Problems with the New Product Introduction
market’s 20% is service providers, whereas the other 80% of the market consists of owners. So, spending for promotion $ 600,000 solely on the service providers doesn’t give the expected results
Problems with the new product introduction.
Owners who maintain their pool on a regular basis don’t have much information about the Coracle and only 25% of them understand and use clarifies. This is partly because they are not specialists. Moreover, the consumer expectation is different for the residential pool consumers from that of commercial- pool owners. For the residential pool owners, cleanliness and easthetics are the priroty. However, Soren mistakenly emphasizing the effectiveness of the Coracle water borne phatoges which has lesser value for the target customer.
Additionally, the survey results show that distributors didn’t offer any Coracle for the 70% of the interested consumers and 30 % of the
Moreover, it is obvious that Coracle had differential advantage over Hydrofill, Purity and ClearBlue. Hydrofill and Purity don’t clean the water from pathogens. When it comes to ClearBlue, it is more expensive and require high dosage per treatment. Although it has a the properties of cleaning the water from phatogens, Jackson Laboratories doesn’t emphasize this fact. The fact that all three products (Hydrofill, Purity and ClearBlue) have a similar market share indicates that cleaning the water from phathogens is not a differential factor in the residential pool cleaners market.
The owners of the residential pools are people with upper class income level who can afford themselves the poor. The specialty retailer survey indicates that the Annual average cost of clarifiers at retail prices is $50. In addition, although three competing brands (Hydrofill, Purity and ClearBlue) have diffirent yearly costs and still have close to each other market shares. The initial