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Answer these questions on teh following case study:


Why have Hydrotech sales not met company expectations? Hydrotech had been very successful in gaining traction in other market segments (e.g., consumer and health care). What mistakes did they make in selling to the hospitality industry?





Transcript: Hydrotech Vacuum Cleaner Case Study

Product specifications for the Hydrotech Vacuum, the most technologically advanced vacuum on the market today:

  • The Hydrotech is the most powerful and complete vacuum available today. It traps 99.9% of dirt, pollen, dust and other irritants using its patented Ionic-Scrub technology—and doesn't spew pollen and dust back into the air like other Vacuums. The Hydrotech is a much more advanced piece of equipment than other vacuums on the market.
  • The Hydrotech is one of the most popular vacuums in the Health Club industry, because it stands up to any challenge.
  • It's favored by many smart consumers in the upscale private sector.
  • If consumers really care about cleaning, then they need a Hydrotech. Studies have shown that no other vacuum comes within 20% of the cleaning power of the Hydrotech.
  • It starts at $1,200.
  • With regular maintenance, and emptying of the water reservoir that traps what the Hydrotech picks up, this vacuum will provide years of service. It does take some training to understand how to carefully clean the Hydrotech after each use.

Corporate Strategic Goals Summary

To continue to grow we need to expand our customer base. After successfully gaining product recognition and steady sales results in the consumer market and health industry, the next obvious market for our company is the hospitality industry. For the Hydrotech Company, the advantages of making sales to the hospitality industry are many, the big one being that a sale to a consumer is one vacuum, but a hotel would buy multiple units. Further, in the hospitality industry vacuum cleaners are replaced approximately every three years. Once staff are trained to utilize the dramatic cleaning power of a Hydrotech, the results will create return customers. We did some market research of potential customers to see what Hydrotech's selling points would be.

Hydrotech Market Research

In our market research, we uncovered the following data points:

Consumer Feedback

  • A standard vacuum returns a high percentage of the dust and airborne allergens that it encounters back into the air.
  • A Hydrotech vacuum removes 99.95% of them; 89% of hotel visitors rated this attribute as "very important".
  • 80% of hotel visitors rated room cleanliness as "very important" to the quality of their experience.
  • 55% of hotel visitors said allergies were an issue for them; 40% of visitors use medication to treat allergic symptoms.
  • 60% of hotel visitors said they have had experience staying in a hotel where the room cleaning was sub-par, and it influenced their decision to not return for a follow up stay.

Manager Feedback

  • Managers prefer to have one vacuum cleaner brand for all areas so maintenance is simple and replacement parts do not have to be stocked for different brands.
  • Commercial vacuum cleaners also have to be much sturdier than the vacuums used by consumers for their homes.
  • The list price of a commercial vacuum cleaner is around $500-$600, but discounts are routinely given by vendors to make a large sale. Housekeeping Directors can usually negotiate prices of $350-$450 for each unit purchased.
  • Housekeeping Directors also prefer upright vacuum cleaners with only one attachment that cannot be removed—as one Director noted, "fancy, removable attachments get lost and are seldom used."
  • Ease of operation for the vacuum cleaner is essential.
  • Commercial vacuum cleaners for guest rooms typically weigh about 18 lbs and are 12-15 inches wide so they can go under and behind furniture.
  • Vacuum cleaners for hotel public areas are generally much bigger, wider and more powerful then room-use models; they often are self-propelled.

Corporate Sales Report Results

Despite the best efforts of our talented sales team, including the introduction of an installment payment plan, we are very disappointed with our sales volume to date. Further analysis is needed to examine why we have not achieved the same success in the hospitality industry that we have enjoyed in other market segments.

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You must xxxxxxx at least xxxxxxx to each xxxxxxx xxxxxxx with xxxxxxx least 50 xxxxxxx and your xxxxxxx must xxxxxxx xxxxxxx following requirements:

What xxxxxxx post should xxxxxxx be

There is xxxxxxx need to xxxxxxx a lengthy, xxxxxxx style response. xxxxxxx xxxxxxx your xxxxxxx under 200 xxxxxxx it Your xxxxxxx Work

Your xxxxxxx xxxxxxx a discussion xxxxxxx must represent xxxxxxx thoughts, ideas, xxxxxxx opinions, and xxxxxxx be composed xxxxxxx your own xxxxxxx xxxxxxx welcome xxxxxxx include citations xxxxxxx the Web xxxxxxx other xxxxxxx xxxxxxx you feel xxxxxxx be related xxxxxxx the topic. xxxxxxx such citations xxxxxxx be used xxxxxxx as a xxxxxxx xxxxxxx reference xxxxxxx adding your xxxxxxx thoughts in xxxxxxx own xxxxxxx xxxxxxx from other xxxxxxx including the xxxxxxx without additional xxxxxxx in your xxxxxxx words, do xxxxxxx meet the xxxxxxx xxxxxxx meaningful xxxxxxx to the xxxxxxx discussion and xxxxxxx not xxxxxxx xxxxxxx acceptable. In xxxxxxx cases where xxxxxxx reference the xxxxxxx of others xxxxxxx copy and xxxxxxx content from xxxxxxx xxxxxxx including xxxxxxx Web, you xxxxxxx cite the xxxxxxx appropriately. xxxxxxx xxxxxxx case of xxxxxxx content, that xxxxxxx providing the xxxxxxx In other xxxxxxx you should xxxxxxx at a xxxxxxx xxxxxxx author xxxxxxx title of xxxxxxx work you xxxxxxx copying.




Answer xxxxxxx xxxxxxx on teh xxxxxxx case study:


Why xxxxxxx Hydrotech sales xxxxxxx met company xxxxxxx Hydrotech had xxxxxxx very successful xxxxxxx xxxxxxx traction xxxxxxx other market xxxxxxx (e.g., consumer xxxxxxx health xxxxxxx xxxxxxx mistakes did xxxxxxx make in xxxxxxx to the xxxxxxx industry?





Transcript: Hydrotech xxxxxxx Cleaner Case xxxxxxx specifications for xxxxxxx xxxxxxx Vacuum, xxxxxxx most technologically xxxxxxx vacuum on xxxxxxx market xxxxxxx xxxxxxx is the xxxxxxx powerful and xxxxxxx vacuum available xxxxxxx It traps xxxxxxx of dirt, xxxxxxx dust and xxxxxxx xxxxxxx using xxxxxxx patented Ionic-Scrub xxxxxxx doesn't spew xxxxxxx and xxxxxxx xxxxxxx into the xxxxxxx like other xxxxxxx The Hydrotech xxxxxxx a much xxxxxxx advanced piece xxxxxxx equipment than xxxxxxx xxxxxxx on xxxxxxx market.

  • The Hydrotech xxxxxxx one of xxxxxxx most xxxxxxx xxxxxxx in the xxxxxxx Club industry, xxxxxxx it stands xxxxxxx to any xxxxxxx favored by xxxxxxx smart consumers xxxxxxx xxxxxxx upscale xxxxxxx sector.
  • If consumers xxxxxxx care about xxxxxxx then xxxxxxx xxxxxxx a Hydrotech. xxxxxxx have shown xxxxxxx no other xxxxxxx comes within xxxxxxx of the xxxxxxx power of xxxxxxx xxxxxxx starts xxxxxxx $1,200.
  • With regular xxxxxxx and emptying xxxxxxx the xxxxxxx xxxxxxx that traps xxxxxxx the Hydrotech xxxxxxx up, this xxxxxxx will provide xxxxxxx of service. xxxxxxx does take xxxxxxx xxxxxxx to xxxxxxx how to xxxxxxx clean the xxxxxxx after xxxxxxx xxxxxxx Strategic Goals xxxxxxx continue to xxxxxxx we need xxxxxxx expand our xxxxxxx base. After xxxxxxx gaining product xxxxxxx xxxxxxx steady xxxxxxx results in xxxxxxx consumer market xxxxxxx health xxxxxxx xxxxxxx next obvious xxxxxxx for our xxxxxxx is the xxxxxxx industry. For xxxxxxx Hydrotech Company, xxxxxxx advantages of xxxxxxx xxxxxxx to xxxxxxx hospitality industry xxxxxxx many, the xxxxxxx one xxxxxxx xxxxxxx a sale xxxxxxx a consumer xxxxxxx one vacuum, xxxxxxx a hotel xxxxxxx buy multiple xxxxxxx Further, in xxxxxxx xxxxxxx industry xxxxxxx cleaners are xxxxxxx approximately every xxxxxxx years. xxxxxxx xxxxxxx are trained xxxxxxx utilize the xxxxxxx cleaning power xxxxxxx a Hydrotech, xxxxxxx results will xxxxxxx return customers. xxxxxxx xxxxxxx some xxxxxxx research of xxxxxxx customers to xxxxxxx what xxxxxxx xxxxxxx points would xxxxxxx Market Research

    In xxxxxxx market research, xxxxxxx uncovered the xxxxxxx data points:

    Consumer xxxxxxx standard vacuum xxxxxxx xxxxxxx high xxxxxxx of the xxxxxxx and airborne xxxxxxx that xxxxxxx xxxxxxx back into xxxxxxx air.

  • A Hydrotech xxxxxxx removes 99.95% xxxxxxx them; 89% xxxxxxx hotel visitors xxxxxxx this attribute xxxxxxx xxxxxxx important".
  • 80% xxxxxxx hotel visitors xxxxxxx room cleanliness xxxxxxx "very xxxxxxx xxxxxxx the quality xxxxxxx their experience.
  • 55% xxxxxxx hotel visitors xxxxxxx allergies were xxxxxxx issue for xxxxxxx 40% of xxxxxxx xxxxxxx medication xxxxxxx treat allergic xxxxxxx of hotel xxxxxxx said xxxxxxx xxxxxxx had experience xxxxxxx in a xxxxxxx where the xxxxxxx cleaning was xxxxxxx and it xxxxxxx their decision xxxxxxx xxxxxxx return xxxxxxx a follow xxxxxxx stay.
  • Manager Feedback

    • Managers xxxxxxx to xxxxxxx xxxxxxx vacuum cleaner xxxxxxx for all xxxxxxx so maintenance xxxxxxx simple and xxxxxxx parts do xxxxxxx have to xxxxxxx xxxxxxx for xxxxxxx brands.
    • Commercial vacuum xxxxxxx also have xxxxxxx be xxxxxxx xxxxxxx than the xxxxxxx used by xxxxxxx for their xxxxxxx list price xxxxxxx a commercial xxxxxxx cleaner is xxxxxxx xxxxxxx but xxxxxxx are routinely xxxxxxx by vendors xxxxxxx make xxxxxxx xxxxxxx sale. Housekeeping xxxxxxx can usually xxxxxxx prices of xxxxxxx for each xxxxxxx purchased.
    • Housekeeping Directors xxxxxxx prefer upright xxxxxxx xxxxxxx with xxxxxxx one attachment xxxxxxx cannot be xxxxxxx one xxxxxxx xxxxxxx "fancy, removable xxxxxxx get lost xxxxxxx are seldom xxxxxxx of operation xxxxxxx the vacuum xxxxxxx is essential.
    • Commercial xxxxxxx xxxxxxx for xxxxxxx rooms typically xxxxxxx about 18 xxxxxxx and xxxxxxx xxxxxxx inches wide xxxxxxx they can xxxxxxx under and xxxxxxx furniture.
    • Vacuum cleaners xxxxxxx hotel public xxxxxxx are generally xxxxxxx xxxxxxx wider xxxxxxx more powerful xxxxxxx room-use models; xxxxxxx often xxxxxxx xxxxxxx Sales Report xxxxxxx the best xxxxxxx of our xxxxxxx sales team, xxxxxxx the introduction xxxxxxx an installment xxxxxxx xxxxxxx we xxxxxxx very disappointed xxxxxxx our sales xxxxxxx to xxxxxxx xxxxxxx analysis is xxxxxxx to examine xxxxxxx we have xxxxxxx achieved the xxxxxxx success in xxxxxxx hospitality industry xxxxxxx xxxxxxx have xxxxxxx in other xxxxxxx segments.

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