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Ever Ready Vs. Duracell: The Battle For Portable Power The Essay Analyses A Case Study On Ever Ready Losing Market Share.

2893 words - 12 pages

Table of ContentsTable of Contents2Executive Summary3Introduction4Company Description4Ever Ready4Duracell4The UK Battery Market5UK Battery Consumers6Analysis7Duracell7Strategy7Marketing7Ever Ready8Strategy8Marketing8The Future of Ever Ready, Recommendations10SWOT Analysis10Porter's 5 Forces Model11BCG Growth-Share Matrix11Bibliography:13Appendix 1.: Porter's 5 Forces Model14Diagram 1: Trend of Battery Sales by Type5Diagram 2: BCG Growth-Share Matrix11Executive SummaryThe battery market is changing. Ever Ready has, till now, failed in becoming competitive in the growing market of alkaline batteries. Its long dominance over the shrinking zinc battery market will not be enough to meet the needs of investors and stay competitive in the UK battery market as a whole.The new Energizer brand will be launched onto the UK market in the near future. This event is of major importance, since it will shape the future of Ever Ready. The new brand must be positioned to fiercely compete with Duracell's alkaline products, leaving the previous marketing strategy of protecting the zinc product line behind. Consumers are looking for durable batteries, therefore the Energizer products must be perceived as to provide just that.After the initial marketing investment, end-users will seek out the Energizer products. Intermediaries seeking higher trade margins will stock the Energizer brands more readily than the Gold Seal batteries, since turnover will be bigger.Exclusive contracts with electronics manufacturers and electronics shop chains should also be sought out, where the manufacturer or the shop would provide Energizer batteries with the product to be sold.Investment must be laid into researching rechargeable battery technology, after which rechargeable batteries could be exclusively supplied to the manufacturers of continuous high-power consumption devices.IntroductionThe aim of this report is to analyze the position of the UK operations of Ever Ready within its competitive struggles against Duracell, and to advise on future strategies. In order to be able to successfully carry out this task, I will first briefly portray the companies and describe the market environment within which they are operating.Company DescriptionEver ReadyEver Ready was established in 1908 in the UK as a low voltage battery manufacturer. The US and British operations were completely de-merged in 1914 to operate as independent companies. Since then, it has been a leading innovator in its business of producing low-voltage zinc-carbon batteries for a variety of intermittent use battery-operated devices, thereby acquiring a very strong competitive position in the UK market: it held a 67 % market share in 1976. Its management team's policy of responding to technical innovations by developing suitable sized batteries played a major role in Ever Ready's rise to dominance even though out of the 14 batteries in the company's 1981 product range, 5 types were generating 60 % of the company's turnover....

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