Marketing_Essay

Running head: PRODUCT LAUNCH Product Launch Learning Team D Devin Smith, Glenn Burnett, Mary Kim Piccinini, Rogelio Ramirez, Santianna Stewart University of Phoenix MKT/571 Marketing Instructor Bryce McDonald February 14, 2013 Introduction (Mary) Market Needs (Glenn) Rain for Rent provides temporary liquid handling through a wide variety of handling solutions including storage tanks, mobile pumps, filtration and spill containment. The company provides services to oil field refineries, government municipalities, the mining industry, construction firms, and the agricultural industry. The company seeks to meet the needs of the market by: * Engineering expertise – Rain for Rent’s engineering expertise allows them to solve complex problems for multiple industry needs. * Cost effective solutions - Rain for Rent’s experience and expertise allows them to competitively bid projects. * Providing high values to the customer – The company seeks to provide value to the consumer through high customer satisfaction from high quality solutions at competitive pricing. Market Growth (Glenn) Rain for rent will penetrate the German market by offering high quality, low cost solutions for temporary liquid handling to governmental institutions and mining interests. Rain for rent is already the market leader in the United States in mobile pump renting and the demand for this type of equipment is increasing in Germany as they expand their renewable energy infrastructure following the nuclear reactor accident in Japan. “According to the report by the German Energy Agency (Deutsche Energie-Agentur GmbH, or Dena), the country can expect to invest at least €27.5 billion ($35.8 billion) and up to as much as €42.5 billion ($55.4 billion) in the massive expansion and rebuilding program that its electricity distribution network will need” (World Nuclear News, 2012). In addition to the need for infrastructure expansion Germany has undertaken massive hydraulic fracturing mining projects in the quest to become energy dependant. The hydraulic fracturing mining process pumps pressurized fluid into the layers of rock to release petroleum and natural gas from the rocks. The expansion of this technology will create much demand for the services for Rain for Rent’s products, services, and industry know-how. SWOT Analysis (Rogelio) This SWOT analysis gives a brief look into the company Rain for Rent as Team D recommends expansion into the European Union (EU) nation of Germany. After evaluating the SWOT analysis, Team D recognized the strengths, weaknesses, opportunities, and threats of expanding Rain for Rents business into Europe. Clearly, expansion into Europe brings many uncertain threats and concerns; however, this calculated expansion also presents an extraordinary opportunity to expand into a profitable global market. Competition (Rogelio) Aqua Tech Pump Rental is Rain for Rent’s main competitor and is expanding into the global market. Aqua Tech is Canadian owned and poses a viable threat to entering the market in Germany (“Company Information”, 2011). As Rain for Rent is a leader in De-Watering and pump rental, Aqua Tech is the Canadian equivalent and offers similar products to solve liquid handling issues. Government officials have plagued the public works projects in Germany with disastrous outcomes and mismanagement because of lack of experience. Therefore, providing a competitive product with years of experience in public works projects allows Rain for Rent a competitive edge and differentiates itself from other competitors in the market. Product Offering/Differentiation (Rogelio) Rain for Rent offers numerous pumps, tanks, filtration systems, spill guards, sprinkler systems, (“Products”, 2012) for all types of public works and agricultural needs. Rain for Rent offers products and services to refineries, government projects, pipelines, construction sites, mining, environmental clean-up, power plants, oil/gas, agricultural, and manufacturing, (“Industry-Case Studies”, 2012). The main differentiation of these products from the competitors is that Rain for Rent manufacturers 100% of the equipment in the United States and has more than 80 years of experience in the industry. No other company in the world has such expertise and specialized products on the market to handle any liquid handling issues. Additionally, mining for fossil fuels and becoming more energy independent as a sovereign nation, Germany commenced fracturing mining, better known as FRAC mining. According to "Hydraulic Fracturing - Fracking Site In Vechta, Germany" (2013), “fracking comes from the term "Hydraulic Fracturing" and is a very controversial technology which is used to drill for gas and oil. A fluid is pressed in the drilled hole in order to raise the pressure in low-level rock formations, leading to the gas or oil to rip through the rock formations. The frac fluid comprises different kinds of chemicals, ending up in the ground water around the fracking sites. In the U.S., fracking is used since 1949, U.S. oil companies started to build fracking sites in Northern Germany in 2010. The use of the frac fluid is highly controversial because many residents near such sites claim the rate of cancer and other diseases raised significantly after the fracking was performed,” (para. 1). Although viewed as a controversial method of mining for fossil fuels, Rain for Rent has a proven record of accomplishment for safety, differentiates the products, and services it provides because of this new exploration. To accomplish market penetration and success in Germany, Rain for Rent plans to send the following products into the country. Product Identification (Rogelio) Some of the products Rain for Rent offers to the German market are Transportable pumps are the most durable in the industry and offer flows from 500 to 16,000 gallons per minute (GPM), solids handling capabilities from 1.25” to 4.75” and run dry capabilities, (“Products”, 2012). Fracture mining tanks or steel FRAC tanks are stainless steel tanks and boxes are easily transported and easy to clean, (“Products”, 2012). Filtration systems will filter water for municipalities, manufacturers, mining, and agricultural customers, and remove hazardous sediment, (“Products”, 2012). Portable spill containment systems improve environmental safety by capturing liquids and preventing accidental spills, (“Products”, 2012). As demand rises for liquid handling solutions, Rain for Rent will provide the government and German consumers with more products to meet their needs; further explanation of product selection will delineate and justify our choice for the products. Justification for Choice of Product (Santianna) Conclusion (Devin) References Company Information. (2011). Retrieved from http://www.aquatechdewatering.com/company_info.php Industry-Case Studies. (2012). Retrieved from http://www.rainforrent.com/Industry-Case-Studies/ Products. (2012). Retrieved from http://www.rainforrent.com/Products/ World Nuclear News. (2012, December). Germany faces multibillion-Euro grid bill. Retrieved from http://www.world-nuclear-news.org/EE-Germany_faces_multibillion-Euro_grid_bill-1212127.html