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... e of habit, from the time we get up in the morning to what we have in our coffee. This choice is saying that we will buy because we always have. This doesn't apply to Culligan because once you buy their product you do not have to purchase it again. Brand loyalty segmentation - is when you buy the brand because you are loyal to the name. For example you shop at one store just because it is a Spartan Store even though the prices and quality might changed.
This is an area that Culligan might take advantage of. If your mother bought a Culligan water treatment system than you might buy one and in turn your children might buy one. Since Culligan has been in business since 1936 this loyalty segmentation would be wise to invest in. Price sensitivity segmentation - The seller has to recognize that price sensitivity has many determinants.
Culligan's water treatment systems are on of the most expensive on the market. Their water treatment systems range anywhere from $ 2000 to $ 4000. They need to realize and they do that this is difficult for the average person to be able to afford. Culligan approached this with information on how much you would save if you bought their product.
You would save money on detergent, heating bills, cost of replacing worn out cloths and even time on cleaning all those nasty hard water stains. Search and shopping segmentation - this is when buyers search for the right place to purchase the product they desire. Will it be Levi Jeans at Meijers, WalMart, or KMart? With Culligan's personal selling approach they come to you to sell you their product you do not need to go anywhere to find it. Culligan has the marked of almost all the segments. All they need to do is have the customer belief that they can not live without their water softener or water treatment system.
Below is a list of a few organizations that believe that they can not live without a Culligan water or water treatment systems. Table 1 Restaurant Chains Food and Beverage High-tech Energy Arby's Coca-Cola Manufacturing Texaco Burger King PepsiCo Sony Shell Denny's Kraft AT& T Automotive Wendy's General Foods Hewlett-Packard Ford Motor Co Taco Bell M& M Mars Government Chrysler Pizza Hut Quaker Oats U. S. Army General Motors Long John silver Carnation U.
S. Navy Toyota KFC Analyzing the Competitors: Culligan Water Treatment, Inc has very few competitors in the same league as they are. Osmonics, Inc. makes water purification for soft drink. The company's cartridge filters reduce concentrations of contaminants in solvents, and wastewater. Its distillation equipment is used in laboratories and in the pharmaceutical industrial customers around the world: more than half its sales are to foreign customers.
Thames Water plc supplies water services to more than seven million commercial and residential customers and wastewater services to almost 12 million customers in London and the Thames Valley. Thames Water plc also designs water and wastewater systems internationally. It has contracts for systems in Australia, China, Malaysia, Puerto Rico, Thailand, and Turkey. Ionics, Incorporated equipment group supplies water-treatment and purification systems to industrial, municipal and utility customers around the world. The company's desalination systems process and treat brackish water to produce potable water. The consumer product unit provides Aqua Cool Bottled Water and home filter systems.
Table 2 Name of Company Net Income 1 -Yr Sales Growth Employees Culligan Water Treatment, Inc $ 505 36. 0 % 4578 Ionics, Inc $ 351 3. 0 % 2200 Osmonic, Inc $ 177 7. 8 % 1360 Thames Water plc $ 2, 128 8. 4 % 12492 million As shown in Table 2 Culligan Water Treatment, Inc had the largest 1 -year sales growth compared to the other three companies. Marketing Strategies: Almost every advertising agency has its own mental model of how advertising works and uses it to train its employees and sell its skills to clients. Culligan Water Technologies, Inc uses the learn-feel-buy (LFB) model of consumer reaction to advertising. This LFB model assumes consumers make thoughtful decisions about buying products such as major appliances, automobiles, computers and water softeners. Culligan Water Technologies, Inc sells its product by personal selling. They need to educate the population of the water problems that exist in their neighbor.
A Culligan sales representative will ask if he or she could come to your house and do free extensive water testing on your current water supply. They might even offer you a free set of Ginsu Knifes just for you letting them take up your time. Culligan Water Technologies, Inc does extensive research on the quality of the water that is all around us. They pass this information to the customer with a wide variety of tests performed on the customers' own water supply.
This sets up the learn part of the LFB model. After Culligan informs you of all the problems your water has, for example: Hard Water - This is probably the most common water problem found in the home. According to the Water Quality Association of the United states, Hard water is water that contains dissolved hardness mineral above 1 GPG (grains per gallon) Copper In Water - This causes a Blue or blue-green Staining Odor in your Water - This is caused by Hydrogen sulfide that is produced in water supplies as a result of the decomposition of underground organic deposits. It has a characteristic of rotten egg odor and obnoxious taste easily detected its presence. Iron in the water - This is detected by reddish stains on sinks, toilets and fixtures. Iron types that are found in water are oxidized, soluble, colloidal, and bacteria or organic-bound.
As little as 0. 3 ppm (parts per million) in a water supply can cause staining of clothes and fixtures. After Culligan determines the water problem you have, if any, they continue to explain and demonstrate how their water softener can allow you to have clean healthy water. This sets you up for the feel part of the LFB model. You get to actually feel and see what the water softener can do for you. They do several additional tests that show the difference of treated and untreated water.
On test entails you washing your hands in your their treated water and than your water. The difference you feel is remarkable. The softness of your hands after you wash them in their water is wonderful. Now that you were able to learn about the problems of your water and feel the results the water softener can do for you the only thing left to do is buy it.
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Research essay sample on Culligan Water Treatment Abstract
