Improve Quality Add Channels New Segments Maturity Market Modification Product

Improve quality add channels new segments maturity

This preview shows page 59 - 74 out of 179 pages.

• Improve Quality • Add Channels • New Segments Maturity • Market Modification • Product Modification • Marketing Mix Modification Decline • Maintain • Harvest • Drop 59
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Sales and Profit Life Cycles 60
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Common Product Life-Cycle Patterns 61
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Strategies over the Life Cycle Introduction Invest Resources Skim by pricing high Growth Hold and build a market of loyal customers and distribution Drop prices Look for new opportunities Maturity – Maintain – Defend – Innovate Decline – Milk – Rejuvenate 62
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Renewing the PLC 63
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Relationship between Portfolio Matrix & PLC 64
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The Product Portfolio Product Line A group of closely related product items Product Mix or Portfolio The total group of products offered by the firm Strategic Decisions Variety – number of product lines offered Assortment – depth of each product line 65
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P&G’s Portfolio of House and Home Products 66
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Benefits of Offering a Large Product Portfolio Large Product Portfolio Economies of Scale Package Uniformity Standardization Sales and Distribution Efficiency Equivalent Quality Beliefs 67
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Product Line Strategy Covers all primary targeted market segments Each product offering should be sufficiently focused Clarity of each product line’s objectives Customers ability to distinguish Time-phased scheduling / sequencing all products cannot be released simultaneously • priorization Similar products / product lines are coordinated To avoid rework and confusion in marketing and among customers 68
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Internet and Product Management Pre-Internet (simple, predictable) Hire MBAs to write a business plan Raise money Build (servers, storage, etc.) Costs ~ $$$ Only large companies could innovate Post-Internet Costs ~ 0 Build (using cloud infrastructure) • Deploy Develop business plan Innovation pushed to “dorm rooms” 69 ( Ito 2014 )
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Introduction Brand Equity Concept Building Effective Brands Brand Management 70
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What is a Brand? A “name, term, sign, symbol, or design, or a combination of them, intended to identify the goods and services of one seller or group of sellers and to differentiate them from those of competition.” - American Marketing Association (AMA) These different components of a brand that identify and differentiate it are brand elements . 71
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What is a Brand? Many practicing managers refer to a brand as more than that — as something that has actually created a certain amount of awareness, reputation, prominence, and so on in the marketplace. We can make a distinction between the AMA definition of a “brand” with a small b and the industry’s concept of a “Brand” with a capital b . 72
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Brands vs. Products A product is anything we can offer to a market for attention, acquisition, use, or consumption that might satisfy a need or want.
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