Solus write up for assignment 1 PDF

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assignment 1...

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SOLUS will revolutionize the way one will heat their home and provide a more efficient option for everyday heating needs. It saves about 80% off heating bills for a radiator and 95% if using an electric radiator. This product is made from graphene based nano tech coating which is the heart and soul of this product. Not only is it made to be efficient 30 years down the line, it is 5 times more efficient than water radiators and 20 times more than electric radiators. SOLUS takes pride in using 20 times less power and the fact that it can save the average UK home approximately $175 just by utilizing this heater. This product is free standing or mountable and easy to install anywhere in the home. Simply plug in the device and within seconds it is up and running. This means that if for some reason one were to leave their home or have renovations done, SOLUS can be easily moved or removed from the house or wall, making it much more convenient than other heating options. SOLUS also comes with a convenient thermoregulator which allows to one to set the room temperature and it is a remote so one would not need to physically change the temperature on the radiator or a thermostat. Reducing environmental footprint was also important to the company when developing this product. SOLUS is fully recyclable providing a reduced environmental footprint and helping the environment. Typically, heaters these days are large and hard to lug around and in some cases, a pain to install. SOLUS makes it easy to install and access their product to ensure one is comfortable and well heated in there home. This product is useful for many people of many age groups and also outdoes its competition with many features. This product will fit perfectly in a store like Best Buy because of the price people save and the certain benefits that trump the competition. Promoting this product will consist of discussing the cost benefits and saving of heating homes with this product as opposed to the more expensive way folks do today. Environmental benefits will also be discussed in further detail while promoting this product. SOLUS radiator is a one of a kind

heating system that trumps the competition and would be an amazing addition to the Best Buy shelves. So — what is it about SOLUS’s radiator that differentiates it from all other comparable products and undoubtedly makes it worth Best Buy’s shelf space? SOLUS’s headline for the product emphasizes its key, unique feature — it’s “the most efficient radiator in the world” and therefore, also the most sustainable and eco-friendly option. The efficient operation of SOLUS’s radiator beats all of Best Buy’s existing competition by a vast margin, given that using SOLUS in place of conventional water-based radiators or other electrical radiators will reduce heating bills by about 80% or 95% respectively. One of Best Buy’s current top-selling, green radiators called the Honeywell EnergySmart Electric Radiator Heater claims that it will save up to 35% of energy bills when operating on its EnergySmart settings. However, in addition to Honeywell’s efficiency being far lower than SOLUS’s, those savings don’t even apply when consumers instead use their constant heat settings. SOLUS, on the other hand, will consistently use up to 20x less power than competitors because its design makes it highly efficient in creating and delivering heat, and allows it to maintain that same level of efficiency throughout its life. SOLUS is so efficient in creating heat because firstly, it operates on a modified pulsed current, which minimizes power drained by the heater through periodic smart cycles of fully warming and fully cooling. Secondly, SOLUS’s heating element has such little resistance that fluctuating electrical currents can be directly translated into heat without the use of inefficient micro-components. Due to the technology’s combination of convection-based and infrared heating which focuses on directly heating objects in the room and having them circulate heat throughout the space, SOLUS is also highly efficient in delivering heat. Furthermore, the nanotech coating of the radiator “doesn’t suffer from

oxidation or create stray magnetic fields” which allows the product to be just as efficient years down the line as it is on day one. More than any other alternative, the Honeywell EnergySmart Electric Radiator Heater puts up competition for SOLUS with its energy smart settings based on infrared heating, its ability to effectively heat about 90 more square feet of space at a time, and its strategic focus on heating only a particular room rather than a whole house. However, as mentioned earlier, Honeywell still only saves 35% of heating bills as compared to SOLUS’s 80-95% savings due inferior aspects of its design like how Honeywell’s housing material is a metal that will oxidize and create magnetic fields in the future, decreasing its efficiency. The Lasko Cool-Touch Infrared Quartz Heater is another competitor currently at Best Buy that uses both savesmart technology and an easy vacuum permanent filter to ensure its energy efficient operation, while heating a space almost twice as large as the SOLUS can. This design though has inferior efficiency to the SOLUS because 1. its housing material is a metal which will cause efficiency declination with more usage and 2. it relies upon convection heating. Because SOLUS holds this superior efficiency leading to a much higher sustainability rating among products, the company can charge the price of a differentiated product. SOLUS has not yet determined the price it will sell individual radiators at but a Studio Pack of two has a retail price of six hundred euros currently. This pricing would be worth the upcharge given the distinctive efficiency benefits of the radiator. The complex relationship among Product, Price, Place and Promotion are linked together throughout the different sections of this paper. However, what it comes down to is that the price a retailer can charge for a product is directly related to how much actual value and/or perceived value a customer finds in the product. Once again, depending on what the value of the product is, the manufacturer and retailers then need to decide

the appropriate selling place for the product (i.e. a place where the target market of the product will be or a place that fosters that same values as the product). Then, marketers or salespeople must find a strategic way to present those values attractively to potential consumers. The most appropriate perceptual map to draw for SOLUS’s radiator would most likely be one with sustainability and price on the axes. Unsurprisingly, SOLUS would fall near the top of a sustainability scale and lower of the attractive price rating scale. Though other radiators currently selling at Best Buy do not possess nearly as good efficiency ratings, their prices are far more attractive. Therefore, if there is one weakness that SOLUS might have, at least before its future customers have really experienced its benefits, it is in the pricing. With Best Buy’s recent ranking as one the greenest retailers, there has never been a better time to introduce the SOLUS Heating System to retail locations. A 2014 Nielsen Study found that 60% of consumers in the last six months have spent more money on a product because it was claimed to be responsibly produced. This gives “green” businesses a competitive advantage in appealing to customers through their practices, such as Best Buy, but also gives a company the ability to sell “green” products so consumers can be their own catalyst for change. By making changes to lower emissions and offering sustainable products, businesses can cut operating costs, build their customer base, and even charge more for products. Nielsen also highlighted the fact that products with sustainability saw an annual increase in sales of 2%, compared to products with no sustainability claims that averaged a 1% annual increase in sales. With consumers becoming more concerned with where their products are coming from, listing the SOLUS in retail locations is a prime opportunity....