Queries: 1 . Describe how Marketing affects the results of the financial equation: Sales-Expense=Profit. What risk the company could be facing from this equation with regards to marketing?
Explicate on the importance of marketing in sustaining business growth. (5 points. ) In the formula, Sales-Expense=Profit, actions done in Promoting can be said or considered as promoting expenses that includes advertising costs, promotions, PUBLIC RELATIONS events and Marketing Research costs (e. g. FGD, etc . ). Through the salary statement, we can get the Profit or perhaps Revenue and costs or perhaps expenses. These kinds of may include the cost of marketing the merchandise or providers with other costs that is deducted from the quantity of sales or total sales. The concept is to raise the revenue while costs will be incurred through marketing activities.
However , to be able to achieve this, promoting activities must be done effectively and the costs or expenses ought to be managed effectively in order to generate good results. Promoting activities which are not managed properly may get additional costs to the business and continue on to increase. This is especially applicable to companies based on a product portfolios and margins, wherein they will incur deficits once the success of a product decreases.
2 . Why perform companies use market segmentation? Explain why or just how segmentation can be an effective market entry/penetration approach. Give an example not reviewed in the course. (10 points) Better matching of client needs Buyer needs vary. Creating independent offers for every single segment makes sense and provides buyers with a better solution.
Enhanced profits for business Better options for expansion Market segmentation can build sales. For instance , customers can be encouraged to trade-up following being introduced to a particular item with a great introductory, lower-priced product Maintain more consumers Customer circumstances change, by way of example they get older, form people, change jobs or acquire promoted, modify their buying patterns. Simply by marketing items that appeal to buyers at distinct stages of their life (life-cycle), a business may retain clients who may otherwise go for competing products and brands Goal marketing communications Businesses need to deliver their advertising message to a relevant client audience.
If the target market is actually broad, there is also a strong risk that (1) the key customers are skipped and (2) the cost of connecting to customers becomes way too high / unprofitable. By segmenting markets, the prospective customer can be reached more often including lower cost Gain share from the market section Unless a business has a good or leading share of a market, it truly is unlikely being maximizing the profitability. Minor brands have problems with lack of level economies in production and marketing, challenges from vendors and limited space available. Through very careful segmentation and targeting, businesses can often attain competitive creation and advertising costs and become the preferred range of customers and distributors.
In other words, segmentation supplies the opportunity for more compact firms to compete with bigger ones. several. What can be a good section to target for a facial care product? Why? What can be a powerful consumer insight and your matching value idea? Illustrate your brand GENETICS diagram and prepare a positioning statement and a tagline.
Outline your IMC plan. (15 points) Segment Facial goods made especially for men Client insight There are many facial products in the market but focused only in female requires, including anti-ageing products. Facial care products males are very limited because not all face care corporations delve into the market. However , due to the growing quantity of men getting more conscious of their appearance, they look for products that are performed especially for us.
This is also since Men’s pores and skin differs via Ladies therefore their skin needs fluctuate. Value proposition Complete men’s face care plan line: products range from cosmetic soaps, scrubs, non-alcohol centered cleansers, and facial ointments. Brand GENETICS: Positioning declaration The Product For men of numerous ages and skin types which provides obvious and moisturized skin.
Taglin Complete facial regimen for the brand new man IMC campaign: TV Advertisements, Newspapers, Men’s Magazines, Coach posters. Storyboard A construction member of staff, after a extended day creating a wall is then seen by simply his co-workers using a facial wash for women. Co-workers have a good laugh when they begin to see the man contains a white encounter after washing.
Co-worker shows the man the facial care product for men. some. Assuming that you are chosen as a marketing manager of your publication business. Your primary activity is to build a new mag that has a strong market potential. a. What type of magazine will it be? m. Who will be your target market? c. Estimate or perhaps extrapolate the industry value potential. What needs to be the subject combine (topics) of the magazine to attract and sustain readers? g. How will you enhance this new journal? e. What can be a great name for your new publication? f. Develop DNA picture and the placing statement including the tagline. g. What are your pricing and division strategies? (20 points) your five. Hair Beauty parlors are practically in every corner, be it industrial or residential area.
David’s Salon is one of the effective salon stores in the country that may be targeting the mid-end from the market. A brand new phenomenon however took form in recent years by means of F Salon Chain and Reyes Cutters that are asking very low cost for a haircut (45. 00-50.
00 pesos only). For quite a while the two salons have mushroomed until that they suddenly dropped esteem. Assuming, you have the capital to establish a hair salon chain, how will you create your brand?
Discuss your 7-P strategies. Be sure you provide a brand name and a tagline for your hair salon cycle. (20 points. ) Procedure: Customers are available in and is aided by the the front desk pertaining to introduction of services. Client chooses the service. A professional to that services is offered to the customer. Advertising: Newspaper ads, TV advertisements, Flyering activities and on-line advertisements and postings on websites like SULIT.
COM, and/or Discount websites just like CASHCASHPINOY. 6. Illustrate the Marketing process that was introduced to the class. Discuss each one of the steps in this procedure including their respective decision points/criteria. (20 points) several.
Discuss Ansoff’s Growth Matrix. Give good examples. (10 points) The Ansoff Matrix, created by Igor Ansoff, classifies and explains distinct growth approaches for a company. This matrix can be used by companies which have a growth target or maybe a strategy of specialization. This tool, crossing companies markets of a company, helps decision making. The Ansoff matrix offers several strategies to achieve the goals.
8. Talk about BCG Matrix/Grid (10 points) The Boston Consulting Group (BCG) Matrix is a simple tool to assess a company’s placement in terms of its product range. on the lookout for. Discuss Product Life Cycle (10 points) The Product Life Routine (PLC) can be used to map the lifespan of a merchandise. There are generally four phases in the life of a product. These 4 stages are the Introduction stage, the Growth stage, the Maturity stage and the Decline level.
The Several Stages with the Product Life Routine 1 . Intro: The Advantages stage is just about the most important level in the PLC. In fact , the majority of products that fail accomplish that in the Advantages stage. This can be the stage in which the product is initially promoted.
Public awareness is important to the of a product. In the event that people don’t know about the product they won’t go out and buy it. There are two different tactics you can use to introduce your product to consumers. You can use either a transmission strategy or possibly a skimming strategy. If a penetration strategy is used then prices are established very high at first and then steadily lowered over time.
This is a good stategy to use in the event there are handful of competitors to your product. Profits are large with this plan but additionally there is a great deal of risk. If people don’t wish to spend high rates you may lose out. The second charges strategy is known as a skimming strategy. In this case you place your rates very low in the beginning and then slowly but surely increase all of them.
This is a good technique you can use if you will find alot of rivals who control a large area of the market. Profits are not a concern under this strategy. The most important thing is to acquire you item known and worry about earning money at a later time. installment payments on your Growth: Should you be lucky enough towards your product out of the Introduction stage you then enter in this level. The Growth stage is in which your item starts to develop. In this level a very large amount of money is spent on promoting.
You want to of telling the customer how much better your product is than your competitors’ goods. There are several methods to advertise your item. You can use TV and car radio commercials, magazine and paper ads, or perhaps you could get lucky and clients who have bought your item will give good word-of-mouth with their friends/family. If you are successful along with your advertising technique then you might find an increase in revenue.
Once the sales set out to increase you share from the market is going to stabilize. Once you get to this time you will probably not be able to take anymore of the marketplace from your rivals. 3. Maturity: The third level in the Support life Cycle is the maturity stage.
If your merchandise completes the Introduction and Growth then it will then use a great deal of amount of time in the Maturity stage. During this stage sales grow by a very quickly rate and after that gradually begin to stabilize. The key to living through this level is distinguishing your merchandise from the related products proposed by your competitors. Due to the fact that sales are beginning to stabilize you must make your product stick out among the rest.
4. Decline: This is the stage in which product sales of your item begin to fall season. Either everybody that desires to has bought your product or fresh, more impressive products have been produced that change yours. Corporations decide to disengagement their products from your market due to the downturn. In order to to increase revenue during this period should be to cut your costs lessen your spending. 12.
How can Promoting help in nation building? What marketing concept(s) can be even more useful for country building? (5-point bonus)