MORRIS PLAINS, N.J. -- While Neosporin continues to be the best-selling branded first aid ointment/antiseptic, one of the mysteries that has surrounded the brand is how it continues to show 10.9 percent sales increases (for the 52 weeks ended Jan. 3, according to Information Resources Inc.) relative to a category that has been more or less flat for some time.
Indeed, the next best-selling brand, Solarcaine, which is actually positioned for the treatment of sunburn--a wholly different indication-experienced only a 1.3 percent increase. Moreover, sales of the next two dollar volume leaders in the category, Betadine and B-D, have fallen off 4.3 percent and 1.7 percent, respectively.
Warner Lambert, marketer of Neosporin, is crediting the ointment's ability to reduce scarring for its continued success. The company has also begun to position the product as a beauty solution by updating the new claim of scar prevention.
A recent clinical study demonstrated that Neosporin ointment, when applied immediately and twice daily to minor scrapes, helps minimize the appearance of subsequent scarring. According to the company, retailers can cash in on a new opportunity in the first aid ointment section because Neosporin combines a cosmetic benefit with a therapeutic benefit of infection protection. And the new claim will further increase sales by giving consumers additional reasons to purchase.
This month, the company will launch its first targeted print campaign, appearing in leading national and special interest magazines. In April, Neosporin spent more than $13.7 million in television advertising featuring the new scar-limiting claim. As for consumer and trade promotions, the company plans to drop an FSI on July 11 offering a 50-cent coupon. In addition, a 36-piece in-store display will be available to retailers throughout the season, and floor displays will carry a $2 mail-in refund.
Neosporin had sales of $41.9 million in 1999 and boasted market share dollars of 11.5 in the food, drug and mass areas. Taken together with the Neosporin Plus brand, Warner-Lambert's share jumps to almost $91 million, or roughly 25 percent of all dollars in the category.
COPYRIGHT 1999 Lebhar-Friedman, Inc.
COPYRIGHT 2000 Gale Group
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