The Trex Company Marketing Plan
1) Executive Summary
The following document provides an in depth look at the performance and strengths of the Trex Company and the products currently offered. The end user of the products offered, are looked at in depth to give a better understanding and direction for future marketing efforts. The marketing suggestions and directions provided will help the Trex Company to continue its status as a leader into the future. 2) Company Description
Trex Company is an innovative company that combines recycled plastic and wood to provide a composite wood alternative for decking, trim, and fencing. The company is a leader in its industry providing materials made of 95% recycled materials that would otherwise lay unused in landfills. Since the company’s formation in 1996 it has become the largest manufacturer of alternative wood building products in the country. Products offered by the company not only appeal to the consumer because of its Green movement participation and awards, but also provides low maintenance and value to consumers (Trex Company Inc., 2009). 3) Strategic Focus & Plan
Trex Company is committed to providing quality and value to its customers while through innovation, makes a stand for environmental responsibility and improvement.
Trex is committed to continue providing quality materials that are economically attainable to a larger consumer market. C. Core Competency and Sustainable Competitive Advantage Trex Company is the largest creator of alternative decking, railing, trim, and fencing products in the United States (Trex Company Inc., 2009). 4) Situational Analysis
D. SWOT Analysis
The Trex Company is an innovator using recycled materials in the creation of the products offered to the consumer. Through its innovations Trex demonstrates awareness of the environment through its socially responsible manufacturing activities. The products are not only environmentally friendly but also offer a low maintenance and long life in comparison to other similar use materials. The product created by Trex goes further by having the ability to offer the product in a large variety of products and finishes. Weaknesses
High initial comparative cost of the product to traditional wood products appears to be a weakness at first glance. Extreme weather related limitations of the product cause the need for additional instillation expense. Opportunities
Appeal to the customer’s desire for a product with long-term value and performance while showing a leveling off and even declining price difference between projects created with the Trex product compared to traditional materials. Threats
Competition from existing and emerging producers of similar and traditional material companies offers to be of course a potential threat to the Trex Company. E. Industry Analysis
The industry view in the current recession is a relatively positive one. Even with the housing market down home improvement and companies offering products for such services do relatively well. The populations although not in general in a position to sell and buy new homes are much more likely to spend their funds on improving their existing property (Klein, 2009). F. Competitor Analysis
Competition although has increased over the years in so far as the number of companies that offer similar products still have not surpassed the quality and quantity provided by the Trex Company. Important here to note is the continued need to keep an eye on the competition as well as making efforts to continue to streamline production costs and continue to be vigilant of the consumers needs. G. Company Analysis
The loss from the market due to the nation’s economy brought a loss to for the company in the last year. The midyear rebound from the spring and summer month’s has renewed interest, and...
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