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Matrixx seeks to increase brand awareness with more advertising

8/26/2009

SCOTTSDALE, Ariz. Matrixx plans to step up its advertising this cough-cold season, converting one-time nasal swab users into purchasers of one of several Zicam oral remedies, Bill Hemelt, acting president and COO, told shareholders during the company’s annual meeting held Wednesday.

“The landscape for the company has changed dramatically as a result of the June 16 [Food and Drug Administration] warning letter,” Hemelt said, referencing the agency’s written concerns that Matrixx’ nasal Zicam products could be associated with an increase in anosmia (the loss of the sense of smell).

Matrixx voluntarily pulled those products off the shelf following that warning letter, though Hemelt noted that so far 10 federal judges had dismissed similar claims prior to the FDA letter.

Accompanying the increased advertising support, Matrixx also plans on implementing a sizeable retail promotional support. “We worked with our retail partners to modify [cough/cold sets] to feature oral Zicam products,” Hemelt said. Hemelt thanked the company’s retail partners for their collective support.

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