AQUALISA QUARTZGroup -7

AQUALISA QUARTZThe Future of Showering

MARKET SCENARIO

Initial Days:

1. Archaic Plumbing

2. Gravity Fed hence cold water tank needed at roof

3. Separate boiler and cylinder needed to store hot water

Limitations:

4. Poor – to- low water pressure i.e 3-4 litres/min

5. Temperature variation due to frequent fluctuations in pressure

Solution:

ELECTRIC SHOWERS or Special UK showers

SHOWER TYPES LAUNCHED

- Electric elements present to heat water which were mounted on a bulky box visible in shower stall- Eliminated need for boiler- Aqualisa sold them under “Gainsborough” brandDisadvantage:-Did not solve poor water flow problem

- Two types available:

1. Manual (user controlled temperature) 2. Thermostatic (automatic

temperature control)- Required excavation of bathroom wall to install, 2 day process- Booster pump could be installed to boost pump, cost

extra

- Single compact unit- Combined thermostatic mixer valve and a booster pumpDisadvantages:- Had to be mounted in the shower - Not reliable

AQUALISA MAJOR SHOWERS

Mixer Shower Valve Integral Power Shower

- Major product: Aquavalve 609 - Major Product: Aquastream Thermostatic mixer valve and booster pump

-Qualities -20,000 units sold per year

1. Reliable - Strongest selling shower in the power shower category

2. High quality

3. State of art technology

- Supplemented by Aquaforce

Booster pump for stronger presure

CUSTOMER COMPLAINTS AND DRAWBACKS

Apart from Low Pressure and temperature fluctuations, other complaints were:

1. Break after sometime

2. Valves become stiff and hard to turn

3. Seals leak or go out of date

4. Worn out easily

Few drawbacks observe were:

5. Uninformed customers

6. Lower understanding of product options

7. Low brand awareness

PRICING SEGMENTS

Premium

Shopped in showrooms

Style determined selection of product

Standard

Relied on independent plumber to select product for them

Emphasizes on performance and service

Value

Relied on independent plumber to select product for them

Concerned with convenience and price

Do- It- Yourself

Shopped at large retail outlets

Primary interest was inexpensive model that are easy to install

BREAKTHROUGHS??

Developer concerns after property development in UK:

1. Build reliable, nice looking products

2. Products that work in multiple settings

3. Happy plumbers were crucial

ShowerMax Showers :

4. Delivered high pressure shower at lower cost

5. Had Aqualisa technology

Result:

Satisfied consumers

Rawlinson quoted: At Aqualisa we have tended to do a re-launch every 3 to 4 years. We have changed the look and made incremental technological changes to boost performance and quality

Drawback:

Mechanisms inside new products had not changed

Channels of Distributions Trade Shop

Primary customers were plumbers.AquaLisa was available in 40% of trade shop. Trade shops focuses on availability of product rather than technical advice.

Showrooms Keeps high-end product for designing bathroom as per the requirement of the customers. Showrooms also offers installation services by subcontracting with contractors and plumbers.

DIY Sheds Do it yourself outlets sales products which are cheaper and easier to retrofit. Aqualisa was not available in these kind of outlet but its Gainsbourough brand was available in 70% of approx 3000 outlets.

DIY Showrooms Trade Shops Others

Power Shower

DIY Showrooms Trade Shops Others

DIY Showrooms Trade Shops Others

Mixer Shower

U.K shower by product type and channel

Plumbers

These are the peoples with high end technical expertise.

Has to undergo several years of training 3years of

apprenticeship to become master plumber.

Has significant shortage of plumber in uk.

Charges about 40 to 50 pound per hour for there services.

THE DEVELOPMENT OF THE QUARTZ SHOWER VALVE

THE BACKGROUND

Aqualisa was a sought-after brand in the premium segment that made top quality showers with a market share of number three in the overall U.K shower market

REASONS BEHIND AQUALISA’S VULNERABILITY

Increase in competition Market’s perception that the product is overpriced Drop in service quality

MEASURES TAKEN TO MAINTAIN MARKET SHARE

Brought together a team that consisted of: Engineers R and D personnel Sales and Marketing people Market researcher

The above people brainstormed to come up with methods to improve the shower

THE MEASURES THAT WERE ADOPTED

Pressure was adjusted based on customer preference

Temperature’s were set optimally Use of electronics to control the valve to mix water

seperately

A BREAKTHROUGH IN SHOWER TECHNOLOGY

Quartz Standard Shower

- Designed for installations that already had or did not need a pump.

Quartz Power Shower

-Designed for installations that needed a pump ; it came with a pump.

INSTALLATION

Steps of Installation - The plumber had to identify a physical space to accommodate the remote processor.

- The processor contained the thermostatic mixing valve and pump.

- The device could be mounted horizontally, vertically or any side depending on available space.

- It took just half a day to install.

- The plumbers found it pretty easy to install.

- It provided one touch control to user.

- The temperature control is automatic.

Proof of the pudding

It was a curtain Raiser at major shows like Bathroom Expo: Adjudged the Winner!

It was highly appreciated by the press on its cleverness and elegant design.

It Featured on the covers of trade journals . As they were dealing with electronics, the wireless

technology to do wonders with it was almost trivial.

INITIAL SALES RESULT

• 20 person sales force

• Sold to distributors, trade shops, showrooms, developers & plumbers

• 90% focus of sales force on maintaining existing customer 10% on developing new customers

• After launch Aqualisa sales force contacted it’s network of plumbers, calling face-to-face to introduce & explain the new product

• Initially very few products were sold. Production manager & channel partner took a huge loss and considered Quartz products a failure

• Main reason was the resistance towards new innovation by plumbers

• Gained high acceptance in showroom and gradually change in demand for the product was expected

DEVELOPMENT OF QUARTZ SHOWER VALVE

WHAT LED TO THE CHANGE?

Rawlinson believed innovation was needed to survive in future Reasons:

1. Other companies catching up in terms of product quality

2. Actual service of Aqualisa had slipped over the past few years

3. 105 showers still went wrong

PROCESS FOLLOWED TO IMPROVE

Research studies to understand consumer’s problems

Applied technology to industrial applications

Research Results

a. Consumer’s needs:

Great looking shower

Delivers good pressure at stable temperatures

Easy to use

Does not break down

b. Plumber’s needs

Easy to install

Guarantee regarding break down

Requires no servicing

RESULTED PRODUCT

Quartz Electronics in Shower for controlling valve Two thirds running speed which was preferred more

than maximum pressure Maximum temperature of 45 degrees instead of 41

degrees which was optimal water temperature

GROUP MEMBERS

SHAGUN BHATNAGARNIKHILESH SSANKET ROY

RONAK SHARMAUTKARSH PRASAD

POOJA RAWATMOUKTIK ADAK

AMBAR A