The paper “ Trading the Kunst 1600 Vacuum Pump 12 – Market Potential, Chief, Quantifiable Cost Elements, Target Market Segment for Commercialization Efforts" is a potent example of a case study on marketing. The customer value statement for the Kunst 1600 in the light commercial refrigerator repair segment function of the report is to determine the best market segment to introduce and trade the Kunst 1600 vacuum pump brand in the predetermined American market. A very much extensive study of the market regarding the potential of each segment has been carried out.
A study to determine the advantage of the Kunst 1600 vacuum pump has been carried out as well as the examination of the levels of competition in the potential segments. The study on the potential segments was aimed at arriving at the segment that would give the highest return in terms of sales and how customers view the new brand of the vacuum pump. The market potential for each segment was determined by considering the number of units sold in each segment and the number of competitors available in each segment.
Furthermore, a study on the number of money buyers are likely to save for buying the pump in each segment was determined. The figures obtained were afterward applied to some formulas to determine the segment with the highest potential. The study also considered other un-quantified value elements which included the weight of the pump, ecological benefits arising from the fact that the pump is oil-free and durability of its parts. The results so obtained were of crucial importance in determining the best segment in which to introduce the pump. Kunst 1600 dry piston vacuum pump is a fractional horsepower, an injection-molded pump which is made of aluminum.
Its pumping speed is 1.6 CFM (cubic feet per minute) and it weighs 16.5 pounds – a weight which is much lesser than that of other traditional (conventional) pumps. The brand is a reconfigured compressor that is fitted with a screen over its input nozzle and hence the pump is able to run longer and cooler than other conventional pumps. As such, the pump functions at higher efficiency and at a lower pressure than other pumps.
The pump has fewer working parts than other traditional pump models. It is also oil-free implying that its users will save on the cost of oil leading to higher profits. The main segments for the vacuum pump in the US market are home refrigerator repairs segment, light commercial refrigerator repairs segment and residential AC repairs (Anderson, James and Das 256,2009). The chief, quantifiable value and cost elements related to the Kunst1600 Cost cutback resulting due to the fact that the Kunst 1600 pump does not require oil. The Kunst 1600 dry piston vacuum pump is oil-free implying that repair agencies will save on the costs associated with an oil change.
Unlike other pumps, technicians using the Kunst 1600 vacuum pumps do not have to change the oil. This benefit is available to the users in all the potential segments. This will be a great benefit to the technicians' given oil is changed after every repair work and that each oil change usually takes a quart which is valued at 8 dollars. Therefore, eliminating the need to change the oil will mean increased revenue.
Furthermore, Kunst 1600 will save all the technicians the costs incurred in cleaning the oily mess that results from changing the oil. This includes 0.5 dollars incurred in buying the solvent-based scouring soap and 0.15 dollars incurred in the purchase of the specialized cloth- fiber-based towel. The other cost savings will include the 5 dollars cost incurred in recycling every gallon of used oil in order to comply with the US environmental laws which require proper disposing and recycling of all oil-based liquids. This implies that the process of changing the oil could be a very costly one and since Kunst 1600 vacuum pumps eliminate all these costs; they will be easy to market due to the cost-saving effect both to the owners and the technicians (Jim and Alan, 211, 2005).