Janmar Coatings, Inc. In-Depth Case Analysis Prepared by: Elliot Thome In partial fulfillment of the requirements of Marketing Management and Policies Submitted February 26th, 2015 Case Synopsis In early January 2005, Ronald Burns, president of Janmar Coatings, Inc., and his senior management executives were faced with the issue of deciding where and how to deploy corporate marketing efforts among the various markets served by the company. To resolve this issue the company must: • Understand the markets that Janmar services, and know where and how the customers obtain their products. • Identify a strategy that will be beneficial for marketing to its customers to keep long-term profitability. Janmar Coatings, Inc. is a privately …show more content…
Specifically, • Where and how to deploy corporate marketing efforts among the various architectural paint coatings markets served by the company in the southwestern United States. • More specifically it is to find cost effective ways to market their products in rural areas outside of the DFW area. • Evaluation of this problem will be measured using break-even analysis, a metric that Janmar Coatings, Inc. has already been using to measure their goals. Alternative Identification 1. Do nothing. The company has been operating fine for years and total dollar sales have been increasing each year. If the company sticks to the status quo, they will continue to stay profitable. 2. Increase brand awareness Janmar could increase brand awareness by adding an extra $350,000 to the traditional advertising budget. 3. Cut prices In an attempt to compete with the lower cost brands of paint, Janmar could cut its prices by 20%. 4. Hire a new sales representative Janmar Coatings, Inc. could add in a new sales representative whose sole job is to generate new leads in retail and professional accounts. This would come with a direct cost of $60,000 each year, excluding …show more content…
Specialty paint stores, lumberyards, and independent hardware stores have a larger share of the market in nonmetropolitan areas. a. Customer relations is more important in these areas b. Could be accredited to less competition in these areas The amount of competitors that are in direct competition with Janmar Coatings, Inc. has diminished over the years, but those who are still around have been capturing a larger portion of the market due to competitive pricing. Specialty paint stores are able to control a larger portion of the market in nonmetropolitan areas, which makes this an attractive region for paint companies with premium products. Customers 50 percent of architectural coatings dollar sales come from do-it-yourself (DIY) painters. Professional painter purchases account for 25 percent of dollar sales. The other 25 percent of dollar sales is attributed to government, export, and contractor sales. DIY painters view paint as a commodity. • Look for the best price when purchasing paint. • Large number of these DIY painters also would like services to go along with their purchase in the form of information about how to properly apply the paint and use its accessories. Professional painters look for premium
What causes the price difference between two equal quality horses that sell for vastly different prices? In the American Paint Horse Association, a marking of only two square inches can make the difference between a $100,000 horse and a $10,000 horse. A Solid Paint Bred is, according to the APHA Rule Book, a horse that “lacks a natural Paint marking of more than two square inches in areas behind a line which extends from the ear, to the outside of the eye, to the corner of the mouth, and under the chin and above the knees and hocks” (2015 Rule Book). While they can still have purpose in the industry as breeding stock and can show in their own classes, Solid Paint Breds are looked down upon by a large portion of the industry as they can not show in the classes that award large amounts of prize money. To many
If a brand has a good reputation, customers and businesses, are more likely to purchase that brand. Examples include logos and packaging. (B2B and B2C Similarities and Differences , n.d.) These need to capture the attention of their customers because businesses have competition and therefore need to stand out.
Steamboat Ski & Resort Corporation was one of North America’s largest ski resorts located in Northwest Colorado, and it was doing well in the ski destination resort industry. However, the industry became more and more competitive which resulted in SSRC started losing share of Colorado skier market. Some other issues happened to SSRC including customers spending fewer of their vacation days skiing on the mountain, and repeating visit rate declined. The core issue facing Steamboat Ski & Resort Corporation is “How can the company continue to grow revenue in this increasingly competitive industry?”
When purchasing stained glass the quality and hard work is usually what is being paid for. Cheaper stained glass is more than likely of a lower quality than the more expensive stained glass. That is a principle that is in almost everything that can be purchased and it carries over to the stained glass world. The glass used in the stained glass is often cheaper. The glass is the cheaper stained glass is often poorly made.
When an organization is struggling to sell a product, the organization should reposition it so that it is a deal that
Some concerns Ron my endure with new customers are: the customer will not want to buy his company’s products (Johnston & Marshall, 2009). The customer does not trust Mid-Town’s products (Johnston & Marshall, 2009). The customer may not like or trust Ron (Johnston & Marshall, 2009). Last, the customer thinks the prices are too high (Johnston & Marshall, 2009). Many customers are concerned about buying products from new vendors, moreover, they do not know the brand of the products and if they would hold up to expectations (Lurie, 2004).
In my opinion, the more expensive it is the more well off you are, and you are most likely represented in the middle or upper class. You see that in the “Mall Story” episode of Roseanne when Roseanne pressures Dan to get new shoes disregarding the price, and Roseanne’s daughter Becky wanting to get a new dress for the dance. The problem is Becky wants the $79 dress to look popular, but Roseanne said they couldn’t afford it leaving Becky in a terrible mood. In the end Dan returns his $79 pair of shoes to buy the dress for Becky. This shows that even though the family is low on money, they do what they must do to make Becky feel popular with her dress.
A combination of local media and local store marketing programs will be utilized at each location. Local store marketing is most effective, followed by printed ads. As soon as the physical existence of our franchise is recognized in the market, then broader media will follow. However, we believe that the best form of advertising is still “our service delivery and our unique products. "
In addition, open more stores in crowded location, particularly on big cities such as Tokyo, London, Hong Kong. Pop up stores in festivals/carnivals in those particular cities would increase more attention from the customers. Product The product must target on an all age range of the customers with high quality. The company should have product that meet the demand of customers, group product for couples, families, friends would be a great way to increase the production line.
It is true that some artists would cost a bit more than the others, but they also probably provide the best designs and have been in the industry for considerable time. Most artists you tend to be expensive are ones who have a great customer feedback. 2.
Major Business propositions for Woodmere and HomeHelp The business proposition for Woodmere in this case study is as follows. Woodmere would be able to secure an exclusive distribution with HomeHelp, which is a market leader in Home Decorating retail market, if it can implement time-based logistics. Woodmere’s prospective customer segment is heavily consolidated resulting in stiff competition.
Another important aspect to remember is to offer news about new things going on in the company. This can include a giveaway or even a new employee. This shows the customers that the business cares about what it is
They are now focusing on their expansion United States of America. They plan on expanding to other parts of the world as well. Their business strategy so far has been very clear. Some of the points below highlight their business strategy: • Developing products of exceptional quality: -They have modified their business model in such a way that they take care of the entire business process, right from the planning and research till the final sales. This enables them to produce goods of exceptional quality thus enduring consumer satisfaction.
You can try to invites for media coverage and influence them through press releases, but the media could put a negative spin on the story. Sales Promotion Sales promotion makes use of a variety of tool, such as discount coupons, premiums, daily deals, contests etc. They attract attention, offer strong purchase incentives, and often boost sagging sales. They stimulate quick response, but they are short-lived and are not effective at building long-term brand preferences. Direct Marketing
Introduction At the start of this course, I had no idea what to expect. This is due to the fact that marketing is a field that offers a combination of so many different disciplines such as art, psychology, and statistics. I encounter marketing on a daily basis but have strangely enough not reflected too much about it. Nevertheless, it is a very interesting subject, which deals with promoting and selling services and products.