Aqualisa

The Aqualisa Company is currently in the late growth or early mature stage of the product life cycle. Evidence: - Accessories accounted for 32% of total sales (this is a strategy when you are in a mature market) (Exhibit 7). Improvements to the product aesthetics. Many versions of their products and product lines With limited amount of distribution across the three different channels (showrooms, tradeshows, DIY), allowing space for improvements.

Implications: - Pricing strategy: Maintain prices to defend market share. Promotion strategy: Inform and educate. Stress competitive differences. Place Strategy: Increase distribution in showrooms and trade shops Product Strategy: Maintain product range to avoid confusion.

Quartz

The Quartz technology is currently in the introduction stage of the product life cycle. Evidence: - Low product awareness as indicated by slow sales of 15 units per day currently. First of its kind. 4 months since its release. Still too early to tell. Lack of product knowledge suggesting a need to inform and educate consumers/plumbers about it. Lack of sales momentum.

Implications: - Price Strategy: Cost-plus pricing. This pricing strategy calculates the production costs and adds on a percentage (profit) to that price, giving the selling price. Promotion Strategy: Build product awareness amongst early-adopters and dealers. Two-pronged approach to both B2B and B2C. Place Strategy: Selective distribution to showrooms and trade shops only to maintain the niche image of the product. Product Strategy: Maintain.

Loyalty Ladder Clients to Supporters: Customers (Plumbers are the main consumers) are still in the client category. Give them a larger credit line. Trial Programs Guarantees: Defects are Aqualisas responsibility. Not that of plumbers.

Supporters to Advocate: Advocate to Partners:

Disconfirmation of Expectation Theory

Congitive Dissonance Consumers expected the product as being high quality and high price before purchase. Moderate levels of performance are seen with the 10% defective rate, which is higher than the 5% average. There is a gap between actual and expected performance, causing disconfirmation. This will result in slight dissatisfaction amongst targeted consumers.

BCG Matrix

Quartz Question Mark They are still new to the market (4 months since introduction only) New of its kind in the shower category. Lack of product sales (15 units per day sold). If marketed properly, it has the potential to become a star.

Aqualisa Star 5 to 10% market growth, which is considered relatively high for a company operating in a mature market. 4th largest market share in terms of total units sold. Aquavalve accounted for 50% of Aqualisas total sales.

ShowerMax Question Mark A niche market comprising of property developers only, reflecting a low market share High potential market growth

Gainsborough Star

Accounted for 3rd highest number of units sold. Growth in DIY sector where Gainsborough is mainly stocked.

Perceptual Map

Quality Aqualisa Quartz

Gainsborough

ShowerMax

Price