Assignment 2: Product Overview
Professional Selling (MKTG 3451)
Table of Contents
1. Introduction ........................................................................................................................3
2. Product ................................................................................................................................3
2.A Product development and quality improvement processes ............................................3
2.B Performance data and specifications ..............................................................................4
2.C Maintenance and service contracts .................................................................................5
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2.D Price and delivery ...........................................................................................................5
2.E Roi or cost and benefits ..................................................................................................6
2.F Features and benefits ......................................................................................................7
3. Company ..............................................................................................................................8
3.A Company history and overview .......................................................................................9
3.B Company culture and organization .................................................................................9
4. Competition ............................................................................................................................9
5. Positioning ............................................................................................................................11
5.A Source of differentiation ................................................................................................11
5.B Product positioning ........................................................................................................11
5.C Four levels of total product concept ...............................................................................11
6. List of References .................................................................................................................12
1. Introduction
LG Corporation, also known as LG Group, is a multinational conglomerate headquartered in
Seoul, South Korea. It was originally founded in 1947 as Lucky-Goldstar, and has since grown to
become one of the largest electronics and consumer goods companies in the world. LG's business
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interests are diverse and span across several industries, including electronics, mobile
communications, home appliances, and automotive components. Some of the company's most
well-known products include smartphones, TVs, refrigerators, washing machines, and air
conditioners (www.lg.com)
Washing machine category was evolved since its invention in 1850 (www.thoughtco.com) from
crude manual labor to high-tech. However the automatic laundry dryer was invented in 1920 and
it also acquired many developments to reach current level of efficiencies. The LG Wash Tower is
a unique washing machine and dryer combo that combines a front-loading washer and a dryer in
a single vertical unit. This innovative design offers a space-saving solution for homes with limited
laundry space, while providing a high-performance laundry experience.
2. Product
2.A Product development and quality improvement processes
In the modern environment, laundry washers and dryers have become essential home
appliances. Due to increasing reality price the value of square area of household has been
increased dramatically over recent years. As a result of that, there is an increasing demand to
bring full-size capacity laundry units to compact spaces, which is exactly what the LG Wash
Tower is designed for (www.newswire.ca). Additionally, the product is able to address the
customer needs such as convenience, cost saving and elegance to outstand the industry.
As a part of it continuous improvement policy, automation has enabled LG Electronics to boost
productivity, decrease defects and increase safety at its appliance assembly plants
(www.assemblymag.com). On the other hand the improve corporate sustainability by
comprehensively examining business activities based on Environmental, social and governance
ESG principles (www.nature.com).
2.B Performance data and specifications
LG wash tower constructed mixing the latest technology and latest features in the industry to
deliver a highest value to its customers. The product is manufactured in Korea and having white,
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black stainless steel and graphite steel colour options. The dryer is having duct and ductless less
types to choose with. The product has higher washing and drying capacity with 5.2 cubic feet
and 7.4 cubic feet. Further the washer and dryer integrated by the centrally located operating
panel to communicate the operation between each other. The wash tower is suitable for any
limited due to its unique product dimensions. www.lge.ca
Figure 2.1; Product dimensions of LG Wash tower
Source ; www.lge.ca
The product carries 1400 rotations per minute (RPM) offers high power washing faster than
competitor brands. More importantly the product is rated as energy star due to its efficient
performances. Amongst many programs, Prewash, Delicates, Speed Wash, Tub Clean, Sanitize,
Heavy Duty, Extra Rinse, Normal are considered to be highlights. Inline with latest technology
this product is Wi-Fi enabled and operated with Amazon Alexa, LG ThinQ platforms
successfully. (www.homedepot.ca)
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2.C Maintenance and service contracts
LG provides an exclusive 10-year warranty for inverter direct drive motor and 3-years on Drum
and 1-year exclusive warranty for total unit (www.homedepot.ca). When compared to industry
norms, this warranty package is among the best, which reflects highly of the quality of the
product. Also, customers are able to purchase extended warranty packages offered by the
distributors and retailers at different prices. These vary from 3-4 years from the standard one
year’s manufacture warranty. For an example, The Home Depot offer four years extended
warranty package for CA$ 259.00 to cover all parts and labour (www.homedepot.ca).
To cover the most territories in Canada, LG has appointed a wider network of service franchise
agents. For Kamloops area there are two authorized repair agents (Herbs appliances in south
Kamloops and Giddens Service center in Kamloops) are being appointed to cover the radius of
25KMs. www.lg.com/ca_en/support/find-service-center. There is a 24/7 customer hotline to
report any failure.
2.D Price and delivery
LG offered three series (100,200,202) in three different colour options namely white, black
stainless steel and graphite steel. It is significant to note that retailer are allowed to maintain
their own pricing which can be identified as margin pricing strategy.
Table 2.1 ; model list with prices of leading retailers in Canada
Retail price CA$
Model
Colour/ Key Feature
The Home
Depot
Costco
Best Buy
The Brick
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WKE100HWA
WKEX200HBA
WKEX200HWA
WKHC202HBA
WSEX200HNA
White (Basic)
Black SS (Steam Dryer)
White (Steam Dryer)
Black Steel (Ventless)
Graphite Steel (Steam Dryer)
2,495.00
2,696.00
2,595.00
2,995.00
3,195.00
2,494.99
2,694.99
NA
NA
3,194.99
2,399.00
2,599.00
NA
NA
NA
2,499.95
2,699.95
NA
2,999.95
3,199.95
Sources ; www.homedepot.ca, www.costco.ca, www.bestbuy.ca, www.thebrick.com
LG's distribution strategy in Canada is focused on providing high-quality products and excellent
customer service to its customers through various channels. One of the primary channels for
LG's distribution in Canada is through its network of authorized retailers and dealers. LG has a
vast network of authorized dealers and retailers across Canada, which ensures that its products
are easily available to customers in different regions. LG also sells its products through online
retail channels, such as its official website and major online retailers like Amazon and Best Buy.
Customers can browse and purchase LG products online, and the company provides easy
delivery and return options.
2.E; Roi or cost and benefits
LG wash tower is considered to be the latest and successful introduction in laundry category
under major appliances. Apart from its elegant design, many value additions are built into the
product to achieve this success from its introduction. However, it is remarkable that LG was
able position the product slightly higher than to total cost of equivalent washer and dryer
sperate units. Therefore, customer is benefitted with many value additions at same price range.
On the other hand, it saves 5.6 Cubic feet flow area compared to traditional washer and dryer
set. Also the smart diagnostic feature helps to detect upcoming issues and help to prevent
product from major issues.
Table 2.2; Price comparison between traditional product vs wash tower
Price of Wash Tower
Price of alternative (Traditional)
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Model
Colour/ Key Feature
WKE100HWA
White (Basic)
Black SS (Steam
WKEX200HBA Dryer)
Average
retail price
2,472.24
2,672.49
Washer
Dryer
Colour
WM3850HWA DLEX3850W White
Black
WM3850HVA DLEX3850V SS
Total Price
2,340.00
2,539.00
Source; www.lge.ca
2.F; Features and benefits
As a integrated washer and dryer unit, LG wash tower delivers many benefits to its customers.
The traditional washer and dryer were two separate units that were stored side by side and took
up a lot of space. Most companies build a stacking kit to hold the dryer on top of the washer to
solve this problem. However, there was no connection between the units, thus the customer
occasionally needed a ladder to get to the top to operate the dyer.
Figure 2.2; Traditional front-loading washer and dryer set
Source; www.lge.com
To address this issue, LG came up with an integrated washer and dryer Combo with centrally
operated panel. This overcomes the issue of reaching the top to operate the dryer and
disconnection between units.
Figure 2.3; LG wash tower
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Source ; www.lge.com
The LG Wash Tower features a variety of advanced technologies that ensure your clothes are
cleaned and dried thoroughly, while being gentle on fabrics. The washer has a capacity of up to
5.0 cubic feet, and features LG's TurboWash 360 technology, which uses powerful jets to
thoroughly clean clothes in less time. The washer also has a steam cleaning function that
removes tough stains and allergens. The dryer in the LG Wash Tower has a capacity of up to
7.4 cubic feet, and features LG's Sensor Dry technology, which adjusts drying time based on the
moisture levels in your clothes. The dryer also has a variety of drying cycles to choose from,
including a steam cycle that reduces wrinkles and refreshes clothes between washes.
(www.lge.com)
The LG Wash Tower is also equipped with LG's ThinQ technology, which allows you to control
and monitor your laundry from your smartphone. You can start and stop cycles, track progress,
and receive notifications when your laundry is done. More significantly, the ThinQ technology
offers a diagnostic tool that alerts the user in the event of a technical error, allowing for early
correction. Additionally, the LG Wash Tower has an Allergen cycle, which removes allergens
such as dust mites and pet dander from your clothes. Overall, the LG Wash Tower is a highperformance and innovative laundry solution that combines advanced technologies, spacesaving design, and ease of use. (www.lge.com)
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Designed to save the space, Easy access and operating system in the center, Smart controls with
diagnostic (ThinQ), Turbo wash 360 and turbo steam.
3. Company
3.A Company history and overview
LG is a multinational electronics and appliance company headquartered in Seoul, South Korea.
The company was founded in 1958 and has since become one of the largest electronics
manufacturers in the world, with a presence in over 80 countries. LG developed the first Korean
washing machine in 1969 and has grown into a world leading household appliance brand in the
world. (www.channelnews.com.au)
3.B Company culture and organization
LG’s organizational culture is based on Communication for Solving Problems, Efforts to
Improve the Working Environment, Participation Culture Based on the Voice of Employees
(VOE), Handling Grievances and Employee Counseling and Progress for Work-Life Balance.
Also it priorities the innovation as a source of success and value the first movers approach in
the market. (www.lge.com)
4. Competition
The market for washing machines is highly competitive, with many companies vying for market
share and striving to innovate and improve their products to meet the needs of consumers. There
are many well-known manufacturers of washing machines around the world, such as Whirlpool,
LG, Samsung, Electrolux, and Bosch, among others. These manufacturers compete with each
other in various ways, such as by offering different features, designs, and price points for their
products. They also compete in terms of marketing and brand recognition, as well as customer
service and support.
Table 4.1; Competitive analysis for Washer and dryer category
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Source ; format extracted from selling today, 7th Canadian Edition
5. Positioning
5.A Source of differentiation
Wash tower laundry centers are becoming more and more popular compared to traditional
stackable washers and dryers. Laundry centres are excellent for persons with limited rooms,
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anybody wishing to save on space, or anyone wanting a fresh design style for their laundry since
they integrate the washer and dryer into one, with the dryer on top and the washer at the bottom.
They are also simple to get to. The controls for combination units in wash tower laundry centres
are located in the middle, as opposed to the usual stacked washer and dryer. Some, like the LG
Wash towers, include smart partnering technology to coordinate between the washer and dryer,
which prompts the dryer to choose an appropriate drying cycle on its own.
5.B Product positioning
A full-sized washer and dryer only take up half the space and are available in sophisticated styles
and colours. The machine also does its own integrations and diagnostics at an affordable price.
5.C Four levels of total product concept
The Value-Added Product-Selling consists of generic products, the expected product, the valueadded product, and the potential product. Under generic product the wash tower performs its basic
requirement of washing and drying the laundry. Under the next level of expected product, the
product offers values such as higher capacity, perfect washing, wifi enabled, improved wash/dry
cycles, better after sales support.
Under value added product, the company was able to offer innovative features such as smart
diagnostic and intercommunication between units. Finally, regarding the potential product level,
LG should consider offering detachability of the product in case of issue in washer or dryer. That
allows customers to replace only defective unit instead of total product.
6. List of References
ASSEMBLY. (2022a, October 11). Automation boosts output by 25 percent at LG Appliance
Assembly Plant. ASSEMBLY RSS. https://www.assemblymag.com/articles/97384automation-boosts-output-by-25-percent-at-lg-appliance-assembly-plant
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Bellis, M. (2019, August 9). A brief history of washing machines. ThoughtCo.
https://www.thoughtco.com/history-of-washing-machines-1992666
Best buy: Shop online for deals & save. (n.d.). https://www.bestbuy.ca/enca/search?search=lg%2Bwashtower
Best Products. (2023, May 2). https://www.bestproducts.com/appliances/a13938132/reviewsfront-and-top-loading-washing-machines/
Canada, L. E. (2021, March 23). The latest in laundry innovation, LG Washtower makes its
Canadian debut. Cision Canada. https://www.newswire.ca/news-releases/the-latest-inlaundry-innovation-lg-washtower-makes-its-canadian-debut-898576279.html
Company information: Investor relations. LG Global. (n.d.). https://www.lg.com/global/investorrelations-company-info
Flamer, K., & Bortz, U. by D. (n.d.). Best matching washer & dryer sets. Consumer Reports.
https://www.consumerreports.org/appliances/washing-machines/best-washer-and-dryersets-a8901497135/
The item you are looking for may be discontinued or is temporarily unavailable. Product Not
Found | The Home Depot Canada. (n.d.). http://www.homedepot.ca/product/lg-electronicsfront-load-washtower-laundry-centre
Jolly, N., Anisimoff, L., & Richards, D. (2023, April 28). Channelnews. channelnews.
https://www.channelnews.com.au/tag/lg/
LG Washtower Single Unit Electric With Center ... - costco wholesale. (n.d.).
https://www.costco.com/lg-washtower-single-unit-electric-with-center-control-4.5-cu.-ft.front-load-washer-and-7.4-cu.-ft.-dryer-with-turbosteam.product.100683465.html
M, D., 27, C., ABullock, joe27, Freak, C., Sandy71, ali_d, & Brigitte. (2021, November 1). LG
Electronics Front Load Washtower Laundry Centre with 5.2 cu. ft. washer and 7.4 cu. ft....
The Home Depot Canada. http://www.homedepot.ca/product/lg-electronics-front-loadwashtower-laundry-centre-with-5-2-cu-ft-washer-and-7-4-cu-ft-electric-dryer-in-blacksteel-energy-star-/1001611818
Nature Publishing Group. (n.d.). Nature news. https://www.nature.com/articles/d42473-02200204-z
Repair service center locator in North America: LG Canada Support. LG Canada. (n.d.-a).
http://www.lg.com/ca_en/support/find-service-center
The Brick. (n.d.). https://www.thebrick.com/pages/search-results?q=lg+wash+washtower
WashTowerTM. LG Canada. (n.d.-b). https://www.lg.com/ca_en/washtower
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https://www.lgnewsroom.com/2022/10/executive-corner-product-design-the-start-of-the-consumerexperience/
https://www.researchgate.net/figure/Product-development-process-in-LGE-before-and-afterapplying-SILS-framework_fig1_339552351
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