...Soren Chemical: Why is the new swimming pool product sinking? GROUP 5 - CHANDAN SHARMA, RAVI KUMAR MYLAREPA, TANVI S HAIT Soren Chemical (Water Treatment Group) Coracle marketing concept: * Business to customer marketing model (B2C). As it is fragmented market. * Manufacturer-Distributors-Retailers/Pool Service professionals-Pool Owners. Major Challenges: 1. Lack of support from Distributors. 2. Lack of awareness among Pool Owners and Pool Service Professionals. 1. DISTRIBUTERS NOT SUPPORTING PRODUCT. Since use Coracle can reduce the use of other pool chemicals by 20% to 30%. It would lead to a revenue loss of the distributors and retailers because they sell other pool chemicals also. From EXIBIT 3. Annual Chemical costs: $300 average. Annual cost of clarifiers: $50 average | RETAILERS | DISTRIBUTERS | Annual Chemical Sales(Excluding clarifiers) | $300 | $255 | Reduction in Chemical sales due to coracle (25 %) | $75 | $63.75 | MARGINS | 15% | 20% | Reduction in Margin per Earning | $11.25 | $12.75 | Number of Treatments /Annum (Coracle) | 10 | 10 | Reduction in Margin per Treatment of Coracle | $1.125 | $1.275 | Margin Earned by distributers and retailers from Coracle is $ 1 and $0.59 respectively. (FROM EXIBIT 2) Hence, distribution channel margins must be revised to get support of Distribution channel. So that Soren chemical company can implement push type marketing strategy for coracle. Since Annual average cost of clarifiers...
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...Soren are relatively inexperienced with marketing consumer-oriented brands whereby they have to handle directly with wholesalers and also market to retailers, pool service professionals and consumers. This inexperience might have caused miscommunication between channels as seen when pool service professionals and specialty retailers had made inquires about Coracle but only 30% recalled receiving the Coracle material. Also 70% of them stated that Coracle had not been offered by their distributors. Also, Soren is new to the residential pool market and might not fully understand the consumer and thus unsure how to communicate Coracle’s benefits to the consumer. To calculate the annual EVC, we need to take reference value plus differentiation value. The reference value is the cost of substitute, which is ClearBlu’s annual cost of $56.25. The differentiation value includes Coracle’s increase in chemical savings. Coracle reduces the need for additional chlorine, shock treatments and enzymes, thus reducing pool owners’ annual chemical cost by 20% to 30% (average of 25%). ClearBlu reduces annual chemical cost by 15%, thus the increase in savings by Coracle is 10% (25%- 15%). The annual chemical cost (excluding clarifiers) is $300. Calculation of Coracle’s annual EVC: $56.25+ 0.1x $300= $86.25. Coracle, being a new brand should first adopt a push strategy since there is low brand loyalty and low brand awareness. This will generate exposure and encourage distributors to stock up...
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...Case: Soren Chemical 1. How do the needs of pool professionals and residential customers differ? ● Pool Professionals o Cloudy water in the commercial market were waterborne disease and swimmer safety o (Typically bought supplies from the wholesale distributors) ● Residential Customers o Emphasized aesthetics and perceived cleanliness. o (Approximately 80% of consumers maintained their own pools and generally purchased supplies from local specialty retailers or national retailers) 2. In what ways are the goals of Soren Chemical not aligned with the goals of distributors and retailers when selling Coracle? ● While Soren Chemical’s new strategy was to develop Coracle as a consumer branded product, major distributors and retailers requested to market under their own labels. 3. What information will distributors and retailers distort when talking to customers about Coracle? • Only 30% of the survey respondents (pool service professionals and specialty retailers) recalled receiving the Coracle materials that Soren had sent in response to their inquiries. • 70% of the distributors simply didn’t follow up with some of the inquiries that were passed along by Soren. 4. What actions will distributors and retailers not take that Soren Chemical would like them to take? • Distributors and retailers are not making space for Soren’s product. 5. What are the advantages and...
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...------------------------------------------------- Student Name Soren Chemical: Why Is the New Swimming Pool Product Sinking? When the initial annual goal of $1.5 million was set, it seemed to be realistic. Of the 9 million residential pools in the United States, 80% maintain their own pools providing 7.2 million pools in the market who are maintained by the owner. Additionally, the other 20% who do not maintain their own pools use some sort of service professional, and while they are not purchasing cleaner on their own, these 1,800,000 pools are still using clarifiers and these too are still potential customers. With around 60% of the clarifier market share occupied by Keystone, Kymera and Jackson Labs, 3.78 million pool owners are using the big three products. This leaves 2.52 million pool owners not currently committed to a brand. SWOT ANALYSIS Strengths -Well established commercial poo product -better product (deals with organic contaminants which are more effective) -Increased cost saving - building individual brand name | Weaknesses -Higher unit price -inability to attract distributors and retailers -inexperience in marketing consumer-oriented brands | Opportunities - there are 9 million residential pools -few established brand -cost saving and perceived cleanliness – primary requirement -brand building could allow launch of other products | Threats -competitors (Keystone, Kymera and Jackson Labs) -30% distributors margin -fragmented consumer market ...
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...Decision Soren Chemical is unprepared to compete in the personal pool market. Soren Management must plant their flag as the provider of the safest and cleanest pool environments for small bath pools. They should immediately adopt and execute a coordinated marketing campaign aimed at educating their customer base and thereby establish Soren Chemical as the trusted brand in the pool chemical market. Soren could continue to rely on their reputation as a producer of top tier chemical products, and rely on their established distribution market, but to do so opens the door for a competitor to eventually push them out of the market altogether. Solution Soren is already a key player in a mature market, and as such their goals of growth and expansion must come with change as they increase their product lineup and market to new consumer groups. Their new product line offers a significant potential revenue stream and the opportunity to position Soren’s brand prior to the release of products currently in development, which are aimed at small pools. In their efforts to position themselves as a company of choice in the private pool ownership market, it is important that Soren develop their brand, highlighting their core competency as well as their quality and cost advantages. This will require that they sell under their own brand, as they are currently attempting. While they must prepare for significant upfront costs as they push their brand to their target consumer base, there will be...
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...Product OverviewCoracle is a water clarifier for small recreational and personal pools. The product is priced little higher than the competitive products, but the advantage of the Coracle clarifier is the quantity that has to be used, thus bringing down the annual expenditure on the clarifier.Company overviewSoren chemical’s was basically a B2B concentrated business, which include more than 350 products, basically serving the large recreational water bodies and drinking and waste water.Being a B-to-B enterprise Soren never concentrated on branding of its products and creatingthe customer awareness, however they tried developing brands for products that had potential in consumer market, but had little success. Distribution Network of SorenSoren generally sold its products to the customers through three sources. 1) Through Formulators, who produced other pool products and delivered it to customers with added services. 2) Through wholesale distributors, who distributed the products to pool services professionals, pool speciality retailers, who served the residential pool owners. 3) Through Mass retailers, who directly served the Pool Owners? Competing products (In-house and external)Kailan MV: In house product, and is mainly used in large water bodies and it is not suitable for the smaller water bodies and personal pool. It is distributed through Formulators, who produce or source other pool chemicals.How Kailan MV is a threat to Coracle: Few formulators were producing a diluted...
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...SOREN CHEMICAL CASE ANALYSIS INTRODUCTION Case is about the company Soren Chemical and marketing swimming pool clarifies to the B2C market. Initially this company was in B2B. The B2B pool clarifier names Kailan MW and it is sold to Commercial Pools and Water Parks. Kailan MW has USPs like: 1. Attacks organic contaminants which can escape conventional filters 2. Larger effective period 3. Lower quantity required In September 2006, Soren Chemical had launched Coracle, a new water clarifier for B2C. This product has the same USPs like a Kailan MW. Soren was inexperienced, because B2C has big differences than B2B. Eventually, they totally failed, because of a lot of strategic and tactical problems. Strategic problems 1. Their expectations were more than actions. The target was 50,000 gallons for the first year of sales. But through the first half of the selling season for pool chemicals, Soren had sold just 3,725 gallons. They were inexperienced in B2C business and did not do well enough promotion company. 2. Go-to-market strategy. The selling season for residential pool chemicals starts in spring. Soren started in May, when most pool owners have already bought another product. If Moritz identified the problem, she could salvage 2007 and position Coracle for a successful second year. Tactical problems In my opinion, the main problem is Soren Chemical did not have enough experience for begin this new business. As a result, they had a lot of mistakes...
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...Although Soren Chemical has had success in the recreational pool clarifier market, the new Coracle consumer brand that targets the small recreational and household swimming pools has suffered a very disappointing sale of merely 3,725 gallons at $110,000 through the first half of the selling season when Soren has predicted a $1.5 million in sales and 100,000 unit in volume for Coracle. The issue currently faced by Soren is that Coracle’s sales is heavily dependent on the wholesale distributors’ willingness to promote or even carry Coracle. The business-to-consumers marketing strategy for Coracle is not meeting the sales target because distributors lack the economic incentives to sell Coracle. We recommend Soren to increase retail price to offer economic incentives for wholesale distributors to carry and promote Coracle. Currently, distributors are the key obstacle in Coracle’s distribution because even though the marketing initiative targeting service professionals and specialty retailers are well-received, many respondents have stated that Coracle is not offered by their distributors. Offering distributors higher profit margins will allow them to start carrying and promoting Coracle to retailers who have already demonstrated interest in the product, thereby translating the demand into increase in sales volume. Doing so will also continue to build Coracle’s brand awareness among retailers and consumers when the distributors are motivated to promote the new product and achieve...
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...Assignment: Letter to a European Philosopher PHI/105 Dear Soren Kierkegaard, I have read your profile and philosophical views on several subjects in the Moore-Bruder, (2008) AXIA Reading Material Handbook. I have two arguments that I would like to present to you on your philosophical views and choices you make to please a God that is not proven to exist. First I would like to talk about the agony of choices you made between your God and the woman you were going to marry named Regine Olsen. The choice of committing yourself to God affected you profoundly, by denying yourself the true love you longed for. You cannot touch, smell, or see this God you believe in. It sounds like to me you cheated yourself out of the one thing you truly desired. My question is why your God would want to deny you of the happiness you deserve no matter what your past childhood was like. I have to argue with your view that God has to be first place in your life. I feel you should never put someone else before your own, it only cost you emotions which is something you have had to deal with by making the choices you have to please this God that is not proven to exist Mr. Kierkegaard. My second argument has to do with your view on “The Sickness-Unto-Death”. I disagree with the statement ‘His eventual conclusion was that nothing earthy can save a person from despair. Only a subjectivism commitment to the infinite and to God, not based on abstract intellectualizing or theoretical reasoning, can grant...
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...Realism in Ibsen’s A Doll’s House and Churchill’s Top Girls Nineteen-century Europe held rigid conventionalisms of class division, social order and gender roles. Society hid behind the mask of hypocrisy in an attempt to preserve bourgeoisie’s position of power. In that concern, conceptions of ‘liberty of the spirit’[1] and ‘liberty of thought and of the human condition’[2] came to question. Thus, Henrik Ibsen drew attention to the threat to ideas of freedom and public opinion by giving life to A Doll’s House (1879). He aimed to critique constraints of Victorian society rather than vindicating the rights of women. In that sense, in a speech given in his honour by the Norwegian Women’s Rights League on 26 May 1898 he stresses: ‘Whatever I have written has been without any conscious thought of making propaganda. […] To me it has seemed a problem of humanity in general.’[3] Ibsen clearly states he strove to expose the manipulation of individuals’ liberties as he worked for the human cause. In Caryl Churchill’s Top Girls (1982) the aim of the play is to reveal how the fulfilment of women’s self-realization needs in the personal and social spheres is achieved by compromising humanity and morality. In the end, what ‘The New Woman’ gets is disillusionment and loneliness as she finds herself in a predicament: mother or career woman, sensitive or hardened. In Top Girls what is represented is the price women pay to go up the corporate ladder in a male-dominant world. Thus, I will...
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...Existentialism can be defined as a philosophical and literary tendency that typically displays a dismal of abstract theories that seek to disguise the untidiness of actual human lives and emphasizes the subjective realties of individual existence, individual freedom, and individual choice. Runaway by Kanye West is a great example of this philosophical theory and many connections can be made to his work and the work of Soren Kierkegaard, Franz Kafka, and Albert Camus. These four artists apply existentialist themes in their literature and even their private lives. The two themes that I found preeminent in these artists work are isolation and death. The four artists have a very philosophical cohesion between them. They all have a sense of isolationism in their works which makes their creations so unique. In Runaway by Kanye West, a phoenix falls to earth like a meteor and doesn’t know where she has ended up. The phoenix attempts to fit in with our society but she doesn’t know how to act in front of all these people so she is isolated. When the phoenix is at Kanye West’s dinner party, she sees a turkey that is about to be served for dinner and she is shocked and shrieks obnoxiously in front of all the guests and they look at her very differently and isolate her. In Metamorphosis by Franz Kafka, Gregor Samsa is portrayed as a bug and people look at him very differently. Gregor is isolated in his home and can’t leave because he doesn’t want his parents to look bad. “During the day...
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...Soren Kierkegaard’s quote on Soulmates I feel like a lot of people want to find their soulmate but don’t realize that it’s not easy to find your other half. You will not know who your other half is until you have time away from your other half. In my opinion, your other half is found after a long time away from each other. You must accept, know and love yourself before another can accept, know and love you. When you are in love with your other half it’s not all about the love, it’s about being with them and trying to do as much for each other as you can. Helping others and doing things together to benefit not only you two, but the world. I believe that you can feel when you are with your soulmate. You feel it from within and you can feel a change in the way your surrounds seem. Knowing who your soulmate is takes time. I believe that everyone has a soulmate and that we must not look for our soulmate, but wait. Waiting around and living life while waiting are two different things. Kierkegaard knows that soulmates are bound for somewhere after life. Kierkegaard believes that they will be joined with God. If the two souls were split in Heaven then they will be reunited on their way back to Heaven. Kierkegaard knows the delicate process of soulmates finding each other and joining. When soulmates are found it is often like a miracle-Kierkegaard describes the joining of two souls as a mystical, romantic experience from within. Whether you believe in God or not it doesn’t matter...
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...main concepts of Existential psychotherapy and their application to practice. To illustrate my discussions and reflections I must use a case from a helping relationship in everyday life. * Existential therapy is based on philosophy (Deurzen, 2012). The techniques used in this type of therapy is not specific, it is based on our existence in life. The conflicts that are experienced in life are based on the givens of existence. The therapeutic relationship is between the client and the therapist and most importantly it highlights the client’s personal freedom in deciding their own direction. 0 Some of the key figures regarding existential psychotherapy are Rollo May, Irvin Yalom, Martin Heidegger, Soren Kierkegaard, Friedrich Nietzsche, Viktor Frankl, Jean-Paul Sartre (Van Deurzen, 2012, May, 1969, Cox, 2012) 0 Some of the basic concepts of extentialism are freedom and responsibility, isolation, meaninglessness, nothingness, uncertainty, death, anxiety, just to name a few (Cox, 2012). In this essay three of these concepts will be discussed and illustrated followed by a case study to illustrate how these concepts relate to existence. 0 Freedom and Responsibility 0 The fact that we are responsible for ourselves mean that we have to make choices and to take responsibilities for our actions. In this respect we have to make decisions where we have to choose between alternatives and there...
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...The term Existentialism is the idea that the individual controls their own choices and destiny compared to believing in a higher being. In other words, all the events that occur during an individual’s lifespan are caused by their own discretion. Terror Management Theory refers to how humans rely on self- esteem as a means of protection against the inevitable death (Harmon-Jones et al.1997, pg. 24). Terror Management Theory states that self-esteem plays a vital role in either enhancing or diminishing the cultural anxiety buffer. This means that if a person has a high self-esteem (positive view on mortality and worldviews), the less afraid of death he or she feels; the phenomenon goes both ways. The Meaning Maintenance Model states that “human beings innately and automatically assemble mental representations of expected relations”, which means that people assume that most events are symbolic and is related to one another (Proulx & Heine, 2006, pg. 309). According to the Meaning Maintenance Model, a disruption to self-esteem reflects on how disengaged an individual is in relations to the environment and culture, in which that person will seek new explanations for their meaning. On the other hand, an increase in self-esteem equates to a decreased fear of death and assists in affirming worldly views. In other words, both Terror Management Theory and the Meaning Maintenance Model equates elevated self-esteem with an increased level of happiness and reduced fear of death, and vice versa...
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...Kierkegaard vs. Nietzsche Soren Kierkegaard and Friedrich Nietzsche are known to be two of the greatest nineteenth century existentialists of all time. Existentialism is a philosophy that emphasizes the uniqueness and isolation of the individual experience in a hostile or indifferent universe. It regards human existence as unexplainable, and stresses freedom of choice and responsibility for the consequences of one's acts. Soren Kierkegaard and Friedrich Nietzsche both felt that life is irrational. They were problem thinkers who chose not to follow the systematic approach to philosophy as their predecessors did. In this regard, they stood on common ground. Both realized that no system of philosophy operates in isolation of its creators inherent prejudices. Any subjective viewpoint is biased; therefore, objectivity is impossible in any moral example. They both recognized that God no longer exists in religion in present-day expression. Men and women go about their daily lives in a manner irreverent of the possibility that there is an all-powerful God governing their affairs. Surprisingly, they proclaim their devotion to God when questioned about it. However, in their attempts to resolve this moral affliction Nietzsche and Kierkegaard are different in their quest for a cure. The very foundations of their moral constitutions were built upon conflicting ideologies: Kierkegaard put his in Christianity, while Nietzsche’s in individualism and self-determination. Kierkegaard...
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