brand_hoover   1

The worst sales promotion in history: Hoover's free flight fiasco
n 1995, Hoover Europe was so shattered from the ordeal that it was sold off to an Italian competitor, Candy, for $106m, at a loss of $81m.
The company’s market share, once over 50%, dwindled to less than 10%, and the public rated the company’s products “least reliable” in at least 6 consumer reports. The British Royal Family even withdrew the company’s Royal Warrant, a mark of recognition for trusted companies.
Worse yet, a “glut of unwanted, unused second-hand Hoovers” — purchased by people just for the free flights — flooded the market, making it impossible for the company to offload new inventory.
“Mentioning the name ‘Hoover’ [at a marketing conference] is rather like shouting ‘Hindenburg’ at a 1938 convention of airship designers,” a Guardian reporter wrote in the aftermath of the corporate blunder.
brand_hoover  marketing  promotion  marketing-gone-bad 
9 days ago by JohnDrake

related tags

marketing-gone-bad  marketing  promotion 

Copy this bookmark:



description:


tags: