business 2

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Business Case

Marketing Management Case

EBBA 105

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BWT – The Company

Vision:

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The Internationally Leading Water Technology Group

 4 production facilities

 500 million turnover

 2,800 employees

 R&D departments in France,

Germany, Switzerland and

Austria

 Globally leading know-how in

all areas of water treatment

BWT – The Company

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Leading R&D Competence

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Water filtration at the “Point of Entry“

Filtration Softening

Limescale Protection AQA total

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Water filtration for trade & industry

Softening Reverse Osmosis PERMAQ

Reverse Osmosis &

Electro-deionisation UV- & Ozone-Disinfection

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Water filtration for Pharma and Biotech Water

BWT Osmotron Pro PW BWT Ultrastil

BWT Multitron BWT Combitron

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References BWT- industrial partners

Beverage

Pharma

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 “KitchenInnovation of the year® 2013“ for the BWT table water filter in the

categories functionality, innovation, design and ecology

 No. 1 „Innovation Award“ of the State of Upper Austria for the Magnesium

Mg2+-Technology used in professional and consumer table water filters

 Winner of the award „Trend Product of the Year 2012“ and Golden Award

„Best of the Best“ in the category „Houshold & Cleaning“ for BWT Quick &

Clean limescale protection system

 Plus X Award „Best product of the Year 2012“

AQA perla for the domestic softener

 No. 1 „Innovation Award“ at Technopharm for the BWT OSMOTRON

„product strengths in innovation, quality, efficiency and economic operation”

 No. 1 „Design Award“ of the Republic of Austria for the

RONDOMAT duo S large softener series

Award Winning Products

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Why BWT?

 BWT is technology leader and continually sets new standards in the

area of water filtration through innovations

 BWT offers economical and ecological products and methods in all

areas of water filtration

 BWT invests in state-of-the-art infrastructure with the highest

production standards

 BWT sustainably invests into the brand development and the

communication towards the end consumer

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Market situation and potential

table water filter

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 water is element No.1 for healthy lifestyle

 water consumption is still increasing

Water – element No.1

 Per capita consumption of bottled water rapidly increasing:

2011: 189 Litre* 1990: 80 Litre

*source: VDM, 2012

Water is the No.1 beverage in Germany

 4,5 Mio. households already own a table water filter*

 Further 1,2 Mio. households plan to buy a table water filter in

the next two years**

**source: study „Typologie der Wünsche“, 2011

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The market needs competition

Market entrance of BWT:

 BWT brings the B-to-B know-how to the consumer

 Competition is pushing the total category

 BWT is investing massively in the brand and the sell-out

Actual status:

 Until now: brand monopoly by Brita

 A monopoly is only positive for the monopolist,

not for the market

 No innovations and successful breakthrough for years

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BWT already grows the market

Total Market Development (Germany):

12-month-comparison Sept 10 - Aug 11 vers. Sept 11 – Aug 12 (Source GfK)

Value Volume

Cartridges + 19% + 20%

Systems + 21 % + 18%

Regarding electronic retailers BWT already has

a market share of 43,9% (Source: GfK 10/2012, El.+I Trade/Indep BuyGr)

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Our target group

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Megatrends

Most important trends over the past years:

Convenience Wellness

Sustainability

Indulgence

Table water filters perfectly fit consumer trends and will

grow in importance.

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Target group LOHAS

 important values:

sustainability, responsibility, quality, environment, indulgence

 healthy products have to also provide good taste

 Mostly 2- and/or 3-person households, high income

 Information seekers, active in social media

LOHAS Lifestyle of Health and Sustainability

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Our Innovation:

Patented Magnesium-Technology

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Our patented innovation

BWT is one step ahead!

Most water filters reduce limescale, heavy metals and taste

inhibiting elements like chlorine.

But also minerals are removed out of the water, the pH-value is

reduced and therefore the water has a sour taste.

NEW: thanks to the BWT magnesium technology the filtered water

is enriched with the valuable mineral magnesium.

Magnesium is a flavour carrier and perfectly enhances the aroma

of coffee and tea. Thanks to the magnesium the pH-value of the

water stays neutral and the water is considered as soft, fresh and

pleasant.

The BWT Gourmet water sets new standards in terms of

taste and performance – verified convincingly in tests. Result:

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Our approved innovation:

Convinced experts and consumers

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BWT is convincing experts

Magnesium makes the difference

BWT is No. 1 in the sensoric test from institute Fresenius regarding the

taste of drinking water, tea and coffee.

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BWT is convincing consumers

Product test and Word-of-mouth-Activity:

 Independent online test platform „Konsumgöttinnen“

 1.000 test persons, only existing Brita-users have tested

 More than 93% of all testers rate the taste of BWT Magnesium water as

„excellent“ or „good“

 96% rated tea and coffee, prepared with BWT water as „excellent“ or „good“

 91% would recommend BWT to other consumers

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Brand positioning

BWT table water filter

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Strong USP

 The Magnesium-technology allows a positioning towards branded

mineral water. A clear differentiation towards competition!

 Tests are underlining that BWT is perceived as an equivalent to

brands like Evian, Vittel and Volvic in the category of taste.

We have to convince the consumer of the brilliant smooth taste

of BWT, followed by the rational argument of cost advantage.

(5 Cent per litre for BWT vs. up to 80 Cent for branded mineral water)

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BWT Gourmet water is making bottled water unnecessary!

Strong USP

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Our assortment

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Premier Filter Collection

Safety Edition Gourmet Edition Mg2+ Gourmet Edition Silver free

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Gourmet Edition

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NEW as of May 2013: Black Penguin

First Layout

NEW  2,7l Black Penguin

 translucent dark grey

 improved UV-protection

 smoked frosted funnel

 lid and grip in black

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Product features

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Product highlights

 with electronic indicator

 with Easy Fill

 total capacity: 2,7 L

 filtered capacity: 1,5 L

 available in white, aubergine, blue, green

 RRP: 24,95 €

 entry level jug

 electronic or manual indicator

 total capacity: 2,5 L

 filtered capacity: 1,3 L

 RRP: 17,95 €

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2,7 Litre Colour Edition

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Easy Control

Counts volume and time easy filling without fitting for most common fridges

New timer from may 2013 taking off the lid

Easy Fill Easy Fit

Product highlights

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