Marketing Mix of Whirlpool and 4Ps (Updated 2024)

The Marketing mix of Whirlpool analyses the 4Ps of Whirlpool, including the Product, Price, Place, and Promotions. Whirlpool is an American Public limited corporation that deals in the industry related to household appliances. Founded in 1911 by “Louis Upton,” this multinational corporation is based in Michigan, USA.  Whirlpool has spread its vast and organized marketing network in almost one hundred and seventy countries.

Some companies that are giving it stiff competition are as follows:

• Samsung
• Electrolux
• LG
• Haier

About Whirlpool

• Type: Multinational manufacturer of home appliances
• Industry: Manufacturing
• Founded: 1911
• Founder: Louis Upton, Frederick and Louis Upton, Emory Upton
• Headquarters: Benton Harbor, Michigan, United States
• Area served: Worldwide
• Key people: Marc Bitzer (Chairman) and Marc Bitzer (CEO)
• Number of employees: 78,000

Whirlpool Product Strategy

Whirlpool, as a brand name, is associated with a commitment to its consumers by providing high-quality products. The products are designed in such a manner that they are compact to occupy less space and allow faster operation as they are equipped with the latest technology.

These qualitative products have energy-saving modes for longer and better durability. So, at least five hundred and ninety products have been eligible for the “Energy Star Label.” Whirlpool has various brands working for it, like Whirlpool, Roper, Privileg, Maytag, KitchenAid, Inglis, Hotpoint, Estate, Brastemp, Amana, Admiral, and Acros.

The new Product Mix of Whirlpool in 2023 is as follows (Source).

1. Refrigerators: Whirlpool’s refrigerator range includes a variety of styles like a French door, side-by-side, top-freezer, and bottom-freezer refrigerators. They also offer innovative features like SlimTech Insulation Technology, providing more capacity and energy efficiency. One of their notable refrigerator models is the Whirlpool 19.4 Cu. Ft. 4-Door French Door Refrigerator, the Whirlpool 28.4 Cu. Ft. Side-by-Side Refrigerator and the Whirlpool 11.6 Cu. Ft. Top-Freezer Refrigerator.
2. Range Hoods: To complement kitchen aesthetics and functionality, Whirlpool provides several range hoods, including downdraft, canopy, under-cabinet, microwave hood combinations, and stainless steel range hoods. Each type caters to different kitchen designs and ventilation needs.
3. Other Appliances: Whirlpool’s product mix extends beyond refrigerators and range hoods. They also offer washers, dryers, dishwashers, cooktops, microwaves, and ovens. These appliances come in various configurations and are equipped with modern features to enhance user convenience and efficiency.

Whirlpool Place Strategy

Whirlpool is one of the world’s largest manufacturers and marketers of home appliances. It has many brands working under it with the help of more than 100,000 employees. The company has numerous essential manufacturing facilities in Marion, Greenville, Findlay, Clyde, Tennessee, and Amana.

It has over seventy research centers in numerous parts of the world for technology and manufacturing purposes. It has decided to consolidate its various buildings to evolve with changing times. It has replaced some old distribution centers with new energy-efficient and better facilities. The company has redoubled its efforts to reduce air pollution and energy conservation and thus restructured the supply chain setup to eco-friendly standards.

The company’s supply chain channel has eleven plants in Europe and North America, twenty plants in Latin America, three in Asia, and six plants. The distribution channel consists of warehouses that serve as distribution centers for factories, regions, and localities.

The company wanted to create a network that would ensure prompt deliveries to customers, so they needed an organized distribution channel. The company has built-in coffee machines and even replaced some of its trucks that worked on internal combustion with electric units. In India, it has a manufacturing plant in Faridabad and another in Ranjangaon that produces refrigerators.

It has sales offices that have CFA agents who send the products to the direct dealers. All Whirlpool products are available at various outlets nationwide and in other retail shops, malls, and extensive showrooms. The Internet has also become an essential medium for marketing management, purchasing, and selling Whirlpool products.

The following key points characterize Whirlpool’s place strategy:

1. Global Presence and Expansion: Whirlpool strongly focuses on international markets, demonstrated by a series of strategic acquisitions and joint ventures. This global expansion has allowed Whirlpool to tap into diverse markets, providing the company with international experience and broadening its perspectives. The formation of “Whirlpool Overseas Corporation” and the subdivision into Whirlpool Europe, Whirlpool Asia, and Whirlpool Latin America exemplify this global approach, enabling the company to cater to local consumer needs and lifestyles in various regions.
2. Product Accessibility and Distribution: Whirlpool ensures the availability of its products through a well-established distribution network. This network spans retail stores and online platforms, allowing the company to reach customers worldwide efficiently. The strong distribution network is a critical aspect of Whirlpool’s strategy, ensuring product accessibility to a broad consumer base.
3. Diverse Product Range and Brand Portfolio: The company offers various household appliance products, such as washing machines, dryers, refrigerators, and more, under multiple brands. This diversity in products and brands, including KitchenAid and Whirlpool, allows the company to target different market segments and cater to various customer preferences.
4. Revenue Streams and Financial Stability: Whirlpool generates revenue by selling appliances, after-sales services, extended warranties, and spare parts sales. This diversification in revenue streams helps the company mitigate risks and maintain financial stability.
5. Manufacturing Capabilities and Innovation: Whirlpool’s extensive manufacturing capabilities enable it to produce high-quality appliances at scale. The company’s investment in research and development ensures that it stays at the forefront of innovation, catering to evolving consumer needs and preferences.

Whirlpool Pricing Strategy

Whirlpool is a brand that has earned consumers’ trust through its policies regarding after-sales service and products. Amongst them is their pricing policy. A proper pricing policy is supposed to be a gray area that hovers between maximizing profits and the costs undertaken without exceeding market expectations.

To develop a definite strategy, the company has set up a unit that decides and analyzes the various expenses incurred during the production and the possession of the goods by the consumer. This knowledge, in tandem with the pricing policies of the rival business firms in the target market, helps determine the actual pricing policy of the brand. Due to its organized distribution channels and resourceful warehouses, the company has cut the costs of its products by quite a margin.

Therefore, it has decided on a competitive pricing policy for some of the products and thus has created a consumer base for its products. The competition from Electrolux, Samsung, and LG is high, but Whirlpool has researched enough to match them scheme by scheme. It uses penetration pricing in products where the sale is not high yet.

The company has also gone for value-added pricing marketing strategies, as they understand that changing times have resulted in new customers who realize the importance of branded and high-quality products. The overall pricing strategy of the products remains the same. However, some minimum price differences may occur within the different product outlets as they may decide to provide added benefits to the consumers to gain more customers and increase their profits.

It is impossible for a large firm like the Whirlpool corporation, which works in consumer durables and has numerous competitors, to work with one pricing policy.

Whirlpool’s pricing strategy reflects a blend of competitive and responsive approaches to market dynamics:

1. Competitive Pricing: Whirlpool generally employs competitive pricing within its marketing mix. This strategy involves setting prices compared to the availability of similar products from different brands. By adopting competitive pricing, Whirlpool positions itself effectively against other key players in the market, such as Godrej and Samsung, particularly in the refrigeration segment.
2. Market Sensitivity: Recognizing the price sensitivity of consumers, especially in specific segments like air purifiers in India, Whirlpool focuses on making these products more affordable. This sensitivity to consumer affordability is critical to their pricing strategy, ensuring accessibility across various market segments.
3. Price Increases in Response to Costs: Recent trends have seen Whirlpool raising prices on some appliances by 5% to 12% across various regions. The increased costs of key commodities, such as steel and oil, drove this decision. Such price adjustments reflect Whirlpool’s strategy to protect its bottom line in response to external market forces.
4. Value Creation and Post-Purchase Services: Whirlpool’s strategy extends beyond just the sale of products. The company focuses on creating customer value and sustaining relationships through post-purchase services. This includes after-sales services, contributing to customer satisfaction, and serving as an additional revenue stream.
5. Adaptability to Local Market Needs: Whirlpool has tailored its product offerings to meet local needs, such as low-cost washing machines and refrigerators with low electricity consumption in markets like India. This approach indicates a pricing strategy that is not just competitive but also contextually adaptive to local markets’ specific needs and economic conditions.

Whirlpool Promotion Strategy

Whirlpool has a very consumer-friendly promotional policy reflected in its slogan, “Every Home Everywhere.” The company is determined to create demand and treat every customer with special care. So, to develop and maintain their consumer base, they have decided to execute an improved, innovative, and visionary promotional strategy.

Their brand loyalty and aggressive marketing strategy have led them to sign the celebrity couple Ajay Devgan and his wife Kajol as the company’s brand ambassador. The actor duo are in the various Whirlpool advertisements shown all over the television channels and on the radio, in magazines, newspapers, hoardings, and even on vehicles in rural areas.

Whirlpool has specifically targeted females for its products through social media marketing as they realize the importance of homemakers in making decisions about home products.  The company has also slashed its product prices to penetrate new markets through various schemes. The company has organized seminars to promote its products at important events by providing related information.

Some Recent Video ads and Print ads for Whirlpool are:

Liked this post? Check out the complete series on Marketing Mix