Sonance Case Solution & Answer

Sonance Case Study Analysis


Sonance was established by Scott Struthers and Geoff Spencer in 1983. The company is based on audio solutions, and is widely recognized as the consistent leader of the Architectural Audio category, since 1983.The company’s headquarter is in San Clemente, California. The company worked hard to maintain its reputation in the market as the market leader in speakers but not only this, the company also created a range of innovative, aesthetically-conscious home and business technologies.

Question No. 1

Marketing Analysis

Company Overview

The company is based on audio solutions. It manufactures IPort and TRUFIG with the distribution in more than 100 countries around the world. Each brand of Sonance offers innovative and unique solutions according to the advanced technology.

Target Market

The company believesin the customer segment of custom installers for its growth. Sonance is also diversifying its products in retail segments with products like Best Buy and Lowe in the custom installers segment.The company also has a change in its market preferences towards innovation and complementary products.


The company has an intense competition with Asian countries. The major competitors of the company are Yamaha, Polk, Boston Acoustics, Bose,and Klipsch. The company has competition because of more diversified revenue and R&D development.

Pricing and Forecast

The company uses a price penetration strategy. But in the future forecast, the company needs to reduce its prices to beat its competitor’s revenue. The market share can also be won by the company through discounted pricing.

Question No. 2


Alternative 1: Retail Consumer Market

This alternative is related to iPort innovation or redesign. It also includes the marketing and distribution of the product through mass retailers like Best Buy andLowe as they are the largest retail accounts. The loudspeaker maker of the company, Chip Brown, assigned the task to his staff to get a sales account and also placing the company’s in-wall speaker in the three types of home audio. These three types are home theater in a box, A/V receiver, and A/V receiver with speakers.If the company distributes its products through these retailers, the Sonance has high profitability chances. Brown also increased the budget of R&D which is $3million annually. These innovation strategies canprove to be suitable for a retail customer.

Alternative 2: Large-Scale Production

The large scale production option is an opportunity for the company to grow in new production housing as the company was successful in new market construction. This option has a huge opportunity as this project will be of 80 to 150 housing units. Some of the homeowners selected to distribute because Sonance offered an installation job for 80 employees. The developers also liked working with Sonance because the advertisement was easy with the company for home buyers. This option was given by Brown and there wasn’t any growth contributed from these housing units, in the company’s previous years. Sonance also offered a quantity discount to its developers, which attracted them towards working with the company……………………………….


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