understand business

8/10/2019 understand business

http://slidepdf.com/reader/full/understand-business 1/4

4-P of Marketing (Borden,1953) is the fundamental base in the Marketing studies. It can be compared to

the instein!s theor" of relati#it" in $uantum Mechanics.

% & of marketing is often called as Marketing Mi', because it has the right marketing recipe to

successfull" launch a product. % & of marketing stands for

Product: &roduct is an" tangible obect or an" ser#ice (intangible) that is manufactured or created to

satisf" the consumer needs. It has to ha#e the product #ariation and the differentiation for different

markets. *lso the products must be re#ie+ed time to time for its obsolesce and must be discarded +ith

the #ie+ of market needs kno+n as product elimination. imilarl", +ith gro+ing market needs and

e#ol#ing consumer tastes, companies must inno#ate their products (-otler *rmstrong, /010).

Price: is the amount of mone" that is paid b" the customer to seller +hich #aries on different distribution

channel (-otler *rmstrong, /010). e#eral factors ha#e impact +hile determining the price of the

product or ser#ice, +hich are an organiation!s market share, the number and strateg" of the competitors,

the ra+ material costs and most importantl" the perception of the product #alue in the e"es of the

customer.

2here are #arious pricing methods used b" rganiation!s currentl"

Cost recovery Pricing: Is the pricing method follo+ed b" marketers such that the" reco#er the cost of

the product and put a small profit margin on it to finalie the pricing of the product. 4or e'ample some firm

incurred the cost of 100 per product the" +ould like to ha#e a profit of /0, then the pricing +ill be 1/0.

Penetration Pricing: is the pricing method, in +hich the price is decreased abruptl" so to penetrate the

market and achie#e greater market share. 6ompan" +ith deep pockets +hen entering a ne+ market often

practices this pricing, at times the price ma" be lo+er than the cost of the product. 2he profitabilit" can be

achie#ed later due to monopolistic situation or b" cross selling their other products (-otler, /003).

Price Skimming: is the pricing polic" adopted b" the organiation so that the" first launch the ne+

product at #er" high price so that earl" adopters can bu" the product and then the" subse7uentl"

decrease the price to get late bloomers bu"ing the product. 2his pricing is practiced mostl" b" technolog"

firms and is obser#ed +ith the launch of ne+ products.

Place: &lace represents the location +here a consumer can bu" the product. It can be a ph"sical store

+here the consumer can #isit or can be a #irtual store like a +ebsite on internet (eba".com). It is often

referred as distribution channel as it actuall" is the channel through +hich the product is recei#ed b" the

consumer (-otler *rmstrong, /010). * place can be utilied for direct as +ell as indirect selling. *nd the

place can often take the shape of e8commerce altogether. (to get more information on e8commerce

assignment help "ou can #isit the section in our marketing assignment help page).



Promotion: &romotion is a communication means adopted b" the marketer to communicate about the

product, brand or organiation to the consumers. &romotion has follo+ing four distinct elements.

*d#ertising, personal elling, &ublic relations and ales &romotion, +hich can be used as such or can be

used in combination to promote the product (&ride 4errell, 193).

“SWIFT is a soft drinks manufacturer compan" that heading into its fourth

"ear of operation and produces mango uice, apple uice, blackberr" uice, date uice etc. *ll of

the items mentioned successfull" running and continued to future profitabilit". 2o gi#e them

customer a ne+ uice taste depending on marketing research information of the customer, +e are

going to launch a ne+ fa#orite soft drink named “SWIFT Sugarcane !uice.

Market "escri#tion

:e ha#e more clear and specific information about the market and +e are also a+are of the

customer demand and choices. Based on our ;esearch and <e#elopment department +e are

strictl" determined to ser#e our customer needs and +ants +ith a totall" ne+ taste of uice

like “SWIFT Sugarcane !uice. :e are going to launch our ne+ product for fi#e groups of

people. 2he" are sho+n graphicall" belo+

$eogra#%ic:

• ur immediate geographic market +ill be <haka cit" +ith a population of around 10 million.



Product &evie'

:e are going to introduce our ne+ di#ersified tastes product “SWIFT Sugarcane !uice= initiall"

in /50 ml, 500 ml and 1 liter bottles. It +ill be launched in plastic and glass bottles and also +ill be

launched in different packages like famil", indi#idual or friends! package. *ccording to the sur#e"

the target market gro+th rate is increasing. ur compan" estimates that the future market +ill be

satisfied +ith more di#ersified and segmented product. ur target to make ne+ market segments

according to customers needs and +ants.

Target markets

ur target markets are separated into three segments. 2he segments are kids, "oung, and

adults. 2he segment details are as follo+s8

• (ids:- 2he kids are a large portion of the population. *ccording to our marketing in#estigators,

kids are the second maor consumer of soft drinks. -ids like soft drinks. 2he" like different testsand colors and according to market research kids are going to lo#e our ne+ product > SWIFT

Sugarcane !uice)

• *oung:- 2here is a large portion of the population occupied b" the "oung people. *ccording to

the marketing in#estigation most of them like soft drinks and the" appreciated our ne+ product. *s

"oung generation is the highest consumer of this t"pe of product, the" are our one of our potential

customer to ser#e.

• +dults:- *dults are another portion of the population. *dults are most careful and sophisticated

consumer and are most concern about the price and the 7ualit". o, targeting the adults is also

one of our effecti#e decisions.

• !aundice Patients:- 2he uice is #er" essential for aundice patients. It can reco#er aundice

#er" 7uickl". 2herefore the aundice patients are one of targeted customer of our >SWIFT

Sugarcane !uice.=

• Marketing Mi,

• ur marketing mi' for the ne+ product >SWIFT Sugarcane !uice= is as follo+s

• Pricing: 2he 6ompan" established the price of its ne+ product >SWIFT Sugarcane !uice=

+ith the concept from cost based pricing. *ccording to our calculation the cost of our

product is 2k. taka, and +e set 2k10 for our product.

• "istriution: :e +ill primaril" use our e'isting distributors for distributing our ne+ product

>SWIFT Sugarcane !uice=. 2hen, +e +ill make some ne+ channels and assign some

distributors to promote our ne+ product to all o#er the countr".

• +dvertising and Promotion: 2he most successful ad#ertising +ill be through ?2@,

6hannel I, *2? Bangla and ;2@, +hich are the most popular tele#ision channels in the

countr". :e +ill also use some bill8boards and leaflets and +e +ill hold a sport e#ent for

the "oung generation to promote the product.



• .)/)0: Product marketing

• ur product +ill enable our customers to ha#e a different e'perience to test in soft drink.

2he" +ill be able to differentiate our product in 7ualit" and test +hich are uni7ue in the soft

drink market. 2he" +ill not be able to feel the same +a" for the other soft drinks in the

market.

• .)/)1: Pricing

• In the current market of Bangladesh, there are a number of uice products e'ist. 2hrough

the market research +e ha#e re#ealed that most of these products! price range is in

bet+een 2k10 to 2k15.

• *s +e are stri#ing to launce similar product but +ith a different test, it is better to set the

price based on other products to +hich +e +ill compete. : ha#e gone through our entire

production process and found that this competition based pricing +ill also co#er our total

cost.

• o, the selling price +e set for our product is 2k10

2he ne+ brand of >SWIFT Sugarcane !uice= +ill be introduced in Aanuar". :e make an action

program for the ne't si' months. *nd +e belie#e that, if our si' month action programs +ill run +ell,

then +e +ill achie#e our goals easil". *nd +e +ill continue our business according our c"cle.

Conclusion

In conclusion +e can see that, the product the compan" is going to launch has a bright future in

its market. *s the product is inno#ati#e, the consumers are going to appreciate it. *nd according

to the ;< (;esearch and <e#elopment) department this product +ill be a strong product mi' for

our compan". *nd once our >SWIFT Sugarcane !uice +ill reach to the hand of e#er" of our

targeted customers.

Documents

understand business