Current product
portfolio of Company X in Finland includes several designs of litter bins and
several options for bigger waste containers for outdoor use. In addition, there
is a range of ashtrays, which can also be attached to some of the litter bins.
Due to the fact
the large waste containers usually come together with the service (either installation or
waste management), we will further focus on discussing the expansion of the
smaller litter bin containers that can be used inside or on nearby area of buildings.
All the litter
bins of Company X as well as the ashtrays are sold under the XBin brand name. The
current brand portfolio features 10 different bin series that vary in design or
functionality, and a series of ashtrays. Most of the series includes identical
products but featuring different sizes or colors. All of the products however
are rather similar in employing the sleek design and are made with the best of
Finnish quality and know-how.
We would
recommend Company X to expand to foreign markets with the full range of
products available. We believe this approach is feasible due to the fact that the range is not very extensive. Offering a range of products would allow the client to find a better tailored solution. Furthermore, we would advice to pursue the stand-alone brand strategy and market all product series under XBin brand. This would facilitate better brand awareness and allow the product range to be perceived as a solution package.
In addition,
offering a wide range of products with different functionality would allow the
company to avoid the old model of just product sales. Instead, the company would
have a chance to provide the client with a package solution, where it would
offer different products for different parts of the building. This strategy
also leaves room for offering services in the future that would optimize the
waste management inside big buildings. In addition, we would strongly recommend the company to offer a possibility for customized product and provide customization services.
As for the price of the products, we believe the existing price list should also apply for Qatar. We do not think any price reductions are necessary, since this product is a premium product and not sensitive to price. Distributors are expected to put a certain margin on the base price.
All products will be manufactured in Finland in accordance to the Finnish standards of quality and under supervision from the headquarters. The manufactured products will be then shipped to Qatar by sea freight (Port of Doha is the largest sea port in Qatar). Distributors are further responsible for transportation of the delivered goods to end customer. Since the primary clients are construction companies, no specific location is determined as placement for XBins, instead they will be shipped to whichever location in Qatar that has the targeted construction site.
As for the price of the products, we believe the existing price list should also apply for Qatar. We do not think any price reductions are necessary, since this product is a premium product and not sensitive to price. Distributors are expected to put a certain margin on the base price.
All products will be manufactured in Finland in accordance to the Finnish standards of quality and under supervision from the headquarters. The manufactured products will be then shipped to Qatar by sea freight (Port of Doha is the largest sea port in Qatar). Distributors are further responsible for transportation of the delivered goods to end customer. Since the primary clients are construction companies, no specific location is determined as placement for XBins, instead they will be shipped to whichever location in Qatar that has the targeted construction site.
I think it is right decision to offer the whole range of products, moreover in case that assortment itself is not very extensive, it would provide the variety of choice for the customers and customization opportunity.
ReplyDeleteIt is very pity that there is no possibility to see some examples of product range and design options, I wonder how package solutions could look like.
Thanks for the comments. Examples of products and design options will be seen during the presentation on 27th of February.
Delete