Stihl Incorporated Case Study 8
Q1. Analyse the one or two main issues or problems you see in the case
Issue 1: The main issue found within Stihl Incorporated is distribution. Stihl did not distribute their products through the home improvement centres, Home Depot and Lowe’s due to risk. Home Depot and Lowes provided risk in changing and lowering of prices; finally, competition between the two home improvement centres also shared a dramatic risk with sales and Stihl’s products. This resulted with the “hit advertising campaign” which highlighted the importance of Stihl’s dealerships.
Issue 2: A second issue that is also related to the first is the end customers of Stihl’s products. There was a difficult and confusing distinction between commercial and consumer customers on the sales floor, products due to stuff being inexperienced and uneducated with Stihl’s equipment which would initially impact the sales dramatically. Because this was unclear, the distinction between Stihl’s commercial and consumer product lines was not understood either. The products had been targeted for both commercial …show more content…
This would be performed through extensive market research to examine what consumers need from a purchase experience, discovered through the use of focus groups. These needs would be implemented, with employees trained and educated on products, providing consumers with an efficient and effective experience with the purchase of Stihl’s products. Secondly launch a multi-channel marketing campaign that focuses on the positives of a specialized Stihl dealership and include a loyalty system for customers both commercial and homeowners to gain the most benefits they can purchasing and owning Sthil’s equipment. This would help capture both markets, as well not shame other distribution channels or hardware brands in the
Q1. Analyse the one or two main issues or problems you see in the case
Issue 1: The main issue found within Stihl Incorporated is distribution. Stihl did not distribute their products through the home improvement centres, Home Depot and Lowe’s due to risk. Home Depot and Lowes provided risk in changing and lowering of prices; finally, competition between the two home improvement centres also shared a dramatic risk with sales and Stihl’s products. This resulted with the “hit advertising campaign” which highlighted the importance of Stihl’s dealerships.
Issue 2: A second issue that is also related to the first is the end customers of Stihl’s products. There was a difficult and confusing distinction between commercial and consumer customers on the sales floor, products due to stuff being inexperienced and uneducated with Stihl’s equipment which would initially impact the sales dramatically. Because this was unclear, the distinction between Stihl’s commercial and consumer product lines was not understood either. The products had been targeted for both commercial …show more content…
This would be performed through extensive market research to examine what consumers need from a purchase experience, discovered through the use of focus groups. These needs would be implemented, with employees trained and educated on products, providing consumers with an efficient and effective experience with the purchase of Stihl’s products. Secondly launch a multi-channel marketing campaign that focuses on the positives of a specialized Stihl dealership and include a loyalty system for customers both commercial and homeowners to gain the most benefits they can purchasing and owning Sthil’s equipment. This would help capture both markets, as well not shame other distribution channels or hardware brands in the