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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‘Aqualisa Quartz: Simply a Better Shower’ Protagonist in the case: Harry Rawlinson‚ Managing Director of Aqualisa Case Situation: Aqualisa Quartz‚ a significantly innovative product developed by Aqualisa‚ in terms of both cost and quality‚ has been facing challenges in the UK shower market since its much hyped launch four months ago. To generate sales momentum‚ Rawlinson was rethinking his overall marketing strategy for Quartz in order to capture the market with the breakthrough product.
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I took into consideration the problem of Aqualisa Quartz shower line and found out how to solve it‚ how to make an enormous problem to become an opportunity instead. This company made a great job with it’s research and creation of product that takes advantage on it’s competitors by giving everything to needs of the customers. But the problem is there is no connection between plumbers and customers. Also sales are affected by bad experience of customers with previous products. So‚ customers don’t
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HBS CASE: AQUALISA QUARTZ – SIMPLY A BETTER SHOWER 1. Aqualisa spent three years and €5.8 million developing the Quartz. Was the product worth the investment? Is Quartz a niche product or a mainstream product? What is the Quartz value proposition to plumbers? To consumers? Answer: In my personal opion‚ it was worth for the Aqualisa to spend three years and €5.8 million developing the Quartz because of the tremendous potential market demands. For 60% of families had shower with lot of mechanical
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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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Introduction: Every company dreams that one day they can bring something unique and very competitive‚ and use it to dominate the market. But 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
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In 2001 Aqualisa created a new product‚ Quartz‚ which they felt revolutionized the shower industry. Much to their dismay the new product was having a difficult time selling. After analyzing their marketing strategy I have found several reasons for the Quartz low sales volumes. 1. Placement in premium segment 2. Poor marketing to customers‚ plumbers. 3. Small retail network When launching the new product‚ Aqualisa decided that Quartz should be placed in the premium segment.
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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 Study Aqualisa Quartz: Simply a Better Shower Quartz Value Proposition – Plumbers What Plumbers wanted • Ease of installation • Quality product with minimal breakdowns • Service free (minimal service requirement) Product Benefits • Flexible location of the controller unit requires minimal remodeling of the bathroom making shower installation simple‚ cutting the installation time to half a day Value Proposition Quick and easy installation requiring only basic skills (more installations
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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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