Japanese personal care products manufacturer Kao took what used to be a low price product and pushed it into the middle price range by learning something about Japanese consumers and applying that knowledge to product design.
The company learned from market research that Japanese consumers have been spending more time brushing their teeth than in the past, and that women—especially younger women—devote a lot more time to brushing than men do.
So they took an existing brand, "Check", and revamped the design—giving it a narrower neck, a smaller head, finer, more effective bristles, and cuter colors—and started advertising it as a toothbrush for women.
Oh. And they also doubled the price—and watched sales go up, and up. . .
Lesson: never discount the importance of understanding the opportunity and then re-tooling the product to meet consumer needs.
