S

@03413539

Skin-Tique Corporation

Soft and silky gel is marketed by Skin-Tique Corporation a manufacturer of women’s personal-care products with sales of $225 million in 2002. The company’s line of product includes facial creams, hand and body lotions, and a full line of women’s toiletries. Products are sold by drug and food and drug stores through rack jobbers, and were able to obtain products placement in the women’s section. Unique dimension of soft and silky shaving gel was they positioned themselves at high quality women’s shaving gel and they were selling their products in tube since its introduction. By 2002, the dominant packaging for women’s shaving cream or gels had become the aerosol container.

Since units sales volume for soft and silky shaving gel had slowed in the recent years, secondly the company had strained manufacturing capacity and has no ability to expand the manufacturing capacity in the near terms. By introducing a new package design for the company they can overcome the above problems, and aerosol packing has become industry standard. The new package design will force customers to buy in large quantities instead of small quantities.

By applying contract filler i.e. purchase cans, propellants, caps and valves from many sources and assemble the product then fill the container. Phoebe masters has to select a contract filler who delivers a propellants with no CFC’s which are harmful to the ozone, as well as having a capabilities to not leave rust stains when the can is wet. In addition, the supplier could produce and ship product directly from its manufacturing facility at a lower per unit cost than the tube container but the supplier’s produce only 5 ½ and 10-ounce cans. Company has to produce two packages in order to attract higher market sales, in this way they can attract both customers the one who aim to use small packages and the others who prefer the big one. Since they have existing loyal customer’s most of the customers would prefer to buy the products.

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