marketing mix - page 5
Keywords: new marketing mix of Skoda
By finil on 15/05/2009
Level: Master's degree (MA, MBA, MSc, MEng, MRes, MPhil etc)
Page Number: 5 of 10 pages: 1 2 3 4 5 6 7 8 9 10
Europeenne' mark to show that they confirm to minimum standards, through manufacturers still face huge difference between countries.
Product safety complicates strategy planning because not all customers, even those who want better safety features, are willing to pay more for safer products. Some features cost a lot to add and increase prices considerably. These safety concern must be considered at the screening step because a firm can later be held liable for unsafe product
5.3. Idea evaluation
When an idea moves past the screening step, it is evaluated more carefully. Note that an actual product has not yet been developed and this can handicap the firm in getting feedback from customers. For help in idea evaluation, firm use concept testing-getting reactions from customers about how well a new products idea fits their needs. Concept testing uses market research ranging from informal focus groups to formal surveys of potential customers.
Product planners must think about wholesaler and retailer customers as well as final consumers. Idea evaluation is often more precise in business markets. Potential customers are more informed and their needs focus on the economic reasons for buying rather than emotional factors. Further, given the derived nature of demand in business markets, most needs are already being satisfied in some way. New products frequently substitute for existing ones. This means that product planners can compare the cost advantages and limitation of a new product with those currently being used. By interviewing well-informed people, they can determine the range of product requirements and decide whether there is an opportunity.
5.4 Development
If a company follows the new product development process carefully, the market test will provide a lot more information to the firm than to its competitors. The company must test specific variables rather than just vaguely testing whether a new idea will sell. After the market test, the firm can estimate likely ROL(return on investment)` for various strategies to determine whether the idea moves on to commercialization.
5.5 Commercialization
commercialization requires considerable coordination between the various functional areas. There are number of different commercialization strategies. One is to forgo market testing and move directly to a roll-out region by region or nationally from the outset. Such when copying a competitor's product that has experienced successful test marketing. For industrial products, use of the internet and e-mail to contact large account facilities and accelerates the introduction.
6. Market Segmentation
Market segmentation is the process by which a market is divided in to
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