Mohawk Flooring & Tile: Expanding the Brand & Maximizing Top Line Growth
The Results
Mohawk became the brand of choice for home builders & consumers.
The home builder showroom campaign resulted in an average home sell price increase of $70, 000/home. With no additional labor costs added, top and bottom line growth occurred. Consumers were now able to personalize their homes and afford upgrades by rolling them into their mortgage. Secured builder contracts guaranteed investment payback through product mark-ups, and inventory movement increased raw materials’ purchasing power for Mohawk.
The home builder showroom campaign resulted in an average home sell price increase of $70, 000/home. With no additional labor costs added, top and bottom line growth occurred. Consumers were now able to personalize their homes and afford upgrades by rolling them into their mortgage. Secured builder contracts guaranteed investment payback through product mark-ups, and inventory movement increased raw materials’ purchasing power for Mohawk.
Shopper Marketing
Information services indicated a huge opportunity in top-line-growth within the
home builder industry for flooring and tile manufacturers. Customer and Consumer
Insights supported the data that consumers wanted more finish selections. They
were willing to spend more money if finishes were displayed in a home vignette
with an ability to manipulate choices. This resulted in the product development
of new styles of carpets, tiles and hardwoods for all surfaces and specific to
the use of each room in a home.
Business Services
The Go-To-Market Development required buy-in from Mohawk (brand) and the customer (home builders). Additionally, in order to create a room vignette, the participation of all material suppliers was integral to the success of the campaign. The risk was that Mohawk would be one of the first to invest with a home builder in the design and implementation of showrooms. Market segmentation determined that each showroom would be customized to a home builder's sales and distribution program, its consumer demographics, home styles and a targeted sales incentive structure with Mohawk.
Marketing Development
The marketing creation was to design and construct a showroom on site at Mohawk. This environment served as the engagement tool to propose the plan with home builders. The message to home builders was
that they could increase top line growth in price per home sales
by selling upgrades without increasing bottom line costs. A variety of Communication Channels were utilized to promote the showroom.