Executive Summary

At the begining of 1990, Warner-Lambert Ireland planned to launch an innovative cool product named Niconil, which was generated for people who would want to quit smoking. Niconil would be the initial patch-type item in the cigarette smoking cessation marketplace in Ireland. While existing smoking escale products of the other companies has not been successful due to the concerns regarding negative side results, Warner-Lambert business owners had an hopeful view that Niconil will be recognized as a secure and powerful product by simply prospective buyers. In fact , effects obtained through preliminary market research seemed to support their positive views. However, there were crucial problems that ought to be solved ahead of launching the item as follows:

Which in turn pricing technique would be appropriate for the new product?

What would be the most effective advertising communication technique for the new item?

Because powerful pricing approach would be straight related to the companies' actual sales and profits, in cases like this, two inquiries raised previously mentioned will be primarily discussed. Promoting and other marketing strategies, such as advertising and product sales promotions, will probably be examined strongly related with the discussion of prices strategies.

Product Evaluation


As regarded generally, it had been nicotine that resulted in addicting behavior to smoking. Quite simply, stopping smoking reduced how much nicotine, and made the cigarette smokers desire smoking cigarettes to compensate for nicotine needed for maintaining the degree of it. Warner-Lambert's Niconil was the product centering on the habit forming aspect of cigarette smoking. That is, Niconil was a nicotine-replacement product, and can be used as a substitute for smoking cigarettes. Although there got already been one more nicotine-replacement item, Niconil is the first patch-type product with this market. Compared with competitor's chewing gum type product, Niconil could be recognized less dangerous from negative side effects, since nicotine of this patch type product was launched indirectly through skin, in a roundabout way through oral cavity unlike competitor's chewing gum type product. Although Niconil resulted in some epidermis irritation, WLI executives deemed this as being a minor trouble, and believed optimistically which it would be completely solved down the road. Some effects through clinical trials supported the effectiveness of Niconil about helping people quit smoking.

Support Program

As opposed to existing smoking cigarettes cessation products, Warner-Lambert's Niconil was the initial product centering on both physical and mental aspects of smoking, because emotional addiction was also important aspect of smoking behavior although patch merchandise would be helpful for reducing physical symptoms of cigarette smoking. To focus on the psychological elements, WLI business owners prepared a plan supporting Niconil patch merchandise. While spot product cannot be distributed directly to buyers without pharmaceutical, the support program could possibly be sold to buyers directly with no prescription, if perhaps they were separately packaged from your patch item. Moreover, the supporting software could be advertised nationally, whilst Niconil spot product advertising was constrained in medical magazines. That may be, Niconil could build company awareness successfully using the helping program. There were two options which WLI executives should certainly make a choice before launching the merchandise. This support program could be sold individually at extra cost or presented cost-free when buyers buying Niconil patch goods. In addition , there was two alternatives of distribution of the assisting program. One option was going to concentrate on doctors prescribing Niconil, while the various other option was going to distribute support programs mainly to pharmacies. Of course , WLI executives could use these two choices simultaneously.

Before making a decision, it would be extremely important for taking cost and benefit of these types of options into consideration. Development expense of the assisting...


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