The case discusses Aqualisa's Quartz shower, launched in 2001, which offered innovative features but faced initial sales challenges due to market misalignment and plumber reluctance to adopt new technology. The U.K. shower market is segmented into electric, mixer, and power showers, with plumbers significantly influencing consumer choices. Recommendations include targeting property developers and building partnerships with plumbers to enhance product acceptance and boost sales.
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Task 1 - Aqualisa Quartz
The case discusses Aqualisa's Quartz shower, launched in 2001, which offered innovative features but faced initial sales challenges due to market misalignment and plumber reluctance to adopt new technology. The U.K. shower market is segmented into electric, mixer, and power showers, with plumbers significantly influencing consumer choices. Recommendations include targeting property developers and building partnerships with plumbers to enhance product acceptance and boost sales.
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Arya Pradipta
29124132
Aqualisa Quartz : Simply a Better Shower
What I learn from the case is that Harry Rawlinson wanted to increase the sales of the Quartz shower, an innovative product from Aqualisa that launched in 2001. It was a breakthrough in shower technology. It provided efficient and reliable water pressure and temperature. Besides, the shower installation took less time than that in traditional shower. Last but not least, it had an elegant design and a “one-touch” button. However, at the time it was launched, some features and price of the product did not match with the majority of existing market. In the U.K. population, only 60% of U.K. homes had showers, which are categorized into three types. First are electric showers. It was the most popular in the U.K. since it was cheaper than other kinds of showers and commonly sold in the do-it-yourself (DIY) markets, a popular market in the U.K. Aqualisa sold electric showers under a brand name “Gainsborough”. Second was mixer shower valves and it was the second most popular. However, it took two days to install a mixer valve. Aquavalve 609 was Aqualisa’s core product and top-selling shower by far. Lastly were integral power showers. Though it provided up to 18 litters of blended water per minuted, they had a bulky box and being perceived as less reliable than two other kinds of shower. Those showers were sold through tree kinds of distribution channels; trade shops, showrooms, and DIY Sheds. In addition, there was a significant property developer market in the U.K. Aqualisa sold to developers under its ShowerMax brand, which is an adjustment from the Aquavalve technology. Demographically, shower buyers in the U.K. tended to fall into three pricing segments: premium, standard, and value. Consumers in the premium segment usually shopped in showrooms and they look for style. In the standard segment, they emphasize on performance and service and relied on an independent plumber. In the value segment, they concerned with convenience and price and also relied on an independent plumber. In the U.K., independent plumbers are very popular and there were approximately 10,000 master plumbers in the U.K. According to Exhibit 4 “Shower Selection for Mixer Showers”, almost 73% of shower selection was influenced by plumbers’ advice. For plumbers, they preferred to be loyal into one brand and were extremely reluctant to switch. Besides, they also distrusted innovation. When Aqualisa Quarts was launch, initial sales were far below expected. Part of the problem was plumbers insisted on innovation, especially on electronic innovation. It would take a long time for them to adopt a new innovation. In addition, since Quarts was superior in almost all aspect, salesman have to point out deficiencies in Aqualisa’ existing product. So far, marketing Quarts in the showrooms were most suitable. However, sales size in showroom market was small while the company want to boost Quartz performance much higher. In my opinion, I suggest that the company could target developers to help and collaborate to sell Quartz, since there was a significant property developer market in the U.K. In addition, I suggest that Aqualisa could embrace partnership with plumbers, along with persuade and educate them to be familiar with Quartz. Most shower installation and selection in the U.K. were influenced by plumbers’ advice, thus if the company could get close with some of the respected plumbers, perhaps it could help to boost Quartz sales.