There are a wide variety of products that have been created over the course of the last decade that have influenced the way that we live our day to day lives. Another product that could greatly revolutionize the world we live in would be a lawn mower that mowed your lawn by itself. This product will have a very distinctive strategy in forming its target market, product strategy, distribution strategy, pricing strategy, promotional strategy, and lastly its competitive analysis.
The target market for this product will be a generated towards upper class individuals who live in a city environment and do not have the space to keep a lawn mower, the time to mow their own lawn, or do not want to continue to pay someone to mow their lawn. The
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The product will come in a variety of styles which include a variety of colors and also a variety of speeds in order to be able to complete the process more efficiently. The product will be sold under a new brand in order to show the consumer that this is a revolutionary product that is not like any other lawn mower on the market today. The product will come in a distinct blue box in order to draw the attention of its purchasers from the other options available. The products labeling strategy will be to create a unique image that draws the consumer’s eye when it is …show more content…
The product will start out being sold in home maintenance stores in urban areas in order to attract its original target market. As the product continues to grow it will become more widely available at stores that are shopped at by everyday consumers. Once the product succeeds within this market they will then be sold in any store nationwide that you would likely be able to find a lawn mower.
The pricing strategy will start out rather high for this product upon its release in order to draw a more selective crowd such as the upper class members of the urban society. Once the product has succeeded within this market there will be a development of additional variations of the product which will allow for certain models, with less features, to be sold at a lower price point in order to attract the members of society who are less willing to pay the high asking price for the top of the line version of the
SMC was currently distributing and selling to retailers, wholesalers, and private-labels as well as to Europe and the South Pacific. About 75 percent of total sales were coming from nonmetropolitan areas. Wholesalers represented 30 percent of riding mower sales and 25 percent of sales was from direct-to-dealer sales accounts. The private-label sales accounted for 40 percent of total sales and foreign sale 5 percent.
In liasion, the company’s products include services for home improvement professionals and contractors. This marketing mix from Home Depot highlights the quality of service they wish to provide. On the other hand, the majority of the products at the firm’s stores are from third parties, such as equipment manufacturers. Home Depot’s multi-faceted product mix include building materials, lawn and garden products, and home appliances, among other things. Kitchen and garden products accounted for nearly 27% of revenues in fiscal 2014 making them the best-grossing product categories. (Exhibit*- Revenue by product
After several new product failures, the company began using customer input to help develop new products. In 1989, the fishing electronics industry is experiencing a downturn, and the company's sales and profits are slipping. The company, which has one product line (depth sounders) and a strong brand (Hummingbird), has conducted substantial market research on three new products. These products are project 901, hummingbird VHF Radio, Locator/ GPS navigator. Of these, project 901 is an extension of the depth sounder product, while the other two would be new product lines for the company. Top management is deciding which one or more of the three new products it should proceed with. In this paper, I will discuss the positive and negative aspects of each product ideas and my recommendations to Techsonic management
Lowe’s is leading the way by example. Lowe’s believes that creating long-term partnerships is a win-win situation for both sides of the deal. Lowe’s is the second largest home appliance retailer in the country, by working hand in hand for twenty-six years with Whirlpool, the largest marketer and manufacturer of home appliances. Whirlpool and Lowe’s have worked together to become unmatched in bringing their customers a high quality product and a very low competitive price. Through a tremendous logistical effort Whirlpool and Lowe’s have created a one of a kind Innovation Tour. A semi-trailer transforms itself into a functioning kitchen to show customers cutting edge appliances that will be available at Lowe’s in the future from Whirlpool and Kitchen Aid. As Lowe’s motto states, Lowe’s truly is “Improving Home Improvement”. (http://www.businesswire.com/)
“Sears is the leading retailer in home appliance, tools, lawn and garden, electronics, and automotive repair and maintenance. They are also the largest home service provider and answers over 11 million service c...
Pricing Strategy: We are going to take into consideration inflation, benchmarking and customer trade off. The pricing strategy for the new products/line extensions will be a penetration-pricing strategy to gain customers from other competitors and increase market share. Further, the volume discounts are going to be in the range of 25-40%. Taking into consideration Product lifecycle, those will be raised in the time where new products/line extension are launched.
Penetration pricing is involved when a company is launching a product in a market where the product that is low priced while the company intends to secure market share. This scheme calls for extensive planning. For proper execution of the pricing scheme, the company or manufacture must be ready and willing to produce the specific product in large quantity. The company or manufacturer should also launch a big campaign that will mainly publicize the low prices of the new products. The business owner must take nit that the penetration price result in an expensive operation and the owner must be readily prepared for the cost. With a low consumer demand, the business might suffer from an accumulated stockpile of product without market and hence they become unwanted.
Have you ever wondered why do prices end with .99 or why it is that business are always making some kind of deal? Are these deals as beneficial as the customer thinks they are? What about the items priced higher than usually. Most people tend to think the higher the price the better quality right? Well, these are some of the topics this paper is going to help you better understand. Price points, Prestige Pricing, and Odd-evening pricing are all common price games used in the business world today. Price points are the different prices stores use to manipulate the consumers into buying what they want them to buy. I am sure everyone has wondered exactly what goes into the pricing of the items they purchase or what is it about these deals that keep luring me into the stores. Price gaming is a tricky business and businesses love how well it can manipulate the customer into believe and thinking a certain way. Showing you these three common price games will help you better understand and help you evaluate your purchasing decisions a little better.
The success of these products against each other has to be predicted using the newspaper articles provided. The demand and sales estimates of these products along with the customer perception of the product needs to be projected and ranked between each product.
The case study of the Frigidaire Corporation illustrates that valuable data has been collected; therefore, if applied correctly, the company has the potential to position the new front-loading washing machine in the correct market segment(s). According to Exhibit 5 in the case study, the following populations have above concern for conservation of resources: Elite urban singles between the ages of 25 and 34 and couples between the ages of 35 and 54 both of value space savings; Sophisticated townhouse White and Asian couples who are 55 years old or older have above average ecological concerns; Upscale suburban Asian and White families between the ages of 35 and 54 have determinant attributes of performance ...
Although there are local stations that could potentially reach the target market, these consumers do not tend to utilize this media channel very frequently due to their active and busy lifestyles. Further, the price of using this strategy would be prohibitive when compared to other strategies that have a higher potential of drawing consumers in the local area. SNHU Pet Supply Store should focus the strategy for Farm to Bowl on a local promotion that spotlights the product features. That being said, this approach may warrant consideration as the product expands into a larger geographic
emerging or new market. It can originate from new technology or new market opportunities (Eliashberg, J., Lilien, G. L., & Rao, V. R. 1997). Literature defines product development as exploiting an untapped market opportunity and turning it into a value product for customer satisfaction. Development and introduction of a new product requires extensive research on understanding customer needs, market structure, emerging trends and analysing the internal & external competitive market environments. To evaluate customer satisfaction previous researches provide strong relationship between customer satisfaction and product quality, product features and value for money. ***
Besides, they approach by producing innovative product with a wide range of smartphone with various operating systems, shapes, sizes and prices to their customers with attractive prices. With comparative items function, Samsung products cost is constantly lower from 10-15%. Samsung has utilized its interior resources and applied to their production system, as a result, this will decrease the cost of production and offer more option to the customers. Diminishing the cost is another strategy for Samsung to attract customer attention and to increase the sales volume. Pricing strategies consist of several different types such as price skimming, competitive pricing, penetration pricing, discount pricing and product life cycle. Samsung utilize different pricing strategies to different product. Firstly, price skimming. It is higher price had been set ahead, before competitors penetrate the market. Therefore, Samsung applies pricing strategy in selling their products, for example hand phone. Once the company releases new model, they will decrease the price of the previous model to compete with another competitor. Second, Competitive in pricing. Samsung utilize a competitive pricing strategy when other organisations offer similar products and services. Samsung set their total cost of a
... a certain product. On the consumer’s side, they will have the rights to choose, the freedom to select the product that will best suit their satisfaction or needs. Because on each day, we have daily needs that we can’t live without. Each necessity sometimes used almost every day so this study will introduce them the upside of having product variation. On the entrepreneur’s side, this research will become helpful for to know the wants needs of the people. They will be able to know the strategies or the right product to manufacture that will help them increase their market.
The product will reach out to the working class and the decision maker of the household the company looked at the following