saFrom: Milena Gueorguieva
To: Professor Malaviya – Marketing Management
Case: Aqualisa
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Date: December 2, 2010

Main Problem:
Aqualisa creates a new breakthrough shower- the Quartz. The product has significant improvements when compared with the other existing products on the market, such as: * Efficient and reliable water pressure and temperature * One touch control on the wall * Light signaling the right temperature is achieved etc * Installation of the Quartz was about half a day (vs. 2 days for other showers)
Survey shows that consumers and plumbers loved the product. However, initial sales are low, mainly due to low consumer awareness and plumbers’ reluctance to new products.

Where does the problem lie in the funnel?
Consumers are uninformed about showers, with little understanding of the products options. Thus, plumbers have a greater influence when selecting the brand, as only in 27% of the times consumers select type and brand of the shower, otherwise plumbers influence on the purchase. Lack of knowledge leads to lack of brand awareness.

Options: 1. Targeting consumers directly:
-Expensive to have a proper ad campaign (costs 3 to 4 M Euro)
- The consumers decide only 27% of the time (ex 4)
+Consumers could become more brand aware
+Easier to reach consumers than plumbers 2. Targeting Do-It- Yourselfers
-Lower-end part of the market thus will be price conscious, have to lower prices
-The brand will be perceived as a lower quality brand, due to the new niche market
+Could “push” the product through partnership (B&Q) thus have lower costs than running an ad campaign
-Cannibalize the Gainsborough brand
+they are a large portion of the market about (1/3) (ex 6) 3. Targeting Developers
+Large volume channel, need only e few developers
+Force plumbers