The UK shower market has three price segments with different customer priorities. Aqualisa currently offers several shower products but faces issues like fluctuating water temperature and pressure problems. It has a market share of 2% in mixing valves and is the 3rd largest overall, though competitors are improving. Market research found consumers want stable temperature/pressure and ease of use/installation. In response, Aqualisa spent $5.8 million developing a new remote control electronic mixing valve called Quartz to address these issues.

1. UK SHOWER MARKET
Three price segments of customers:
• Premium- selection based on style and design
• Standard- selection based on performance and service
• Value- selection based on price and convenience
Do-it-yourself market- preferred easy-to-install, inexpensive models
Property developer market- preferred nice-looking, reliable models

2. Major Players in Shower Market in U.K
30%
22%
11%
7%
7%
23%
Chart Title
Brand
Triton
Mira
Gainsborough
Aqualisa
Masco
Others

3. Key Problems in Existing Product
• Low Pressure in Water Flow
• Fluctuation in Water Temperature
• Leaky Seals , Tight Valves

4. Aqualisa’s existing products in UK market
Gainsborough- Electric shower, instantaneous water heating.
Aquavalve 609- Mixer shower valve, blending of hot and cold water to get a comfortable
temperature. The core product and the top selling brand of Aqualisa.
Aquastream- Integral power shower, a combination of mixer valve and booster pump.
Top selling brand under power shower category.
ShowerMax- Redesigned aquavalve technology, designed for property developers’
needs.

5. Channels of Distribution
• Trade shops- 40% of the trade shops had Aqualisa brand
• Showrooms- Among the 2000 showrooms, Aqualisa was available in about 25% of
them
• Do-it-yourself sheds- Among the 3000 DIY outlets, the Gainsborough brand was
available in around 70% of them.
• Plumber ( Installers )

6. Problems with existing products
• Gainsborough- Bulky box appeared in the shower stall
Low and poor flow of water
• Aquavalve- Need for excavation of bathroom wall
Installation required two days
Additional booster pump is required to boost the water pressure
• Aquastream- Bulky box on the wall
Less reliable than a mixer valve with a booster pump

7. Aqualisa Position in Shower Market
• Premium Brand
• Great Quality & Service
• Market share 2nd in Mixing Valve Segment
• Ranked 3rd in Overall Shower Market
• 25% Net return on sales

8. Major threats Pondered by M.D
• Increase in Competitor’s Product Quality
• Market beliefs about Aqualisa as overpriced Product.
• Slipping Service Quality over past few years
• PoD eroding

9. Findings of Market Research
Consumers Perspective:
• Great Looks(No bulky box )
• Stable Temperature & Pressure
• Easy to use
• Less Break Down
Plumbers Perspective:
• Easy to Install
• Warranty for Break Down

10. Product Development
• Locate the mechanism that mixes water remotely
• Use of Electronic Control Valve to mix water
• Field Test were done & model was modified as per consumer’s Requirement
• Superb Response from Innovators
• Spent $ 5.8 Million and developed a Product called Quartz
Remotely
locating the
water mixing
mechanism
Controlling the
remote valve
through
electronics
Field tests to
check the
efficiency of
the product
Feedback form
the field tests
required
modification in
the product
After 3 years, a
new product
named Quartz
was launched