Whirlpool 2004 Annual Report Download - page 10

When Lowe's first approached us to provide a
new line of water softeners, filters, coolers
and heaters, it was a potential opportunity to
simultaneously leverage the strength of both
the Whirlpool brand and our relationship with
a key trade partner. Lowe's was looking to
introduce a solution to their newly discovered
customer insight: strong interest in water
filtration. And they sought the strength of the
Whirlpool brand to support their new
initiative. Our own brand elasticity study
concluded that Whirlpool was a match.
Though we don't manufacture these types
of products, the opportunity seemed
promising. Together, we worked actively with
licensee partners (including one of our
refrigerator filter makers) to launch a new
program with record speed to market: only
four months per product line. In return, Lowe's
provided significant, dedicated floor space in
their stores and a new television
advertisement (images at right) leveraging the
strength of both brands, product ease of use,
and exclusive launch at Lowe's.
In short, it's a good example of leveraging
the strength of a Whirlpool trade relationship
and the strength of the brand into a profitable
contribution to our bottom line. The success
of the brand licensing business has convinced
us that such partnerships offer opportunities
for appropriate extensions of the Whirlpool
brand into other product areas moving
forward.
Water, water…everywhere
Brand elasticity and a strong relationship creates an exclusive win-win
"Two in One"
The Drawer Dishwasher, offering two dishwashers in the space
of one, was first launched in Europe, and more recently in the U.S.