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Topic: Business
Number of pages / Number of words: 2 / 444
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Therefore even educate and train the plumbers could only be the company's short-term solution. My recommendation would be at the same time of support plumbers in both technical and service lever, find a more extractive position for the product and narrowing the target segment so that the target plumbers would also be narrowed to a controllable level...


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Why Aqualisa Quartz was not selling even with high quality, strong functions, innovatory technology and is easy to install, use and design? This means, they have got "the right product" but not "the right vision".

Alternatives:

Targeting Consumers Directly

-Maximum competitive advantage as a breakthrough product

-Skip the plumbers channel in a way, at least affect consumers' choice less

-Once brand loyalty is built, maintaining the relationship is not as expensive as if build partnership with plumbers have to

-High cost in educating consumers especially through buzz campaign, therefore high risk

-Takes long time, competitive advantage/ first-entering advantage reduced

-The frequency of changing shower is not that high so that even brand loyalty is built, the cost is comparatively higher while the profit is lower than daily commodity

Targeting Do-It-Yourselfers

-Easy to install, inexpensive, with largest market share (Exhibit 2 & 6)

-Cooperate with retail outlets such as B&Q to get significant sale with low promotion cost

-Almost no effect from plumbers

-Hurt the high-end position of the brand

-Have negative effect on the sale of Gainsborough

Targeting Developers

-Enlarge the distribution channel, directly increase the sales

-Force plumbers learn how to install the product and reduce their influence on consumers

-Strong the positive effect on consumer through plumbers (Exhibit 3& 5)

-Takes long time to reach consumers, eventually lose competitive/ first-entering advantage

-Profit has to be share

Recommendation:

Aqulisa seems have used almost all the distribution channels to reach the consumer...


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