Spritzer Case Study

Reported by the Malay Mail newspaper in early February 2015, Spritzer has been criticized by Muslims Consumers Association of Malaysia (PPIM) for selling overpriced bottled water. Consumers might as well drink petrol instead of water now that fuel prices have dropped, the PPIM president Datuk Nadzim Johari said. If we compare the price of one bottle of 600 milliliter of RON97 petrol, the price of a 600ml Spritzer mineral water is 30 sen more expensive. Thus, Datuk Nadzim Johari has called on consumers to boycott Spritzer products for selling unreasonably priced processed water. In order to solve the pricing dilemma, Spritzer should start its pricing decisions based on customer value. Customer perceptions of the product’s value set the ceiling for prices. People can form different perceptions of the same stimulus because of different perceptual processes. Selective retention is one of

This results in certain degree of brand loyalty. Hence, Spritzer must work hard on fulfilling customer value and satisfaction by developing and maintaining its product quality.

Lack of Consumer’s Education
The bottled water industry is segmented into two groups, which are drinking water and mineral water. Spritzer, which is involved in bottling both mineral and drinking water, says there is a huge difference between both types of water. Mineral water is a product of natural rain water after years of being filtered through mineral spring that contains various mineral compounds. Drinking water is simply tap water without any minerals substances, boiled or filtered and then packaged out. “Many consumers today are not aware of the difference. But the Health Ministry has a simple