SOREN CHEMICAL CASE ANALYSIS
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 ...view middle of the document...
Most residential pool owners simply did not realize the value of Coracle relative to other clarifiers. It is ridiculous, because product is really good. Coracle can reduce the use of other pool chemicals by 20% to 30%. Coracle price is 25$. Of course, in compare to other products it is high. But annual cost of the product is 39,06$ - lower than most competing products. If consumer was aware the benefits price did not look like so high.
Solution: Soren must do good advertising and awareness company for consumers. Buyers are not technically educated and they are not worried about safety inspections. You always must educate consumer about your product/service. Also, for example, Soren can provide free water test, like promo, if consumer buys “the most expensive offer” or “annual offer”.
2. Sales channel.
Soren decided to sell Coracle through wholesale distributors. After distributors product reach pool service professionals and specialty retailers. But, they put all sale responsibility on mediator. The product was completely new on the...