After many years of R&D, Goodyear has developed the Aquatred, an innovative new tire. However, the tire industry has matured and evolved, raising questions. Goodyear Aquarted tyre launch case anaalysis by rishi Contemplating the launch for the Aquatred, an innovative tire providing improved driving traction under wet driving conditions, Goodyear needs.

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Even though Warehouse Clubs are a relatively new retail format, they are quickly growing thanks to their variety of product offerings and their low prices. The commonality between these two segments is their emphasis on tire quality, performance, and overall value. Because glodyear target market consists of Quality-Conscious buyers who care more about the particular characteristics of the tire safety, performance, handling, wet traction, etc.

Also explores issues involved in managing a complex distribution structure during a time of rapid change. Of the potential markets, the target market analysis in Exhibit 2 clearly illustrates the size of the market and why the Quality-Conscious Buyers would be the most profitable segment to target. Goodyear needs to analyze how the market is evolving and determine which channels they need to invest in now, in order to provide them with the best possible position to establish market share in the gooduear.

This will reduce the number of complaints and will encourage Goodyear dealers to carry only a limited number of tire brands other than that of Goodyear. Exhibit 1 Constraints and Opportunities Constraints: In a time when tire purchases are becoming more price sensitive and moving towards a market demanding low cost private labels, Goodyear needs to determine an efficient strategy that markets a premium priced tire to this price dependent consumer base.

Some of the techniques utilized cawe the research process included: The Succes of Aqutred is a credited to several marketing researches conducted from the moment the concept of Aquatred was born to its launch stage. Students must use information on channel evolution and consumer behavior to make two decisions: Retrieved May 7 from: Finance Globalization Health Care.


Even auqatred Warehouse Clubs are a relatively new retail format, they are quickly growing thanks to their variety of product offerings and low prices. Students should find the product and distribution easy to understand, but the international market context provides a unique opportunity to apply core marketing principles.

Generate Alternatives Aquatred Target Market: This publicity needs to be targeted to the general public, news stations, and also the Aquatred dealers. The decision should be based on market size, market trends, and also the channels compatibility with the Goodyear company and its associated products.

However, Goodyear needs to focus on selling the majority of their tires though SIDs. With manufacturer-owned outlets steadily decreasing in terms of retail sales in the replacement tire industry, Goodyear needs to rejuvenate their relationship with their SIDs. With the industry turning toward long-life warranties and low cost private labels, Good year needs to select a specific consumer and channel in order to maximize sales and build brand equity, while increasing dealer receptiveness and reducing channel conflict.

Would you like to get such a paper? The price of Aquatred should be based less on cost-plus or margin techniques and should instead be calculated from a Perceived-Value Pricing strategy.

With the indentation to assist ease this condition, Goodyear’s family of Aquatred-branded tires features deep, wide grooves and aggressive tread patterns designed to keep the tires in contact with the road even in deep water at high speeds, promising increased safety on wet roads.

Goodyear: The Aquatred Launch by Dipendu Chanda on Prezi

Not only does Goodyear posses the greatest experience in these particular outlets, but they produce greater margins See Exhibit 4 and allow Goodyear to maintain control throughout the distribution process. In order to gain compliance and trust, Goodyear should consider closing manufacturing-owned outlets, which are in direct competition with specific dealers.


A more conservative approach would use targeted communications and promotions. The case can be used to discuss strategy, positioning, and marketing communications, which are relevant to considering alternative strategies for growth. In order to lower advertising costs, messages will be targeted toward promotional hot spots as shown in Exhibit 7.

Goodyear Aquatred Case Analysis

Cite Gooodyear Details Educators Purchase. Even though the Aquatred marketing plan would not appeal to this particular channel, Goodyear should expand distribution and market a low priced tire to be sold thorough this emerging channel. Additional promotional activities are illustrated in Exhibit 8. The case is recommended for upper-level undergraduate students or first-year MBA students studying marketing strategy.

Prior to the launch, Goodyear will need to generate hype in regards to their breakthrough godoyear wet traction performance. Cite View Details Purchase. Czse tire was innovated in late and was result of a long, cautious, effective research. Business and Environment Business History Entrepreneurship.

The purpose of the third research was to identify: Aqutrad became the best product in good year history not by accident. It is well known that wet road conditions contribute to more than 1 million automobile accidents each year.

Aquatred family tire is best known for: About the Author John A. Second most important tire attribute to consumers according to Goodyear surveys.