Register to read the introduction…
Founded in 1928, Jones Blair has become the standard in quality and has earned the reputation of being a fair dealer resulting in long standing relationships with distributors of their products. However, this has created a concern due to the need for high quality products; they have the inability to be flexible with pricing. National retailers due to the mass quantities that they sell have gained an advantage due to this inelasticity of pricing. This is especially visible in the long-lasting and durable market. They are concerned with the ability to continue to market to the professional buyers. Although Jones Blair’s strong ties and outstanding relationships have provided them protection over the years they must address the issues of pricing and market share rapidly. Jones Blair has collaborated with the retailers in marketing initiatives and partnerships to lower advertising costs and still gain exposure to their targeted groups. In the current market, Jones Blair sells in 200 local retain stores out of a possible 1000. A target of opportunity is to increase this number, especially in areas that contain high quality painting opportunities in which the professionals are
…show more content…
These areas do not consist of specific locations, but can be better broken in to rural and urban. Upon analysis of the targeted market and the locations the following ratios represent Jones Blair’s market share in each segment: Urban/Professionals 35%, Urban/Do-it-yourself 6%, Rural/Professional 45% and the Rural/Do-it-yourself 12%. As the core competency of providing high quality paint the target for Jones Blair is geared towards the professionals who have a stake in the quality of their work. Do-it-yourselfers are much more price sensitive and also do not purchase the products on a consistent basis. Another key factor for the do-it-yourselfers is they often choose the retailer first, usually a mass retailer, as opposed to a professional who is focused on products that will establish long term customer relationships. Mass retail locations sell large quantity mid quality items such as Valspar, Glidden and Behr paints. Jones Blair Company has called together its senior management executives to provide insights into the marketability of its products. Each individual has focused on how and what they believe to answer the problem that Jones Blair is
These areas do not consist of specific locations, but can be better broken in to rural and urban. Upon analysis of the targeted market and the locations the following ratios represent Jones Blair’s market share in each segment: Urban/Professionals 35%, Urban/Do-it-yourself 6%, Rural/Professional 45% and the Rural/Do-it-yourself 12%. As the core competency of providing high quality paint the target for Jones Blair is geared towards the professionals who have a stake in the quality of their work. Do-it-yourselfers are much more price sensitive and also do not purchase the products on a consistent basis. Another key factor for the do-it-yourselfers is they often choose the retailer first, usually a mass retailer, as opposed to a professional who is focused on products that will establish long term customer relationships. Mass retail locations sell large quantity mid quality items such as Valspar, Glidden and Behr paints. Jones Blair Company has called together its senior management executives to provide insights into the marketability of its products. Each individual has focused on how and what they believe to answer the problem that Jones Blair is