Renova Toilet Paper: Avant-garde Marketing in a Commoditized Category

Name: Renova Toilet Paper: Avant-garde Marketing in a Commoditized Category (English version)
SKU: IN-S131

Bart, Yakov; Seabra de Sousa, Raquel; Chandon, Pierre; Sweldens, Steven

Product #:IN-S131

Supplier:INSEAD

Discipline:Marketing

Setting:Europe

Details:Case (PDF) • 21 pages • 2010-06-28 (Rev: 2014-08-25)

Subjects:

Marketing Branding Innovation Competitive strategy Advertising

Geography:

Europe

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Renova, a Portuguese toilet paper manufacturer, is battling to survive in a stagnant, commoditised market dominated by international giants and private labels. To grow and remain independent, CEO Paulo Pereira da Silva is considering three options: 1) private label manufacturing, 2) new functional innovations, and 3) launching a black toilet paper. What should he do? And how should the chosen strategy be implemented? Please copy and paste the following url into a browser http://cases.insead.edu/renova/ to view an introductory video and an inspection copy of the case.

Learning Objectives

In exploring the challenges facing small players in stagnant commodised categories where international giants and private labels dominate, this case provides detailed information on consumer behaviour, competition, and the company (including the brand and past communication campaigns). It accounts for the success of private labels and explains when it makes sense to produce for a private label. It illustrates the key role of marketing and branding, showing how Renova differentiated on hedonic and symbolic benefits in a category that was thought to be hopelessly commoditized.