Section C Group 8 Assignment 3

1. Company: Aqualisa had always been strong in the U.K. shower market; the company was generally
recognized as having top quality showers, a premium brand, and great service. Aqualisa’s market share
ranked it number two in mixing valves and number three in the overall U.K. shower market.
STRENGTH: WEAKNESS:
1. Quartz is technologically leaps and 1. Product is costly and targets mostly premium
bound above other U.K. showers. market segments.
2. Easy to install, use and with a 2. It uses electronic technology and because of
guarantee to not break down. prior experiences plumbers were reluctant to
3. It does not require any sort of adopt it.
excavation which ultimately results 3. Aqualisa has 20 sales staff that mainly focuses
in lesser installation time. on maintaining existing accounts.
OPPORTUNITY: THREATS:
1. Remotely operated which will 1. Competitors have also started producing quality
ultimately save our time. products and services for which Aqualisa was
2. Aqualisa could get partners like B&Q recognized.
to help push the product in DIY 2. Developers are price-sensitive and Quartz was a
market. very premium product.
3. Redesign a cheaper product for 3. To promote other products such as Aquavalve
developers as they constitute 20% of along with Quartz.
shower demand.
2. Customer: Aqualisa’s customers are mainly plumbers, developers and consumers and even in that
plumbers are directly or indirectly influencing 73% of the U.K. showers market.
3. Competitors:
 Powers of suppliers: Top notch team of top industrial designer and bunch of Cambridge
scientist are their major suppliers of technology.
 Powers of buyers: As there are many alternative products in the market so the buyers enjoy high
power in terms of bargaining.
 Competitive rivalry: As there are many companies in the market so there is fierce competition
amongst them and Aqualisa is third as per U.K. market share.
 Threat of substitute: Other electric showers, power showers and archaic plumbing are the main
substitutes of Quartz.
 Threat of new entrants: As breakthroughs are rare in the shower industry, innovations are
primarily cosmetic so threat of new entrants is minimal.
4. Collaborators: Developers are one of the collaborators for whom they have customized their product
(ShowerMax). Apart from these, Trade shops, Showrooms and DIY sheds are their other collaborators.
5. Context:
 Economic: Quartz standard costs around 175€ and it has a margin of 275€ while Quartz pump
costs around 230€ and it has a margin of 345€.
 Social: Product includes various market segments like children, elderly, and handicapped too.
 Technological: It is a revolutionary product as well as future oriented.
 Environment: This product is robust, does not leak and wear out easily which leads to waste
reduction and doesn’t require quick replacement.