Johnson and Johnson

Johnson and JohnsonChallenge

Vistakon, a Johnson and Johnson subsidiary business that manufactures and distributes the Acuvue brand of disposable contact lenses contacted MIG initially to request MIG to pitch for the marketing work to launch the bi-focal version of the lens and to target prospective customers directly. MIG refused to pitch as we could not identify a way to achieve this, however, during the initial investigation, dialogues revealed that the disposable lens was not highly regarded by the Optician/eye care professional (ECP) compared to the prestige of selling a pair of framed spectacles and if contact lenses were chosen by the customer or ECP then several brands could have been selected, giving Acuvue only a fraction of a niche market.

Assessment

MIG had been involved for sometime in switching NHS dental patients to private using a simple monthly direct debit and our assessment was that if the product offer could be re-engineered to include monthly direct debit, then inertia would play a large part in ensuring more consistent sales and brand loyalty.

Solution

The solution was to form a new company in conjunction with the dental DD processor that would provide a monthly direct debit service that Vistakon could offer to the ECP as a ‘value add’ solution such that the consumer would sign up to a disposable lens product that is delivered directly to their home. The payment was collected on behalf of the ECP and money, less the cost of collection, passed back to the ECP. An outsourced distribution business delivered the product monthly directly to the consumer. A varying cost of processing the DD was established to favour the Acuvue brand.

Success

The result has now become the market normal practice for disposable lenses. The consumer need only visit the ECP for 6 monthly checks (included in the cost of the lenses). Inertia meant that the consumer stuck to the chosen brand of lenses and the system and subsequently the ECP also stuck with the brand and Vistakon. The ECP’s started to realise that their profitability was greater using this solution than selling frames as there was little effort to deliver a consistent and long term income stream.

Acuvue continues to be the leading brand in this market which has now matured.

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