Aqualisa Quartz Case Analysis
Major decision issues in the case
1. Aqualisa has to decide its channel strategy (which channel to choose from trade shops, showrooms, DIY sheds, or plumbers to increase sales), product promotion strategy (how to promote new product), and product positioning strategy (how to position products in a segment).
2. Most of the plumbers are conservative and historically hesitant to any electronic devices in showers. So how should Aqualisa convince and make these plumbers accept Quartz showers?
3. Whether it should target “do-it-yourself” market since installation of Quartz is very simple? Customers have to wait for 6 months often to get plumber services. So the simplicity in Quartz installation can be used as its selling point to target “do-it-yourself” market. But associating a premium product like Quartz with a channel which sells lower brand like Gainsborough is good for Quartz?
4. Should company target developers more aggressively to push Quartz since it could get some large-volume deal with developers? Whether Aqualisa should offer discounts in prices to promote Quartz to developers?
5. Should Aqualisa target customer directly and try to influence them since it is facing many problems reaching to plumbers and convincing them for superior quality and service of Quartz shower. But a large scale marketing campaign may cost around €3 to €4 million. Is this investment worth and good strategy?
6. The newly launched Quartz is in mixer segment in which Aqualisa already have their star product named Aquavalve. So the positioning of Quartz and Aquavalve has to be sorted out if both products have to coexist together in same segment. Otherwise sales team is confused and not sure about the future of Aquavalve. Also, when to target Quartz and when to target Aquavalve is not clear.
Recommendation/inferences on the major issues
1. Quartz is really innovative and path breaking product in terms of installation, reliability, and easy of use. It should be placed
1. Aqualisa has to decide its channel strategy (which channel to choose from trade shops, showrooms, DIY sheds, or plumbers to increase sales), product promotion strategy (how to promote new product), and product positioning strategy (how to position products in a segment).
2. Most of the plumbers are conservative and historically hesitant to any electronic devices in showers. So how should Aqualisa convince and make these plumbers accept Quartz showers?
3. Whether it should target “do-it-yourself” market since installation of Quartz is very simple? Customers have to wait for 6 months often to get plumber services. So the simplicity in Quartz installation can be used as its selling point to target “do-it-yourself” market. But associating a premium product like Quartz with a channel which sells lower brand like Gainsborough is good for Quartz?
4. Should company target developers more aggressively to push Quartz since it could get some large-volume deal with developers? Whether Aqualisa should offer discounts in prices to promote Quartz to developers?
5. Should Aqualisa target customer directly and try to influence them since it is facing many problems reaching to plumbers and convincing them for superior quality and service of Quartz shower. But a large scale marketing campaign may cost around €3 to €4 million. Is this investment worth and good strategy?
6. The newly launched Quartz is in mixer segment in which Aqualisa already have their star product named Aquavalve. So the positioning of Quartz and Aquavalve has to be sorted out if both products have to coexist together in same segment. Otherwise sales team is confused and not sure about the future of Aquavalve. Also, when to target Quartz and when to target Aquavalve is not clear.
Recommendation/inferences on the major issues
1. Quartz is really innovative and path breaking product in terms of installation, reliability, and easy of use. It should be placed