Aqualisa Quartz: Simply a Better Shower Harvard Case Solution & Analysis

Aqualisa Quartz: Simply a Better Shower Case Study Solution

Additional factors affecting how to approach the market

The company could prioritize the trade shops due to the fact that education can be provided to them through such channel. The education of plumbers to the product utilization is a pull strategy. Such strategy would be primordial for the purpose of keeping a long term and strong relationship with the plumbers and trade shops.

The company need to make sales plan and objectives in which the main objectives should be defined in terms of maximizing the market share through the active sales plan as well as a marketing campaign. To do so, the company need to sell the particular number of showers during the specific period of time.

Map/ link

Brand Customer segment What customers looking for Channel of distribution
1.      Aquastyle

2.      Quartz standard

3.      Quartz pumped

4.      Aquaforce 2.0/3.0 bar

Premium High performance and service

Style determined the selection

Showrooms
     Gainsborough DIY customers Inexpensive and easy to install models

Prefer electric showers

 

Large retail outlets
Aquavalve value

Aquastream manual

Value Convenience for installation

Low price criteria

 

Trade shops

Main obstacles to Rawlinson

Aqualisa had not considerably focused on improving its marketing role, hence not create the brand awareness amongst customers in the market. In spite of offering the product for the affluent customers, it has only been available on the 25 percent of the total showrooms in the United Kingdom. Rawlison has contemplated to sell at least 100 to 200 units each day.

The main obstacles are discussed below;

  1. Quartz with its best-in-class features might have generate profit returns for the company but the availability of thousands of showroom’s variety have created obstacles for the Rawlinson. The company has placed the product in only 25 percent of the showrooms and targeted only wealthy class. Hence overestimated the returns generated by selling the product in the market through showroom.
  2. The company has no put major emphasis on plumbers which impacts the purchasing decision of customers.
  3. Another obstacle is that the company has to set the price which would gather the largest customer base, which in turn would allow the company to sacrifice the little margin over price of the product but to grab more customers and make returns in long run.
  4. Additionally, Rawlinson had to take strategic decisions related to promotion, distribution channel and pricing to be present in the target’s subconscious.

Recommendations to Rawlinson to generate sales momentum

Aqualisa need to position itself to be attractive and competitive in the market.  First of all, it is important to change the notion of the company to increase in the quartz sales without affecting the sales of other mainstream product offered by Aqualisa. The company should target the trade shops, showrooms and plumbers because of the fact that the 73 percent of customers are highly influenced by the plumbers. Additionally, the company should develop certification training incentive with the plumbers. Not only this, the company should make incentive program for the plumbers.

The customer can be targeted through advertisement such as broachers and hoardings can be used to create awareness of the brand amongst customers. Such type of advertisement are inexpensive when compared to TV advertisement.

Rawlinson’s pedigree “Harvard”

The Rawlinson pedigree Harvard has helped him in exploiting the market opportunity before the competitors and to disrupt the market with the quality product. He had learned to think big and always strives to maximize the market share through product development and product innovation. One should cater the needs of customers through creating more effective products, ideas and processes. Shortly, the pedigree Harvard would help him in strategizing the plans of strengthening the market image, establishing the product or service loyalty and generating healthy profit returns.

Rawlinson’s S/T and L/T plans

The short term plan of Rawlinson is to target the plumbers due to the fact that they influence the customers most as well as brings highest sales percentage through either purchasing from trade shops or Aqualisa directly. By targeting pivotal influencer plumbers, the company would be able to build strong, positive relationship and long term bond with them as the plumbers remain loyal to the brand in which they gain enough knowledge and expertise. This would help the company in generating the sufficient cash flow for the future. Quartz could be installed in ¼ the time of the traditional shower which in turn would allow the plumbers to generate more money.

The long term plan of the company is to target showrooms because of their premium status in the market. The company can use such channel of distribution to target the high end customers who are not price sensitive.  The customers could be educated in store through demonstrations. The trade showroom carries those product which cannot be found easily elsewhere and the cut the advertisement costs.

Performing as Rawlinson

If I would be at the place of Rawlinson, I would give free Quartz shower to the plumbers or I would be selling some promotional showers to plumbers directly at discounted price. I would also donate some showers to the elderly homes and schools where the apprentice would be practicing on them and customer would become aware of the brand and use it.

Not only this, I would educate the sales force on keep focusing on new customers and target plumbers. I would keep customer updated with the news on the regular basis either by creating a special loyalty club or sending newsletter over mail to them. I would also increases the percentage of showrooms as well as offer additional accessories which could be provided with the showers.

Additional questions or points to be considered

The additional questions are listed below;

  1. How would the company sustain its position in the highly competitive market arena?
  2. How would you characterize Aqualisa Quartz growth and innovative strategy?
  3. How did innovation create value for the company?
  4. Has Aqualisa Quartz created a platform for sustained profitable growth?
  5. What do you foresee as potential challenges for Aqualisa Quartz in its future growth?

Exhibit A –Quartz value proposition

 

Plumbers

      Easy to install and use

More profitable

Takes half day to install

Apprentice can do the installation

 

 

Customers

      Reliable and efficient water temperature and pressure

Safe to use for elder and kids

One touch control

Excellent design and aesthetics

Exhibit B – Quartz breakthrough product

Exhibit C – Issues in UK shower market

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