marketing management - M3: analytical marketing

Module 3 of Marketing Class
Product & Pricing Strategy

1. Product & Pricing Strategy

2. Product and product classification Product strategies New Product Development Product life cycle Pricing methods and strategy

3. The Total Product Concept Total Service Concept Core value Service Delivery Process Supplementary services

4. Product Life Cycle

5. What is New Product? “A new product is any product the customer perceives as new.” This could involve: Adding a new product to an existing product line that is totally new to the world Making improvements in existing product Repositioning of existing product

6. Why is it required? (factors contributing to New Product Development) External Factors Changing customers’ preferences Technological changes Government Policy Internal Factors Surplus Capacity : Finance / Mfg. / Manpower

7. For Ex: A law firm specializing in intellectual property law identifies a need for a more efficient and cost-effective way to conduct trademark searches. It starts by conducting market research to identify the pain points of its clients and potential clients when it comes to trademark searches. Based on their findings, they decide to develop a new software tool that streamlines the trademark search process and delivers more accurate results.

8. The law firm would then proceed with the NPD process, starting with idea generation and concept development . They will work with a team of software developers and trademark attorneys to develop the software tool's specifications, design, and features. The software tool would then be prototyped, tested, and refined until it meets the desired standards and specifications. Once the software tool is ready, the law firm would conduct market testing by offering the tool to a select group of clients and gathering feedback. Based on the feedback received, the software tool would be further refined until it meets the needs of their target market. The fina l stage would be commercialization, where the software tool is launched and made available to the broader market.

9. Product Life Cycle

10. Branding A brand is a name, term, sign, symbol or design, or a combination of them , intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors .

11. The Role of Brands Identify the maker Simplify product handling Organize accounting Offer legal protection Source: Pearson Education, Inc.  Publishing as Prentice Hall Signify quality Create barriers to entry Serve as a competitive advantage Secure price premium

12. Branding: Providing products and services with the power of the brand . Brand equity: The added value endowed on products and services, which may be reflected in the way consumers , think, feel, and act with respect to the brand. Brand Promise: The marketer’s vision of what the brand must be and do for consumers.

13. Case Discussion Harley–Davidson: Building a Brand through Consumer Engagement

14. Scope of Brand “ Clarify the decision making for consumer & provides value to the firm ” Marketers need to teach consumers… ‘Who’ the product is…to Indentify it ‘What’ the product does… ‘Why’ consumer purchases… 20

15. Family Brand name Individual Brand name Merits & Demerits

16. Labelling and Packaging

17. Labelling & Packaging Labelling is important aspects of product manufacturing and marketing. It involves the use of stickers, tags, or other types of materials that are attached to a product to provide information about its contents, ingredients, usage instructions, and any warnings or hazards associated with it. The primary purpose of labelling is to provide consumers with essential information about the product they are purchasing. Packaging, its types importance

18. Pricing methods and strategy Pricing methods refer to the various strategies and techniques that businesses use to determine the price of their products or services.

19. Cost-plus pricing: Value-based pricing: Competition-based pricing: Penetration pricing: Skimming pricing: Psychological pricing: Dynamic pricing:

20. Cost-plus pricing: [ add mark-up percentage] Value-based pricing: [Price based on perceived value] Competition-based pricing: [telecom sector] Penetration pricing: [low price for cost-conscious cust . ] Skimming pricing : [ high price for the premium product ] Psychological pricing: [Rs. 99/-, Rs. 199/-, Rs. 899/-] Dynamic pricing: [Air fair]

21. End