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URL:  https://boards.fool.com/however-i-dont-like-leaving-money-on-the-table-20137826.aspx

Subject:  Re: Marketing Strategy: Sports or Snore? Date:  1/12/2004  10:13 AM
Author:  Eldrehad Number:  143 of 766

However, I don't like leaving money on the table - couldn't they almost create a separate brand name to market the sports angle more. It seems like there is some potential here, but I agree that the breathe better while you have a cold, reduce snoring is a much bigger market.

I hear you, and to an extent agree with you. I don't like leaving money on the table either - and figuring out new uses for a product can add quite a lot to a company's bottom line (baking soda being used as a refridgerator/freezer deodorizer anyone?).

To the extent I might disagree with you... CNS only has a limited amount of money with which to market/advertise their product(s). The question they should be asking themselves is "Where do we get the most bang for our buck?" If the answer is 'sleep better/reduce snoring' as opposed to 'sports applications' then marking the 'sleep' angle exclusively may well be the right thing to do, even if they are leaving money on the table by not marketing the 'sports' angle. In short, the company might be leaving more money on the table by marketing the sports angle, as those resources could have been put into marketing the sleep angle (with a better return).

Once market dominance and relative saturation in the primary market (as a sleep/snoring aid) are achieved, then it will likely make a great deal of sense to begin pushing into secondary/alternate use markets. Arm & Hammer began marketing as a refridgerator/freezer deodorizer only after its baking soda was in the dominant position with regard to the more 'traditional' and widely-used applications. I think CNS might be very well served to follow in these footsteps.

Regards,

Eldrehad



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