2011: Product Channel Differentiation (Phase 2)
PRODUCT CHANNEL DIFFERENTIATION – Phase 2: Light Duty Professional Service Equipment
Executive on Demand Position:
President, Chief Operating Officer, Vice President Sales and Marketing, General Manager, Vice President Market Research
Phase 2 – Project Outline:
Market segmentation is a big part of growing sales for any company. When a market penetration strategy is developed it must include plans that allow for entering different markets at different price points. In the automotive service and maintenance repair market there exists a wide range of customer segments: the mom and pop 2 to 3 service bay operation, the distributor/jobber banner relationship marketing program, the provincial and national franchise companies and the automotive manufacturers sales and service operations. In essence all of the segment offer very similar services using the same skills but not necessarily the same service equipment. Affordability is critical in the purchase of the equipment in order to provide a competitive service program to vehicle owners looking for solutions to their vehicle problems.
Phase 2 – Project Outcome:
Expanding the development of the driveability equipment to include a lower cost service equipment program provides the opportunity to sell equipment and related products to a market that may defer participating in the service market. A professional light duty family of the service kits was developed for sales and distribution in the non OEM and franchisee market segments. This created market segmentation differentiation and new service sales opportunity to a market that would otherwise delay or not actively participate in due to the prohibitive cost of entry.