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 is a relatively small manufacturer with a long history and strong brand image. Sales had been consistent for approximately the past 5 years when SMC received a proposal in early 1996. They were currently selling three main mower units. A zero-turning radius riding mower, the Ride King, which accounted for 63.6 percent of SMC’s total sales and 57.8 percent of their total gross profit in 1995. SMC sold a trail mower, the T-44, which accounted for 8.2 percent of total sales and 13.2 percent of total gross profit. They also produced push mower kits, which contributed 8.2 percent of total gross profit. The sells of replacement parts made up the remaining 20 percent of total sales and 29 percent of total gross profit. SMC had the Trim-Max to introduce as a new product line.
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.
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/)
This merger will bring a wide array of products to a larger group of consumers. Currently consumers looking to buy home appliances like stoves or refrigerators have to go to a mall with a Sears store or a specialty store like Best Buy or Circuit City. Not all consumers live near a mall, so buying from Sears may not be an option. Although bot...
GreenWorks 25022 12 Amp 20 Inches Corded Electric Lawn Mower is cost-effective, easy to use and maintain, silent and sturdily-built. If you’re looking for an effective lawn mower that’s reasonably priced, GreenWorks 25022 should be on your top list.
Doe Deere is the innovative founder of Lime Crime Cosmetic Company. Doe Deere was one of the first people to take her business to the Internet and find almost immediate success with her business formula. Other cosmetic companies were showing their lip colors and other cosmetic colors against a harsh background. Lime Crime preferred to show their colors on real lips and women. Thus, increasing interactivity between the customer and the company. Now, Lime Crime is using the same business formula on Instagram. Their customers are posting their images wearing Lime Crime Cosmetics on Instagram. Lime Crime is quickly creating a fun and inviting community on Instagram for Lime Crime followers.
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.
Price strategy: This strategy includes the total costs that the audience will pay for adopting the desired behavior which will lead to potential
Meanwhile, price strategies are important to be considered by every marketer before market a new product into a new market. Basically, the price is the amount a customer pays for the product. It is determined by a number of factors including market share, competition, material costs, product identity and the customer’s perceived value of the product. The business may increase or decrease the price of product if other stores have the same product.
One must look at the economic environment and how it will affect the launch of the product. One must look at:
Market penetration is one of the focus areas of all categories and hence varieties of product categories. Providing end-customers with small sized or single-use packs of their preferred products will result in some more end consumers being able to afford and try out these all products.
We are mainly using a premium price strategy for the product. This high price will help to create a positive image among the customers even it shows a higher position from the competitors too (Marketing, 2016).We are using high price because of the quality and the unique facility with the new television. Apart from this, to some extent we are focusing on value-added strategy too, like: free shipping and installation and credit options too.
The price of a product brought some interpretation by the user. Low price is considered as poor quality. High price is difficult for the market because customers prefer to choose products at the low price. The price can determine the gain or loss of a business. Marketers must be clever in the pricing of a product.
We use this strategy to set the right price for our product EasyToast in order to sell in the market. The selling price of the toaster will be RM200 per unit, it is stated that a company charge the price for the product could send a crucial message to their target market or consumers. The selling price of RM200 set by our company is determined by forecasting that what customers are willing to pay for our product EasyToast under cost-based pricing strategy. Moreover, our company could be able to maximize profit and also retaining a positive relationship with our consumers by using this
Products are what the organization's sell to people. This area mainly focuses and concentrates on developing the right product or service for the target population. The product or service should always satisfy the need of the target population. That’s why it is very important to know the wants and needs of the target population and conducting the proper research should always be done before hand.