Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

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Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir

Transcript of Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

Page 1: Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

Group 7Samantha Persaud

Benjamin MayVivian NunezMelanie Ngo

Dllechim Eesir

Page 2: Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

Power Tools, Professional-Tradesmen Approximate Segment Shares, 1990

50%

10%

9%

9%

5%5%

3% 3%

MakitaMilwaukeeBlack & DeckerRyobiSkilCraftsmanPorter-CableBosch

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Black & Decker Product Assessment

• Professional quality of items 1,2,3,5,9,13 and 14 are of high quality and above our competitors

• B&D’s products can compete in this market!

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Brand Awareness vs. Brand Image

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Why B&D’s 9% share in Tradesmen Segment?

a) Poor differentiation from lower grade products in the Consumer segment• Some tradesmen viewed ALL B&D products as for

use at home rather than on the job

b) Strong association with the consumer segment has damaged its brand perception in the Professional Segment

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Tradesmen Influence• Word of Mouth influences buyer behavior– Makita & Milwaukee both have high qualtiy

brand perception– Meanwhile Black & Decker has poor

association• Seen as a consumer product

Page 7: Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

Why B&D’s 9% share in Tradesmen Segment?

a) Poor brand perception in Professional segment, perceived as having low quality products – “…Black and Decker makes a good popcorn popper,

and my wife just loves her Dustbuster, but I’m out here trying to make a living…”

Highest LowestMakita Bosch Black & DeckerWenMilwaukee Hitachi Ryobi

Porter Cable SkilPanasonic Craftsman (Sears)

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Competitors Strategy• Both Milwaukee and Makita hold an edge

in the market– Milwaukee has strong brand loyalty– Makita controls largest market share • Differentiated with color and “wow factor”

Page 9: Group 7 Samantha Persaud Benjamin May Vivian Nunez Melanie Ngo Dllechim Eesir.

Option 3: Shift to DeWalt• The Black & Decker name cannot survive in

the Professional-Tradesmen Segment– Drop current name for DeWalt– “Is One of the Best” agreement survey • 63% DeWalt vs. 44% B&D

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