A Case Study of New Product Development on Basis of

“Halfords Motor Oil- Redesign & Re-Branding of Existing Products”

A Case Study of New Product Development on Basis of

“Halfords Motor Oil- Redesign & Re-Branding of Existing

Products”Prepared for

Mr. Sajib Kumar GhoshCourse Instructor

Prepared byRifat Rasul Chowdhury 1113280662

Md. Asgor Ali 1113280702

Premier University

About the Company

At a Glance

Founded as

Local Hardware Store in Birmingham

Founded by

F.W. Rushbrooke on 1892

On 1965 Became known as Halfords Ltd.

On 1969 Opened its 300th store & become part of Burmah Group. Moved to a custom built HO & warehouse in Redditch, Worecestershire.

In 1980s Move for high street to edge of town for Brand recognition, consumer orientation, more choice for consumer & convenience parking.

On 1984 Change in Ownership-1 (Ward White Group.)

On 1989 Again Change in Ownership-2 (The Boots Company)

On 2000

Rod Scribbins became MD and introduce the Sub Brand ‘Arcade’ superstore programme (Bikehut, AudioParts, Ripspeed and Touring).

On 2002

Acquired by CVC Capital Partners from The Boots Company.

NOW

Britain’s No. 1 & largest in UK as non-food retailer.With over 400 Stores in Britain.Attracts 1.2 Million customers in a week.Boast around 12,000 products line.Annual Turnover of in excess of £ 500 million. No. of HO’s employees – 600, Total Staff-

9000 Analyst view it as “British Business

Institution”.

Products (Motor Oils)

Products (Motor Oils)

Halfords – the introductionBackground of the CompanyThe ProblemWhat Motor Oils does in your Engine?Different Types of Engine OilsBrand Leaders in Europe

BP & CasstrolShell OilsExon (Esso) Mobil

Gist of the Case

Design BriefArrival of PentagramOutdoor TemperatureViscosity MeasurementsTypes of Buyers

DIY EnthusiastDIY part timersEmergency

Customer TestingNew Packaging

Case: Question # 1• Discuss how Halfords used packaging

as a strategic tool.

Answer # 1

Assigned to Marketing Expert-Pentagram (International Design Group).Marketing Research on Retailing Motor Oil.Based on Outcomes, need some modification.Focus on the Packaging system.

•Should Halfords have explored the possibility of developing a new brand of Motor Oil?

Case: Question # 2

Answer # 2• Yes, Halfords have explored the possibility of

developing a new brand of Motor oil under this formation:-

Company ObjectivesSWOT Analysis

Implementation & Evaluation

StrengthLargest Retail Store in BritainWell Brand Images of CompanyInvestment capacity for

production

WeaknessLack of ExpertiseLack of Creative Advertisement

activities like the competitors.

OpportunitiesNew Product can go, using the

Company Brand Images.Using competitive advantage

for the new issues.

ThreatsCompetitors Activities.Manufacturer have the risk all

the time.

•Use the attributes in Table 13.2 to explore whether more radical packaging could be developed for this Product Category.

Case: Question # 3

Answer # 3

• Yes, they should use these attributes.

•Arguably this was a product whose sales were declining & could have been dumped. Can you think of any other “Mature” products that could benefit from an investment in Packaging Design.

Case: Question # 4

Answer # 4

• Yes, they can apply on their Matured product through:-

Product Improvement/ Modification.Packaging Improvement.Marketing Strategies.