DESIGN BRIEF:
Forsythe Rubber Products is a publically owned corporation. They are an Ohio based manufacturer of tires for the original equipment industry whose customers include major branded tire manufacturers – Michelin, Firestone, Uniroyal, as well as mass merchandisers such as Wal-Mart and Pep Boys who carry their own private label products in additional to major brands. Forsythe has been a very successful company in the business-to-business sales model.
Currently, Forsythe is feeling the pressure of its shareholders’ expectations for growth. This has made Forsythe Rubber Products a little uneasy, so a management team has responded to this with a well-funded initiative, code named FAST – Forsythe Advanced Solution Tire, to create a proprietary branded product that would generate higher margins for its shareholders. This proprietary product will incorporate Forsythe’s exciting new technology; colored rubber for tires.
This project for Fall 2012 quarter was inherently complex: develop a design plan for a new brand that will change the way people think about a commodity product they care little about. The concept should appeal to and engage a new type of consumer through the integrated design of the product, brand, market communications, and extended retail experience that includes:
1. decision and purchasing environment
2. information and communication
3. service model
4. cycle of ownership
Currently, Forsythe is feeling the pressure of its shareholders’ expectations for growth. This has made Forsythe Rubber Products a little uneasy, so a management team has responded to this with a well-funded initiative, code named FAST – Forsythe Advanced Solution Tire, to create a proprietary branded product that would generate higher margins for its shareholders. This proprietary product will incorporate Forsythe’s exciting new technology; colored rubber for tires.
This project for Fall 2012 quarter was inherently complex: develop a design plan for a new brand that will change the way people think about a commodity product they care little about. The concept should appeal to and engage a new type of consumer through the integrated design of the product, brand, market communications, and extended retail experience that includes:
1. decision and purchasing environment
2. information and communication
3. service model
4. cycle of ownership
SECONDARY RESEARCH:
Global demand is forecast to rise 4.7 percent annually through 2015 to 3.3 billion units. In dollar terms, the tire market is projected to advance 6.5 percent annually through 2015 to $220 billion.
Major brands gained consumer tire market share in the U.S. at the expense of both private and associate brands in 2011 vs. 2010. Major brands jumped from 78.2% to 79.4%, while private brands fell from 11.9% to 10.8%. Associate brands dropped one-tenth of a percentage point.
Major brands gained consumer tire market share in the U.S. at the expense of both private and associate brands in 2011 vs. 2010. Major brands jumped from 78.2% to 79.4%, while private brands fell from 11.9% to 10.8%. Associate brands dropped one-tenth of a percentage point.
There are more than 150 consumer tire brands sold in the U.S. aftermarket. But when ranking the tire companies that manufacture those brands, three stand out because of their size. That is why Bridgestone Corp., Groupe Michelin and Goodyear Tire & Rubber Co. are often referred to as the Big Three.
Visual Audit of top three tire brands.
Visual Audit of top three tire brands Cont.
PRIMARY RESEARCH:
According to my primary research I found touchdown point in tire industry:
1. Retailers says a customer looks for the following features other than the price:1. Durability 2. Traction / Safety 3. Fuel mileage4. Warranty 5. Size 6. Technology
2. Customers do not care about Eco-friendly tire; they think they don’t make enough difference in environment.
3. Due to following reasons: 1) lack of knowledge on tire technology, 2) no proper guidance on Eco-friendly tires by the retailers, and 3) no government law against high fuel consumption tires.
4. Retailer believes that colored tire technology will only excite certain niche mainly in urban setup
5. The certain type of initial buyers might only include younger car enthusiast, hobbyist and show car owner Passionate business travelers
6. Customer like idea of color tire technology only if they have extra features lower like rolling resistance, traction and durability, and especially lower price
7. Colored tire technology will definitely face a lot of resistance from retailers as well as all tire customers.
2. Customers do not care about Eco-friendly tire; they think they don’t make enough difference in environment.
3. Due to following reasons: 1) lack of knowledge on tire technology, 2) no proper guidance on Eco-friendly tires by the retailers, and 3) no government law against high fuel consumption tires.
4. Retailer believes that colored tire technology will only excite certain niche mainly in urban setup
5. The certain type of initial buyers might only include younger car enthusiast, hobbyist and show car owner Passionate business travelers
6. Customer like idea of color tire technology only if they have extra features lower like rolling resistance, traction and durability, and especially lower price
7. Colored tire technology will definitely face a lot of resistance from retailers as well as all tire customers.
Finding ZAG in TIRE MARKET:
Rather than letting the disjointed information get the better of me, I used next tool- Affinity Diagram to help me organize and break my data.
1. The affinity diagrams helped me to synthesize large amounts of data by finding relationships between ideas and structuring from the bottom up into meaningful groups.
2. Affinity diagrams helped to:
a. Draw out common themes from Visual audit
b. Discover previously unseen connections between various ideas or information
c. Created persona insights
d. Break down personas into categories to understand them better
5. Next step was to create a 2x2 Matrix for FAST, to find the opportunities and threats with respect to needs to transform and enhance existing tire market with the new brand
6. It helped me pin point where FAST stand in the tire market and how it find its ZAG in the Competitive tire market.
2. Affinity diagrams helped to:
a. Draw out common themes from Visual audit
b. Discover previously unseen connections between various ideas or information
c. Created persona insights
d. Break down personas into categories to understand them better
5. Next step was to create a 2x2 Matrix for FAST, to find the opportunities and threats with respect to needs to transform and enhance existing tire market with the new brand
6. It helped me pin point where FAST stand in the tire market and how it find its ZAG in the Competitive tire market.
RE-FRAMING THE PRODUCT :
1. Focus on top features demanded by Customers; Durability, Safety and Fuel mileage
2. Vehicle aerodynamic design has a critical impact on fuel efficiency so will advance aerodynamic efficient tires.
3. Target successful 20 to 30 young business professionals living in urban setup- with a youthful mindset and lifestyle, and yet now embrace adult proprieties and values.
4. Partner with Lower Rolling resistance OEM as OE tires.
5. Couple colored tire technology with FUNCTIONALITY such as safety, identification or services, to minimize the resistance to colored rubber.
6. Develop business model to attract customer with FAST innovative, style and performance.
2. Vehicle aerodynamic design has a critical impact on fuel efficiency so will advance aerodynamic efficient tires.
3. Target successful 20 to 30 young business professionals living in urban setup- with a youthful mindset and lifestyle, and yet now embrace adult proprieties and values.
4. Partner with Lower Rolling resistance OEM as OE tires.
5. Couple colored tire technology with FUNCTIONALITY such as safety, identification or services, to minimize the resistance to colored rubber.
6. Develop business model to attract customer with FAST innovative, style and performance.
FAST PRO A2T2 SERIES
VALUE PROPOSITION:
Fast Pro A2T2 Series is innovative products by FAST- Forsythe Advanced Solution Tire, designed for the highly aerodynamic efficient electric and hybrid power vehicles. Style, durability, safety, performance, efficiency and environmental stewardship are all key features to Fast Pro A2T2 series. Pro A2T2 combines a tall and narrow shape with tire sidewalls and shoulders shaped for improved aerodynamics, reduces rolling resistance and wind resistance, lowering energy consumption and CO2 emissions. FAST is first brand which reinvent the colored tire technology by introducing retro-reflective rings for better safety. Its color technology also makes differentiation and identification of tires brands truly colorful and simplified. By advancement in high-speed durability by 80%, better wet performance by 50% and retained inflation pressure safety in Pro A2T2 series, FAST has successfully partnered with leading automakers- General Motors.
TARGET MARKET:
The target customers for the new Pro A2T2 are the younger members of Generation X and members of Generation Y— successful 20 to 30 young business professionals living in urban setup- very much still in touch with a youthful mindset and lifestyle, and yet now embrace adult proprieties and values. In short, they embody "youth with maturity."
To check out feature of FAST PRO A2T2 Series, please view the process book in the end.
Realization Proposal
Purchase Cycle and Service Design
For further details and process on the project, please view the the process book:
