Spectrum Brands Essay Example for Free

Spectrum Brands Essay-Remington attraction on shaving and personal c ar products generates global revenue of US$350 jillion with 8 gross revenue reps assigned to specific retailers.-United/Nu-Gro leaders in the lawn and garden care with sales US$550 million and biting louse understand products with sales US$150 million, target customers who desire comparable products with secondaryer prices than premium-prices.-Distributors offer a uniform(p) services than an internal sales contract could and are responsible for the sales in the diverse geographic locations of pet retailer trades.Weaknesses-Spectrum through Rayovac drop been able to secure space shelf space in a small number of retailers while competitors gain market share through greater control over dispersion channels, retailers, and prices. -The United/Nu-Gro skipper division has its own dedicated sales force that creates a lack and dependency on sales reps expertise.-The lawn and garden care, insect control and pe t foods industries Spectrum is in have different seasons that the new sales force must balance.Opportunities-The sales force from competitors offers retail discounts and promotional discounts to retailers, distributors and wholesalers creating a competitive advantage that Spectrum may add as value to its new sales force.-A restructured sales force can focus on the sales growth with greater benefits for the gild-Room for greater retail strawman by offering product discounts and stealing market share from competition if the sales costs are better managed. Threats-That the new sales force would end up doing significant duplication of efforts if sales reps would bellyache same retailers at the same time.-An ineffective selection process of the new sales force could disassemble the growth momentum of Spectrums individual brands and the relationships with retailers, wholesalers and customers. Competitors get the benefit.-The sales in the lawn and garden division may be a risk of havi ng a poor season since sales depend on live conditions.SWOT analysisIn general, the current sales force is not efficient as it take to be. Although the total sales of all divisions are steady, competitors are gaining shelf space through channels of distribution that Spectrum is not able to reach due to the lack of sales focus by its sales force. Inspite of the market share challenge, Spectrum is in a great position to increase the market share by conservatively creating a sales force that would increase its market visibility.Market AnalysisBattery MarketConsumers assert on convenience and quality when purchasing batteries and tend to gravitate towards the brand names. Spectrums competitors are Procter run a risk 40% and Energizer battery brand with 40% of the market share. The alkaline battery is evaluate to find the market in 5 years.In Canada, the alkaline battery market is above CAD $ three hundred million. Rayovac holds 20% of the market. It is a household seasonal produc t and 70% of the sales primary done during and by and by Christmas. Mass merchandisers, home garden centers and niche electronic stores are used as retailers generate 60% of sales, while 40% of sales are with wholesalers, distributors, especially in Wal-Mart with 40% of shelf space.Shaving and homework products market.A combination of electronic grooming products and pig care applications with a growth of 3% and expected to continue. It has a sales cycle as gift giving season, shaving and grooming products are in high demand on Christmas, fathers day and mothers day. Remington merged with Rayovacin2003 Remington (Now Spectrum) has secured 30% in USA and 21% in UK of the market share with global revenue US$350 million in 2003.The major competitors in the shaving market are Norelco (Philips) with rotary shavers and Braun-Gillette (Now Procter Gamble), while in hair care industry are Conair Corporation and Norelco that competes on quality and price.Sales reps have a take aim presen ce in the succeeder of sales since they manage sales directly with small niche retailers like salons, specialty hair and body care. It generates 35% of total sales. Wal-Mart retail generates 40% of sales as a traditional retail channel.Lawn and Garden MarketIt is driven by the baby boomers population. In North the States more than 80% of households participants in garden activities generate a US$4 billion industry in sales and a potential annual growth of between 4% and 5%.The insect control products play an important role in this market. When new diseases appeared like westmost Nile virus and bone diseases, it increases demand for more insect control product raising the market in about 7% to 8% in sales. Scotts and Johnson Son, Inc are the market leaders with products like Ortho and Roundup.United/Nu-Gro company a Canadian subsidiary of United Industries Corporation in USA, is the number 2 company in lawn and garden products with a 23% market share and US$550 million in sales. Th e key of its success is in offering brand names such as Vigoro, Shultz, and CIL to targeted consumerswho want products at a low price. In the Insect control market, United/Nu-Gro is number 2 with 24% of market share and US$150 million on sales.Mass merchandisers and garden and home centers are the channels used generating 60% of sales in the consumer division. The professional division has its own sales team specialized in professional products for specific customers like golf courses and pest control operators generating 25% and 15% of sales respectively.