Some significant facts could be seen as following:
The profit of retail is the same in all product categories, the range of about 47%.
The manufacturing cost of quartz is higher than the cost of aquavalve - therefore, higher retail prices.
According to the description of the below,quartz can not onlyprovide terminal customers with good value in terms of product, function also has a price, despite of the fact that it obtains the highest price for their products.
Compared Aquavalve Value with Quartz Standard:
A representative installation of aquavalve need 1-2 days. Supposing an average of 70 per hour charge Plumber (including excavation of labour and material) installation and it needs 12 hours, the customer will pay 840, more than 390 of the retail price of a total of 1230
Summing_up
Aqualisa has developed a kind of thing that will lead to market products are facing from effectively positioning and the challenge for delivery to the final customer. Slow sales of the worry about professor Rawlinson think big'.
Leading into a new product on the market is a company's challenges, especially when customers had a bad experience with similar products before. However, we must take into account the quartz is a genius and a lot of energy and resources into the development of it, create a product, which customers“ want ”. In the past 20 years, the progress of technology was enormous, although customers worried innovation, it is impossible to sell products to their skilled. Pointed out that in this case, once the plumber used new quartz, they immediately is post purchase evaluation of purchase in favour of aqualisa. This provides the repeat business term aqualisa potential is tremendous, because the British shower market mostly replaced shower and a plumber tend to remain loyal to their choice of brand.
Aqualisa is a challenge for the effective communication of the customer, make them realize that they have developed a productto catch up with competitors
Reference
Jobber, D. (2004). Principles and Practices of Marketing,pp, 23
McGraw Hill.Youngme. M. (2003). Aqualisa Quartz: Simply a Better Shower. HBS, pp, 26
