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Cold Call Summary • Joseph Galli, B&D’s VP sales and marketing , is trying to figure out why B&D has virtually no market share in the “tradesman” segment of the power tools business. He is faced with a decision of what to do with the troubled line. Should he: o Use a sub-branding strategy in this category (Piranha by B&D) o Drop the B&D name from the “Tradesman” segment and replace it with the DeWalt brand. • B&D dominates in the other 2 segments: “Consumer” – represented by home users who buy their own tools (530m US market); and “Industrial” – professional users whose construction companies buy their tools for them (550m US market). • In the “Tradesman” segment (420m US market), tools are for industrial use, but buyers purchase their own tools (carpenter, etc). Makita dominates the tradesman category with 50% market share. B&D has 9% and is 3rd. • The problem in this category for B&D is not of quality, but of negative perception in the industry as manufacturers of household goods (dustbuster, popcorn popper) or as being unreliable on the job. • Color could be an issue, as all other manufacturers in the professional grade segments use different colors (Makita-teal, Milwaukee-red) DeWalt is industrial yellow.
Approximate Word count = 749
Approximate Pages = 3
(250 words per page double spaced)
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