1.0 Situation Analysis/Current Marketing Mix
1.1 Current Product
Case round-shape, metallic silver on the clock-face, elegant and minimalist visible in the physical features of Piaget Altiplano. By using Piaget Altiplano watches, consumers are able to assume time and satisfy the self-esteem needs. Self-esteem needs is the ability on how humans want to be respected by the surroundings. (Rix 2007, 178). The Piaget Altiplano manufacturer gives some additional services such as care and maintenance which leads to a better understanding and minimize the risk of damage. It also provides two years guarantee starts from the date of purchase with a view to assess the quality of Piaget Altiplano in the certain terms and conditions. Piaget Altiplano produces in many makes and models. Therefore, the consumers’ desires can be fulfilled. (Elliott, Rundle-Thiele, and Waller 2012, 22). Consumers are a group of people who pay the goods and services for private consumption. (Rix 2007, 61). Customers prefer to spend a long time to complete the achievement due to a higher involvement in the final decision. Especially when consumers are looking for a high-priced product, consumers need more time in evaluations. (Rix 2007, 167).
There are two conditions about consumers’ behaviour. The first is where loyal consumers prefer not to change to substitute goods because of loyalty. The second condition is where consumers shift to other substitutes due to brands’ prices and the preferred products are not even available. (Rix 2007, 282). Piaget Altiplano has been in Singapore since 2012 and has existed with the ultra-thin watches. Hence, the consumers tend to show positive attitudes toward this brand. (Elliott, Rundle-Thiele, and Waller 2012, 234). Become the th...
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... would be based on consumption behaviours and actual purchases which can be categorized in usage rate, brand loyalty, buyer-readiness stageand time. Heavy usage of Piaget Altiplano makes female consumers enable to utilize this watch in all activities and all the time. Frequently they use luxury watch when going to work or spending the leisure time. The strong brand loyalty do not affect consumers to change in substitute product. In spite of the price changes, buyers stand to buy Piaget Altiplano. In fact, some consumers repeatedly purchase the same brand within different product category. The interests of buyer-readinessstage expose customers to purchase more the watches. Customers spend much time in the process of having Piaget Altiplano watch. Moreover, the longer durability of brands makes consumers willingness to pay more and get more attention. (Rix 2007, 123).
Clocky’s marketing strategy was very powerful in stirring interest and eventually sales, yet Nanda failed to fulfill several branding goals in launching her product. Clocky’s physical design made it a distinctive and set it apart from traditional alarm clocks. This was a calculated move by Nanda to emphasize the cute feeling the object provides, nevertheless the design has had a love it or hate it effect on consumers. It is an achievement for a product to stir such feelings in consumers minds, this strong response fueled Clocky’s success and lead to eight thousand people to join their mailing list. On the other hand consumer dislike for Clocky’s has lead some to post youtube videos mocking it and even when appearing on Good Morning America TV show ...
Schiffman, L., O’Cass, A., Paladino, A., D’Alessandro, S. & Bednall, D. (2011). Consumer behaviour. (5th ed). Australia: Pearson.
With the advancement of technology and consumer awareness out of access to information, purchasing patterns have greatly evolved with social advancement, economic empowerment and the effects of globalization. Therefore, purchasing patterns are changing among different social groups. For example, many women continue to be economically empowered but do not have the time to take
Brand addiction or Compulsive Buying is one of the most critical ways in which consumers engage with brands. Brand addicts limit their consideration sets to their addictive brands and omit other brands from their consideration set. Individuals become single-minded and prejudiced in favor of the addictive brand, disregarding all other brands, focusing only on the addictive brands, and seeing no other brands as better, regardless of price differences. Lululemon creates a brand value by maintaining its primary focus on this. Addicts become focused on the brand to the extent that the brand which they love might not be the best brand, but customers will not accept the fact that it is not the best brand.
Brand loyalty is defined by Aaker (1991, p. 39) as a circumstance which shows the tendency of consumers switching to another brand, particularly when the brand makes a change, whether is a change in price or product features. Oliver (1997) characterizes brand loyalty as a sense of commitment to constantly repurchase or repatronise a favored product or service in the future, regardless of any marketing tactics or situational influences that may act upon switching behavior. Aaker (1992) and Keller (2003) noted that brand loyalty means that each consumer whose past and future purchase is the same, they recommend others to purchase or they have the intention to purchase more. Moreover, Brand loyalty is the attitude of brand preference towards a
These consumer behavior has evolved in order to request more interaction from the companies and brands in order to provide a full image about what motives the company to provide an excellent product or service. The comparison made by Kotler (2010) has emerge in a way to understand how the companies have to present themselves to the consumers.
Key macro-economic indicators are the level of GNI and GNP per capita which reflect a consumer’s ability to purchase for example high priced luxury items or cochlear implants. However the average level of GNI per capita in a country may not show the true income distribution which may be highly unequal in certain countries such as Latin America and the Middle East (Douglas & Craig, 2010). One micro variable that has to be taken into account is the customers’ estimation of the value of the company and its products relative to its competitors (Jobber & Shipley, 2012). Cochlear preserves its superior brand image due to its “exceptional customer experience, operational excellence, product innovation, people engagement and value creation” (Cochlear Annual Report, 2013 pg. 23), and if consumers in the international market view it the same then Cochlear has a considerable advantage over its competitors. This customer assessment on the company will affect the marketing mix in terms of price as this in turn affects the customers’ ability and willingness to pay a certain price for the product.
Our survey of customers revealed two main groups of consumers. The first group purchases mainly luxury brands of deodorant because it fulfills their psychological need for a luxury product. The second group purchases mainly mass-market deodorants. Since deodorant is such a minor purchase, most
The factors that influence consumer behavior have to be understood by marketers as they cannot directly influence them, but rather gain an understanding so they can use them to their best advantage. With the emergence of ‘Black Diamonds’ in the South African market, they indulge themselves in the finer things in life as they have come long way through from the apartheid era. A typical ‘black Diamond’ consumers’ status is typically being seen in the right car, shopping at the right mall and purchasing the right class-appropriate brands (Radebe, 2013).There are four major factors that affect consumer behavior which are cultural, social, personal and psychological.
When a certain brand’s product is advertised, it makes information about the product more easily accessible to the customer, which then gives the person the option to compare different brands of a similar product and choose which brand best suits his or her needs. Because of this comparison, companies compete against other rival companies in an attempt to produce a higher quality product, hoping that the purchaser will choose its item over another; this competition creates consumers’ expectations of a product that meets a high standard and, therefore, leads companies to supply an improved
For years the Swiss watch industry had a competitive advantage on the watch market, in fact they had little or no competition and often had waiting lists for their watches. In fact, in the 1950’s the Swiss held an estimated eighty percent of the free-market share (Keegan, p 219). Their product was of high quality and held great appeal to their target market. Despite their success they only had a small corner of the potential market as the majority of the world’s population could not afford a Swiss watch. In the 1970’s electronic watches were introduced to the market. In...
This report looks in to the five products that have being selected form the six product categorizes. They’re Casio wrist camera watch, Arpico supermarket, Shania twain, Sigiriya, United National Party. With aid of the information I’ve gathered, I have evaluated each product and analyzed their product levels and given reasons why I placed the characteristic of each product in that specific level, and explained how a marketer can use these to make product awareness. Then, I’ve placed the products in the tangibility continuum and I have the reasoned out why I placed each product in the tangibility continuum.
According to Heath and Heath (2008), consumers seem to have a mistrust of marketing resulting in a disconnection between the agenda of brand managers and consumer interests. This mistrust lies with the consumer view that marketers are pushing for “excessive consumption” rather than really understanding attitudes and perceptions that lead to satisfying the needs and wants of consumers (Heath & Heath, 2008). Today, consumers are opposed to push strategies, and prefer making decisions about brands more independently. Hipperson (2010) has found that companies may have to “change from delivering push communications to creating pull interactions” (p. 263). This reflects the importance of listening to what consumers are demanding and then implementing strategies that will satisfy this ...
The shifting of the consumer’s taste of simple products to high quality branded products is not sudden. It grew out in the middle of the 20th century and the companies selling various products needed a new way to differentiate their products from the others giving it a unique identity.
Even with commodities, there are quite a few parameters which brands can use to position themselves to capture a place in the consumer’s memory and consequently in their shopping basket. A few of the more widely accepted of them are: Consistency of Product Quality, Customization of the product to the extent possible, Providing a wider range of products, Identifying the most profit generating segments of the market and modifying or adding an offering to cater to their specific needs, Unique packaging, Emotional Branding and even basing branding on building a unique image to the extent of professing to have a brand personality. In fact focusing on getting consumers to build an emotional identification with the brand and its personality has a far longer lasting effect and builds far greater loyalty than focusing on just functional and utility attributes which a competitor would also able to easily match if not surpass.