Clorox: Getting the price tag right whether it’s yellow or white

Clorox finds new revenue sources by utilizing 84.51°’s comprehensive Price Impact Analysis to optimize price and promotions across their portfolio​. 

Challenge

Due to inflationary impact, Clorox had raised their prices significantly on a frequent basis. These increases had occurred across multiple retailers at different times, and there was a need for Clorox to understand how price impacted different customer groups, as well as how their price points compared to other cleaning products. ​Their goal was to retain loyal buyers while improving share across key brands by optimizing their pricing and promotion strategy. 

Solution

Using 84.51° as the gold standard for behavioral shopper data, Clorox utilized the Price Impact Analysis solution which showed how their pricing changes impacted various customer groups, and how their price points compared to other household cleaning items. Utilizing custom attributes within the tool also enabled Clorox to better understand how certain pricing thresholds impacted the category and shopper demographics.  

“This project was one of the few instances where we were able to clearly identify opportunities to grow and the 84.51° team provided insights in an easily digestible format. That allowed us to go back to the category manager with quick wins backed by data and give a dollar opportunity for growth in our category.”

-David McKinny, Category Manager, The Clorox Company

Results

The Clorox team found that there was opportunity to adjust their pricing to a more favorable White & Yellow tag offering that would improve category share across their top four brands! Understanding optimal price gaps armed Clorox with a solid, data-backed strategy to defend their base and fluctuate promotions to retain brand loyal shoppers and introduce new shoppers to the household cleaning category.     

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