Aqualisa Quartz Case Study
1. What is the Quartz value proposition to plumbers? To Consumers? To plumbers:
a. Very easy to install - 'push-fit-connect-you're done'
b. More profitable
i. ½ day work (25% of previous time), apprentices can do work also. Opportunity to install more and capture some of historical 6-month wait list ii. on average, plumbers do 40 to 50 a year (generally 2-day job), but generally without reducing profit, will be able to do many more To consumers:
c. Efficient and reliable water pressure and temperature
d. One touch control with red light indicator
e. Much easier to install for DIY sector
2. Why is the Quartz shower not selling?
a. Reluctance of plumbers to switch; mostly due to stigma of other innovative options that failed or required repairs, affecting consumers. b. Possibly overpriced
c. Really only gaining traction in the showrooms, concern about cannibalism (and bringing down value) of other products
3. Aqualisa spent three years and 5.8 million developing the Quartz. Was the product worth the investment? Is Quartz a niche product or a mainstream product? a. Yes, worth the investment, because technologically innovative. Early test results showed consumers loved the product. Consumers are currently relatively uninformed and there was little understanding of product options. b. Mainstream, superior product and resolves all issues:
i. Poor pressure
ii. Varying temperature
iii. Break after a while
4. What should Rawlinson do to generate sales momentum for the Quartz product? Should he change his marketing strategy to target consumers directly, target the DIY market, or target developers? Should he lower the price of the Quartz? Or should he do something different altogether?
Targeting the correct market is crucial to solve the problem. With this in mind, there are 4 alternative marketing strategies. The first option is to target the consumers directly. This is a high risk option. Firstly, it requires a...
Please join StudyMode to read the full document