Plumbers played a serious role in deciding which shower product to install; statistics showed that 73% of Mixer Showers was chosen by plumbers or with their influence, not the consumer Exhibit 4. This shows that the two places are powerful to sell the products of Aqualisa. Quartz provides higher client value merchandises with considerable border which even higher than core products-Aquavalve 609. Also 73% power showers are sold through trade shops. Referring to Exhibit 4 of the case, we see that for 53% of the Mixer Shower market, the plumber has a significant influence on both the type and brand of the shower to be used by the end consumer. However, in terms of the thermostatic control, the new product Quartz features a push button control for temperature Herman, 2003, p. Moreover, company is not ready to offer discounts for this product.
Moreover, company can incur their advertisement costs to promote their product. It is a good scheme to develop different merchandises based on the company nucleus engineerings for specific mark clients. Aqualisa currently has a channel of distribution in 25 percent of these shops in the United Kingdom. To demonstrate, we will definitely gain 12% of plumbers out from 10,000. Company had longstanding direct relationship with a group of plumbers. After three years of development—during which the company spent 5.
In my opinion, the new Quartz product line is experiencing a very slow adoption process probably mostly due to the stigma that has remained from other electronic showers that have failed. Customers in this segment rely on plumber recommendation and emphasize performance and service. From these things the cross dependency of issues can be seen and how they affected the product can be analyzed as well. It offers great value for both plumbers and customers, however it seems that the target market has not been carefully selected and value proposition has not been well defined and communicated. Currently, it is aiming to launch its newly researched and developed product Quartz. It will soon enter into Dogs matrix, if proper marketing channel is not prepared by the company.
They take the factor of style highly in determining their choice. However, there was a huge difference among the existing products of the company and Quartz but still the future of the previous products was in danger because of Quartz. Consumers in the premium segment typically shopped in showrooms; they took for granted high performance and service, and for them style determined their selection. Why is the Quartz shower not selling? In 1959, he opened the American Honda Motor Company, so he could fulfil his dream of building a high performance motorcycle and marketing it globally. Is Quartz a niche product or a mainstream product? But the main impediment is the lack of awareness about this brand from consumers and the reluctance from plumbers about adopting this shower. Words: 428 - Pages: 2. Alex took the control in 2001 in order to implement a process of modernization of the company.
What is the Quartz value proposition to plumbers? In this paper I will describe the legal, cultural, and ethical challenges that may confront Merrill Lynch in this case study as well as the various roles that the Japanese government will play and examine some of the strategic and operational challenges that faced the global managers Hill, 2009. Words: 1868 - Pages: 8. What should Rawlins do to generate sales momentum for the Quartz product? I suggest this because even if all the Aquastream products sold were with boosters, Aqualisa would only make 3. The new Quartz product line is experiencing a very slow adoption process probably mostly due to the stigma that has remained from other electronic showers that have failed. Aqualisa designed the Quartz system to address these issues by integrating an electronic controller into the plumbing of the shower unit.
It is safe to use for kids and elderly people. Aqualisa has three products in shower market segments. Aqualisa Quartz Subject: How to best market the new Aqualisa Quartz line of showers Problem: Aqualisa has created a superior new shower line that seems to be perfect for the needs of customers but the sales are far below expectations. Words: 2011 - Pages: 9. Further overhead expenditure is deducted from the gross margins to attain the profit.
½ day work 25% of previous time , apprentices can do work also opportunity to install more and capture some of historical 6-mo. Answer: The market base has been cut into three segment by their purchase features. Quartz Value Proposition to Consumers The Aqualisa Quartz product competes directly with the Aquavalve 609 with a supplemental booster pump. Plumbers distrust innovation Quartz Threats 1. The act of managing multiple brands is a thin tight rope walk that can help elevate a brand yet almost Just as easily diminish it.
They also dislike stiff valves, leaky seals and worn out showers. Other reason can be a negative and indifferent approach of the plumbers to try the new product. It is an investment of 5. We will like to conclude that Quartz is undoubtedly better product than the electric, mixer and power showers. However, the product is selling at a rate of 15 units per day which is well below the expected rate of 100 to 200 units a day. The others might buy from showrooms.
The two market leaders, Triton and Mira, have 30. We can get displays around the country and everyone can view its benefits through demonstration. However, to promote new product Quartz the company can lower its prices and make low profits. With reference to Exhibit 9, advertisements should not be centered on the functionality of Quartz, but on the intangible benefits such as the ease of use and safety, i. Based on the analysis, recommendations have been provided that will help Aqualisa in developing an effective marketing strategy. There were property developers, but they considered Aqualisa products as premium or pricey, unless they were premium developers. Integral power showers combined thermostatic mixer valves with booster pumps, but were considered less reliable than when installed together.