|
|
COPYING THIS IS UNLAWFUL WITHOUT PERMISSION FROM AUTHOR
1 (a). Marketing plans for virtually all products and services require adjustment as implementation is enacted. It’s important to maintain a constant flow of information and test the success of the plan at various stages so as to use marketing dollars in the most effective way possible. It is particularly important to monitor the plan as a product or service travels through its life cycle. Standard product life cycles consist of five or six stages: development, introduction, growth, maturity, and decline.
Prime examples of products that follow the life cycle pattern depicted can be found in the pharmaceutical or technological industries. When a product is first introduced, mass marketing may be necessary in order to make consumers aware that the product exists and describe the purpose it serves. The marketing plan (and pricing strategies) may later be adjusted as the product enters its growth stage because the advertising will need to serve a new purpose and therefore send a different message. Consumers have already become familiar with the product but may need to know more about certain features or details. At the maturity stage, the marketing plan may be scaled back or may become more focused, as marketers will have a better idea of who their target market is. Firms will most likely try to delay the decline stage because the maturity stage is when the product is generally bringing in the most revenue.
(b). An example of an
international consumer product that is using global promotional strategies is TiVo. It’s a new product that is in its
introduction stage but is beginning to move into the growth stage. TiVo has launched a campaign in the US and
the UK. In 
both
the US and the UK an initial marketing campaign was launched approximately one
year ago in order to introduce the product.
Through the research that was gathered from the results of that
campaign, TiVo has unveiled the next phase in it’s marketing campaign with a
primary objective of reaching it’s target; the family. This is a wide audience, and the firm has
decided to use extensive print, television, and online advertise to spread the
message. "This is the next stage
in developing our messaging to the consumer. After initially focusing on product
features, such as the ability to pause live TV, the new campaign will educate
consumers about TiVo’s lifestyle benefits and in particular how TiVo fits into
their own lives", explains Matthew George, Product Marketing Manager for
TiVo at Sky.
2 (a). A strategy that positions based on product attributes emphasizes the beneficial characteristics of the product. The hope is that consumers weigh the various attributes of the competing products and choose your product. An example of a product that is positioned based on product attributes is the Palm Pilot. There are a variety of products and manufacturers, yet the consumer can choose the model that provides the attributes that they are looking for.
A prime example of strategy that positions based on price/quality would be generic verses name brands. Shampoo for example may contain the same or similar ingredients but a name brand such as Herbal Essence would be priced higher than Eckert’s generic brand.
An example of a strategy that positions based on competition would be Linux with regard to its operating systems. These products are positioned as alternatives to the Microsoft Windows operating systems.
An example of a strategy that positions based on application is Glad with regard to their new tight-fitting saran covers. A similar product was introduced long ago with a different application; a shower cap.
An example of a strategy that positions based on product users is mobile communication like cellular telephones and pagers. These products were initially positioned for medical personnel and business executives. As technology advanced, prices declined, and mass production increased, mobile communication devices have become a means of contact for the everyday consumer. Many cellular telephone plans are comparable, in terms of price and clarity, to land lines. Providers (such as Voicestream, Sprint, and Verizon) target this new larger and more mainstream audience by offering family plans in which two or more telephones pool monthly minutes. Other plans include free nights and weekends, to attract the average consumer who will utilize the service for personal calls as opposed to making calls during business hours.
An example of a strategy that positions based on product class is Jaguar. These auto-makers have branded their product with a high quality image and positioned their product to reach a high-class audience. Spam is seen as a low-class product.
(b). A presentation from class that would make for a prime example to illustrate positioning based on price/quality is the targeting and positioning presentation on Gap Inc.. Gap Inc. consists of three brands: Gap, Banana Republic, and Old Navy. The three stores are segmented and positioned to target different audiences. Gap targets the mainstream conservative dresser who is interested in a quality product for a fair price. Banana Republic targets a more quality conscience consumer who is willing to pay more for stylish clothing. Old Navy targets the low-end consumer who is willing to sacrifice quality for price.
3 (a). There are many factors that encourage the formation of strategic partnerships among companies for the main purpose of gaining economies of scale and increasing product diversification. Some of the reasons for mergers and acquisitions include: improving capacity utilization, broadening target audience, enhancing coverage of the sales force, reducing managerial staff, smoothing out trends (seasonal or otherwise), reducing taxes, making better use of or gaining access to technology, and gaining access to new suppliers or distributors.
Companies generally form partnerships to foster vertical or horizontal relationships. Vertical relationships are relationships between businesses that can complement one another because they are partners in the distribution channel or the products of the companies’ are purchased sequentially. For example, if a mailhouse (a company which handles the mass distribution of mail) were to merge with a printer (a company which prints direct mail pieces or catalogs); this would be a strategic partnership that is vertical in nature. Companies that share a horizontal relationship tend to be more directly competitive, i.e. they produce the same or similar products or services. For example, the recent merger of Compaq and Hewlett Packard would be a strategic partnership that is horizontal in nature.
(b). If Yahoo were to form a horizontal strategic partnership, they would merge with a competitor such as: Google, Momma.com or Go.com (which recently merged with Infoseek). They may do such in order to gain a larger percentage of the market share (earning more revenue in terms of advertising dollars) in the search engine or more specifically, search directory, industry. By merging with a direct competitor, Yahoo may be able to better utilize technology and make Internet searching more effective for the end user.
If Yahoo were to form a vertical strategic partnership, they might enter into a partnership with a web site design firm, an e-commerce security company such as Verisign, or even a directory in print form such as the Yellow Pages.
4 (a). If a top administrator of a university wanted to establish a product management function covering both new and existing services, she might decide to offer an online MBA program. A program such as this would require the merging of the existing graduate level business courses with courses that are currently offered as distance-learning courses, as well as broadening the number of courses available in the distance-learning curriculum to make it a complete program.
Initially, the administrator would begin by analyzing the market for an online MBA program (a SWOT analysis would be in order). Then she would determine how best to position this service by again examining the audience as well as competition.
Following the analysis, assuming the opportunity does in fact exist; the next step would be to develop a marketing plan. Other administrators at the university would determine a marketing budget and the marketing plan would be implemented through a variety of media that appeals to the target audience.
Upon the launch of the marketing campaign, the university would be required to instate all of the necessary curriculum adjustments in order to begin acceptance of applicants into the new program.
(b). It is my suspicion that St. John’s University would be a prime candidate for a program such as the online MBA I have previously described. I have taken one distance-learning course at SJU and am enrolled in another for next semester. My experience has been excellent. Not only did I learn a great deal from the course, but also I was able to utilize what I learned directly in a business environment.
SJU caters to business executives who generally work full-time and go to school part-time, but the location of SJU campuses are enough of a distance from the majority of executives’ offices to be a deterrent from taking night classes. If the majority, if not all, MBA classes were offered online, commuting time for students would be greatly reduced. Additionally, the target market for such a program could be extended to geographies outside of the New York City area since location would not be a prime motivator for applicants.
If I were the administrator who was establishing this plan, I would spend a great deal of time going through the steps I mentioned earlier (in part a). In-depth analysis is integral to any marketing plan and is especially important for introduction of a new product or service.
I would begin my research by attaining feedback from existing MBA students regarding opportunities to take courses online. I would work with the technical staff and faculty to develop the technology to specifications that meet or exceed students’ expectations.
My marketing plan would initially target former SJU business undergraduate students as well as top executives who may not have time to commute to night classes but are interested in furthering their education. The initial advertising copy would describe how online courses work and what is involved (much like the introduction life cycle stage of a new product) but would become less general as the applicants begin flooding the gates.
5. www.adquest.com is a web site that lists classified advertisements. Segmentation is conducted through the organization of products into categories based on the type of product being offered, much like a newspaper would list classified advertisements. The site is designed in a way that makes for ease of use for users. By offering the information online, a user can add search criteria as opposed to visually scanning through all of the advertisements in a certain category. Searching for a used car for example would be accomplished by clicking on ‘Automotive’ and then further adding search criteria within the form available on the next page.
www.americanet.com is a web site that also lists classified advertisements. Segmentation on this site is conducted through the organization of products into categories based on the date of posting. Within each posting-date option, the products are listed based on the type of product being offered. This site does not provide ease of use for users. A user would have to continuously check the site for new postings and would then have to visually scan through all of the listings within the product category that they are interested in.
www.autosite.com is a web site that specializes in car sales. Since it is specialized, searching can be accomplished with minimal effort on the users’ behalf. The user can click directly on a link that displays ‘used cars’ ‘new cars’ ‘family cars’ ‘sports cars’ etc.. This site would be very useful for someone who has a general idea of the type of car that he or she is looking for.
www.monster.com is a web site that specializes in human resources. The site consists of, and caters to, two distinct segments. One side of the site offers options for employers who intend to post an open position and/or search for candidates in monster’s database of registered job seekers. The other side is for job seekers to post their resume and/or search through the open positions that are listed on the site. The site provides ease of use to all parties by offering searching options such as searching for jobs by: location, companies’ industry, category of the position, and/or keywords.
www.realtor.com is a web site that specializes in real estate. This site also consists of, and caters to, two distinct segments. One side of the site offers options for people who are interested in selling a home (or renting an apartment), while the other side consists of listings of homes and apartments for sale or rent. The site provides ease of use for all parties. It offers sellers tips on finding a realtor and access to a searchable realtor directory. The site also offers listings for buyers with access to search options such as: location, price, square feet, number of bedrooms, number of bathrooms, amenities, options for a single or multiple family dwelling, and more. This company seems to have developed strategic partnerships with many companies that fit vertical and horizontal relationships. By listing realtors in its directory, realtor.com has formed quite a network of horizontal businesses. Also, realtor.com has formed a network of vertical relationships by offering users direct access to: city and school reports, lending institutions, insurance companies, lawn and gardening companies, decorating services, appliances and electronics, and of course movers.