Industry Analysis: Competitor Analysis
Voltree Company: Circuit Tree Bioenergy Science Kit
- Voltree Power is a company that majors in the production of Energy from non-animal organisms.
- The company has ventured into new market areas by producing Circuit Tree Bioenergy Science Kit.
- This kit is to help children to learn stem that refers to Science, Technology, Engineering, and Math respectively.
- The kit utilizes the natural aspect into consideration to improve the mental and physical health of the children (Voltree Power, 2015).
- The company argues that the idea behind the development of the kit is to improve the learning of science by providing a natural lens for learning it.
- The kit aims to improve the imagination and in expand the vision of the world of the learners as a place that can be interrogated, altered and understood by the learners and the teachers.
- The kit is also believed to help in generating scientists who have a passion for sustainability.
- Voltree will experience competition from traditional educational toy makers such as LeapFrog Inc., Roominate, Edmund Scientifics and Mega Brands Incorporate.
- However, the company will have a competitive advantage over these companies due to the incorporation of technology in its brand compared to most of the traditional educational toys (Strauss, 2012).
- Circuit Tree Bioenergy Science Kit incorporates a sense of nature which might be appealing to children which lacks in other traditional toys (Voltree Power, 2015).
Summary of Market Analysis: Competitor analysis
| Factor | Roominate | LeapFrog Incorporate | Edmunds Scientific | Mega Brands Incorporate |
| Target Company Revenue | · $500, 000 by end of 2013 | · $82, 931 in 2013 (LeapFrog Enterprises Inc., 2013) | · $120 million sales in 2012 | $ 4 Billion in the year 2013 |
| Locations to sale | · Company website
· Amazon Stores · Brooks Brothers |
· LeapFrog.com online store
· App Center · Wal-Mart stores incorporate · Toys “R” Us incorporate · Target Corporation · Internationally, the company has distributors in South Africa, United Kingdom, Canada and France |
· Edmund Scientific website
· Amazon Stores · eBay |
· Mega Bloks website
· Amazon Stores · Toys “R” Us incorporate · Argos stores · Wa-Mart stores |
| Product lines | · Roominate Studio
· Roominate Chateau · Roominate Architect · Roominate Circuits · Roominate Estate · Roominate Activity Guide |
· Learning tablets
· LeapTV · Learning toys and DVDS · Leapreader reading and writing systems · eBooks · LeapPad Glo Learning Tablet |
· Scientific themed toys
· High-tech gadget · Biology Discovery Kits · Earth Science Kits · Chemistry kits · Kitchen Chemistry · Medical Science kits
|
· Ride-ons
· Mega Play · Junior Builders · Idea Builders · Power Rangers · World Builders · Barbie |
| Promotions | · No promotions | · Provide gifts cards | · Offer scientific gifts
· Offer gifts for dads to children (Scientifics Direct Inc., 2014) · Offer funding to community |
· Gives Mega Bloks Barbie gift hampers to selected candidates |
| Target consumer | · Girls who are six years and above (Roominate, 2015) | · Children (from birth to the age of four) (LeapFrog Enterprises Inc., 2013
· Adults |
· Children from age of four
· Teenagers · adults
|
· Children in the age bracket of 3- 11 years |
| Company growth | · Company relatively new. However, it received $500,000 funding in 2014 (Roominate, 2015) | 3.1% decrease compared to 2012 | · Had continued growth in the last 50 years | · Growth of 1 % in 2013 |
| Competitive advantage | · The company received production funding giving it an upper hand.
· Top of mind awareness among girls since its products are specific to them. · Incorporates technology that is becoming preferred more preferred than traditional toys by children (Strauss, 2012) |
· Long period in the market (Since 1995)
· High top of mind awareness due since its product are award winning · Products applicable to both girls and boys · Have good brand image |
· Long market period
· Reputable due to its funding · High degree of diversification |
· Long brand period in the market
· Relatively low price (Solomon, 2014) · Release of Mega Bloks Barbie that is enticing to girls (Wilkinson, 2014) |
| Competitive disadvantage | · Short period in the market
· Unidirectional products · Products primarily for girls which lower its market penetration degree · Its brands ranked among the top ten in 2014 (Maykah Inc., 2015)
|
· Rapidly changing consumer preferences
· Have seasonal sales · Limited number of raw materials providers making them vulnerable |
· Low efficiency in online sales
· |
· Legal challenges due to production of magnetic toys deemed to be dangerous (Joffe-Walt, 2012)
· Preference for electronic toys compared to the company’s traditional toys |
References
Joffe-Walt, C. (2012). Why Legos Are So Expensive — And So Popular. Npr. Retrieved on June 1, 2015 from http://www.npr.org/sections/money/2012/12/13/167055503/why-legos-are-so-expensive-and-so-popular
LeapFrog Enterprises Inc., (2013). 2013 Annual Report. Author. Retrieved from https://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=1&cad=rja&uact=8&ved=0CB0QFjAA&url=http%3A%2F%2Fphx.corporate-ir.net%2FExternal.File%3Fitem%3DUGFyZW50SUQ9MjMwMDA5fENoaWxkSUQ9LTF8VHlwZT0z%26t%3D1&ei=MRlsVaqEDcar7AaSrIBQ&usg=AFQjCNHX5-9A0FaoR2G0OrSVqylyPml6YA&bvm=bv.94455598,d.ZGU
Maykah Inc., (2015). The roominate Shop. Roominate. Retrieved from http://www.roominatetoy.com/shop/
Roominate (2015). Roominate™ Takes The Spotlight At 2015 American International Toy Fair With Industry Honor And rPower Debut. PR Newswire Association LLC. Retrieved from http://www.prnewswire.com/news-releases/roominate-takes-the-spotlight-at-2015-american-international-toy-fair-with-industry-honor-and-rpower-debut-300036255.html
Scientifics Direct Inc., (2014). Edmund Scientifics. Author. Retrieved from http://www.scientificsonline.com/page/about-us
Solomon, B., (2014, 28 February). Jealous Barbie: Mattel Comes After Lego With Mega Bloks Purchase. Forbes. Retrieved from http://www.forbes.com/sites/briansolomon/2014/02/28/jealous-barbie-mattel-comes-after-lego-with-mega-bloks-purchase/
Strauss, M. (2012, 27 November). As children pine for electronics, traditional toy makers face a growing tech challenge. The Globe and Mail App. Retrieved from http://www.theglobeandmail.com/report-on-business/as-children-pine-for-electronics-traditional-toy-makers-face-a-growing-tech-challenge/article5621174/
Voltree Power (2015) . Help us bring “Science to Life” by donating today!. Voltree Circuit. Retrieved from http://voltreepower.com/CircuiTree-readMore.html
Wilkinson, K. (2014, 28 February). Why did Mattel buy Mega Bloks? To defend against Lego. Canadian Business. Retrieved from http://www.canadianbusiness.com/companies-and-industries/why-mattel-bought-mega-brands/
