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Test Marketing and Commercialization –In this final step, a certain number of the new products are created and are distributed in the market. It serves as a test to check how the consumers would accept or reject the product. Buyer: Adrian Wilson ([email protected])Transaction ID: 7JD609918P0582640
Principles of Marketing CLEP Quick Prep SheetPage - 20 Copyright 2013Wheel of Retailing –The Wheel of Retailing theory states that retail stores follow a set cycle. When first starting, retailers tend to win at the outset by offering customers low prices made possible by highly efficient operations. Wal-Mart did this in the 1970s through the 1990’s.However, as the retail store matures, they begin to offer more services and products, resulting in higher costs of doing business and higher prices for the customer. In time, other new retail stores are able to enter the market offering lower prices and the wheel begins again. Product Packaging –Since we’ve talked about how perception and appearance is so important in the buying processes, you probably wouldn’t be surprised to know how much effort goes into product packaging. The style, shape, and ability to protect are all very influential in the marketing of a product and this is the reason that many companies spend more on the packaging than the product inside. Here are just a few of the benefits of product packaging when it comes to marketing: Protection–Protects the product as it is shipped, handled or stocked. Delicate products (electronics or other perishables) need good protective packaging. Otherwise, if the product is damaged when delivered, the brand can get a bad reputation for quality. Promotion–The promotion part of packaging attracts customers. A brightly colored product is easily noticeable and may be different than its nearby competition, which can be a benefit for selection. Information –The package helps influence the customer into making a purchase. Especially in stores, packaging that lists essential features of a product is necessary, because customers are able to look at and compare features and options. Remember differential advantage? Buyer: Adrian Wilson ([email protected])Transaction ID: 7JD609918P0582640
Principles of Marketing CLEP Quick Prep SheetPage - 21 Copyright 2013Marketing Research Marketing Research –Marketing Research is the systematic or orderly method of collecting, gathering and the analyzing of quantitative and qualitative information about any details pertaining to marketing services and products. It aims to identify how certain changes on the product or its marketing strategies affect the behavior of the consumers. Growth–Share Matrix –The growth-share matrix or Boston Matrix is how companies decide where to allocate their resources. This is also used as a tool to analyze product management, strategic management, brand marketing and portfolio analysis.