Rohm and Haas Case Study
1. Purpose of the Report:
Joan Macey, the Rohm and Haas market manager for Metalworking Fluid Biocides, was reviewing the marketing approach for the recently introduced Kathon MWX maintenance biocide. Rohm and Haas is one of several manufacturers that develop liquid biocide chemicals for eliminating microorganisms in metalworking fluids. The company currently manufactures the Kathon 886 MW concentrate biocide, the leading biocide in the concentrate biocide market. Kathon 886 MW is a very powerful concentrate used for large-capacity reservoir systems (above 1,000 gallons) and is too powerful for small fluid reservoirs. As a result, the company developed the Kathon MWX maintenance biocide for use in small-capacity tanks (less than 1,000 gallons). The problem is the new product is not selling as expected and Joan is not sure why. The purpose of this analysis is to:
• Evaluate the strengths and weaknesses of the current marketing plan
• Recommend whether the current marketing strategy should be continued, rejected, or modified
2. Recommendations:
Continue with the current marketing strategy with the following changes:
• Establish a fixed price for end-users
• Provide product demonstrations at customer businesses with free samples
• Develop a follow-up survey for customers using free samples and develop a call back system to ensure distributors follow up on leads
• Demonstrate the product at trade shows
• Develop a new print advertisement with a cost / benefit analysis where typical household disinfectants are used in place of a maintenance biocide o Display the savings opportunity prominently on the advertisement o Explicitly state the safety and ease of use on the product o Keep the advertisement short – minimize word usage
• Allow formulators to privately brand using a fixed specification that cannot be deviated from
3. Analysis:
Market / Customer Analysis:
The maintenance biocide market is a $38 million industry