Nebia Shower Head Project Analysis

Nebia, a startup company, has developed a revolutionary shower head that uses 70% less water than ordinary showers. The product is designed to be efficient and environmentally friendly, making it an attractive investment opportunity for companies like Apple and Google. With initial funding from the Eric Schmidt Family Foundation and personal investments from Tim Cook and Eric Schmidt, Nebia aims to disrupt the traditional shower market and make a positive impact on the environment.

YPC INTERNATIONAL COLLEGE
BA (hons) Business Management
Coursework Individual Report – Marketing Plan for Nebia
Marketing Management and Sales
4055YPCBM
Miss Gan
BBM2092F3
LJMU ID:937330
Table of Content

1. Executive summary............................................................................................................Page 3
2. Situation analysis
2.1. Market summary..............................................................................................................Page 4
2.2. Macro environment analysis............................................................................................Page 5
2.3. Microenvironment analysis..............................................................................................Page 6
2.4. SWOT analysis.................................................................................................................Page 7
3. Marketing strategy
3.1. Objectives.........................................................................................................................Page 8
3.2. Segmentation, targeting, positioning.............................................................................Page 11
3.3. Strategies........................................................................................................................Page 14
3.4. Marketing mix(es)..........................................................................................................Page 16
4. Implementation/Action programs.................................................................................... Page 18
5. Financials
5.1. Projected P&L...............................................................................................................Page 19
5.2. Break even analysis........................................................................................................Page 19
6. Controls............................................................................................................................Page 20
References............................................................................................................................Page 21
Appendices

1. Executive Summary
The brand-new shower head company Nebia, with its highly ghostly technology,
provides a new experience of luxurious and comfortable showering moments, creating
eternal showering moments in our daily lives. The new fully automatic shower head is
very simple and does not require any help from a plumber or two people to install it on
the wall. Therefore, this can make consumers' skin feel adequately hydrated, consume
less water, and save electricity bills throughout the year. Among the prototypes of shower
heads, the best shower heads currently launched in the world are already known to many
consumers. Even on Kickstarter, due to the current lack of stakeholders, many people
promise to sell them all over the world. In this report, the analysis of Nebia’s internal and
external factors has been properly analyzed, and its strategy for a better future is being
written. They got a proper introduction to the realization of this great technology, and
showed that their finances will flow throughout the company and be better analyzed.
2. Situation Analysis
2.1 Market Summary
For a brand new company called Nebia, Nebia shower head is indeed a very water-saving
new project in the world. It really focuses on a perfect competition composed of
unlimited buyers and sellers. This is because, in our daily life, water consumption is very
high, and they tend to reduce water consumption by introducing brand new water usage
experience for buyers and sellers. The project can target countries that are really short of
water or countries that really want to save water but can still enjoy the shower.

2.2 Macro environment
PEST Analysis
Political Factors - The United Kingdom operates under the influence of a parliamentary
system. For those operating in the British economy, it has many opportunities. This will
affect Nebia in a positive or negative way. The positive influence is a positive
government, and it is politically stable, so Nebia has the advantage of upcoming events in
the future. The negative effect is that there is some hidden corruption in the market.
According to Brexit, it is uncertain whether to stay in the EU. This makes planning ahead
tricky. Because it is also the most important factor. So far, there seems to be no progress.
Economic Factors - Compared with other countries, the British economy is more stable
than other countries. Due to its high GDP and diversified economy, Nebia has the
advantage of high turnover. The positive impact is the increase in free market economy,
diversified economy and foreign direct investment. But due to the outbreak of the
COVID-19 pandemic, by 2020: the GDP in the first quarter will fall by 2.2%, and the
GDP in the second quarter will fall by 20.4%. At this stage, it is difficult to distinguish
the temporary loss of output caused by the restrictions of the coronavirus from the long-
term behavioral changes that may affect Nebia in the next few years.
Social Factors - There is no doubt that the various societies in the UK have people of
different ancestry. They have very strict social standards, which can provide a better
environment for the country. Positive impact: free public services provided by the
government, such as national health services. The high standard of living leads to
excessive spending, so people buy more shower products. It is very important to fully
understand the social factors in these markets. The main problem is social culture. When
buyers regard Nebia as a fashion icon, Nebia has to work hard to keep its products
updated.
Technological Factors - It is very important to upgrade the technology of Nebia. It
requires innovative products and professional staff to design them effectively. The
positive effect is that after the use of shower products increases, it can provide customers
with high-quality products and internal competition. Compared with the United States,
the speed of technological development in the United Kingdom is slower. Besides, there
is no doubt that in recent years, global Internet connections have been growing. This
provides a larger market for Nebia to use internet to establish connections with
customers.

2.3 Microenvironment Analysis
Competitors - In the UK, almost everyone has a shower in their home. Nebia's main
competitors are Speakman, Axor and Senic. Speakman has the highest markt share
among those competitors which has 25 million and its focusing on the invention of
modern shower head.

2.4 SWOT Analysis
The first point of the SWOT analysis of Nebia showerhead is its advantages, which are
inherent and useful. Nebia's advantage lies in its unique technology-destructive products
used in shower accessories, which can save 70% of water consumption, reduce water
bills, stylish modern design and the feeling of "returning to basics". The second point is
opportunity, it is external. Opportunity refers to the time or environment in which
something can be completed. Nebia’s opportunity is to provide B2B opportunities for
hotels, stadiums, spas, resorts, etc. In addition, establish exclusive management rights to
the public and a high-end brand image. More regulatory opportunities to liaise with the
government to regulate the use of Nebia Shower in public areas (such as stadiums) that
consume a lot of water. In addition, once it gains attention, the company can look for
cheaper inputs. The third point is threats. Threats refer to the intention to cause someone
to suffer pain, injury, damage or other hostile behavior in order to repay what has been
done or not done. The point of the threat is that for shower heads, the price of each
product is too expensive, people are unwilling to replace shower heads, and because there
is no mature brand or product, high-end customers may choose well-known luxury
brands, such as Rutuo. Tor and Kohler. The last point of SWOT Nebia's analysis is
weakness, which is harmful. The disadvantage of Nebia is that the price is not very
affordable, there is no physical location or showroom, customers cannot feel that "Nebia"
is selling their "experience", and because it is a new company and new products, there are
no comments.

3. Marketing Strategy
3.1 Objectives
Nebia revolutionizes the shower technology in order to achieve the organizational goals
of social undertakings, which are short- and medium-term goals, as well as goals set by
the organization to achieve larger strategic goals formulated in the long-term.
Organizational goals are important for shaping the resource allocation for social
undertakings in Nebia Revolutionary shower technology and determining the policies,
timetables and processes for social undertakings in Nebia Revolutionable shower
technology.
Specific
All goals set by Nebia Revolutionary Shower Technology for a social enterprise are clear
and clear. This helps employees and managers manage and maintain focus on goals and
the final results that need to be achieved. At the same time, specific goals can also help
managers determine skills development and training needs within their departments.
Realistic
Nebia's goal of innovating shower technology to achieve social undertakings is also
achievable because they are realistic. This means that Nebia's purpose of innovating
shower technology to achieve social welfare undertakings is to set goals based on
organizational resources and constraints so that the goals can be achieved effectively and
in a timely manner.
Attainable
The goal should be achievable, even when expanding the capabilities of employees and
challenging them, it should be possible to achieve. Nebia's goal of innovating shower
technology to achieve social causes is achievable because they push employees out of
their comfort zone, but it is still possible.
Measureable
Nebia's innovative shower technology to achieve the goals of social undertakings is also
measurable. This means that the progress of all goals can be tracked. This is very
important for Nebia to innovate shower technology for social causes, as it helps to
complete tasks on time. Add the element of measurability to the goal by adding
quantifiable criteria used to determine progress and goal achievement.

Timely
The goal of "Nebia innovating shower technology to achieve social undertakings" is also
time-bound, because they have designated start and end dates. The timeliness of the goals
helps Nebia to innovate shower technology for social causes, maintain the sense of
urgency of employees, and keep them motivated to achieve their goals.
How to develop objectives
Focus on strategy
 This will help the organization focus on broader purposes while striving to
achieve quantifiable goals.
 By focusing on strategic priorities, Nebia Revolutioning Shower Technology for a
social enterprise also maintains close contact with the organization’s vision and is
committed to improving the organization’s performance
 Goals should focus on broader organizational strategies
Focus on goal
 This is important because it allows the goal to be strategically related to the
organization’s processes and systems
 Nebia's innovative shower technology should be set according to the set
organizational goals to achieve the goals of social welfare undertakings
 Nebia's innovative shower technology to achieve the goals of social welfare
undertakings should start from the organizational goals and strive to help the
company and its departments and operating agencies achieve the established goals
Focus on the available time frame and skills
 Nebia's innovative shower technology to achieve the goal of social welfare
undertakings should focus on the existence of time constraints and the urgency of
the organization and industry
 Nebia's goal of innovating shower technology to promote social causes should
also focus on the skills of employees and the available organizational resources
 Focus on resources and skills is important to ensure that all goals are achieved
 Focusing on and related to resources and skills will also help Nebia to innovate
shower technology to promote social causes and identify gaps that need to be
filled through training

3.2 Segmentation, targeting, positioning
Segmentation base Segment profile 1 Segment profile 2 Segment profile 3
Geographic The most innovative
areas in the north
include Oxfordshire,
the South East
Midlands and Greater
Cambridge and
Peterborough
(Department for
Business, Energy and
Industrial strategy,
2020)
Stockholm, Helsinki,
Amsterdam, Zurich
and Vancouver, while
London ranked
behind of them
(Mace, 2020)
In modern cities/urban
areas such as London,
people have more
choices in DIY
(Glancey, 2017)
Demographic Gen Z or Milenials Aged 20-35 and 45-
54
Younger consumer
aged 16-24 (32%)
Psychographic -Preferred design
details, such as
shower heads with
two or more shower
heads
-Preferred additional
services, such as
installation services
18%
-Focus on innovation
and prefer shower
systems with
intelligent control.
-Focus on living a
green lifestyle, prefer
to save water through
shower system
(Shahmohammadi,
etal., 2019)
-Emphasis on
sustainability
(Amasanti, 2021)
-Focus on interior
design and innovation.
- They focus on
building their own
home DIY, space
saving products (Slide,
2018)
Behavioral (what they
prefer)
- Be active on social
media and usually
post comments.
-Consider using
shower systems
extensively, as many
of them lead an active
lifestyle.
-Protest and speak
out to raise people’s
awareness of
sustainable
development
(Carrington, 2019)
- Actively participate
in recycling and
water-saving
campaigns to
improve water-saving
awareness (Greekseh
& Lange, 2019)
- Visit the DIY chain
store, and then visit the
local bathroom
showroom (Trend-
Monitor, 2018)
- The bathroom is
installed by the
residents themselves,
and the decoration is
done by themselves
(Trend-Monitor, 2018)
- Shop through
different DIY stores at
the best price (slide,
2019)

Targeting
Obviously, the middle class or the lower class cannot afford this type of function, so basically,
our goal is the upper class who likes innovation. According to the VALS model in marketing, we
are targeting innovators and experienced people, that is, those who like new products and like to
change their lives. We also target hotels and house builders such as Villa Eden, Baharia
Residence, Pearl Continental, Avari Lahore and others. According to the buyer's intention
survey, we have conducted more than 90% of people who are ready to accept this type of shower
installation in their bathroom.
Positioning
Innovative
Affordable ___________________________________________________________Premium
Conventional

3.3 Strategies
Silicon Valley tech giants and Kickstarter supporters flocked to water-saving shower
heads to solve the California drought.
The shower system produced by startup Nebia raised more than $1.3 million on
Kickstarter two days later, after they raised Apple AAPL, -1.40% CEO Tim Cook and
Google GOOG, -2.05% Chairman Eric Initial funding for supporters such as the Eric
Schmidt Family Foundation. The company said that showers use 70% less water than
ordinary showers.
The spray head atomizes the water to produce millions of water droplets, and its surface
area is 10 times larger than that of a normal shower. According to the company, the
Nebia shower head uses 0.75 gallons per minute, compared to the industry standard of
2.5 gallons per minute.
Despite the Silicon Valley investment, Nebia's CEO and co-founder Philip Winter said
that the company hopes to turn to Kickstarter to assess interest and further develop the
product. Winter said: "This makes you feel in need."
The company's initial Kickstarter goal was $100,000. The product is currently
undergoing beta testing and Nebia has installed it in Equinox Gyms as well as Google,
Apple and Stanford University campuses.
The idea of shower heads can be traced back to 2010, when the company's co-founder
Carlos Gomez Andonaegui (Carlos Gomez Andonaegui) lived in Mexico, when he was
looking for a way to save water, and at the same time He is the CEO of a large gym.
Andonaegui and his father, 88 years old, are consultants to the company. He developed a
prototype shower head and worked with Winter, who worked in a toilet water-saving
startup called "Toilet for Human".
Winter recalls that the startup moved to San Francisco and eventually set up an office in a
garage with showers-customers and business partners had previously had to try Nebia
showers in the founder's apartment. He said: "Everyone who has worked for Nebia has
taken a (Nebia) shower, even if not multiple showers."
Winter said that although the original intention was not to solve the California drought,
the company's interest has increased recently. He said: "It opens a lot of doors."
Winter said that Cook has made a personal investment in the company, and Schmidt has
invested through the Schmidt family foundation, and the executives of the two companies
have provided equity in the company. Other investors in this round of financing include
Y Combinator and Michael Birch, the founder of the private membership club Battery.

On Kickstarter, early supporters can buy the product at a discounted price of $249.
Winter said that the estimated retail price is $399.
Winter said that at first the shower heads were only available on the company's website,
but later hoped to sell the shower heads to companies and sell them with non-traditional
retailers such as Patagonia and even Apple stores.
Winter said: "The idea is to position it where people don't know how to shower."

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