Essay About Core Product And Different Experiment

Analysis of Biolite
Analysis of BioLiteBioLite has one core product it sells in a few forms: stoves that use fuels like wood but burn much hotter and with less smoke than traditional fires, as well as converting excess heat into useable electricity. The target market of BioLite are outdoor recreationalists and low-income households in emerging markets who are looking for reliable, safe access to energy. The major challenge for the company was that the majority of their target customers didn’t know the product existed and they were located outside of retail supply stores. These challenges forced BioLite to reevaluate their approach and customize their sales methods to a market that demands an entirely different way of doing business. The company tried out different experiment to push their product to the target market. The first experiment was based on place one of 4P’s of marketing where the product was placed in Handi shops, small storefronts that sell cooking supplies in absence of retail stores. The lack of knowledge about the operation, use and benefits of the product was the major issue here. With no one in the store to demonstrate the HomeStove in real time, the customers were resistant to the new product as they couldn’t understand and trust.The second experiment revolved around demonstrating the product (another 4P of marketing) through local tea sellers. But these tea sellers were in the business of sellingas much tea as they can, not presenting in-depth demonstrations of an aspirational,modern cook stove.The third experiment was about cooking demonstration conducted by a member of company staff, who invited prospective customers into the fixed shop located at city center. This experiment attracted attention but couldn’t spur demand as the target market lived far from these city center.The forth experiment incorporated place, product and promotion very well with the idea of Burners (group of reliable and attention grabbing agents provided with motorbikes).The final experiment finally incorporated one last 4P’s of marketing i.e. price. Though benefits outweighed cost still the product was too expensive for their poor target market. So they teamed up with Microfinances to demonstrate the stove and made purchasing these stoves immediately achievable.