RECHERCHE ET PUBLICATIONS

WHIRLPOOL GREENKITCHEN: INNOVATION DEVELOPMENT AND MARKETING STRATEGY

In March 2009, Whirlpool introduced its GreenKitchen to integrate the company's long-standing dedication to environmental well-fare and consumers' demands for cost savings in the household. With an ...

Auteur(s) :

Guergana Guintcheva

EDHEC Business School

Borislav Nikolaev

EDHEC Business School

In March 2009, Whirlpool introduced its GreenKitchen to integrate the company's long-standing dedication to environmental well-fare and consumers' demands for cost savings in the household. With an interactive 'eco-system' of the different appliances, GreenKitchen was estimated to provide up to 70% savings on the household electricity and water bills. The potential issues with Whirlpool's innovation in the unstable economic context were: (a) the necessity to purchase the whole equipment at once; (b) the lack of choice of individual appliances; and (c) consumers' decreasing trust in green claims and products. Thus, Whirlpool was facing a challenge. Management saw real competitive advantage in GreenKitchen, but in order to capitalize on it, the company had to: (a) convince consumers in the applied value of the product's benefit; (b) motivate the spread of GreenKitchen to other consumer groups; and (c) differentiate from green products and claims, especially in the kitchen appliances industry. Success was deemed a matter of marketing, in terms of proper context assessment, targeting, pricing, distribution and communication. The objective of the case is to develop understanding of several key concepts and approaches in innovation, hi-tech and trend marketing, including: green business; blue ocean strategies of competition; strategy canvases; and innovation diffusion.

Type : Etude de cas
Date : le 01/02/2010

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