Jones Blair Marketing Strategy Analysis. Jones-Blair Company is a privately held corporation that produces and markets architectural paint.

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Jones – Blair Case

Ashley Hinds



Jones-Blair Company is a privately held corporation that produces and markets architectural paint. They produce a full line of architectural coatings and paint sundries (brushes, rollers, thinners, ect). The company operates a large OEM coatings division, and sells throughout the U.S. and worldwide.

Net Sales in 2004: $12 million / Net Profit before taxes: $1,140,000

  • Dollar sales increase by 4% per year over the past 10 years and are distributed evenly between two areas: Dallas Fort Worth (DFW) and Non-DFW counties.
  • Jones-Blair sells the highest priced paint in the service area

Cost of goods sold: 60% of net sales: $7,200,000

Sales Distribution:

  • DFW (60%): $7,200,000
  • Professional (70%) $5,040,000 / Market share: 35%
  • DIY (30%) $2,160,000 / Market share: 6%
  • Non-DFW (40%): $4,800,000
  • Professional (30%) $1,440,000 / Market share: 45%
  • DIY (70%) $3,360,000 / Market share: 12%

Service Area / Distribution:

Jones-Blair Company markets its paint and sundry items in over 50 counties with a distribution of:

  • Non- DFW: Texas, Oklahoma, New Mexico, and Louisiana
  • DFW (Dallas Fort Worth) Area
  • This is the major business and financial center in the company’s southwestern service area.
  • Over 1,200 outlets in operation with 600 situated in the DFW area.
  • Company distributes products through 200 independent paint stores, lumberyards, and hardware outlets.
  • Paint Stores (36%), Hardware and lumberyards (14%)
  • 40% of these outlets are located in the 11 counties within DFW (80 stores)
  • 60% are located in the other 39 counties (120 stores)
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  • Competition has increased:
  • For retail selling space in paint stores, lumberyards, and hardware outlets has increased and accelerated
  • Among paint companies that sell to contractors
  • At the paint manufacturing
  • Companies are aggressively pricing products
  • Competitors have yet to reach:
  • Around 400 professional painting firms in DFW
  • Around 200 professional painting firms outside DFW area
  • Retail outlets
  • Competition may buy their way into free goods and promotional allowances

  • Fueled merger and acquisitions caused by:
  • Slow sales growth
  • Ongoing Research and Development
  • Recent compliance with government regulations
  • ...

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