Enviro pure water, inc. is a marketer for the product that purifies drinking water. The purifier is produced by Environmental control, inc. and the product is branded as Purity II. The initial capital of the Enviro was just $20,000 and the operating budget was about $4500. The filter of the purifier has to be replaced once in two years. There are 6 sales person and 2 students and a secretary working for the company and are paid basic salary and commission on the units sold.
PRODUCT –
The customers expect a water purifier at an affordable price and which has a long life period.
Enviro uses a rare and effective technology called Reverse osmosis for their product Purity II.
Purity II needs to be attached to the water supply line just by drilling a hole and fastening the faucet.
Purity II includes high-quality 1-micron sediment removal cartridge, a carbon filter, sediment filter, a faucet and mounting hardware.
The filter has to be replaced every two years. The filter can be purchased only from the Enviro, Inc.
Customers look for the purified water instead of paying high price for the packaged drinking water.
PRICE –
The price of the product should be fixed about $395, as the company is new to the market.
The price of the product includes both shipping and installation charges.
The product is distributed to the wholesalers for about $366 in Florida.
The replacement filters are charged at $80 and can be replaced only from the Enviro Inc.
The price discounts of 10% are given for the referrals from the customers.
The discounts of 10% on the replacement filters also given.
The price from the competitor must be higher from the competitors as the product is new to the market and also uses unique technology for purification. PLACE –
Personal selling will be an effective selling channel. The demonstration of the product must be given to the customers.
The right place to market the products are the residential and apartment households.
Enviro is the only place where the product can be purchased and the product is shipped to the customers without extra charges and the sales person. The Enviro Inc offices are a place to find the product as they are directly associated with the warehouse and can ship the product to the customers at the earliest.
Online and teleshopping is also an easiest way to reach the product.
The stalls that are located in the public places can make the bookings.
PROMOTION –
Purity II must be promoted at a low budget because the Enviro Inc. is a small business and new in the market.
Enviro gets good promotional support from Environmental control Inc like newspaper and magazine