This means that there is already more demand for

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growing at 25% versus the kayak paddles which is growing at 15%. This means that there is already more demand for Stand up Paddles, than kayaks and by producing both Relajante can seize both market opportunities to increase sales. Sales will likely at least double if not more, as on top of revenue made from kayak paddles, you will be adding the sales of stand up paddles, which will likely be more than Kayaks, with the greater demand in the market for them. To implement this recommendation Relajante, will need to: Create an original, simple design for the stand up paddles Separate the factory in order to keep the organization and streamlined process of production for each to ensure quality is not sacrificed. Lease and install another piece of equipment to produce enough to meet the demand of both Buy a patent for the stand up paddles 3
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Recommendation 2: Go into Ecommerce Relajante has run into a problem with effective store expansion. Even though they have doubled the amount of stores their kayak paddles are available in, it is not reflected in sales or profit. Some areas are actually seeing a negative effect on sales after the expansion. In Vancouver and surrounding areas, the demand is decreasing as consumers already own the product and don’t need to buy it again. Relajante to keep sales growing would have to expand even further, which takes time, money and other resources, and the areas that have the greatest demand for Relajante’s product may be too far for them to access at their current rate of production. To reach the all areas that has the most demand for Relajante’s product without exhausting all resources, Relajante needs to look into ecommerce. Ecommerce connects buyers and sellers on a global scale, meaning that Relajante can sell and market to consumers in every area that has high demand simultaneously. To go into ecommerce Liam would need to: Set up a well designed website to sell and market the product from Decide and set up the channels to ship products globally Obtain all legal permits and laws that apply Invest in inventory space to keep products before shipping to individual consumers. As before Relajante would produce the paddles and ship to the stores that would stock them for sale. With ecommerce Relajante would be responsible for keeping their own stock. Market products on new mediums that will have a global reach eg. Social media such as Instagram and Facebook. The marketing department will play the biggest role in going into ecommerce, and Liam would need to decide if his marketing manager is effective enough to make the venture successful. Currently the marketing department’s only focus is to get their products in new stores, but with the introduction of ecommerce their jobs will begin to include social media management, global advertisements, website management and managing online consumer feedback.
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