1. Product development stage: Begins when a company develops a new product idea. During the product development, sales are zero and the company’s investment add up.
1 .idea generation:
To generate a large number of ideas. 2. Idea screening: 3. Spot good ideas and drop bad ideas Marketers need to develop the new product into alternative product concepts, find out how attractive each concept is to customers, and choose the best one. Then, test the new-product concepts with a group of target consumers to find out if the concepts have strong consumer appeal. 4. Marketing strategy development: Designing an initial marketing strategy for a new product based on the product concept. 5. Business analysis: A strategic or financial evaluation of the expected return on investment in a new product. 6. Product development: Develop the product concept into a physical product to ensure that the product idea can be turned into a workable market offering. 7. Test marketing: The stages of new-product development in which the product and marketing program are introduced into more realistic market settings. 8. Commercialisation: Introduce a new product into the market.
2. Introduction: A period of slow sales growth as the product is being introduced in the market. Profits are non-existent in this stage because of the heavy expenses of product introduction. Example: microwaves, laptop, disc players had low sales for many years before they entered a stage of rapid growth.
3. Growth: A period of rapid market acceptance and increasing profits, sales starts to increase. The early adopters will continue to buy, and later buyers will start following their lead, especially if they hear favourable word of mouth. However, markets almost invariably become more competitive at the growth stage: attracted by the opportunities for profit, new competitors enter the market. Prices typically remain where they are or fall slightly. Profits increase during this growth stage, as promotion costs are spread over a large volume and units manufacturing costs fall.
4. Maturity: A period of slowdown in sales growth because the product has achieved acceptance by most potential buyers. This period normally lasts longer than the previous stages, and it poses strong challenges to marketing management. Most products are in the maturity stage of the life cycle, and therefore most marketing management deals with the mature product.
5. Decline: The period when the sales fall off and profits drop. Sales decline for a number of reasons, including technological advances, shits in consumer tastes and increased competition. As sales and profits decline, some companies withdraw from the market. Those remaining might reduce the number of their product offerings, drop the smaller market segment and marginal trade channels, or cut the promotion budget and reduce their prices further.
MIS (marketing information system)
Definition:
People, equipment and procedures used to gather, sort, analyse, evaluate and distribute needed, timely and accurate information to marketing decision makers. 1. Assessing information need: The organization begins by interviewing managers to find out what information they would like. 2. Internal databases: Electronic collections of consumers and market information obtained from data sources within the company network. 3. Marketing intelligence: The systematic collection and analysis of publicly available information about competitors and developments in the marketing environment. 4. Market research: The systematic gathering, recording and analysing of data relevant to a particular market. 5. Analysing and using information:
Micro-environment
Definition: The forces close to the organization that affects its ability to serve its customers---the
Related Documents: Senior: Marketing and New Product Essay
June 30, 2012 Abstract Live Well Services is a large producer of health care devices. A blood pressure monitoring watch designed for high risk, high blood pressure patients is their most promising new product. The watch is clinically proven to be accurate and features advanced technology. Some of the key features are a Risk Category Index that compares readings to criteria established by the U.S. National Institutes of Health and an irregular heartbeat detector featuring innovative…
health care companies decide to advertise their products or services, they go through a process of deciding what method of marketing to use. There are several different methods of marketing that are used to reach potential consumers. A few of these methods are as follows: Email, Internet, Billboards, Flyers, mailings, needs surveys, and open forums for questions and answers. The one that I feel is the most effective method used within health care is marketing through question and answer panels. This method…
In during so, a new organization chart will have to be composed highlighting structural change, pros and cons comparison of the changes, as well as a brief outline of how these recommendations will help, or if they are even necessary. Work Organization Marketing Mc Donald’s is a brand that is known worldwide. It operates globally in over 120 countries. Diversity and location is a big part of their in place marketing strategies. Other outside factors that determine their marketing strategy includes…
have not yet own any of Apple’s Products. They will continue to create computer and other electronics that are user friendly and reliable. They will be incorporating their business in more markets internationally. They will be committed to lead the industry with their award wining products. c. Strategies i. The strategy for Apple Inc.’s mission and objectives will be to continue their investments in research and development for new and innovative Apple products. They are committed to lessening…
costs are the cost necessary to convert raw material into product. All the manufacturing cost must be attached to the unit produced for external financial reporting under US GAAP. The resulting unit costs are used for inventory valuation on the balance sheet and for the calculation of the cost of goods sold on the income statement. The Manufacturing cost for a product should be viewed within the context of the factory in which the product will be built. Manufacturing cost is typically…
Management Healthcare Reform Insurance & W 2 ealth Management The future of Healthcare Reform promises big changes, uncertainties and new challenges for health insurers, providers and customers. Although some final details and rules of healthcare reform legislation (HCR) are still to be determined, modified or clarified, as the market evolves, certain new realities are likely to remain, affecting the way health organizations operate and interact with consumers. Key HCR provisions, such as…
This of course has its roots in marketing wanting to preserve its own turf and to highlight its own importance as a key function within Dynacorp, in possible competition with the two other key functional groups for relevance in the face of possible changes in organization design (Ancona, et al., 2009, p. M2, 29). Product managers and cross-functional teams constitute a kind of class of stakeholders within the firm, and cuts…
Slanket: Responding to Snuggie’s Market Entry Case Study and Marketing Analysis “I submit this paper is entirely my own work and agree it may be submitted to Turnitin for the purpose of checking for plagiarism and further it may be maintained on the Turnitin database in order to check for future plagiarism.” Introduction In 2003, Gary Clegg decided to start “a little project where he could make some money,” (Deighton & Kornfeld, 2010, p. 1) and began selling a wearable blanket…
Product Description-Weight-A-Watch Mark Ciupek Laurie T. Collier MKTG 522 September 28th, 2014 Professor Ronald Stein Marketing Plan 2.0- Situation Analysis Today consumers are extremely involved with their health. Technology has made an effort to incorporate applications that will allow each android and i-phone users the ability to install one of several health applications on their mobile phone. Our organization has designed a gadget lite in weight, and you can use as watch when not using…