Dry Laundry Detergents Madeleine Sherrington & Lauren McFalls

Blattberg’s Category Role Matrix Flagship Sales Dollar Volume HighMediumLow Core Traffic Cash Machine Under Fire Maintain Rehab Gross Margin % High Low

Category Role: Core Traffic Low Gross margins High Sales Dollar Volume Win on deal Detergent has high penetration in the home

Category Roles: Competition and Penetration “Scrutiny” Fresh meat, Dairy, Produce, Bakery Household Penetration HighMediumLow “Win on Deal” Strong Brands Detergents, Paper products “ Win with Depth” Canned items, salad dressings, frozen foods “ Win on Costs” Differentiation on depth, private label True Service: Carried because “no else will” Baking supplies “ Man in the Mirror?” Infant formula, disposable diapers Intertype Competition High margins Low competition Low margins Competitive

Category Snapshot

Circular Trade Areas Mostly single person homes The lower end of the income spectrum Ages range from and 75 and older Majority of College Graduates

Store Locations Walmart MLKWalmart JoyceWalmart NBHD MarketHarps GarlandTarget SteeleWalgreens SchoolCVS College Demography Reference2 mile Ring1.5 mile Ring 1 mile Ring1.5 mile Ring1 mile Ring % HHsHHs Index% HHsHHs Index% HHsHHs Index% HHsHHs Index% HHsHHs Index% HHsHHs Index% HHsHHs Index% HHsHHs Index Race of Head of Household White68.7% % % % % % % % 127 Black12.0%1006.3%524.9%416.1%517.0%594.9%415.5%464.3%36 Hispanic12.6%1004.7%383.3%264.9%395.5%443.3%263.9%313.3%26 Asian4.5%1003.9%882.6%572.5%576.7% %574.6%1041.7%38 Other2.3%1004.1% % % % % % % 148 Number of Persons 1 Person27.2% % % % % % % % Persons32.3% % % % %9733.6% %9233.0%102 3 Persons16.2% %7412.8%7914.8%9110.2%6312.8%7911.9%7315.8%97 4 Persons13.1%1007.3%568.3%638.3%635.2%398.3%637.7%598.7%66 5+ Persons11.1%1003.4%314.2%385.4%482.8%254.2%383.3%304.5%40 Household Income Under $10,0007.4% % %5619.2% % %5622.6% % 148 $10,000 - $19, % % %6116.8% % %6120.4% % 153 $20,000 - $29, % % % %9513.8% % % %114 $30,000 - $39,9999.8% % % %919.5%9717.8% % % 132 $40,000 - $49,9998.9%1009.8% % %1108.5%9611.2% %1036.8%77 $50,000 - $74, % %7016.5%9314.5%8210.8%6116.5%9312.7%7214.2%80 $75,000 - $99, %1003.9%338.0%676.8%562.9%258.0%674.6%397.8%65 $100,000 - $149, %1004.1%3111.2%8610.4%803.1%2411.2%864.0%319.0%69 $150,000 or More9.8%1002.1%2111.9% %371.8%1911.9% %239.9%100

Age of Head of Household Age % % % % % % % % 250 Age % % % % % % % % 146 Age % %8216.9%9817.4% %8716.9%9813.7%8017.4%101 Age % %5514.3%7311.0%569.3%4714.3%7311.2%5715.0%77 Age % %5814.5%7510.1%529.1%4714.5%7512.0%6216.4%84 Age %1006.7%499.2%675.3%394.4%329.2%677.7%5610.7%78 Age 75 or More10.8%1005.2%4817.6% %382.9%2717.6% %568.2%76 Age and Presence of Children Age < 67.3%1005.3%728.1%1119.2% %628.1%1115.5%757.4%101 Age %1008.6%4711.7%638.8%487.7%4211.7%637.2%3914.5%79 Age < 6 & %1003.0%463.4%525.1%791.8%283.4%523.4%523.4%53 No Children67.8% % % % % % % %110 Housing Tenure Own65.0% %3543.8%6736.6%5613.8%2143.8%6722.5%3549.8%77 Rent35.0% % % % % % % % 143 Education of Head of Household Not a High School Graduate12.7% %798.4%665.5%437.4%588.4%6612.7%1016.1%48 High School Graduate25.3% %7722.2%8813.8%5517.2%6822.2%8822.3%8817.4%69 Some College28.7% % %7337.0% % %7332.3% %99 College Graduate19.3% %9226.7% % %9626.7% %9324.6% 127 Post College Degree14.1% % % % % % % % 168

Stores Audited Store# of SKUs WM-MLK44 WM-Joyce51 WM-NBHM41 Harps-G12 Harps-W22 Target-Steele11 WG-School3 WG-College3 CVS-College2

Dominant Brands Gain Tide Arm & Hammer ALL Purex

Unique SKUs

Dry Detergents, Share of Display Space, March 2015

Dry Detergents, Share of Gross Margin $s, March 2015

Dry Detergent, Estimated % Gross Margins, March 2015

Private Label and Review Dry laundry detergent does not have Private labels because they would not be successful at all. People trust the brands they have always used and when it comes to clean clothes, people want something they know is going to work. As for a review of previous audits, we did not have any to review since dry detergent has just been added to the list of products to audit.