Black and Decker
The black and decker corporation: power tools division | The Case of Black and Decker | The Marketing Plan for The Professional Tradesmen Segment Year 1991/1992 | |
Executive Summary Gary DiCamillo, Black and Decker’s president of power tools for United States, is reviewing the most recent sales records and figures indicating the professional tradesmen segment’s market share in his office. The research findings are not looking good and surprisingly, he didn’t expect otherwise. It has been almost a decade that this segment is in the bottom half of brand perception. There has not been any more vital time to understand the cause of this setback. This urgency lead him to ask Joseph Galli, the vice president of sales and marketing at Black and Decker, to conduct a thorough research to develop a marketing plan for the year 1991/1992. The new plan is developed to target the major problem in the Professional Tradesmen segment: Low market share among comparatives and no profitability. After a detailed situation and consumer analysis and evaluating the alternatives, John Galli concluded that professional tradesmen segment needs to be repositioned. After a careful product assessment, Galli realized the professional quality of items produced by B&D is above their major comparatives such as Makita and Milwakee. However, the brand is poorly differentiated from the lower grade products in the consumer segment; the segment which B&D holds the most solid market share among comparatives. The permeation of B&D in consumer segment has tarnished brand perception in professional tradesmen segment; both product lines are offered in the same color: Charcoal Grey!
Additionally, due to the already established and extensive negative recognition of professional tradesmen segment among professional buyers of power tool products tagging any product to this brand won’t generate the drastic results that B&D is pursuing.
Furthermore, it was Black and
Executive Summary Gary DiCamillo, Black and Decker’s president of power tools for United States, is reviewing the most recent sales records and figures indicating the professional tradesmen segment’s market share in his office. The research findings are not looking good and surprisingly, he didn’t expect otherwise. It has been almost a decade that this segment is in the bottom half of brand perception. There has not been any more vital time to understand the cause of this setback. This urgency lead him to ask Joseph Galli, the vice president of sales and marketing at Black and Decker, to conduct a thorough research to develop a marketing plan for the year 1991/1992. The new plan is developed to target the major problem in the Professional Tradesmen segment: Low market share among comparatives and no profitability. After a detailed situation and consumer analysis and evaluating the alternatives, John Galli concluded that professional tradesmen segment needs to be repositioned. After a careful product assessment, Galli realized the professional quality of items produced by B&D is above their major comparatives such as Makita and Milwakee. However, the brand is poorly differentiated from the lower grade products in the consumer segment; the segment which B&D holds the most solid market share among comparatives. The permeation of B&D in consumer segment has tarnished brand perception in professional tradesmen segment; both product lines are offered in the same color: Charcoal Grey!
Additionally, due to the already established and extensive negative recognition of professional tradesmen segment among professional buyers of power tool products tagging any product to this brand won’t generate the drastic results that B&D is pursuing.
Furthermore, it was Black and