Rawlinson Case
Executive Summary: Rawlinson is considering whether to change marketing strategy for the Quartz in order to sell 100 or 200 a day to break through the mainstream. To generate sales momentum, most important, Rawlinson should come up with tactics to encourage product trial by plumbers; secondly, demonstrate product benefit to consumer, and build premium image and sales channel with luxury property developer.
Situation Analysis:
Company: Rawlinson believed Aqualisa’s profit advantage is vulnerable because of the vanishing product/quality difference. Therefore, Rawlinson initiated product research and development to come up with the Quartz shower - a breakthrough technology far preceded other U.K. showers, which satisfied all of the consumer’s …show more content…
| * Pricing too high to most property developers. |
Collaborator | Plumber | * A single brand to create expertise. * Like to familiarize with the service expected from a manufacture. | | * Quick and easy to install | * Reluctant to switch brand because of unknown performance. * Distrust innovation. | | Aualisa’s Sales team | * Avoid product cannibalization with current Aquavalve 609 | | | * To sell Quartz, sales have to point out deficiencies in existing products. …show more content…
In other words, plumbers are influencer and decision-maker when selecting for mixer showers. They liked to be loyal to a single brand and distrust innovation, one of the key factors contributed to unsatisfied sales performance in the first four months since Quartz launched in the market. Additionally, Quartz priced too high to be accepted by Do-It-Yourselfers and property developers (except for luxury property developers) in which price-sensitive weights in the decision making process. Moreover, Quartz wasn’t positioned clearly inside the company so that sales team’s reluctant to sell Quartz.
Competition: Triton and Mira are Aqualisa’s key competitors in terms of overall shares in the shower market. Triton was dominant in Electric Showers segment. Therefore, Aqualisa didn’t compete with Triton in the same product segment (Aqualisa’s market share ranked it No. 2 in mixer shower segment), while compete head to head with Mira in Special shower segment. According to Exhibit 2, Aqualisa’s market share in Mixer shower segment was only more than a half of Mira’s (20.8% vs. 36.4%). It’s possible to grab some shares from Mira with superior technology and advertising
Situation Analysis:
Company: Rawlinson believed Aqualisa’s profit advantage is vulnerable because of the vanishing product/quality difference. Therefore, Rawlinson initiated product research and development to come up with the Quartz shower - a breakthrough technology far preceded other U.K. showers, which satisfied all of the consumer’s …show more content…
| * Pricing too high to most property developers. |
Collaborator | Plumber | * A single brand to create expertise. * Like to familiarize with the service expected from a manufacture. | | * Quick and easy to install | * Reluctant to switch brand because of unknown performance. * Distrust innovation. | | Aualisa’s Sales team | * Avoid product cannibalization with current Aquavalve 609 | | | * To sell Quartz, sales have to point out deficiencies in existing products. …show more content…
In other words, plumbers are influencer and decision-maker when selecting for mixer showers. They liked to be loyal to a single brand and distrust innovation, one of the key factors contributed to unsatisfied sales performance in the first four months since Quartz launched in the market. Additionally, Quartz priced too high to be accepted by Do-It-Yourselfers and property developers (except for luxury property developers) in which price-sensitive weights in the decision making process. Moreover, Quartz wasn’t positioned clearly inside the company so that sales team’s reluctant to sell Quartz.
Competition: Triton and Mira are Aqualisa’s key competitors in terms of overall shares in the shower market. Triton was dominant in Electric Showers segment. Therefore, Aqualisa didn’t compete with Triton in the same product segment (Aqualisa’s market share ranked it No. 2 in mixer shower segment), while compete head to head with Mira in Special shower segment. According to Exhibit 2, Aqualisa’s market share in Mixer shower segment was only more than a half of Mira’s (20.8% vs. 36.4%). It’s possible to grab some shares from Mira with superior technology and advertising