Aqualisa company overview Aqualisa has always had a strong reputation in the U.K. shower market‚ with the company being generally recognized as having top quality showers‚ a premium brand and great service. It was a highly profitable company and sat quite comfortably with its niche in the market. Harry Rawlinson joined the company in 1998 and believed it was vulnerable for different reasons. In the year 2000‚ Aqualisa had 18.1% of the market share in the shower industry. Aqualisa sold electric
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HBS Case: AQUALISA QUARTZ – SIMPLY A BETTER SHOWER. 1. (A) After spending 5.8 million developing the Quartz‚ the product is definitely worth the investment because (1) The Quartz is the product that answer directly to the customer needs and wants. Most consumers need and want the product that can fix the problems – poor pressure‚ fluctuations in pressure and tolerance in using. (2) Choosing a shower brand depends mostly on which brand plumbers are familiar to so with new technology of the
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segmentation of Aqualisa Quartz is focusd on Independent plumbers (Plumbers who do not work for any company)‚ End user (Self installation -> 4‚745 pound to 15‚000 pound) around 13‚550‚000 people‚ End user (Middle income -> 15‚000 pound to 30‚000 pound) around 20‚600‚000 people‚ and at last End user (High income -> 30‚000 pound and above) around 5‚770‚000 people(http://en.wikipedia.org/wiki/Income_in_the_United_Kingdom). Targeting (Differentiation targeting) Aqualisa Quartz In
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Aqualisa Quartz: Case Study 1. What is the Quartz value proposition to plumbers? What is Aqualisa Quartz value proposition to consumers? The value proposition of Aqualisa Quartz to plumbers is that it is easy to install; it is more profitable because they are able to do more installations. Because the installation process is less complicated‚ it takes less time to install (only half a day compared to 2 days previously). This gives plumbers the opportunity to install more units and capture
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strategy but not their pricing. The three options they are facing are to target consumers‚ do-it-yourselfers‚ or developers directly. While each of these options have pros and cons‚ we are recommending that the Quartz product be marketed directly to premium consumers‚ as well as directly to the consultants they will be advised by while shopping various high-end showrooms. While Aqualisa is a relatively small company‚ it has invested a great deal of time (three years of development) and money (€5
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AQUALISA QUARTZ: SIMPLY THE BEST SHOWER CASE STUDY ANALYSIS Assignment issues discussion Question-1: What is the Quartz value proposition to the plumber? To consumers? Answer: Value proposition to customer: • Efficient the reliable water pressure • Efficient and reliable temperature control. • Easy to use. This can be used by children‚ elder person as they don’t need to worry about valve adjustment. Value proposition to Plumber as follows:
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things might not be as easy as they thought. In Aqualisa case‚ Harry Rawlinson‚ managing director of Aqualisa‚ gives us an example that even with new significant shower product Quartz‚ which seems to be perfect in every aspect‚ they cannot make a relative progress in U.K. shower market. Quartz is designed to solve all the troubles that exist in U.K. showers. It provides efficient and reliable water pressure and temperature‚ needs less space in bathroom‚ has a stylish looking and is easy to use and install
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1. What type of industry environment is Aqualisa operating in? • Aqualisa is recognized as top quality‚ premium brand with great service. However‚ Aqualisa could be vulnerable due to the competitiveness of the shower marker. Other companies are catching up in terms of product quality and offering lower prices than Aqualisa. • Challenges in UK: poor plumbing‚ low pressure‚ and fluctuation in temperature. 60% of UK homes had showers Aqualisa products are able to deliver high pressure shower with
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Major decision issues in the case 1. Aqualisa has to decide its channel strategy (which channel to choose from trade shops‚ showrooms‚ DIY sheds‚ or plumbers to increase sales)‚ product promotion strategy (how to promote new product)‚ and product positioning strategy (how to position products in a segment). 2. Most of the plumbers are conservative and historically hesitant to any electronic devices in showers. So how should Aqualisa convince and make these plumbers accept Quartz showers?
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Case memo The UK shower equipment market grew by 0.1% from 2000 to 2001 to reach a value of £588 million in 2001. Market value has increased steadily ‚ totaling nearly 12% for the period 1997 to 2001. Shower products for the domestic and commercial sectors are distributed through a wide range of channels. The main distribution channel continues to be builders and plumbers merchants with the DIY multiples also holding a substantial share. Other retail channels include bathroom specialists‚ grocery
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