 Jen Moritz grimaced as she reviewed the February 2007 sales report for her company’s new Coracle

product.
 In September 2006, Soren Chemical had launched Coracle, a new water clarifier for use in small
recreational and household swimming pools.
 The volume target was 50,000 gallons (100,000 units) sold just 3,725 gallons, or 7,450 units.
 Coracle had been budgeted at $1.5 million in sales for the year, but so far Soren had sold a very
disappointing $111,000.

Product Background

Kailan MW and Coracle are “flocculants,” chemicals that cause suspended particles in liquids to

agglomerate into larger, heavier particles called “flocs.” They are particularly effective for

microscopic particles that cannot be removed through physical filtration alone. Used under the

appropriate pH, temperature, and salinity conditions, flocculating agents react with water to form

insoluble hydroxides that physically trap small particles into the floc.

Soren Chemical is the company that produces Coracle, targeting the residential pools segment.
Jen Moritz is the marketing manager in the Water Treatment Products department. She is
responsible for the sales target set for Coracle. Jen Moritz major problem is to increase the
sales to exceed the target.

Q1: what is the addressable market size for the Coracle?

Answering...

 9M residential pools all of which required regular maintenance and cleaning

 average cost per year at retail price = 50$
 25% of consumers regularly using clarifiers product
 Moritz identified three leading competitors for residential pool-use clarifiers:
Keystone Chemicals, Kymera, and Jackson Laboratories.
 one competitor's share = 15% to 20%, average 18% there are 3 competitors,
therefore >53%

Residential pool clarifier market: 9M*50$*25% = 112500000

TAM: 112500000*47% = 52Mn

Situation/problem analysis
 increase consumer awareness (correctly define the market potential, study the
consumer psyche & behavior);
 induce positive attitudes among pool service professionals & residential pool
owners;
 pay more attention to the distributor issue.

 9 months of sales are available to Coracle;

 first year expected sales = 50,000, expected sales per month = 5,555 gallons;
 actual sales till February = 3,725 gallons, when expected sales = 33,330 gallons.

Sales achieved = 11%.

Problem Statement Soren Chemical produces industrial strength chemicals,

cleaning solutions, and chemical solutions for treating water. Since it’s
founding in 1942, Soren has operated as a business-to-business company.
They have recently introduced Coracle, a pool clarifier aimed at the
consumer market. The goal for first year sales is $1.5 million. At 6 months,
sales of Coracle are just $111,000. 
Strategy

Decision Criteria With the selling season for residential pool chemicals almost
over, Soren must make its decision on a push and pull strategy to best salvage
what remains of the current year and position Coracle for next year’s selling
season.

Reaching the goal of $1.5 million in sales of Coracle has become increasingly
unrealistic, so it is important to at least see more improvement in the amount
of sales for the rest of the year.

Because of such poor sales performance in the first half of the year, Soren
must choose the channel management strategy requires minimal investment
and best creates a chance for Coracle to be in greater demand going into year
two.
lack of experience in business-to-consumer marketing is apparent in Soren’s
current communications to end-users.

The consumer market also appears to be minimally price-sensitive, as

communications regarding annual savings are