Aqualisa Quartz Case Study
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 problems and inconvenient use experiences, Quartz with it’s signigicate advantages were designed to feet their customer’s needs. The conventional shower can no longer satisigy the market demand, innovation and customer value delivery is the
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4. What should Rawlinson do to generate sales momentum for the Quartz product? Discuss the pros and cons of: a. Targeting consumers directly; b. Targeting the DIY market; c. Targeting developers? Answer: By analysing the distribution channel and pie charts Exhibit 3~5 which showcases the current market condition is highly depended by plumbers. However, the advantagies of Quartz can reduce the dependency to plumber is many expects. Less time expense, installation expenses, and is easy to install, ensure the water presure and system stability. Based on these circumstances, the Quartz can directly targeting to cusumer and get rid of plumber if only to take few steps to delivery product information and consumer experiences. Due to current limited sale channel and marketing activities (proven by Exhibit 7, Financial Statement 2000), the Quartz should refix their marketing stretage.
| |Pros |Cons |
|Targeting consumer |Build the consumer brand awareness, which|Tough to balance high-risk and high-reward |
|directly |was proven by TRITON. |strategy |
| | |Cost 3-4 million Euro and 2 years of market |