• Author / Uploaded
• puneet

Citation preview

Marketing Management Assignment – Soren Chemicals_Coracle

1. What is the addressable market size for Coracle? Is the first-year goal of $1.5 million sales reasonable? a. The addressable market size is about 67.5 Million. At a 1.5 Million target, a 2.2% market share is a very reasonable target to start with for a new product. 2. Why is Soren Chemical struggling to sell Coracle? What are the implications of the channel structure for pool chemicals? How would you describe the selling process for Kailan MW versus Coracle? a. The company was struggling to sell the product as the amount of product awareness was not done. Although there was some level of effort from the company, the final sale was delegated to the whole sellers, who did not push the product as hard. Also the limitations by Soren to not allow the wholesale companies to sell it as a private brand also further limited its reach. b. Channel structures ensured that the final user received a full range of pool cleaning solutions rather than one specialized product that was a speciality of Soren chemicals.

c. The Differences is that kalian was supplied to very centralized companies who understood the various advantages that the product offered but coracle was targeted towards the consumer products market where the advantages of the product and product awareness was not as deep. The product was aimed at different product categories so hence the difference in the selling process. 3. What is the highest price Soren Chemical can set for Coracle? What is Coracle really worth to end-users? Given its superior performance, how can Coracle be priced relative to the competition? What are the constraints? What is the impact of a higher retail price on distributors? Retailers? a. As one of the highest priced products in the market already, it would not be advisable for the company to raise the prices of the product further. b. Coracle has better cleaning properties but since the communication process of its advantages has not reached end users, a better strategy to establish its worth needs to be better communicated to the end users. c. Given its higher superior performance, coracle is already higher priced than its competitors. d. The Constraints of raising process further is that already dismal sales of the product may be further dented by the new raised price. e. The Higher retail price would increase the margins given to the retailers and distributors, but it is a two edged sword, while the dealer might be motivated to push the product further, the higher price may be a limitation to the consumer. 4. What action plan do you recommend for Coracle? Should Soren Chemical adopt a “push” or a “pull” strategy? a. Soren needs to adapt a pull strategy rather than a pull strategy. It already has a very effective product so the main reasons why sales are lagging is because it was launched in September which is almost the end of the season. So the company needs to reformulate its communication strategy and reach out to the consumers for the upcoming season to make sure that the advantages of its products are effectively communicated to ensure a product pull from the consumers side due to its advantages rather than use a push strategy by which it would be dependent on the retailers/whole sellers which did not work very effectively during its launch.