How do

people
bath??
Today, lets travel to UK
100% of the population has
bathtubs
60% of the population
has showers
& one of the leading shower making
company is
Case Overview
Aqualisa is a UK shower manufacturer: a strong
reputation, a premium brand & great service.

Aqualisa has invested 5.8 million to develop a
breakthrough product (May 2001), the Quartz
shower that positions itself superiorly in terms of
quality, technology, design and ease of
installation.

Marketing strategy to generate sales momentum
for Aqualisa Quartz??

Problems in UK Shower
Market
Fluctuations
in
temperature
Low
Pressure
Archaic
Plumbing
Consumers
Consumer did not like!
Poor Pressure

Varying Temperature

Shower broke down or went wrong

Hard-to-turn valves, leaky seals, and worn-
out showers.
( Hence, almost half the U.K. shower market
consisted of sales of replacement showers)

Consumers were generally uninformed
about showers.

Little understanding of product
options

Low Brand awareness

Lump sum prices for consumers

Unaware about cost break down
(labor, material, excavation, etc).
Product Price Place / Distribution Promotion
Showers with Various
categories.
Type of Shower :
- Electric Shower
- Mixer Shower
- Power Shower

Premium
Standard
Middle-Low
Trade Shop
Distributor
Showrooms
DIY Outlets


Advertisement
(ex. Brochure)
Web
Product & Price
Premium Segment Consumer :
- Shopped in showrooms
- Granted high performance and service
- Style determined selection
Do-it-yourselfers Segment :
- Shopped at large retail outlets
- Interested in inexpensive models that were easy
to install, even though bulky and unattractive
- Overwhelming choice : Electric showers
- Popular among landlords & apartment dwellers
Standard price Segment :
- Emphasize performance and service
- Product selection rely on plumber
Pricing Segment
Value Segment :
- Concern with convenience and price
- Avoid solutions that required any excavation
- Product selection rely on plumber
- Concerned with convenience and price
Channels of Distribution
High loyalty to product Plumbers
73% sales came from plumbers
Advice a brand for consumer
Plumbers
Preferred to carry high-end product lines and brands
Various shower and bath options
Offered installation services by subcontracting
The Aqualisa brand was sold in about 25% of them.
Showroom
Carried products across all available brands
Their primary customer was the plumber
The Aqualisa brand was available in 40% of trade shops
Trade Shop
Offered discount, mass market, do-it-yourself products DIY
Cheaper and easier to retrofit
The Gainsborough brand was available in 70% of DIY Sheds
DlY Shed
Plumbers
Had high technical expertise.
Strong influence on consumers.
Consumers often had to wait six months due to
shortage
Charge about 40 to 80 per hour.
Plumbers Electronic Syndrome:
Loyal to single brand
Distrusted innovation cause Quartz failure in the
market.
Quartz the Breakthrough Product
Remote
Processor
A single
hole
drilling
Efficient &
Reliable
Water
Pressure
One
Touch
Control
The are 2 versions:
The Quartz Standard Shower
The Quartz Pumped Shower






With Quartz technology:
Installation time of a half-day
Plumbers were finding that the install
was so straightforward
The Quartz shower provided efficient
and reliable water pressure and
temperature one touch control
the temperature control is automatic


To install the Quartz shower:
the plumber had to identify a physical
space to accommodate the remote
processor
The processor contained the
thermostatic mixing valve and pump
The device could be mounted
horizontally, vertically, or on its side,
depending on space constraints

VALUE


PLUMBERS
Easy to install
More profitable able to do more installation
Take 0.5 day to install which is only 25% of previous times
Even apprentice can do the installation



CONSUMERS
Efficient and reliable water pressure and temperature
Safe to use for kids and elder people
One touch control with red light indicator
Much easier to install for DIY sector
Excellent design and aesthetics, which increases
ownership pride
Quartz Value Proposition
Initial Promotion
Curtain raisers at major shows like Bathroom
Expo: awarded top prize!
Demonstrations & Press Events
Highly appreciated by the press on its
cleverness and elegant design
Featured on the covers of trade journals

The Problem
Quartz Sale have not met
expectation
Low awareness
Plumbers technology
syndrome
Expensive
Why sales of
quartz is low
People
Unaware
Less
Advertisement
Not available in
their Market
Aware
Plumber
Reluctance
Electronic
Syndrome
High Charges
Perception
For Premium
Market only
Complicated
Durability
Product
Pricing
Highly Priced
Not
withstanding
Competitors
Major Use
Replacement
Lack of Internal
Support
Reveals
weakness in
their own
products
Poor trust in the
product

The Issue Tree
Marketing Strategy
Targeting Customer
directly
Target customers
with this product
and try to build a
consumer brand
like Triton.
Targeting DIY
Try to explore
deeply because
they were
primarily
interested in
inexpensive
models that were
easy to install,
even though the
products were
unattractive
Targeting
Developers
This alternative
could conceivably
be a large volume
channel, because
of developers on
board, they
would sell a lot of
showers
Target Trade shops
and Plumbers
Plumbers are the
major seller and
influencer in the
Shower product
Sales .
Save the
advertisement
cost
Individual Developers Plumbers
Premium
&Standard
DIY Price Sensitive Dont like
innovation
Low brand
awareness
Change premium
brand perception
Small market Costly to
convert
Independent of
plumber
influence
Large market



Influence plumber
Largest market
share
Premium brand
recognition
Cheaper Strong
influence to
customer


C
O
S
T

B
E
N
E
F
I
T
Cost and Benefit
Pros
Target consumers directly, essentially a pull strategy, and build a
consumer brand.
Will be able to better compete against Triton, the market leader.
Cons
A costly strategy for Aqualisa.
Must be consistent to be effective (out of sight, out of mind).
Pros
Gainsborough already successful in this category and Aqualisa
could take advantage of its channels of distributions.
DIY may be willing to pay a premium because of its ease of
installation.
Cons
Expensive consumer advertising.
Must be consistent to be effective (out of sight, out of mind).
Potential cannibalization.
Pros
Could sell in large volume.
Dealing with developers could simplify sales and make it less costly
for Aqualisa.
Will force plumbers to familiarize themselves with the product.
Cons
It could take time for the product to get to consumers.
Could be a tough sell due to premium price.
Only represents 15% of the market.
Pros
Plumbers have direct contact with final consumer.
54% of mixer showers installations are done by plumbers, and trade
shops represent 46.7% of the UK shower market
Plumbers have big influence on decision making process.

Cons
Plumbers distrust innovation.
Plumbers may be difficult to sway and could take time to change
their perception.
Trade shops carry other brands.
Quartz sales are expected to reach 184,500,000 (most likely scenario),
which is 4 times Aqualisas current sales.
Plumbers will become interested because they can become 4 times more
productive and 2 times more profitable.
Consumers will become interested because they can get a better product
for their money: a premium product with more benefits for less, and will
experience less discomfort.
Aqualisa will develop and strengthen its relationship within the
distribution channels and establish long-term bonds.
Product awareness and knowledge of its benefits will increase.






36%
8%
47%
9%
UK Shower Market (Total Units Sold, 2000)
Do-It-Yourself Sheds Showrooms Trade Shops Other (Electrical wholesalers)

CRITERIA
WEIGHT OF CRITERIA
30% 20% 20% 15% 15% 100%
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ALTERNATIVES

Target Trade Shops and Plumbers 8 9 7 8 3 7.25
Target DIY 6 3 5 7 3 4.90
Target Consumers Directly 6 3 5 7 2 4.75
Target Developers 3 4 2 4 6 3.60
Conclusion

Create an intensive Marketing communicating
campaign to target market (consumer) & target
influencer (plumbers)

Focus in premium market shower to increase their
sales in Quartz product

Enhance market research to find what customer wants
and needs of shower products really are
Thank You..!
Group 6 Wikreate

Akshay Hiremath
Nimisha Nasa
Rahul Joshi
Saurabh Wankhade
Swati Singla